CO129-397 - Public Offices & Others - 1912 — Page 7

(Copy) M.26842/1911.

Kemorandum.

Registry of ships owned by Companies carrying on

business in Chinese Treaty Ports.

1. Section 1 of the Kerchant Shipping Act 18v4, provides with respect to ships owned by companies that such ships shall not be deemed to be British snips un-

less owned wholly by "bodies corporate established

under and subject to the laws of some part of His

Eajesty's Dominions, and having their principal place

of business in those dominions."

2. In 1907 the Foreign Office raised the question

whether companies registered at Hong Kong but carrying

on business in the Chinese treaty ports (especially

Shanghai) were entitled to register their vessels under

the British flag, and the Board replied that they were

disposed to agree with the view that, in the case of bona fide Britisn Companies having their principal

place of business at a Treaty Port, the treaty port might for the purposes of Section 1 (d) of the Heronant Shipping Act, 1894, be regarded as forming part of his Majesty's Dominions, though this was perhaps not in strict accordance with the letter of the law.

3.

The Board therefore stated that if the Registrar of Shipping at Hong Kong or Shanghai, on the applica- tion of a Company registered in Hong Kong but having its principal place of business at a Treaty Port and on being satisfied by a certificate from the Consul at the .

Treaty