CO129-400 - Governor Sir May - 1913 [3-4] — Page 457

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reasonable figure. If this were done then the claim might be waiv-

-ed, but the Green Island Cement Company had suffered so heavily

from the stoppage of limestone supplies that the price fixed would

have to be one that would, in time, compensate them for much loss.

The Green Island Cement Company were desirous of arriving at an amicable settlement, and I suggested that it might be possible for the Government to supply us from their own quarry at Fa Un, which at the present time is supplying limestone to the Government Cement Company.

lir. Kwan said it would be impossible for his

for Government to nogotiate/future supplies or even for the sale of the confiscated stone unless the Green Island Cement Company with- -draw their claim unconditionally. How could friendly negotiations be carried on if the Green Island Cement Company persisted in their claim? He contended that he was perfectly justified in enforcing the Mining Laws and it would be impossible for him to reverse his

opinion.

I replied, using the old arguments, that, though the laws may have been in existence under the Imperial Government, they had never been enforced, that the Green Island Cement Company had opened their factory on a basis of supply of limestone from the Kwangtung Province which privilege they had enjoyed for the last 20 years, that the contractors had quarried and sold us limestone during that period with the knowledge of the Imperial Government without hindrance, and that therefore such laws could only be considered as dead. As soon as the Green Island Cement Company had been advised that the laws would be enforced by the Republican Government they had done all in their power to see that their contractors complied with the laws. They had even gone so far as to invoke the assistance of the British Consul- -General in drawing up the petitions in accordance with the

regulations, and yet no permit had, so far been issued, nor

could they discover one single contractor who is in a position to sell limestone. He, Mr. Kwan, had refused to give permits because the petitioners had, in ignorance, quarried stone when the Manchu