CO129-420 - Governor Sir May - 1915 [1-2] — Page 179

with their pay or their bosselle savings. The G. H. complained of this being stopped

xsuggests that the Sost. is acting iligally in fixing different rates.

/imm't so that the Jo! action in

illegal though it was :

ther hasty to

distable's the two rates at a day'; wher

+ Initzer hat

any thing

can be done.

It people prefer notes to silver & with five more to hem no legislativos action

/

with weren't them?!

? Ack rest asay that the J.NS. concurs with the for. in thinking that no action JR 17/1/, can be taken

This matter is very complicated but from the last

par. it looks as though the difficulty were right-

ing itsflf. I don't think we need do more at present

than ack. and say that we will await his further re- !

port, with any suggestions for action which he may think

necessary to meet the situation, and remind him of

J

the corresp. (attached) in which it was suggested

t

that excess Note issues shd. be exempted from taxa-`

tion.

Ar

Arc

5.4.

W

No 32

10874

¡RECO

Rea? 8 MARTC

176

HONGKONG,

GOVERNMENT HOUSE,

27th January, 1915.

3

Celosure

1

hetosu

sure 2

cloqur ver

sir,

I have the honour to transmit, at the request of

His Excellency the General Officer Commanding, the enclosed copy of a letter, addressed to me on the 9th January, on the subject of the fall in the rate of exchange of silver dollars with bank notes, the consequent unwillingness of tradesmen to receive silver dollars in payment of their accounts, and the action of the Postmester General in fixing different rates for Honey Orders paid for in silver and for Money Orders paid for

in bank notes.

In connection with this latter item I attach

copy of a letter addressed by the Postmaster General to the Officer Commanding one of the Indian Regiments of the Garrison, and of a letter which I addressed to jor-General Kelly after a conversation with him over the telephone on the subject.

I considered that longer notice of the change should have been given by the Postal Authorities, who previous- ly had accepted the same rates for Money Orders whether paid for in silver or in notes. I therefore extended the period within which this indulgence would be continued while limiting transactions to what I regarded to be legitimate bounds.

Major-General Kelly's letter of the 9th instant,

2.

THE RIGHT HONOURABLE

&c.,

LEWIS HARCOURT, M.P.,

Exc.