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even in the case of an enemy subject, for the purpose of limiting his ordinary civil rights.
8. The view which I submit of this difficult subject is as follows. Allowing the Germans and Austrian to remain here gives them the same rights as other foreigners and we cannot limit those rights by dair giving them any special form of permission. This does not mean, of course, that they can trade direct with German, and their right to trade is only a right to trade on their own account and not a right to trade on account of their branches or partners in German territory. This right, however, flowing from the permission accorded to them to remain here, does not enable them to trade in goods in which their present partners in Germany have an interest as that would be trading with the enemy in that the contracts entered into would ensure for the benefit of persons resident, carrying on business, and being, within the German Expire and in some cases they would probably be trading in goods coming from the German Empire. I think therefore that a licence is required to enable them to dispose of their stocks in the Codony and their goods due to arrive, and the granting of this licence has been asked for because of the large British and local interests at stake in connection with those goods. I therefore think that the action of this Government has been quite correct in sending the telegram of Saturday the 15th. instant.
9.
The urgency of the question as regards the transactions last referred to can scarcely be exaggerated. The Banks do not know where they are, loyalty is being penalised, and it is to be feared that some of the German firms are trying to evade the law by sheltering behind new firms with British names.
10. At the same time I think that a telegram might be sent, referring to the Secretary of State's telegram approving of German and Austriens being allowed to remain here, to the effect that it is understood that the probable effect of this permission will be that these persons are placed in the same position as other foreigners in accordance with the principle stated in Hall's International Law, page 388, and the cases cited in Chitty's
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