CO129-422 - Governor Sir May - 1915 [5-6] — Page 631

L

624

not seem to be strong enough to justify any action being taken

upon it.

2.

I have therefore given Mr. Backhouse permissi- -on in a letter, copy of which is attached, to trade with the firm and also with the other firms mentioned in my telegram of the 13th. ultimo. These latter firms are all, I understand, permitted to trade in England, but for my information I should be obliged if you would ask the Registrar of Joint Stock Companies to supply me with information concerning the composition of such of them as are limited Companies.

3.

These firms like that of Sanders Rehders and

Company formerly employed the German Firm of Sander Wieler and

Company, in whose employ as I have said Mr. Backhouse was, as their Agent in Hongkong. In deciding to permit lir. Backhouse to take up these Agencies I was influenced by the following consider- -ations. In the absence of definite evidence that Mr. Backhouse is acting or intends to act for Messrs. Sander Wieler and Company it is doubtful whether there is the legal power to embark upon what again would be a new policy in refusing the permission. The reasons for Section 6 of Ordinance 28 of 1914, as amended by Section 9 of Ordinance 30 of 1914 were (a) to protect the liquidations and (b) to prevent profits going to Germany during the war. It did not represent a policy of capturing trade.

As at present advised I am of the opinion that Mr. Backhouse is acting with bona fides in taking up these Agencies. It remains to be seen whether the firms in question will continue to employ him after the war or whether they will go

back to a German firm.

I have the honour to be, sir.

Your most obedient, humble servant,

Governor,

,&c..