CO129-423 - Governor Sir May - 1915 [7-8] — Page 669

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4.

As a question of policy I am of opinion that

the liquidators should apply all the proceeds to the payment of the non-enemy claims. It must be remembered that the businesses which are being wound up here are only branches of firms which have branches elsewhere and which in many cases have their head offices in Germany, so that the enemy creditors have not only the Hongkong branches to look to. It must also be remembered that the winding up contemplated by the Alien Enemies (Winding up) Ordinance, 1914, is not a winding up which results in any dis- -charge from liabilities provable as would be the case in a winding up in bankruptcy. I shall be glad, however, of your instructions in this matter.

I have the honour to be,

Sir,

Your most obedient,

humble servant,

Governor,c..