CO129-423 - Governor Sir May - 1915 [7-8] — Page 681

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NO CONFIDENTI AL.

C

Zer

C.O

47303

CAIS COTTO

GOVERNMENT HOUSE,

HONGKONG. 31st. August, 1915.

676

Sir,

•Gov, bb

In continuation of my Confidential Despatch of the 5th. August, I have the honour to transmit the enclosed transla- -tions of letters extracted from Carlowitz and Company's semi- -confidential papera.

I note that Zimmermann was at the time Under

Secretary at the German Foreign Office: Rosenbaum was Manager of Carlowitz and Company at Shanghai: March was Limager of the firm at

Hamburg: von Bohuscewicz (referred to in letter B as von Bohu) was

Hanager at Canton: Mühlon, Manager of Krupp and Company, Essen;

Höller, Manager of Erhardt and Company. Letter B appears to be

written by March and Letters C and D by Rosenbaum.

2.

These letters are of interest: though they do

not indicate any direct subsidy paid by the German Government to

Carlowitz and Company; such a direct subsidy seems inherently im-

-probable. That Carlowitz and Company however should be able,

thanks to their valuable Krupp Agency, to treat other lines of

business as purely subsidiary is intelligible and is indeed clearly

admitted in the enclosure to my Despatch of 5th. August. The

enquiry would therefore seem to be properly directed to the

question whether the apparently high commission paid by Krupp to

Carlowitz was made possible by a subsidy paid by the German

Government to Krupp. The fact that Krupp's chief rival in China

!:

was

ME RIGHT HONOURABLE

ANDREW BONAR LAI, H.P.,

&c ..

&C..

&c...