CO129-425 - Governor Sir May - 1915 [10-12] — Page 38

COPY.

Enclosure .

American Consular Service.

The Honourable

sir.

The Colonial Secretary,

Hongkong.

Hongkong October 13, 1915.

C.

56945

¡RECO

REG 10 DEC 15

33

With reference to the correspondence had

between this office and the Colonial Government with regard to

interference with the shipment of goods for lir. J. A. Kahl of New

York and a similar case involving the business of Mr. Alfred

Richter and communications of Messrs. Fraser and Company of Shanghai, and with regard to the general subject of the inter- -ference on the part of the British Govemment with neutral trade passing through Hengkong, I have given such consideration as has bem possible in view of the limited authorities available for consultation in Hongkong. With a view of minimizing so far as possible any friction that may arise in connection with this subject I think it best to state frankly to the Colonial Govern-

-ment my views thereupon.

It seems to me safe to assume that, while trade passing through the Colony of Hongkong is not subject to the same rules as that passing on the high seas and while commanie -cations through Hongkong by cable or otherwise are naturally subject to the censorship and contrel of the Hongkong Government so far as it cares to exercise its rights in the premises, at the same time the British Government, both for its om purposes and in keeping with the treaty obligations in the premises, is as anxious to maintain normal trade so far as may be possible in and through the Colony as it is on the high seas. I realize too that under the policy announced by the British Government in Orders in Council and by proclamation it is incumbent upon the

Colonial Government to strictly scrutinize all dealings which

may