CO129-429 - Public Offices & Others - 1915 — Page 38

1.

Part I.

C. M

1.

At the end of October 1914 all German subjects in Hong-

Kong were given a week's notice to leave the Colony. Those of

them who were capable of military service being interned in a

concentration camp at Kowloon, The affairs of the German Firms

were placed in the hands of British liquidators, who are now

proseeding to wind up the business in the interests of British oreditors. Unfortunately no effort was made to prevent the private files and ledgers from being taken away, and consequen- tly in most instances, all confidential matter such as Balance Sheets, Profit & Loss Accounts, Agency Agreements and private correspondence files were abstracted by those German subjects who left the Colony which renders it exceedingly difficult to

FTOB gange the position of many of the most important Houses. copies of papers which have been found in the private safes, and a careful enquiry into the procedure of each Firm, it has been possible to secure a general idea of the nature, extent, and value of German trading in South China, but before procee- ding to deal with general methods I would submit the following items of information with regard to individual Firms:-

As that

Arnhold, Karberg & Co, appear to have conducted a general mercantile trade much on the same lines as the British Housos in the Colony. The private lodger was taken to Shanghai, as it has not been possible to ascertain the exact profita. From information received, it would appear that the profits of this branch were negligible, and the Hongkong House was more or less a feeder to Canton and the North China branches.

Imports. Good piece goods business with Manchester financed mainly on the London Acceptance basis by the Hong- Kong & Shanghai Banking Corporation and the Chartered Bank. The documents were handed over against acceptance on the ins-

The Sundries trade (mainly socks tructions of the Drawers.

and paper) was financed by House Drafts.- A. K. & Co. London on A. K. & Co. Hongkong. Documents against acceptance.

Nett Profits on Imports approximately $ 60,000 per annum

$ 40,000

of which piece goods

Sundries

-

* 20,000.