CO129-433 - Governor Sir May - 1916 [5-6] — Page 382

4.

:

CONFIDENTIAL.

380

ہو

HONGKONG.

C

32770

RECE

Rea? 11 JUL 1F:

GOVERNMENT HOUSE.

31st May,

1916.

gir.

>>

In continuation of my Confidential Despatch of

the 8th instant, I have the honour to transmit the enclosed

copy of a telegram addressed to me by the Heads of the proposed Military Government Kwan Mo Yuen for the four Provinces Tumman, Kweichow, Kwangai and Kwangtung. I have of course ignored the document. There is no outward evidence of any serious intention to establish such a Government in the Kwangtung Province.

2.

The trade of the Colony is still very seriously hampered by the disturbed state of the Provinces of Kwangtung and Kwongeai. The concentration of troops on Canton was carried out at the expense of the policing system in the country dis- -tricts; this and the serious fighting at Kong Mun, Shek Ki, Waichow and elsewhere has resulted in the usual vicious circle

of more robberies, less trade, and more unemployment. Many of the well-to-do business men have temporarily left the province and their businesses, waiting for greater security before reopen- -ing: bearing in mind that all the political parties are notoriou -ly short of money even for the payment of their troops. The unfortunate silk industry, which suffered seriously in last year's floods, seems likely to suffer again by the great re- -duction in the orders from European countries. The rapid

fluctuations

ARE RIGHT HONOURABLE

ANDREW BONAR LAW, M.P...

&c.,

&c., &c...