CO129-437 - Public Offices - 1916 — Page 633

631

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TRANSLATION.

Extract from Government Gazette

Cabinet Order No. 2,

Kay 12th 1916

Binge the outbreak of the war in Europe the gold

market has been stagnant and comkeree has consequently

been on the decline. @wing th the internal troubles in

our country the means of livelihood of the people have

become more restricted than aver. Our hearts are filled

with serrow when we ponder over prevailing conditions.

A custom prevails in foreign countries for the notes of

Government Banks to be rendered temporarily inconvertible,

at a time of extraordinary financial stringency, and the

withdrawal of deposits forbidden in order that the

situation may be maintained and specie preserved and the

various trades supplied with funds. Such an excellent

device being of far-reaching benefit should speedily be

copied by China.

The Kinistries of Finance and Communications shall

forthwith instruct the Bank of China and the Bank of

Communications that from the date orders are ipsmed all

payments in cash must be suspended whether for exchnage

of the Banka' notes or cheques XIX against funda deposited

with the Banks. This order shall come into force immedia-

tely and shall continue until the general situation

becomes more settled. The Banks shall seal up all the

silver reserve and deposits now lying in their vaults

and shall be responsible therefor.

As regards the local pladom in the Proviness and

special Administrative Areas where branches of the said

Ranks