CO129-503-5 Hong Kong and Shanghai Bank Ordinance- 1927 3-12-1926 - 31-12-1927 — Page 11

Copy.

HONG KONG AND SHANGHAI BANKING CORPORATION

The Honourable

The Colonial Treasurer,

Sir,

Present.

Hong Kong, 3rd November, 1927.

Re New Ording..ce - Your Ref.34/1926 and

C.S.0.3146/1926.

I have the honour to acknowledge receipt of your

letter of the 28th September, enclosing copy telegram receiv- ed from the Secretary of State with reference to the proposed New Crdinance of this Corporation.

With regard to the words "and minting of" in

Regulation 3 (1), it is not the intention of the Bank to

convey a desire to own a Mint but to be empowered to purchase silver bullion and hand it to one of His Majesty's Mints to

be coined into British dollars if required.

This is not a new power but one it was thought

Might be specifically mentioned.

If the Secretary of State wishes the words deleted or prefers to word the power in some other form, the Bank is quite prepared to accept his amendment.

With regard to ss.4, it is agreed that this gives to the Corporation very wide powers. In modern banking business, however, it is contended that in order to meet all eventualities, especially of trade in the Far East, it may in certain circumstances be necessary to acquire, if not by purchase by other Leans, and certainly to participate in the

business