CO129-510-15 China (Companies) order in Council- 1925- correspondence 19-4-1928 - 31-12-1928 — Page 37

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3.

consent of the Minister or such other restriction as may

be thought fit, to keep a Local Register of shareholders

in London or elsewhere.

From the shareholders' point of view, the inaugura-

tion of a local Register in London would immediately open

to them a much wider and freer market, and by relieving

the congestion that exists on the market in ihanghai would

render the realization of sh rec, ore espæilly those

belonging to decenced estatue, a much more simple matter.

The following figures will illustrate the effect in

Changhai of a substantial rise in the market quotation

for shares. Dealing with Rubber Companies done, and

there are many other much larger nú pore important

interests, the issued Capital of the hangh i ubber

1

Companies 18 some maels 17,000,000, the present mirk et

vlue is approxim tely faels 35,000,000, but in December

1925 the market value rose as high as Taels 75,000,000 an

appreciation of some felв 40,000,000 which in : merket

like Changchɛi where money is limited, camot be absorbed

end can only e represented by an incensed value on paper

And not in cɛm.

From the standpoint of the british iressury, there are also many advantages that would accrue from the grantin{

of the facility now neked for.

In the first lace, shares in the english register

passing on anth would form part of the estate in England,

and would be liable to onlinary rob te and Tuccession

duties, instead of the Luch lower scale of duty charged

(in the case where the holder is a ritish subject only) on

such shares in China. Income tax would (1ɛo be payab le

on all dividends from such shares.

Furthermore/