CO129-530-4 Development of Canton to Kowloon railway 1-12-1930 - 1-12-1930 — Page 29

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in Banking from which they had been enable to obtain

any satisfaction.

In a letter to that department,

naxely the caronasing Commission, dated 5th August

1980, Meears, Bowden stated:-

"Gaarantes: Although we have been in toaca

with Canton, and supplying their requirements for over

20 years (and save been shipping timber elsewhere for

some 30 years), which knowledge would we traat give

you confidence, we asked the Bank of Australasia to

amole advice regarding os - - we trust you received

the semezre accordingly. If guarantee desired, we

can no doubt arrange in suitable way, but the banka

here are not accustomed to giving guarantees, Under

frasect conditions we are not prepared to inaar sost

of remitting amount to Chine as deposit, bat will, if

desired, consider in exchange for contract and eredit,

lodgement of bond here pending completion of business".

An the negotiations have been conducted

loour

direct between the firm and Banking it will be obvious

that I say not be in possession of copies of all the

sest important relevant papera, From those in my

pornensica, nowever, it is difficult to comprenend

the apparently obstructive taatios of fanking.

16th October the Farolasing Committee telegraphed to

the Managing Director of the Failway, Canton, "Contruot

for 60,000 Australian sleepers was setled more to E

a month ago, but nowdene broke their promise by

refusing to put in the anstralian Bank a cash deposit

of 5% of the value of the contract

we have

cabled/