CO129-552-6 Traffic of arms to China 2-1-1935 - 27-12-1935 — Page 363

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1st January 1934 to Mr. Ingram at Peking, a copy of which

was transmitted to you under cover of Foreign Office letter

No. F 7909/160/10 of the 3rd January, 1934: "While the

"Governor can insist on the production of a

"before permitting the re-export of arms to China

"it is only in exceptional circumstances

"interfere

• •

huchao

that he can

with a direct consignment of arms by a

"foreign firm to South China via Hong Kong provided that the

"original or a certified copy of the original contract can

"be produced".

Again, in Hong kong confidential despatch

of the 17th May 1955, a copy of which was forwarded to this

Department under cover of Colonial Office letter No. 13702/43

of the 12th July 1933, the Governor explained that certain

aeroplanes "were clearly entitled to the full benefits of

"the Convention since it had been established by contracts

"produced

that the machines had been ordered in the

"United Kingdom by certain persons or authorities in Canton

"and to that extent they were obviously 'in transit' on

"their arrival in the Colony". It is not clear whether

the production of the contracts between the actual exporters

in America and the actual final importers in China, referred

to in the Governor's despatch, is an invaribale requirement

or whether the Hong Kong authorities are satisfied by the

production of a contract or contracts only as between the

Hong Kong firm which is acting as an agent and the importers

in China.

4.

If the position is that there are two sets of contracts,

one set between the American exporter and the Hong Kong firm

which the American exporter shows the United States Government

in support of his declaration that the export is destined for

Hong Kong/