CO129-555-6 Banking crisis 24-9-1935 - 18-10-1935 — Page 15

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decided, which might make the difference between the ultimate

solvency or insolvency of the group as a whole. Then, no doubt,

their illiquidity could be dealt with.

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As regards future regulation, the personnel of a Committee

has been settled which I think will be a strong one; but it is not proposed to set it up formally or even to hold full but informal

meetings at the moment, because we are told that this would become

known and might increase uneasiness here. T.V. Soong shared this

view, when he mentioned the subject in Shanghai. So we have so far

only been discussing in little conspiratorial groups of two or three

at a time, and I have made out a rather lengthy questionnaire at the request of the Chairman, for members to brood over. You may like to have copies of this, and I am sending two or three via Suez.

The Treasurer tells me that they have found a mistake in the conversion of trade figures into sterling, in the table which was enclosed with my report of July 23rd. Exports to Other Countries for March, 1935, should be £1,239,837, instead of £1,861,939: and the total for that month's exports should in consequence be altered from £3,337,619 to £2,715,517.

I have got a good deal of stuff about volume of trade, cost of living, etc., which I might send with this; but all that

has rather receded into the background, and I will make a separate letter or memorandum of it later if it is likely to be wanted.

Yours ever,

Norman Young.