CO129-557-9 British protection of companies in China 26-3-1936 - 27-2-1937 — Page 133

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8.

now experiencing over the bankruptcies of such concerns

as the Bank of Canton and National Commercial and Savings

Bank (Please see your despatch No.406 of Cetober 15th and

my reply No.429 of October 29th.)

15. If the proposed amendment of the Order-in-Council

is not to be rendered futile in respect of these Chinese

British companies it will be necessary to limit severely

the number of Chinese who are accorded full British rights

in China. I can only suggest that we should, in this

matter, apply strictly the dual nationality rule and only

accept as British subjects for the purposes of our local

company legislation those Chinese who have received

dena tionalisstion certificates from the Chinese Government.

It must be admitted however that this will mean the

exclusion of practically all Chinese and all the Hongkong

incorporated Chinese companies now on the register.

16. This and the other suggestions I have made above

would require the most careful elaboration and drafting

for incorporation in the order-in-Council and I presume

that Your Excellency would not wish us to embark on this

labour in Shanghai until the principles involved had been

considered by and received the approval of the Foreign

office.

I have the honour to be,

sir,

Your Excellency's most obedient,

humble servant,

J. F. Brenan,

(sa) J.F.

Consul-General.