CO129-557-9 British protection of companies in China 26-3-1936 - 27-2-1937 — Page 98

2.

98

Shanghai, the kegistrar of hipping has discretion to

refuse registration because the company's principal

place of business is not established within some part

of His Kajesty's dominions as required by Section 1 of

the Merchant shipping Act. The principal office of the

Oversea Chinese Banking Corporation Limited is however

in Singapore. The company's letter to me does not, of

course, contain sufficient information on which to

register this launch, but provided the prescribed

requirements are complied with it would seem that I

have no discretion to refuse, and in fact I would have

a statutory duty to register the launch under Section 9

of the Chine (shipping Registry) Order in Council 1904.

4. If the launch were registered it would be

entitled to fly the British fing and if e vessel flying

the British fisg gets into difficulties with the Chinese

authorities, as may easily be the case with such #

launch at Amoy, it is undesirable on the general grounds

of the prestige of the flag for the British authorities

to refuse intervention on its behalf. We should then

have a company from which protection has been withdrawn

owning a launch which is to be protected. I think,

therefore, that we anould use such pressure as is

available to dissuade the company from proceeding with

registration, and with this in view I would call

attention to other enactments which might be invoked

for the purpose.

5.

The Amoy Consular District General Regulations,

Section 7, provide that if any British launch engages

/in