CO129-613-5 Transfer of registration of China Companies from the United Kingdom to Hong Kong 25-2-1945 - 4-12-1945 — Page 18

18

Hong Kong dollars which the Chinese National overnment would be unable to touch.

5. Eually clearly the present position in which the law of Hong Kong is openly disregarded cannot be permitted to continue and I have been seeking ways and means to put the matter right without undue repercussion. It is considered that the following

solution might moet the case.

6. Any ex-China Company complying with the following regulations before the 31st December, 1948, will be deemed to have properly constituted a branch register by the 19th of September, 1948.

(a)

(b)

7.

In the case of Companies who have already obtained permission under Section 103 of the Companies Ordinance, 1932, but have not yet specified which shores are held on the principal and branch registers respectively, such specification shall be made with all convenient speed nd the Registrar of Co.....pmies and Estate Duty Commissioner shell be informed of the shares held on the principal and branch registers respectively.

In the case of Companies who have not obtained permission, auch specification and information as aforesaid shall be deemed to constitute application for permission to open a branch register and the Registrar of Com anios will on payment of the fee reuired by sub-section (2) of Section 103 of the Companies Ordinance, 1932, grant permission which will relate back to the 19th September, 1948.

In the case of both types of Company the Directors shall subject to the following rules have complete discretion as to whether a shareholder is to be placed in the first instance on the principal or branch register. In the case of any shareholder who is a Chinese National and who on the 19th September, was shown by the register formerly kept in China to have an address in China such shareholder shall be placed on the branch reister unless, prior to the 19th of September, he had expressed his desire to be placed on the principal resister or to be registered in liong Kong and the Directors are satisfied that this can be achieved without breach of Chinese law.

8.

In the case of any shareholder who is not a national of China but is shown by the register to be resident therein or in the case of a Chinese National not shown by the register to be resident therein (E.. Hong Kong Chinese) such shareholder shall be placed on the brunch register unless prior to such specification he shall or shall have expressed his desire to be placed on the principal register or to be registered in Hong Kong and the Directors are patisiled that this can be achieved without breach of Chinese law.

9. In the case of non-Chinese shareholders not shown by the register to be registered in China they shall be placed on the principal register unless prior to such specification as aforesaid they shall have notified or shall notify the Directors of their desire to be placed upon the branch register,

10. The Directors shall be under no obligation to circularise shareholders resident in China or to advertise these regulations or their proposed course of action in China.

11.

I shall be glad to be informed by telegram whether you