CO129-629-4 Commerce and Industry Department- supplies branch. Includes a statement of accounts for May 1946-March 1950-... 1-11-1951 - 31-1-1952 — Page 14

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LOWE, BINGHAM & MATTHEWS. HONG KONG

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Opening commissions collected by The Hongkong

Bank are credited to Government under reference of

clients' name and although the Japan Trade Section have

copies of all Letters of Authority issued by The Hong-

kong Bank giving clients' names, it was explained to us

that it was almost impossible to verify that all com-

missions had been credited without having the Letter of

Authority number entered on the Bank statement.

To complete our check of commissions received

from The Chartered Bank in respect of Letters of Auth-

ority opened during December, 1950, we asked that a

letter be forwarded to the Bank, requesting the desired

information. This was done under date 2nd August, 1951,

and on receipt of the details from the Bank we were able

to satisfy ourselves that all 1% opening commissions due

from this particular Bank in December, 1950, had been

credited to Government.

We are unable to appreciate why the Japan

Trade Section staff did not completely verify that all

commissions due had, in fact, been credited as, in our

view, this would have involved little trouble had the

necessary arrangement been made to obtain all necessary

data. We strongly recommend that this matter be rectified.

In view of the responsibility placed on parti-

cipating Banks regarding the collection and paying over

of all commissions, etc. due, we decided to accept certi-

ficates from the Banks to the effect that they had duly

collected and paid over all commissions, etc. due to

Government. As The Chase Bank is no longer operating

in Hong Kong, it was not possible to obtain their cer-

tificate but from our enquiries and review of the inter-

nal check existing in Japan Trade Section we have no