1928-09-19 — Page 5

Page

CANTON'S NEW COINS.

BUSINESS CRISIS IN SWATOW.

* GOOD QUALITY BUT THE MERCHANTS AND THE

EXPENSIVE "JOB.

MERCHANTS ENTERTAINED AT MINT,

[FROM OUR CHINESE CORRESPONDENT. }

Carros, September 18th. The new 17th year coine, made from the melted 13th year twenty- cent pieces, are now making an appearance in the Canton market. The facial appearance of the new money is quite different from

that of the old. Instead of having English words on them, they only In the bear Chinese characters. front is engraved a picture of the

late Dr. Sun Yat Sen in bold relief, On the back the words "Twenty cents" and written in Chinese in addition to the date. Around the words" Twenty cents" is a design of a wreath of corn symbolizing prosperity. The new coins have slightly smaller diameter than the old ones but are, therefore, thicker which makes the weight exactly the same, being one mace, 4.4 canda- reen. The composition of these new coins is 70 per cent, silver and 30 per cent, copper.

$40,000 A DAY WITH RUSTY

MACHINERY.

1,

The Canton Mint is daily turn- ing out between forty and fifty thousand dollars of these new coins. The capacity output of the Mint, according to Mr. Wang King Hang, Managing Director of the Mint is $100,000 a day. At present this cannot be realized, however, owing to the rasty condition of the machinery

"TAX BUREAU.

EXPORT STOPPED: THREAT TO CLOSE ALL SHOPS.

PEOPLE SUFFERING.

[rao ova OWN CORRESPONDENT.]

SWATOW, September 14th. The officials here appear to do as they like. They are certainly not controlled by Canton and owing to corruption, and squeeze business is As soon as exceedingly difficult. ond trouble is settled another crops up and the people generally are having a very bad time.

1

THE HONG KONG DAILY PRESS. WEDNESDAY, SEPTEMBER 19th, 1928.

CANTON GOVERNMENT TAXES.

LONG EXAMINATION BY PUISNE JUDGE.

"YOU MUST HAVE INFLUENCE TO GET A GOVERNMENT JOB."

PECULIARITIES OF CANTON

ADMINISTRATION.

An interesting case involving the special taxes raised by the Canton Government for the Northern Expeditionary Force, was heard yesterday in the Summary Court before. Mr. Justice P. Jacka

The plaintiff, Ching Po Choung, a medicine dealer, claimed $1,000 for work done in collecting taxes for the Canton Govern ment, froin Lee Kwong Yip, of 41, Des Voeux Road West, who' had employed him as a collector. The defence was that Yip was an agent of the Canton Government and, therefore, not responsible for the claim.

His Lordship found for the plaintiff and made an order Yoz immediate payment.

Mr. F. X. d'Almada was for the plaintiff and Mr. C. A. S. Rues for the defence.

*སྐ

At the moment the mercantile community and the Surtax Bureau are at loggerheads and there is no saying how the quarrel will end. It will be useful to recall the origin

Mr. Russ caused some amusement at the opening af the case by ob and record of the Bureau in order that the present position may bejecting to the admission of the understood. At the end of 1996, it document, signed by the defendant will be remembered, the Canton in which he agreed to pay the Government with the consent of the claim if found correct, on the Foreign Powers, and particularly ground that it was not stamped with the consent of Great Britain. He said he was bound to bring to. introduced an inland surtax of 25

His Lordship'e notice anything per cent on both imports and that deprived the Colony of its exports-this being a half of what

WILX

charged by the Maritime Customs. It was argued that the surtax was necessary to raise money to call off the boycott and to pay the strikers, but it was promised that when the strikers were paid their compensation the surtax would be withdrawn. It was only to be a

temporary measure.

After all the strikers had been disinisted from their quarters in Canton, however, the Government said the surtas must be continued because funds were urgently needed to pay for the Northern expedition Then the Northern expedition came to an end, but there was no sign of the removal "of the surtax, "on the contrary its collection was made

revenue.

Plaintiff's Story. Mr. d'Almeda said that defendant might have been an officer of the Canton Government or he might have had the monopoly from the Government for the collection of

if he wished in Hong Kong as the is my fuki and in the Chinese Government you go from one step (rank ) to another."

-Fuisne Judge Cross-examines.

His Lordship: You say that you were a servant of the Canton Gov ernment-Yes.

For how long Four or years.

%

five

Are you still -Not at the pre- sent, but I am looking for another post.

Why are you not still in their employment 1-If the Government" will not give me any office I can not stay in their employment.

INSANITARY WELLS.

ADVISABILITY OF FILLING THEM IN.

SANITARY BOARD POSTPONES DECISION.

The questions asked by Mr. J. P. Braga, about Kowloon Tong and the state of the public bathing beaches, at the meeting of the Sanitary Board yesterday together with the answers he received, ap- pear in another colump. The only other business of public interest was in connection with wells situ ated at Nos. 6 and 8, Wing Kut Street, about which there was cortale divergence of opinion.

"It appears that these wells were built in 1994 with an idea of eup- plying the water for & flushing system which was subsequently re- fueed by the Board. The wells. which are covered in are only used by the residents of the district in times of water shortage and when examined recently were found to be in s most insanitary condition. The state of the water drawn from

them was such that the Chairman, who advocated filling uy the wells, said he did not feel that thế Board, if they had a sample of { the water before them, would feel it necesary to have an analysin mado before deciding on its insani- tary properties. He pointed out that it would be next to impossible to enforce an order that the water should only be used for washing purposes.

and the small number of employees against Marshal Chang Tso Lin. Kong all account books and papers. months at a salary of $220 per for drinking purposes he believed

at work. But the Managing Diree ter is hoping to increase the output to the capacity as soon as possible. At present there are about 50 staff

members and about 150 labourers working in the Mint.

more

stringent.

Hitherto the

Inland Tax Bureau, have simply In order to inspire confidence made th merchants pay hall of the routine Customs charges. Now they among the merchants with regard want to start their own examina to the new coins, Managing Direction shed where packages of goods tor Wang and Mr. Ip Tsing, Vice- must be opened.

As may be imagined there are -President of the Central Bank of

a thousand and one ways of squeez China, invited the leading mering by the tax inspectors. If there chants to an elaborate banquet at is the slightest mistake on the part of the merchant he will be liable the Mint premises. After the feart

to a heavy fine or imprisonment. these merchante made a therough It is impossible to go into all the inspection of the machinery and details of the method of collec" processes of coinage. Tests tion, but it may be stated that the utmost to find faults with the mer- chandise.

saw the were

taxes. In any case he had employ ed the plaintiff as a sub-officer for the purpose of collecting taxes in Kingchoy and Nguishow, Heihow.

The plaintiff went to those places, but in November, last year, was re-called by the defendant and ordered to close the branch office to Hoihow, and bring back to Hong In the meantime, the plaintiff bad made disbursements in the form of wages. However, be returned to Hong Kong with his accounts. which he had made on behalf of the defendant. He rendered them to the defendant who gave an ne knowledgment in which were words meaning that he had to get his partner to verify the account be fore paying it. Mr. d'Almada added that they knew of no other partners, the plaintiff was engaged solely by the defendant."

within Jurisdiction Of The Court? His Lordship asked whether the case was within the jurisdiction of the Court,

Jack Of All Trades.

Mr. Wong Kwong Tin said that The witness then went on, in answer to His Lordship, to say considering the hardships which that he had not been employed the people of such districts had to continuously during the last four put up with during a water short- age he felt it undesirable to cut or five years. He had been in both military service and in the Shipoff this supply. He mentioned ping Department. He was a sort that he had observed people using water from the gutters for drink. of writer in the 5th division for half a year and left to take a bettering, which water he felt must be job as a trafie inspector on the tili more insanitary, and that as Railway. He held this job for six long as there was any fresh water month with no perquisites, and that the well water in question bad left because his immediate would only be used for cleansing. and its use for this purpose would superior had resigned and as he had been employed by this man help to conserve the small cupply

of drinking water. he had to follow. For three months"

The question was held over till he was without employment and then found a post in the Shipping the next meeting of the Board.

sub-manager Board at Swabue as

He Those present were:-Mr. W. J. Carrie (Chairman), Dr. G. W Pope (Medical Officer of Health), Dr. W. V. M. Koch, Dr. S. C. Ho. Dr. S. W. Teo, and Messrs. J. P Braga, Wong Kwong Tin, and J. J. Watson (Secretary).

at a salary or $180 a month. had to issue licences to junks and other vessels. He stayed for one month and then returned to Canton where he was out of work again for three or four months. Before ob- taining the post of tax collector over a big district. He was ap- pointed sub-manager of the district by the Chief of the Northern Ex- peditionary Force Office. His work was to raise funds for the Northern carried out the work according to

conducted by experienced inspectors unquestionably do their had submitted himself to the junExpedition by taxes on boats and heed to assist him in collecting taxes

chemists in their presence, all of which showed that these new coins are up to standard as far as the percentage of silver was concerned.

· EXPENSE TO GOVERNMENT.

new

Do

At first the merchants contented themselves with sending in petitions to the Director of the Inland Tax Bureau, praying, that the scheme should not be put into

These petitions had force effect. Then followed a strong pro test, but little notice was taken of this. Finally the merchants called meeting at the Swatow Guild, at which 48 trades were represented, and a resolution was passed that no export cargo would be shipped as from the 12th inst., until the scheme of the Inland Tax Bureau had been cancelled. It is the in- tention of the merchants to stop importing also if the Tax Bureau does not quickly give way, and if the worse comes to the worst the merchants, it is stated, will order all the shops in the town to be closed entirely.

According to the finance author ities, the reminting of the 13th year coins is an expensive pro- position for the Government, Although the old coins are pur chased by the Government accord. ing to their percentage of silver, the Government has never taken into consideration the cost of the undertaking: In reminting ten million dollars of new coins, the total cost in overhead expenses has been extimated to be in the neigh-

There the matter stands at the bourhood of $400,000,, If twenty moment of writing. It was rumour. or thirty million dollars are to be ed last evening that the Director of the Surtax Bureau had promised reminted, the Government will lose the Chamber of Commerce that he nearly a million dollars. It is not would make the regulations cover- known how many new coins willing the collection of tax less severe, but the boycott enforced by the be issued. The authorities are of merchants against the Bureaa is the opinion that this will depend still in force and it is too early upon the amount of the rejected yet to predict what the upshot will

be. 13th year coina taken in:

The Government has been collect

ing the unwanted 13th year coins for the past 15 day The total amount taken in is now $2,287,818. The money changere "and peddlers are doing good business in buying "these coins from the people at from 15 to 20 copper cash for each twenty-cent piece, the exact price depending on its sound as well as

it appearance.

It is the general opinion that if all the rules drawn up by the Bureau are insisted upon the shops would have no alternative but to close because the extortions are un- bearable.

FINANCE BUREAU.

It is also announced that the Director of the Swatow Fince Bureau intends to introduce a tax

Mr. d'Almada said that defendant diction of the Court. The plaintiff, moreover, was appointed in Hong Kong, he had rendered accounts to the defendant in Hong Kong, and if the defendant wanted to claim the Court had no jurisdiction, he should have entered an appearance under protest-

Mr. Russ said that the defendant Saw notice in the newspapers

with regard to the case as a result of which he actually came to Hong Kong to contest the matter and had submitted to the jurisdiction of the Court.

instructions.

How To Collect Taxes. The Government knew how much money he collected by a counter- foil system. He had a book with four perforated slips, two were re- turned to the Canton Government, one was given to the boat and onc kept in the District Office. An inspector visited the district at intervals to see that he was not raising money illegally. He made his return of cash to the Govern- ment when he had collected a good sum, about $1,000, in his office în Heibow through a messenger whom he sent to Canton by boat. He was responsible for this man, and had asked no security from him as he trusted him. He, on the other hand had given the Canton Govern- by the defendant. Cross-examined ment 12,000 as security, by Mr. Russ he denied that he had collected taxes for the Canton Government.

Mr. d'Almada commented that he had written several letters to the defendant by whom they had been received in Hong Kong. He knew very well of the intended case, added Mr. d'Almada.

The plaintiff in the witness box told the story of his engagement

"Diners From Other Governments."

Mr. Russ Have you ever heard His Lordship: This was rather of private people walking about an important job in a big arca - collecting taxes without getting the Yes. police on their track 1-I haven't heard of that but I was engaged by the defendant personally.

Plaintif agreed that the defend ant was acting for the Cantan Government and that he was the head of a sub-department for the collection of taxes. He further ad- mitted that the order he received for the winding up was signed by the defendant as head of the sub- department.

Defendant In The Box,

You were made a superintendent after only one month's similar ex- perience in Swabue 1-The Canton Government differs from other Gov You have to get jobs ernments. there by a certain amount of in- fluence.

And pay money too, I suppose? No, only a deposit as security. Dimculty In Getting Deposit Money

Back.

Did you get your deposit back No, there is always difficulty in getting deposit money back from the Cantan Government.

the plaintiff whom he had employ over a certain district. "The Whole Thing is Grotesque!" Mr. C. A. S. Russ is his submis- sion for the defence, which was conducted in a particularly lively: manner, said that the claim was

The plaintiff had preposterous. been in the office for several months as a collector and could not account for any money he might have rais ed. He had collected $300 odd and put in a bill for over $1,000 The whole thing was expenses. grotesque and the plaintiff must, if his story was true bave been the most expensive tax collector any government had ever employed.

He submitted that his client's action had been perfectly reason- able when the claim was present- ed, he had said, as every other business man would, that he would pay if it proved to be correct, and. had signed to that effect.

Mr. d'Almada, in reply, pointed out that the defendant had signed an acknowledgment that he had compared and checked the account

and had said in the witness-box that he was responsible for the men employed by him as assistants. The defendant was not a Government Had be agent but & tax farmer. been a Government Servant he would have signed subject to the approval of the Canton Government not of his partners " who were in fact his guarantors. Plaintiff's Story More Reasonable. His Lordship giving judgment said

The plaintiff's case has been call. ed grotesque by the defence, but I am inclined to think that tho defence is even more grotesque, I am of the opinion that the plain- tiff's story is the more reasonable of the two.

The afternoon session opened with the defendant in the witness- box. Mr. d'Almada questioned him Tour pay was $300 a month, you with regard to the document which worked six months which menus. he had signed. The defendant said $1,800 and your deposited $2,000; that he had draughted a form of that means you were $200 down

Judgment was given for the plain.. to be known as the Capital tax." acknowledgment of the money claim. Yes.

Mr. d'Almada asked for an order The intention is to collect one rered for to which the plaintiff had Witness continued, that he had cent, per annum on the capital of objected. He then wrote at the made applications to the Govern each shop, bark. firm or company plaintiff's suggestion another ac- ment but they had no money to for immediate execution the samë Government has issued in this Port. For this purpose he knowledgment in which he agreed repay him. He had also applied to night, as he said otherwise the de The

to pay the money if after investiga- the Northern Expeditionary General fendant might go away to Canton reserves to himself the right to general warning to the people not scrutinize the private, ledges or tion by his partners it proved to who had appointed him, but this without paying.

be true. He had warned the plain- gentleman told him that his security. The Counsel for the defence to discriminate against these new balance sheets of all the business coins in any way. They must be houses. Naturally the merchants tiff that in any case he could not money had been handed to the opposed and asked that the case persed with it." He had promised Saturday and that payment might accepted at face value. The polics resent this most strenuously, and "pay the money without the consent--Finance Commission who had "dis might be haard in chambers on

their resentment is easily under of the Canton Government.

Replying to Mr. Russ, the witness his guarantors to pay back their be made by instalments then to be stood. If a firm was in difficulties

arranged. the exposure of its private ledgera said he had reported the matter money when his deposit was refund-

His Lordship made an order for might force it quickly into bank to Canton but they had said heed to him. He owed no one but

could prosecute the plaintiff himself "Continued on ness Column) immediate pagraent jupt

have been instructed to apprehand any one who dares to refuse to accept or discount the new coinage

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