1941-05-14 — Page 5

Page

HONGKONG DAILY PRESS

BANK OF CANTON FINED $5.000: TRANSACTION WITH ENEMY ALIEN

Mr. H. G. Sheldon, K.C., in giving his decision yesterday at the Central Magistracy in the case in which the BANK OF CANTON, LTD., No. 6. Des Voeux Road Centrai, was summoned for enabling an enemy alien in Shanghai to obtain money or credit, said that at Arst he thought that the offence was so serious that he would have no alternative but to impose the maximum penalty of $10,000.

But, after hearing the full statement by the Hon. Mr. M. K. Lo who represented defendant. Mr. Sheldon said that ne realised the" extraordinarily peculiar position of the Shanghai branch of the Bank and came to the" conclusion that it was an unfortunate affair and that the Hongkong Office did not deliberately intend to do anything wrong.

For these reasons, he said. he felt justified in imposing a fine of only $5.000.

The

Italian Bank for China in Shang- hai, this was received and attend- ed to by the department corcern- The summons against the Banked as a matter of routine. was for dealing, on December 3, Assistant Manager had some idea 1940, without lawful authority, that the Hongkong office, should with US$35,000 for the purpose of have no dealings with the Italian enabling an enemy the Italian Bank. But he thought that as the assets were those of the Shar ghai office, and as the Hongkong office had to

according pay out Shanghat directions; ha, wired back -that the Bank could only wire to pay the Guarantee Trust but could not mention for whose account.

Bank of China, Shanghai, to ob- tain money or credit.

Mr. T. J. Gould, Crown Counsel. who prosecuted, said that on cer- tain information. enquiries were directed to the Bank. As a result of replies, a warrant was taken out, under which certain docu-

obtained ments were

from the

Bank. The case was best given in

the documents themselves.

There were telegram's exchanged between the Shanghai branch. the Hongkong Head Office and the Guarantee Trust Company in New

York

telegram a

to

As the result of censorship re quirements owing to the War, all telegrams have to be in plair language, and be censored. All the telegrams in this case were sent openly and your Worship will ap preciate that this fact is. strong evidence that the Bank did not appreciate the legal position, and had no mala fides.

GENERAL

WAITING FOR THEIR TURN

Fart of the largè crowd at the hice Depot at Central Market---

(King's Studio).

GOVERNMENT IS PETITIONED TO MODIFY RICE MONOPOLY SCHEME

The price per picul for rice at rice-dealers' stores yesterday fell to $13.50, or a dollar below the officially controlled price obtainable at the "Fair-Price" rice depots.

This is attributed to the efforts of the Social Work Committee, which, under the direction of the Rev. H. A. Wittenbach, has set up rice selling centres in various parts of the Colony for the purpose of disposing rice at Government prices.

Jockey Club Donations

The Stewards of the Hongkong

Many Chinese rice dealers are now selling below Government fixed prices, though the rice 'being disposed of in this way is for the most part of mixed grades.

During the first two days of operation, the Social Work Com- mitee centres sold enormous quan-

TELEGRAM RECEIVED

On Dec. 3 last, the Head Office

After these cables the Hongkong received

from the office then learnt that the pay- Shanghal Branen asking them to ment was made as part of an ex-Jockey Club have voted the follow-ties of rice to Chinese who came If the Shang-ng charitable donations for the in great numbers to take advantage

of the cheaper prices.

Sales fell off, however, yesterday,

transfer US$35,000 to the Guaran-change transaction. tee Trust Company to the credit hal office had not carried out this current year!-- · of the Italian Bank. The Head transaction numerous other banks A.K. Benevolent Society, $5,000; the same prices and in some cases Office then cabled its agents in in Shanghal could have done so. Little Sisters of the Poor. 3,500; cheaper rates being obtainable at New York to transact and at the But the Hongkong office has now War Memorial Nursing Home, 5-the ordinary dealers

Two new same time requesting them to given the strictest instructions that 000; Diocesan Schools and Orphan-Fair Price" rice depots were open- cable the Shanghai Branch say there should be no such transac-ages, 3,500: Alice Memorial and led yesterday afternoon, though, at Ing: "We only wire pay Guarantee tions in the future.

Affiliated Hospitals, 5,000; Sators West Point and Warchal, both are Trust Company. We do not men- Directly the proper officer of the Home and Missions to Seamen, 2- tion for whose account."

doing good business. Crown wrote to the Hongkong 1000; The Salvation Army, 2,500; office asking if a remittance had Hongkong Society for the Preven been made to the Italan Bank, the tion of Cruelty to Animals, 1,500; It is learned taat wholesale rice Hongkong once made the fullest Tung Wan Hospital. 2500: Society mercnants nave petitioned Govern- disclosure, and has given the full-of St. Vincent de Paul, 2,500; H.K.ment to modify the monopoly Mr. Gould submitted that in-est information to the authorities. Sodety for the Protectiori of scheme announced last week. The dicative of these telegrams was

NO MORE DEALINGS

Children, 4,000; Poppy Day Fund, petition was submitted by Mr. Lá

A reply was received from the Shanghai Branch reading: "Reply to your cable just received. We

have cabled for whose 'account."

that the officer of the Bank knew

B.S

PETITION MADE

that he was breaking the law by This action is all the more to be 3,000; Sallors and Soldiers' Home, Koon-chan and Mr. Chau Shal-ki, virtue of the fact that he meg-deplored because, early as 2,000: Children's Playgrounds Asso-representing the Rice Merchants” tloned, that they did not say for January 11, 1939, i.e. elght months clation, 1,500: St. John Ambulance Association, through the Chinese

before the war broke out, whose account it was credited.

the Association and Brigade, 2,000; st. Members at Council, yesterday

them.

He further said that he learned Hongkong office had instructed Louis Industrial School, 1,000; so-morning. from Mr. Lo that the Bank was the Shanghai office not to deal clety of St. Vincent de Paul-Blind The petition points out that the not motivated by any desire to with the Italian Bank, and the Home, 1,000; Cheer-O Club, 1,000; import and export of rice constitute impede the war effort, but as they Shanghai office on January 16. Cheer-O Club-Building Fund, 1.- one of the Colony's major commet- did know that they were breaking 1939, had reported that they poo: The Boy Scouts Association etsi activities and will be complete- the law, he asked his Worship to would have no more dealings with Hongkong Branch, 1,000; Canosslan lly stopped by the monopoly scheme impose a severe penalty.

Convent, 500: The Boy and Girls coming into operation. It is sub- Had the Assistant Manager Clubs Association, 1,250; Hongkong mitted that when this happens realised the position and consulted Pleading guilty to a technical the Chief Manager, as he should Anti-Tuberculosis Association. 500; several thousand people will be Centre of the thrown out of employment and Social Service have done, this case would not Churches, 1,000; Hongkong Refugee there may be some fight of capital

Before I conclude, may I say one and Social Welfare Council, 500: Po from the Colony.

the extraordinarily Leung Kuk, 1000; Talpo Rural

PLEA OF GUILTY

offence, Mr. Lo said: Before I

come to the facts of this case have arisen. would like to deal generally with

The petition urges the Govern-

which the Home and Orphanage. 250. Totalment to modify the monopoly

scheme to the extent of allowing wholesale business to continue. Government, It is suggested, should import the rice but permit the pre-]

the Bank's position in relation to word as to the war. This is a Chinese bank aimcult position in and its actions have always beea Bank Ands itself vis-a-vis its $55.500. guided by the conviction that the branch in Shanghal." Although the interests of China and Great Bri- Bank, being incorporated in Hong- tain are bound up, and that the xong and with its Head Office in HEALTH BULLETIN sent wholesalers to sell the rice to cause of both countries Hongkong is for the purpose of identical..

local legislation, deemed to be a The following is the Returns of retalless for the Government.

Ever since the European War British subject, yet its branch is notiñable diseases notified 23 started the Bank has fulfilled its not and has never been regarded having occurred in the Colony

duties in financing businesses in as a British subject by the British during the 24 hours ended at mid- SHOUSON CHOW

Hongkong respective of any Authorities in Shanghal for any night on May 9:-Cerebro--Spinal period of tension or depression purpose whatsoever.

..

WEDNESDAY, MAY 14, 1941.-PAGE

5252525252525252525252525252525252525252525252525257,372.5252525252525

ALARM CLOCKS

LARGE AND BEAUTIFUL SELECTION ON HAND

TIDE

M

ALARM

$1050

BABY BEN "ALARM $16.50

LUMINOUS $21.50

N.;

BIG BEN ALARM

LOUD ALARM

$16.00

CHIME ALARM

$19.00

LUMINOUS

$24.50

LANE CRAWFORD LTD.

All less 10% cash discount

The House of Quality & Service

Write for descriptive leaflets

Silverware Department-

of the

Tel. 28151,

THORNYCROFT

3-TON

Fever, one case; Cholera, three COMMENDED BY 'NIPPY' CHASSIS

through which the Colony has It was on this ground that the cases; Diphtheria, two cases: passed. It has consistently sup- British Authorities refused to in- Dysentery, four cases; Entere GENERALISSIMO ported generously all war efforts tercede on behalf of the Bank Fever, one case: Measles, two and charities. I may mention that when the Hankow branch was cases: Tuberculosis. 53 cases.

Sir Shouson Chow, only quite recently this Bank and taken, possession of by the Japan-

19 who

Its Chief Manager, and Assistant

Chairman of the Hongkong branch For the same reason, whilst Chief Managers, contributed all other British banks and insti-

of the Chinese War Bonds Com- berally towards the purchase of tations are kept fully informed of

The Health Bulletin of Eastern mission, has received a telegram mobile canteens to Great Britain the requirements of British laws Forts for the week ending on May from Generalismo Chiang Kai- of the by the British Embassy, no such is as follows: Cholera; Macao, ahek commending him for his ei-

for which the thanks

ese,

EASTERN PORTS

Secretary of State for the Colonies assistance was ever given to the 10 cases: Small-Pox; Bangkok, one forta in pushing the sales of the were received through HE the shanghat Office.

case; Shanghai, Ave cases. Acting Governor. In regard to the

Last Issue of Hongkong Govern-

NO RESTRICTION

Chinese war bonds in the Colony and urging him to continue such efforts.

The Chinese Central authorities win award Chinese leaders here

ment bonds this was one of the I have told Your Worship that few banks in Hongkong which it was an exchange for another. responded to the issue, and took In this case, Chinese National dol- cabled to Hongkong merely in-who render valuable services in up bonds to the value of half a lars were given in exchange for structing the Hongkong office to pushing China's war bonds sub- million dollars. Its pro-Allled feel-American dollars; I have told Your cable the Guarantee Trust to place scriptions campaign in Horgkong. ings and support are well known. Worship that these American dol- the amount at the disposal of the Taking the lead in the subscrip- I understand that Government lars actually belong to the Shang-Shanghai omce, nothing would tion to the N.C.$1,200,000,000 MI fully accepts this position,

hal Office. I understand that in bave happened,

tary Supply Bonds, Mr. Tam Chun,

THE FACTS

trom

the

the International Settlement, the For reasons already explained. prominent Chinese merchant here, buying and selling of foreign ex-the British Authorities in Shang- has pledged to subscribe to $10,000 Coming now to the facts. The charge as well as other commodi-hal did not seek to restrict the worth of the bonda Mr. Tam, a Bank was re-organised in 1936. ties is free and without any dealings of the Shanghai' once for great enthusiast in patriotic funds Most of its officers have come from restriction of any kind. Such the ample reason that it is not campaigns, it may be recalled, the North. As Your Worship may? transactions Are usually done regarded as a British subject. bought about $300,000 worth of know, concerne like this Bank a through exchange brokers, in I do, therefore, submit that in

Economy Bavings Certificates. assets of its which neither the seller nor the this sense what the Hongkong ways regard the branches As being absolutely buyer is known ore to the other office has done is a mere technical separate and distinct from one until the contract is actually ten- offence. But in spite of this total-

FINAL DIVIDEND another, and

Heuddered by the brokers

lyunsatisfactory. position and OF $5 BY CALDBECK -Office.

Had the Shanghal Office repu- merely out of its desire to promote MACGREGOR & CO. On account of the political

diated its bargain on ascertaining the Allied cause, the Hongkong situation the Shanghal Office in that the buyer was the Italian office has already given very strict. 1938, transferred all its quid Bank, the branch could have been instructions to the Shanghed office Messrs. Caldbeck, Macgregor & Co., At the annual general meeting of assets to Hongkong, with the re-sued in the Chinese Courts and its as well as other branches to bave Ltd, held in Bhanghal on Apr. 30. quest that the Hongkong office offices might be subject to actual no further dealings of this kind. should send them to America and violence. And the same transac

after making substantia; increases hold them on behalf of the Bbang-tion could have been and would

On behalf of the Bank 1 tender to Reserves, a anal dividepa of hat branch,

When the telegram was received other bank.

have been carried through by an its sincere regrets, and in view of $5.00 was declared on the Or

the Bank's record and its attitude dinary Shares, making a totaj, of and convictions I nat Your Wor-$7.50 per share for the 12 months. - ship to bear these facta in mind fu In addition to this, Donations to

asking the Bank to charge the

Shanghai bunch with G3$35,000

A LAST POINT

and pay to the Guarantee Trust of May I make a last point? Bup-considering what penalty to Im-War Funds were approved amount- New York for account of the pose the Shanghai Ofice had pose.

ing to $219,800.00.

||

Aptly named the 'Nippy,' for its quick get-away and high road performance, this new Thornycroft is available with 10 14 and 12 wheelbase in both normal and forward. control types, has extremely economica! 60 b.h.p. engine, 7 frame, Lockheed-operated Girling brakes, and space for bodies up to 15 10" long, amongst its other fine features

THORNYCROFT

Stands for Satisfaction

FOR FURTHER PARTICULARN

APPLY TO OUR

HONG KONG OFFICE. TEL, 22363.

St. George's Bldg., 1st Floor.