687364-1879-Publishing-papers-respecting-Revenue-from-Houses-of-ill-fame- — Page 2

694 THE HONGKONG GOVERNMENT GAZETTE, 19TH NOVEMBER, 1879.

despatch, by which brothel licences, and fines and fees from prostitutes were to form a separate fund for the purposes of the Ordinance, was not complied with: but such monies were treated as a part of the regular revenue and used for the general purposes of Government.

4. The commission having asked Mr. CECIL CLEMENTI SMITH, who is both Registrar General and Treasurer, to explain this, Mr. SMITH replied as follows:-

"From the year 1859 until the present time the revenue and expenditure in connection with "houses of ill fame have been included in the annual Estimates of the Colony which "have from time to time in due course received legislative sanction. Under what circum- "stances this arrangement was commenced I have no knowledge, but I recollect having "made some enquiry about it in the time of Sir HERCULES ROBINSON when I took charge "of this office and was informed that after consideration it had been so ordered by the "Governor."

5. Undoubtedly when the licensing of brothels was first proposed in Hongkong the formation of a separate fund was one of the conditions on which the Legislature agreed to the scheme, and Mr. The Ordinances on this CALDWELL, the former Registrar General appears to have formed such a fund.

subject have been worked so much in the dark, and such exceptional powers have been exercised by the Registrar General, that it is not an easy matter to ascertain the circumstances under which this particular provision of the law was set aside. As far as the breach of Section 66 of Ordinance 10 of 1867 is concerned, Sir HERCULES ROBINSON can hardly be held accountable for it, as his successor Sir RICHARD MACDONNELL was the Governor of Hongkong when Ordinance 10 of 1867 was passed.

6. Last year, soon after I reached the Colony, I observed in that part of the Blue Book returns for which the Treasurer is responsible (page 22 of Blue Book for 1876) that the Fees from Brothels appeared to be treated as a Special Receipt. Having now, however, ascertained from Mr. SMITH'S answer to the Commission, that this was really not so, I instructed him, as the head of the two depart- ments concerned, to comply with the law and constitute the Fund without any further delay. I enclose a copy of the Acting Colonial Secretary's correspondence with Mr. SMITH, from which it will be seen that there will be no difficulty in doing this.

7. As regards the actual amount of money obtained from this source, and the amount spent on the Lock Hospital the Commissioners are getting full information from Mr. SMITH. Their calculations have not yet been completed, but the Chairman of the Commission tells me that he thinks it not unlikely that the sum mentioned in your despatch $50,000, will be found to have been gained over and above the cost of the Brothel System, when the expenditure for the purposes of the Ordinance is deducted from the total receipts.

8. In the question put in the House of Commons it is assumed that the occurrence which led to the appointment of the Commission took place "under the regulations of the Chief Inspector of Police at Hongkong" but the death of the two Chinese women was owing to the action of an Inspector of Brothels, who is an officer of the Registrar General's department, and, who is not under the Police authorities.

To

I have, &c,

(Signed,)

The Right Honourable Sir MICHAEL HICKS-BEACH, Bart., M.P., Her Majesty's Principal Secretary of State for the Colonies,

&c.,

&c.,

Fo.

J. POPE HENNESSY,

HONGKONG,

No. 71.

The Right Honourable Sir Michael Hicks-Beach, Bart., M.P., to His Excellency Governor Pope Hennessy, C.M.G.

DOWNING STREET,

28th August, 1878.

SIR, I have the honour to acknowledge the receipt of your Despatch, No. 54, of the 1st July, relative to the amount of revenue derived from houses of ill fame and I approve of the steps which you have taken for constituting a special fund from this source in accordance with Ordinance 10 of 1867.

I have the honour to be,

Sir,

Your most obedient humble Servant,

Το

Governor HENNESSY, C.M.G.,

&c.,

&c.,

&c.

M. E. HICKS-BEACH.