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the manner usual with Chinese. Under ordinary circumstances this limitation of the rights of ownership would probably be held to involve the obligation of granting compensation. There are, however, reasons which seem to remove this obligation in the present case. certain clause in the leases, under which property in this and other districts is held, has in the past been construed both by the leaseholders and by the Government as leaving to the Crown a discretion to grant, or refuse, permission for the building of houses of a different character from those previously erected; and as a matter of fact when the substitution of Chinese for European houses was in contemplation the permission of the Government has again and again been asked and has even occasionally been refused. As there has never been any legal decision on the point, this meaning of the clause may, or may not, be correct ; but at all events it is one which has been generally accepted; and there is even an opening for doubt whether a single one of the leaseholders acquired his property in the belief that it had attached to it the right which, if it ever existed at all it is now proposed to withdraw. Another objection which may possibly be raised to the Ordinance is that it is what is commonly called "class-legislation." But apart from the improbability that the Governor would give his sanction to any measure involving this reproach, a very slight consideration will show that it is in no way open to it. A certain district is to be preserved in a condition such as to render it possible for Europeans to continue to live there in health; but there is nothing in the law to prevent Chinese from living there also so long as their habitation is of a character consistent with that condition. The rights of all races will thus be not less equal in this district than elsewhere, and this law so far from injuriously affecting Chinese, will as a matter of fact, be a benefit to them in common with the rest of the community, for the prevention within the prescribed district of the overcrowding which is prevalent else- where secures in permanence a comparatively open space, or what is commonly called a "lung," for the densely populated town of Victoria, and is thus more or less beneficial to the health of all the inhabitants.
The Attorney General then moved that the Bill be read a first time.
The Colonial Secretary seconded.
Question--put and passed.
Bill read a first time.
AUDITING OF DEFENCES ACCOUNTS.-Mr. MACEWEN, pursuant to notice, asked:--
Whether any local audit is made of the sums contributed to the Military Authorities for the defence works of the Colony?
The Colonial Secretary replied
PAPERS.-The Colonial Secretary, by direction of His Excellency the Governor, laid upon the table the following papers:--
Report of the Superintendent of Victoria Gaol for 1887. (No. 3).
Statement showing the total Receipts and Payments in the Year 1887. (No.).
BILL ENTITLED THE RATING ORDINANCE, 1888.-The Treasurer moved that the Council go into Committee on this Bill.
The Colonial Secretary seconded.
Question-put and passed.
The Council then went into Committee on the Bill.
Progress reported.
BILL ENTITLED THE TREES PRESERVATION ORDINANCE, 1888.-The Attorney General moved the third reading of this Bill.
The Colonial Secretary seconded.
Question-put and passed.
Bill read a third time.
Question put-that this Bill do pass.
Bill passed and numbered as Ordinance No 14 of 1888.
ADJOURNMENT.—The Council then adjourned to Wednesday, the 4th proximo, at 4 P.M.
Read and confirmed, this 4th day of April, 1888.
ARATHOON SETHI,
Clerk of Councils.
G. WILLIAM DES VEUX,
Governor.
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