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rain here to-day which may have helped this movement. I have availed myself of the halt to write up my diary of events since the hoisting of the Flag. Major MORRIS bas sent a note to Colonel THE O'GORMAN saying he is stationed at Kam T'in and has completed the work of demolition, by which I presume he means that he has blown down the gates of all the walled villages in that district. Mr. MAY left here at 6 am. and has, I suppose, seen Your Excellency by this time.

We have succeeded in obtaining most of the supplies required by the troops from Ün Long. We are all well.

J. H. STEWART LOCKHART.

(Governor's Instructions to Honourable Colonial Secretary as to present

administration of Kowloon Extension.)

21st April, 1899.

I have received your reports of the 18th, 19th, and 20th instant. The situa tion appears to have cleared for the present, and it will be very important that the villagers shall be induced to return to their cultivations. I have arranged that the troops shall be withdrawn for the present with the exception of 200 men who will be left by the General Officer Commanding at Tái pó Hü as Head-Quarters with instructions to afford assistance to the Civil Power when requisitioned. I propose that the stations at Tái pó Hü and in the neighbourhood of Un Long be proceeded with at once, and that 25 or 30 policemen be stationed at each place. A Military party will be supplied at the station at Un Long in support of the police during its construction. It will now be your duty to endeavour to carry out the general policy for the administration of the district, leaving nothing undone to beget confidence. Distribute copies of the remarks in Chinese that have been prepared for distribution, and let it be known that persons who resume their occupations will not be interfered with. If you can establish communication with the elders and leaders of districts it will be well, as it will be necessary to proceed as soon as possible with the task of determining the districts and sub- districts under the Ordinance passed on the 18th instant. It ought to be made clear to the people that when title to land cannot be produced occupation will be accepted as proof of ownership after due notice has been given in the village or district.

YOUR EXCELLENCY,

HENRY A. BLAKE.

P'ING SHAN, 21st April, 1899.

We passed a good night here last evening. Everything is quiet and the villagers appear to be returning to the villages in this neighbourhood. Colonel THE O'GORMAN has just received orders from the General Officer Command- ing to have some of the troops withdrawn. 300 men are to be left. I have had no letter from Your Excellency since your communication of the 17th instant enclosing copies of despatches from the Viceroy, with the exception of your minute on the Opium Papers. I am enclosing copies of the mes- sages forwarded by me to Tái pó in case they may not have reached you. I have not kept copies of the letters I have sent to you everyday since the hoisting of the flag. I should like to have copies if Your Excellency has no objection. I think it is important now the villagers are returning that I should remain on the spot. The co-operation between Colonel THE O'GORMAN and myself has been most cordial and could not have been more satisfactory. The rapid and imme- diate action, which I recommended from the first, as the General Officer Com- manding no doubt informed you, has had the desired effect. Procrastination would most certainly have increased the trouble and caused much bloodshed. The General Officer Commanding reports that his expedition met no resistance. This was due to the defeat of the Chinese at Sheung Tsun on the 18th instant. The Chinese state 2,600 Chinese took part in that fight, the majority of them being from districts north of Sham Chun and around Sham Chun. This defeat has filled the Chinese with terror.

J. H. STEWART LOCKHART, Colonial Secretary.

P.S.-Captain BERGER, Lieutenant BARRETT and the men of the Hongkong Regiment have done splendidly, and if it had not been for their rapid movement, the disturbance would have increased.

J. H. S. L.