Sessional_Paper_1908 — Page 112

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Minute by His Excellency the Governor.

Hon. COLONIAL SECRETARY.

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As you will see from my Memo. I desire the Committee to meet once again and give somewhat fuller explanation on points raised. My questions are clear and precise, and I hope the Chairman will confine discussion to them and take them seriatim, and that the minority will record their view even where they do not agree with the majority. When I have the Commitee's reply to this Memo.--which I think can be quickly answered-I will consider the question in Executive Council. The Memo. should be printed and distributed, so that each Member may consider the points raised and come to the "Meeting with his views clear on each issue,

Memo. on Report of Subsidiary Coin Committee.

F. D. L.

10.11.07.

The papers submitted consist of recommendations by four Members (which I will call the Majority report), of a second set of recommendations (the Minority report) and separate uotes by two Members (the Independents). I will take the principal recommenda- tions and endeavour to shew where divergence or concensus of opinion was expressed, and in what particulars Government would desire fuller information.

I-Action as regards China.

The Majority report opposes any agreements with Peking or Canton (para. 18) while the Majority report is strongly in favour of negotiation and thinks it would be effective. Both Independents are in favour of negotiation, Mr. ARMSTRONG qualifying this by urging that action should not be delayed pending the result of such efforts, and Mr. OSBORNE desiring a time limit of six months. Although the Majority report is opposed to negotiation para. 22 of the Chairman's Memo. on which the report is based says that Government should take whatever steps are possible to urge China to reform her Currency. There is in any case. a Majority in favour of negotiation,--on the lines I presume of the Minority report? The latter with Mr. OSBORNE desire to defer any action for six months till the result is known. The Majority with Mr. ARMSTRONG would desire to take action independently of the negotia- tions. There is thus a majority of one for the latter course.

Note. Are the negotiations with Peking_merely to urge the fulfilment of the vague undertaking contained in Art. II of the Mackay Treaty ? or does the Committee suggest that we should urge that all Provincial Mints should be under central control, their output limited, and their coinage uniform in weight, fineness, and face value. Or that a Gold Standard should be urged, or any other proposals? I do not think that at this stage it would be useful or possible to second an officer to go to Peking. As regards Canton the proposals of the Minority report are clear. In the Minutes of Meetings other points were raised. Is it suggested that the Viceroy should be asked to withdraw any of the coins now in circulation, I assume not? Should he (as suggested) be asked to coin and issue dollars?