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should, unhappily, an invasion of the Colony take place, or be threatened, or any section of the community rise in revolt. In such case the ordinary law must be suspended by the proclamation of martial law.

The responsibility for issuing such proclamation rests, as indicated in Lord Stanley's despatch No. 104 of the 24th May, 1845, and in Lord Carnarvon's Circular despatch of the 26th January, 1867, with the Governor, as the highest authority in the community.

It will be most convenient, therefore, and, I venture to think, in all the circumstances, most desirable, that in the matters more particularly referred to by Major-General Hatton, the Governor should have the controlling voice.

11. I notice that in the note on Food Supply to the Civil Population in Chapter II of the Scheme, it is proposed not to undertake the distribution of food to the Chinese population. I am of opinion that it is necessary to control the supply of food to the Chinese population in the event of communication with the sources of supply of that food (which consists chiefly of rice) being cut off or even seriously threatened. I am in communication with Major-General Hatton on the subject. With the co-operation of the leading members of the Chinese community I believe the matter might be satisfactorily arranged.

The Right Hon. Alfred Lyttelton, K.C., M.P., &c., &c.

I have, &c.

(Signed)

F. H. MAY, Officer Administering the Government.

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Enclosure.

Letter of General Officer Commanding the Troops in South China.

(Secret No. C. 22/04.) Sir,

Hong Kong, January 19, 1904. I HAVE the honour to forward the Proceedings of the Local Committee of Defence for 1904. You will see that added to the usual number of officers were the Officer Commanding Army Service Corps and the Officer Commanding Submarine Mining Company, Royal Engineers; also Captain Carter, Royal Navy, nominated by the present Naval Commander-in-Chief, and at my request Captain the Honourable W. Stopford, nominated as Flag Captain to Vice-Admiral Sir G. Noel, appointed to succeed Sir C. Bridge.

2. Since my arrival to take over the command of the troops, my relations with you have been so uniformly agreeable that I feel you will understand that, in putting forward the views I do, I am actuated solely by the desire to advocate what appears to me best for the protection of the Colony in time of war as part of the Empire. Should you take exception to my proposals, you will at least admit their force, and will see that it is the system only to which I object.

3. I submit that this annual report has become clogged with a very large amount of detailed instructions (themselves quite unnecessarily detailed) to various individuals and departments, which, though they should be thought out beforehand and arranged, must be subject to hourly alterations, and can only be dealt with by those on the spot. It is my duty to see that such detail as is necessary shall be indicated to those concerned and the proper orders given. I have therefore instructed the Secretary to remove them from this report.

4. I ask that in future the large mass of detailed orders and instructions in connection with the defence may be exempt from the close criticism to which they have been submitted. So much time is occupied in that manner that now the Local Committee of Defence is occupied in discussing and recasting the scheme of 1901-not having yet received back the report of 1902.*

5. There is still much historical and descriptive matter in the report, though I consider the time for its use has passed. I am aware that a raid of 4,000 men forms the basis of the Defence Scheme, and consider it quite sound to consider the action of an enemy or combination of enemies, yet the fact remains that were Hong Kong attacked by the forces (small or great) of one or more Powers the conduct of defence would be the same always. Whether the attack is made by ships with a landing force of 5,000 Americans, 10,000 Russians, or 40,000 Japanese, the working details of defence remain the same.

6. The basis of the detailed Defence Scheme is the provision of coolies, without which water cannot be carried, sick tended, ammunition transported, nor His Majesty's ships coaled. The late Governor, Sir H. Blake, declines to be responsible for the provision of coolies. In these circumstances, it is a waste of time elaborating a transport scheme.

7. In connection with a refuge for the women and children (European), the late Governor rather objects to General Gascoigne's proposal of ships on the score of expense. I adhere to General Gascoigne's proposal, and further, suggest the removal of the women and children to the shelter of a friendly Power, e.g., Portugal, at Macao. I would move them under the Red Cross flag. They might be met and turned back, but the Colony would in that case be no worse off than before.

8. The dynamite magazine is still on Stonecutters Island, a source of great danger. It is likely to remain there for a long time yet (two years), though provision has been made for its removal.

* Quære, Defence Scheme revised to June 1903.--SEC. C.D.C.

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