To the Editor of the "Nomts-Cnuwa Datuy News."
Sts,—On May 1 last the Shanghai Municipal Council invited applica tions for Tls. 500,000 6 per cent. De-Dentures at 973, a portion, if not al, of which loan was allotted to members of the Municipal Investment Bank under Rule 5, who had made deposits between Febraary 6 and May 5. Notices to this effect were sent aut on various dates up to May fortnight later, on June 4, the Council sanctioned a further issue of Tls. 1,000,000 6 per cent. Debentures, subscriptions for which were invited at 96. In view of the substantial increase in the amount of this second Toan, following 20 rapidly on that allotted to the Bank. depositors, one annet but think the Council must have been aware of their financial requirements when they sanctioned the former issue at 973, and would appear somewhat harsh that the public who had deposited money inthe Municipal Investment Bank should received allotments comparing so unfavourably with the loan appearing a few days later.
Tt is certainly discouraging to subscribers to the Bank, to look at these two issues made within one month, and to realize that in making their monthly deposits they incurred a loss of slightly over 24 per cent.
compared with what their position would have been, had they held the money themselves, and invested it im the second loan, The Council, of course, could reply that it is entirely optional to the public whether they make these deposits in the Bank or not. Nev theless, the two issues following such rapid succession, with the allotment to Bank depositors at the earlier and more unfavourable rate, in the interim, certainly offers some Grounds for comment.
might be construed that the:
being aware that a con:
sum was in the Bank, and had to be satisfied by the issue of Debentures as at May 5, came out with a small issue on May 1 of, is, 600,000 at 974, knowing full well their requirements were greater, but that the total amount desired; is. 1,500,000 might not be obtained at this price. Having satisfied the Bank depositors, they immediately float another loan of Ts. 1,000,000 at 95, to attract the public whose money was not in the Bank, and to the detriment of the Bank depositors.
Thanking you for your space, Tam, ete, Shangh i, June 10, 1924, Tuk story of how a big passenger Junk, being towed by a motor-boat, successfully fought off two piratical attacks but succumbed to a third, appears in last week's Hongkong junk, which plies be-ton and Shiuhing, was being towed by a motor boat to the latter place on Monday, June 2, When off Tze Tung, the boats were. attacked by a big gang of robbers. who fired from both banks of the By offering strong resist-the boats managed to get away, but were attacked again about an hour later by another gang. This time, also, the boats succeeded in making their escape. When near Shiutong, however, two launches were seen to approach and, by re son of the firing, it was early evi dent that this was a third piratical attacked. Those in the motor-boat quickly cut the tow rope and made off in an opposite direction, leaving those on the junk to their fate. Little resistance was offered and the pirates seized the junk. About $10,000 and a quantity of valuable cargo was stolen, whilst over 50 of the passengers were kidnapped and. are now being held to ransom.
Text read from the printed page and cleaned; old type leaves the occasional error.