The Hongkong Government has from the commencement maintained the position that most of the local owners received less favourable treatment than was accorded to owners under the Imperial Scheme, for the reason that the locally managed vessels were for the most part older than competing ships and cost more in marine risk insurance, coal, and repairs, and in maintenance generally. The Imperial Government has informed the owners that it is prepared to receive further representations under this head, but it has warned them that any concession which the Hongkong Government may wish tu suggest must be reviewed at home by the various departments interested in the matter, before any undertaking can be given.
The management of the Hongkong ships resulted in a large profit and similarly ships under direct control from home brought in a large profit. The Imperial Government ordered that these Profits mus€ be retained by the community, and it enforced its order by the Indemnity Act at home and by the Indemnity Or-
Text read from the printed page and cleaned; old type leaves the occasional error.