File No. 300.115/9287

The British Embassy to the Department of State

Memorandum

The British steamship Chinese Prince entered Manila on July 8 with 1,987 packages short which had been discharged at Penang under instructions from the British naval authorities. The Manila customs authorities fined the ship 25 pesos for each package short, on the ground of negligence in accordance with section 1506 of the Philippine code.

His Majesty’s Consul General at Manila reports that the decision of negligence was given on the grounds that (1) the master failed to produce a receipt or proper list of cargo said to have been removed at Penang or otherwise properly to account for all the cargo in his care; (2) the master did not submit, in the interests of the consignees, and retain an authenticated copy, for presentation at the port of destination, of a formal written protest addressed to the authorities responsible for the removal of the packages; (3) the master was also negligent in failing to present to the insular collector of customs, within 24 hours after the arrival of his vessel at Manila, the customary marine protest relative to the removal or alleged removal of part of his cargo at Penang.

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The Consul General reports that the master produced (1) a certificate from the harbour master at Penang showing that the cargo had been discharged by His Majesty’s Government; (2) a notarial protest by the master at Penang against the removal of the cargo, which he states that he handed to the harbour master; (3) a notarial protest made at Manila on July 11, the master having given directions to the notary on July 8, the date of his arrival. This protest was refused by the customs authorities as evidence.

His Majesty’s Consul General produced at the hearing an official telegram from the Governor of the Straits Settlements stating that the missing packages were held by the Government and enumerating the numbers of the bills of lading concerned.

The British Embassy understand that the vessel has now been released, the owners having given a bond under protest. They have, however, received instructions from His Majesty’s Government to represent the case to the United States Government with a view to the cancellation of the bond, on the ground that the ship was not responsible for the action of the British authorities at Penang, and with a view to the prevention of similar action in the case of the Tuscan Prince which is due at Manila at the end of July, and of other ships.