PROFIT IN SOVEREIGNS

Dominion, Volume 9, Issue 2741, 8 April 1916, Page 3

PROFIT IN SOVEREIGNS

GOLD SENT TO CHINA,

Thero are indications of a considerable leakage of gold from Australia (says, tho "Sydney Sun"). Tho medium, it states, is tho departing Chinese, who aro prepared to pay a substantial premium for sovereigns. As a matter of fact a story has come from Melbourne that in that city they have paid as high a rate as. 235. for a sovereign. But that is hardly credible. • Nevertheless, ±hey are very anxious to got gold. A visit to test.the matter-was made to a_ number of Chinese in Sydney, The visitor, firmly clutching a threepennybit in his trijusers pocket, decided to find out what twenty sovereigns would be worth to a Chinaman. It made him too giddy to think of any greater number.

"Huh!" grunted the Chinaman contemptuously at the proposition. "Tlenty sovlins no much good. Supose you say two bundled, then plaps me talkee business." ' ■

The visitor took a,deep breath, gulped. nearly broke' the threenennv-bit in half, and said brightly. "Right, anything from twenty to- three hundred!" Then the 'bargaining began. Twentyfive bnb a hun:lred, the Chinaman suggested ; then t.yo pounds, throe pounds, three pounds ten. His offers increased as the visitor took his'turn to look contemptuously.' .But' that was as far as he would go, though skilful effort micht have got him up another pound. Why do the Chinese want the gold so badly ? It is not a war development. J. he reason lies- probably in the fact that the Chinese arc the most patriotic nation in the world—in a sense. They become citizens of no other country but their own, and in that respect have the Huns licked to a frazzle. No matterlll what country a Chinaman may settle, no matter how long' he may bo there, his one aim and ambition is to save enough to end his days and be buried in China. If it so happens that he dies in foreign lands, he genu •■illy, has seen to it that his bones will bo transferred to the sacred earth of l'.is own country. The only wealth a Chinaman recognises is (*old, and he hoards it tightly against his return to his native land, and when he'goes the gold goes with him. Apart from that motive is the fact that China is a country with a violently_ fluctuating silver currency and gold is always at a big i,rnmium. It is a commodity that sells at a big profit.

While the war is on no person is permitted to loave the Commonwealth with more than £50 in gold. But the restriction is almost a- dead lottor. ■ Sovereignsare easily stowed away, and except in special case's 'no rigid examination is made of departing persons. As a matter of fact the difficulty of making the regulation effective, oven with a strict personal inspection and investigation of effects, can be gauged from the fact tliat although tile importation of _ opium is totally, prohibited, it gets_ into Australia in no small quantities, despite all the efforts of the Customs officials.' One opium tin could hold a fair number of sovereigns. The banks, too, have endeavoured to stop tho leakage, and several of them have refused to issue gold to Chinese. But while a hundred sovereigns will earn 5 per cent., without - risking any money, in a five minutes transaction,

there will be a good deal of gold leakago unless drastic measures are taken to prevent-ttade by private individuals,