29, 1842) stated, that two and a quarter Company's rupees should be equal to one dollar; one rupee and two annas (or half a quarter) equal to half a dollar; half a rupee and two annas equal to a quarter dollar; 1,200 cash equal to one dollar; 600 cash equal to half a dollar; 300 cash equal to a quarter dollar; 533 cash equal to a rupee; 260 cash equal to a half a rupee; and 133 cash equal to a quarter of a rupee. Subsequently (April 27, 1842) Sir H. Pottinger issued, at the suggestion of the leading English firms, a further proclamation declaring Mexican or other Republican dollars to be the standard in all matters of trade unless otherwise particularly specified.
Sir H. Pottinger organized also a Post Office (under Mr. Fitz Gibbon, succeeded by Mr. Mullaly and R. Edwards), which was to receive and deliver, free of any charge, letters or parcels. This office was located on the hill just above the present Cathedral, and the communication between the office and the ships was under the charge of the Harbour Master. The erection of substantial barracks on Cantonment Hill (S. of present Wellington Barracks) and at Stanley and Aberdeen, was also taken in hand and pushed on vigorously.
All these measures of Sir H. Pottinger contradicted the rumour which was persistently going about that the cession of Hongkong was not officially recognized and that the Government was prepared to relinquish Hongkong in case the Chinese Government should, in the coming negotiations, raise any serious objection on that score, and to be satisfied in that case with the opening of some treaty ports. That the Home Government had at this time, in order not to prejudice the pending negotiations with the Chinese Government, left the question of the permanency of the new Colony in abeyance, is evident from the fact that in June, 1842, just before leaving Hongkong to rejoin the expedition, Sir H. Pottinger received a dispatch from the Earl of Aberdeen 'directing that this Island should be considered a mere military position and that all buildings &c., not required in that light, should be discontinued.' Sir H. Pottinger, however, knew perfectly well that the necessities of British trade would
