Lord Buckmaster. -

Their Lordships notice with approval that this case has been brought before them for consideration within 12 months of its first hearing before the Puisne Judge in Hongkong. They wish that this example of expedition was widely known and imitated. The point that arises for decision is singularly free from authority, but fortunately the facts are beyond dispute. The appellants are the Hongkong and Shanghai Banking Corporation, who carry on the business of banking in Hongkong. In the course of their business they issue banknotes for various sums ; such notes are not legal currency, but, owing to the high credit of the appellants, they are used as if they were. The bank is under liability to the Government of Hongkong to deposit dollars as against all notes issued over a certain amount and a tax is payable at the rate of 1 percent, per annum on the value of notes in circulation. Apart from these conditions, which it may be assumed would apply to every bank in Hongkong, the appellants have no special relationship with the Government at all. The notes they issue are in the ordinary form of a bank-note. The same of the bank is at the head, the amount of the note is writ