igo FOREIGN CAPITAL

country. If A. be the registered holder of a share,
he is not necessarily the beneficial owner. He may
be a trustee for B. To enact that the registered
holder must be a British subject effects nothing, for
B. may be an alien and an enemy. Suppose,
however, that you enact that A.,, when his share is
allotted or transferred to him, shall make a declara-
tion that he holds in his own right, or that he holds
in trust for B., and that both A. and B. are British
subjects. There is nothing to prevent the creation
of a new trust the next day, under which C., an alien
enemy, will be the person beneficially entitled.
Further, at the earlier date (the date of allotment or
transfer) the facts may be that A. (a British subject)
Is trustee for B. (a British subject), but that B.
(unknown to A.) is a trustee for C., an alien enemy.
The fact that B. is trustee for C. would be purposely
withheld from A., and A.'s declaration that he was
simply trustee for B. would be perfectly true. To
require that A. should make a declaration at short
intervals (say once a month), or that A., B., C., and
so on, should all make declarations would be, of
course, so harassing and so detrimental as to be, as a
matter of business, impossible. The only effectual
way of dealing with the matter would be by a pro-
vision that the share might be forfeited, or might be
sold and the proceeds paid to the owner, if an alien
should be, or become beneficially entitled to or
interested in the share. Such a provision does not
in the general case commend itself to us as practical
or desirable." Any endeavour to control the
nationality of the Board of Directors produces