The Comptroller-General of Customs has forwarded the following memorandum for advice:

Under section 286 of the Navigation Act 1912-1920, continuing permits have been granted to certain unlicensed British ships to carry passengers and cargo between Thursday Island and other Commonwealth ports without such being deemed engagement in the coasting trade (vide extract from Commonwealth Gazette No. 55 of 23.6.21 attached).

The favour of advice is requested as to whether a passenger holding a through ticket entitling him to travel from Sydney to Thursday Island on an unlicensed vessel to which a continuing permit has been granted, may break his journey at say Brisbane or Townsville and be carried on by another unlicensed vessel holding a similar permit without one or both of the vessels concerned being deemed thereby to engage in the coasting trade.

In this connection, attention is invited to para, (c) under the heading 'Passengers' in C.N.S. 21/2-copy herewith-relative to break of journey by a person holding a through ticket-to or from a port outside the coasting limit.

As regards the vessel by which the passenger completes his journey there does not appear to be any breach of the Act involved, seeing that the permit is one for the carriage of passengers between Thursday Island and other Commonwealth ports.

The vessel by which the passenger is carried to the port at which he breaks his journey does in my opinion commit a breach of the coasting trade provisions of the Act, seeing that the voyage for which she has carried the passenger is not covered by the permit.

[Vol. 18, p. 468]