d festooned with flags of all nations and brilliantly
illuminated. Shortly after dark the whole of the elite of Calcutta
society trooped in from their evening drive to exchange pleasant
Christmas greetings with each other and to make mutual little gifts.
It was a most agreeable and enjoyable affair and quite looked forward
to by all sections of the community. People who might not have met for
months before were sure to meet there, and we all felt sorry when it
came to an end. But the departure of people for dinner did not by any
means bring the _tamasha_ to a close, as later in the evening the
elite of Dhurrumtollah and Bow Bazaar made their appearance, the
ladies decked out in all their new gorgeous Christmas finery, and no
doubt they enjoyed themselves fully as much as their more favoured and
fortunate sisters of the _haut ton_. The hotel was supposed to close
at midnight, but many of those already inside roamed about for a
considerable time longer.

The verandah above referred to, overhanging the footpath of the Great
Eastern Hotel, was erected by Walter Macfarlane & Co. in 1883, and
there is a curious story regarding it, related by my friend, Shirley
Tremearne.

Before it could be erected the sanction of the Municipality was
necessary, and under the Act they were entitled to charge a fee of Rs.
100 per month for such sanction.

The Municipality, however, refused to sanction it unless the Hotel
Co. agreed to pay a monthly fee of Rs. 300. The Hotel Co. were in a
fix, they had placed the order for the verandah as the Municipal
Engineer, Mr. Jas. Kimber, had approved the plans, and willy-nilly
they had to consent.

[Illustration: _Photo by J. & H._ The Exchange--Mackenzie Lyall's old
premises in Dalhousie Square.]

[Illustration: _Photo by J. & H._ The Exchange--Mackenzie Lyall's
premises from 1888 to 1918.]

However, one of the directors had been studying Bryce on _ultra
vires_, and he went round to the Bar library to take advice from his
friends there. Sir Charles Paul and Mr. Hill said offhand: But you
agreed to pay, how can you get out of it? To this Mr. Tremearne (the
director in question) replied: Yes, but it was an extortion, the
Municipality is the creature of a statute, they have only statutory
powers, and are not entitled to charge what is not sanctioned. As he
was leaving, Mr. W. Jackson said: Look here, Tremearne, don't pay that
Rs. 300 a month.

A case was then sent to the Advocate-General, and he