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will obsern, on behalf of the Chamber of Commerce and of the Wholesale and Retail dealers in Opium. It has further been communicated to Mr Morgan, of the Imperial Customs Commissioners who has expressed the opinion that it will probably prove acceptable to Sir Robert Hart and has undertaken to communicate with him. I therefore forward it for your consideration in order that you may ascertain the views of the Chinese Government thereon, which I should feel much obliged by your communicating by telegram as soon as possible.

2.

Mr Russell, who threw out the proposals submitted in the first instance, suggested certain important modifications of a binding nature and these were adopted. Knowing what were Sir Robert Hart's and Dr Brenan's views in the matter he has taken care to close up every discoverable gap through which both our own Revenue and that of China could be defrauded, and he considers, as does Mr Morgan, that the Revenue of China arising from Opium leaving this port will be safeguarded whilst that of the Colony will be immensely improved. It will put this Government to extra trouble and expense but if acceptable...

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