74
being called upon to make good any shortage in the interest, they would have a claim on the Chinese Government and also on
any future surplus earnings of the Railway.
5.
The Chinese Government would not be a party to the indirect guarantee by the Hongkong Government; that guarantee would be
arranged with the Hongkong and Shanghai Banking Corporation who
would issue the Bonds on behalf of the British and Chinese Corporation, duly guaranteed by the Chinese Government and secured by the
Railway Line and such Bonds would bear a clause stating that an
independent guarantee had been given by the Hongkong Government to
the extent of £...a year for a certain number of years.
6.
If His Excellency entertains the proposal and will
address the Colonial Office on the subject, the London Manager of
the Hongkong and Shanghai Banking Corporation will be pleased to
call there to discuss details and explain terms of the British and
Chinese Corporation's concession from China.