Incl.
Received
to
Copy
F. O.,
Foreign Office
190
Enclos in no.
Lespis
C.0.
29
20841
Resp
(a)
2
·
Railways.
سرگر
Res 17 JUN 05
Canton-Hankow Line. Very little progress,
if any, has been made during the past few months in
the construction of the main line of the Canton-
Hankow Railway. This is chiefly due to the complica-
tions that have arisen with the Chinese Government
over the transfer of the controlling portion of the
shares to the Belgians. Nor is it at all clear that
matters have been satisfactorily adjusted by the re-
turn of the shares in question to the Americans; the
Chinese claim that there is some secret understanding
whereby the Belgian Syndicato retains the controlling
interest in the line, and insist that the terms of
the original Concession having once been broken, it
is and remains cancelled. The Viceroy is largely
responsible for this attitude; he is determined if
possible to oust the foreign element from both the
management and the construction of the line; and in
this policy he is strongly backed up by his colleague
in Wuchang. The fact of the matter seems to be that
the Native Authorities, having once realised what
profits
2
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