CO 129

Peking,

12th November 1906.

Sir,

With reference to my despatch of November 1st and to my telegram No.29 of November 10th, I have the honour to enclose for Your Excellency's information copy of a despatch which I addressed today to Sir Edward Grey regarding the final loan agreement for the Canton-Kowloon Railway.

In this agreement as signed by His Excellency T'ang Shao-yi and Mr. Bland on November 10th, the stipulation in the second paragraph of Article 15 takes the form of an engagement by the Chinese Government not to "build another line competing with this railway to its detriment". This wording seemed to me to be, if anything, more useful for the purpose intended than that which was communicated to you in my telegram of October 28th, and for that reason did not think it necessary to inform you of the change before signature.

I shall not fail to inform Your Excellency in due course of the issue of the Imperial Decree mentioned in Article 19.

I have, etc.

J. N. Jordan.

His Excellency

Sir Matthew Nathan, K.C.M.G.,

Hongkong.

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