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agreement is in paragraph 7, which provides that they shall not be expropriated nor expelled. If they were to lose their nationality as an effect of the lease, it does not seem clear why such a stipulation was made on their behalf.
Where cession takes place it is assumed that the inhabitants lose their nationality, but the modern practice is, I believe, to provide in treaties of cession that natives who wish to preserve their nationality may emigrate.
In the case of new territory which is only leased, not ceded, it was stipulated that the inhabitants should not be expelled, and the natural inference would be, I venture to think that they did not lose their Chinese nationality.
I am communicating a copy of this Despatch to the Governor of Hongkong.
I have the honour to be,
With the highest respect,
My Lord,
Your Lordship's most obedient,
humble Servant,
(Sd) Ernest Satow