Document is the Property of His Britannic Majesty's Government.]

# FAIRS OF CHINA.

## CONFIDENTIAL.

FOR USE,

EASTERN

2891

No. 88.

OFFICE

No. 1.

6907

[January 27.

(WG 26 FEB 05 SECTION 4.

183

COLONIAL

Sir E. Satow to the Marquess of Lansdowne.~(Received January 27, 1906.)

Peking, December 11, 1905. No. 430.) My Lord,

AS I stated in my despatch. No. 343, Confidential, of the 18th October last, the Grand Secretary Na-t'ung told me on the 13th October last that the Viceroy Ts'en had been instructed to enter into negotiations with the British and Chinese Corporation in regard to the Canton-Kowloon Railway. Not hearing any corroboration of this from Canton or Hong Kong, I telegraphed an inquiry on the 28th October last. On the 1st ultimo Mr. Scott replied by telegraph, stating that the Wai-wu Pu had urged the Viceroy to open negotiations, and the Viceroy agreed, but insisted that Sheng, who made the Preliminary Agreement, should be appointed for the purpose. Thereupon I wrote a note, copy of which I have the honour to inclose, warning Prince Ching that the appointment of Sheng would be unacceptable to me.

I was informed on the 5th instant by a telegram from the Governor of Hong Kong that the Viceroy had refused to see Mr. Ross, the Corporation's agent, on the ground of illness, and had not deputed any one else to do so. I complained of this when I saw Na-t'ung at the Wai-wu Pu on the 6th instant, and requested that instructions should be sent to Viceroy Ts'en either to negotiate himself or appoint a deputy.

Na-t'ung readily consented. He said that the Viceroy had been asked some time previously to begin negotiations with the Corporation, and the Wai-wu Pu had not received any intimation that he was too unwell to negotiate or to appoint a deputy. A telegram would be sent urging him to do so.

I have, &c. (Signed)

ERNEST SATOW.

## Inclosure in No. 1.

Your Highness,

Sir E. Satow to Prince Ching,

Peking, November 3, 1905.

ON the 19th September last I addressed your Highness a note on the subject of the Canton-Kowloon Railway, in which I requested that the instructions of the Imperial Chinese Government be sent forthwith to the Viceroy of Canton to enter into negotiations with the representative of the British and Chinese Corporation.

I am now in receipt of a telegram from His Majesty's Consul-General at Canton to the effect that at the request of the Wai-wu Pu the Viceroy agrees to the opening of negotiations, but asks that his Excellency Sheng Hsuan-huai shall be appointed to do this, he being the official who concluded the Preliminary Agreement.

In my note of the 10th ultimo to your Highness I stated that the appointment of his Excellency Shêng to negotiate the Final Agreement for the Soochow-Hangchow-Ningpo Railway would not be acceptable to me.

To avoid any misunderstanding, I have the honour to request your Highness to inform the Viceroy that the appointment of his Excellency Sheng to negotiate the Final Agreement of the Canton-Kowloon Railway would be equally unacceptable to me.

I avail, &c.

(Signed)

ERNEST SATOW.

[1809 dd-4]

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