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the Director General and the Corporation, the present Chinese scheme for building a line from Canton through Whampoa is a breach of the Preliminary Agreement of March 28th, 1898.

I find it difficult to understand, if Sir Matthew Nathan's information is correct

how the support of the Provincial Authorities to such a scheme can be reconciled with the understanding arrived at in Canton between the Viceroy's representatives and Mr Bland representing the British and Chinese Corporation.

This understanding, as communicated to me by Mr Bland, was to the effect that His Excellency was prepared to agree to any arrangements which might be arrived at between the Chinese Government and the Corporation.

Mr Bland thereupon came to Peking with the object of giving effect to this understanding, and I therefore have the honour to request Your Highness to urgently impress on His Excellency the Viceroy by telegraph that the construction of the Canton-Whampoa line by China herself

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