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809
Mr. land enquired whether the intention was to
guarantee that the Viceroy would subscribe and pay for
£500,000 of the bonds, t is amount to be reserved for
China? On this point there seemed to be some uncertainty,
Kung Tautai being without definite isformation.
Te suggTM
ested that if the amount res rved was not fully taken up
in China, arrangements might be made for disposing of the
unsold balance in London. Mr. Bland explained the condi-
tions under which loans are floated in London, observing th
that subscriptions could be simultaneously received in
Shanghai, Kongkong and ingland, and suggested that the
Chinese Government should either state definitely the
amount of bonds to be res rved for China or that the
Viceroy of Canton should take firm and be responsible for
a fixed amount. The matter was left open, the meeting
proceeding to discuss the question of price.
1
II.B. Tang Thao-Yi suggested a 44% loan which,
according to his information, should be obtainable at 95.
This proposal was, however, abandoned as impracticable and
the loan left at 5%. As regards the price 1.5. observed
that whereas on previous occasions (e.g. the Northern
and Fanking Railways) the "orporation had been obliged to
pay large commissions to Chinese officials in order to
conclude the contracts no such necessity would arise in
the present case and it should therefore be possible for
the Corporation to deal at casier rates. He thought China
should receive the benefit of this eco omy. His proposals
after long discussion were either that the Corporation
should undertake to give a fixed price of 964 per £100 or to
float the loan deducting 44 points from the issue price;
he requested Kr. Eland to telegraph submitting these torna
for the Corporation's consideration.
Lebit. bobnegao viizdal 43 Guid
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