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

AFFAIRS OF CHINA.

CONFID ENTIAL.

[31625]

No. 1.

176

[September 18.]

SECTION K CO

42969

IRECT

Res 22 NOV O

Sir J. Jordan to Sir Edward Grey.-(Received September 18.)

(No. 172.) (Telegrapinc.) P.

MR. CARNEGIE'S telegram No. 166,

Peking, September 18, 1906.

At the interview of the 8th September, Prince Ching turned a deaf ear to all arguments, and declined to admit that the Whampoa Railway scheme had anything to do with the Canton-Kowloon line.

It is clearly demonstrated by an official Proclamation of the Viceroy recently received from Cantou that for about 40 miles the Chinese project must be a rival line, and therefore contravene the Agreements of the Corporation. I addressed a note yesterday to Prince Ch'ing, with a note based on this Proclamation, and requested his Highness either to accord me au interview for the purpose of pressing His Majesty's Government's views, or to move the Viceroy to abandon the project.

With further reference to your telegram No. 160 of the 12th September, I propose to wait till after one or two personal interviews with the Ministers of the Wai-wn Pu or with Prince Ch'ing before making suggestions.

[2146 s-1]

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