CONFIDENTIAL.
Hongkong.
My Lord,
Rec'd 2856
Rec'd 25 JAN 08
168
Government House,
Hongkong, 24th December, 1907.
I have the honour to report to you the events which have recently occurred in reference to the question of Piracy in Canton waters and to submit a few remarks on this subject.
2.
At the time of my arrival here matters had almost reached a dead-lock. The then Acting Viceroy (Hu Hsiang) who has always been noted not merely for his Anti-Foreign proclivities, but also for his apparent personal dislike to Foreigners was actively opposed to the proposals for dealing with piracy, and set at nought the orders received from Peking. The matters at issue were two:-
(a). The obligation of the Provincial Government to pay compensation in respect of the "Sainam" & "Ki Cheong" piracies.
(b). The necessity of employing fast, well-armed and adequately manned Cruisers under Customs control
RIGHT HONOURABLE
THE EARL OF ELGIN,
&c.,
&c.
K.G.,