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To this the Canton Viceroy Chou replied :-
"As the Japanese, Yamamoto, is only a sectional Assistant Engineer, and not a full Assistant Engincer, and is already at work on the third section to which he has been allotted, the appointment, being of assistance towards the construction of the line, had perhaps better be permitted to be put on record. In future, however, in the event of the engagement of a full Assistant Engineer, I must be informed beforehand, so that the appointment may be made in consultation with me, thus forestalling objections. I am communicating the appointment to the Hu Kuang Viceroy, for his information. I retain the two documents inclosed in the Petition."
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merchants has not yet calmed down, and I am considering means of straightening matters out, and there is no question at all of engaging foreign engineers. In the future, when railway affairs are thoroughly settled and a General Manager solected, Then I foreigners will have to be engaged to survey or to superintend the works. will order the Company to consider properly the matter of the good offices of England in the redemption of the line. In reply to your telegram I have the honour to give you the facts, which I hope you will transmit.
Inclosure 3 in No. 1.
Consul-General Fraser to Sir J. Jordan.
(No. 35.) Sir,
Hankow, April 19, 1907. BEGGING reference to my despatch No. 28 of the 2nd instant, I have the honour to forward copy and translation of a note from the Viceroy Chang, inclosing copy of the Canton Viceroy's reply to his Excellency's telegram sent in accordance with the promise given in his note of the 8th ultimo.
His Excellency Chang's description of the reply is not unduly severe, as it repeats the unreasonable contention that by handing over the redeemed Concession to the merchants the Chinese Government can free itself of any obligation to recompense those who made resumption possible.
I am sending copies of this despatch and its inclosure to his Excellency the Governor of Hong Kong, and to His Majesty's Consul-General at Canton.
I have, &c.
(Signed) E. H. FRASER.
Inclosure 4 in No. 1.
(Translation.) Sir,
Viceroy Chang to Consul-General Fraser.
Wuchang, April 19, 1907.
I HAVE the honour to acknowledge receipt of your note of the 16th instant, which I have duly read.
I received some time ago the reply telegram from Viceroy Chou, of Canton, but as the message was evasive, indefinite, and wide of the mark, I laid it aside, and forgot to write to you about it. I now send a special copy for your information.
I have, &c.
(Card of Chang Chih-Tung.)
(Telegraphic.) (Translation.)
Inclosure 5 in No. 1.
Viceroy Chou, of Canton, to Viceroy Chang, Wuchang.
Fu, 28th day, 1st moon. I HAVE received your telegram of the 25th instant. The Yueh-Han Railway was enabled to be bought back through a loan from England. The British consider that British engineers should be engaged as a recompense. But the Canton line has gone under merchant control, and officials cannot very well wantonly invade merchant rights. Just now the storm caused by the disagreements among the Canton
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