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French participation the matter practically passed out

of his hands and the question became one rather for

diplomatic treatment, as Monsieur Cambon has stated.

Mr. Hillier's endeavours were directed towards

finding a way out of the deadlock, and it was only with

this object in view that he suggested the conclusion of

a contract in the name of the British Syndicate alone,

subject to a division of results between the various

parties interested.

It must be pointed out that although the French

group form part of the Chinese Central Railways and

will share in any business or enterprise undertaken by

that Syndicate, their association with the British and

Chinese Corporation is so far limited to the Canton-

Hankow Railway, a preference in regard to which was

granted

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