MI
ly dear Tomsend,
Enclosme / in sie & Jordan's Nr. 367 of 25 faby, If t
C
Shanghai, 12th July 2907
33911
Hankow Loan negotiations
3012445
SEP 9 1970
I telegraphed to you from Hankow on the 9th inst.the information that the Viceroy now proposes to admit the Germans as well as the French into the proposed loan agreement, and added that
and the Wai mu
I was returning to Peking to consult Sir J.Jordan
Pu on the new situation this created.
#2
This complete *volte face 'on the part of the Viceroy clos- -es a phase of the negotiations which has latterly degenerated into something very like comic opera. It has indeed been impossible during the past fortnight to keep pace by letter with the almost daily developements which have taken place, and I do not propose to All I weary you with a recapitulation of their intricate details. will now attempt is a review of the later phases assumed by the negot -tiations, of the causes at work, and of the position in which,in my Juggement, the general question of the loan is now left.Coples of telegrams which have passed since the 21st June are here enelosed.
The interview of the 26th of June with the Viceroy's deput- -ies, who had evidently come armed with very precise instructions, convinced me that there were other forces at work besides the legitimate desire of the Viceroy to extract from us favourable terms. It seemed to me just possible that if the Viceroy could be induced to accept the B.&.0.Corporation as the principal party to the agreement, the objections of the French might be overcome."e could assign no reasons except sentimental ones for not doing so. Peking Goverment could have no possible objection to the B.&.C
Corporation
The