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

AFFAIRS OF CHINA.

168

C O.

34181

RECE [July 19.]** 25 SEP 07

CONFIDENTIAL.

SECTION 2.

[23924]

No. 1.

Sir J. Jordan to Sir Edward Grey.-(Received July 19.)

(No. 145.)

Peking, July 18, 1907. (Telegraphic.) P.

WITH reference to your telegram No. 83 of the 11th instant, I have the honour to inform you that I received the following telegram to-day from His Majesty's Consul-General at Canton :----

"Your telegram No. 46. Viceroy has ordered recovery of stolen property and arrest of pirates, but, although I had insisted that the matter was a question of international law and not of Treaty, his Excellency adopts Ts'en's attitude, and holds that under Treaty the Provincial Government is not liable for compensation. He still presses for guards to be stationed on launches, and will only agree to scheme for cruisers if the latter be under the sole control of the Admiral. In accordance with your instructions, I have definitely informed him that it is only as a complement to the scheme for Customs cruisers that his proposal for guards can be entertained. case occurred recently in which full compensation was unofficially paid by the District Magistrate for the robbery of two missionaries who were travelling in "boats in the Hsing Hsing River.

A

"I am insisting on full payment of claim, and adhering to my previous arguments in a further despatch which I am addressing to the Acting Viceroy."

My reply was to the following effect :-

"I approve your action as reported in your telegram No. 44.

An immediate

and categorical reply to your demand for full payment of claim should be insisted upon by you, and the result should be telegraphed to me.

"(Confidential.)

"What action would you recommend for bringing pressure to bear upon the Provincial Government through the naval authorities with a view to enforcing a I should like to have an settlement of this and other outstanding questions?

expression of your views on this subject, for submission to His Majesty's Government, in the event of your demand being finally rejected."

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