132

need not be raised in this connection. Questions of

responsibility for policing the lines, construction of

branch lines, receipts from open line before completion.

of the whole line, inclusion or exclusion of cost of land

in calculating capital outlay, provision of working

capital &c.,

&G. 1

largely disappear if the community of

interests is limited to through traffic and the responsibi-

-lity of each Government is recognised as absolute for its

own Section.

14.

In view of the facts I have set

out in this Despatch, and of the absence of any sufficient

lever with which to negotiate, looking moreover to the

conclusion which I fear must be accepted that "pooling of

receipts" is out of the question, and bearing in mind that

according to the enclosed correspondence an alternativa

terminus to the Hankow Railway at Whampoa is not beyond

the region of practical possibility, I am inclined to

think that this Colony may find itself driven to the

adoption of a plan of separate control. According to Mr.

Butler Wright (page 2) that alternative would involve

junction station at the frontier to be used as a

terminal station". If that is the case no time should be

lost in arriving at a decision for at present both

Seations

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