[This Document is the Property of His Britannic Majesty's Government] 342
4
Agreement for this line has been drawn up by the representative of the British and Chinese Corporation on the basis of the Tien-tsin-Yang-tsze Railway Agreement, and was presented by Mr. Bland on the 5th instant to Liang Ta-jên in order that it should be initialled in the same way as the Tien-tsin-Yang-tsze draft.
To my great surprise, Liang Ta-jên was unable to initial the document as had been arranged, and I desired to learn from your Highness the reason of this further delay.
Your Highness was good enough to inform me that there had been a recrudescence of agitation among the provincial gentry; that it was not deemed prudent to coerce them, and that time was required to reason with them. Some of their numbers had been summoned to Peking, and the detailed circumstances of this question would be explained to them.
I pointed out to your Highness that if the Central Government now found itself in a,difficult position, it was a difficulty which they had themselves made. The Board of Commerce memorialized the Throne in 1905 in favour of the Chekiang gentry in regard to the construction of a railway already granted to Great Britain in 1898. This act was a breach of faith with His Majesty's Government, which had been rectified after much delay by the issue of the Decree of the 20th October last directing your Highness' Board to negotiate a loan with the British and Chinese Corporation. I therefore asked your Highness to give effect to this Decree, and not to give way to the agitation of a few provincial gentry.
I now have the honour to reiterate this request. The agitation of the gentry being based upon a Decree which the Throne should never have been advised to issue, the true facts could be explained in a few words to the provincial authorities by telegraph, and there can be no reason for awaiting the arrival in Peking of the gentry's Delegates. The proposed conditions of the loan involve no infringement whatever of the sovereign rights of China, and differ widely both from the conditions contemplated in the prelimi- nary Agreement of 1899 and from those under which railways have been constructed in China by other Powers.
I must therefore urgently request that these negotiations be brought to a satis- factory termination without further delay, and would impress upon your Highness most strongly the grave danger which the Chinese. Government is incurring in weakly submitting to the dictation of the provincial gentry in a matter affecting the prestige of my country and the relations between our two Governments.
I avail, &c.
(Signed)
J. N. JORDAN,
CHINA RAILWAYS.
CONFIDENTIAL.
[42361]
No. 1.
[December 28.]
SECTION 3.
Sir J. Jordan to Sir Edward Grey.--(Received December 28.)
(No. 540. Very Confidential.)
Sir,
Peking, November 14, 1907. IN confirmation of my telegram No. 197 of to-day's date, I have the honour to transmit to you herewith copies of two preliminary Agreements concluded between Messrs. Pauling and Co. on the one side and the Governor-General of Manchuria and the Governor of Fengtien on the other.
The first relates to the construction by contract of a railway from Hsin Min Fu to Fa Ku Men, a distance of about fifty miles, and the second, which is of a private nature, gives Messrs. Pauling and Company a preferential claim to construct an extension to Tsitsibar should their construction of the first section give satisfaction.
The whole arrangement is largely the work of his Excellency Tong Shao-yi, to whom Messrs. Pauling and Co.'s methods have always appealed and who has long been anxious to give them a trial.
The financial arrangements for giving effect to the first Agreement are under the consideration of the British and Chinese Corporation whose Agent, Mr. Bland, is working in close co-operation with Lord Ffrench in the matter.
As a railway from Mukden to Tsitsihar would appreciably shorten the through route to Europe and would probably, to some extent, compete with the Northern section of the South Manchurian Railway, it is possible that the Japanese may offer some objections to the ratification of the Agreement. But having regard to the fact that no control or mortgage of the railway is involved, and that the international situation in Manchuria has undergone a complete change since our railway Agreement with Russia was made, I propose, subject to your approval, to give Messrs. Pauling and Co. any support which they may require to enable them to secure the sanction necessary for the completion of their Agreements.
I am forwarding copy of this despatch to His Majesty's Ambassador at Tôkið.
I have, &c. (Signed)
J. N. JORDAN.
0
Inclosure in No. 1.
Preliminary Agreements between Messrs. Pauling and Co. and the Governor-General of Manchuria and the Governor of Fenytien.
(1.)
THE Viceroy and Governor-General of Manchuria and the Governor of Fengtion are desirous to have the Peking Mukden Railway line extended from Hsin Min Fu to Fakumen, and have decided to command the works to be constructed by Messrs. Pauling and Co. (Limited).
That it is agreed between the Manchurian Government and Messrs. Pauling and Co. (Limited), that the latter shall construct and complete the said line in a first class
manner.
1. That the line shall be of the same standard of construction as the Peking Mukden Railway (outside wall).
2. That the land required for line, stations, quarries, ballast pits, and brickyards shall be provided by the Government of Manchuria.
3. The line being an extension of the Peking Mukden Railway, cordial facilities. shall be given by the Railway Administration, including wharfage for important materials, the usual special rates for traffic to sin Min Fu, access to stone and sund supply on the Hsin Min Fu Koupantze section.
[2768 ce--3]