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I have already had occasion to explain to Your Excellency that it is the opinion of the engineer-in-chief that the designs for the Sheklung Bridges require the expert criticism of eminent consulting engineers. His recommendation is in accordance with the universal practice of "the best modern system" of Railway construction and this being the case the Corporation would be failing in its duties as Trustee for the bondholders were it to acquiesce in any other arrangement. I venture to remind Your Excellency that while the Railway is the property of the Chinese Government it is also the first mortgage security for the loan, and that its efficient construction is therefore a matter in which the bondholders are directly concerned.
Finally I have the honour to point out that in accordance with the terms of the loan agreement, all cases of difference arising out of the performance of the engineer-in-chief's duties shall be referred for amicable adjustment between the Viceroy (or Director General) and the Representative of the Corporation.
Your Excellency will, no doubt, recognize that the efficient construction of this railway in accordance with modern practice is a matter seriously affecting, not only the Chinese Government's position vis-a-vis the bondholders, but also the credit and reputation of the Corporation; and I trust, therefore, that Your Excellency may be pleased to reconsider the question of the appointment of consulting engineers, and to authorize that the same may be dealt with in accordance with the recommendations of the engineer-in-chief, which have been endorsed, I understand, by the Managing Director and by the Viceroy.
Your Excellency will recognise that delay in obtaining the necessary expert opinion on the bridge designs and materials will