(No. 14.) Sir,
Inclosure 10 in No. 1.
Acting Consul-General Willis to Sir J. Jordan.
Mukden, February 17, 1908.
WITH reference to Mr. Fulford's despatch No. 10, of the 27th February, 1907, I have the honour to forward the following Report on the present status of the Japanese railway Settlements along the main line of the South Manchurian Railway.
In September and October last the former Regulations were cancelled, and new orders, copies of which I inclose, in translation, were issued by the Railway Management.
The object of this change in railway policy can be seen from the following extract from a translation of a résumé of the speech made by Baron Goto, the President of the Company, at the recent general meeting of the shareholders of the Company:-
"When the railway came into possession of the local Settlements all matters connected with the sanitation, public works, education and public undertakings generally were under the control of so-called 'Settlers' Assemblies,' but in September the Railway Company issued new Regulations putting things on a firm and assured basis. In October branch offices of the Company were established at Mukden, Chang Chun, Liaoyang, and other important places to take over the functions of the Settlers' Assemblies. Thus the development of local Settlements is directly fostered, and we hope presently to mark in this direction progress proportionate to our hopes."
As to the extent of the Settlements, the official figures as given in Baron Goto's Report show a total of 50,389,416 "tsubo" of land in possession of the railway company, exclusive of their holdings in the leased territory. Taking the "tsubo" at 36 square feet, this works out approximately at 14,000 acres.
From information given by the Japanese Consul-General and Major Sato, of the railway staff, to my American colleague, it appears that the following are the areas held at the more important stations:
Mukden 1,666 Liaoyang 1,666 Tiehling 1,250 Kung Chn Lin 2,088 Kuanchengtze 1,000I am unable to state whether these figures give only the land originally taken over from the Russian Railway Administration, or include the extensions claimed by the Japanese Company, which have provoked protest from the Chinese authorities, and are still under discussion. I will attempt to supply information on this point later.
These Settlements are invariably placed between the railway line and the native city; at Tiehling, I am informed, the Settlement embraces all the desirable land between the town, the railway, and the Liao River.
That the Railway Administration is fully alive to the advantages of such positions may be further inferred from their refusal to allow the Chinese Northern Railway to cross their Settlement at Mukden with the view of bringing the Chinese station nearer the city.
The title of the Japanese Railway Administration to these Settlements, resting on Article VI of the Portsmouth Treaty is, I presume, ultimately based on the Agreement between the Chinese Government and the Russo-Chinese Bank of the 8th September, 1896. As I suggested in my despatch No. 9, Confidential, of the 11th instant, this instrument does not seem to have been framed to meet the possibility of the Eastern Chinese Railway Company claiming rights of territorial administration such as now seem to be advanced by both the Russian and Japanese Railway Managements.
I have not thought it necessary to criticize the details of either the Russian or Japanese schemes. I submit, however, that the establishment of these railway Settlements on the terms proposed constitutes an infraction of the principle of the "open door," and equal opportunities for all in Manchuria, to which both the Russian and Japanese Governments stand committed; and further, that they must prove, in the long run, a considerable obstacle to any future development of the commercial interests of the other Treaty Powers in the three eastern provinces.
I have, &c.
(Signed) R. WILLIS.
Inclosure 11 in No. 1.
Regulations governing Residence within the Territory belonging to the South Manchurian Railway Company.
THE South Manchurian Railway Company, with a view to promoting the common benefit and to developing Manchuria, will undertake the administration within the railway territory of public works, education, and sanitation, and to that end have enacted the following rules for the observance of those who shall reside or sojourn, hire land or buildings, or own buildings therein.
Not only must such rules as the Company may enact for the common benefit be faithfully observed, but public virtue must be promoted, and no acts injurious to the general good shall be committed.
Such works of construction as the Company shall undertake shall be for the common benefit. The money expended for public enterprises shall be equally borne as a public expense. The rules governing public use, the classes of public expense, and their distribution shall be determined separately.
Those who violate these Regulations or such rules as the Company shall enact may, if necessary, be expelled from the railway territory. Whenever necessary, the assistance of the police shall be requested for the enforcement of this provision.
All persons of whatever nationality shall receive like treatment within the railway territory, and shall at the same time be expected faithfully to observe these Regulations and co-operate for the common safety and benefit.
Inclosure 12 in No. 1.
Rules governing the Branch Offices of the South Manchurian Railway Company.
ARTICLE 1. The Company shall establish branches within the territory belonging to it. The designations, locations, and jurisdiction of such branch offices shall be published later.
Art. 2. Each branch office shall have one Director and a number of assistants. The position of the Director shall be filled with either an Inspector or a Secretary, and those of assistants with either Secretaries or employés.
When deemed necessary, in addition to the persons mentioned in the preceding paragraph, a number of artizans shall be appointed. These positions shall be filled with apprentice engineers.
Art. 3. In cases of special necessity, assistants, in addition to those mentioned in the preceding Article, may be employed in the branch offices at the public expense.
Art. 4. The Director shall, within the limits of his jurisdiction, administer the following affairs:
1. Matters pertaining to the prevention of fires.
2. Matters pertaining to the public works, education, and sanitation.
3. Matters pertaining to the arrival and departure of residents.
4. Matters pertaining to the administration of land, buildings, and works of construction.
5. Matters pertaining to the preparation of the annual Budget and accounts, and to receipts and expenditure.
6. Matters pertaining to the levying of taxes and fees, and to the collection of rental of land and buildings.
7. Matters pertaining to agricultural and industrial production.
8. Matters pertaining to capital and property.
9. All other matters which the Company may especially order him to administer.
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