that the extra cost of the Shanghai-Nanking,

which

was often objected to by Chinese officials, was largely

due to difficulties of a similar nature created by the

people and officials of Kiangsu province.

Mr. Liang met the complaints frankly and reasonably.

He considered that Mr. Groves' estimate of the probable

total cost of land, as reported in Mr. Fox's despatch,

was overdrawn, and thought that it would not amount to

much more than £70,000. He admitted that there had

been some local trouble in two cases,

but nothing out

of the common, and he argued that though the terminal

facilities on the reclaimed bund at Canton were

costly, they were not excessively so taking everything

into consideration. The Government Bureau of Reclamation

had in the first instance asked Tls. 400,000 or £50,000

for the ground required by the railway, basing their

demand on the price paid by unofficial persons for other

portions of the land, and the

Board of Communications,

after four months of negotiation, reduced the demand to

nearly half. The rest of the land was being acquired at

fair prices, in his view, and he is a Cantonese,

With

54

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