having carried his protest as far as he deemed advisable,

the matter was referred to us. We think Mr.Grove has handled

this matter with considerable tact, for while securing a very

substantial reduction on the price which these officials first

contemplated charging the railway, he has nevertheless

avoided all friction. It is evident to us however, that

friction would result if further opposition were offered

to payment of the sum demanded, and as this would be very

undesirable, we considered it best to advise Mr.Grove to

sanction the payment. We would suggest for your consideration

the advisability of noting a protest at the Board of

Communications against the excessive cost of this

and

would further ask you to show the correspondence and explain

the matter to the British Minister for his information.

We are

AC.

sa/

Jardine, Matheson & Co. Ltd.

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