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Extension Telegraph Company were allowed to pass into the hands of the Chinese Government without any action on the part of this Government. In these circumstances I addressed Your 56178/08 to you my Despatch of September 3rd., 1908.

(e.) Simultaneously with the transmission of that Despatch to Your Lordship a communication was received by the Colonial Secretary from the Engineer-in-Charge of the Chinese Section of the Kowloon-Canton Railway on the 2nd. of last September seen by myself on September 14th., enquiring whether this Government would permit 6 private wires to be run on the Railway Telegraph Poles (in addition to the 3 required for Railway purposes) and asking that these 6 private or business wires should be extended from the Kowloon Railway Terminus by land wires and by cable across the harbour to the Telegraph Office in Hongkong. The reason of this request was surmised to be that the Chinese Government had found some difficulty in expropriating the shareholders in the other line, and conceived this method of supplanting them (see paragraph 3 of Mr. Grove's letter). The lines would of course belong to, and be operated by, the Chinese Government. In reply to this communication I caused the reply, of which a copy is attached, to be sent to Mr. Grove. No further communication

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