[This Document is the Property of His Britannic Majesty's Government.}

AFFAIRS OF CHINA.

CONFIDENTIAL.

[10647]

No. 1.

C.O.

34

12195

[March 20.]

RECO REGPR APR OC

SECTION 2.

Sir J. Jordan to Sir Edward Grey.—(Received March 20.)

(No. 47. Confidential.) Sir.

Peking, February 1, 1909. FOR some months past there have been occasional notices in the newspapers that the Board of Communications was going to take over charge of the Postal Administra- tion, and the Chinese New Year (January 22nd) was actually named as the date for the transfor.

It has been difficult to ascertain how far these rumours were justified, as the accounts which I received from the French Minister and the Acting Inspector-General of Customs did not agree in some important details.

Sir R. Bredon states that he was asked some time ago by the Revenue Council, at the request, I understand, of the Board of Communications, to formulate a scheme for the transfer of the Postal Administration to that Board, but that he succeeded in con- vincing their Excellencies, T'ich Liang and Na Tung, that the proposal was premature, and should not be entertained until Chinese methods of administration justified the step.

The French Minister, on the other hand, informed me that Sir R. Bredon had drawn up a scheme which would have involved the transfer, but that M. Piry, the Commissioner in charge of the postal work, intervened and succeeded in obtaining its withdrawal.

In the Customs Service itself it is generally understood that Sir R. Bredon objected to M. Piry's views as being too strong, and was disposed to negotiate with the Board of Communications on the subject.

As reported in my despatch No. 18, of the 10th January, the French Minister suggested to his Government that they should make their consent to the Chinese request for the enforcement of the 8th Article of the Mackay Treaty conditional upon China's giving effect to the undertaking regarding the Postal Service which was embodied in the exchange of notes that took place on the 9th and 10th April, 1898, between the French Representative and the Tsung-li Yamên.

The Board of Communications and its corrupt head, Ch'ên-pi, have lately come under the notice of the Censors, and any extension of their powers is not likely to be favoured at present, but the question of placing the postal service under Chinese control is sure to be revived in the future.

I have, &c.

[2194 u-2

(Signed)

J. N. JORDAN.

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