[This Document is the Property of His Britannic Majesty's Government.]
[B]
CHINA RAILWAYS.
CONFIDENTIAL.
[10648]
No. 1.
C.O.
55
12195
RECP
REG APR OC
[March 20.]
SECTION 2.
Sir J. Jordan to Sir Edward Grey.-(Received March 20.) -
(No. 48. Confidential.) Sir,
Peking, February 2, 1909. THE inclosed despatch from His Majesty's Consul at Nanking, dated the 18th ultimo, reporting that Mr. Tuckey now considered his position as Engineer-in- chief of the southern section of the Tien-tsin-Pukow Railway to be thoroughly satisfactory, confirms the information conveyed to you in my despatch No. 31 of the 19th ultimo.
1 learn confidentially from a reliable source that the progress of the German section is not so satisfactory as Mr. Bland has argued in his correspondence with Mr. Tuckey. There is marked corruption, which, however useful in oiling the wheels at the commencement of the enterprise, must sooner or later come to light and create serious embarrassment. To mention two instances: a terminal station near Tien-tsin city has been purchased with a profit to a private group of Germans of 20,000% or more, the deal being accomplished with the collusion of the Chinese Managing Director of the northern section, and it is well known beyond serious doubt that the same Germans, who are interested in coal mines, obtained contracts last year for coal at rates higher than competition tenders by means of douceurs to the Chinese management of the railway.
I have, &c. (Signed)
(No. 1.) Sir,
Inclosure in No. 1.
Consul King to Sir J. Jordan.
J. N. JORDAN.
Nanking, January 18, 1909. WITH reference to your despatch No. 4, Confidential, of the 30th ultimo, and to my intelligence Report of the 7th instant, I have the honour to report that I had a further interview yesterday with Mr. T. W. T. Tuckey, the Engineer-in-chief of the southern section of the Tien-tsiu-Pukow Railway.
now.
I learn from Mr. Tuckey that he considers his position thoroughly satisfactory He has been given an absolutely free hand in engaging what men he requires, and fixing their remuneration himself, and the control in other matters has been handed over to him.
Mr. Tuckey also informed me that he is endeavouring to induce Mr. Bland to go slowly, the latter apparently being desirous of fighting things to a finish. Mr. Tuckey's view is that the Chinese have given way, and that he is in a far stronger position than could be insisted on under the Loan Agreement, having, in fact, a freer hand than Mr. Kinder ever had. Mr. Tuckey observes that there is a point beyond which no Chinese official will go, and that it is hardly to be expected that the Director-General will admit that he himself gave the orders which led to an impossible state of affairs.
In Mr. Tuckey's opinion two unpleasant facts will come out if the Syndicate forces matters too far, one being that he was supplied with a useless survey, and the other that his advice that the accounts should be audited at Pukow was disregarded, this latter action depriving him of all support.
I have, &c.
(Signed)
H. KING.
[2193 u-2
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