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No. 14.

The Marquess of Lansdowne to Sir E. Satow.

(No. 321.) Sir.

Foreign Office, October 22, 1903. I HAVE received your despatch No. 290 of the 11th August, inclosing a French translation of a note circulated by the Doyen of the Diplomatic Corps at Peking, in which the Chinese Government state that foreigners will no longer be free to buy houses nor open commercial establishments, and that if future purchases, are made and requests for "le renouvellement des titres" are addressed to the Chinese Government, the latter will no longer accede to these applications.

With regard to this latter point, I should be glad to learn whether there is any Chinese practice requiring a periodical "renouvellement de titre" under which even the existing possessors of business premises would be dispossessed. I should also wish to be informed how far British interests are affected, and generally what steps you would propose to take in the event of the Chinese Government acting in accordance with the warning contained in Prince Ch'ing's note.

Sir,

No. 15.

I am, (Signed)

&c.

LANSDOWNE,

The British and Chinese Corporation to Foreign Office.~(Received October 24.)

3, Lombard Street, London, October 23, 1903. WE beg leave to acknowledge the receipt of your letter of the 21st instant, in which the Marquess of Lansdowne is so good as to inquire whether we have any observations to make respecting the representation made by the German Minister in Peking to Sir E. Satow, that the German group desire to separate their interests in the Tien-tsin Yang-tsze Railway from those of the British financiers.

We are much obliged to Lord Lansdowne for informing us of this representation having been made, and for giving us the opportunity of expressing our views thereon, which we will do as soon as possible.

Meanwhile, we may remark that our friends in Berlin have not communicated with us, and we are greatly surprised at the news you give us of their desire to sever their interests from ours, because when last March they proposed dissolving the partnership between us and terms were being arranged, they withdrow from the negotiation and at a Conference at Berlin which the writer and Sir Ewen Cameron attended, it was arranged, at the instance of our German friends, that the partnership should continue.

We are, &c., For the British and Chinese Corporation (Limited),

Per W. KESWICK, Chairman.

(No.330.) Sir,

(Signed)

No. 16.

The Marquess of Lansdowne to Sir E. Satow.

Foreign Office, October 24, 1903. DURING the course of the conversation reported in my despatch No. 329 of the 20th instant, Mr. Keswick referred to the concession held by the British and Chinese Corporation for a line from Puko to Sinyang. He assured me that a survey party was now examining the proposed route, and that the survey would be pressed forward as rapidly as possible.

I am, &c. (Signed) LANSLOWNE.

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No. 17.

Sir E. Satow to the Marquess of Lansdowne,~(Received October 25.)

546

(No. 308.) My Lord,

A REFERENCE to Mr. Townley's despatch No. 268 of the 20th ultimo will

Peking, August 31, 1903. show that, in the course of a conversation he had with Prince Ching on the 20th ultimo, His Highness promised that instructions should be sent to his Excellency Sheng at Shanghae to discuss the settlement of the Puk'ou-Sinyang Concession with Mr. Brenan in a friendly spirit.

As reported in his despatch No. 279 of the 29th ultimo, Mr. Townley subsequently informed Prince Ch'ing in a note, dated the 28th ultimo, that Mr. Brenan would be shortly returning to Shanghae, and that he would be asked to see his Excellency Shông in order to arrange with him the details of the existing contract.

I have now the honour to transmit to your Lordship herewith copy of a letter which I addressed to Mr. Brenan on the 25th instant, immediately after he had left Peking for Shanghae, informing him of the present state of the railway negotiations, and representing to him the desirability of his seeing Sheng Ta-jén without loss of time, in order to come to a final settlement of the Puk'ou-Sinyang contract.

It should be borne in mind in connection with the Puk'ou-Sinyang Concession that Sheng Ta-jên informed Mr. Brenan some four months ago that if the British and China Corporation did not take the necessary steps to carry out the terms of the liminary Agreement respecting the making of a survey within six months, the Chinese Government would consider the Concession cancelled.

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Mr. Brenan reported the notification to his principals in London, but, up to the date of his departure for Shanghae, he had received no instructions respecting such survey.

Sir,

I have, &c.

(Signed)

ERNEST SATOW,

Inclosure in No. 17.

Sir E. Satow to Mr. Brenan.

Peking, August 25, 1903.

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I BEG to inform you that the British and Chinese Corporation, having expressed to the Foreign Office their intention of causing a survey of the Puk'ou-Sinyang line to be made at an early date with a view to its construction as soon afterwards as may found convenient, Mr. Townley was instructed to maintain the Concession for that line in the railway arrangement which he has been recently discussing with Prince Ch'ing.

In view of the insistence shown by the Corporation to maintain the line, and of the expression of their desire to proceed to the survey at once, it was agreed between Mr. Townley and Prince Ching that his Excellency Shêng should be instructed by the latter to negotiate with you in an amicable spirit upon your arrival at Shanghae.

The Foreign Office, after reference to the British and Chinese Corporation, and to the Peking Syndicate, have approved the general railway arrangement come to between Prince Ching and Mr. Townley, the Syndicates laying especial stress upon their desire that Sinyang may be the eventual terminus of the Szechuan line.

Under these circumstances, it would seem advisable that you should see Shêng Ta-jên in order that the Chinese Government may realize that the Corporation are in earnest in their statement that they wish to construct the line at an early date.

I am, &c. (Signed) ERNEST SATOW,

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