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24967

(This Document is the Property of His Britannic Majesty's Government.]

AFFAIRS OF CHINA.

CONFIDENTIAL

RECE REGP 26 JUL OC

[July 5.]

SECTION 1.

90

[25253]

(No. 169.) Sir,

No. 1.

Mr. Rumbold to Sir Edward Grey,-(Received July 5.)

Tókið, June 11, 1909. IIIS Majesty's Minister at Peking was so good as to forward to this embassy a copy of his despatch No. 190 of the 23rd ultimo to you on the subject of the conclusion on the 10th ultimo of an agreement between China and Russia regarding the status of the Russian railway settlements in Manchuria.

In this despatch Sir John Jordan states that he understands that the recognition of Chinese sovereign rights over the railway territory is viewed with considerable concern by the Japanese Minister, who foresees the possibility of the extension of the principle to the Japanese settlements on the South Manchurian Railway.

I enquired informally of the Vice-Minister for Foreign Affairs to-day how the Japanese Government viewed the agreement. Mr. Ishii seemed to be quite uncon- cerned, and replied that his Government were in reality unaffected by that agreement. The Japanese Government had not attempted to convert Mukden into a Japanese town in the same way as the Russians had practically made Harbin a Russian town. The Japanese had no municipalities in their settlements on the South Manchurian Railway. They did not claim jurisdiction over foreigners, nor would they tax leaseholders in their settlements except for certain municipal services. He did not, therefore, see on what grounds China would endeavour to secure the adhesion of Japan to the modified interpretation of the 1896 Railway Agreement. He added that he thought that some considerable time would elapse before the "detailed regulations concerning munici- palities and police" provided for in article 17 of the agreement were elaborated.

I have, &c.

HORACE RUMBOLD.

[2353 e-1]

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