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203

On the 14th. instant I had received a lettor

from Messrs Butterfield and Swire in which the following

words occur:-

"We have got into touch with the Self Govern-

mont Society and are negotiating with thera for a settle-

ment, full particulars of which I will send you later

should an agreement be arrived at. I expect you will not

be pleased with the terme we may have to concede, but our

business was boing so seriously interfered with that we

had to do something, and as the Viceroy is powerless we

had to recommise thit for the time being the Self

Government Society hold the whip hundio."

On the following day I received an official

latter from Maasrs Butterfield and Swire, asking me to

persuade the Portuguese Consul to hold an investigation

into the case of the watchman lloronha "on strictly logul

lines", when the Consul's decision, Mesars Butterfield

and Swire undertook to say, "would be accepted by the

Chinese public".

I enclose

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