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

CHINA TRADE,

CONFIDENTIAL.

[46133]

(No. 440.) Sir,

K

1

[AMENDED COPY.]

No. 1.

1

2764

[December 20.]

FG 28 JAN 10

SECTION 1.

Sir J. Jordan to Sir Edward Grey.-(Received December 20.)

Peking, November 30, 1909. AS illustrating the manner in which reckless and inaccurate statements concerning foreign action are freely circulated in this country, I have the honour to transmit to you herewith copies of despatches from His Majesty's consul-general at Hankow respecting an assertion made by the local anti-opinm societies that, if China did not succeed in stamping out the opiun habit within the prescribed term of years, Great Britain would exact an indemnity for the damage caused to her Indian trade.

The dissemination of this assertion had already been brought to my notice by Mr. Fraser in a semi-official letter, and on the 15th instant I telegraphed to him that it was absolutely groundless and ludicrous. Mr. Fraser accordingly drew the Viceroy's attention, both semi-officially and officially, to the matter, and suggested the advisability of a public denial. His Excellency appears from Mr. Fraser's second despatch to have taken measures in the sense desired.

I may add that statements to the same effect have frequently appeared amongst the items of native news in the foreign press.

126

Inclosure I in No. 1.

I have, &c.

J. N. JORDAN.

Consul-General Fraser to Sir J. Jordan.

(No. 69.) Sir,

Hankow, November 22, 1909. MR. HELPS, of the Wesleyan Mission, having stated that the local anti-opium societies used as an argument for suppressing the habit that in case after ten years any opium sinokers persisted Great Britain would saddle China with a vast indemnity for damages over the reduction of the export from India to China, I had the honour to invoke your authority for a complete denial of an allegation, the only effect of which could be to foster enmity against us among the people here.

On receipt of your telegram No. 15 of the 16th instant, I wrote to Mr. Helps, and on the 19th instant, having mentioned the matter to his Excellency the Hu-Kuang Viceroy during Mr. Max Müller's visit, I addressed to his Excellency a semi-official note recording the facts and asking for official correction of the calumny.

His Excellency yesterday replied, excusing the allegation as the result of too much zeal on the part of the anti-opium society, but consenting to have the blunder set right.

I was astonished to find in the text of a petition regarding opium suppression addressed to the Viceroy by the Lupei Provincial Council, published in the local native papers, a suggestion for the official circulation of this imaginary danger throughout Hupei.

I therefore followed up my note with the enclosed official despatch.

The Shanghae papers, wherein some months ago I saw a Peking telegram that on the expiry of three years any proved failure of China to do her part in the campaign against opium would entail indemnity for loss as well as restore to India complete freedom of action, have not recently referred to the story; but it seems improbable that its vogue is confined to this province.

I have, &c.

E. H. FRASER.

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