[This Document is the Property of His Britannic Majestys Government.]
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AFFAIRS OF CHINA.
CONFIDENTIAL.
[1140]
No. 1.
188
4196
January 11 FEB 10
SECTION 3.
(No. 472.) Sir,
Sir J. Jordun to Sir Edward Grey.--(Received January 11, 1910.)
Peking, December 18, 1909. I HAVE the honour to report on the developments which have taken place in the Harbin question since my despatch No. 461, Confidential, of the 10th instant was written.
In a despatch of the 4th instant, copy of which is enclosed, the acting consul- general at Mukden, informed me that the town council of Harbin had demanded a payment of 200 roubles as "taxes for 1909" from Messrs. Craig and Co., and that he had supported the British firm in resisting this demand.
In a further despatch, dated the 7th instant, copy of which I have likewise the honour to transmit to you, Mr. Willis reported that the Chinese Eastern Railway Company had refused to grant leases of land at Harbin and other points on the railway to Messrs, Samuel Macgregor and Co. unless such leases were countersigned by His Majesty's consul.
Although Messrs. Macgregor and Co. were willing, in the interests of their business, to accept the onerous conditions imposed by the railway authorities, Mr. Willis considered that he was not justified in countersigning the documents and giving his official approval to the transaction, and I have approved his action.
In my reply, however (copy enclosed), I have pointed out to him that there could be no objection to his attesting the signature of the firm as a notarial act, and I have added that this formality had, understood, been accepted by the railway authorities as sufficient for their purposes in the case of some German and French firms.
The occurrence of these two cases in which British interests of some importance were involved afforded me an opportunity of again discussing the whole question with my Russian colleague.
I took up the "note of promise" enclosed in Mr. Willis's despatch No. 62, and pointed out in detail to M. Korostovetz the serious infringements which it involved of the recognised rights of foreigners in China. He fully admitted the justice of my contentions, but gave me to understand that he was powerless to enforce his views on the Russian Finance Department, who controlled the operations and dictated the policy of the railway company. He added that it would materially strengthen his hands if I would furnish him with a short statement of my objections to the railway company's conditions, and this I have done in a semi-official letter, copies of which and of M. Korostovetz's reply are enclosed herewith.
Our action in virtually preventing British subjects from subscribing to terms which they are prepared to accept themselves is so anomalous that I should have hesitated to adopt it were it not that fundamental principles are involved, the sacrifice of which might have far-reaching consequences.
I take this opportunity of enclosing copy of a further note which I received from the Wai-wu Pu on the subject.
Mr. Sly, who, as previously reported, is proceeding to Harbin, will be here in the course of the next few days, and should reach his destination before the end of the
year.
Enclosure 1 in No. 1.
I have, &c.
J. N. JORDAN.
(No. 61.) Sir,
Acting Consul-General Willis to Sir J. Jordan.
Mukden, December 4, 1909. I HAVE the honour to enclose copy of a letter I have received from Messrs. Craig and Co., a British firm established in Harbin, in which they inforın me
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