$
1¦
2
I answered that, according to our ideas, the fact that one party to a suit had no evidence to bring forward was not a reason why the other party should refuse to go to arbitration, but quite the contrary,
The Minister said, however, that China herself had no surveys to bring forward. The Macao boundary had not been formed by the sea as at Hong Kong, in which case there could be no dispute, or by rivers or canals, but simply by boundary stones. The Portuguese had moved these stones forward, and because the Chinese Govern- ment had taken no notice at the time the Portuguese were now claiming the additional territory.
I said that all this seemed to me a matter suitable for arbitration.
The Minister expressed the opinion that his Government must fight out the matter by diplomacy.
I explained to him that, in that case, it was usual to observe the status quo while negotiations were proceeding; but I understood that the Chinese officials were moving forward.
The Minister replied that he was quite sure the Chinese officials would be punished if they did move forward; but he must point out that it was the Portuguese who had moved the boundary pillars, and thus caused the trouble,
I repeated that all this seemed to me to be suitable for arbitration.
With regard to the Aului Mining concession case, I observed that the settlement on the basis of the payment of a sum of money by the Chinese Government had been reached by agreement; the amount of the sum was much less than the claim originally made by the concessionnaires, and it had been agreed to only on the understanding that the money would be paid at once.
The Minister said that he thought this would be arranged.
The Minister then said that, if we had stated some time ago that it would be desirable to postpone the visit to England of Prince Tsai-tao, the postponement might have been made, but it was now rather late to arrange this, as the Prince proposed to leave America on the 5th May, and would be here on the 10th.
I replied that there was ample time before the 10th May to settle the points which we had been discussing. It need not take a week to accept arbitration.
The Minister explained that one of the disadvantages of his country was that things moved so slowly there.
I said I had become aware of this, and it was precisely one of the reasons for the complaints we made; and we had proposed arbitration because, otherwise, it seemed likely that some things would never be settled. I went on to observe that it would surely be a good precedent for China to accept arbitration with a Western Power. It would be a precedent which would be valuable to her in the event of future disputes with Western Powers. For instance, in future, if a missionary was killed and a port was claimed in return, China would herself be able to ask that the matter should be referred to arbitration.
I am, &c.
(Signed)
E. GREY.
3
1. As regards the case of the Chinese Engineering and Mining Company, it is altogether a case of unfair dealings on the part of the English merchant. In the action brought by Chang-Yi (Chang Yen-Mao) in the British Law Court in London, judgment was given in his favour, ordering the defendant to carry out what was called the supplementary agreement." But the English merchant has for a number of years disobeyed this order, and is still in occupation of all the property.
The Chinese Government, being anxious to maintain friendly relations between our two countries has again instructed the Viceroy of Chilli to appoint officials to conduct negotiations regarding this question; thus we are doing our utmost to arrive at a satisfactory settlement. This course of action would not in similar circumstances have been adopted by any other country than China.
2. As regards the case of our boundary dispute with Portugal over Macao, we submit that this is a question which should be settled between China and Portugal themselves, and in which Great Britain is not concerned. As the Boundary Com- missioners, appointed by the Chinese and Portuguese Governments, have not been able to arrive at a settlement, the discussion of the question is temporarily suspended. It will be resumed when the leave of absence granted to Minister Liu expires. This is a question which can be ultimately settled between China and Portugal amicably, and
it is not thought necessary that England should intervene in it,
3. As regards the Anhui Mining Concession case, though the original agreement had become of no validity, nevertheless the Imperial Government agreed to give 52,000l. in order to settle it. This compromise, beyond what was called for, we made in order to meet the wishes of the British Government. The payment of the money
has been delayed simply because the financial condition of the Anhui province has not yet been equal to meeting this demand. We have, however, again instructed the province to make a telegraphic remittance of the sum as soon as possible. This is a point which we would venture to think should not be used as a pretext for raising other questions.
Since the arrival of the British Minister, Sir John Jordan, at his post in Peking, he has continually pressed us to settle various questions, some trivial, some important; and we, having such a strong regard for a friendly Power, have always endeavoured to do the utmost possible to meet his wishes, and throughout all the negotiations there has been nothing but great conciliation on our part. Within recent years numerous questions have been settled, and it is hoped that this can be considered as a sufficiently true proof of our great friendliness towards England. If the British Foreign Office still makes complaints against us, we would venture to say that the Chinese Govern- ment is unable to do more than what has already been done.
If England should be omitted in the programme of visits paid by Prince Tsai-tao
to America and Europe, the blame will not rest with us.
Please inform the British Foreign Office fully of the above, and ascertain what is the real intention of their communication in order that we may telegraph to Prince Tsai-tao accordingly.
(Translation.)
(Telegraphic.)
Enclosure in No. 1.
Wai-wu Pu to Li Ching-fong.
YOUR telegram of the 24th received.
March 26, 1910.
The present mission of Prince Tsai-tao to England has in view the strengthening of friendly relations between the two countries.
The British Foreign Office has, however, in consequence of official reports lately received, and of the three unsettled cases mentioned in the memorandum you received from that department, suggested that is Imperial Highness should postpone his visit to England. As the points raised in these questions are different from each other in their importance we cannot understand what the real intention of the British Foreign Office is in making this suggestion.
It is not impossible for Prince Tsai-tao to postpone his visit to England, but it is to be feared that his doing so may result in unpleasant developments to the detriment of the relations happily existing between our two countries when the cause of the postponement becomes generally known.
503