[This Document is the Property of His Britannic Majesty's Government.
AFFAIRS OF CHINA.
CONFIDENTIAL.
[30088]
66
[August 18.]
SECTION 4.
C O 20647
RECP Reo? 16 SEP 10
No. 1.
Mr. Max Müller to Sir Edward Grey.-(Received August 18.)
(No. 257.) Sir,
Peking, August 2, 1910. WITH reference to my despatch No. 177 of the 3rd June, I have the honour to transmit the copy of a despatch which I have received from His Majesty's consul at Newchwang on the subject of the Liao River Conservancy.
It appears likely that the negotiations which have been proceeding between the taotai and the consular body at Newchwang will shortly be concluded. The proposals for the scheme as now modified are embodied in Mr. Wilkinson's letter to the Austro- Hungarian Minister, of which the copy is also enclosed; and I propose, when the subject comes up for discussion between the foreign representatives, to signify my approval of them.
I have, &c. (In the absence of His Majesty's Chargé d'Affaires),
ERNEST SCOTT.
Enclosure 1 in No. 1.
(No. 18.) Sir,
Consul Wilkinson to Mr. Max Müller.
Newchwang, July 29, 1910. I HAVE the honour to enclose herewith a copy of a despatch which, as senior consul at this port, I have addressed to the doyen of the diplomatic body at Peking, submitting to him, for the favourable consideration of the foreign Ministers, the compromise which has been arrived at between the consular body here and the taotai on the question of the taxation of the trade of the port for the provision of funds to meet the cost of the proposed Liao River Conservancy scheme.
In my despatch of the 25th May last I informed you of the changes suggested by the taotai in the system of collection advocated by the consular body, whereby the revenue from the proposed taxes could be increased without exceeding the limits stipulated by the chambers of commerce or adding to the cost of collection. I also stated that the consuls had intimated to the taotai that they would be glad to submit these changes to the diplomatic body for its favourable consideration as soon as he could give them satisfactory assurances that adequate provision had been made by the provincial Government to meet the cost of the upper river works,
As the Board of Finance at Peking has now agreed to contribute the sum of 200,000 dollars, which, in the opinion of the consular body, was the amount needed to enable these latter works to be taken in hand jointly with those at the bar and Duck Island, I have been directed by my colleagues, in accordance with our promise, to lay the tantai's proposals before the diplomatic body. With the possible exception of the Japanese consul, who has given no indication of his views on the subject, we are all of us, I may mention, very strongly in favour of their adoption.
Should the Ministers also see their way to approve of the changes, an agreement embodying the whole scheme will be drawn up by the taotai here and submitted to the diploniatic body for the final sanction of the foreign Powers. It was the intention of the taotai to draw up this agreement jointly with myself as senior consul, but as I shall be leaving the port shortly and my successor as senior consul will be my Japanese colleague, I presume it will now be drafted by the taotai alone, though no A question that may arise is the right of the doubt Mr. Clennell will be consulted.
consular body to exercise supervision over the upper river works. As the funds for these works are being provided entirely from Chinese sources, I take it that they will have no such right; but it will be their duty nevertheless to see that, as long as the foreign trade of the port is taxed for conservancy purposes, the native trade also bears its share of the burden.
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