[This Document is the Property of His Britannic Majesty's Gomm
CITINA RAILWAYS.
CONFIDENTIAL.
[15489]
16333
REC
BEC13 MAY ||
[April 25.]
SECTION 2.
No. 1.
333
Papers communicated by Mr. Addis, April 25, 1911.
(1.)
Telegram from Peking Office, April 24, 1911.
FOLLOWING from groups representative Peking for communication to other groups. Re your wire of 22nd, Paris, your counter-proposal quite unacceptable. Our opinion is only modification possible is on the basis of deposit with guaranteed Chinese hanks not to exceed one-half unexpended balance of loan at any one time, adjustment to be made quarterly, due regard heing given to requirements, expenditure, material, United States of America, Europe. Refer to II Corde's wire 22nd April, it appears to us that groups having yielded principle, question of maximum amount deposited with Chinese banks is of secondary importance to us, although vital to Chinese Government, who, by average interest, seek to secure themselves from loss of interest on unexpended balances of loan, while, at the same time, meeting objection of national party, control of expenditure remaining entirely unimpaired. Refer to our wire of 13th April. Hunan gentry are now bringing strong pressure to prevent conclusion of agreement on any terms, and it is important that no excuse should be furnished by us for rupture of present negotiations, even if negotiations resumed after indefinite delay our conviction is you will have to grant terms now proposed, or abandon loan entirely. Re foregoing four Ministers concur, and urge immediate signature. Are you prepared to give us discretion conclude on the best terms obtainable with the concurrence of Ministers ?
(2.)
Telegram sent to Banque de l'Indo-Chine, Paris, and Deutsch-Asiatische Bank, Berlin, April 24, 1911.
PEKING office wires [As per their telegram of 24th April].
"Re foregoing, rather than prolong controversy, are disposed to agree. Wire if
you concur.---ADDiS."
[1985 bb-2]