4

Copy

(C372)

Biel: n70/1548/145.

290

Copy of telegram despatched to E. G. Hillier, Peking,

by Sir Charles Addis, London, March 18th,1

,1914.

Issue.

Replying to your telegram of 18th March Canton Note

Have received R. C. Allen's private telegram of

15th March.

Even supposing consent of the other Groups and the

bondholders could be obtained to the diversion of Salt

Gabelle funds the proposals would appear to lack finality.

In the absence of any certainty as to the amount of the

notes in circulation it is doubtful if any scheme for

dealing with the Canton Currency as an isolated unit could

be made effective.

I realize the gravity of the position and the danger of

delay but I doubt if there is any other satisfactory method

open to us than to treat the redemption of the Canton Note

Issue as part of the general scheme of Chinese Currency

Reforma under the Currency Loan Agreement.

The foregoing is my impression at first sight pending

your further advice in re liis Britannic Majesty's Minister

and Governor of Hongkong.

Ve

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