By 33. "Baltic"

Reference No. 6402/1916 (Ref. 108/15/16)

The Under Secretary of State,

Colonial Office,

sir.

London, S.V7.

779

South Ferry Building,

1 State Street,

New York, June 19th,

1916.

31367

IREC

REGE 3 JULIA!

re the agency in Hongkong and China of the Texas Company, Houston & New York.

30 31 --

I last had the honor to report to you on the 13th instant andj now beg leave to confirm to you my cable-letter of the oth instant, in-

forming you that lesers. Reiss's latest proposals to my Company for a

return commission (and otherwise) were impossible and unworkable, the

London house apparently not understanding the incidence of this China

business; and that I wea leaving for London with full instructions of

the Texas Company.

This then is the present unsatisfactory state of this unfortun

ate matter, it being evidently impossible to obtain from the London

firm of messrs. Reiss & Co. any clear and definite terms such as are

indispensable in order to arrive at a safe settlement satisfactory to

all concerned.

As I had the honor to report to you previously, it was only on

the 10th kay last that the London firm at last came forward with an of-

fer of return commission, coupling it however with an ambiguous proviso

as to the deduction of indefinite expenses. I cabled back immediately,

i.e. the following day, drawing my colleague's (Mr.Carroll's} attention

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