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the American Minister at Jaking on January 28th, 1919, femelly notified the Chins älectric Company that his Government would not resognise or support any such preference as was provided for in the contrast of 1917. The position of the ameriesh Government in this regard was at that time explained to the Chinese 311

GOTOSTERONt also.

We doubt exists in the mind of the United States Government that, with a knowledge of the attitude thus taken, Kim Britannic Majesty'a Goverment will not be disposed to insist in favour of its nationals upon an advantage which the american Goverment had previously rejected na unfair and repugnent to Treaty rights and the policy of equality in China, shen otaimed by merion interesta. Bhould it be found, however, that this confidence is not justified, and should Bis Britannic Kajesty's Goverment continue to assert the preference claimed in favour of the Marooni Company, the merican Osvern- ment would be relustantly oœpelled to consider, mongst other Zings, whether the priar rights of ninei sa agering to the festern doctric Company under the contract of 1917 are not sa fully untitled to international recognition, and must not be held, therefore, to cometitute a preference for the supply of telepzone and telegraph equipment, and thus invalidate the ...arooni agrements of August 29th, 1918, for the sale of ziral sun telephone equipment, of Uptober 9th, 1918, for the <stablishment of vireless communication between kaahgar and „ianfu, and of Kay 24th, 1919, for the formation of the Chinese Tutional fire) ear. Tal ograph Company. Buch a proposition would be extremely distasteful to the american Goverment, which, ke above indicated, has itself maintained, and has assumed en the part of kås Britsmis Majesty's Goverment, a whole-hearted Campathy in the attitude af serupulous avoidance of any claims

to special or exclusive privileges in China.

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