62

56

in 55897/19

17188120

wishes of that Government and under the instructions of

Hie linjesty's Secretary of State for Foreign affairs.

Up to the date of Sir H. kay's departure from

Hongkong, in the latter part of 1918, the Colonial Govern-

ment continued to show a keen desire for the conclusion of

the agrement, and the first intimation received by this

Legation of a change of colicy was contained in a telegram

from Ir. Severn, the Officer administering the Hongkong

Government, dated December,20th 1918, proposing that the

signsture of the agreement be postponed but without giving

any reason for this request. No definite statement with

regard to the changed attitude of the Bongkong Government

was communicated to the Legation until the receipt of Fr.

bavera's deppatoh of April 28th, 1919, by which date hotes

had already been exchanged by this Legation and the ai

Chino Pu formally accepting the draft agreement as finally

amended and arranging that it should be signed by the

Inspector General and His kajesty's Minister on behalf of

the Governments concerned.

The grounds on which the Hongkong Government have based their sudden decision to withdraw from the negotia-

tions are set forth in r. Severn's despatch of april 28th,

1919, of which a copy was enclosed in Sir John Jordan's

No.276 of June 16th, 1919, and in Sir R. Stubbs' despatch

of February 2th, 1920 to the Colonial Office to which

reference is made in Your Lordship's despatch under noknow.

leigamunt. In an informal note dated February 21st 1921 Gir

R. Stubbe has stated his visus with still renter emphasis,

laying mecial stress on the argument that one result of

the proposed agreement would be to increase the price of

Galt to the poorer classes in liongkong,

Without attempting to criticise in detail the

ransons

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