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the necessary steps to prevent the surcharge of rates on the Chinese Section of the Kowloon-Canton Railway. At the same time I desire to suggest that it may be advisable to outline
the situation to the Central Government, and to point out to it the not impossible contingency of a crisis which would endanger the property and lives of British subjects both in the Colony and in Canton. The Central Government may rest assured that any defensive measures which this Government may be compelled to adopt will be aimed solely at repelling aggression. The present situation proves yet again, were further proof needed, how vitally important it is to the prosperity both of Hongkong and of Canton that there should be established a strong and United Government in China. I am sending a copy of this despatch to His Majesty's Consul-General at Canton.
I have, etc.
Sd.
R. E. STUBBS,
Governor, &c.
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