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discipline and self-control under the most trying circumstances was beyond all praise. The marines were pelted with bricks and stones. They had every justification for firing in self-defence, but they did not fire. Some of them were knocked down and injured, and, in the course of bayonet charges to rescue them, two Chinese were injured. The statement that Chinese were killed is not true. It was clear, however, that the mob could not be held back indefinitely except by firing, and there could be no doubt that such action besides the immediate loss of life involved would lead to an attack by force on the British concession and to a massacre of British subjects. On the 4th and 5th January the rioting con- tinued. The Nationalist troops undertook to keep order. But without firing on the rioters this was impossible, and no firing was permitted by the Nationalist Government. In the result, the concession was occupied by the mob, the British troops withdrew, and then the Nationalist Government took the concession over. It has not been returned.
6. The seizure of the British concession was an unjustifiable attack on the long-established rights of the British commercial community. It was followed by a similar event at Kiukiang. It was clear from these episodes that there is no guarantee for the safety of British lives or property in Chinese cities under the authority of the Nationalist Government in the present revolutionary state of affairs. Any incident might have led to bloodshed. It was equally clear that the British forces on the spot were insufficient to protect British subjects. It was obvious that, with the advance of the Nationalist forces towards Shanghai, similar danger threatened the large British community residing there, and the immense interests which British enterprise has built up in that city. Further, whereas the comparatively small communities at Hankow and Kiukiang could be safely evacuated to Shanghai at short notice, there could be no speedy evacuation of the much larger British population at the latter town. In these circumstances, His Majesty's Government decided, as a precautionary measure, to send such troops to China as they were advised were required for the protection of the British community at Shanghai. The composition of this force is in itself a guarantee that it can only be utilised for the defensive purposes for which it is exclusively intended. It is hoped that it will soon be withdrawn, or better still that it may never have to land in China; but His Majesty's Government are determined that what has happened at Hankow and Kiukiang shall not be repeated at Shanghai, and that the lives of the British community there shall be protected against all danger.
7. The determination to defend the lives of British subjects is, however, only one side of the China policy of His Majesty's Government. In their state- ment of the 18th December, they declared their readiness to negotiate on Treaty Revision and all other outstanding questions as soon as the Chinese themselves had constituted a Government with authority to negotiate; and pending the establishment of such a Government to pursue a constructive policy so that ultimately, when Treaty Revision became possible, it would be found that part at least of the revision had already been effected on satisfactory lines. His Majesty's Government, therefore, at once proceeded to investigate what measures they could take by unilateral action without revision of treaties to meet the aspirations of the Chinese people. These measures have now been formulated, and were laid before the Chinese authorities in the North and the South on the 27th January in a statement, copy of which is annexed hereto. They imply an immediate and radical modification of the old Treaty position, so far as His Majesty's Government are concerned, and are an earnest of further modifications as soon as conditions permit. But before this can be successfully attempted it is essential that the official stimulation of anti- British propaganda must cease. The comparative peace of the greater part of Southern China during the last two or three months has proved that, when organised agitation and intimidation are absent, friendly relations between the Chinese and British people remain as excellent as they have been in the past.
8. The policy of His Majesty's Government is therefore a development, not a departure from the Washington Conference policy, as defined in the first paragraph of this statement. In accordance with Article 7 of the Washington China Treaty, they have communicated fully and frankly to the Governments of the other Washington Powers their views regarding the situation, both as concerns the defence of life at Shanghai and the proposed steps towards Treaty revision. is for them to determine to what extent they feel able to associate themselves with the policy of His Majesty's Government in both its aspects.
It
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In any case His Majesty's Government have felt it right to make this com- munication to the League of Nations so that its members may have before them a full statement of His Majesty's Government's policy in China and may understand how completely it is in accord with both the letter and the spirit of the Covenant. His Majesty's Government deeply regret that there does not appear to be any way in which the assistance of the League in the settlement of the difficulties in China can be sought at present. But, if any opportunity should arise of invoking the good offices of the League, His Majesty's Government will gladly avail themselves of it.
I am,
Annex to No. 1.
&c. AUSTEN CHAMBERLAIN.
Measures for Treaty Modification as communicated to the Chinese Authorities on January 27, 1927.
1. His Majesty's Government are prepared to recognise the modern Chinese law courts as the competent courts for cases brought by British plaintiffs or com- plainants and to waive the right of attendance of a British representative at the hearing of such cases.
2. His Majesty's Government are prepared to recognise the validity of a reasonable Chinese nationality law.
3. His Majesty's Government are prepared to apply as far as practicable in British courts in China the modern Chinese Civil and Commercial Codes (apart from Procedure Codes and those affecting personal status) and duly enacted subordinate legislation as and when such laws and regulations are promulgated and enforced in Chinese courts and on Chinese citizens throughout China.
4. His Majesty's Government are prepared to make British subjects in China liable to pay such regular and legal Chinese taxation, not involving discrimination against British subjects or British goods, as is in fact imposed on and paid by Chinese citizens throughout China.
5. His Majesty's Government are prepared as soon as the revised Chinese Penal Code is promulgated and applied in Chinese courts to consider its application in British courts in China.
6. His Majesty's Government are prepared to discuss and enter into arrange- ments, according to the particular circumstances at each port concerned, for the modification of the municipal administrations of British concessions so as to bring them into line with the administrations of the special Chinese administrations set up in former concessions at Hankow or for their amalgamation with neighbouring con- cessions or former concessions now under Chinese control or for the transfer of police control of the concession areas to the Chinese authorities.
7. His Majesty's Government are prepared to accept the principle that British missionaries should no longer claim the right to purchase land in the interior, that Chinese converts should look to Chinese law and not to treaties for protection, and that missionary, educational and medical institutions will conform to Chinese laws and regulations applying to similar Chinese institutions. Note 1.
When communicating these proposals to Mr. Chen at Hankow on the 27th January Mr. O'Malley prefaced them with the following paragraph:—
"When a satisfactory settlement has been reached in respect to the British concessions at Hankow and Kiukiang, and when assurances have been given by the Nationalist Government that they will not countenance any alteration except by negotiation of the status of the British concessions and international settle- ments, His Majesty's Government will be prepared to concede at once and on the lines indicated in the enclosure hereto a part of what is desired of them by the Chinese Nationalist party. So liberal and generous a step cannot in their view be regarded otherwise than as an earnest of the fair and conciliatory spirit with which they are animated.'
Vote 2.
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The words in italics in paragraph 6 were omitted from Mr. Lampson's communication to Dr. Koo.