SECRET

CABINET 9(28)

Extract from Conclusions of a Meeting held on

Friday, February 17th, 1928, at 2.30 r.m.

7

145-

THE CHINESE BOXER INDEM – NITY

(Previous Reference: Cabinet 5

(28),Con- clusion 3).

11. After hearing statements by the

Chancellor of the Exchequer and the Secretary of

State for Foreign Affairs, in the course of which

Sir Austen Chamberlain again warned his colleagues

that the appropriation of the Chinese Boxer indem-

rity to the ordinary British Budget would be a

profound mistake, with consequences for which he

could not assume responsibility, the Cabinet agreed

(a) That the Boxer Indemnity, including

the funds accumulated and not yet

spent, should not be confiscated but

should be used for the forthcoming

Budget on condition that the money is

made available when the Government con-

siders that the time has come when it

can properly be devoted to projects

equally beneficial to China and Great

Britain in accordance with the assurances

given to China in Lecember, 1922:

(b)

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