5

other Treaty Powers.

The Foreign Office

in reply

representatives explained, nude, that the

Treaty Powers had never yet been in agreement

on any single point dealing with Customs

administration, and that it would be quite useless

to count on progress from that quarter. In their

view, however, the Inspector General, Mr. Edwardes,

had a great opportunity of working things from the

inside, and the correct course for him to pursue

was to order his local Commissioners to remit the

direct

proceeds of the surtaxes to Provincial Governments But at present he was

wwwmianten, adopting an attitude which was

much too cautious.

In the first place, he contended

that he was unable to do anything without the

consent of the "reaty Powers, which, in view of past

history, indicated a sufficiently hopeless outlook;

and secondly, he had produced a scheme under which

all revenue would be remitted to him, and he

would re-llocate it to Provinces on

a pro rata

basis. This in the Foreign Office view was

incapable of acceptance by the Chinese since it

would make the Inspector General a virtual

Financial Dictator. On the other hand, if he

would only go a little further and order his

Commissioners to remit the proceeds, of the surtaxes

at any rate, to the Provincial Governments at whose

ports they were collected, this would go a long way

towards solving Customs difficulties. For instance,

in Canton, the first effect of such a course would be

the abolition of the Surtax Bureau on which we have

always looked with considerable misgivinga, likely

to endange the Customs Sarrica in Kwanglung.

Generally speaking, the Foreign Office were

rather

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