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31. F.O.

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(Peking Tel 316, 319, 323.325-

184 22 and +232 Apil

222nd

G.J.

This corres. between Sir C. Clementi

and Sir M. Lampson is rather disquieting.

Apparently the Govr. is trying to claim that

when submitting his plans for dealing with the

telegraph office, he intended that the Cantonese

authorities should be allowed to appoint an

agent who would, to some extent, be in charge of

the office. I am quite sure I did not under-

stand that this was implied by the Governor's

telegram of the 20th of February (No.17), and I

do not think that the S. of S's. approval in

the telegram of the 13th of March (No.22) was

intended to cover this. I understood that the

phrase "working arrangement with Canton authorities" referred simply to the necessary

arrangements with the authorities at the other

end of the line and not to the appointment of a

Cantonese agent in Hong Kong.

The duplicate of the despatch of the

15th of March referred to in the first enclosure

to No.31 is annexed and the passage mentioned has

been flagged. When I originally read this, I

thought that it was going a step further than

we had so far agreed, but in view of Sir C.

Clementi's insistence in his discussions with

Li Chai-sum on the necessity for the prior

approval of the S. of S., I expected that we

should hear more about it later when some concrete

proposal would be submitted. The tone of the

discussions does not suggest that the plan had

already been submitted for approval, in fact the

impression

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