W.

In any further communication on this subject, please quote

No.

F 3633/57/10

and address-

not to any person by name,

but to-

The Under-Secretary of State,

Foreign Office,

IMMEDIATE.

London, S.W.1.

Sir,

Cor: fldential,

FOREIGN OFFICE.

77

S.W. 1.

35

2nd August, 1929.

(8m 62782)

I am directed by Mr.Secretary Henderson to refer

1416

to the letter from this department F 2426/57/10 of the 5th

July last transmitting for the concurrence of Lord Passfield

a draft of a despatch which it was proposed to send to His

Majesty's Minister at Peking on the subject of the completion

of the Canton Hankow Railway out of British Boxer Indemnity

funds.

2.

On the 19th July a further telegram was received

from Sir M.Lampson repeating a telegram from Shanghai dated

the 14th July in which Mr.Aveling reported the gist of a

conversation with Mr.Choy representing the Chinese Minister

of Railways. A copy of this telegram was forwarded in

~62782) Foreign office letter F 3633/57/10 of 20th July and a further

(15~62782)

copy is enclosed herein for convenience of reference. If,

as this telegram seems to show, the Chinese Government have

determined to use the bulk of the returned Indemnity funds

for the completion of the Canton Hankow Railway then in view

of the considerations contained in the draft despatch forming

enclosure to the Foreign Office letter under reference, the

question of obtaining assurances as to the placing of orders

in the United Kingdom would appear to have become largely

academic. On that assumption Mr. Henderson is of opinion

that His Majesty's Government should now drop the whole

The Under Secretary of State,

Colonial office.

}

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