This Document is the Property of His Britannic Majesty's Government, and should be
returned to the Foreign Office if not required for official use.
91
From CHINA.
Decode.
Sir A. Cadogan. (Peking).
September 6th. 1934.
D. (by wireless) September 7th. 1934.
6.0.p.m. September 7th. 1934.
Fi.
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No. 571. (R).
[20] that
My telegram No. 499.
On 24th August Governor of Hongkong telegraphed to me that he had been informed by Colonial Office that they agreed that the correct course would be for agreement to be signed by Chinese Minister of kailways and Governor of the Colony and that the Foreign Office agreed. His Excellency accordingly requested that steps might be taken to secure simultaneous signature by himself and Minister of hailways.
On the receipt of above I instructed Mr. Howe to con- sult Waichiaopu and if they agreed with the proposals, dis- ouss details of arrangements for securing simultaneous sig- nature. The outcome of these discussions is being awaited.
I have since received from Hongkong text of draft agree- ment as signed by the delegates and referred to Chinese Gov- ernment for approval. In forwarding text the Governor has suggested we should seek to confirm, by an exchange of notes, the undertaking given by Chinese delegates that future sur- pluses, consequent on increased percentage to be allowed under the new agreement to Chinese section, should be ear- marked for loan service. I am enquiring confidentially of Mr. Boo.... whether he has any observations to offer on this sug- gestion and should be glad to learn whether I am authorised to seek at my discretion to secure exchange of notes on these lines.
Addressed to Foreign Office No. 571; repeared to Hongkong and Commercial Counsellor.