COPY
THE BRITISH AND CHINESE CORPORATION LIMITED.
His
Sir,
Excellency,
20
7.0. BOX 611.
SHANGHAI.
11th June, 1935.
The Hon. Sir Alexander Cadogan, K.C.M.G., C. B., M.V.o.,
etc.,
etc.,
etc.,
His Majesty's Minister,
PEIPING.
CANTON KOWLOON RAILWAY LOAN OF 1907.
With reference to our letter of the 3rd December
last, I regret to report a further default in payment of the
half-yearly interest on the above Loan which became due to
the bondholders on the 1st instant amounting with Bank's
Commission to £27,856.19.4.
I beg to enclose for Your Excellency's informa-
tion copy of letter date 30th April 1935 to the Minister of
Railways, with accompanying statement, from which it will be
seen that the total default in payment of the service of this
Loan now amounts to the serious figure of £1,414,276,16.8.
also attach translation of the Ministry's reply of the 16th
May last which still affords no satisfaction.
I have the honour to request Your Excellency
to be good enough to bring this further default, and the
magnitude of the arrears, to the serious attention of the
Chinese Government who have unconditionally undertaken and
promised in terms of Article 14 of the Loan Agreement to pay
the principal and interest of the Loan on the due dates.
I
It is urgent that the Chinese Government should
take energetic steps, not only to arrest the growth of the
debt, but to make immediate provision to reduce the amount in
/ arrears
Page 20Page 21