PUBLIC RECORD OFFICE

Reference:-

C.O. 882

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PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO

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9. Your Lordship will observe, on an inspection of these maps, that the original object, as explained to the Perak Chiefs at the time they agreed to the rectification, has been lost sight of; an extreme interpretation has been given to the term "watershed" (the term, indeed, does not at all represent what was intended), and it has been proposed, under the clause in question, to take a strip of territory to the southward of the Krean, the boundary of which would run along the watershed between the Krean and Kurow rivers, up to the point, wherever that point may be, where such watershed spurs out from the mountains in which those rivers take their rise.

10. It seems to me, looking to the objects for which it was proposed to take a piece of territory to the southward of the Krean, to the fact, ps related in Mr. Braddell's narrative, that those objects were stated to the chiefs who signed the Pangkor engagement, and who were induced by the explanation thus afforded to agree to clause 12 of that engage- ment; looking also to the plan No. 1* which accompanied the despatch to the Secretary of State of January 26, 1874, that it is impossible with any justice to adopt the "water- shed" line, even though that word be used in the treaty.

The adoption of this line, except in so far as the erroneous use of the word "water- shed" is concerned, is inconsistent with everything that was either said or written at the time the engagement was entered into.

11. Clause 12 of the Pangkor engagement was for the express purpose of rectifying the "southern boundary of Province Wellesley;" i.e., the frontier between that Province and the State of Perak, by adding about 30 square miles to the Settlement; whereas the proposal has developed itself into one for taking, under the same clause, about 200 square miles of territory, the greater part of which lies between the States of Perak and Quedah.

12. Upon investigation, I find that the discovery of certain valuable tin mines, called the Salama mines, which are shown on Map No. 2, has been the cause of the extreme Your interpretation which has been put upon the clause of the treaty referred to. Lordship will find these mines referred to in despatches of 23rd December 1874 and 17th April 1875.t

13. I may bere mention that the Rajah of Quedah makes claim to the Salama district. I understand his point to be that, of two streams which issue from the adjacent moun- tains, and unite below the Salama mines, that to the northward is the Salama River, and not, as usually supposed, the upper part of the Krean. If this be so, as the Krean is the boundary between Perak and Quedah, the Salama is, of course, in the territory of Quedab. 1 believe, however, that this is not the case; and that, at any rate, the claim would not include the mines which I am informed, are not in the fork between the two rivers, but to the southward of both streams. (The point will be best understood by consulting Map No. 2.)

14. A proposal was made to the Rajah of Quedah by my predecessor that the British Government should make a road, indicated on Map No. 2, from Province Wellesley through the Quedah territory to the Salama mines. It does not appear that the Rajah of Quedah has yet assented to this project. An order to trace the road was, however, given on the 27th October last. On the 12th December the Rajah writes that he would be glad to see Sir A. Clarke on the subject, but no interview took place. A letter was, however, addressed to the Rajab by my predecessor on the 30th of April last. (See Enclosures.)

15. Two Proclamations (copies herewith) have been issued on the subject of our newly-acquired territory under the Pangkor engagement-one dated 13th July 1874; the other, 7th May 1875. The first declares that "the watershed on the south side of "the Krean River, the inner boundaries of which will be hereafter marked out," is British territory. The second declares that the said territory is annexed to Province Wellesley, and, as such, a portion of the Settlement of Penang.

16. From despatch of the 17th of April last, your Lordship will perceive that certain arrangements have been made "to meet the requirements of the service" in this territory, and although the boundaries have not been fixed, it appears from paragraph 6 of this despatch and from the papers on the subject in the office here, to have been hitberto definitely settled that more than half the tract of country between the Krean and Kurow Rivers, including the Salama mines, is British territory. The British Government have placed a force of police there, under a deputy assistant Government agent, who has been appointed to look after this new acquisition; passes for timber-cutting and charcoal-burning have been issued by our officers; the revenue from those sources has

† Nos. 10 and 83.

• Vide maps at pages 83 and 85 of same paper.

been received by us; opium and spirit farms have been let by us; and we are exercising all the rights of proprietorship.

17. Meanwhile, Mr. Birch, the Acting Resident at Perak, who was named by my" predecessor the British Commissioner for settling the boundaries of the territory acquired under the Pangkor engagement, has been discussing this question with the Laksamana, an intelligent Chief, who is acting as Commissioner for Perak, though without the chop of the Sultan having been as yet obtained to his appointment. Mr. Birch informed me that the Laksamana took exception to the "watershed" interpretation on the grounds which I have stated.to your Lordship. Captain Speedy also told me that the Mantri of Larut made to him some observations on the subject not very flattering to the character for good faith which we have usually borne amongst the native States of the Malay Peninsula. No doubt, our taking of the Salama mines, on the plea that they are ours under the treaty of Pangkor, has been much discussed by the Chiefs and people of the country. They would, I believe, perfectly understand, and probably fully acquiesce in, living under our rule, provided the question were put before them on fair and reasonable grounds; but they are, I understand, averse to our seizure of valuable property under the circumstances which I have related.

18. After giving the question my most anxious consideration, I have instructed Mr. Birch to lay down a boundary line from Tanjong Piedong (see plan) to the point where the prolongation of the eastern boundary of Province Wellesley would strike the Krean River and when agreed to by the Perak Commissioner, acting under the Sultan's authority, which has yet to be obtained, I propose to declare the portion of territory to the northward of that line to be British territory.

As regards the territory to the northward of the Krean and Kurow watershed, excepting the portion immediately to the southward of Province Wellesley, I propose that the determination of the boundary shall be postponed until the Boundary Commis- sioners have had the opportunity of obtaining a "more accurate map of the country than exists at present.

19. Meanwhile, the administration of the territory referred to in the last paragraph will remain with the British. Separate accounts will, however, be kept of the revenue, as has fortunately already been done with respect to the Salama mines, the revenue from which has been paid into a separate account in the Treasury of Penang. If, when the boundary is finally settled, the territory in question be handed over to Perak, the collected revenue, after deducting the costs of administration, will be credited to that State.

20. By this course, I believe that we shall avoid, on the one hand, what appears to me a breach of faith towards the State of Perak; and on the other, a sudden surrender

or our present position-an action which would expose us to the charge of weakness, and which would probably produce a bad effect upon the native population, and, indeed, upon the whole community in these parts.

21. Mr. Birch assures me that he will have no difficulty in obtaining the signature of the Laksamana and the chop of the Sultan to this course; and if, in dealing with the case, there were no other considerations to be borne in mind than those to which I have referred in this despatch, I believe, my Lord, that our course would be clear, and that we might ultimately surrender to the State of Perak the territory and the revenue which, to my mind, we have unjustly appropriated to ourselves.

22. I propose addressing a separate despatch to your Lordship with reference to the considerations to which I have alluded in this last paragraph.

So,

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I have, &c.

(Signed)

WM. F. DRUMMOND JERVOIS.

Enclosure 1. in No. 1.

Edinburgh House, May 7/1875. His Excellency the Governor having at your recommendation leased to me the opium and epirit farms of the Trans-Krean districts, I have the honour to request that you will be good enough to inform me of the boundaries of this new territory to enable me to place revenue officers, &c. there, and exercise my authority as opiúm and spirit farmer as required by the Excise Ordinance of 1870.

The Hon. Colonel A. E. H. Anson, Lieutenant-Governor, Penang.

I have, &c. (Signed) Kom Szang Tat,

Opium and Spirit Farmer, Penang,

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