10788

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Kong's future. Inform Foreign Office, Colonial Office, and urge British and Chinese Corporation, Limited, expedite Kowloon (or Hong Kong) Canton extension.

No. 78.

MR. LYTTELTON to GOVERNOR SIR M. NATHAN.

(Paraphrase.)

(Sent 3.30 p.m., April 4, 1905.) TELEGRAM.

[Copy to Foreign Office, April 7, 1905. L.F.]

[Answered by Nos. 79 and 86.]

It is alleged by China Association, Hong Kong, that Americans are endeavouring to secure deep-water port near Whampoa as terminus for the Hankow-Canton Railway.

Have you any information on the subject?

11000

No. 79.

SIR,

(Confidential.)

101

Enclosure in No. 80.

Government House, Hong Kong, March 1, 1905. WITH reference to your telegram of the 22nd November, 1904, in which you asked me whether any Belgian money was invested in the proposed railway between Canton and Macao, for which an agreement was signed by Sheng, Director-General of Railways in China, and the Portuguese Minister at Peking on the 11th November last, and to my reply of the 28th of that month, that the shares were entirely in the hands of the Chinese except twe Portuguese; I have the honour to inform you that it has been reported to me that the following Portuguese and Chinese are holders of $100,000 shares in the Syndicate formed for the construction of the railway :-

Portuguese

Basto da Silva

Lourenço Marques

C. d'Assumpção Leoncio

Chinese

Chun Fong Chun Tung

Lo Kau

Lo Kwong U...

Yung Tat Fong Yung Hoi

Siu Ying Chow

Li Pat

Li King-chün

Lam Hum-lin

O Luk

Shares. 1

1

1

2

2

1

1

1

1

1

1

1

1

PUBLIC RECORD OFFICE

Reference :-

TILIC.O. 882

6PUBLIC RECORD OFFICE, LONDON

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

GOVERNOR SIR M. NATHAN to MR. LYTTELTON.

(Paraphrase.)

(Received April 5, 1905.)

TELEGRAM.

[Copy to Foreign Office, April 7, 1905. L.F.]

The American Chinese Development Company appear always to have claimed rights for a railway from Canton to selected point on the coast. On 25th March, Monsieur Cito of that Company wrote me that Chinese were preparing to build a line to Whampoa which was being surveyed by an American called McGee, but said that this line was not to connect with that to Hankow.

Other information from Canton is to the effect that the American Consul says that Development Company intend to connect Canton and Whampoa and that Cito is supposed to be negotiating with Gray, former chief engineer of Company.

Am informed that difficulties in making good port at Whampoa great. I am keeping Satow informed.

11122

SIR,

(Confidential.)

No. 80.

GOVERNOR SIR M. NATHAN to MR. LYTTELTON.

(Received April 6, 1905.)

[Copy to Foreign Office, April 14, 1905. L.F.]

Government House, Hong Kong, March 2, 1905, WITH reference to your confidential despatch of the 13th January last,* on the subject of the Canton-Macao Railway, I have the honour to enclose for your information a copy of a despatch which I have addressed to His Britannic Majesty's Minister at Peking with regard to the ownership of shares in this undertaking.

I have, &c.,

M. NATHAN,

Governor, &c.

L.F. transmitting a copy of No. 47.

13

21

lal

2. Of the Portuguese,' in the foregoing list, Basto is closely connected with Chinese, and any shares in his name are probably actually held by Chinese. Marques and da Silva may be each worth a lakh of dollars, but could not possibly invest this sum in the railway. Leoncio is the widow of one Fernandez, formerly Capitan of the Chinese in Macao, and if not entirely Chinese by race, is more Chinese than Portuguese.

3. Of the Chinese, Chun Fong and Chun Tung, father and son, are American subjects. The latter, who is Compradore to Messrs. Douglas, Lapraik and Company, has recently returned from a journey to America, made, it has been stated, for the purpose of obtaining American capital. He is believed to be the real owner of Yung Hoi's share in the proposed railway. Lo Kau, Lo Kwong U, and Li King Chün are certainly Portuguese subjects. O Luk and Lam Hum Lin are probably also Portuguese subjects; the former is a member of a wealthy family owning house property in Macao; the latter was part owner at one time of the Hong Kong Opium Farm; Šiu Ying Chow and Li Pat are Macao-Chinese.

4. So far, therefore, the railway is nearly entirely in the hands of persons of Chinese race, and there is no doubt that these persons, as a body, wish to keep foreign countries from getting any claim on the undertaking. Whether, even with the assistance of the stringent regulations on the subject, they will succeed in pre- venting foreigners from irregularly acquiring interests, by the indirect purchase, at a high price, of shares from some of the less. scrupulous of their number, is uncertain. It is stated that the French have endeavoured to purchase shares in this manner.

I have, &c.,

M. NATHAN,

Governor, &c.

His Britannic Majesty's Minister,

Peking.

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