2822
My reply to this was that the Canton-Kowloon Railway Agreement was of long standing and that the Tonkin-Yunnan Railway Concession debarred the French from making any further [claim] in this respect.
Sir Ernest Satow, G.C.M.G.,
His Majesty's Minister, Peking.
I have, &c.,
JAMES SCOTT,
Consul-General.
298
of the new Company should be a British subject and that he should have a casting
vote.
As the Earl of Elgin will observe, the Corporation were at the same time informed that the arrangement suggested by Mr. Addis in regard to the allotment of the shares should be adhered to. By this arrangement half the shares are to be allotted to the British group.
I am to enclose, for convenience of reference, copies of the telegraphic corre- spondence with Sir E. Satow referred to in the first paragraph of this letter.
F. A. CAMPBELL.
I am, &c.,
Enclosure 1 in No. 196. FOREIGN OFFICE to Sir F. BERTIE.
PUBLIC RECORD OFFICE
Reference :-
C.O. 882
6 PUBLIC RECORD OFFICE, LONDON
ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT, PHOTOGRAPH-NOT TO
SIR,
VICEROY to Consul-General SCOTT.
Canton, December 11, 1905.
I HAVE the honour to acknowledge the receipt of your letter with reference to the Canton-Kowloon Railway, requesting me to enter into negotiations personally with the British and Chinese Corporation or else send a deputy to discuss matters.
I regret that I am far from recovered from my recent illness and am unable to enter into personal negotiations.
1
If, however, the Corporation will send their Agent to Canton, I will depute Mr. Wei, the Foreign Secretary, and Mr. Kung to meet him and discuss matters.
I shall be obliged if you will communicate to this effect with the Corporation.
2017
No. 196.
I have, &c.,
(Viceroy's Seal).
FOREIGN OFFICE to COLONIAL OFFICE.
(Received January 19, 1906.)
[Copy to Governor, February 7, 1906. Secret. L.F.]
SIR,
Foreign Office, January 18, 1906. On the 6th and 8th ultimo* copies of telegraphic correspondence with His Majesty's Minister at Peking, respecting the question of French participation in the Hankow-Canton Railway, were forwarded to your Department from this Office.
As you will have observed, it was decided not to move further in the matter for the present.
Steps had, however, already been taken to ascertain privately whether the British and Chinese Corporation saw any objection from a business point of view to allowing a French group to participate in the undertaking.
The Corporation, who appear to have assumed, from the communication made to them, that His Majesty's Government were favourable to the project of joint enter- prise, had in their negotiations with the Banque de l'Indo-Chine, as representing the French group, agreed to the principle of Anglo-French co-operation on the basis of the Agreement arrived at in regard to the Szechuen Railway, the Corporation taking in the present combination the place of the Chinese Central Railways.
By the time that His Majesty's Government became aware of these negotiations they had reached a point which made it difficult to withdraw from the understanding arrived at.
I am directed by Secretary Sir E. Grey to enclose, for the information of the Secretary of State for the Colonies, a copy of a despatch to His Majesty's Ambassador at Paris, from which it will be seen that the French group had communicated the terms of the Agreement, as they understood it, to the French Government, who there. upon instructed the French Minister to enquire whether His Majesty's Government were aware of the arrangement and whether it had their approval,
I am also to enclose a copy of a letter to the Corporation asking for their observa- tions in regard to the communication which has been received from the French Govern- ment and stating that, in the opinion of His Majesty's Government, the Chairman
L
• Nos. 182 and 186,
(No. 20.)
SIR,
Foreign Office, January 12, 1906. THE French Minister called at this Office on the 29th ultimo and made a com-
munication as follows:-
To British and Chinese Corporation, January 6th, 1906.
An Agreement has been arrived at between the British and Chinese Corporation and a French financial group, respecting the Hankow-Canton Railway, on the following bases:-
Forty-five per cent. of the capital of the new Company to be at the disposal
of the British and Chinese Corporation.
Forty-five per cent. at the disposal of the French group represented by the
Banque de l'Indo-Chine.
Ten per cent. at the disposal of the Belgian group represented by the Compagnie
Internationale d'Orient.
The French Government regard this arrangement favourably and enquire whether His Majesty's Government are cognizant of the arrangement arrived at and whether it has their approval,
I have requested the observations of the British and Chinese Corporation on Monsieur Geoffray's communication in a letter, a copy of which is inclosed for Your Excellency's information.
I am, &c.,
His Excellency
SIR
The Right Honourable
Sir F. Bertie, G.C.M.G., G.C.V.O., &c., &c., &c.
Enclosure 2 in No. 196.
F. A. CAMPBELL.
FOREIGN OFFICE to the BRITISH AND CHINESE CORPORATION.
Foreign Office, January 6, 1906.
THE Chairman of the British and Chinese Corporation communicated to this Office on the 19th ultimo copies of correspondence which had taken place with Monsieur Simon and Monsieur Francqui in regard to the participation of French and Belgian groups with the Corporation in the Hankow-Canton Railway Concession.
The French Government had already, as Mr. Keswick had been informed, made overtures to his Majesty's Government respecting the co-operation of a French group in the undertaking.
I am directed by Secretary Sir E. Grey to state that the French Embassy have now informed this Department that an Agreement in regard to the railway has recently been arrived at between the Corporation and a French financial group on the following bases:-
Forty-five per cent. of the capital of the new Company to be at the disposal
of the British and Chinese Corporation.
Forty-five per cent. at the disposal of the French group represented by the
Banque de l'Indo-Chine; and
Ten per cent. at the disposal of the Belgian group represented by the Com-
pagnie Internationale d'Orient.