PUBLIC RECORD OFFICE

C.O.

Reference :-

+885

17 PUBLIC RECORD OFFICE, LONDON

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by his Government upon it. Sir Spencer would be good enough I think to fall in with that suggestion to meet your view.

Sir SPENCER WALPOLE: Of course I should be very happy. It would help Sir Sandford if we were privately to meet so that he might have an opportunity of knowing the lines which have occurred to me upon which a pooling arrangement might be made; it might help him in communicating with his Government.

Sir SANDFORD FLEMING: It would.

The CHAIRMAN: I do not know that we can get much further with profit to-day.

I see your point, the Commonwealth Agreement might go on.

Sir WILLIAM MULOCK: Perhaps our only chance of getting rid of the New South Wales Agreement is to confirm in a modified form the Commonwealth Agreement.

The CHAIRMAN: If you confirm the Commonwealth Agreement it might become a perpetual agreement. I quite see your point there.

Sir WILLIAM MULOCK: Fix a particular date when the whole thing would come to an end and we would know what we are discussing, but I have no authority to assent to that Agreement as at present worded leaving it to the Commonwealth, in its own judgment or otherwise, to bring that state of affairs to an end.

Sir SPENCER WALPOLE: What occurred to me was that if Sir Sandford Fleming would make some reference to his Government as he is proposing, conceivably Lord Jersey might make some reference to Australia to know whether it is possible that Australia would agree to a certain clause in this Agreement saying that this Agree- ment shall come to an end, not on any party giving notice, but on some fixed day definitely come to an end, that would seem to settle the point.

The EARL OF JERSEY: I have made a note of it.

Sir WILLIAM MULOCK: We may as well keep before us the real situation. In some quarters in Australia there is a fixed policy to destroy this Cable and to have it made financially a failure, embarrassed financially, that it may fall into the hands of the Eastern Extension. There is a force at work in Australia-we have repre- sentatives of our Government in Australia; we have several Canadian representatives there;

that is their information to us, and there is one paper in particular that comes openly out the "Melbourne Age," a very influential paper, and it is openly calling for the destruction of the Pacific Cable; so that the situation is grave. The press in Australia has a great deal of influence.

The CHAIRMAN: Well, we adjourn. If you arrange to meet in this informal manner I suppose it would be left for you to arrange, Sir Spencer, with these gentle-

We had better perhaps adjourn for rather more than week.

men.

Sir WILLIAM MULOCK: If we have anything to report we can communicate with you, and you will call the parties together again as soon as you are able to give us an appointment.

Sir SPENCER WALPOLE: I do not know what would be convenient to the delegates, but we might conceivably meet after lunch, if you could give us a room, and just talk over this question.

The CHAIRMAN: This room would be at your disposal... Very well, we adjourn sine die till we receive a communication.

19

THE PACIFIC CABLE CONFERENCE.

SECOND DAY.

Friday, June 30th, 1905, at 11 a.m.

THE RIGHT HONOURABLE ALFRED LYTTELTON, K.C., M.P., the Secretary of State for the Colonies in the Chair.

PRESENT:

THE RIGHT HONOURABLE LORD JERSEY, G.C.B., G.C.M.G.

THE HONOURABLE SIR WILLIAM MULOCK, K.Č.M.G., M.A., K.C.

SIR SANDFORD FLEMING, K.C.M.G.

Mr. GEORGE W. JOHNSON, C.M.G., Secretary.

Sir SPENCER WALPOLE, K.C.B.

ALSO PRESENT :

The Right Honourable LORD STRATHCONA AND MOUNT ROYAL, G.C.M.G. The Honourable W. PEMBer Reeves.

The Honourable Sir HORACE TOZER, K.C.M.G.

Mr. J. W. CAWSTON.

Mr. W. H. MERCER, C.M.G.

The CHAIRMAN: I think I will ask Mr. Johnson to give some account of what has taken place at the two meetings since I last was here.

The SECRETARY: The two meetings, Mr. Chairman, were, as you remember it was arranged that they should be, quite informal, and no minutes were kept or preserved. The details of a possible pooling arrangement were discussed.

I was requested to obtain the opinion of the legal adviser of the Colonial Office on the following points :-

(1) Is the Agreement between the New South Wales Government and the Eastern Extension Company of 16th January, 1901,* an Agreement in perpetuity?

(2) Can it be got rid of in any way except by consent, involving, say, a substi- tuted Agreement of some sort, or money compensation?

In answer to these two questions our legal adviser says:—

"The Agreement between the New South Wales Government and the Eastern Extension Telegraph Company of 16th January, 1901, is one of indefinite duration. It can only be rescinded by mutual consent expressed in writing (Clause 20). To obtain the consent of the Company will probably entail either the substitution of another Agreement, or the payment of compensation."

The next questions were :---

(3) Does the Commonwealth Agreement of 8th June, 1903, which by its preamble purports to be in substitution for the New South Wales Agreement and other specified Agreements, get rid of the New South Wales Agreement in such a way that it would not be revived when the Commonwealth Agreement is terminated? (4) If not, what amendment would be necessary in the Commonwealth Agree- ment to secure the non-revival at any time of the New South Wales Agreement?

Answer: The recital in the preamble that it is desirable to substitute one Agreement for certain other Agreements, including the one mentioned above, could not safely be relied upon to prevent the revival of the New South Wales Agreement on the termination of the Commonwealth Agreement. An express provision exclud- ing such revival should be inserted in the body of the Commonwealth Agreement."

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Appendix No. 2.

† Appendix No. 3.

C 2

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

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