CO882-(6-8) — Page 32

PUBLIC RECORD OFFICE

Reference :-

TELEC.O. 882

6

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

PUBLIC

RECORD OFFICE, LONDON

425

work in contemplation, I must ask you to use these facts so that suspicion shall not be directed towards them.

Yours, &c.,

M. STEWART.

'GOVERNOR, Hong Kong, to HIS MAJESTY'S Chargé d'AffaIRES, Peking.

(Paraphrase.)

TELEGRAM.

July 26, 1906. With reference to your despatch of July 7th. The Viceroy's Secretary, Kung, on his way through Hong Kong to take part in the Canton- Kowloon Railway negotiations, informed me yesterday that it had been decided to proceed with the Canton-Whampoa Railway, which the Board of Commerce had recently sanctioned. On my pointing out that this line would compete with the line to Kowloon, he stated that if the final agreement for the latter had been signed three years ago Chang's competitive line would not have been begun.

NATHAN.

HIS MAJESTY'S Chargé d'AFFAIRES, Peking, to GOVERNOR, Hong Kong.

(Paraphrase.)

TELEGRAM.

Whampoa. As mentioned in my despatch of July 26th, on July 20th the Wai-wu-pu promised to make enquiries. When I received your telegram of yesterday I interviewed Tang privately, and he assured me that the Wai-wu-pu knew nothing of the arrangements alleged by Kung, and deprecated any further action until Kung can be interrogated here.

31951

(Secret.)

MY LORD,

No. 278.

GOVERNOR SIR M. NATHAN to THE EARL OF ELGIN. (Received August 28, 1906.)

CARNEGIE.

Government House, Hong Kong, July 27, 1906. REFERRING to previous correspondence on the subject of a loan to the Viceroy at Wuchang in connection with the proposed Canton-Hankow Railway, I have the honour to enclose, for information, a copy of a letter which I have to-day addressed to His Britannic Majesty's Consul-General at Canton with regard to the reported proposed appointment of a Belgian engineer to superintend that railway,

In the letter from Viceroy Chang Chih Tung to Consul-General Fraser, dated the 9th September last year, translation of which was enclosed in my secret despatch to Mr. Lyttelton, dated the 22nd of that month,* he promised that "with regard to the engineers needed for the construction of the railways, one-half will be of the nation that lends the funds (and) the other half will be Japanese." As no funds have been applied for from, or have been lent by, Great Britain for construction purposes, the employment of a Belgian Chief Engineer to superintend the construction of the line from Chinese funds can hardly be taken as a violation of the promise. It can, however, I think, fairly be stigmatised as an unfriendly and ungrateful act to this Government which enabled that of China to redeem the railway from foreign control.

I have, &c.,

SIR,

Enclosure in No. 278.

M. NATHAN.

Hong Kong, July 27, 1906.

I HAVE the honour to enclose extracts from the issue of "The China Mail" of July 25th and of "The South China Morning Post" and "The Hong Kong Daily

• No. 148.

129

Press" of to-day, on the subject of the engagement of a Belgian engineer to superin- tend the construction of the Canton-Hankow Railway.

2. In view of the assistance given by the Hong Kong Government in the redemption of the concession formerly held by the Americans and Belgians for this railway, the appointment of a foreign, other than British, engineer to superintend its construction cannot but be regarded as an unfriendly and ungrateful act towards this Colony.

3. Before I make a formal protest to His Majesty's Government in the matter, I shall be obliged by your verifying for me the facts stated in the public press, and, if you find them correct, by your making representations to the Viceroy on the subject.

EXTRACTS from the "CHINA MAIL," July 25, 1906.

CANTON-HANKOW RAILWAY.

BELGIAN ENGINEERS IN FAVOUR.

I have, &c.,

M. NATHAN,

Canton, July 24.

For months past, those charged with the construction of the Canton-Hankow Railway have been busily engaged in deciding as to the employment of engineers.

It has been proposed to ask Jeme Tin You to return, but Viceroy Yuan Shi Kai could not spare him. Then it was suggested to get hold of one named Kwong, who had returned from America, but his presence was needed in the construction of other lines.

The Directors seemed in a fix as to what to do, and in view of the fact that France is pushing forward the line from Yunnan, and that Great Britain is rapidly constructing the Canton-Kowloon line, they appeared to have been roused to move. As it was considered that work should begin at once it has been decided to engage Belgian engineers.

On the second day of this moon, the Director-General sent a wire to Sheng Kung Pao as follows:--

"To Sheng Kung Pao,

"I have repeatedly declined the directorship, but my refusal was not accepted. I have now promised to act for one year. Please advise amount of salary, personal character, &c., of the engineers employed in the Lu Han Railway. It has been suggested to employ them in the Canton-Hankow Railway. We would like to know if there would be any harm in engaging them. Please give us your advice and mail us a copy of the regulations of the Lu Ilan Railway-(Signed) Chang Kun Ying." The next day, a reply from Sheng Kung Pao, addressed to Viceroy Shum Chun Hsen was received, recommending a Belgian engineer. Viceroy Shum being at Whampoa, the telegram was transmitted to Toatai Wen for delivery to the Railway Directors.

The same day, the following message was despatched to Whampoa by the Railway Company :-

To His Excellency Shum Kung Pao, Whampoa,

"Your telegram has been received. If Jeme und Kwong are unable to come, the engineer recommended by Sheng should be engaged. Please enquire as to the amount of salary. Yesterday, we decided to appoint Wu to act as second engineer-in- chief and have requested Toatai Wen to inform you of this personally.--Chang Kun Ying."

Sheng Kung Pao means Shen Hsuan Wei--Kung Pao being a title. Shun Kung Pao is, of course, the Viceroy.

EXTRACTS from "THE SOUTH CHINA MORNING POST," July 27, 1906. BELGIAN ENGINEER RECOMMENDED.

His Excellency Viceroy Shum has received a telegram from His Excellency Sheng Kung Pao, Minister of Railways in China, recommending a Belgian engineer to be chief constructor of the Yuet-lian Railway. Viceroy Shum immediately cabled from Whampoa to Wen Taotai requesting the latter to inform the Railway Company the contents of Sheng's cablegram. The Chief Superintendent (Cheang Taotai) of the Yuet-Han Railway Company replied to Viceroy as follows:-

"If Messrs. Chim Tin Yau and Kwong Sheun Mow (engineers) are unable to come back to Canton to take up the position of chief constructor to the Yuet-Han Railway I will consent to your proposal to engage Hak Lap Sze (Belgian engineer). Please inform me the salary for engaging Hak Lap Sze."

FOREIGN ENGINEER FOR CANTON-HANKOW RAILWAY.

The "Se Man Pao" says:-On the 3rd day of this month a telegram was received inti- mating that a foreigner Chie Shao wished to become Chief Engineer of the Canton-Hankow Railway. This telegram was forwarded to Viceroy Tzen, who instructed Taotai Wen to ask