CO882-(6-8) — Page 6

PUBLIC RECORD OFFICE

Reference :-

C.O. 882

378

"Interview the Governor of Hong Kong and inform His Excellency that it appears to the Board of Directors that the Viceroy of Canton is disregarding orders from Peking to negotiate on the basis of the preliminary agreement, and that your instructions are proceed to Canton, adhere strictly to draft Agreement 16th February. We cannot accept modifications; if alterations desired by Chinese decline discussion; insist upon recognition our rights under preliminary agreement. The only other settlement is by full compensation of nature which can also be applied to our other concessions."

I am accordingly proceeding to Canton this evening, and trust that the letter to Mr. Scott, which you were kind enough to give me, will result in my obtaining an interview with the Viceroy. After seeing him, I shall be in a better position to judge of the prospects of arriving at an understanding in the matter.

Thanking you for your kind assistance and advice, I remain, Dear Sir Matthew,

Yours, &c.,

16609

No. 247.

GOVERNOR SIR M. NATHAN to THE EARL OF ELGIN.

(Paraphrase.)

(Received 8.50 p.m., May 10, 1906.) TELEGRAM.

I have sent following telegram to Satow:-

379

4. His Majesty's Government are unable to concur in the Viceroy's proposals as they appear to be inconsistent with the preliminary Agreement of the 28th March. 1899, which they expect the Chinese Government to give effect to, and they view with concern the attitude of the Viceroy with regard to the suggested arrangement His for the joint working of the Chinese and Hong Kong sections of the line. Majesty's Government understand that the negotiations have already been trans- ferred to Peking, where it is to be hoped that the Chinese negotiators will approach the question in a more reasonable spirit, and they are not prepared to discuss the matter in this country as such a course would only lead to confusion and to further delay.

I am, &c.,

16609

J. BLAND.

SIR,

'Referring to my despatch of the 6th April, 1905, as to Canton-Whampoa Railway. From Canton press articles and other information received I am satisfied that serious steps are being taken to carry out Chinese project for line from Canton past Whampoa along the right bank of the East River. Such a line runs for about 40 miles along the course of the Canton-Kowloon Railway, and the construction of it would be a breach of the preliminary agreement for that railway which stipulates conditions similar to those of Shanghai-Nanking Railway, one of which forbids the construction of rival lines without the consent of the British Chinese-Corporation. I suggest that representations should be sent at once to the Viceroy, which will prevent a breach of the engagement which has been entered into on behalf of the Chinese Government. Please in form Bland. Despatch follows by mail.”

No. 249.

COLONIAL OFFICE to FOREIGN OFFICE.

[Answered by No. 252.]

C. P. LUCAS.

Downing Street, May 12, 1906. WITH reference to previous correspondence respecting the proposed Canton- Kowloon Railway, I am directed by the Earl of Elgin to transmit to you, to be laid before Secretary Sir E. Grey, the enclosed copy of a telegram* from the Governor of Hong Kong with regard to the alleged intention to construct a Chinese railway line from Canton past Whampoa along the right bank of the East River.

2. If there is any foundation for Sir M. Nathan's belief that this undertaking is seriously contemplated, Lord Elgin is of opinion that His Majesty's Government should take whatever steps may be necessary to prevent the realization of a project which would be most detrimental to the interests of Hong Kong and of British

commerce.

17417

No. 250.

I am, &c..

H. BERTRAM COX.

6

PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC-

COPYRIGHT PHOTOGRAPH—NOT TO

3 B

15737

SIR,

No. 248.

COLONIAL OFFICE to FOREIGN OFFICE.

[See No. 263.]

Downing Street, May 12, 1906.

I AM directed by the Earl of Elgin to acknowledge the receipt of your letter of the 2nd instant,* enclosing a copy of a note from the Chinese Minister respecting the negotiations in regard to the Canton-Kowloon Railway.

2. Lord Elgin presumes that the telegram from the Viceroy of Canton, which is forwarded by the Minister, relates to the offer mentioned in the telegram of the 12th April to the British and Chinese Corporation from their representatives at Hong Kong, copies of which have been communicated privately to this Department, and also it is understood) to the Foreign Office. According to this telegram Mr. Bland positively refused to discuss the Viceroy's offer, and subsequently pro- ceeded to Peking, to which place the negotiations have been transferred.

3. In these circumstances Lord Elgin is disposed to fear that the answer which Sir E. Grey proposes to return to the note might lead to misapprehension and delay, in case the Chinese Government should affect to regard it as an invitation to com- municate the Viceroy's offer to His Majesty's Government in extenso, and should hang up the negotiations on this pretext. His Lordship would therefore suggest, for Sir E. Grey's consideration, that the answer to the note should be to the following effect.

• No. 243.

(Confidential.)

FOREIGN OFFICE to COLONIAL OFFICE.

(Received May 16, 1906.)

The Under-Secretary

Mr Carnegie, Poking, No. 300, May 14, 1906.

Foreign Office,

May 15, 1906.

of State for Foreign Affairs presents his compliments to the Under-Secretary of State for the Colonies and is directed by the Secretary of State to transmit the accompanying paraphrase of a telegram, as marked in the margin.

Enclosure in No. 250.

PARAPHRASE of Telegram from Mr. Carnegie to Sir E. Grey, No. 100, dated May 14, 1906.

With reference to your telegram, No. 93, of the 12th instant, on the subject of the Soochow-Ningpo Railway, I have the honour to inform you that no replies have been received from the Wai-wu Pu and the attitude of the Chekiang Governor is unchanged.

The delegates of the Canton Viceroy and the representative of the British and Chinese Corporation came to an understanding at Canton that the negotiations should be transferred to Peking; Mr. Bland, therefore, arrived here on the 29th ultimo and a discussion on the affairs of the Shanghai-Nanking Railway has been proceeding between him and the Director-General.

• No. 247.

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