CO129-333 - Governor Nathan - 1906 [1-4] — Page 81

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2.

Agreement which have been made by e foreign banks to the

Tientsin-Shan-hai-kwan and the Tientsin-Lucouchiao Railway

lines. The Administrator-General hereby certifies that

the total amount of the liabilities due by the lines named

does not exceed the sum of 3,000,000. taels.

(2) To the carrying out within a period of three years from the

date of this Agreement of certain improvements and addit-

ions to rolling stock on the existing lines between Peking

and Shan-hai-kwan, recommended by the European Chief Engin-

eer,

and estimated by him to cost about 1,500,000, taels.

(3) To the construction of a railway line from Chung-hou-sou to

Hain-ming-t'ing and one from a point on that line near

Shih-sau-chan to Ying-tzu, and of a branch line from Nu-erh

-ho to the collieries of Nanpiao.

The Administrator-General engages that the construct-

ion of the new lines here specified shall be completed

within a period of three years from the date of this Agree-

ment.

2. In the event of the proceeds of this loan being insufficient

for the completion of the new lines here specified, the Adminis- trator-General will provide or will arrange with the Imperial

Government of China to provide funds from other sources suffic-

ient to complete their construction.

3. This loan shall be a first charge upon the security of the

permanent way, rolling stock, and entire property, with the

freight and earnings of the existing lines between Peking and

Shan-hai-kwan, and on the freights and earnings of the new lines when constructed. The Administrator-General shall during the

continuance of this loan, maintain the railway buildings, works rolling-stock, and dependencies in good order and condition, and

shall increase the rolling-stock from time to time to such extent

as shall be necessary for the requirements of the traffic.

Should it be decided hereafter to construct branch lines or

extensions connecting with the lines herein named, their constr- -uction shall be undertaken by the Railway Administration, and

should the funds of the Railway Administration be insufficient