CO129-344 - Public Offices & Foreign Office - 1907 — Page 289

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Excellency Tong Shao-yi is forwarded herewith for your Excellency's information. The subject of it is sufficiently important. I trust there is nothing in its form or purport to render it deserving of inattention.

Your Excellency,

I have, &c.

(Signed)

GEORGE BROWN,

Agent-General.

Inclosure 3 in No. 1.

Mr. G. Brown to Tong Shao-yi.

Tien-tsin, December 18, 1906. IN the Agreement for the establishment of smelting works in Shansi and for the joint working of Shansi iron mines, executed at Peking on the 3rd July, 1905, by his Excellency Shêng Kung Pao, then Director-General of Railways, and Mr. George Jamieson, then Agent-General of this Syndicate, a copy of which document in English and Chinese is attached hereto for reference, Article 1 is to this effect :-

"Whereas the Shansi Bureau of Trade having been granted the sole right to work iron and coal in Yu Hsien, Pingting Chow, Luan, Tsechow, and Pingyang Fu, entered into an Agreement with the Peking Syndicate in the 24th year of Kuangsu (1898), whereby the Syndicate was requested to work the aforesaid mines for a term of sixty years, now it is further agreed as follows: China being desirous to join in the working of iron in the above-mentioned places, namely, Yu Hsien, Pingting Chow, &c., and of coal and coke required for smelting purposes, the Peking Syndicate consents to such participation to the extent of one-half share, the joint working to be for a term of sixty years and the term to run from the date of issue of the (Governor's) permit to work, &c."

I am now in receipt of a communication from the Board of Directors of the Peking Syndicate in London, expressing a desire to arrange at once, in consultation with the proper authorities, for the carrying out of the terms of this Agreement, and I would ask your Excellency to be so good as to inform me with whom I can enter upon the necessary negotiations preparatory to the initiation of the work.

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issue of the permit in respect of the Ping-ting Chou coalfields alone began on the 1st January last; that the rate of compensation would be increased above 2007, a-day after a certain period; and that the Chinese Government would be held responsible for the payment of the claim.

Over three months have passed and the compensation due to the Peking Syndicate up to date amounts to 20,000. Yet I see no indication that the permit applied for eighteen months ago in accordance with the terms of the Syndicate's Agreement will be issued, and I am obliged to press the matter once more on your Highness' attention.

The situation as it stands is not without grave danger to the credit of the Chinese Government. A solemn covenant signed by the representative of the Shansi Bureau of Trade, sealed by the Tsung-li Yamên, and confirmed by Imperial Decree is being violated by the high authorities of Shansi at the bidding of certain agitators, students, and officials, and if a flagrantly illegal proceeding of this nature is not vigorously suppressed by the Central Government the result must be a diminution of prestige in the financial markets of the world.

I have the honour to request your Highness to take the necessary steps without loss of time to compel the Shansi authorities to perform their manifest duty in this matter, and so avoid an addition to the claim for compensation which has already been presented.

I avail, &c. (Signed) J. N. JORDAN,

I have, &c. (Signed)

GEORGE BROWN,

Agent-General.

Your Highness,

Inclosure 4 in No. 1.

Sir J. Jordan to Prince Ch'ing.

Peking, April 15, 1907.

I HAVE the honour to inclose herewith copy of an application which was addressed by Mr. George Brown, Agent-General of the Peking Syndicate, to his Excellency Tong Shao-yi, Vice-President of the Wai-wu Pu, on the 18th December, 1906, with regard to the carrying out of the terms of the Shansi Smelting Agreement of 1905.

Mr. Brown informs me that he has not yet received a reply to this communica- tion, and I would therefore request that he may be favoured with one at the carliest convenience to your Highness.

I avail, &c.

(Signed)

J. N. JORDAN.

Your Highness,

Inclosure 5 in No. 1.

Sir J. Jordan to Prince Ching.

Peking, April 15, 1907.

IN a note of the 31st December, 1906, I had the honour, in accordance with the instructions of His Majesty's Government, to inform your Highness that the claim of the Peking Syndicate for damages at the rate of 2001. a-day for each day's delay in the

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