CO129-344 - Public Offices & Foreign Office - 1907 — Page 308

CO129 Colonial Office Hong Kong Records 理藩院香港檔案 All

[This Document is the Property of His Britannic Majesty's Government.]

2

The Ministers categorically refused to agree to this. They explained that the negotiations under the new arrangement would still be carried on at Tien-tsin, and mentioned that the Decree empowered the two Viceroys to carry them on in a satisfactory manner, At the same time they indicated the possibility of the Viceroys not accepting the duty that had been imposed upon them.

It was finally agreed to wait a few days for the reply of the Wai-wu Pu, which would be sent to the Legations as soon as the Board was officially notified of the acceptance or refusal of the appointments.

This inorning Count Rex informed me that he proposed to see Prince Ch'ing and explain to bis Highness the situation. A difficulty had, he said, occurred with regard to the appointment of a Chinese Representative at Berlin, and he had instructions from his Government to make a representation to the Chinese Government on the subject. He would take the opportunity to make a statement to the Prince about the Tien-tsin-Chinkiang Railway question.

I have, &e.

Inclosure in No. 1.

(Signed)

J. N. JORDAN.

Memorandum from Count Rex and Sir J. Jordan to Wai-wu Pu.

COUNT REX, on behalf of himself and of his colleague the British Minister, makes the following statement :---

"Sir John Jordan and myself are here to-day to protest, on behalf of our Governments, against the transfer of the negotiations for the Tien-tsin-Yang-tsze Railway to the Viceroys Yuan Shih-kai and Chang Chih-tung. We are of opinion that as this Agreement constitutes an Imperial undertaking the negotiations should continue at Peking in the hands of the Yu-chuan Pu; the provinces being represented if necessary.

"Furthermore, we are of opinion that the transfer of these negotiations at the present advanced stage, is arbitrary, unnecessary, and calculated to postpone indefinitely the conclusion of an Agreement which has already been discussed for five years.

"Finally, understanding that the Imperial Government has recently authorized consideration of a proposal by the Chihli geutry for their construction of the railway in question, we desire to point out that such a step would constitute a serious breach of faith.

"We request that the Chinese Government will now direct that this Agreement be negotiated to its conclusion by the Yu-chuan Pu itself at Peking, and that instructions be given to this Board to reopen negotiations without delay.”

(

CHINA RAILWAYS.

CONFIDENTIAL.

[17910]

No. 1.

307

[June 3.1

SECTION 7.

Sir J. Jordan to Sir Edward Grey.-(Received June 3.)

(No. 189.)

Peking, April 18, 1907. Sir,

THE accompanying extract from a local newspaper purports to give the substance of an arrangement alleged to have been made between Messrs. Pauling and Co., and a Deputy of the Military Governor of Ili, respecting the construction of a railway in that portion of the Chinese Empire. Rumours of negotiations which are supposed to be going on at Shanghae on this question with Dr. Rutherford Harris as Representative of Messrs. Pauling and Co., have appeared from time to time in the newspapers, but I have not been disposed to attach any credence to them.

Yesterday, however, the Russian Minister called and asked me, apparently under instructions from his Government, if there was any truth in the reports. I told M. Pokotilow that I had absolutely no knowledge of any negotiations of the kind. He said that information which had reached him from the Russian Consuls in Chinese Turkestan led him to believe that the project was being seriously entertained by the present Governor of Ili.

From my knowledge of Messrs. Pauling and Co.'s proposals for the construction of other railways, I should say that the newspaper paragraph probably embodies the substance of an offer which has been made by their Agent; but it is very improbable that the Chinese Government, with more pressing claims to meet, will embark at present upon railway undertakings in such a remote and inaccessible part of the country.

I have, &c.

(Signed) J. N. JORDAN.

Inclosure in No. 1.

Extract from "Peking and Tien-tsin Times," April 18, 1907.

NEW BRITISH SYNDICATE AND CHINA'S RAILWAYS.

IT is reported that a certain British Syndicate, styled "The Pauling Syndicate,"

is anxious and ready to advance loans to the Chinese Government or private Companies to construct railways without asking for any mortgage on the railway property, or for any control of the line, so long as the loan is securely guaranteed by some collateral security or by the Imperial Government or even by responsible gentry or private individuals.

Recently a Deputy of his Excellency the Tartar-General of Ili was in Shanghae and entered into negotiations with the Representative of the Pauling Syndicate for the construction of a railway in Ili. According to the despatch of the Deputy to the Tartar-General, the following conditions were arrived at subject to the latter's approval and that of the Peking Government :---

1. The money and interest devoted to the railway undertaking is to be guaranteed

by the Imperial Chinese Government without any further pledge.

2. The cost of construction per mile is to be definitely fixed.

3. The railway is to be completed within the contracted period, otherwise a fine

shall be imposed in accordance with the number of days delayed.

4. The railway is to be constructed by sections. The cost of each section should be refunded to the Syndicate when such section has been handed over to the Chinese If the whole cost of each section Government and is ready for trains to run on.

cannot be paid at once it can be paid by instalments, but the unpaid portions should bear interest from date.

5. The Chinese Government may appoint a Chinese civil engineer who will

[2525 c-7]

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