CO129-344 - Public Offices & Foreign Office - 1907 — Page 430

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.]

CHINA RAILWAYS,

CONFIDENTIAL.

428

25167 May 13.]

SECTION JUL 07

Į

[15489]

(No. 77.)

No. 1.

Sir J. Jordan to Sir Edward Grey.-(Received May 13.)

(Telegraphic.) P.

VICEROY of Wuchang's foreign loan.

Please see your telegram No. 47 of the 8th instant.

Peking, May 11, 1907.

Japanese Consul at Haukow has informed His Majesty's Consul-General there that the proposed loan is for the construction of railways south and west, and that Mr. Odagiri, the Japanese negotiator, is in hopes of inducing the Viceroy to declare that loan is for railways, instead of saying that it is for industrial undertakings.

The Japanese Consul added that as the Tokio Stock Exchange could not take many bonds, the issue of bonds there would only be a matter of "face."

I have replied to His Majesty's Consul-General by telegraph to the effect that Viceroy is bound to apply to British and not to Japanese capital, as his object is railway construction, and that if the Japanese negotiations are successful the substitution of Japanese for British preponderance with the assistance of British capital may possibly ensue. I have added that the admission of Japanese financial participation would not be objected to.

If His Majesty's Government would authorize me to speak to my Japanese colleague on the subject, it might perhaps clear the situation.

I have repeated the above to His Majesty's Chargé d'Affaires at Tôkið.

[2481 n--21

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