CO129-349 - Governor Sir Lugard - 1908 [10-12] — Page 171

167

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after several years of annual deficit, when the gross receipts

did not cover working expenses, an agreement was come to by

which the Goa railway was handed to the British line, with as

proved, the happiest results.

There does not appear to be any insurmount-

-able difficulty why the Kowloon section should not be placed

under the working management of the British General Manager at

Canton, under a satisfactory agreement which will safeguard

the mutual interests of the contracting parties. It is hardly

likely that the Chinese Government will agree to the British

management of their line from the frontier to Canton, seeing

that this section will eventually be linked in with the rest of

the main line to Hankow, now under experimental construction,

the completion of which may perhaps eventually become an

Imperial project.

25th. September, 1908.

(sd.) W. Butler Wright.