CO129-350 - Public Offices - 1908 — Page 402

7. Twenty thousand pounds, part of the capital sum of 200,000£ secured by this bond, will be redeemed by the Company on the 31st day of December,

and

a similar amount on each succeeding

until the whole of the said capital sum of 200,000£ shall have been redeemed or paid off. And the Company will at the same time as every such payment of 20,000£ of capital is made pay, in addition thereto, to the bearer of this bond the following premiums on the said sum of 20,000£, namely, a premium of 20l per cent, thereon on the first date, 18l. per cent. thereon on the second date, 16l. per cent. thereon on the third date, 14l. per cent. thereon on the fourth date, 12l per cent. thereon on the fifth date, 10l. per cent, thereon on the sixth date, 8l. per cent, thereon on the seventh date, 6l. per cent, thereon on the eighth date, 4l. per cent. thereon on the ninth date, and 2l. per cent, thereon on the tenth date.

8. The capital sum of 200,000£ interest and premiums secured by this bond is also represented by special bonds for different capital amounts and at different rates of interest, and falling due at different dates, the particulars of which special bonds will be indorsed upon the back hereof and upon payment of the principal moneys, premiums, and interest secured by the said special bonds the Company shall be relieved of obligation to pay the corresponding amounts of the capital sum of 200,000£. premium or interest represented by this bond,

9. The proceeds of this loan are to be applied by the Company under the joint supervision and control of Messrs. Bewick, Moreing, and Co., of London, and Gustav Detring, of Tien-tsin, or their respective deputies, in the construction of a pier at the new Treaty port of Ching-wang Tao in the Province of Chihli, and in the acquisition and opening up of a new colliery near the railway station of Kuyeh on the Tien-tsin-Shanhaikwan railway-line, in the Province of Chihli, or such other colliery as may be approved by the said Bewick, Moreing, and Co., and Gustav Detring, and such pier and collieries are to be under the management of the said Bewick, Moreing, and Co., and Gustav Detring during the continuance of this security.

10. All payments of principal, premiums and interest will be at the office of the Railway Share, Trust, and Agency Company (Limited) in London.

Witnesses to the

(Signed)

signature of Mr. Chang Yen Mao:

HERBERT C. HOOVER,

G. DETRING (?).

Before me, this 20th day of September, 1890.

(Signed)

H. KING,

His Britannic Majesty's Pro-Consul, Tien-tsin.

[Chinese writing here.]

A

7

2. Mr. Hoover having declared the Yen-tung Shan silver mines exhausted, and recommended their being shut down, I wish to have it understood that I may also dispose of them as I think best for the interest of the Company.

3. With regard to the proposed new colliery at Wushui Chwang, I wish to have it clearly understood that although, until the repayment in full of the loan, you shall have the right to appoint the engineer who is to have charge of the technical directions of the colliery and to control generally the expenditure to be incurred in connection with the opening and working of the mine, the high supervision will be exercised by me and the Chinese Engineering and Mining Company, and that on my demand the engineer must be changed should at any time he act in a manner contrary to the interests of the Company or make himself objectionable. It shall, at the same time, be understood that the accounts of the colliery are to be kept in Chinese and English and in conformity with Western practice and statistical notions in accordance with the engineer's instructions,

4. The harbour works at Ching-wang Tao I wish to be conducted by Mr. Hughes, and that his functions be shaped and limited in the same manner as those of the engineer for the Wu-shui Chwang Mines as set forth above.

5. As to the loan of 200,000£, I desire that the sum of 150,000£. be as soon as possible remitted to the credit of the Chinese Engineering and Mining Company with the Chartered Bank of India, Australia, and China, at Tien-tsin, and that the balance of 50,000£. be placed to the Company's credit with the same bank in London, and that interest shall be reckoned and become due from the day the money has thus been remitted and deposited which should take place on the same day in order to facilitate the calculation of interest.

6. I desire that after the tenth year it shall be optional with the Chinese Engineering and Mining Company to repay the whole or any portions of the loan, on the understanding that on such repayments as will be made before the term when they become due the proportionate rate of premium according to the scale fixed upon by the mortgage bond shall be issued, and that this optional faculty left to the Company shall not interfere with the terms fixed upon in the bond for the repayment of the loan.

7. With regard to purchases of material and plant to be procured in England for the Wu-shui Chwang Colliery and the Ching-wang Tao Harbour Works, I propose that yourself and Messrs. Barry and Co., should act in consultation with Captain Calder.

Hoping that you will see your way to give your assent to the suggestions and wishes set forth in this letter, I remain, &c.

(Signed) CHANG YI [Chinese characters],

Director-General of all the Mines in Chihli Province and Jeno.

Dear Mr. Moreing,

Annexure No. 7.

Chang Yen Mao to Mr. C. A. Moreing,

Chinese Engineering and Mining Company,

Directors Office, Tien-tsin, October 17, 1899.

I BEG to inform you that by this outgoing mail, I despatch to the address of Captain Calder the letter and mortgage bond that are to enable you to raise on behalf of the Chinese Engineering and Mining Company a loan of 200,000£. required for, and to be applied to the construction of a harbour pier at Ching-wang Tao, and for the opening of a new colliery at Washui Chwang.

The delay which has occurred in the transmission of these documents will be explained to you by Mr. Detring.

In order to obviate further loss of time, I have signed the documents without any alterations of the text placed before me by you, but at the same time, I have directed Captain Calder to negotiate and obtain before handing over the papers, your written assent to the following alterations, additions, and interpretations of the mortgage bond :-

1. Although the whole of the property of the Chinese Engineering and Mining Company shall form the substantial security for the loan of 200,000£., I do not wish to be deprived under the bond signed of the faculty to dispose of the shares which the Company has in the Tangshan-Tien-tsin-Railway and various Mining Companies enumerated in the mortgage bond.

Annexure No. 8.

Imperial Decree communicated to Chang, Under-Secretary of the Grand Council, by the Imperial Cabinet, in obedience to their Majesties' Commands.

CHANG YI has submitted two Memorials, the first recommending the formation

of a Mining Association for the Province of Chihli and Tehol. The second containing a detailed report on Chin-wang Tao, where it is proposed to make a harbour, the funds required to be procured by a loan to be raised by the Kaiping Mining Company.

Chihli is the foremost province of the Empire, and it is right that it should take the lead in opening mines.

Chin-wang Tao is a place of strategical importance for coast defence. Having carefully considered the matters submitted, we now command the Under-Secretary to proceed to carry out his proposals. The work must be carried out gradually, and on a carefully matured plan, so as to insure success, and thus justify his appoint- ment.

Let this Decree be communicated to him for his information.

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