2
orders to the Board, with whom he associated for the purpose Taotai Kwang of the Kiangnan Arsenal, that they were to form or appoint a Commission to inquire into the charges made by Mr. Ku Hung Ming, and a few days later an announcement appeared in the papers to the effect that Mr. J. O. Anderson, a Eurasian lawyer, who, I believe, is attached to the Shanghae Taotai's staff, Mr. H. Du Fion Hutchison, an English merchant, Mr. J. C. E. Douglas, lately Registrar of His Majesty's Supreme Court, and now practising as a lawyer here, and Mr. W. A. Carlson, the Harbour-master, had been nominated by the Board to hold the inquiry in their name.
On hearing of the appointment of this Commission, which in many respects was not a satisfactory one for the purpose, Sir Pelham Warren saw the Commissioner of Customs, and pointed out to him that it was his duty and that of the Taotai as the official members of the Board under the terms of the Convention to hold the proposed investigation themselves, and that for them to delegate their powers to an irresponsible Commission was not only contrary to the Articles of the Convention but was also in many other ways undesirable. The Commissioner demurred at first on the ground that neither he nor the Taotai had the time or the inclination to conduct the investigation, but in the end he fell in with Sir Pelham Warren's views and agreed to try to induce the Taotai to hold the inquiry jointly with him, provided, of course, that the Viceroy gave his consent. This was the position when Sir Pelham Warren handed over charge to me on the 2nd instant, except that, in the meanwhile, the Consular Body had addressed a letter to the Commissioner of Customs protesting officially against the appointment of the Commission.
Yesterday I called on the Commissioner of Customs and took the opportunity of inquiring whether the Commission had been dissolved and arrangements made by him and the Taotai to hold the inquiry themselves. He replied that, while the Taotai was agreeable, they had not yet obtained the consent of the Viceroy. It had been his intention to go up to Nanking and interview his Excellency in person on the subject, but he had been informed that the Viceroy was on tour and was not expected back for some days, so he had been obliged for the time being to postpone his visit, meanwhile nothing could be done.
Whether the charges made by Mr. Ku Hung Ming against the contractors have any solid foundation in fact or not I am unable to say. I understand that they are repudiated by the Board's engineers as well as by the contractors themselves. It is not denied by the latter that bonuses have been given to the overseers whose duty it is to measure the amount of mud removed by the dredgers, but it is claimed that the practice is one which prevails amongst contractors all over the world, and its object is to get better work than they would otherwise get out of the men. These overseers are appointed by the Board to supervise the work done by the contractors and measure the cubic capacity of the soil dredged by their machines. In the dredging contract it is stated that the dredged material deposited shall be measured on shore within spaces surrounded by earthen, wooden, or other fixed walls, and after having drained the surface water.
It appears, however, that this is not the practice followed. The measuring is done while the dredged material is still in the barges into which it is deposited by the dredgers. The mud sinks to the bottom of the vessels, leaving, as a rule, several feet of surface water above it. The overseer measures the depth of this water by dipping a measuring rod into it until it touches the solid deposit beneath. He then works out its cubic capacity, which he deducts from that of the barge itself, and the balance is returned as the amount dredged according to which the contractors have to be paid. It is on these measurements that the Chinese Government is alleged to have been defrauded.
There can be no doubt that the system in vogue is more favourable to the contractors than that laid down in the dredging contract, but without doubt the chief objection to it is the temptation to fraud which it offers. The overseers are, as a rule, men of low class and poorly paid. It is therefore by no means improbable that, as Mr. Ku Hung Ming alleges, their measurements have to some extent been influenced by their bonuses. On the other hand, I do not believe that any irregularities which may be brought to light will prove nearly as serious as they appear now to Mr. Ku Hung Ming, who estimates that the loss to his Government already exceeds 150,000 dollars.
With regard to Mr. Ku Hung Ming's allegations against the Dutch Consul-General here, the reason which M. von Zeppelin gives for having refused to allow proceedings to be instituted in his Court against Mr. Drakeford's assailant is that the evidence of the witnesses showed that Mr. Drakeford fell overboard, and that there was no proof that a deliberate attempt to drown him had been made. It is probable, however, that M. von Zeppelin did not wish the case to be made a pretext for an exposé in his Court of the alleged irregularities of the contractors, which was undoubtedly the intention of Mr. Ku Hung Ming.
The inclosed copy of a leading article which appeared in the "North China Daily News" of yesterday is a correct index of the general feeling on the subject at Shanghae. There can be no doubt that the impression prevails that an attempt has been made officially to stifle public inquiry into the charges, and it is therefore in every way desirable that the investigation by the Taotai and the Commissioner of Customs should be held as soon as possible and that the result should be made generally known.
I am also forwarding herewith a translation of the Viceroy's despatch to the Board ordering an inquiry to be held. It was furnished to Sir Pelham Warren by Mr. Ku Hung Ming, who in sending it remarked that, as the scope of the inquiry appeared from the despatch to include the stewardship of the Shanghae Taotai and the Commissioner of Customs as Directors of the Conservancy Board, it was evident that the Viceroy, who was the representative of the Chinese Government, did not wish the inquiry left entirely in their hands.
It is not expected, however, that the Viceroy will raise any objection to the investigation being conducted by the two official members of the Board.
I have, &c. (Signed) F. E. WILKINSON.
(Translation.)
Inclosure 2 in No. 1.
Viceroy to Mr. Ku Hung Ming.
TUAN-FANG, Viceroy of Liang Kiang, &c.
In the matter of ordering a Commission of Inquiry, whereas the Metropolitan Department Secretary Ku Hung Ming, Assistant or Deputy Director of the Huangpu Conservancy Board, has personally reported to me that, in connection with the dredging operations now being carried out by the contractors, the East Asiatic Dredging Company, there have been allegations made from outside which should be thoroughly investigated, so that public suspicion may be allayed, I now find that the Imperial Chinese Government has taken upon itself to solely provide large sums of money to improve the Huangpu River, for the benefit of the navigation of the mercantile communities of all nations. Under these circumstances, the East Asiatic Dredging Company should keep strictly to the terms of their contract and carry out the work intrusted to them properly. Now, how is it that there should be these allegations from outside? The truth or untruth of these allegations must be thoroughly probed.
If it should be found that in carrying out these conservancy works there has been any the least irregularity, the Shanghae Taotai and the Commissioner of Customs at Shanghae will be held responsible.
I now therefore specially charge the Shanghae Taotai Tsai, joining with him the Director of the Kiangnan Dock and Engineering Works, Kwang Taotai, who will act, together with the Commissioner of Customs at Shanghae and the Department Secretary, Ku Hung Ming, Assistant or Deputy Director of the Huangpu Conservancy Board, to form a Commission which will summon witnesses, secure evidence, and impartially examine them—in fact, thoroughly and searchingly sift the matter to the bottom for the protection of these important public works.
Besides first having sent a telegram in this sense, I now send this despatch. On the receipt thereof the said Department Secretary Ku Hung Ming shall at once act together with the Shanghae Taotai, the Commissioner of Customs at Shanghae, and Taotai Kwang, the Director of the Kiangnan Dock and Engineering Works, consulting harmoniously with them and concerting such measures as may be necessary to strictly investigate into the whole matter and arrive at the truth, reporting to me the result for further action.
Inclosure 3 in No. 1.
Acting Consul-General Wilkinson to Sir J. Jordan.
(No. 87.) Sir,
Shanghae, September 14, 1908. IN continuation of my despatch No. 86 of the 10th instant, on the subject of certain irregularities that are alleged to have arisen in connection with the dredging
3
2
orders to the Board, with whom he associated for the purpose Taotai Kwang of the Kiangnan Arsenal, that they were to form or appoint a Commission to inquire into the charges made by Mr. Ku Hung Ming, and a few days later an announcement appeared in the papers to the effect that Mr. J. O. Anderson, a Eurasian lawyer, who, I believe, is attached to the Shanghae Taotai's staff, Mr. H. Du Fion Hutchison, an English merchant, Mr. J. C. E. Douglas, lately Registrar of His Majesty's Supreme Court, and now practising as a lawyer here, and Mr. W. A. Carlson, the Harbour-master, had been nominated by the Board to hold the inquiry in their name.
On hearing of the appointment of this Commission, which in many respects was not a satisfactory one for the purpose, Sir Pelham Warren saw the Commissioner of Customs, and pointed out to him that it was his duty and that of the Taotai as the official members of the Board under the terms of the Convention to hold the proposed investigation themselves, and that for them to delegate their powers to an irresponsible Commission was not only contrary to the Articles of the Convention but was also in many other ways undesirable. The Commissioner demurred at first on the ground that neither he nor the Taotai had the time or the inclination to conduct the investigation, but in the end he fell in with Sir Pelham Warren's views and agreed to try to induce the Taotai to hold the inquiry jointly with him, provided, of course, that the Viceroy gave his consent. This was the position when Sir Pelham Warren handed over charge to me on the 2nd instant, except that, in the meanwhile, the Consular Body had addressed a letter to the Commissioner of Customs protesting officially against the appointment of the Commission.
Yesterday I called on the Commissioner of Customs and took the opportunity of inquiring whether the Commission had been dissolved and arrangements made by him and the Taotai to hold the inquiry themselves. He replied that, while the Tastai was agreeable, they had not yet obtained the consent of the Viceroy. It had been his intention to go up to Nanking and interview his Excellency in person on the subject, but he had been informed that the Viceroy was ou tour and was not expected back for In the some days, so he had been obliged for the time being to postpone his visit, meanwhile nothing could be done.
Whether the charges made by Mr. Ku Hung Ming against the contractors have any solid foundation in fact or not I am unable to say. I understand that they are repudiated by the Board's engineers as well as by the contractors themselves. It is not denied by the latter that bonuses have been given to the overseers whose duty it is to measure the amount of mud removed by the dredgers, but it is claimed that the practice is one which prevails amongst contractors all over the world, and its object is to get better work than they would otherwise get out of the men. These overseers are appointed by the Board to supervise the work done by the contractors and measure the cubic capacity of the soil dredged by their machines. In the dredging contract it is stated that the dredged material deposited shall be measured on shore within spaces surrounded by earthen, wooden, or other fixed walls, and after having drained the surface water.
It appears, however, that this is not the practice followed. The measuring is done while the dredged material is still in the barges into which it is deposited by the dredgers. The mud sinks to the bottom of the vessels, leaving, as a rule, several feet of surface water above it. overseer measures the depth of this water by dipping a measuring rod into it until it touches the solid deposit beneath. He then works out its cubic capacity, which he deducts from that of the barge itself, and the balance is returned as the amount dredged according to which the contractors have to be paid. It is on these measurements that the Chinese Government is alleged to have been defrauded.
An
There can be no doubt that the system in vogue is more favourable to the contractors than that laid down in the dredging contract, but without doubt the chief objection to it is the temptation to fraud which it offers. The overseers are, as a rule, men of low class and poorly paid. It is therefore by no means improbable that, as Mr. Ku Hung Ming alleges, their measurements have to some extent been influenced by their bonuses. On the other hand, I do not believe that any irregularities which may be brought to light will prove nearly as serious as they appear now to Mr. Ku Hung Ming, who estimates that the loss to his Government already exceeds 150,000 dollars.
With regard to Mr. Ku Hung Ming's allegations against the Dutch Consul-General here, the reason which M. von Zeppelin gives for having refused to allow proceedings to be instituted in his Court against Mr. Drakeford's assailant is that the evidence of the witnesses showed that Mr. Drakeford fell overboard, and that there was no proof that a deliberate attempt to drown him had been made. It is probable, however, that M. von Zeppelin did not wish the case to be made a pretext for an exposé in his Court
3
of the alleged irregularities of the contractors, which was undoubtedly the intention of Mr. Ku Hung Ming.
The inclosed copy of a leading article which appeared in the "North China Daily News" of yesterday is a correct index of the general feeling on the subject at Shanghae. There can be no doubt that the impression prevails that an attempt has been made officially to stifle public inquiry into the charges, and it is therefore in every way desirable that the investigation by the Taotai and the Commissioner of Customs should be held as soon as possible and that the result should be made generally known.
I am also forwarding herewith a translation of the Viceroy's despatch to the Board ordering an inquiry to be held. It was furnished to Sir Pelham Warren by Mr. Ku Hung Ming, who in sending it remarked that, as the scope of the inquiry appeared from the despatch to include the stewardship of the Shanghae Taotai and the Commissioner of Customs as Directors of the Conservancy Board, it was evident that the Viceroy, who was the representative of the Chinese Government, did not wish the inquiry left entirely in their hands.
It is not expected, however, that the Viceroy will raise any objection to the investiga- tion being conducted by the two official members of the Board.
I have, &c. (Signed) F. E. WILKINSON.
(Translation.)
Inclosure 2 in No. 1.
Viceroy to Mr. Ku Hung Ming.
TUAN-FANG, Viceroy of Liang Kiang, &c.
In the matter of ordering a Commission of Inquiry, whereas the Metropolitan Department Secretary Ku Hung Ming, Assistant or Deputy Director of the Huangpu Conservancy Board, has personally reported to me that, in connection with the dredging operations now being carried out by the contractors, the East Asiatic Dredging Company, there have been allegations made from outside which should be thoroughly investigated, so that public suspicion may be allayed, I now find that the Imperial Chinese Government has taken upon itself to solely provide large sums of money to improve the Huangpu River, for the benefit of the navigation of the mercantile communities of all nations. Under these circumstances, the East Asiatic Dredging Company should keep strictly to the terms of their contract and carry out the work intrusted to them properly. Now, how is it that there should be these allegations from outside? The truth or untruth of these allegations must be thoroughly pribed.
If it should be found that in carrying out these conservancy works there has been any the least irregularity, the Shanghae Taotai and the Commissioner of Customs at Shanghae will be held responsible.
I now therefore specially charge the Shanghae Taotai Tsai, joining with him the Director of the Kiangnau Dock and Engineering Works, Kwang Taotai, who will act, together with the Commissioner of Customs at Shanghae and the Department Secretary, Ku Hung Ming, Assistant or Deputy Director of the Huangpu Conservancy Board, to form a Commission which will summon witnesses, secure evidence, and impartially examine them-in fact, thoroughly and searchingly sift the matter to the bottom for the protection of these important public works.
Besides first having sent a telegram in this sense, I now send this despatch. On the receipt thereof the said Department Secretary Ku Hung Ming shall at once act together with the Shanghae Taotai, the Commissioner of Customs at Shanghue, and Taolai Kwang, the Director of the Kiangnan Dock and Engineering Works, consulting harmoniously with them and concerting such measures as may be necessary to strictly investigate into the whole matter and arrive at the truth, reporting to me the result for further action.
Inclosure 3 in No. 1.
Acting Consul-General Wilkinson to Sir J. Jordan.
(No. 87.) Sir,
Shanghae, September 14, 1908. IN continuation of my despatch No. 86 of the 10th instant, on the subject of certain irregularities that are alleged to have arisen in connection with the dredging
131
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