CO129-361 - Public Offices - 1909 — Page 334

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

CHINA RAILWAYS.

CONFIDENTIAL.

[15643]

C.O. 16123

33

[April 26.]

13 MAY OT

SECTION 1.

No. 1.

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(No. 146.) Sir,

Sir J. Jordan to Sir Edward Grey.--(Received April 26.)

Peking, April 9, 1909. WITH reference to your telegram No. 67 of the 3rd April, and to my telegram No. 74 of the 4th April, I have the honour to inclose, for your information, copy of the note to Prince Ch'ing in which the protest of His Majesty's Government against any breach of the undertaking given by his Excellency Chang Chih-tung in 1905 in the matter of the Hankow-Canton Railway is recorded.

I have, &c. (Signed)

Your Highness,

Inclosure in No. 1.

Sir J. Jordan to Prince Ching.

J. N. JORDAN,

Peking, April 4, 1909. ON the 23rd February I had the honour to address a letter to his Excellency Liang Tun-yen on the subject of the Hankow-Canton Railway Loan negotiations, in which I stated, for the information of the Grand Secretary Chang Chih-tung, the natures of the obligations incurred by the Chinese Government under the arrange- ments concluded between the Grand Secretary and His Majesty's Consul-General at Hankow in September 1905; and since that date I have had several conversations with his Excellency Liang Tun-yen, in which the views recorded in that letter were repeated and emphasized,

It is unnecessary to recapitulate all that has been clearly stated in the letter and the conversations above mentioned. It is sufficient to reassert that the essential feature of all my communications was that, according to a fair and reasonable interpretation of the 1905 Agreement, which was a concession in return for the extraordinary act of friendship of His Majesty's Government in making the loan of 1,100,0007., the Grand Secretary was bound to give me the refusal of the lowest bond fide offer for the Hankow-Canton Railway Loan, if that offer was not made by British financiers.

His Majesty's Government has been greatly concerned to note the extreme want of regard for just obligations shown by the Grand Secretary Chang Chih- tung in this matter, which, if not checked, may have a prejudicial effect on the friendly relations existing between the two countries, and I am now in receipt of telegraphic instructions from His Majesty's Secretary of State for Foreign Affairs to enter the protest of His Majesty's Government against any breach of the undertaking given by the Grand Secretary, and to state that His Majesty's Government, if any such breach is committed, reserve the right to raise the question of the advantages to which they may fairly be entitled according to a reasonable interpretation of the whole

I avail, &c. (Signed)

transaction of 1905.

J. N. JORDAN.

re

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