CO129-362 - Public Offices - 1909 — Page 343

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

AFFAIRS OF CHINA.

CONFIDENTIAL.

[25240]

No. 1.

341

9354

[July 5.]

SECTION 4.

-0

SEP OC

Sir J. Jordan to Sir Edward Grey,-(Received July 5)

(No. 214.) Sir,

Peking, June 15, 1909. WITH reference to my despatch No. 170 of the 8th ultimo, I have the honour to transmit to you herewith copy of a further despatch from the acting consul-general at Canton, describing the present position of the negotiations conducted locally for the settlement of the Pratas question.

It would appear that the point at issue, which retards the conclusion of an agreement, is one largely of form, since the Japanese Government are ready to recognise China's sovereignty over the atoll, while the Chinese authorities consent to grant compensation to the Japanese owner of the phosphate works by buying him out. There seems reason, therefore, to hope that this minor dispute between the two countries will soon be settled. The Japanese Minister told me in conversation a few days ago that he was also trusting to the Japanese consul at Canton settling the matter, and that he had therefore refrained from making any representations to the Central Government, a proceeding to which he would only have recourse in the last instance, and with great reluctance. He pointed out that, although the Japanese settlers had been established on the atoll for three years, the acts of aggression alleged to have been committed--the expulsion of Chinese fishermen and desecration of graves--had only recently been the subject of complaint, and were probably very much exaggerated.

I have heard from other sources that the permission to establish themselves on

the atoll was originally given to the Japanese by the governor of Formosa.

The accompanying translation of a petition addressed to the Viceroy of the Two Kwang, which has appeared in the "Peking Daily News" is enclosed,* as showing the Chinese point of view on this question.

I have, &c.

J. N. JORDAN.

* Not printed.

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