CO129-366 - Governor Sir Lugard Acting Governor May - 1910 [4-5] — Page 60

;

58

Conclosure 5.

124 21

British Section will be twice as high as the rates charged

on the Chinese Section. This matter is made clear in the

attached extract from a minute by the Assistant Colonial

Secretary, dated the 22nd. of last January. In assessing

the cost of construction (e.g. "Capital Cost) all items

not actually and immediately necessary (even though in the

case of the British Section they may have been charged to

16

as for

the Railway Loan Account) will be eliminated,

instance any part of the Kowloon Reclamation not actually

in use by the Railway. Only land resumed from private

ownership and paid for is included.

I also desire to invite Your

Lordship's special attention to Article 28 of the draft

Agreement and in this connection I would refer to my Con-

-fidential Despatch of the 31st. ultimo. The connection

of the Kowloon-Canton line with the Canton-Hankow line is,

of course, a matter of vital importance to the success of

the undertaking. Articles 29 30 and 34 are also of

special interest.

5.

With regard to Article 31 of the

draft Agreement, I have the honour to explain that pro-

-longed discussions have taken place with Mr. A. H. Harris,

the Commissioner of the Imperial Maritime Customs for the

adjacent

Page 60Page 61

<