CO129-372 - Public Offices - 1910 — Page 252

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

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3. Commission on Materials,

As regards commission on materials, it was resolved that one-fifth be retained by purchasing agents to cover expenses, that the balance be divisible

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CHINA RAILWAYS.

On Hankow--Szechuan: Two-fourths to Chinese Central Railways (Limited), one-fourth to the German group, and one-fourth to the American group.

On Hankow-Canton: One-fourth cach to the British and Chinese Corporation (Limited), the French group, the German group, and the American group.

CONFIDENTIAL.

[17716]

No. 1.

19141

Dece

Rre 23 JUN 10 [June 2.]

SECTION 1.

4. Rotation of Purchasing Agents.

It was also resolved that upon any new loan being negotiated for the purposes of the extension referred to in article 4 of the agreement of the 23rd May, 1910, the group which is entitled to the appointment of chief engineer shall be entitled to nominate the purchasing agent.

FR. URBIG, CASENAVE. G. JAMIESON. W. STRAIGHT.

Sir Edward Grey to Mr. Max Müller.

(No. 191.) Sir,

Foreign Office, June 2, 1910. I HAVE received your despatch No. 127 of the 26th April transmitting a copy of a letter addressed to the London Board of the British and Chinese Corporation by their agent in China describing the present position of affairs in regard to the Shanghae-Ningpo Railway, and the result of the conversations he has had with Liang Shih Yi since his arrival in Feking.

I observe with regret that, as far as the actual state of affairs on the railway is concerned, no improvement can be reported, and that the Central Government are still unable to carry out the terms of the loan agreement.

In view, however, of all the circumstances described in your despatch and of the assurance that no more loan funds would be drawn until the situation was cleared up, I am prepared to concur in the advice given by Mr. Mayers to the corporation to exercise patience a little longer.

I approve the language held by you to Liang Tung-yen at the Wai-wu Pu, and I shall hope to receive in due course his Excellency's promised reply to Sir J. Jordan's note of the 21st December last.

0

[2792 6-1]

I am, &c.

E. GREY.

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