[This Document is the Property of His Britannic Majesty's Government.] 295
[B]
CHINA RAILWAYS.
CONFIDENTIAL.
3447
[January 19.]
SECTION 2.
[2209]
No. 1.
Sir J. Jordan to Sir Edward Grey,~(Received January 19, 1911.)
(No. 474.) Sir,
Peking, December 30, 1910. SHORTLY after my return here I took a opportunity of consulting my French, German, and American colleagues on the subject of the Hukuang loan negotiations, and of ascertaining what steps they were prepared to take with a view to securing the ratification of the preliminary agreement of the 6th June, 1909. As the identic notes of the 22nd October and 25th November had not received even the courtesy of an acknowledgment from the Wai-wu Pu it was felt that nothing was to be gained by further correspondence, and it was suggested that the circumstances justified a concerted personal representation on the part of the Ministers of the four Powers. The German and French Ministers both welcomed the suggestion, but the American Minister appeared at first somewhat reluctant to join us, on the ground that he did not feel convinced that the Chinese Government were in a position to overcome the provincial opposition. Mr. Calhoun, however, frankly volunteered the admission that American intervention had been responsible for the miscarriage of the transaction in the first instance, and said that he felt it incumbent upon him to do what he properly
could to assist us.
A meeting of the four Ministers was accordingly convened at this legation for the purpose of arranging a concerted plan of action. A written statement, copy of which is enclosed, was drawn up complaining of the indifference with which the Wai-wu Pu persisted in treating our communications on the subject, and insisting on receiving without further delay a definite reply as to the intentions of the Imperial Government with regard to the settlement of the question. It was agreed that this document should be banded to the Grand Secretary in English and Chinese, and form the basis of our representation.
The interview took place at the Wai-wu Pu on the 27th instant. I handed the joint memorandum to the Grand Secretary, and explained that as our notes of the 22nd October and 25th November had failed to elicit any reply, we had no resource but to make a strong personal representation against the studied neglect with which the question was being treated, and to demand the immediate fulfilment of the preliminary agreement of the 6th June, 1909.
The Grand Secretary replied that the question primarily rested with the Board of Communications, to whom it had been entrusted on the death of his Excellency Chang Chih-tung. He admitted that there had been serious delay, for which, however, he could not accept responsibility, but from reports which had reached him during the last few days the prospects of a settlement seemed to have considerably improved, and he understood that the representatives of the banks had been invited to a conference at the Board of Communications on the 29th instant.
I replied that my colleagues and myself could not admit that the Wai-wu Pu was not responsible for the conduct of this, as of all other foreign questions. As a matter of fact, it was at the special request of the Wai-wu Pu that the three banks had undertaken to arrange for the participation of the American group, and negotiations having this object in view were carried on for some months between the three banks aud his Excellency Liang T'un-yen, the late president of the Wai-wu Pu. All four groups having complied with the Wai-wu Pu's request, it now only remained to give effect to the preliminary agreement.
The Grand Secretary endeavoured to maintain that Liang T'un-yen, in conducting the loan negotiations, was acting as the delegate of Chang Chili-tung, and not as president of the Wai-wu Pu.
The German Minister, Count Rex, insisted with some vehemence that the Wai-wu Pu alone represented the Imperial Government in the conduct of foreigu relations. It was only within the last year or two that the Wai-wu Pu had attempted to transfer its responsibility to other departments, and it was necessary to state formally,
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