CO129-470 - Public Offices - 1921 — Page 284

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confers any right upon the Chinese Company to operate commercial

vireless stations in China", The Karooni Company granted to

the Chinese Company the right to the' use in China of all Marconi patents, rights, designs, drawings and secret processes, past, present and future, for wireless telegraphy and telephony. The

Government undertook that if the goods supplied by the Company

were not lower in quality nor more expensive than those offered

by other companies, the Government would purchase exclusively

from the Chinese Company all its present and future requiremente

in wireless telegraph and telephone apparatus, material and

supplies, and further, if the Government suffered no loss by

giving such work to the Chinese Company, that Company should be

exclusively entrusted with the repair and maintenance of all

wireless telegraph and telephone sşparstus and equipment in

China.

Finally, the Harconi Company undertook not to grant the

use of their patents etc. to any other person for use in China

in whole or in part, nor themselves to sell wireless telegraph

an telephone apparatus ate, except through the Chinese Company:

the Chinese Goverment on their part promised to do all in their

power ponding the duration of the contrast "to prevent any other

person within China infringing any of these rights causing lose

to the Company provided previous application is made by the

Chinese Company to the Goverment asking for protection.

3. The actual texts of the two agrements are to be found

in the printed papers already forwarded.

4. It is with these rights that the American Federal Company

have now collided. The first we heard of this was on January 16th

when Sir B. Alston telegraphed (his telegram No.20) that the Goverment were concluding an agrement with an american Company for the erection of high power wireless stations in China which must inevitably raise not only the question of the Cable Companies' monopoly but was also a breach of the Chinese obligations (see

above/