CO129-470 - Public Offices - 1921 — Page 328

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Enclosure No. 2.

Agreement.

AGREEMENT made at Peking this 27th day of August, 1918, by and between the Government of the Republic of China, represented by the Ministry of War of said Government, hereinafter referred to as "the Government and Marconi's Wire- less Telegraph Company (Limited), a limited liability company registered under the laws of England, hereinafter referred to as "the Company."

Witnesseth that

1. The Government being desirous of purchasing and erecting a number of wire- less telephone equipments, the Company hereby agrees forthwith to supply the Government with the cash and credit necessary for the purpose of such purchase and erection to the amount of 600,000, and the Government now hereby places an order with the Company for 200 wireless telephone field sets of the latest type at the price hereinafter stipulated, the total purchase price to be debited against the said sum of 600,0007, hereinabove provided for.

2. The price of each wireless telephone set together with its accessories to be 1,500/. c.i.f. Shanghai, making the total price purchase amount to 300,0002., and each set is guaranteed to communicate 40 miles over flat country. Any goods damaged in ocean transit may be rejected by the Government, or any shortage of shipments shall be made good by the Company. Should any set fail to communicate over the distance specified the Government shall have the right to return to the Company such rejected set, or sets, at the Company's expense.

3. The entire order of 200 sets together with all accessories thereto, shall be ready for shipment from an English port not later than seven months after the execution of these presents unless the Company's works have more important Allied Government war orders to fill, and, if shipping facilities permit, the entire 200 sets should be delivered in Shanghai within nine months from this date. Deliveries shall be made by the respective shipping companies to a representative of the Government at Shanghai against bills of lading endorsed by the Company.

4. The balance of the said sum of 600,000, hereinabove provided for, viz.. 300,000, shall be transferred to the credit of the Government without discount at the earliest possible date after execution of this agreement.

5. The said sum of 600,000 shall be repayable in sterling in five equal instal- ments beginning on the 29th day of August. 1924, and following thereafter on the 28th day of August of each consecutive year until the whole amount is paid.

6. The said sum of 600,000, or any outstanding balance thereof, shall bear interest at the rate of 8 per cent. per annum payable in sterling semi-annually on the 28th days of February and August of each year following the date of this agreement. 7. As security for the payment of the above stated sum of 600.0007. and interest thereon at the rate of 8 per cent. per annum, the Government shall forthwith upon the execution of these presents issue to the Company negotiable Treasury notes in pounds sterling in the several amounts, and payable at the respective due dates of the several payments of principal and interest provided for above.

8. As the indebtedness is reduced by yearly amortisation of the said amount of 600.0007.. as hereinabove provided for, notes in proportion to the instalments paid shall be returned to the Government, always providing that interest on the said sum of 600,000/, or any outstanding balance thereof is not in default. If, however, any portion of capital or interest is not paid when due the Company shall have the right to dispose of a sufficient number of notes to meet the Government's delinquency, but in such case the Government shall remain liable for any deficit.

9. Import duties and other Chinese taxes, if any, shall be at the charge of the Government who shall make all necessary arrangements in regard thereto.

10. The Company shall place at the disposal of the Government, but at the Company's expenses as to salary and transportation, a competent wireless engineer for the period of one and one-half years from a date to be hereafter fixed, for the purpose of the education and training of a staff of wireless uperators, either in one of the established schools in China or in a school especially established by the Govern- ment for the purpose. The Government shall provide the said engineer with suitable furnished quarters, together with light and heat, for himself and family.

11. In consideration of the above, the Government hereby undertakes that unti the complete payment of the said sum of 600,000, hereinabove provided for it will exclusively adopt Marconi's system of wireless telephony and to that end the Company hereby binds itself to quote the lowest possible prices for any future goods supplied to the Government from time to time within the period of this agreement, which prices shall, under no circumstances, be in excess of those quoted to other Governments for similar goods under similar conditions of purchase, always providing that the Com- pany offers equipment as efficient as that obtainable elsewhere.

12. In consideration of the above the Government promises that in the event the Government decides to establish a repair shop or factory for the maintenance of wireless installations in China, or for the manufacture of wireless apparatus, the Government will first open discussions with the Company with the view of arranging joint operation of such factory by the Government and the Company.

13. This agreement shall be executed in two exemplars each of Chinese and English versions.

In case of discrepancy or in the event of doubt arising regarding the interpretation of this agreement the English version shall rule. Immediately after execution this agreement shall be officially communicated to the British Minister in Peking by the Wai-chiao Pu.

In witness whereof this agreement is signed on behalf of the Government of the Republic of China by the Ministry of War, and sealed with the seal of the Ministry of War, and is signed on behalf of Marconi's Wireless Telegraph Company (Limited), by its duly authorised Attorney.

(Marconi's Wireless Telegraph

Company Limited),

TING CHING

(duly authorised by Minister

of War)

A. H. GINMAN,

Attorney-in-fact.

In the presence of:

SOGTSU G. KING, Witness,

In the presence of:

T. K. TSENG, W'itness.

Enclosure No. 3.

Wai-chiao Pu to Sir J. Jordan.

(Translation.)

Sir,

October 23, 1918.

I HAVE the honour to inform you that I am in receipt of a despatch from the Ministry of Communications stating as follows:—

"With reference to the arrangements made by this Ministry with the Marconi Wireless Telegraph Company (Limited), for the purchase of machinery and provision of funds for the installation of wireless telegraph stations in Kansu and Hsinkiang, the agreement has now been drawn up and signed by both parties. It is requested that the same may be officially communicated to the British Minister in Peking in accordance with article 11 of the agreement."

I accordingly have the honour to transmit to your Excellency, for purposes of record, one copy of the Chinese and English texts of the said agreement as received from the Ministry of Communications, and would request the favour of an acknowledgment.

Enclosure No. 4.

Agreement.

I avail, &c.

(Seal of the Wai-chiac Pu)

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AGREEMENT made at Peking this 9th day of October, 1918, by and between the Government of the Republic of China, represented by the Ministry of Communi- cations of the said Government, hereinafter referred to as the Government," and Marconi's Wireless Telegraph Company (Limited), a limited liability company registered under the laws of England, hereinafter referred to as the Company."

Witnesseth that--

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1. The Government, being desirous of establishing reliable communication between Kashgar and Sianfu, and now wishing to purchase and erect three wireless