CO129-512-5 Boxer Indemnity Settlement 21-5-1929 - 21-5-1929 — Page 90

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Sun Fo's rejection of assurance about existing

contracts is definitely objectionable, as are

the words which he proposes to insert. I have

modified the phraseology in order to make the

condition in question more acceptable, but I

cannot go further than this.

The phraseology of paragraph 4 of my

redrafted note can be reconciled with our

Consortium obligations and enables us to widen

assurances so as to apply not only to recondition-

ing of existing lines but also to new construction

Notes 3 and 0. I approve.

Note D. For "after the necessary legislation

"has been read "subject to the necessary

"legislation having been",

Note B and paragraph 3 of your telegram

No. 102. I had myself refrained from any

reference to Indemnity Fund in this connexion

and would prefer to leave note as drafted, but

you have discretion to accept Sun Fo's addition

if you think advisable.

Improved railway

revenues should make it quite easy for Chinese

to

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