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PRESS, TUESDAY JULY 31st, 1998.

THE HONGKONG

negotiating the retrocession of Weihalwei can afford to be generous. In fact, gene rosty in this international deal is con spicuous by its absence, and mach side has been sticking out for its pound of flesh,

From all this it will be seen that the negotiations have been prolonged becaura highly important interests are at stake; because the problem is exceedingly complex and new precedents are being established.

CORRESPONDENCE. “WE[HAIWEI AND TSINGTAU"

(TO THE EDITOR OF

DAILY TREES."}" Sin.-Under the above caption The Hongkong Daily Press of the 17th ult has an interesting loading article in which the writer asserts, when one calls to mind the speed with which the much

The man-in-the-street will readily admit bigger undertaking of the retrocession of that. Washington, where East mot West Kiaochow

was carried into effect, in conference, is the fons et origo of all our troubles, and that there the diplo it does seem surprising that the leisurely mats of the world were guilty of a negotiations, in the case of Weihaiwei serious error of judgment. That Confer have not excited already a good deal of ence admitted in principle that China critical comment in Japan.'

had outgrown the awaddling clothes im- it would seem, Sir, that there is much posed on her by the western Powers; that misapprehension as to what really has the time had arrived to consider the occurred at Tsingtau. It is true that the question of the abolition of the foreigner's Japanese foreca bave been withdrawn-to special rights and privileges. Recent be fellowed promptly by the seizure of events have shown how grievous has been the town by local bandits, now busily thað error, and our friend in the street engaged in the equally honourable occu- will probably discover that even American pation of "protecting the place as its statesmen will agree with him in thinking polic men! But the "speed" with which that it will be time enough to consider the Tsingtan negotiations were carried the demands of the Chinese diplomat through is largely due to the fact that and that abnormal individual. the pro two important questions have been reser: Chinese foreigner--the abolition of extra- -ved for settlement by the diplomats of sartoriality and "concessions"; "the the two Coveraments, questions of the disqudment of foreign-controlled polico extremest importance to private interests, and volunteer forces; the withdrawal of They are: (1), "adequate representatien legation guards and other military

11

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SOLE AGENTS T

of foreign interests in municipal affairs"; otc., when China bas put her houseGANDE. PRICE

(2), due safeguarding of foreign pro order.

to

porty rights (The quotations are from However this may be, the British dele- Lord Balfour's note of February 3rd, gation to the Conference announced in 1922, to Mr. Alfred Sze, the Chief reference to Weibaiwei, that it would Chinese Delegate at the Washington be willing to consider restoration if this Conference)

course would in any way contribute to That note contained a further stipula wards an agreement between China and tion."!

some intimation of the Japan." (The quotation is from The willingness of the Chinese Government to China Year Book.) Having made the grant facilities for the linking up of public promise England will, of course, Weihaiwei with the hinterland" by rail- have to keep it. But will the fulfilment way and, Lord Balfour added, These thereof lead to British subjects incurring and other similar matters, such as the lose. Surely the obvious answer is in precise nature of the port, will naturally the affirmative. have to be adjusted by mutual consent," There is high authority for asserting During the British occupation the trade that we should suffer fools gladly," but of Weihaiwal has grown from. £50,000 (9 really. Sir, some of the arguments put £1.250,000. approximately. This remark forward by apologists for the unprece able increase is due in part to the dented oficial altitude towards private fact that British administration is interests would try the patience of a Job. guarantee of almost perfect" security Circumstances compel our prophet of of person and property, and honest and smooth things to be busy and he is hard efficient government. But it is also due pressed for plausible excuses. One of the the equally important fact that the most puerile takes the form,-" You Weihaiwer under the British Hag has been, people have nothing to grumble about; like Hongkong, a free port. Placed, as when all is said and done, you will be nd it is, at the extreme end of the Shantung worse off than other British subjecte in Promontory in a mountainous and un- the smaller Treaty Ports like Chefoo"! productive district, it will readily be It is difficult to get him to see that it admitted by those disposed to exercise is precisely because Weihaiwei is not a little commonsense that the geographical Treaty Port, but a free port; precisely situation of the port is decidedly unfav because, it was territoryder the ourasle. It should also be obvious to the British and not the Chinese flag, that unbiased mind that, in open competition certain British subjects settled here 20 with the old-established Treaty Port odd years ago, and that it is for this Chefoo, on the one side, and with Tsing reason that local potitioners have been lan and its railway on the other, both contending that, in principal, on moral, searer the producing centres of the if not on legal, grounds, they are entitled interior, Weihaiwei will be hopeless to adequate compensation for prorable handicapped, for though the precise loase due to Government netion. nature of the "port" has yet to be nut

With your permission. Sir, I should nounced, it will certainly cease to be like to state parallel car. Let us Free part. Hence, the extreme importance assume that, in the existing chaotic con- at Lord Balfour's suggestion of a link dition of the country, it was suddenly with ne hinterland-some capital expen proposed, for diplomatic reasons, ditare that will save the port from decay abolish the British concessions at Shang- and disaster.

M

ta

thout would rend the welkin! Surely the

Unlike the Japanese, the British Gor hai and Tientsin, to restore them to the ernment has decided that these matters who have settled in these places would, complete sovereignty of China." Britons of detail" must be settled before the of course, be no worse off than others transfer can be effected"; and, under the

«in the smaller Treaty Porta.” What a circumstances. it is improbable that critical comunent will be provoked in responsible quarters in Japan, or America-certainly not among the diplo mats over the long-delay in the full ment of the public promise regarding Weihaiwei given by Lord Balfour at Washingten on February 1st, 1929. For to the thinking man it must be obvious that the promise is not easy to fall with due safeguarding" of foreign inter

esto.

reverberations thereof would penetrate even the quiet precincts of Whitehall and Downing Street and other retreats for the somnolent.-I am, etc.,

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To those who are familiar with the circumstances it should be apparent that the problemn set the joint Retrocession Commission is extremely difficult and Sta-It is understood from the loading, complicated. To many it will seem that article in today's Daily Preer that there it has no satisfactory solution, and that is no proposal on the tapis for intro- to search, in the present disordered state ducing income tax into this Colony, but of China, for a formula that will satisfy it may be as well to place it on record. all parties concerned is to follow in case it is not generally known, that Will-o-the-wisp. On the one hand you members of the Servicos and these have the insistent demand that there employed in the Naval Dockyard, etc, shall be restoration to the "complete already pay income tax to the Imperial sovereignty of China, and there is no Government The amount is deducted at question that some of the stipulations of the source, both on pay and on Colonial Lord Balfour's noto. conflict with allowance, the deduction from the latter "tovereignty." "As the Peking and Tien- being one of the Service grievances.- tain Time (February 13th) puts it, "We Yours, etc., do not think that aoyone familiar with the situation on the spot would ever havo) Hougkong, July 30th, 1923. put forward such stipulations "1 On thu

We are indebted to our correspondent other hand you have the "determination for his note. The fact which bo mentions of our authorities to secure adequate has been recognised by the framers of protecton of foreign interests the more the Model Income Tax Ordinance, ta necessary, since Government has formally which reference was made in the leading repudiated liability to pay compensation articio. As the question is not one of for losses that may follow its action. The immediate application to Hongkong" we people who, in reliance on official astur thought it unnecessary to go fully into auces, settled under the protection of the details of the Ordinance, and, indeed, their Bag at Weihaiwei, cannot, in hon-considerations of tyre made it import oar, or in justice, he left in the lurcht;gible. However, it may be well to state and, as the Tientsin Timer states, "Thes residents look to the British Government here that Section 8 of the Model Ordin either to guarantee them the continuance ance provides for the exemption from in of those privileges which attracted them come tax of the following description of to Weihaiwe, or to grant or procure them income, amongst others: adequate compensation for the loss of á

(1) the official emolument received by

the officer administering the Gov legitimate means of livelihood."

crnment;.

1

At Washington Lord Balfour stated that Britain would surronder her leasehold "under" like "suitablo conditions" as "the rest of the Province of Shantung:" The Japanese, with commendable astuteness, have postponed the discussion on two po'nts of vital importance to privalo interests; and will await the decisions of the Auglo-Chinese Commission. Obvidut ly the demand will be for "like suitable conditions" for Tringtou! Further, the question of “adequate representation of foreign interests in municipal affairs. has remained unsettled for five years in th-Russian and ex-Enemy Conces sions at Tientsin and Hankow and for- rigners with property in them have every justification for refusing to pay rates and taxes till the question is settled satis

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