16 
Chinese Government have entered with the groups, I cannot believe was conducted by 
their authority. If they refuse, you should enquire how they can maintain their 
attitude to be consistent with those engagements. 
We wish, in any case, to be placed in possession of full details of the recent 
agreement at the earliest possible date. 
No. 32. 
Sir J. Jordan to Sir Edward Grey.—(Received September 12.) 
(Telegraphic.) R. Peking, September 12, 1912. 
YOUR telegram of 11th September. 
Following information furnished to me by Kirton, who originated transaction 
here :— 
A preliminary agreement was signed by him on 12th July last providing for 
negotiations in London. This was on behalf of International Finance Syndicate, of 
which Crisp is representative. Morrison was instructed to examine proposals, and was 
understood to have reported favourably. 
Price is 95 at 5 per cent., and term of loan forty years. Security, balance of salt 
revenue and property transfer tax. Loan is to be followed by the establishment in 
China of an associated commercial bank with a capital of 2,000,000L., half foreign and 
half’ Chinese. 
I told Kirton that transaction seemed to me impracticable, and that I was bound 
to oppose it. Salt revenue, as at present administered, was insufficient to meet even 
the indemnity, and its reorganisation was essentially an international matter. As 
security for a foreign loan the property transfer tax had no value except for advertising 
purposes. 
No. 33. 
Sir J. Jordan to Sir Edward Grey.—(Recewed September 13.) 
(Telegraphic.) P. Peking, September 13, 1912. 
I TO-DAY made a representation to the Minister for Foreign Affairs in the sense 
of your telegram of the 11th instant. 
The Minister for Foreign Affairs will submit the representation which I made to 
him to Yuan Shih-kai. 
No. 34. 
Sir Edward Grey to Sur J. Jordan. 
Sir, Foreign Office, September 23, 1912. 
A REPRESENTATIVE of Messrs. C. Birch Crisp and Co. called at this 
department to-day, and stated that the prospectus of the first part of the loan of 
10,000,000l. to the Chinese Government was about to be issued to the public. 
Messrs. Crisp’s representative said that this notification was made in pursuance of 
the undertaking given by Mr. C.- B. Crisp that he would not issue the prospectus 
without giving previous notice to the Foreign Office. 
The undertaking in question would appear to be that referred to in my despatch 
of the 10th instant. Mr. Crisp, however, then engaged not merely to issue no 
prospectus but to proceed no further in the matter of the loan without previous notice 
to this department. The present notification seems to indicate that Mr. Crisp has in 
the meanwhile made the necessary arrangements for underwriting, and has completed 
all other preparations for the issue of the loan; it can therefore scarcely be regarded 
as fulfilling the undertaking which he was understood to have given. It must indeed 
have been clear to Mr. Crisp that that undertaking, if it was to have any value for