'A respectful memorial clearly explaining regulations governing mining which have been agreed upon, and upon which Your memorialists implore the sacred lance of Your Majesties the Empress Dowager and Emperor.
Te appears that, on the 19th of November, 1898, Your memorialists presented a joint memorial submitting regulations which were drawn up by them, governing railways and mines. It was stipulated that, in future, to meet the necessary requirements the regulations may be amended and revised after due investigation of the circumstances and action taken; later, the matter had been presented to the Throne.
In the matter of railways, on the 13th of December, 1898, the Yamen conjointly with the Mining and Railway Bureau, memorialised the Throne in reference to a thorough consideration having been given to the management of railways, and that a distinction should be made between those that are urgent and those that can be delayed. The suggestions made received the Imperial sanction and were duly promulgated, which is a matter of record.
As to mines, however, since permission was given to work them, it has been found necessary to make additions to the regulntions which are there explained. he formation of stock companies by Chinese and foreigners and the permission of the Government to work mines, shows that the desire of the Government is to trent all with the sume kindly feeling, irrespective of nationality; so that not one merchant alone, but all merchants, may share in the benefits of mining. Recently, Chinese and foreigners who have applied for mining concessions have (us the regulations permit all Compan to survey locate mining pro-located mines less manner in the di ferent prefectures and districts out clearly define ing the place or places the extent of the property. Hence, und tion dishonest merchants, in others and by false representations, could get the better of others and monopolise the mining lands, while the honest, upright and worthy gentry and merchants would be left out in the cold and not he able to devote themselves to mining. This would be decidedly at yana original purpose and intent of allowing mining operations to be carried on. It should, therefore, be explicitly made known that such a system should be regulated and restricted. In future (concessions already granted and which must be carried out according to the terms of agreement, excepted), when mining concessions are applied for they will only be granted for one place in a district, not several places, xnd thus prevent' mining operations from getting into the hands of greedy persons by their pointing out or Toeating in whole prefectures and districts. Such a course will give a chance to all of reaping benefits from mining.
In the former regulations (Arty 13) it states that the control of mining companies, irrespective of the foreign capital concerned, must remain in the hands of Chinese merchants," and (Art. 9) there must be at least a proportion of three-tenths of the shares owned by the Chinese. When this proportion is raised, foreigners may be invited to buy shares.
Although this rule was for the parpose of encouraging the people to embark in the work of mining and to open up a new Tine of business, still the difference between the proportion of three-tenths held by Chinese and seven-tenths owned by foreigners should he taken into account, as it is to be feared that the control of mining interests would gradually get into the bands of foreigners. Tt is right, therefore, that the regulations should be modified and regulated in this respect.
Hereafter, existing concessions excepted, Chinese and foreigners should have equal proportions of the shares in mining companies—i.e., each to hold one half of the shares, before mining operations are commenced, thus avoiding any partiality. The direction of mining companies must rest in the hands of Chinese merchants. If foreigners object to this system and ask that the direction be placed in their hands, their request will not be entertained.
Further, in the former regulations (Art. 6) it states: "When applications are made by Chinese gentry or merchants to the local officials for permission to engage in mining enterprises, if their applications xre not in opposition to the regulations they may be submitted to the Givernment Board. 'The. local officials have no power to grant such applications. If such applications are made to the Board direct, enquiries must be made through the officials of the applicants' district, and application will only be granted in cases in which the report of th local officials is of a favourable nature." The object of this regulate that Chinese merchants making application for mining concessions must first wait until a thorough investigation has been made and permission granted them, before inviting foreigners to take shares in mining companies, and thus prevent abuses. If, before application has been inde or if application has been made and refused, they issue shares to foreigners and ' join them in mining operations ud money is uselessly expended for survey, ete. no sympathy will be shown them, and further, through their misleading action a distri ance will inevitably result. It is deemed right, therefore, that this regulation shoutd sed as under Tu future, when Chinese merchants make application for permission to. work 8 they must first wait until an investigation made by the officials, and if there is nothing to hinder work being e-tried and if permission has been granted, then they may invite foreigners to take shares and draw up a mining contract. The tract must, however, be submitted for the approval of the Government Bureau before operations are commenced. Permission will not, be granted to companies to work mines if they are formed before making application to the Bureau for permission to carry on mining operations.
Again, under the old regulations (Art. 3): "All enterprises sanctioned by the Board must be commenced within six months of the date of sanction, otherwise the sanction will be withdrawn, unless it can be shown that the delay was unavoidable." Under this regulation delays may occur on mere excuses being brought forward, and in that case the working of the mine is in_ name only and nothing in the way of active work is done. The time has now been fixed at ten months from the date of sanction, within which time if operations are not commenced the sanction willie cancelled and_no excuses whatever will be considered. The local: authorities will then find some other merchants to undertake the enterprise, and no disputes will be allowed.
With the exception of the changes herein made, the former regulations are to remain in force. The mining concessions already granted will be carried out under the old regulations, in order to avoid confusion and trouble, Note—This memorial is a joint produetion of the Bureau of Mines and Railways and the Tsungli Yamen.
On the 30th of July the following Imperial Rescript was added: "Let it be as proposed."
Text read from the printed page and cleaned; old type leaves the occasional error.