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30. Our sentiments on the subject were made known to you, in our despatch of Court of Directors the 13th April 1831, in the following terms: "We do not doubt, from the obser Select Committee vations on your proceedings, that it was desirable that the space of ground in of Supracargoes, question should be enclosed; but we greatly doubt the propriety of your doing so 13 January 1832. in defiance of the repeated prohibitions of the Chinese authorities at Canton; we hope those authorities will not again notice the affair; but should they do so, we positively forbid your retaining the enclosure by any other means than those of negotiation; you are not to proceed to actual force, nor to use threats or intimidation in your intercourse with the Chinese, in order to preserve the continuance of the enclosure, should the Viceroy and other authorities strenuously insist on its removal. This is not a question of sufficient importance to incur the risk of exciting unfavourable feelings in the minds of the principal authorities in the city, much less is it one for which the tranquil progress of our affairs at Canton should be endangered by renewed discussions with the government of that place."

31. The Select Committee having closed their commercial transactions, returned on the 16th April 1830 to Macao.

32. Upon repairing to Canton on the 4th October following, for the purpose of commencing the business of the season 1830-31, Mrs. Baynes again accompanied the President. No invitation appears to have been given by the Hong Merchants upon this occasion.

33. Shortly after that lady had arrived there, the Committee represent that various "insulting and opprobrious edicts were issued, several of them prohibiting Cons. 19 Oct. 1830. the residence of European females at Canton." The Committee remonstrated against them, and urged the unreasonableness of the objection to the residence of females, as several had resided at Canton the preceding season. The Committee represented that they were joined in their remonstrance by all the members of the British commercial community.

34. On the 20th October, Howqua, on whose invitation Mrs. Baynes proceeded to Canton in the preceding season, waited upon the Committee with the Viceroy's command's "As to women coming to Canton: the old law forbids it; it never can be permitted. The Chief is desired to send away the lady forthwith. If she cannot move immediately, the Merchants are to ascertain in how many days she will go. If the Chief says he will not remove the foreign lady in two or three days, if she still be here, soldiers will be sent to the Factory to seize and drive her out. The Chief is to tell the Merchants what day she goes.'

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35. It was upon the receipt of this communication the Committee resolved, in defiance of the laws and regulations of the country, to order up sailors and guns for the protection of the Factory.

36. Notwithstanding that communication, and also another edict of the Viceroy, on the 27th October, in which it was declared "they ought not, in what has been disallowed, to disobey and act irregularly," Mrs. Baynes was still suffered to remain at Canton.

37. Such was the state of affairs when you took your seat at the close of November, as president and members of the Select Committee, under our orders of the 26th May 1830.

38. On the 11th December, Howqua informed you that it was the desire of the Viceroy that all ladies then resident at Canton should immediately quit it. This was not assented to by you, though at the time you were aware the security merchant for a private ship, consigned to Mr. Whiteman, was in confinement on account of Mrs. Whiteman being at Canton.

39. On the 14th December it appears that the Hong Merchants waited upon you, to entreat you to order the ladies from Canton. You nevertheless adhered to the determination adopted on the 11th, not to comply with such entreaty.

40. On the 28th the Viceroy issued another edict, which contained the following remarks: "But you, the Committee, are persons sent by your own country to controul the commercial affairs. You must no doubt be persons who clearly understand what is reasonable and just, and maturely acquainted with the regulations. It is your duty to lead all the foreign merchants, to keep every one of them in his proper place, and not transgress the usages.

As to what is said in the petition, that husband and wife should not be separated, this refers to ordinary cases, when living at home. If they go abroad, and become guests in a country, how can they be viewed according to the same rule? Besides, at Macao they may be sent to reside: where is the necessity of overstepping the mark, and going to Canton ?"

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41. On the 29th December you received the translation of a document stated to have been sent from Pekin, and to have formed part of an imperial edict against the residence of European females at Canton.

42. It is recorded on your Consultations of the 1st January 1831, that a private communication had been made to your President, that the residence of females was "a small matter;" and you cited this as a proof of the duplicity of the Hong Merchants, and as authorizing your non-obedience of the edicts regarding females; whilst at the same time it appears that the very source whence you derived this information was actually one of the Hong Merchants, upon whose assurance, it must be remembered, the works in front of the Factory, which led to the conduct of the Foo Yuen, were entered upon by the Committee, and also that Mrs. Baynes originally visited Canton.

43. We observe likewise, that on the same day you received this private communication from the Hong Merchants, you recorded a memorial from the Viceroy, the Hoppo, and the Foo Yuen to the Emperor, against the resort of females, and also regarding the use of sedan-chairs, and the bringing up of sailors and guns.

44. We have felt it necessary to enter thus minutely into the details of the proceedings in question, because they are materially connected with, and we have no doubt they tended to influence, the subsequent conduct of the Chinese government, in issuing the edicts and obnoxious regulations of which you now complain.

45. Having closed the business of the season, you departed from Canton in the month of February for Macao, where you received, on the 14th of May last, a report of the proceedings adopted by the Foo Yuen at the Factory on the 12th of that month. Messrs. Daniell and Smith were forthwith deputed to Canton, for the purpose of ascertaining the real state of affairs. Those gentlemen reported the violent measures which had been adopted by the Foo Yuen towards your Linguist, and also towards Howqua, who had been ordered to reduce the ground to the state in which it was three years preceding. They pointed out the indignity offered to the portrait of his late Majesty, and stated, that as the Hong Merchants were afraid to fulfil their wishes by making known to the Viceroy the injurious effects of these proceedings to the Company, and their request that he would desist, they addressed the Foo Yuen, protesting against the further demolition of the Company's property, and also of the quay, which they stated had been built openly, although the ground within the wall was not permitted to be completed.

46. The Merchants having reluctantly agreed to take charge of the letter, Messrs. Daniell and Smith returned to Macao on the 19th May.

47. On the 20th you received from the Hong Merchants the copy of the eight Regulations which had been proposed by the Viceroy to the Emperor in council on the 24th February. After transcribing the regulations, you observed, "We cannot conceive any greater difficulties to be imposed upon an intercourse with this country than those which we have above enumerated, almost without a comment, merely with explanation sufficient to place them in a clear point of view; nor do we hesitate to observe, that if they were to be acted upon to the letter (and what security have we to the contrary?) foreign commerce could not be conducted at Canton."

48. You then adverted to the favourable period at which the occurrence took place; stated that you did not see the necessity of advancing any positive propositions in your correspondence with the government, but determined to acquaint them, that if they proceeded to acts destructive of the commerce, nor offered any redress for those already committed, you should be compelled at an early date to suspend it." You dispatched Mr. Lindsay to Canton, for the purpose of delivering up the keys of the Factory to the Hong Merchants, for them to convey to the Foo Yuen, stating that you would not retain them while the Factories were not secure from intrusion and your premises from destruction. You resolved to give intimation to the British merchants at Cant on of your intentions, and to publish a notice in order to prevent any misapprehension; and you further resolved to address the Bengal government, suggesting a letter from the Governor-General to the Viceroy, dispatching it to China in a vessel of war, and entrusting it to the commander for presentation; and that some ships of war should be sent to support the measure, and that the admiral should visit China, in contemplation of contingencies like the present.

49. In accordance with these views you addressed the Governor, Foo Yuen and Hoppo, on the 19th May, noticing the whole of the circumstances, and stating that, as you had no means at that time of protecting the property, you abandoned

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No. 4.

Court of Directors

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Select Committee

of Supracargoes,

13 January 1832.

it, and transmitted the keys of the Factory to the Foo Yuen. You likewise
published a notice on the 20th May, recapitulating the events, and, as the Repre-
sentatives of the British nation in China, gave public intimation that, should the
evils complained of remain unremoved, all commercial intercourse between the two
countries would be suspended on the 1st August. This was followed by a note in.
Chinese, under date 29th May, to be delivered to the Hong Merchants or Linguist,
or through any other channel by which it might reach the observation of the Foo
Yuen; and by your Consultations of the 2d June, it appears to have been " placed
in conspicuous places in Canton."

50. On the 26th May you addressed a letter to the Bombay government,
requesting that one of the Company's cruizers might be dispatched to you with as
little delay as possible; and on the same day you wrote to the Supreme Govern-
ment, in accordance with the intentions you recorded on the 20th.

51. In this latter document you pointed out the aggressions of the Foo Yuen, and likewise the different circumstances connected with that event; but you appear to have kept wholly out of view the facts, to which we have adverted at such length, regarding the unauthorized works carried on by the late Committee on the ground immediately in front of the Factory, as well as the act of bringing up the sailors and guns; facts which ought to have been stated to the Bengal government as most essential in enabling them to form a correct judgment on the measures brought to their notice. It also appears that you sent a copy of your letter to the Bengal government to Admiral Sir Edward Owen.

52. Having thus noticed the aggression on the Factory, the new regulations, the intended stoppage of the trade, and your letter to the Supreme Government of India, we shall proceed to offer such observations upon these points, and upon your conduct in connection with them, as the circumstances appear to us to call for.

53. The aggression of the Foo Yuen was characteristic of his nation, and had the works which he destroyed been originally carried on under the sanction of the local authorities at Canton, his conduct would have afforded a strong ground for remonstrance; but when it is clearly shown that the works were begun without authority, that when part only was sanctioned the whole was carried forward, and the edicts and proclamations pointedly prohibiting the measures were treated with contempt, it cannot be matter of astonishment that the local government of a city, in the vicinity of which you reside solely for the purposes of trade (not under any defined treaty, but by sufferance only), and which government has the means of retaliation in its own hands, should, after the repeated instances in which its authority was set at defiance, and very probably instigated by the imperial edict (which arrived at Canton on the day of the outrage,) confirming the new regulations, have acted in the peremptory manner adopted by the Foo Yuen on the

occasion.

54. The regulations, though termed new, do not materially differ in substance from those which have been enacted at former periods. We do not perceive any strong objections exist to the provisions contained in the 1st, 2d, and 8th Regulations. The departure of the Factory from Canton after the close of commercial dealings is all that is insisted upon under the 1st Regulation, and has in fact been invariably observed by you. The object of the 2d is to prevent the Chinese borrowing money from foreign merchants; a most wholesome provision, and one which, if it be strictly observed, will eradicate an evil which has been the cause of serious embarrassment from an early period of our intercourse with Canton.

55. The 8th Regulation appears to provide sufficiently for the presentation of addresses and appeals both through the Hong Merchants and directly at the city gates.

56. The re-enacting of the 5th and 6th, prohibiting the resort of females and sailors to Canton, and also the bringing up of guns and muskets, has clearly been occasioned by the proceedings which we have already noticed.

57. The provisions of the 3d and 4th, if enforced, would undoubtedly interfere most materially with the essential comforts of your Factory, and with the facilities hitherto possessed by you for carrying on your commercial affairs.

58. We observe that in the year 1814, when the propositions were submitted by. Sir George T. Staunton for confirmation by the Chinese government, a proceeding. to which you have referred, the 5th was as follows: viz.

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59. The regulation, when confirmed by the Emperor's edict, was in the following

terms: viz.

"Natives may be employed as coolies, porters, tea-boilers, cooks, and in other similar capacities, but persons not to be hired under the denomination of Kawpan* and Shawan.t"

60. The 7th Regulation provides that commanders going backwards and forwards in sanpan boats must have a flag set. We do not perceive any prohibition to the commanders going in their own boats, such boats carrying a flag. This, we understood, has been invariably the practice, and is observed for the purpose of relieving such boats from search at the several chop houses between Whampoa and Canton. Every boat on its arrival at Canton is searched, under the regulations.

61. From the result of former representations and discussions with the Chinese government, we are of opinion that a temperate and judicious appeal on the most objectionable points, which are comprised in the 3d and 4th Regulations, would have effected and may still effect a modification of those provisions; and that notwithstanding the conduct of the Foo Yuen with reference to the Factory (for which much cause is to be found in the proceedings of your predecessors), a proper explanation of the circumstances would still induce the authorities to observe the stipulation acceded to in 1814, viz. "The local magistrate not to visit the Factory without giving due previous notice."

62. We were not insensible to the difficulties you would have to encounter on assuming charge of the Factory, under our orders of the 26th May 1830, arising on the one hand from the notion, which the supercession of the former Committee might engender in the minds of the Chinese, of a disposition on the part of the Committee to yield more implicitly to the will of their government; and, on the other, from the opposition you might at first meet with from the British private merchants to a more conciliatory line of conduct, such merchants having so decidedly supported the views of your predecessors. But after making every allowance for the circumstances in which you were placed, we cannot approve of the support which you gave to a continued disobedience of the laws prohibiting the residence of females at Canton, although repeatedly urged to obey them, both by the Hong Merchants and by the edicts of the Viceroy.

63. So far from weakening the attempts which you might be called upon to make
in order to relieve the trade from vexatious exactions or impositions, we consider
that immediate obedience to the laws in question, accompanied by a clear and open
avowal of the principles by which you were actuated in paying such obedience,
would have strengthened your influence with the government, by evincing a dis-
position to respect their regulations.

64. We are prepared to admit that the conduct of the Foo Yuen, arising out of
transactions which had occurred in the time of former Committees, and regarding
which nothing had arisen to bring them to your immediate notice till the attack
on the Factory, followed so immediately by the regulations, were sufficient causes
to excite your feelings; we nevertheless are of opinion that the notification of the
intended suspension of the trade, and your determination to abandon the Factory,
were measures adopted with unnecessary precipitation, and that the circumstances
did not call for your publication of a contemplated measure against which we have
so repeatedly and so strongly cautioned you. We consequently received with much
satisfaction the intelligence announced in your despatch of the 10th June, and we
entirely approve of the determination you came to of withdrawing the conditional
notice, that the trade would be suspended on the 1st August. This satisfaction is,
however, considerably lessened by the concluding terms of your last notice, recom-
mending all British residents in Canton "to exert every means in their power to
recover such property belonging to them as at present is in possession of natives
of this country.'
Combining this circumstance with the sentiments expressed
to the Bengal government in your letter of the 26th May last already noticed, we
feel it necessary to convey to you explicit directions for the conduct of your future
proceedings.

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65. The commerce between Great Britain and China is too important to be put to hazard without the most urgent and imperious necessity, and on no account

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upon considerations of a personal nature. It is of essential moment to the Indian Court of Directors as well as to the home revenues, both as regards the State and the East India Select Committee Company, as well as in the regular supply of the British public of an article of of Supracargoes, general consumption.

13 January 1832.

66. We sought that trade originally: the advantages which it has yielded have induced us to exert every endeavour to secure its continuance. Those exertions have been attended with success; and although late events have led to the expression of opinions in favour of a more decided and less pacific course of policy, we are by no means prepared to adopt or to act upon such opinions.

67. To attempt to maintain a purely commercial intercourse, such as that with China, by force of arms, would, in a pecuniary point of view, be anything rather than a matter of profit, even if justice and humanity could allow us for a moment seriously to contemplate such a step. We cannot, in fairness, deny to China the right which our own nation exercises as she sees fit, either by prohibiting, restraining, or subjecting to certain laws and regulations its commercial dealings with other countries. China must be considered free in the exercise of her affairs, without being accountable to any other nation; and it must be remembered that she has rejected every effort made by us, as well as by almost every other European state, to form a commercial intercourse with her upon those principles which govern commercial relations with other countries.

68. It is our desire that you sedulously endeavour to avoid entering into any discussions with the Chinese government, except in cases of absolute necessity; and should such cases unhappily occur, we enjoin you to carry them on with temper and moderation, and that you close them at the earliest possible period.

69. Another point to which we feel it necessary particularly to advert is, the disposition evinced by you to seek the aid of His Majesty's ships of war in supporting your measures.

70. The appearance of King's ships in China, from the commencement of our trade with Canton to the present time, has very frequently occasioned the greatest embarrassment, often leading to lengthened and difficult discussions (even with reference to the procuring supplies only for such ships), and not unfrequently to a stoppage of that trade, and consequently to great pecuniary loss.

71. In 1818 we felt it necessary, with regard to the request you had made to the captain of His Majesty's ship "Orlando," to anchor at Chuenpee, and if requisite to proceed to Whampoa, in support of the measures you had adopted in aid of the country traders, and also regarding the suggestion you had ventured to make to Admiral Sir Richard King to visit China annually, to express our strong feeling of disapprobation, and to state that we had "with difficulty been prevented from making an immediate application to the Lords Commissioners of the Admiralty for orders, to be issued to Sir Richard King, directing that officer by no means to comply with your suggestion for a man-of-war to be sent annually to China and the other places mentioned in your letter to that officer."

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72. The evil was, however, so seriously felt on the occasion of the affair of the Topaze" frigate, in 1824, causing a stoppage of the trade for some months, that we, immediately on the receipt of the intelligence, made a communication to His Majesty's Ministers, which led to the Lords of the Admiralty issuing orders to the naval commander-in-chief in India, "that in future, during peace, none of His Majesty's vessels of war should visit any port of China, unless on a requisition from the Governor-General of India, or from the Select Committee of Supracargoes at Canton."

73. At the same time that the determination of the Lords of the Admiralty was announced to you, we also informed you, "that in a letter to Bengal, conveying copies of the correspondence with the Admiralty, we have enjoined that government carefully to abstain from requiring any ship in His Majesty's service to proceed to China, unless in case of indispensable necessity;" and we likewise enjoined you, that "nothing but an occurrence of vital importance, and of the most urgent necessity, should induce you to forward any requisition to the government of Bengal, or to the naval commander-in-chief in India, for the dispatch of any of His Majesty's ships to China during a period of peace."

74. With these facts upon record, we decidedly condemn the requisition you made to the Bengal government for the aid of ships of war, and more especially your communication of that requisition to his Excellency Admiral Sir Edward Owen. We trust, however, that the Vice-President in Council, to whom your letter was addressed (the Governor-General being up the county), will have been

guided

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