‘Bagdad Ry’ [‎12r] (23/129)

Enclosures in Foreign Office letter dated 1st August 1005.
CONFIDENTIAL.
Sir N. O'Conor to the Marquess of Lansdowne.—{Tlcceived July 31, 8 p.m.)
(No. 110.)
(Telegraphic.) Therapia, July 31, 1905, 5-30 p.m.
YOUR telegram No. 143 : Baghdad Railway.
I have reported in my private letter of 12th July purport of my conversa
tion with Dr. Zander. Speaking solely for myself, I expressed hope of an even
tual understanding, and dwelt on advantage of some form of private exchange
of views to ascertain how matters stood. Dr. Zander may have exaggerated or
attached undue importance to what I said.
Last Friday I had a few words with M. Ilugunenin, the present General-
Manager of the Anatolian Railway, during which I remarked that I had always
been in favour of British participation. 1 consider it very desirable to keep the
door open without, however, in any way pledging us officially.
1 have had no further communication with any of the German group.
With regard to Trench Ambassador’s view, would not the French Syrian
Railway be considered as a counterpoise to a British Baghdad-Basrah section ?
Telegram to Sir N. O'Conor (Constantinople), F. 0. 10 p.m., 29th July 1905.
(No. 143.)
Manager of London Branch of Imperial Ottoman Bank informs us confi
dentially that Agent of Dentsche Bank has approached their Paris^ffice on sub
ject of French and English participation in Baghdad Railway. The Agent
appeared to consider it certain that French and British Governments would be
favourable and stated that France and Great Britain would he offered jointly
share equ. 1 to that of Germany and other countries.
He mentioned Messrs. Speyer of London as the firm who would start the
formation of the English group.
This information goes beyond any facts known tons. We have had no
communications here or at Berlin with Deutsche Bank. I mentioned the
subject of British participation to French Ambassador a few days ago. He had
no instructions but seemed personally unfavourable to assignment of Baghdad-
Basra section of the line to British group.
I should be glad to hear whether you have had any communications with
German group and with what result.
Cypher to Sir N. O' Conor (Therapia), F. 0. 3-40 p.m., August 1, 1905.
(No. 144.)
Your telegram No. 110 [of July 31.]
It is certainly desirable that door should be kept open, but in present
circumstances we are particularly anxious to avoid making any overtures to the
Germans.
In our view internationalization of railway would be best solution, and
if we were invited to join a project in which France, the United States and
Great Britain were admitted to equal participation with Germany, we should be
ready to discuss it.
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G. C. Press, Simla.-No. C-4r>4 F. D.-9'9-05,-35.-II. C. G.