Mr. Allen to Mr. Sherman.

No. 81. Diplomatic]

Sir: I have the honor to acquaint you with matters relating to the new settlements at Mokpo and Chinnampo.

The entire area of land reserved for the general foreign settlement at Chinnampo is about 975,000 m.2 Of this, only 460,000 m.2 is dry land, the remainder being composed of mud flats which are covered with water at high tide, the filling in of which will be very costly. Of this dry land, the Russian Government has reserved 280,000 m.2 under Article X of the regulations for the foreign settlements at Mokpo and Chinnampo, copy of which I forwarded to you in my No. 35, November 13. This article states that “The Government of any treaty power may acquire a suitable lot or lots for a consulate on paying the upset price only.” Mr. de Speyer stated that he needed this large tract, equal to about 280 lots, for a consulate, a hospital, a coaling station, and other governmental purposes not arranged for in the regulations. He has staked off an even larger tract at Mokpo.

Mindful of the instructions you favored me with in your No. 23, November 19, I declined on several occasions to join the representatives of England, Japan, and Germany in a protest, preferring to take individual action at the proper time.

In the course of a friendly conversation at my house on February 24, referred to in my No. 77, February 26, I informed Mr. de Speyer that, while from action taken in regard to a consular site at Chemulpo, I felt sure that my Government would make no reservation at either of these new ports, I felt that Americans wishing to locate there would be much inconvenienced by the fact that such a large tract of the best land had been reserved by a government. He admitted the justice of my position in theory, but thought there would be no such inconvenience in fact, as his successor would see that the foreshore was filled in, and there would be ample area for all. He told me that he was acting on his own responsibility; that his Government had appropriated 25,000 roubles, 10,000 for land at Mokpo and 15,000 for Chinnampo; that he had purchased all he could for that amount, and that while he would deeply regret any inconvenience he might cause to Americans, he was compelled to adhere to his demands.

Mr. Kato, His Imperial Japanese minister, came to see me about this time to discuss the case, which interests his Government far more than any other. I repeated what I had said to Mr. Speyer as to our own interests in the case and stated that I did not care to make further protest and that the matter could probably be settled only in St. Petersburg. Later, Mr. de Speyer told me that Mr. Kato had brought him a message from [Page 490] Baron Nishi, Japanese minister for foreign affairs, asking him as a personal favor to decrease his demand for land at the settlements, and that he had telegraphed the request to his Government, advising them to comply. Day before yesterday, I was informed by Mr. Kato that Mr. de Speyer had informed him of the receipt of instructions from his Government to accede to the Japanese request for limiting their proposed holdings at these ports. So this matter is satisfactorily settled.

I should add that at Chinnampo the Russian Government has bought up an additional tract of land just outside of and adjoining the settlement, somewhat greater in area than the settlement itself, while at Mokpo they have purchased, or are about to purchase, a whole island in the harbor. There can be no objection to these purchases outside of the settlements and within 10 li (3⅓ miles) of the settlement lines, but intending purchasers will be greatly inconvenienced thereby.

It is the general impression that no consular site reserved by a foreign government at any one of these ports would exceed 40,000 m. in area. The Japanese had reserved about 80,000 m.2 at both Mokpo and Chinnampo, but I understand that they intend now to reduce their demand to 40,000 m.2

I learn that the French representative has been furnished 1,500 francs for the purchase of a French reservation. This will give them about 100 m.2 at each of the two ports.

I have, etc.,

Horace N. Allen.