5 339 308 DOCUMENTS RELATIVE TO THE COMPRISING ORDERS IN COUNCIL, CABLEGRAMS, CORRESPONDENCE, AND SPEECHES DELIVERED IN IMPERIAL HOUSE OF COMMONS. PRINTED BY ORDER OF PARLIAMENT OTTAWA PRINTED BY J. DE L. TACHE, PRINTER TO THE KING'S MOST [No. 40, a, b, c, d, 1915.] EXCELLENT MAJESTY 1914 DOCUMENTS RELATIVE TO THE EUROPEAN WAR COMPRISING ORDERS IN COUNCIL, CABLEGRAMS, CORRESPONDENCE, AND SPEECHES DELIVERED IN IMPERIAL HOUSE OF COMMONS. PRINTED BY ORDER OF PARLIAMENT OTTAWA PRINTED BY J. DK L. TACHE, PRINTER TO THE KING'S MOST EXCELLENT MAJESTY 1914 CNo. 40, a, b, c, d, 1915.] 5 GEORGE V. SESSIONAL PAPER No. 40 A. 1915 CONTENTS Sessional Paper No. 40. Orders in Council from August 2 to 15, 1914, bearing on the outbreak of hostilities in Europe Sessional Paper No. 40a Cablegrams between His Royal Highness the Governor General and the Secretary of State for the Colonies from August 1 to 15, 1914 41 Sessional Paper No. 40b Cablegrams between the Prime Minister and Mr. Perley from August 4 to 13, 1914 49 Sessional Paper No. 40c Correspondence respecting the European crisis .... 61 Sessional Paper No. 40d Speeches delivered in Imperial House of Commons. . 151 40 1| 5 GEORGE V. SESSIONAL PAPER No. 40 A. 1815 Moved by Sir Robert Borden, seconded by Sir George Foster, That the paper (Miscellaneous No. 6, 1914) containing correspondence respecting the European crisis, which has been presented to the Parliament of the United Kingdom and has been laid upon the Table of this House, be printed forthwith, together with the speech of the Secretary of State for Foreign Affairs delivered in the House of Commons of the United Kingdom on the 3rd of August, 1914, and the speech of the Prime Minister of the United Kingdom, also the speech of the leader of the Opposition in the Imperial House of Commons, delivered in the said House of Commons on the 6th day of August, 1914, which contain official explanations of comments on the correspondence aforesaid. 5 GEORGE V. SESSIONAL PAPER No. 40 A. 1915 RETURN (40) P. C. 2028. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Excellency the Deputy Governor General on the 2nd August, 1914. The Committee of the Privy Council, on the recommendation of the Right Honourable the Prime Minister, advise that as His Royal Highness the Governor General has received official notice that His Majesty's Government has called out the Royal Naval Reserves, due notice thereof be published in an extra of The Canada Gazette in the form hereto attached. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. ROYAL NAVAL RESERVES CALLED OUT. PUBLIC NOTICE is hereby given that His Royal Highness the Governor General has received a telegraphic despatch from the Secretary of State for the Colonies announcing that His Majesty the King has by Royal Proclamation called out the Royal Naval Reserves. Attention is directed to the fact that by this proclamation men serving abroad, whether on shore or in merchant vessels, are required to report them- selves to first British Naval, Consular or Colonial Officer they meet, or failing that, to the nearest Registrar on arrival in the United Kingdom. Of which all persons concerned are required to take notice and to govern them- selves accordingly. By Command, R. L. BORDEN, Secretary of State for External Affairs. Ottawa, 2nd August, 1914. P. C. 2029. AT THE GOVERNMENT HOUSE AT OTTAWA. SECOND DAY OF AUGUST, 1914. PRESENT. HIS EXCELLENCY THE DEPUTY GOVERNOR GENERAL IN COUNCIL. Whereas a grave emergency has arisen in which it is expedient for the Public Service that the Government of Canada should have control over the transmission and reception of telegraph messages by any Cable Company operating telegraph cables within the Dominion of Canada or the territorial waters thereof. 8 THE EUROPE Ay WAR 5 GEORGE V v A. 1915 Therefore the Deputy Governor General in Council is pleased to order and it is hereby ordered as follows: The Minister of Militia and Defence by warrant under his hand may direct and cause so much of any Cable Company's property, offices or works as are within the Dominion of Canada or the territorial waters thereof or any part of such works to be taken possession of in the name and on behalf of His Majesty and to be used for His Majesty's Service and subject thereto for such ordinary service as to the said Minister may seem fit and in that event any person authorized by the said Minister may enter upon the offices and works of any Cable Company and take possession thereof and use the same as aforesaid. The Minister of Militia and Defence may when he considers it expedient instead of taking possession of the property, offices and works of any Cable Company, direct and authorize such persons as he thinks fit to assume control of the transmission of messages by any Company's cables either wholly or partly and in such manner as he may direct and such persons may enter upon the Company's premises accordingly: or the Minister of Militia and Defence may direct any Cable Company to submit to him or to any person authorized by him all cablegrams and messages tendered for trans- mission or arriving by any Company's cable or any class or classes of such cablegrams or messages and to stop or delay the transmission of any cablegram or messages or deliver the same to him or his agent and generally obey all such directions with refer- ence to the transmission and reception of cablegrams as the Minister of Militia and Defence may prescribe and the Company and its officers and agents shall obey and conform to all such directions. (Sgd) RODOLPHE BOUDREAU, Clerk of the Privy Council. P. C. 2030 AT THE GOVERNMENT HOUSE AT OTTAWA SECOND DAY OF AUGUST, 1914. PRESENT. HIS EXCELLENCY THE DEPUTY GOVERN .'puty C'eti> ( '''it A it, Censors. Decoders. Ottawa NOB. 2 NOB. Nos. 4 Halifax and C&niperdown ... 2 6 10 Canso 1 9 24 Sydney . . 1 9 12 Glace Bay 1 2 4 Fame Point 1 2 4 Heath Point 1 2 4 1 3 4 1 3 4 1 2 4 1 2 4 Total . . . 13 40 7R THE EUROPEAN WAR 19 SESSIONAL PAPER No. 40 The Committee, on the recommendation of the Minister of Militia and Defence, advise that the following rates of salary be approved, these being, approximately, the same as those paid Censors in Great Britain, viz. : Deputy Chief Censor $10 00 a day. Censor 9 00 Asst. Censor 7 00 Decoders 3 50 these rates to include everything except travelling expenses. (Sgd.) EODOLPHE BOUDREAIT, Cleric of the Privy Council. AT THE GOVERNMENT HOUSE AT OTTAWA. THURSDAY, THE GTH DAY OF AUGUST, 1914. PRESENT : HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. His Royal Highness the Governor General in Council is pleased to order as follows : The exportation of the following articles from Canada to all foreign ports in Europe and on the Mediterranean and Black Sea with the exception of those of France, Russia (except the Baltic ports), Spain and Portugal, is hereby prohibited under the provisions of sections 291 and 242 of the Customs Act: Aluminium; aluminium alloys; armour plating; armour quality castings and similar protective material; asbestos; cables, telegraph and telephone; camp equip- ment, articles of; cannon and other ordnance, and parts thereof; carbolic acid; carriages and mountings for cannon and other ordnance and for machine guns and parts thereof; coal, steam large; compasses and parts thereof, including fittings, such as binnacles; cresol; engine and boiler packings; explosives of all kinds; fuel, manu- factured; implements and apparatus designed exclusively for the manufacture of munitions of war, for the manufacture or repair of arms, or of war material for use on land and sea; India-rubber sheet, vulcanized; manganese; mercury; mica; mineral jellies; mines and parts thereof; molybdenum; nitrocresol; nitrates of ammonium; nitrates of potassium; nitrates of sodium; nitratoluol; nitric acid; picric acid and its components, rangefinder.s and parts thereof; rope and steel wire and hawse; salt- petre; sounding machines and gear; steam vessels, lighters and barges of all descrip- tions; sulphur; sulphuric acid; swords, bayonets and other arms not being firearms and parts thereof; tin; tin-plates; torpedo tubes; torpedoes and parts thereof; tungsten ; vanadium ; four wheeled wagons capable of carrying one ton and over ; two wheeled carts capable of carrying 15 cwt. and over; harness and saddlery of all kinds; brass wire for long spans, 450 Ibs. per mile; horse and pony shoes; materials for telegraphs; wireless telegraphs and telephones; field glasses and telephones; field glasses and telescopes; railway materials both fixed and rolling stock; men's marching and shooting boots; heliographs, portable forges; farriers', carpenters', wheelers' and saddlers' tools and transport service sets; glycerine; alcohol as covering rectified spirits; uniform clothing and military equipment; accoutrement; walnut wood of scantling which can be made into rifle butts and fore-ends. 40 2i 20 THE EUROPE A X ]YAR 5 GEORGE V., A. 1915 His Royal Highness the Governor General in Council is further pleased to order that this Order in Council be proclaimed and published in the Canada Gazette. (Sgd.) RODOLPHE BOIJDREAU, Cleric of the Privy Council. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 7th August, 1914. The Committee of the Privy Council have had before them a report, dated 6th August, 1914, from the Minister of the Naval Service, submitting that, in view of the existing emergency, it is necessary to provide some additional means of Naval Defence on the Pacific Coast of Canada. The Minister states that two submarine boats have been offered to the Dominion Government; that these boats were originally built for the Chilian Government which was unable to receive them, and that their dimensions are as follows: Displacement 313 tons. Length 144 feet and 125 feet respectively, Beam 15 feet, Speed 13 knots. The Technical Officers of the Department of the Naval Service report that these boats are very suitable and recommend their purchase. The Minister concurs and recommends, therefore, that these boats be purchased for the sum of One million and fifty thousand ($1,050,000) Dollars, and that, as the necessity is urgent, a Governor General's warrant be issued covering this expenditure, the Minister of Finance having reported that there is no Parliamentary Appropriation from which this expenditure can be defrayed. The Committee advise that a Governor General's Warrant do issue as recom- mended accordingly. (Signed) RODOLPHE BOUDREAU, Cleric of the Privy Council. P.C. 2072. AT THE GOVERNMENT HOUSE AT OTTAWA. FRIDAY, THE 7TH DAY OF AUGUST, 1914. PRESENT: HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. His Royal Highness the Governor General in Council, under and in pursuance of the provisions of section 23 of the Naval Service Act 1910, is pleased to Order :md it is hereby Ordered as follows: The two submarine boats now at Esquimalt, B.C., are hereby placed at the dis- posal of His Majesty for general service in the Royal Navy. (Signed) RODOLPHE BOUDREAU, Cleric of the Privy Council. TEE EUROPEAN WAR . 21 SESSIONAL PAPER No. 40 P.O. 2076. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Eoyal Highness the Governor General on the 7th August, 1914. The Committee of the Privy Council, on the recommendation of the Postmaster General, advise that, owing to the unsettled financial conditions now prevailing in Europe and the high rate of exchange that prevails between Canada and Great Britain, which may fluctuate from day to day, money order business between Canada and all European countries, including the United Kingdom, be suspended, and that money order business be suspended with all countries with which Canada has not a direct exchange, as the settlement with such countries has to be made through the British Office, and will be affected by the high rate of exchange in the same manner as the direct exchange on money orders between Canada and Great Britain. (Sgd.) KODOLPHE BOUDREAU, Clerk of the Privy Council, P.C. 2086. AT THE GOVERNMENT HOUSE AT OTTAWA. FRIDAY, THE 7TH DAY OF AUGUST, 1914,. PRESENT : HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. Whereas there are many immigrants of German nationality quietly pursuing their usual avocations in various parts of Canada and it is desirable that such persons should continue in such avocations without interruption; Therefore His Royal Highness the Governor General in Council is pleased to Order and it is hereby Ordered as follows: (1). Such persons so long as they quietly pursue their ordinary avocations, shall not be arrested, detained or interfered with unless there is reasonable ground to believe that they are engaged in espionage, or attempting to engage in acts of a hos- tile nature, or to give information to the enemy or unless they otherwise contravene any law, Order in Council or proclamation; (2) All German Officers or reservists attempting to leave Canada at any port on the Atlantic or on the Pacific shall be arrested and detained; (3) That, while it is impossible to guard effectually the boundary line between Canada and the United States for like purposes, precautions shall be taken at impor- tant points such as Halifax, St. John, Quebec, Montreal, Kingston, Toronto, Niagara, Hamilton, London, Windsor, Sarnia, Sault Ste. Marie, Port Arthur, Fort William, Winnipeg, Regina, Moosejaw, Calgary, Lethbridge, Revelstoke, Sicamous, Mission Junction, New Westminster, Vancouver, Victoria, and any other similar points in the discretion of the Minister of Militia to prevent German Officers or reservists from leaving Canada for the purpose of entering the United States and thence pro- ceeding to Germany and any such officers or reservists making any such attempt shall be arrested and detained; 22 THE EUROPEAN WAR 5 GEORGE V., A. 1915 (4) Any legislation necessary to ratify and enforce this Order in Council shall be submitted to Parliament at the next session thereof. (Sgd.) RODOLPHE BOUDREAU, Cleric of the Privy Council. P.O. 2087. AT THE GOVERNMENT HOUSE AT OTTAWA, FRIDAY, THE TTH DAY OF AUGUST, 1914. PRESENT : HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. His Royal Highness the Governor General in Council is pleased to order as follows : The exportation from Canada of the following articles is hereby prohibited, under the provisions of sections 291 and 242 of the Customs Act: 1. Articles prohibited to be exported to any places other than the United Kingdom or any British possessions: Arms of all kinds and their distinctive component parts; Projectiles, charges and cartridges of all kinds and their distinctive component parts; Powder and explosives, specially manufactured or prepared for use in war; Gun mountings, limber boxes, limbers, military wagons, field forges and their distinctive component parts; Petroleum and its products, used for fuel or as a lubricant; Saddle, draught and pack animals, suitable for use in war; Chrome and ferrochrome, cotton suitable for use in the manufacture of explosives. Cotton waste, dimithylaniline. Fulminate or mercury. Blast-furnace oil. Fuel oil shale. Mineral lubricating oil. Silkcloth, Silkbraid, silkthread, suitable for cartridge charges. Surgical dressings and bandages; Clothing and equipment of a military character; All kinds of harness of a military character; Articles of military camp equipment and their component parts. Implements and apparatus, designed for the manufacture or repair of arms or war material. 2. Articles prohibited to be exported to any places other than the United Kingdom, British Possessions, the United States, Japan, France and Russia Coal. His Royal Highness the Governor General in Council is further pleased to Order that this Order in Council be proclaimed and published in the Canada Gazette. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. 23 SESSIONAL PAPER No. 40 P.O. 2004. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His R'oyal Highness the Governor General on the 8th August, 1914. The Committee of the Privy Council, on the recommendation of the Minister of Militia and Defence, advise that a .contract be made with the Canada Tool and Specialty Company, Limited, of New Glasgow, for the conversion of 10,000 long Ross rifles, and the supply of 10,000 screw elevating sights and charger guide bridges, sub- ject to the following conditions: 1. That the company take delivery, F.O.B. cars, New Glasgow, of 10,000 long Ross rifles, in carload lots, packed in chests. 2. That the company remove the sight bases and hand guards, etc., from the rifles, and fit them with new screw elevating sights and new charger guide bridges, placed on the rear position, and also new hand guards of a proper pattern. 3. That the design of the sight and bridge should be the same as that approved for the long Ross Mark II, and that the components should be interchangeable there- with. 4. That the new sights, charger guide bridges and hand guards should all be manufactured by the company in their factory at New Glasgow. 5. That all the work and materials, to be done and provided under the proposed contract, be subject to inspection by the Chief Inspector of Arms and Ammunition, or other officer appointed for that purpose by the Minister ; and shall be accepted only upon the report of such officer. 6. That the inspector shall have access to the company's factory during the progress of the work at all reasonable times. 7. That all necessary plans, drawings and specifications be furnished by the Minister. 8. That after the completion of the work and its acceptance by the Inspector, the company shall repack and ship the rifles to the Chief Inspector of Arms and Ammunition, Quebec ; or to such other address as may be required. 9. That the company be paid $3.50 for each rifle so converted, F.O.B. cars, New Glasgow; this price to include the work of conversion and the supply of new sights, charger guide bridges and hand guards; as well as the cost of all plant, tools, jigs, fixtures, etc., necessary for the work. 10. That the work should be begun on or before October 1st, 1914, provided the rifles are available at that time; and should be completed on or before April 1, 1915. Any delay in the delivery of the rifles to the company will entitle the company to a corresponding extension of the time for completion of the contract. 11. That all payments to be made to the company under the proposed contract shall be charged against Appropriations for the then current fiscal year. Clerk of the Privy Council. 24 TllK EUROPEAN WAR 5 GEORGE V., A. 1915 P. C. 2076 CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal High-ness the Governor General on the 8th August, 1914. The Committee of the Privy Council, on the recommendation of the Minister of Militia and Defence, advise that the attached draft General Order, dated 7th August, 1914, authorizing the organization of an eight .company City Corps Battalion of In- fantry at Hull, P.Q., be approved. The Minister observes that statement of the expenditure involved is attached hereto. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. Extract from the Canada Gazette of Saturday, August, 191%. GENERAL ORDERS. 1914. HEADQUARTERS, OTTAWA, 7th August, 1914. ORGANIZATION. 3rd Division. The organization of an eight company City Corps Battalion of Infantry, with headquarters at Hull, P.Q., is authorized. (H.Q. 31-1-157) (H.Q. 32-9-24 ) By Command, VICTOR A. S. WILLIAMS, Colonel, Adjutant-General. ORGANIZATION. The expense involved under this head is as follows: HULL REGIMENT OK 1MANTRV. Arms and Equipment $ 22,011 Clothing 18,418 Total initial expense $ 40,429 In addition there will be annual expenses of training amounting, with the Regi- mental Allowances, to, approximately, $9,500. THE EUROPE Ay WAR 25 SESSIONAL PAPER No. 40 P. C. 2093. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness, the Governor General on the 8th August, 1914. The Committee of the Privy Council have had before them a memorandum from the President of the Privy Council, dated 7th August, 1914, submitting the annexed report, of even date, from the Comptroller of the R.N.W.M. Police, in which he concurs. The Minister recommends that steps be taken at the approaching session of Parliament to obtain authority for the increase of the Royal North West Mounted Police to 1,200 Non-commissioned Officers and Constables for the period of one year. The Minister further recommends that the sum of $600,000 be placed in the Estimates to be submitted at the coming session of Parliament to meet the expenses of the above increase. The Committee concur in the foregoing recommendations and submit the same for approval. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. P. C. 2080. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 10th August, 1914. The Committee of the Privy Council, on the recommendation of the Minister of Militia and Defence, advise that authority be granted for the Canadian Overseas Expeditionary Force to be composed in accordance with the accompanying table. (Sgd.) RODOLPHE BOUDREATl, Clerk of the Privy Council. 26 5 GEORGE V., A. 1915 THE CANADIAN CONTINGENT. Statement showing by arms, etc., the strength (all ranks) of the force which it is proposed to assemble at Valcartier, P.Q., prior to the embarkation of a Division, w'th which a quota of L. of C. (Administrative) units. Arms, Ac. DIVISION. L. of C. (administra- tive) units. Total embarking strength. Surplus to provide a margin for selec- tion and to serve as a nucleus for re-inforcements. ' Total force assembling at Valcartier, P.Q. In the field. Details at the oversea base. Commanders, staffs special appointments, police, &c Cavalry no 157 3,888 442 160 12,025 567 698 11 18 2 15 90 171 4,324 484 174 13,225 1,778 1,444 126 185 102 115 12 25 COO 50 25 2,000 60 60 10 20 10 10 102 196 4,824 534 199 15,225 1,838 1,504 136 205 112 125 14 376 42 14 1,200 5C 54 Artillery 60 Engineers Signal Service Infantry Army Service Corps Army Medical Service. . . Army Veterinary Service. Ordnance Corps 1,161 692 115 167 100 100 Army Pay Corps Postal Corps Total 18,073 1,750 2,395 22,218 2,782 25,000 N.B. Chaplains and nursing sisters not included. P.C. 2090 CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 10th August, 1914. The Committee of the Privy Council have had before them a report, dated 7th August, 1914, from the Right Honourable the Secretary of State for External Affairs, to whom was referred a telegraphic despatch, dated 5th August, 1914, from the Right Honourable the Secretary of State for the Colonies to Your Royal Highness. The Committee, on the recommendation of the Secretary of State for External Affairs, advise that Your Royal Highness may be pleased to inform the Secretary of State for the Colonies, by telegraph, that the services of any Canadian Officers on duty at the present time in the United Kingdom who may be usefully employed there, are at the disposal of His Majesty's Government, also that Canadian Officers and men whose training is finished or interrupted and whose services are not required in the United Kingdom should return to Canada at once. All which is respectfully submitted for approval. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council TEE EUROPEAN WAR 27 SESSIONAL PAPER No. 40 Mr. Harcourt to the Governor General. LONDON, August 5, 1914. Presume your Government have no objection to Army Council approaching Cana- dian Officers on duty in this country with a view to utilizing services if occasion arises. (Sd.) HARCOURT. DEPARTMENT OF MILITIA AND DEFENCE, OTTAWA, August 7, 1914. SIR, Adverting to my letter of this day's date acknowledging receipt of despatch of the 5th instant, enclosing a copy of a telegram from the Secretary of State for the Colonies respecting Canadian officers at present in England, I have the honour to inform you that an inquiry on this subject was received from the High Commissioner on the 5th instant, and a reply was sent as follows : " All Canadian officers and men whose training is finished or interrupted, should return to Canada at once unless services desired by Imperial Govern- ment." I have the honour to be, Sir, Your obedient servant, (Sd.) EUG. FISET, Colonel, Deputy Minister. The Tinder-Secretary of State for External Affairs, Ottawa. P. C. 2096. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 10th August, 1914. The Committee of the Privy Council have had before them a Report, dated 8th August, 1914, from the Minister of Finance, submitting, with reference to the Orders in Council of the 3rd August, 1914, under which arrangements were made with a view to preserving the gold supply of the Dominion of Canada from depletion, that, in his opinion, it became desirable that steps be taken at that time to preserve intact the gold reserve held by him under the provisions of the Dominion Notes Act. The Minister, accordingly, gave instructions on the 4th August, 1914, that, until further notice, Dominion notes would not be redeemed at the offices of the Assistant Receivers General in specie. The Minister recommends that his action in this regard be confirmed and that at the next session of Parliament legislation be obtained to legalize the course thru taken. The Committee concur in the foregoing and submit the same for approval. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. 28 THE ElKOI'KAy 5 GEORGE V., A. 1915 P.O. 2097. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 10th August, 1914. The Committee of the Privy Council have had before them a Report, dated 10th August, 1914, from the Minister of Militia and Defence, recommending that an order be given to the Ross Rifle Company for 30,000 Rifles, 30,000 screw Elevating Sights therefor, and 30,000 bayonets complete with scabbards, for delivery during the calendar year 1914. The Minister states that under the terms of the contract existing between the Government and the Ross Rifle Company it is provided that in case of war, actual or threatened, or any national emergency, the Contractor shall do his utmost to manufacture at his factory and deliver to the Government all such rifles as may be reasonably required and shall, if need be, operate his factory at any time to twenty- four hours per day until delivery of the Rifles required is completed. The Minister further states that this order shall be subject in all respects to the provisions of the existing contract with the Ross Rifle Company for the manufacture and supply of Rifles, and subject also to the following further conditions: 1. That the Rifles shall be Long Ross, Mark III, Pattern, and the screw Elevat- ing Sight shall be the Pattern which was adopted for that Rifle. Also that the said Sights shall be attached to, and delivered with, the Rifles alluded to above. 2. That the Bayonets and Scabbards shall be of the Pattern authorized for use with Mark HI Rifles. 3. That in accordance with the provisions of Orders in Council dated 7th April, 1913, and 7th November, 1913, the price of the Rifles is to be $26.90 each without the Screw Elevating Sight; the price of the Sights $1.10 each; and the price of the Bayonets, each complete with Scabbard, $5.25 each. 4. That delivery will be taken by the Department of Militia and Defence at the Inspection premises of the Chief Inspector of Arms and Ammunition, Quebec, delivery of the entire lot to be completed on or before 31st December, 1914. The Committee concur in the foregoing and submit the same for approval. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. P.C. 2101. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the llth August, 1914. The Committee of the Privy Council, on the recommendation of the Minister of Justice, advise that, pursuant to the authority of Chapter 92 of the Revised Sta- tutes of Canada, 1906, Major William McLeod, of Winnipeg, Assistant Chief of the Department of Investigation of the Canadian Pacific Railway Company, be appointed a Commissioner of Police within Canada, and that Mr. Rufus Chamberlain, Chief of the Department of Investigation of the said Company be appointed Commissioner THE EUROPEAN WAR 29 SESSIONAL PAPER No. 40 of Police within all Canada East of this boundary line between the Provinces of Ontario and Manitoba. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. P.O. 2102. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the llth August, 1914. The Committee of the Privy Council have had before them a Report, dated 10th August, 1914, from the Right Honourable the Prime Minister, stating that since the outbreak of war a large number of persons employed in the Civil Service of Canada, who are enrolled in the active Militia, have applied for leave of absence to serve at home or abroad, and many others not so enrolled have signified a desire to volunteer for service either in Canada or abroad. The Minister observes that, considering the needs of the several Departments of the Government in order to maintain and carry on the public service and the neces- sity of retaining a sufficient number of experienced and qualified men for such purpose, and after consulting the heads of the various Departments, he is of opinion it will not be possible or expedient to grant all applications of this character. The Minister, therefore, recommends as follows: Any person in the service of the Government whether the inside or the outside service who is enrolled in the active Militia shall if required by the head of his Depart- ment, with the consent of the Minister of Militia, resume his duties in the public service although he has been called out for active service as a member of the Militia. Subject to the foregoing provision all persons in the employment of the Govern- ment of Canada who, during the present war, have been or may be called out for active service as members of the Militia, and all persons who, with the consent of the head of the Department in which they are engaged, enlist in any expeditionary force raised in Canada for service abroad during the war, shall be entitled to receive their regular salary during such period of service subject to such regulations and conditions as to the payment of such salary to the families or dependents of such persons or otherwise as may be prescribed by Order in Council or by the head of the Department in each case. The Committee concur in the foregoing and submit the same for approval (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. P.C. 2103. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General, on the 12th August, 1914. The Committee of the Privy Council, on the recommendation of the Minister of Militia and Defence, advise that the attached draft General Order, dated 7th August, 1914, authorizing the reorganization of Earl Grey's Own Rifles as a 4-company City Corps, be approved. The Minister observes that a statement of the expenditure involved is attached hereto. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. 30 THE EUROPEAN WAR 5 GEORGE V., A. 1915 Extract from the Canada Gazette of Saturday, August, 1911^ GENERAL ORDERS. 1914. HEADQUARTERS, OTTAWA, 7th August, 1914. ORGANIZATION. Military District No. 11 Earl Grey's Own Rifles. The reorganization of Earl Grey's Own Rifles as a 4-company City Corps is authorized. (H.Q.-7-114-1) BY COMMAND (Sgd.) VICTOR A. S. WILLIAMS, Colonel, Adjutant General. EARL GREY'S OWN RIFLES. Clothing $ 7,042 Arms and Equipment 9,749 Total initial cost $16,791 In addition the annual cost of .$6,000 for training and allowances. Provision made in Supplementary Estimates 1914-15. P. C. 2106. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 12th August, 1914. The Committee of the Privy Council, on the recommendation of the Minister of Militia and Defence, advise that the accompanying draft General Order, dated 10th August, 1914, calling out the troops in No. 11 Military District on Active service, be approved. (Sgd) RODOLPHE BOUDREAU, Clerk of the Privy Council. Extract from the Canada Gazette. CANADIAN MILITIA. 1914. HEADQUARTERS, OTTAWA, August 10, 1914. CALLING OUT TROOPS ON ACTIVE SERVICE. In virtue of an Order by His Royal Highness the Governor General in Council, numbered P.C. 2068, dated the 6th day of August, 1914, and made under the authority of section 69 of the Militia Act, the corps and parts of corps hereinafter mentioned, TEE EUROPEAN WAR 31 SESSIONAL PAPER No. 40 having their headquarters in Military District No. 11, are placed on Active Service at their full peace establishment for such special duties and at such points as may be ordered by the officer commanding that District, or as may hereafter from time to time be directed from Militia Headquarters : CAVALRY. 30th Regiment British Columbia Horse. 31st Regiment British Columbia Horse. Victoria Independent Squadron. ARTILLERY. Royal Canadian Garrison Artillery (No. 5 Company). 5th Regiment Canadian Garrison Artillery. ENGINEERS. 3rd (Fortress') Company Royal Canadian Engineers. 6th Field Company Canadian Engineers. CORPS OF GUIDES. No. 11 Detachment, Corps of Guides. * INFANTRY. 6th Regiment llth Regiment. 50th Regiment. 72nd Regiment. 8'3th Regiment. 102nd Regiment. 104th Regiment. Grand Forks Isdependent Company of Rifles. Nanaimo Independent Company. CANADIAN SIGNAL CORPS. No. 11 Section, Canadian Signal Corps. CANADIAN ARMY SERVICE CORPS. No. 19 Company, Canadian Army Service Corps. ARMY MEDICAL SERVICES. No. XVIII Field Ambulance. Xo. 11 Detachment, Permanent Army Medical Corps. CANADIAN ARMY VETERINARY CORPS. No. 11 Section, Canadian Army Veterinary Corps. CANADIAN ORDNANCE CORPS. No. 11 Detachment, Canadian Ordnance Corps. CANADIAN ARMY PAY CORPS No. 10 Detachment, Canadian Army Pay Corps. By Command, (Sgd.) VICTOR A. S. WILLIAMS, Colonel, Adjutant General. 32 TUE EUROPEAN WAR 5 GEORGE V., A. 1915 P. C. 2108. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 12th August, 1914. The Committee of the Privy Council, on the recommendation of the Minister of Railways and Canals, advise that, in view of the present crisis in International affairs, the St. Peters Canal, Cape Breton, which by the authority of an Order in Council of the 3rd July, 1914, was closed to public traffic on the 15th of that month, be reopened and maintained in operation until further directed. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. P. C. 2128 AT THE GOVERNMENT HOUSE AT OTTAWA. THURSDAY THE 13TH OF AUGUST, 1914. PRESENT : HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. Whereas there are many immigrants of Autro-Hungarian nationality quietly pursuing their usual avocations in various parts of Canada and it is desirable that such persons should continue in such avocations without interruption. Therefore His Royal Highness the Governor General in Council is pleased to Order and it is hereby ordered as follows: 1. Such persons so long as they quietly pursue their ordinary avocations, shall not be arrested, detained or interfered with unless there is reasonable ground to believe that they are engaged in espionage, or attempting to engage in acts of a hostile nature, or to give information to the enemy or unless they otherwise contravene any law, Order in Council or proclamation; 2. All Austro-Hungarian officers or reservists attempting to leave Canada at any port on the Atlantic or on the Pacific shall be arrested and detained; 3. That, while it is impossible to guard effectually the boundary line between Canada and the United States for like purposes, precautions shall be taken at im- portants points such as Halifax, St. John, Quebec, Montreal, Kingston, Toronto, Niagara, Hamilton, London, Windsor, Saruia, Sault Ste. Marie, Port Arthur, Fort William, Winnipeg, Regina, Moosejaw, Calgary, Lethbridge, Revelstoke, Sicamous, Mission Junction, New Westminster, Vancouver. Victoria and any other similar points in the discretion of the Minister of Militia to prevent Austro-Hungarian officers or reservists from leaving Canada for the purpose of entering the United States and thence proceeding to Austria-Hungary and any such Officers or reservist* making any such attempt shall be arrested and detained; 4. Any legislation necessary to ratify and enforce this Order in Council shall be submitted to Parliament at the next session thereof. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. TEE EUROPEAN WAR 33 SESSIONAL PAPER No. 40 P.O. 2114. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 13th August, 1914. The Committee of the Privy Council have had before them a report, dated llth August, 1914, from the Right Honourable the President of the Privy Council, sub- mitting for the consideration of Council the annexed report from the Comptroller of the Royal Northwest Mounted Police, of even date, in which he concurs. The Minister recommends that the following regulations with regard to the engagement of new men and the re-engagement of pensioners and ex-members of the Force for service during the war, be approved: 1. Married men may be engaged or re-engaged. 2. That separation allowance at the rate of $20 per month be granted to married men, with the exception of pensioners, for the maintenance of their families. 3. That pensioners be permitted to draw their pensions for the support of their families, and that in cases where the pension is less than $20 per month, separation allowance to make up the difference be paid to them. The Committee submit the same for approval. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. ROYAL NORTHWEST MOUNTED POLICE. OTTAWA, August 11, 1914. MEMORANDUM re engagement of married men and re-engagement of pensioners and ex-members of the Force for service during the War. Paragraph 1274 of the R.N.W.M. Police Rules and Regulations provides that married men are not eligible for engagement. The undersigned respectfully recommends that this regulation be cancelled so far as relates to the engagement of new men or re-engagement of ex-members of the Force during the present emergency, and that married men, otherwise qualified, be accepted, and that the sum of $20 per month be allowed for the maintenance of their families, provided their husbands are separated from them. In the cases of married pensioners re-engaging, the undersigned recommends that they be allowed to continue to draw their pensions for the support of their families if separated from them and that when the pension is less than $20 per month, separation allowance to make up the difference be paid to them. Respectfully submitted. (Sgd.) LAWRENCE FORTESCUE, Comptroller. 403 34 THE EUROPEAN WAR 5 GEORGE V., A. 1915 P. C. 2129. AT THE GOVERNMENT HOUSE AT OTTAWA. FRIDAY, THE 14iH DAY OF AUGUST, 1914. PRESENT : HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. WHEREAS a state of war now exists between this Country and Austria-Hungary, and His Majesty, The King being mindful of the recognition accorded to the practice of granting "days of grace" to enemy merchant ships by the Convention relative to the " Status of Enemy Merchant Ships at the outbreak of Hostilities," signed at the Hague on the 18th October, 1907, and with a view of lessening so far as may be practicable, the injury caused by war to peaceful and unsuspecting commerce. His Royal Highness the Governor General in Council is pleased to Order and it is hereby ordered as follows : 1. From and after publication of this Order, no enemy merchant ship shall be allowed to depart, except in accordance with the provisions of this Order, from any Canadian port; 2. In the event of the Governor General being informed by His Majesty's Gov- ernment that information had reached His Majesty's Government, not later than midnight on Saturday the fifteenth day of August, 1914, that the treatment accorded to British Merchant Ships and their cargoes which, at the date of the outbreak of hostilities were in the ports of the enemy or which subsequently entered them is not less favourable than the treatment accorded to Enemy Merchant Ships by Articles 3 to 7 of this Order, the Secretary of State for External Affairs shall notify the Minister of Customs and the Minister of Naval Service accordingly, and public notice thereof shall forthwith be given in the Canada Gazette, and Articles 3 to 8 of this Order shall thereupon come into full force and effect. 3. Subject to the provisions of this order, Enemy Merchant Ships which: (i) At the date of the outbreak of hostilities were in any port in which this Order applies; or (ii) Cleared from their last port before the declaration of war, and, after the outbreak of hostilities, enter a port to which this Order applies, with knowledge of the war; shall be allowed up till midnight (Greenwich mean time) on Saturday the twenty- second day of August. 1914, for loading or unloading their cargoes and for departing from such port. Provided. At ports where Atlantic Time is kept the corresponding standard time of place is 8.0 p.m. ; where Eastern Standard Time is kept it is 7.0 p.m. ; where Cen- tral Time is kept it is 6.0 p.m.; where Mountain Time is kept it is 5.0 p.m.; and where Pacific Time is kept it is 4.0 p.m. of the same day, respectively. Provided that such vessels shall not be allowed to ship any contraband of war, and any contraband of war already shipped on such vessels must be discharged. 4. Enemy Merchant Ships which cleared from their last port before the declara- tion of war, and which, with no knowledge of the war, arrived at a port to which this Order applies after the expiry of the time allowed by Article 3 for loading or unload- THE EUROPEAN WAR 35 SESSIONAL PAPER No. 40 ing cargo and for departing, and are permitted to enter, may be required to depart either immediately, or within such time as may be considered necessary by the Cus- toms Officer of the port for the unloading of such cargo as they may be required or specially permitted to discharge. Provided that such vessels may, as a condition of being allowed to discharge cargo, be required to proceed to any other specified Canadian port, and shall there be allowed such time for discharge as the Customs Officer of that port may consider to be necessary. Provided also that, if any cargo on board such vessel is contraband of war or is requisitioned under Article 5 of this Order, she may be required before departure to discharge such cargo within such time as the Customs Officer of the port may con- sider to be necessary ; or she may be required to proceed, if necessary under escort, to any other port in the Dominion of Canada, and shall there discharge the contraband under like conditions. 5. The Canadian Government reserves the right recognized by the said conven- tion to requisition at any time, subject to payment of compensation, enemy cargo on board any vessel to which Articles 3 and 4 of this Order apply. 6. The privileges accorded by Articles 3 and 4 are not to entend to cable ships or to sea-going ships designed to carry oil fuel, or to ships whose tonnage exceeds 5,000 tons gross, or whose speed is 14 knots or over, regarding which the entries in Lloyd's Register shall be conclusive for the purposes of this article. Such vessels will remain liable on adjudication by the Prize Court to detention during the period of the war, or to requisition, in accordance, in either case, with the Convention afore- said. The said privileges will also not extend to Merchant Ships which show by their build that they are intended for conversion into warships, as such vessels are outside the scope of the said Convention, and are liable on adjudication by the Prize Court to condemnation as prizes. 7. Enemy Merchant Ships allowed to depart under Articles 3 and 4 will be pro- vided with a pass indicating the port to which they are to proceed, and the route they are to follow, in which pass shall be embodied the following proviso : " Provided also that she keeps her colours constantly flying during her " voyage, and makes no attempt to evade stoppage and search by British ships " of war which she may fall in with ". 8. A Merchant Ship which, after receipt of such a pass, does not follow the course indicated therein will be liable to capture. 9. If no information reaches His Majesty's Government within the time allowed by it for the receipt of such information to the effect that the treatment accorded to British Meihant Ships and their cargoes which were in the ports of the enemy at the date of the outbreak of hostilities, or which subsequently entered them, is, in its opinion, not less favourable than that accorded to Enemy Merchant Ships by Articles 3 and 8 of this Order, every Enemy Merchant Ship which, on the outbreak of hostili- ties, was in any port to which this Order applies, and also every Enemy ship which cleared from its last port before the declaration of war, but which, with no knowledge of the war enters a port to which this order applies, shall, together with the cargo on board thereof, be liable to capture, and shall be brought before the Prize Court forth- with for adjudication. 10. In the event of information reaching His Majesty's Government that Bri- tish Merchant Ships which cleared from their last port before the declaration of war, but are met with by the enemy at sea after the outbreak of hostilities, are allowed to continue their voyage without interference with either the ship or the cargo, or after 40 3* 36 TEE EUROPEAN WAX 5 GEORGE V., A. 1915 capture are released with or without proceedings in the Prize Court, or are to be de- tained during the war or requisitioned in lieu of condemnation as prizes, the Secretary of State for External Affairs shall notify the Minister of the Naval Service accord- ingly, and shall publish a notification thereof in the Canada Gazette, and in that event, but not otherwise, Enemy Merchant Ships which cleared from their last port before the declaration of war, and are captured after the outbreak of hostilities and brought before the Prize Court for adjudication, shall be released or detained or requisitioned in such cases and upon such terms as may be directed in the said noti- fication in the Canada Gazette. 11. Neutral cargo, other than contraband of war, on board of Enemy Merchant Ship which is not allowed to depart from a port to which this Order applies, shall be released. 12. In accordance with the provisions of Chapter 111 of the Convention, relative to certain restrictions on the Exercise of the Right of Capture in Maritime War, signed at the Hague on 18th October, 1907, an undertaking must, whether the Merchant Ship is allowed to depart or not, be given in writing by each of the Officers and members of the crew of such vessel, who is of Enemy nationality, that he will not, after the conclusion of the voyage for which the pass is issued, engage while hostilities last in any service connected with the operation of the war. If any such officer is of neutral nationality, an undertaking must be given in. writing that he will not serve, after the conclusion of the voyage, for which the pass is issued, on any Enemy Ship while hostilities last. No undertaking is to be required from members of the crew who are of neutral nationality. Officers or members of the crew declining to give the undertakings required by this article will be detained as prisoners of war. And the Ministers of each of the Government Departments and all officers and authorities whom it may concern are to give the necessary directions herein as to them may respectively appertain. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. P.C. 2112. CERTIFIED copy of a Report of the Committee of the Privy Council, approved by His Royal Highness the Governor General on the 14th August, 1914. The Committee of the Privy Council have had before them a Report, dated llth August, 1914, from the Minister of Militia and Defence, recommending, with the approval of the Imperial Government, that authority be granted for the forma- tion of a battalion under the style and title of " Princess Patricia's Canadian Light Infantry." The Minister states that the battalion will be organized on the lines indicated in Expeditionary Force War Establishments, 1914 (pp. 121-126); and when it embarks it will leave behind a regimental depot for recruiting purposes. That towards arming, clothing, equipping, paying, subsisting, transporting, and towards any other expense connected with the formation, training and mainten- ance of the Battalion, whether in or out of Canada, the sum of one hundred thousand dollars will be contributed by Captain Hamilton Gault, of Montreal, the remainder being defrayed by the Department of Militia and Defence. The Minister further recommends that authority be granted to the various branches of the Department of Militia and Defence to issue the arms, accoutre- ments, ammunition, vehicles, clothing, equipment, stationery and other articles THE EUROPEAN WAR 37 SESSIONAL PAPER No. 40 comprised in the 'War Outfit' of a battalion; to provide horses (riding and draught) ; and to issue such stores and supplies as may be required during the process of organization, at Ottawa or elsewhere. That to enable officers, non-commissioned officers and men to join the battalion, transportation requisitions will be supplied to them by Officers Commanding Divisions and Districts; and the Quartermaster-General is hereby authorized to issue the neces- sary orders. That the pay of all ranks will be at the same rate as that approved for the other battalions of the Canadian Expeditionary Force; and the Accountant and Paymaster- General is hereby authorized to issue it from the date on which each officer is gazetted and each man attested. That the principle of the financial relations between Captain Gault and the Depart- ment of Militia and Defence is that all payments will, in the first instance, be made by the Department, and that a total sum of one hundred thousand dollars will be received, subsequently, from Captain Gault. That the foregoing arrangements are to hold good until the discharge of the officers and men after the return of the Battalion to Canada. The Committee concur in the foregoing recommendations and submit the same for approval. (Sgd.) KODOLPHE BOUDREATJ, Clerk of the Privy Council KNOW ALL MEN BY THESE PRESENTS that I, Hamilton Gault, of the City of Montreal, in the Dominion of Canada, Merchant, am held and firmly bound to the Government of the Dominion of Canada in the penal sum of Two Hundred Thousand Dollars of lawful money of Canada, to be paid to the said Government for which payment well and truly to be made, I bind myself, my heirs, executors and administrators, respectively, firmly by these presents. SEALED with my Seal and dated at the said City of Montreal, this day of August, A.D. 1914. WHEREAS at my request His Royal Highness the Governor General in Council, by an Order in Council dated the day of August, One Thousand Nine Hundred and Fourteen, has authorized the formation of a Battalion to be styled the "Princess Patricia's Canadian Light Infantry," and WHEREAS the said Government, at my request, has undertaken to arm, clothe, equip, pay, subsist, train, transport and maintain the said Battalion both in and out of Canada, and WHEREAS in consideration of such undertaking on the part of the said Government I have promised and agreed to pay to the said Government the sum of One Hundred Thousand Dollars on or before the First day of September, 1914. Now the condition of this bond is such that if I, the above boundeii Hamilton Gault, my heirs, executors or administrators, do and shall well and truly pay or cause to be paid to the said Government the said sum of One Hundred Thousand Dollars on or before said First day of September, 1914, then this obligation shall be void, other- wise to remain in full force and virtue. Signed, Sealed and Delivered in the presence oi SEAL 38 THE EUROPEAN WAR 5 GEORGE V., A. 1915 P. C. 2150. AT THE GOVERNMENT HOUSE AT OTTAWA. ' SATURDAY, THE 15TH DAY OF AUGUST, 1914. PRESENT : HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. Whereas a state of war exists between Great Britain and the German Empire and between Great Britain and Austria-Hungary; AND WHEREAS certain instructions have been received from His Majesty's Govern- ment in connection with the arrest and detention of subjects in Canada of the German Empire and of Austria-Hungary; and particularly of those who attempt to leave Can- ada; AND WHEREAS there are many persons of German and Austro-Hungarian nation- ality quietly pursuing their usual avocations in various parts of Canada, and it is desirable that such persons should be allowed to continue in such avocations without interruption ; THEREFORE His Royal Highness the Governor General in Council is pleased to Order and it is hereby Ordered as follows: 1. That all persons in Canada of German or Austro-Hungarian nationality, so long as they quietly pursue their ordinary avocations, be allowed to continue to enjoy the protection of the law, and be accorded the respect and consideration due to peaceful and law-abiding citizens; and that they be not arrested, detained or interfered with \mles3 there is reasonable ground to believe that they are engaged in espionage, or engaging or attempting to engage in acts of a hostile nature, or are giving or attempting to give information to the enemy, or unless they otherwise contravene any law, Order-in- Council or proclamation. 2. That (a) All German or Austrian or Austro-Hungarian officers, soldiers or reservists who attempt to leave Canada; (b) All subjects of the German Empire or of Austria-Hungary in Canada who attempt to leave Canada and in regard to whom there is reasonable ground to believe that their attempted departure is with a view to assisting the enemy; and (c) All subjects of the German Empire or of Austria-Hungary in Canada engaged or attempting to engage in espionage or acts of a hostile nature, or giving or attempting to give information to the enemy, or assisting or attempting to assist the enemy, or who are on reasonable grounds suspected of doing or attempting to do any of said acts be arrested and detained. 3. That in addition to and without affecting the power already vested in the militia in that behalf power to effect the arrest and detention of all or any person or persons coming within any of the classes mentioned in paragraph (2) hereof be vested in the Chief Commissioner and the commissioners and constables of the Dominion Police force; the Commissioner, officers and constables of the Royal Northwest Mounted Police; and such other persons as may be authorized so to do by the Chief Commis- sioner of Dominion Police. THE EUROPEAN WAR 39 SESSIONAL PAPER No. 40 4. That such authorities and officers mentioned in paragraph 3 hereof, or the militia, be authorized to release any such person so arrested or detained as aforesaid of whose reliability they may be satisfied on his signing an undertaking in the form hereunto annexed. 5. That any such person so arrested .and detained as aforesaid of whose reliability the officer or authority making the arrest is not satisfied or who refuses to sign such undertaking, or having signed same fails to abide by its terms be interned by such authorities and officers or militia according to the usages and laws of war in such places as may be provided by the militia, and that if it be deemed necessary that guards be placed on persons so interned, such guards be furnished by the active militia of Canada on the request of such authorities or officers to Officers Commanding Divisional Areas and Districts. 6. That all such authorities and officers or militia who may exercise any of the powers above mentioned be directed to report in each case to the Chief Commissioner of Dominion Police stating the name, address and occupation of the person detained or paroled, the date and place of detention and generally the circumstances of the arrest and detention, and all such information as may be necessary or useful for the purposes of record and identification. His Eoyal Highness the Governor General in Council is further pleased to Order that a Proclamation do issue accordingly. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. UNDERTAKING. I, at present of in the Province of in the Dominion a German of Canada, do hereby declare that I am an Augtro . H ungarian sub J ect 5 I now in Germany consideration of my exemption from detention as a subject of Austria-Hungary do hereby undertake and promise that I will report to such official and upon such terms as the Canadian Authorities may from time to time prescribe; that I will carefully observe the laws of the United Kingdom of Great Britain and Ireland and of Canada and such rules as may be specially laid down for my conduct; that I will strictly abstain from taking up arms and from doing any act of hostility towards tiie Govern- ment of this Country, and that, except with the permission of the officer under whose surveillance I may be placed, I will strictly abstain from communicating to anyone whomsoever any information respecting the existing war or the movements of troops or the military preparations which the authorities of Canada or Great Britain may make, or as respects the resources of Canada, and that I will do no act that might be of injury to the Dominion of Canada or the United Kingdom of Great Britain and Ireland and Dominions and possessions thereof. Dated '. day of 1914. WITNESS : 40 TEE EUROPEAN WAR 5 GEORGE V., A. 1915 P. C. 2152. AT THE GOVERNMENT HOUSE AT OTTAWA, SATURDAY, THE 15TH DAY OF AUGUST, 1914. PRESENT : HIS ROYAL HIGHNESS THE GOVERNOR GENERAL IN COUNCIL. The Governor General in Council is pleased to Order as follows: The Order in Council of the 7th August, 1914, prohibiting the exportation of coal from Canada to certain places is hereby amended and the exportation of such coal from Canada to Norway, Sweden and Denmark is permitted. The Governor General in Council is further pleased to Order that this amending Order in Council be proclaimed and published in the Canada Gazette. (Sgd.) RODOLPHE BOUDREAU, Clerk of the Privy Council. 5 GEORGE V. SESSIONAL PAPER No. 40a A. 1915 RETURN (40a) CORRESPONDENCE BY CABLE BETWEEN THE GOVERNOR GENERAL AND THE SECRETARY OF STATE FOR THE COLONIES, FROM AUGUST 1 TO AUGUST 15, 1914. SECEET. From the Governor (General to the Secretary of State for the Colonies. OTTAWA, August 1, 1914. In view of the impending danger of war involving the Empire my Advisers are anxiously considering the most effective means of rendering every possible aid and they will welcome any suggestions and advice which Imperial Naval and Military authorities may deem it expedient to offer. They are confident that a considerable force would be available for service abroad. A question has been mooted respecting the status of any Canadian force serving abroad as under section sixty-nine of Canadian Militia Act the active militia can only be placed on active service beyond Canada for the defence thereof. It has been suggested that regiments might enlist as Imperial troops for stated period, Canadian Government undertaking to make all necessary financial provision for their equipment, pay and maintenance. This proposal has not yet been maturely considered here and my advisers would be glad to have views of Imperial Government thereon. ARTHUR. From the Governor General to the Secretary of State for the Colonies. OTTAWA, August 1, 1914. My Advisers while expressing their most earnest hope that peaceful solution of existing international difficulties may be achieved and their strong desire to co-operate in every possible way for that purpose wish me to convey to His Majesty's Government the firm assurance that if unhappily war should ensue the Canadian people will be united in a common resolve to put forth every effort and to make every sacrifice necessary to ensure the integrity and maintain the honour of our Empire. From the Secretary of State for the Colonies to the Governor General. LONDON, August 2, 1914 With reference to your telegram 1st August, His Majesty's Government grate- fully welcome the assurance of your Government that in the present crisis they may rely on wholehearted^ co-operation of the people of Canada. HAECOURT. 41 42 THE EUROPEAN WAR 5 GEORGE V.. A. 1915 From the Secretary of State for the Colonies to the Governor General. LONDON, August 3, 1914. Moratorium for one month proclaimed here yesterday for bills of exchange accepted before August 4th. Tuesday, Wednesday and Thursday this week will be bank holidays in addition to usual bank holiday to-day, Monday. HARCOURT. From the Secretary of State for the Colonies to the Governor General. LONDON, August 3, 1914. With reference to your cypher telegram 2nd August, please inform your Ministers that their patriotic readiness to render every aid is deeply appreciated by His Majesty's Government, but they would prefer postponing detailed observations on the suggestion put forward, pending further developments. As soon as situation appears to call for further measures I will telegraph you again. HARCOURT. From the Secretary of State 1 for the Colonies to the Governor General. LONDON, August 4, 1914. Please communicate to your Ministers following message from His Majesty the King and publish: I desire to express to my people of the Overseas Dominions with what appreciation and pride I have received the messages from their respective Governments during the last few days. These spontaneous assurances of their fullest support recalled to me the generous self-sacrificing help given by .them in the past to the Mother Country. I shall be strengthened in the discharge of the great responsibilities which rest upon me by the confident belief that in this time of trial my Empire will stand united, calm, resolute, trusting in God. GEORGE R.I. HARCOURT. From the Governor General to the Secretary of State for the Colonies. OTTAWA, August 4, 1914. Following for the King: "In the name of the Dominion of Canada I humbly thank Your Majesty for your gracious message of approval. Canada stands united from the Pacific to the Atlantic in her determination to uphold the honour and tradition of our Empire ". ARTHUR. From the Secretary of State for the Colonies to the Governor General. LONDON, August 4, 1914. Though there seems to be no immediate necessity for any request on our part for an expeditionary force from Canada, I think, in view of their generous offer, your Ministers would be wise to take all legislative and other steps by which they would be enabled without delay to provide such a force in case it should be required later. HARCOURT. THE EUROPEAN WAR 43 SESSIONAL PAPER No. 40a From ike Governor General to the Secretary of State for the Colonies. OTTAWA, August 4, 1914. Canadian millers and food exporters find difficulty in arranging shipments to Great Britain and enquire whether any measures are being taken to secure steady shipments of food products and to protect them. Large quantities food products avail- able here for immediate export. My Advisers would be glad to have any available information. ARTHUR From the Secretary of State for the Colonies to the Governor General. LONDON, August 5, 1914. With reference to your cypher telegram of yesterday, food shipments. As stated in House of Commons yesterday His Majesty's Government are inaugurating a scheme of state insurance for ships and cargoes based on report of committee, copy of which goes to you by mail. Every effort is being made to protect shipping. HARCOURT. From the Governor General to the Secretary of State for the Colonies. OTTAWA, August 5, 1914. My Government anxious to know time limit that should be given German Consuls to leave countr^ ARTHUR. From the Secretary of State for the Colonies to the Governor General. LONDON, August 5, 1914. With regard to your cypher telegram of to-day's date, all German Consuls should leave forthwith. They may be permitted to leave consulate clerk or other unofficial representative to arrange their personal affairs. HARCOURT. From the Governor General to the Secretary of State for the Colonies. OTTAWA/ August 5, 1914. My Government being desirous of putting beyond doubt status of Canadian vol- unteers, request that His Majesty may be pleased to issue an order bringing these volunteers under Sections 175 and 176 of the Army Act. ARTHUR. From the Secretary of State for the Colonies to the Governor General. LONDON, August 6, 1914. With reference to my telegram of August 4th, His Majesty's Government grate- fully accept offer of your Ministers to send expeditionary force to this country, and would be glad if it could be despatched as soon as possible. Suggested composition fol- lows. HARCOURT. 44 THE EUROPEAN WAR 5 GEORGE V., A. 1915 From the Governor General to the Secretary of State for the Colonies. OT~UVA, August 6, 1914. My Advisers request me to inform you that the people of Canada through their Government desire to offer one million bags of flour of ninety-eight pounds each as a gift to the people of the United Kingdom to be placed at the disposal of His Majesty's Government and to be used for such purposes as they may deem expedient. ARTHUR. From the Secretary of State for the Colonies to the Governor General. LONDON, August 7, 1914. On behalf of the people of the United Kingdom, His Majesty's Government accept with deep gratitude the splendid and welcome gift of flour from Canada which will be of the greatest use far the steadying of prices and relief of distress in this country. We can never forget the generosity and promptitude of this gift and the patriotism from which it springs. HARCOURT. From the Secretary of State for the Colonies to the Governor General. LONDON, August 7, 1914. My telegram of 6th August Army Council consider one division would be suitable composition of expeditionary force. HARCOURT. From the Secretary of State for the Colonies to the Governor General. LONDON, August 7, 1914. Following is summary of speech delivered by Prime Minister in House of Com- mons in proposing vote of one hundred million pounds for measures for security of country, conduct of naval and military operations, assisting food supplies, promoting continuance of trade industry and business communication, and expenses arising out of existence of war. After referring to strenuous and persistent efforts to secure peace Prime Minister laid stress on communication made by German Chancellor July 29th in which he offered in return for British neutrality that Germany would not make territorial acquisition at expense of France but declined to give this assurance as regards French possessions; offered to respect neutrality of Holland but would only promise to respect Belgian integrity when war was over. Chancellor observed that English neutrality in present crisis might form basis for future under- standing. This proposal in effect meant assent behind back of France to annexation by Germany of the whole of French extra European possessions and bartering away treaty obligations with regard to Belgian neutrality. The House had read the pathetic appeal of King of Belgium and when Belgians were fighting for their lives what would position of Great Britain have been if they had assented to this infamous proposal and what return would have been made for betrayal of friends and dis- honour of obligations? Nothing but a promise given by a Power which at the very moment was announcing its intention of violating its treaty and inviting us to do the same. If Government had temporised they would have covered themselves with dishonour and betrayed interests of the country of which they were trustees. Prime T11E EiROl'EA* WAR 45 SESSIONAL PAPER No. 40a Minister referred to the offer of British Government if peace could be preserved and crisis passed to promote some agreement to which Germany could be a party by which she could be assured that no aggressive or hostile policy would be pursued against her or her allies by Britain, France, and Russia, jointly or separately. Earnestness and sincerity of this offer obvious. In spite of great provocation His Majesty's Government had persisted to the very last moment in efforts for peace and war had been forced upon them, but they had thought it their duty to go to war because they believed and the country believed that the cause was just. Great Britain was fighting in the first place to fulfil a solemn international obligation which in private life would have been regarded as an obligation not only of law but of honour, and, secondly, to vindicate the principle, that small nationalities were not to be crushed in defiance of international good faith by the arbitrary will oi a strong and overmastering Power. No nation ever entered into a great controversy with a clearer and stronger conviction that it was fighting not for aggression, not for the maintenance of its own selfish interests, but in defence of principles the maintenance of which were vital to the civilization of the world. It was essential that all the resources of the Empire should be thrown into the scale and for that purpose he asked for a vote of credit for one hundred millions and he announced the decision to add 500,000 men to the Army. The Government were encouraged to do this not only by their sense of necessity but by the knowledge that India was prepared to send certainly two divisions and that every one of the self-governing Dominions spontaneously and unasked had already tendered to utmost limits of their possibilities both in men and money every help they could afford the Empire in a moment of need. HARCOURT. From the Governor General to the Secretary of State for the Colonies. OTTAWA, August 8, 1914. Canadian Government desire to know what action His Majesty's Government desire Canadian authorities to take regarding Army Reservists in Canada, of which there are several thousand in Canada, registered at Imperial Pension Office, Ottawa. Are they to be sent home at once ? I understand officer paying Imperial Pensioners and Reservists here is in position to provide transport for these men and funds if necessary. ARTHUR. From the Secretary of States for the Col&nies to the Governor General. LONDON, August 8, 1914. Referring to my telegram 6th August Army Council state that a certain pro- portion of army troops will be required in addition to force mentioned. You will be furnished later on with suggested numbers. HARCOURT. "From the Secretary of State for the Colonies to the Governor General. LONDON, August 8, 1914. The following ifi summary of war risks insurance scheme: Firstly. Ships: Government scheme for war risks on ships is worked through war risk insurance association of ship owners already existing and every effort is 46 THE EUROPEAN WAR 5 GEORGE V., A. 1915 being made to bring as many ships as possible into this association. Government scheme only applies re insurance of King's enemies risks. The object of scheme is to secure as far as practicable the maintenance in time of war of oversea trade. The Government is entering into an agreement with approved association to re-insure to the extent of eighty per cent all risks assumed by the association as far as they are King's enemy risks on the following terms: (1) On voyages current at the outbreak of war re-insurance will be with- out premium; (2) On such voyages ship must comply with as far as possible the orders of the Government and directions of the committee of the association to which it belongs as to routes, port of call and stoppages; (3) On voyages begun after the outbreak of war premium will be charged. This premium, which will not be less than one per cent nor more than five per cent upon voyage, will be fixed by Government. (4) On such last-mentioned voyages ships must (a) comply as far as possible with the orders of the Government and directions of committee of the association to which it belongs as to the routes, port of call and stoppages; (b) not start on a voyage if ordered by the Government not to do so. Associations at present approved are United Kingdom Mutual War Risks Asso- ciation, Limited, 24 Saint Mary Axe, E.G.; London and Liverpool War Risks Insurance Association, Limited, 10 Water Street, Liverpool; North of England Pro- tecting and Indemnity Association, Collingwood Buildings, Newcastle-upon-Tyne. Secondly. Cargo: A War Risk Insurance Office has been opened in London for insurance of cargoes other than enemies' property or goods (export of which ia prohibited by proclamation) shipped for voyages commenced on or after office opened for business. Cargo in British ship at the time of outbreak of war will be treated at port of call as though that port were a port of loading. Only risks which will be covered by King's enemy risks. Cargo will be insured only if shipped or to be shipped in vessel covered for voyage against King's enemy war risks under scheme outlined above for ships. Rate of premium will be flat one irrespective of voyage or cargo insured. It is capable of variation from time to time within maximum of five guineas percentage and minimum of one guinea percentage. If sailing is delayed under order of Government assured shall have option of cancelling policy and receiv- ing back premium paid. Value of cargo for state insurance will be values agreed to in maritime insurance policies covering same cargo which policies will be produced at War Risks Insurance Office when insurance is finally arranged. Thirdly. This scheme was framed primarily intended for ships continuously registered in United Kingdom, but His Majesty's Government have decided that benefits may be extended to colonial registered ships which are included in one of the above mentioned approved associations. HARCOURT. From the Governor General to the Secretary of State for the Colonies. OTTAWA, August 8, 1914. Canadian Government wish to place the two submarine boats now at Esquimalt t disposal of the Admiralty for general service. Please inform Admiralty. ARTHUR THE EUROPEAN WAR 47 SESSIONAL PAPER No. 40a From the Secretary of State for the Colories to the Governor General. LONDON, August 9, 1914. Following from Admiralty in reply to your telegram of yesterday's date. Offer of submarine boats gratefully accepted by Admiralty. HARCOUKT. From the Governor General to the Secretary of State for the Colonies. OTTAWA, August 9, 1914. ISTo order having been received with reference to return of Army Reservists, would War Office allow them to enlist in Canadian Expeditionary Force which they are very anxioijs to do? ARTHUR. From the Secretary of State for the Colonies to the Governor General. LONDON, August 9, 1914. With reference to your telegram of August 7th His Majesty is graciously pleased to order that the troops offered by Canada shall be raised by Your Royal Highness for service as expeditionary forces. It is suggested that terms of attestation should be as follows : (a) For a term of one year unless war lasts longer than one year, in which case they will be retained until war over. If employed with hospitals, depots of mounted units, and as clerks, et cetera, they may be retained after termination of hostilities until services can be dispensed with but such retention shall in no case exceed six months. (b) To be attached to any arm of service should it be required of them. Men should be attested by magistrate. HARCOURT. From the Secretary of State for the Colonies to the Governor General. LONDON, August 12, 1914. Your telegrams 8th August and 9th August. Army Council would be glad if all Army Reservists could be sent home by first opportunity. If transport cannot be arranged at once they should return with Canadian Expedi- tionary Force. HARCOURT. From the Governor General to the Secretary of State for the Colonies. OTTAWA, August 12, 1914. Dominion Coal Company has received enquiries by cable from Norway, Sweden and Denmark for coal. Export to these countries has been prohibited at request of His Majesty's Government Canadian press announces that Admiralty has given per- 48 TEE EUROPEAN WAR 5 GEORGE V., A. 1915 mission for shipment of coal from Great Britain to Norway and Italy. My Advisers desire to know as soon as possible whether permission can be given to export Canadian coal to countries mentioned. ARTHUR. From the Secretary of State for the Colonies to the Governor General. LONDON, August 13, 1914. Press Bureau has been established which will be responsible for issue of official war news to the press. I have ascertained that press agencies propose to supply Canadian press with all news of importance or general interest issued by Bureau. Any additional news which concerns your Government or is likely to affect their plans will, of course, be telegraphed to you by me. HARCOURT. From the Secretary of State for the Colonies to the Governor General. LONDON, August 14, 1914. August 14th. Your telegram August 12th no objection to exportation of coal to Norway, Sweden and Denmark. HARCOURT. Oopy to Trade and Commerce. From the Secretary of State for the Colonies to the Governor General. LONDON, August 15, 1914. August 15tk Owing to vigorous action taken here to deal with financial situation, particularly in regard to bills of exchange, conditions have become much easier and credit has greatly improved. Every hope that trade, home and foreign, will rapidly resume its normal course. Would be glad if your Ministers would make this public. HARCOURT. 5 GEORGE V. SESSIONAL PAPER No. 40b A. 1915 RETURN (406) CORRESPONDENCE BY CABLE BETWEEN THE PRIME MINISTER AND MR. PERLEY FROM AUGUST 4th TO AUGUST 13th, 1914. From the Prime Minister to Mr. Perley. OTTAWA, August 4, 1914. PERLEY, Dominion, London. Please cable enacting clauses of Moratorium Act. BOKDEN. From Mr. Perley to the Prime Minister. LONDON, August 5, 1914. Sir EGBERT BORDEN, Ottawa. Following is outline of scheme described to House of Commons by Chancellor of Exchequer for state insurance war risks. State will deal with and through existing associations, or clubs, or any others which may be formed and approved, on condition that they extend existing forms of policy to cover war risks up to arrival of vessel at final port of voyage which it is making when war breaks out, and for ten clear days afterwards. Arrangements are also to be made for issue of similar policies on vessels starting voyage after war breaks out, and for this purpose Government is to make agreement with each of the associations, principal conditions of which are: (1) Government to re- insure eighty per cent all those risks. (2) In respect of voyages current on outbreak war no premium to be charged, but in respect voyages begun after outbreak state is to fix insurance premium to be charged on a voyage basis and is to receive eighty per cent of such premium. (3) State to have right to vary premiums time to time within maximum of five per cent and minimum one per cent and rate agreed on for specific voyage to hold good if vessel sails within fourteen days; if starting delayed by orders of Admiralty, the assured is to have option of cancelling policy. (4) The associations are to assume remaining twenty per cent of risks both before and after outbreak war, receiving for voyages after outbreak twenty per cent of premiums. (5) All expenses administration borne by clubs. (6) Claims to be dealt with and settled by committee of associations upon which Government to be represented. Foregoing applies to hulls only. In regard to cargoes, there being no existing mutual associations formed specially for purposes of dealing with war risks, it is necessary to set up offices for purpose 404 50 THE EUROPEAN WAR 5 GEORGE V., A. 1915 which has already been done with expert advisory board containing official element. This state office will insure cargoes in British ships insured under the scheme which start on voyages after outbreak war, rate of premium to be flat one irrespective of voyage or character of cargo, rate capable of variation from time to time within maxi- mum five guineas minimum one guinea per cent. Scheme not confined to voyages of ships bringing food supplies and raw materials to United Kingdom, it being considered vital that British shipping in every part of world shrald be protected. Scheme to come into actual effect when public notice given. PERLEY. From Mr. Perley to the Prime Minister. LONDON, August 5, 1914. Sir ROBERT BORDER Ottawa Following is translation decree issued by French Republic: The President of the French Republic, on the report of the Minister of Commerce and Industry, Posts and Telegraph, Minister of Justice and Minister of Finance, in view of Law of 27th January, 1910, relating to extensions and delays of protests and acts intended to maintain recourse in the matter of negotiable values, in view of Law of 24th December, 1910, extending maturities, and in view of commercial code, the Council of Ministers, being advised, decrees that the delay within which protests and acts intended to maintain recourse in respect of all negotiable values, souscrits signed before 1st August, 1914, matured since that date, or becoming due before August 15th, 1914, are extended for thirty days free. The same extension of thirty days free to all negotiable values becoming due before 15th August, 1914. NEW DECREE. Art. 1. The prolongation of the delay fixed for the negotiable values fixed by decree of 31st July, 1914, will apply to the giving up of cash deposits and credit balances of current accounts in banks and credit establishments or deposits under following reserves. Any depositor or creditor whose deposit or balance in his favour will be inferior or equal to two hundred and fifty francs, will have the right to effect its entire withdrawal; above the figure of two hundred and fifty francs depositors or creditors who have a staff of workmen or clerks in the execution of an industrial and commercial profession will have right to claim of the amounts belonging to them the total of the amount of the salaries on each payment date, they being under the obli- gation to justify it by production of pay-rolls of staff. Art. 2. The prolongation of delay foreseen above applies exactly to the reimburse- ment of bonds or contracts insurance of capitalization or saving for period, or stipu- lated as repayable at the choice of the proprietor or bearer. Art. 3. The arrangement made by the present decree is applicable in Algiers and Tunis. Art. 4. The present decree will be immediately executed in virtue of article two of the decree of 5th November, 1870. Art. 5. The Ministers of Foreign Affairs, et cetera, are charged, as far as concerns each of them, with the execution of the present decree. DOMINION. THE EUROPEAN WAR 51 SESSIONAL PAPER No. 40b Form Mr. Perley to the Prime Minister. LONDON, August, 5, 1914. SIR EGBERT BORDEN, Ottawa. Your cable 4th instant, Postponement of Payments Act, 1914. (Duration six months). 1. His Majesty may hy proclamation authorize the postponement of the pay- ment of any bill of exchange, or of any negotiable instrument, or any other pay- ment in pursuance of any contract to such extent, for such time, and subject to such conditions or other provisions, as may be specified in the proclamation. 2. No additional stamp duty shall be payable in respect of any instrument as a consequence of any postponement of payment in pursuance of a proclamation under this Act, unless the proclamation otherwise directs. 3. Any such proclamation may be varied, extended or revoked, by any subse- quent proclamation, and separate proclamations may be made dealing with separate subjects. 4. The proclamation dated the 3rd (2nd) day of August, 1914, relating to the postponement of payment of certain bills of exchange is hereby confirmed and shall be deemed to have been made under this Act. PROCLAMATION. WHEREAS in view of the critical situation in Europe and the financial difficulties caused thereby it is expedient that the payment of certain bills of exchange be postponed as appears in this Proclamation, Now THEREFORE We have thought fit by and with the advice of Our Privy Council to issue this Our Royal Proclamation, and we do hereby proclaim, direct, and ordain as follows: If on the presentation for payment of a bill of exchange, other than a cheque or bill on demand, which has been accepted before the beginning of the 4th day of August, 1914, the acceptor re-accepts the bill by a declaration on the face of the bill in the form set out hereunder, that bill shall for all purposes, including the liability of any drawer or endorser or any other party thereto, be deemed to be due and be payable on a date one calendar month after the date of its original maturity instead of on the day of its original maturity, and to be a bill for the original amount thereof increased by the amount of interest thereon calculated from the date of re-acceptance to the new date of payment at the Bank of England rate, current on the date of the re- acceptance of the bill. FORM OF RE-ACCEPTANCE. Re-accepted under proclamation for (insert increased sum). Date Signature. PERLEY. 52 THE EUROPEAN WAR 5 GEORGE V., A. 1915 From the Prime Minister to Mr. Perley. OTTAWA, August 6, 1914. PERLEY, Dominion, London. Board Trade, Montreal, seriously disturbed over inability of shippers in Canada to finance food shipments to Great Britain as under existing conditions Canadian bankers cannot secure reimbursement in London because of impossibility of getting funds out of England. Ask Imperial Government if they are making any arrangement to facilitate such transactions. Matter regarded as most important. Can we assist in any way. BORDEN. from the Prime Minister to Mr, Perley. OTTAWA, August 6, 1914. PERLEY, Dominion, London. Informed large number Canadians in United Kingdom and Europe unable to use letters credit or otherwise obtain funds for passage home. If this information correct and if you deem it advisable Government prepared to establish credit of twenty thousand pounds in London to be paid out upon such security and conditions as you may deem proper. Please cable your opinion. BORDEN. From the Prime Minister to Mr. Perley. OTTAWA, August 7, 1914. PERLKY, Dominion, London. Please cable general moratorium proclamation referred to by Lloyd George yester- day. Most important. BORDEN. PERLEY, Dominion, London. From the Prime Minister to Mr. Perley. OTTAWA, August 7, 1914. Most important. Cable immediately whether moratorium announced yesterday covers bank deposits and payment of interest and principal and sinking fund on bonds and other securities. BORDEN. THE EUROPEAN WAR 53 SESSIONAL PAPER No. 40b From the Prime Minister to Mr. Perley. OTTAWA, August 7, 1914. PERLEV, Dominion, London. Please wire exact terms British vote for war credit. See my telegram August 2. BORDEN. From Mr. Perley to the Prime Minister. LONDON, August 7, 1914. Sir EGBERT BORDEN, Ottawa. Your cables yesterday. Following proclamations issued 3rd and 4th instant; calling out naval men and fleet reserves, and officers and men naval and naval volun- teer reserves; extending service time expired navy men; authorizing Admiralty requisition any British ship within British Isles or waters adjacent; prohibiting exportation certain warlike stores; calling out army reserve and embodying territorial force; continuing soldiers in army service; recalling to active service militia reserve from Ireland and Jersey; authorizing calling into temporary active service officers on reserved and retired lists; suspending compulsory retirement from active list on account of age; assuming control wireless telegraph. Following is substance proclamation entitled Regarding the Defence of the Realm: Subjects commanded and enjoined to obey and conform to all instructions and regulations which may be issued by King, Admiralty, Army Council, or any officer of Navy or Army, or any other person acting in their behalf, for securing public safety and defence of realm. Proclamation dated 5th declares state of war and specifies articles to be treated as contraband DOMINION. From Mr. Perley to the Prime Minister. LONDON, August 7, 1914. Sir ROBERT BORDEN, Ottawa. Proclamation dated August 6th extends postponement to all payments due before this date, or payable before the 4th September, in respect of any bill of exchange being a cheque or bill on demand drawn before 4th August, or in respect of any negotiable instrument not being bill of exchange dated before that time, or in respect any contract made before that time, for one calendar month after day on which payment originally due, or to 4th September, whichever is the later date; but payments so postponed shall, if not otherwise carrying interest and if specific demand is made for payment and payment is refused, carry interest until payment as from 4th August, if they become due before that day, or as from date on which they become due, if after that day, at Bank England rate current 7th August. Proclama- tion does not apply to wages, amounts under five pounds, rates or taxes, maritime freight, any debt from resident outside British Islands, or whose principal place business outside British Islands, nor to dividends or interest payable in respect of S4 THE FVROPEAV WAR 5 GEORGE V., A. 1915 trustee stocks, nor bank liability in respect of bank notes, nor government payments, nor national insurance, nor workmen's compensation payments, nor trustee savings bank. Bills of exchange under previous proclamation not affected. DOMINION. From Mr. Perley to the Prime Minister. LONDON, August 7, 1914. Sir ROBERT BORDEN, Ottawa. Your cable 6th. Banks opened to-day. So far as can gather will be no great difficulty in cashing letters credit. Giving matter close attention. Intervention does not appear necessary at present. Regarding continent informed position has improved. Will cable you again if necessary. PERLEY From Mr. Perley to the Prime Minister. LONDON, August 8, 1914. PRIME MINISTER, Ottawa. Difficult know exactly what effect moratorium has in all directions as interpre- tation naturally legal question. Have read proclamation and made inquiries. Under- stand moratorium covers existing bank deposits but not those made subsequent to proclamation. Moratorium does not cover payments on account securities known as trustee investments. Payments on account other bonds and securities past due or payable before September 4th are apparently postponed but not after that date. Moratorium does not in any way affect payment in respect debts due by persons resident outside British Isles. Cabled you first proclamation and also full summary one issued yesterday. Would you like text proclamation by cable ? PERLEY. From the Prime Minister to Mr. Perley. OTTAWA, August 8. 1914. PERLEY, Dominion, London. Cable full text yesterday's proclamation. Ascertain whether London opinion ia clear that exception from moratorium of debts due by persons resident outside of British Isles might include Canadian corporations so as to exclude them from the benefits of postponement of interest and other payments upon their securities. By interpretation statutes the word person usually includes corporations. BORDEN. THE EUROPEAN WAR 55 SESSIONAL PAPER No. 40b From Mr. Perley to the Prime Minister. LONDON, August 8, 1914. PRIME MINISTER, Ottawa. Replying your cable yesterday. Motion macte and question proposed in House Commons 6th instan't: That a sum not exceeding one hundred million pounds be granted to His Majesty, beyond the ordinary grants of Parliament towards defraying expenses that may be incurred during the year ending March 31st, 1915, for all measures which may be taken for the security of the country, for the conduct of naval and military operations, for assisting the food supply, for promoting the continuance of trade, industry and business communications, whether by means of insurance or indemnity against risk or otherwise, for the relief of distress, and generally for all expenses arising out of the existence of a state of war. Motion agreed to. PERLEY. From Mr. Perley to the Prime Minister. LONDON, August 8, 1914. Prime Minister, Ottawa. Further proclamations 5th August prohibiting trading with enemy; prohibiting British vessels carrying contraband from one port to another foreign port ; prohibiting exportation from United 3ingdom certain warlike stores, provisions, and victuals; notifying British subjects that contributing to German loan or contracting with Ger- man Government will be considered high treason ; prohibiting exportation to all foreign ports in Europe and on Mediterranean and Black Sea with exception of those of France, Russia, (except Baltic), Spain and Portugal, of arms, ammunition, military or naval stores, and any articles which may be useful in increasing such stores; an order authorizing general or field officers to issue requisitions of emergency and bil- leting requisitions; revoking two proclamations which prohibited importation arms, ammunition into Ireland. DOMINION. From Mr. Perley to the Prime Minister. LONDON., August; 8, 1914.. Prime Minister, Ottawa. Have brought to attention Government difficulty financing food shipments from Canada. Will also discuss same with Bank England directors Monday. Financial con- ditions here much easier. New issue small bank notes well received. All banks open yesterday doing business in ordinary way after four successive bank holidays. Am informed in many cases deposits yesterday larger than withdrawals. PERLEY. 56 THE EUROPEAN WAR 5 GEORGE V., A. 1915 From Mr. Perlcy to the Prime Minister. LONDON, August 10, 1914. Prime Minister, Ottawa. Second proclamation dated 6th instant for extending the postponement of pay- ments allowed to be made by the Proclamation of 2nd instant to certain other pay- ments: Whereas under the Postponement of Payments Act, 1914, His Majesty has power by proclamation to authorize the postponement of the payment of any bill of exchange, or any negotiable instrument, or of any other payment in pursuance of any contract to such extent, for such time, and subject to such conditions, or other provisions, as may be specified in the Proclamation : And Whereas it is expedient that provision should be made for the purpose of such postponement of payment, in addition to the provision already made by Our Proclamation dated the 2nd day of August, 1914, relating to postponement of pay- ment of certain bills of exchange, Now, Therefore, We have thought fit by and with the advice of Our Privy Coun- cil to issue this Our Royal Proclamation and we do hereby proclaim, direct and ordain as follow: Save as hereinafter provided all payments which have become due and payable before the date of this Proclamation, or which will become due and payable on any day before the beginning of the 4th day of September, 1914, in respect of any bill of exchange being a cheque or bill on demand, which was drawn before the beginning of the 4th day of August, 1914, or in respect of any negotiable instrument not being a bill of exchange dated before that time, or in respect of any contract made before that time, shall be deemed to be due and payable on a day one calendar month after the day on which the payment originally became due and payable, or on the 4th day of September, 1914, whichever is the later date, instead of on the day on which the payment originally became due; but payments so postponed shall, if not otherwise carrying interest and if specific demand is made for payment and payment is refused, carry interest until payment as from the 4th day of August, 1914, if they became due and payable before" that day, and as from the date on which they become due and payable if they become due and payable on and after that day, at the Bank of England rate current on the 7th day of August, 1914; but nothing in this Proclamation shall prevent payments being made before the expiration ef the month for which they are so postponed. This proclamation shall not apply to: (1) Any payment in respect of wages or salary; (2) Any payment in respect of a liability which when incurred did not exceed five pounds in amount; (3) Any payment in respect of rates or taxes; (4) Any payment in respect of maritime freight; (5) Any payment in respect of any debt from a person resident outside the Bri- tish Islands, or from any firm, company or institution whose principal place of busi- ness is outside the British Islands not being a debt incurred in the British Islands by a person, firm, company or institution having, a business establishment or branch business establishment in the British Islands; (6) Any payment in respect of any dividend or interest payable in respect of any stocks, funds or securities other than real or heritable securities in which trustees are, under section one of the Trustee Act, 1893, or any other Act for the time being in force, authorized to invest;' TEE EUROPEAN WAR 57 SESSIONAL PAPER No. 40b (7) Any liability of a Bank of issue in respect of Bank notes issued by tbat Bank ; (8) Any payment to be made by or on behalf of His Majesty, or any government department, including the payment of old age pensions; (9) Any payment to be made by any person or society in pursuance of the National Insurance Act, 1911, or any Act amending that Act, whether in the nature of contribution, benefits or otherwise; (10) Any payment under the Workman's Compensation Act, 1906, or any Act amending the same; (11) Any payment in respect of the withdrawal of a deposit by a depositor in a trustee savings bank. Nothing in this Proclamation shall affect any bills of exchange to which our Pro- clamation dated 2nd day of August, 1914, relating to the Postponement of Payment of Certain Bills of Exchange, applies. (Sgd.) PERLEY. Prime Minister, Ottawa. From Mr. Perle-y to the Prime Minister. LONDON, August 10, 1914. Have cabled you full text moratorium proclamation. Fifth exception explains about persons, firms, companies, and institutions outside the British Islands who do not get benefits of postponement. Moratorium apparently intended to postpone debts here but none from abroad. Will discuss matter further with Bank of England directors to-day. (Signed) PERLEY. From Mr. Perley to the Prime Minister. LONDON, August 10, 1914. Prime Minister, Ottawa. Directors Bank England think my interpretation moratorium correct. No debt due from outside British Isles is postponed unless incurred here by person, firm, company, or institution having business establishment or branch business in British Isles. No doubt further alterations in moratorium may come later on. Subject hurriedly discussed and arranged, and it is really wonderful how quiet everything is here, and how much financial situation has improved. Bank directors say arrange- ments finance food shipments from Canada and United States are being considered and no doubt satisfactory way will be found. (Signed) PERLEY. From Mr. Perley to the Prime Minister. LONDON, August 10, 1914. Prime Minister, Ottawa. Proclamation of the 5th prohibited export of forage and feed of all kinds for animals, provisions and victuals of all sorts which may be used as food for men. 58 THE EUROPEAN WAR 5 GEORGE V.,*A. 1915 Bill to enable Board of Trade, during present war, to take possession of food- stuffs unreasonably withheld reads, after usual preamble, as follows: 1. If the Board of Trade are of opinion that any foodstuff is being unreasonably withheld from the market they may, if so authorized by His Majesty's proclamation made generally, or, as respects any particular kind of foodstuff, in the manner pro- vided by the proclamation, take possession of any supplies of foodstuff to which the proclamation relates, paying to the owners of the supplies such price as may in default of agreement be decided to be reasonable, having regard to all the circum- stances of the case, by the arbitration of a judge of the High Court selected by the Lord Chief Justice of England. 2. (1) This Act may be cited as the Unreasonable Withholding of Food supplies Act, 1914. (2) This Act shall have effect only while a state of war exists between His Majesty and any foreign power. (Signed) PERLEY. From Mr. Perley to the Prime Minister. LONDON, August 13, 1914. PMME MINISTER, Ottawa. Proclamation dated 12th August extends to Austria-Hungary the scope of pro- clamations and Orders in Council previously applying to state of war with Germany prohibiting dealings of any kind and classifying Austro-Hungarian ships as belonging to enemy. (Sgd.) PERLEY. From Mr. Perley to the Prime Minister. LONDON, August 13, 1914. PKIMK MINISTER, Ottawa. Further proclamation dated August 12th for postponement of payments: Whereas it is expedient to extend Our Proclamation dated the 6th day of August, 1914, relating to the postponement of payments, so as to cover bills of exchange under certain circumstances and also payments in respect of any debt from any bank whose principal place of business is in any part of His Majesty's Dominions or any British Protectorate, Now, Therefore, We have thought fit by and with the advice of Our Privy Council to issue this Our Royal Proclamation and we do hereby proclaim, direct, and ordain as follows : Notwithstanding anything contained in the said Proclamation dated the 6th day of August, 1914, relating to the postponement of payments that Proclamation shall apply and shall be deemed always to have applied : (1) To any bill of exchange which has not been reaccepted under our proclamation dated the 2nd day of August, 1914, as it applies to a bill of exchange being a cheque or bill on demand, unless on the presentation of the bill the acceptor has expressly refused THE EUROPEAN WAR 59 SESSIONAL PAPER No. 40b reacceptance thereof, but with the substitution as respects rate of interest of the date of the presentation of the bill for the 7th day of August, 1914, and ; (2) Also to payments in respect of any debt from any bank whose principal place of business is in any part of His Majesty's Dominions or any British Protectorate although the debt was not incurred in the British Islands and the bank had not a business establishment or branch business establishment in the British Islands. (Sgd.) PEKLEY. From Mr. Perley to the Prime Minister. LONDON, August 13, 1914. PRIME MINISTER, Ottawa. Following announcement made this morning. The Bank of England are prepared on the application of the holder of any approved bill of exchange accepted before August 4th, 1914, to discount at any time before its due date at bank rate without recourse to such holder, and upon its maturity the Bank of England will in order to assist the resumption of normal business operation give the acceptor the opportunity until further notice of postponing payment, interest being payable in the meantime at two per cent over bank rate varying. Arrangements will be made to carry this scheme into effect so as to preserve all existing obligations. The Bank of England will be prepared for this purpose to approve such bills of exchange as are customarily discounted by them and also good trade bills and the acceptances of such foreign and colonial firms and bank agencies as are estab- lished in Great Britain. (Sgd.) PEKLEY. 5 GEORGE V. SESSIONAL PAPER No. 40o A. 1915 RETURN (40c) CORRESPONDENCE RESPECTING THE EUROPEAN CRISIS. No. 1. Sir Edward Grey to Sir E. Gcschen. FOREIGN OFFICE, July 20, 1914. SIR, I asked the German Ambassador to-day if he had any news of what was going on in Vienna with regard to Servia. He said that he had not, but Austria was certainly going to take some step, and he regarded the situation as very uncomfortable. I said that I had not heard anything recently, except that Count Berchtold, in speaking to the Italian Ambassador in Vienna, had deprecated the suggestion that the situation was grave, but had said that it should be cleared up. The German Ambassador said that it would be a very desirable thing if Eussia could act as a mediator with regard to Servia. I said that I assumed that the Austrian Government would not do anything until they had first disclosed to the public their case against Servia, founded presumably upon what they had discovered at the trial. The Ambassador said that he certainly assumed that they would act upon some case that would be made known. I said that this would make it easier for others, such as Russia, to counsel moder- ation in Belgrade. In fact, the more Austria could keep her demand within reasonable limits, and the stronger the justification she could produce for making any demand, the more chance there would be of smoothing things over. I hated the idea of a war between any of the Great Powers, and that any of them should be dragged into a war by Servia would be detestable. The Ambassador agreed wholeheartedly in this sentiment. I am, &c., E. GREY. No. 2. Sir E. Goschen to Sir Edward Grey. (Received July 22.} (Telegraphic.) BERLIN, July 22, 1914. Last night I met Secretary of State for Foreign Affairs, and the forthcoming Austrian demarche at Belgrade was alluded to by His Excellency in the conversation that ensued. His excellency was evidently of opinion that this step on Austria's part would have been made ere this. He insisted that question at issue was one for settle- ment between Servia and Austria alone, and that there should be no interference from 61 62 THE EUROPEAN WAR 5 GEORGE V., A. 1915 outside in the discussions between those two countries. He had therefore considered it inadvisable that the Austro-Hungarian Government should be approached by the German Government on the matter. He had, however, on several occasions, in con- versation with the Servian Minister, emphasized the extreme importance that Austro- Servian relations should be put on a proper footing. Finally, his Excellency observed to me that for a long time past the attitude adopted towards Servia by Austria had, in his opinion, been one of great forbearance. No. 3. Sir Edward Grey to Sir M. de Bunsen. FOREIGN OFFICE, July 23, 1914. 8m/- Count Mensdorff told me to-day that he would be able to-morrow morning to let me have officially the communication that he understood was being made to Servia to-day by Austria. He then explained privately what the nature of the demand would be. As he told me that the facts would all be set out in the paper that he would give me to-morrow, it is unnecessary to record them now. I gathered that they would include proof of the complicity of some Servian officials in the plot to murder the Archduke Franz Ferdinand, and a long list of demands consequently made by Austria on Servia. As regards all this, I said that it was not a matter on which I would make any comment until I received an official communication, and it seemed to me probably a matter on which I should not be able to make any comment at first sight. But, when Count Mensdorff told me that he supposed there would be something in the nature of a time-limit, which was in effect akin to an ultimatum, I said that I regretted this very much. To begin with a time-limit might inflame opinion in Kussia, and it would make it difficult, if not impossible, to give more time, even if after a few days it appeared that by giving more time there would be a prospect of securing a peaceful settlement and getting a satisfactory reply from Servia. I admitted that, if there was no time-limit, the proceedings might be unduly protracted, but I urged that a time-limit could always be introduced afterwards; that, if the demands were made without a time-limit in the first instance, Russian public opinion might be less excited, after a week it would have cooled down, and if the Austrian case was very strong it might be apparent that the Russian Government would be in a positon to use their influence in favour of a satisfactory reply from Servia. A time-limit was generally a tiling to be used only in the last resort, after other means had been tried and failed. Count Mensdorff said that if Servia, in the interval that had elapsed since the murder of the Archduke, had voluntarily instituted an enquiry on her own territory, all this might have been avoided. In 1909, Servia had said in a note that she intended to live on terms of good neighbourhood with Austria; but she had never kept her promise, she had stirred up agitation the object of which was to disintegrate Austria, and it was absolutely necessary for Austria to protect herself. I said that I would not comment upon or criticise what Count Mensdorff had told me this afternoon, but I could not help dwelling upon the awful consequences involved in the situation. Great apprehension had been expressed to me, not specially by M. Cambon and Count Benckendorff, but also by others, as to what might happen, and it had been represented to me that it would be very desirable that those who had influence in St. Petersburg should use it on behalf of patience and moderation. I hml replied that the amount of influence that could be used in this sense would depend upon how reasonable were the Austrian demands and how strong the justification that THE EUROPEAN WAR 63 SESSIONAL PAPER No. 40c Austria might have discovered for making her demands. The possible consequences of the present situation were terrible. If as many as four Great Powers of Europe let us say Austria, France, Russia, and Germany were engaged in war, it seemed to me that it must involve the expenditure of so vast a sum of money, and such an inter- ference with trade, that a war would be accompanied or followed by a complete col- lapse of European credit and industry. In these days, in great industrial States, this would mean a state of things worse than that of 1848, and, irrespective of who were victors in the war, many things might be completely swept away. Count Mensdorff did not demur to this statement of the possible consequences of the present situation, but he said that all would depend on Russia. I made the remark that, in a time of difficulties such as this, it was just as true to say that it required two to keep the peace as it was to say, ordinarily, that it took two to make a quarrel. I had hoped very much that, if there were difficulties, Austria and Russia would be able in the first instance to discuss them directly with each other. Count Mensdorff said that he hoped this would be possible, but he was under the impression that the attitude in St. Petersburg had not been very favourable recently. I am, &c., E. GREY. No. 4. Count Berchtold to Count Mensdorff. (Communicated l>y Count Mensdorff, July 84, 1914.) (Translation.) LE Gouvernement Imperial et Royal s'est vu oblige d'adresser jeudi le 23 de ce mois, par 1'entremise du Ministre Impe- rial et Royal a Belgrade, la note suivante au Gouvernement Royal de Serbie: "Le 31 mars 1909 le Ministre de Serbie a Vieniie a fait, d'ordre de son Gouverne- ment, au Gouvernement Imperial et Royal la declaration suivante; "La Serbie leconnait qu'elle n'a pas ete atteinte dans ses droits par le fait accompli cree en Bosnie-Herzegovine et qu'elle se conformera par consequent a telle decision que IPS Puissances pren- dront par rapport a 1'article 25 du Traite de Berlin. Se rendant aux conseils des Grandest Puissances, la Serbie s'engage des a present a abandonner 1'attitude de protestation et d'opposition qu'elle a ob- servee a 1'egard de 1'annexion depuis 1'automne dernier, et elle s'ensrasre, en outre, a changer le cours de sa politique actuelle envers I'Autriche-HongnV pour vivre dosormnis nvw ppttr> derniere sur le pied d'un bon voisinage." THE Austro-Hungarian Government felt compelled to address the following note to the Servian Government on the 23rd July, through the medium of the Austro-Hungarian Minister at Bel- grade: " On the 31st March, 1909, the Servian Minister in Vienna, on the instructions of the Servian Government, made the following declaration to the Imperial and Royal Government: " ' Servia recognizes that the fait accompli regarding Bosnia has not affect- ed her rights, and consequently she will conform to the decisions that the Powers may take in conformity with article 25 of the Treaty of Berlin. In deference to the advice of the Great Powers Servia undertakes to renounce from now onwards the attitude of protest and opposition which she has adopted with regard to the annexation since last autumn. She undertakes, moreover, to modify the direction of her policy with regard to Austria-Hungary and to live in future on good and neighbourly terms with the latter.' " 64 THE EUROPEAN WAR Or, 1'histoire des dernieres annees, et notamment les evenements douloureux du 28 juin, ont demontre 1'existence en Ser- bie d'un mouvement subversif dont le but est de detacher de la Monarchic austro- hongroise certaines parting de ses terri- toires. Ce mouvenient, qui a pris jour sous les yeux du Gouvernement serbe, est arrive a se manifester au dela du ter- ritoire du royaume par des actes de ter- rorisme, par une serie d'attentafp et par des meurtres. Le Gouvernement Royal serbe, loin de satisfaire aux engagements formels con- tenus dans la declaration du 31 mars, 1909, n'a rien fait pour supprimer ce mouvement: il a tolere 1'activite crimi- nelle des differentes society's et affilia- tions dirigees contre la Monarchic, le langage effrene de.la presse, la glorifica- tion des auteurs d'attentats, la participa- tion d'officiers et de fonctionnaires dans les agissements subversifs, nne propagan- de malsaine dans 1'instruction publique, tolere enfin toutes les manifestation's qui pouvaient induire la population serbe a la haine de la Monarchic et au mepris de ses institutions. Cette tolerance coupable du Gouverne- ment Royal de Serbie n'avait pas cesse au moment ou les evenements du 28 juin dernier en ont demontre au monde entier les consequences funeetes. II resulte des depositions et aveux des auteurs criminels de 1'attentat du 28 juin que le meurtre de Sarajevo a etc tram<5 a Belgrade, que les armes et explosifs dont les meurtriers se trouvaient etre munis leur ont ete donnes par des officiers et fonctionnaires serbes faisant mrtio de la "Narodna Odbrana" et enn, que le passage en Bo-snie des criminels et de leurs armes a ete organise et effectuc par des chef du service-frontifcre serbe. Les resultats mentionnes de 1'instruc- tion ne permettent pas au Gouvernement Imperial et Royal de poursuivre plus longtempe 1'attitude de longanimite ex- pectative qu'il avait observee pendant des annees vis-a-vis des agissements concen- tres a Belgrade et propages de la sur les 5 GEORGE V., A. 1915 The history of recent years, and in particular the painful events of the 28th June last, have shown the existence of a subversive movement with the object of detaching a part of the territories of Austria-Hungary from the Monarchy. The movement, which had its birth under the eye of the Servian Government, has gone so far as to make itself manifest on both sides of the Servian frontier in the shape of acts of terrorism and a series of outrages and murders. Far from carrying out the formal undertakings contained in the declara- tion of the 31st March, 1909, the Royal Servian Government has done nothing to repress these movements. It has permit- ted the criminal machinations of various societies and associations directed against the Monarchy, and has tolerated unre- strained language on the part of the press, the glorification of the perpetrators of outrages, and the participation of offi- cers and functionaries in subversive agi- tation. It has permitted an unwhole- some propaganda in public instruction. In short, it has permitted all manifesta- tions of a nature to incite the Servian population to hatred of the Monarchy and contempt of its institutions. This culpable tolerance of the Royal Servian Government had not ceased at the moment when the events of the 28th June last proved its fatal consequences to the whole world. Its results from the depositions and confessions of the criminal perpetrators of the outrage of the 28th June that the Serajevo assassinations were planned in Belgrade, that the arms and explosives with which the murderers were provided had been given to them by Servian officers and "functionaries belonging to the Na- rodna Odbrana, and finally, that the pass- age into Bosnia of the criminals and their arms was organized and effected by the chiefs, of the Servian frontier service. The above-mentioned results of the magisterial investigation do not permit the Austro-Hungarian Governmorit to pursue any longer the attitude of expectant forebearance which it has main- tained for years in face ol the machina- tions hatched in Belgrade, and thence THE EUROPEAN WAR 65 SESSIONAL PAPER No. 40c territoires de la Monarchic; ces resultats lui imposent an contraire le devoir de mette fin a des menees qui forment une menace perpetuelle pour la tranquillite de la Monarchic. C'est pour atteindre ce but que le Gou- vernement Imperial et Royal se voit obli- ge de demander au Gouvernement serbe 1'enonciation officielle qu'il condamne la propagande dirigee contre la Monarchic austro-hongroise, c'est-a-dire 1'ensemble x des tendances qui aspirent en dernier lieu a detacher de la Monarchic des territoires qui en font partie, et qu'il s'engage a eupprimer, par tons les m ovens, cette pro- pagande criminelle et terroriste. Afin de donner un caractere solonnel a cet engagement, le Gouvernement Eoyal de Serbie fera publier a la premie- re page du "Journal officiel" en date du 26 juin (13 juillet) 1'enonciation suivan- te: "Le Gouvernement Royal de Serbie condamne la propagande dirigee centre 1'Autriche-Hongrie, c'est-a-dire 1'ensem- ble des tendances qui aspirent en dernier lieu a detacher de la Monarchic austro- hongroise des territoires qui en font par- tie, et il deplore sincerement les conse- quences funestes de ces agissements cri- miiiels. "Le Gouvernement Royal regrette que des officiers et fonctioiinaires serbes aieiit participe a la propagande 'susmentionnee et compromis par la les relations de bon voisinage auquel le Gouvernement Royal s'etait solennellement engage par sa de- claration du 31 mars 1909. ''Le Gouveruement Royal, qui desap- prouve et repudie toute idee ou tentative d'immixtiou dans les destinees des habi- tants de quelque partie de 1'Autriche- Hongrie que ce soit, considere de son de- voir d'avertir formellement les officiers, les fonctionnaires et toute la population du royaume que dorenavant il procedera avec la derniere rigueur contre les per- sonnes qui se rendraient coupables de pareils agissements, qu'il mettra tous ses efforts a prevenir et a roprimer." Cctte enonciation sera portee simulta- nemont a la connaissance de 1'Armee 405 propagated in the territories of the Monarchy. The results, on the contrary, impose on it the duty of putting an end to the intrigues which form a perpetual menace to the tranquility -of the Monarchy. To achieve this end the Imperial and Royal Government sees itself compelled to demand from the Royal Servian Government a formal assurance that it condemns this dangerous propaganda against the Monarchy; in other words, the whole series of tendencies, the ulti- mate aim of which is to detach from the Monarchy territories belonging to it, and that it undertakes to suppress by every means this criminal and terrorist propaganda. In order to give a formal character to this undertaking the Royal Servian Government shall publish on the front page of its " Official Journal " of the 26th June (13th July) the following declaration : " The Royal Government of Servia condemns the propaganda directed against Austria-Hungary i.e., the general ten- dency of which the final aim is to detach from the Austro-Hungarian Monarchy territories belonging to it, and it sincerely deplores the fatal consequences of these criminal proceedings. The Royal Government regrets that Servian officers and functionaries par- ticipated in the above-mentioned pro- paganda and thus compromised the good neighbourly relations to which the Royal Government was solemnly pledged by its declaration of the 31st March, 1909. The Royal Government, which dis- approves and repudiates all idea of inter- fering or attempting to interfere with the destinies of the inhabitants of any part whatsoever of Austria-Hungary, con- siders it its duty formally to warn officers and functionaries, and the whole popu- lation of the kingdom, that henceforward it will proceed with the utmost rigour against persons who may be guilty of such machinations, which it will use all its efforts to anticipate and suppress. This declaration shall simultaneously be communicated to the Royal army as an 66 THE EUROPEAN WAR R->y ale par Tin ordre du jour de Sa Ma- jeste le Roi et sera publiee dans le "Bul- letin Officiel" de 1'armee. Le Gouvernement Royal serbe s'engage e. outre: 1 a supprimer toute publication qui excite a la haine et au mepris de la Mo- narchic et dont la tendance gem- rale est dirigee centre son integrite territoriale, 2 a dissoudre immediatement la so- cieto dite " Narodna Odbrana," a confis- quer tous ses moyens de propagande, et a proceder de la mOme maniere centre lea autres societes et affiliations" en Serbie qui s'adonnent a la propagande contre la Mo- narchic austro-hongroise ; le Gouverne- inent Royal prendra les mesures necessai- rs pour que les societes dissoutes ne pui-s- sent pas continuer leur activite sous un autre nom et sous une autre forme, 3 a eliminer sans delai de 1'instruc- tion publique en Serbie, tant en ce qui concerne le corps enseignant que les moyens d'instruction, tout ce qui sert ou pourrait servir a fomenter la propa- g-ande contre 1'Autriche-Hongrie, 4 a eloigner du service militaire et de I'administration en general tous les offi- ciers et fonctionnaircs coupables de la propagande contre la Monarchic austro- hongroise et dont le Gouvernement Impe- rial et Royal se reserve de communiquer le> noms et les faits au Gouvernement Royal, 5 a accepter la collaboration en Serbie des organes du Gouvernement Imperial et Royal dans la suppression du mouve- ment subvejsif dirige contre 1'integrite territoriale de la Monarchic, 6 a ouvrir une enquete judiciaire con- tre les partisans du eomplot du 28 juin ee trouvant sur torritoirc scrl><>; des organes, delegues par le Gouverne- ment Imperial et Royal, nrendront part aux Tech.prc.ho> y relati 7 & proceder d'urgencp ? i Tnrrostation du Commandant Voija Tankosic et du nomine Milan Ciganovio, employe de l'.htat serbe, compromi*! rnr les rosultats de 1'inatruction de Sarajevo. 8 a emipecher, par dc? mrsuros effica- ces, le concours des autorites serbes dans 5 GEORGE V., A. 1915 order of the day by His Majesty the King and shall be published in the '' Official Bulletin " of the Army. The Royal Servian Government further undertakes: 1. To suppress any publication which incites to hatred and contempt of the Austro-Hungarian Monarchy and the gen- eral tendency of which is directed against its territorial integrity; -. To dissolve immediately the so styled Narodna Odbrana, to confiscate all its means of propaganda, and to proceed in the same manner against other societies and their branches in Servia which en- gage in propaganda against the Austro- Hungarian Monarchy. The Royal Gov- ernment shall take the necessary measures to prevent the societies dissolved from continuing their activity under another name and form; 3. To eliminate without delay from pub- lic instruction in Servia, both as regards the teaching body and also as regards the methods of instruction, everything that serves, or might serve, to foment the prop- aganda against Austria-Hungary; 4. To remove from the military service, and from the administration in general, all officers and functionaries guilty of propaganda against the hmgnrian Monarchy whose names and deeds the Austro-Hungarian Government reserves to itself the right of communicating to the Royal Government; 5. To accept the collaboration in Servia of representatives of the Au.-tro-IIun- gnrian Governmeiit in the suppression of the subversive movement directed apr.iinst the territorial integrity of the Monarchy ; 6. To take judicial proceedings a^ains f accessories to the plot of the 2Sth who are on Servian territory. Delegate* of the Austro-Hungarian Government will take part in the investigation relating thereto ; T. To proceed without delay to thn ' of Major Voija Trmkositch and of tho individual named Milan riganvitch. vian State employee, who have been compromise, 1 by the results of the magis- terial enquiry at Serajevo; S. To pri-voTit. by effective measures the co-operation of the Servian authorities THE EUROPEAN WAR 67 SESSIONAL PAPER No. 40c le trafic illicite d'armes et d'explosifs a tnivers la frontiere; a liceneier et punir severement les fonctionnairea du service-frontiere de Schabatz et de Loznica coupables d'avoir aide les auteurs du crime de Sarajevo en leur facilitant le passage de la frontiere, 9 D a donner au Gouvernement Impe- t Royal des explications sur les pro- rijustifiables de hauts fonctionnaires ?crhes tant en Serbie qu'a Fetranger, qui, malgre leur position officielle, n'ont pas hesite apres 1'attentat du 28 juin de s' ex- primer dans des interviews d'une manie- re hostile envers la Monarchic austro- hongroi-se, enfin 10 d'avertir, sans retard, le Gouverne- ment Imperial et Royal de 1'execution des mesures comprises dans les points precedents. Le Gouvernement Imperial et Royal attend la reponse du Gouvernement Royal au plus tard jusqu'au samedi, 25 de ce mois, a 6 heures du soir. Fn memoire concernant les resultats de 1'instruction de Sarajevo a 1'egard des fonctionnaires mentionnes aux points 7 et 3 est annexe a cette note. J'ai I'honneur d'inviter votre Excellen- ce de vouloir porter le contenu de cette note a la connaissance du Gouvernement aupres duquel vous etes accredite, en ac- coinpagnant cette communication du cominentaire que voici : Le 31 mars 1909, le Gouvernement Royal serbe a aclresse a 1'Autriche-Hon- grie la declaration dont le texte est re- produit ci-dessus. Le lendemain meme de cette declara- tion la Serbie s'est engagee dans y German Ambassador, July 2^, 1914. The publications of the Austro-Hungarian Government concerning the circum- stances under which the assassination of the Austrian heir presumptive and his consort has taken place disclose unmistakably the aims which the Great Servian propaganda has set itself, and the means it employs to realise them. The facts now made known must also do away with the last doubts that the centre of activity of all those tendencies which are directed towards the detachment of the Southern Slav provinces from the Austro-Hungarian Monarchy and their incorporation into the Servian Kingdom is to be found in Belgrade, and is at work there with at least the connivance of members of Government and army. The Servian intrigues have been going on for many years. In an especially marked form the Great Servian chauvinism manifested itself during the Bosnian crisis. It was only owing to the far-reaching self-restraint and moderation of the Austro-Hungarian Government and to the energetic interference of the Great Powers that the Servian provocations to which Austria-Hungary was then exposed did not lead to a conflict. The assurance of good conduct in future which was given by the Servian Government at that time has not been kept. Under the eyes, at least with the tacit permission of official Servia, the Great Servian propaganda has continuously in- creased in extension and intensity; to its account must be set the recent crime, the threads of which lead to Belgrade. It has become clearly evident that it would not be consistent either with the dignity or with the self-preservation of the Austro- Hungarian Monarchy still longer to remain inactive in face of this movement on the other side of the frontier, by which the security and the integrity of her territories are constantly menaced. Under these circumstances, the course of procedure and demands of the Austro-Hungarian Government can only be regarded as equitable and moderate. In spite of that, the attitude which public opinion as well as the Government in Servia have recently adopted does not exclude the apprehension that the Servian Government might refuse to comply with those demands and might allow themselves to be carried away into a provocative attitude against Austria-Hungary. The Austro-Hungarian Government, if it does not wish definitely to abandon Austria's position as a Great Power, would then have no choice but to obtain the fulfilment of their demands from the Servian Government by strong pressure and, if necessary, by using military measures, the choice of the means having to be left to them. The Imperial Government want to emphasise their opinion that in the present case there is only question of a matter to be settled exclusively between Austria- Hungary and Servia, and that the Great Powers ought seriously to endeavour to reserve it to those two immediately concerned. The Imperial Government desire urgently the 74 THE EUROPEAN WAR 5 GEORGE V., A. 1915 localisation of the conflict, because every interference of another Power would, owing to the different treaty obligations, be followed by incalculable consequences. No. 10. Sir Edward Grey to Sir F. Bertie. FOREIGN OFFICE July 24, 1914. Sm, After telling M. Cambon to-day of the Austrian communication to Servia, which I had received this morning, and of the comment I had made to Count Mens- dorff upon it yesterday, I told M. Cambon that this afternoon I was to see the German Ambassador, who some days ago had asked me privately to exercise moderating influence in St. Petersburgh. I would say to the Ambassador that, of course, if the presentation of this ultimatum to Servia did not lead to trouble between Austria and Russia, we need not concern ourselves about it; but, if Russia took the view of the Austrian ultimatum, which it seemed to me that any Power interested in Servia would take, I should be quite powerless, in face of the terms of the ultimatum, to exercise any moderating influence. I would say that I thought the only chance of any mediat- ing or moderating influence being exercised was that Germany. France, Italy, and our- <'S, who had not direct interests in Servia, should act together for the sake of peace, simultaneously in Vienna and St. Petersburgh. M. Cambon said that, if there was a chance of mediation by the four Powers, he had no doubt that his Government would be glad to join in it; bat he pointed out that we could not say anything in St. Petersburgh till Russia had expressed some opinion or taken some action. But, when two days were over, Austria would march into Servia, for the Servians could not possibly accept the Austrian demand. Russia would be compelled by her public opinion to take action as soon as Austria attacked Servia, and therefore, once the Austrians had attacked Servia, it would be too late for any mediation. I said that I had not contemplated anything being said in St. Petersburgh until after it was clear that there must be trouble between Austria and Russia. I had thought that if Austria did move into Servia, and Russia then mobilised, it would be possible for the four Powers to urge Austria to stop her advance, and Russia also to stop hers, pending mediation. But it would be essential for any chance of success for such a step that Germany should participate in it. M. Cambon said that it would be too late after Austria had once moved against Servia. The important thing was to gain time by mediation in Vienna. The best chance of this being accepted would be that Germany should propose it to the other Powers. I said that by this he meant a mediation between Austria and Servia. He replied that it was so. I said that I would talk to the German Ambassador this afternoon on the subject. I am, &c. E. GREY No. 11. Sir Edward Grey to Sir IT. Jinmhold. (Telegraphic.) FOREIGN OFFICE, July 24, 1914. German Ambassador has communicated to me the view of the German Govern- ment about the Austrian demand in Servia. I understand the German Government is making the same communication to the Powers. THE EUROPEAN WAR 75 :ESSIONAL PAPER NC. 40c I said that if the Austrian ultimatum to Servia did not lead to trouble between Austria and Eussia I had no concern with it; I had heard nothing yet from St. Petersburg]}, but I was very apprehensive of the view Russia would take of the situ- ation. I reminded the German Ambassador that some days ago he had expressed a personal hope that if need arose I would endeavour to exercise moderating influ- ence at St. Petersburgh, but now I said that, in view of the extraordinary stiff char- acter of the Austrian note, the shortness of the time allowed, and the wide scope of the demands upon Servia, I felt quite helpless as far as Russia was concerned, and I did not believe any Power could exercise influence alone. The only chance I could see of mediating or moderating influence being effective, was that the four Powers, Germany, Italy, France, and ourselves, should work together simultaneously at Vienna and St. Petersburgh in favour of moderation in the event of the relations between Austria and Russia becoming threatening. The immediate danger was that in a few hours Austria might march into Servia and Russian Slav opinion demand that Russia should march to help Servia; it would be very desirable to get Austria not to precipitate military action and so to gain more time. But none of us could influence Austria in this direction unless Germany would propose and participate in such action at Vienna. You should inform Secretary of State. Prince Lichnowsky said that Austria might be expected to move when the time limit expired unless Servia could give unconditional acceptance of Austrian demands in toto. Speaking privately, His Excellency suggested that a negative reply must in no case be returned by Servia, a reply favourable on some points must be sent at once, so that an excuse against immediate action might be afforded to Austria. No. 12. Sir Edward Grey to Mr. CracJcanthorpe. (Telegraphic.) FOREIGN OFFICE, July 24, 1914. Servia ought to promise that, if it is proved that Servian officials, however subordinate they may be, were accomplices in the murder of the Archduke at Sera- jevo, she will give Austria the fullest satisfaction. She certainly ought to express concern and regret. For the rest, Servian Government must reply to Austrian de- mands as they consider best in Servian interests. It is impossible to say whether military action by Austria when time limit expires can be averted by anything but unconditional acceptance of her demands, but the only chance appears to lie in avoiding an absolute refusal and replying favour- ably to as many points as the time limit allows. Servian Minister here has begged that His Majesty's Government will express their views, but I cannot undertake responsibilty of saying more than I have said above, and I do not like to say even that without knowing what is being said at Belgrade by French and Russian Governments. You should therefore consult your French and Russian colleagues as to repeating what my views are, as expressed above, to Servian Government. I have urged upon German Ambassador that Austria should not precipitate military action. - 76 THE EUROPEAN ^YAR 5 GEORGE V., A. 1915 No. 13. Note communicated by Russian Ambassador, July 25. M. SAZONOF telegraphic au Charge d' Affaires de Russie a Vienne en date du 11 (24) juillet, 1914: "La communication du Gouvernement austro-hongrois aux Puissances le lende- inain de la presentation de 1'ultimatum a Belgrade ne laisse aux Puissances qivun delai tout a fait insuffisant pour entre- prendre quoi qu'il soit d'utile pour 1'apla- nissement des complications surgies. "Pour prevenir les consequences incal- culables et egalement nefastes pour tou- tes les Puissances qui peuvent suivre le mode d'action du Gouvernement austro- hongrois, il nous parait indispensable qu'avant tout le delai donne a la Serbie pour repondre soit prolonge. L'Autriche- Hongrie se declarant disposee a informer les Puissances des donnees de 1'enquete sur lesquelles le Gouvernement Imperial et Royal base ses accusations, devrait leur donner egalement le temps de s'en rendre compte. "En ce cas, si les Puissances ?e con- vainquaient du bien-fonde de certaines des exigences autrichiennes, elles se trou- veraient en mesure de faire parvenir au Gouvernement serbe des conseils en con- sequence. "Un refus de prolonger le terme de 1'ultimatum priverait de toute portee la demarche du Gouvernement austro-hon- grois aupres des Puissances ot '?p trouve- rait en contradiction avec les bases meme des relations Internationales. "Le Prince Koudnchef est chnrere do communiquer ce qui precede au Cabinet de Vienne. " .\r. Sazonof espere que le Gouverne- ment de Sa Majeste britannique adherera au point de vue expose, et il exprime 1'es- poir que Sir Edward Grey voudrn bien nuinir 1'Ambassadeur d'Angleterre a Vienne d'instructions conforms." (Translation) M. Sazanof telegraphs to the Russian Charge d'affaires at Vienna on the llth (24th) Jiuly, 1914: "The communication made by Austria- Hungary to the Powers the day after the presentation of the ultimatium at Bel- grade leaves a period to the Powers which is quite insufficient to enable them to take any steps which might help to smooth away the difficulties that have arisen. "In order to prevent the consequences equally incalcu^ble and fatal to all the Powers, which may result from the course of action followed by the Austro- Hurigurian Government, it seems to us to be above all essential that the period allowed for the Servian reply should be extended. Austria-Hungary, having de- clared her readiness to inform the Powers of the results of the enquiry upon which the Imperial and Royal Government base their accusations, should equally allow them sufficient time to study them. "In this case, if the Powers, were con- vinced that certain of the Austrian de- mands were well founded, they would be in a position to offer advice to the Servian Government. "A refusal to prolong the term of the ultimatum would render nugatory the proposals made by the Austro-Hungarian Government to the Powers, and would be in contradiction to the very bases of in- ternational relations. "Prince Kudachef is instructed to com- municate the above to the Cabinet at Vienna. "M. Sazonof hopes that His Britannic .Majesty's Government will share to the point of view set forth above, and he trusts that Sir E. Grey will see his way to furnish similar instructions to the British Ambassador at Vienna.." THE EUROPEAN WAR 77 SESSIONAL PAPER No. 40c No. 14. Sir Edward Grey to Sir F. Bertie and to Sir G. Buchanan. (Telegraphic.) FOREIGN OFFICE, July 25, 1914. Austrian Ambassador has been authorised to explain to me that the step taken at Belgrade was not an ultimatum, but a demarche with a time limit, and that if the Austrian demands were not complied with within the time limit the Austro- Hungarian Government would break off diplomatic relations and begin military preparations, not operations. In case Austro-Hungarian Government have not given the same information at Paris (St. Petersburgh), you should inform Minister for Foreign Affairs as soon as possible; it makes the immediate situation rather less acute. No. 15. Sir F. Bertie to Sir Edward Grey. (Received July 25.) (Telegraphic.) PARIS, July 25, 1914. I learn from the Acting Political Director that the French Government have not yet received the explanation from the Austrian Government contained in your telegram of to-day.* They have, however, through the Servian Minister here, given similar advice to Servia as was contained in your telegram to Belgrade of yesterday.f * See No. 14. t See No. 12. No. 16. Sir F. Bertie to Sir Edward Grey. (Received July 25.) (Telegraphic.) PARIS, July 25, 1911. Acting Minister for Foreign Affairs has 110 suggestions to make except that moderating advice might be given at Vienna as well as at Belgrade. He hopes that the Servian Government's answer to the Austrian ultimatum will be sufficiently favourable to obviate extreme measures being taken by the Austrian Government. He says, however, that there would be a revolution in Servia if she were to accept the Austrian demands in their entirety. No. 17. Sir G. Buchanan to Sir Edward Grey. (Received July 25.) (Telegraphic.) ST. PETERSBURGH, July 25, 1914. I saw the Minister for Foreign Affairs this morning,^ ana communicated to his Excellency the substance of your telegram of to-day to Paris,* and this afternoon I discussed with him the communication which the French Ambassador suggested should be made to the Servian Government, as recorded in your telegram of yesterday to Belgrade.! See No. 14. t See No. 12. 73 THE EUROPEAN WAR 5 GEORGE V., A. 1915 The Minister for Foreign Affairs said, as regards the former, that the explana- - of the Austrian Ambassador did not quite correspond with the information which had reached him from German quarters. As regards the latter, both his Excellency and the French Ambassador agreed that it is too late to make such a communication, as the time expires this evening. The Minister for Foreign Affairs said that Servia was quite ready to do as yon had suggested and to punish those proved to be guilty, but that no independent State could be expected to accept the political demands which had been put forward. The Minister for Foreign Affairs thought, from a conversation which ho Ind with th<> Servian Minister yesterday, that, in the event of the Austrians attacking ^oivia, the Servian Government would abandon Belgrade, and withdraw their forces into the interior, while they would at the same time appeal to the Powers to help them. Hft Excellency was in favour of their making this appeal. He would like to see the question placed on an international footing, as the obligations taken by Servia in 1908, to which ivt'iMvnri 1 is made in the Austrian ultimatum, were given not to Austria, but to the Powers. If Servia should appeal to the Powers, Russia would be quite ready to stand aside and leave the question in the hands of England, France, Germany, and Italy. It was possible, in his opinion, that Servia might propose t) submit the question to arbitration. On my expressing the earnest hope that Russia would not precipitate war by mobilising until, you had had time to use your influence in favour of peace, his Excellency assured me that Russia had no aggressive intentions, and she would take no action until it was forced on her. Austria's action was in reality directed against Russia. She aimed at overthrowing the present status quo in the Balkans, and establishing her own hegemony there. He did not believe that Germany really wanted war, but her attitude was decided by ours. If we took our stand firmly with France and Russia there would be no war. If we failed them now, rivers of blood would flow, and we would in the end be dragged into war. I said that England could play the role of mediator at Berlin and Vienna to better purpose as friend who, if her counsels of moderation were disregarded, might one day be converted into an ally, than if she were to declare herself Russia's ally at once. His Excellency said that unfortunately Germany was convinced that she could count upon our neutrality. I said all I could to impress prudence on the Minister for Foreign Affairs, and warned him that if Russia mobilised, Germany would not be content with mere mobilisation, or give Russia time to carry out hers, but would probably declare war at once. His Excellency replied that Russia could not allow Austria to crush Servia and become the predominant Power in the Balkans, and, if she feels secure of the support of France, she will face all the risks of war. He assured me once more that he did not wish to precipitate a conflict, but that unless Germany could restrain Austria I could regard the situation as desperate. No. 18. Sir 77. Rumbold to Sir Edward Grey. (Received July 25.) (Telegraphic.) BERLIN, July 25, 1914. Your telegram of the 24th July* acted on. Secretary of State for Foreign Affairs says that on receipt of a telegram at 10 this morning from German Ambassador at London, he immediately instructed German See No. 11. THE EUROPEAN WAR 79 SESSIONAL PAPER No. 40c Ambassador at Vienna to pass on to Austrian Minister for Foreign Affairs your suggestion for an extension of time limit, and to speak to his Excellency about it. Unfortunately it appeared from press that Count Berchtold is at Ischl, and Secretary of State thought that in these circumstances there would be delay and difficulty in getting time limit extended. Secretary of State said that he did not know what Austria-Hungary had ready on the spot, but he admitted quite freely that Austro- lluugarian Government wished to give the Servians a lesson, and that they meant to take military action. He also admitted that Servian Government could not swallow certain of the Austro-Hungarian demands. Secretary of State said that a reassuring feature of situation was that Count Berchtold had sent for Russian representative at Vienna and had told him that Austria-Hungary had no intention of seizing Servian territory. This step should, in his opinion, exercise a calming influence at St. Petersburgh. I asked whether it was not to be feared that, in taking military action against Servia, Austria would danger- ously excite public opinion in Russia. He said he thought not. He remained of opinion that crisis could be localised. I said that telegrams from Russia in this morning's papers did not look very reassuring, but he maintained his optimistic view with regard to Russia. He said that he had given the Russian Government to understand that last thing Germany wanted was a general war, and he would do all in his power to prevent such a calamity. If the relations between Austria and Russia became threatening, he was quite ready to fall in with your suggestion as to the four Powers working in favour of moderation at Vienna and St. Petersburgh. Secretary of State confessed privately that he thought the note left much to be desired as a diplomatic document. He repeated very earnestly that, though he had been accused of knowing all about the contents of that note, he had in fact had no such knowledge. tfo. 19. Sir R. Rodd to Sir Edward Grey. (Received July 25.) (Telegraphic,) ROME, July 25, 1914. I saw the Secretary-General this morning and found that he knew of the sugges- tion that France, Italy, Germany, and ourselves should work at Vienna and St. Petersburgh in favour of moderation, if the relations between Austria and Servia become menacing. In his opinion Austria will only be restrained by the unconditional acceptance by the Servian Government of her note. There is reliable information that Austria intends to seize the Salouica Railway. No. 20. Sir M. de Bunsen to Sir Edward Grey, (Received July 25.) (Telegraphic.) VIENNA, July 25, 1914. Language of press this morning leaves the impression that the surrender of Servia is neither expected nor really desired. It is officially announced that the Austrian Minister is instructed to leave Belgrade with staff of legation failing unconditional acceptance of note at 6 p.m. to-day. Minister for Foreign Affairs goes to Ischl to-day to communicate' personally to the Emperor Servian reply when, it comes. 80 THE EUROPEAN WAR 5 GEORGE V., A. 1915 No. 21. Mr. Crackanthorpe to Sir Edward Grey. (Received July 25 ) (Telegraphic.) BELGRADE, July 25, 1914. The Council of Ministers is now drawing up their reply to the Austrian note. I am informed by the Under-Secretary of State for Foreign Affairs that it will be most conciliatory and will meet the Austrian demands in as large a measure as is possible. The following is a brief summary of the projected reply: The Servian Government consent to the publication of a declaration in the 1 Official Gazette.' The ten points are accepted with reservations. Servian Govern- ment declare themselves ready to agree to a mixed commission of enquiry so long as the appointment of a commission can be shown to be in accordance with inter- national usage. They consent to dismiss and prosecute those officers who can be clearly proved to be guilty, and they have already arrested the officer referred to in the Austrian note. They are prepared to suppress the Narodno Odbrana. The Servian Government consider that, unless the Austrian Government want war at any cost, they cannot but be content with the full satisfaction offered in the Servian reply. No. 22. Mr. Crackanthorpe to Sir Edward Grey. (Received July 25.) (Telegraphic.) BELGRADE, July 25, 1914. I have seen the new French Minister, who has just arrived from Constantinople, and my Russian colleague, and informed them of your views. They have not yet received instructions from their Governments, and in view of this and of the proposed conciliatory terms of the Servian reply, I have up to now abstained from offering advice to the Servian Government. I think it is highly probable that the Russian Government have already urged the utmost moderation on the Servian Government. No. 23. Mr. Crackanthorpe to Sir Edward Grey. (Rt'n-n- t ion has been declined by the Austro-Hungarian Government. The suggestion was to the effect that the means of settling the Austro-Servian conflict should be dis-' cussed directly between Russian Minister for Foreign Affairs and the Austrian Ambassador at St. Petersburgh who should be authorized accordingly. The Russian Ambassador thinks that a conference in London of the less inter- ested Powers, such as you have proposed, offers now the only prospect of preserving peace of Europe, and he is sure that the Russian Government will acquiesce willingly in your proposal. So long as opposing armies have not actually come in contact, all hope need not be abandoned. No. 75. Sir E. Goschen to Sir Edward Grey. (Received July 89.) (Telegraphic.) BERLIN, July 29, 1914. I was sent for again to-day by the Imperial Chancellor, who told me that he regretted to state that the Austro-Hungarian Government, to whom he had at once communicated your opinion, had answered that events had marched too rapidly and lhat it was therefore too late to act upon your suggestion that the Servian reply might form the basis of discussion. His Excellency had, on receiving their reply, despatched a message to "Vienna, in which he explained that, although a certain desire had, in his opinion, been shown in the Servian reply to meet the demands of Austria, he understood entirely that, without some sure guarantees that Servia would carry out in their entirety the demands made upon her, the Austro-Hungarian Government could not rest satisfied in view of their past experience. He had then gone on to say that hostilities which were about to be undertaken against Servia had presumably the exclusive object of securing such guarantees, seeing that the Austrian Govern- ment already assured the Russian Government that they had no territorial d'si^nt;. He advised the Austro-Hungarian Government, should this view be correct, to Bpeak openly in this sense. The holding of such language would, he hoped, eJiiniuato all possible misunderstandings. As yet, he told me, he had not received a reply from Vienna. From the fact that he had gone so far in the matter of giving advifce at Vienna, his Excellency hoped that you would realise that he was sincerely doing all in his power to prevent danger of European complications. The fact of his communicating this information to you was a proof of the con- fidence which he felt in you and evidence of his anxiety that you should know he was doing his best to support your efforts in the cause of general peace, efforts which he sincerely appreciated. No. 76. Sir E. Gosclien to Sir Edward Grey. (Received July 29.) (Telegraphic.) BERLIN, July 29, 1914. I found Secretary of State very depressed to-day. He reminded me that he had told me the other day that he had to be very careful in giving advice to Austria, as THE EUROPE AX 11J.A' 109 SESSIONAL PAPER No. 40c any idea that they were being pressed would be likely to cause them to precipitate matters and present a fait accompli. That had, in fact, now happened, and he was not sure that his communication of your suggestion that Servia's reply offered a basis for discussion had not hastened declaration of war. He was much troubled by reports of mobilisation in Russia, and of certain military measures, which he did not specify, being taken in France. He subsequently spoke of these measures to my French col- league, who informed him that French Government had done nothing more than the German Government had done, namely, recalled officers on leave. His Excellency denied German Government had done this, but as a matter of fact it is true. My French colleague said to Under- Secretary of State, in course of conversation, that it seemed to him that when Austria had entered Servia, and so satisfied her military prestige, the moment might then be favourable for four disinterested Powers to dis- cuss situation and come forward with suggestions for preventing graver complications. Under-Secretary of State seemed to think idea worthy of consideration, as he replied that would be a different matter from conference proposed by you. Russian Ambassador returned to-day, and has informed Imperial Government that Russia is mobilising in four southern governments. No. 77. Sir Edward Grey to Sir E. Goschen. (Telegraphic.) FOREIGN OFFICE, July 29, 1914. I much appreciate the language of Chancellor, as reported in your telegram of to-day.* His Excellency may rely upon it that this country will continue, as heretofore, to strain every effort to secure peace and to avert the calamity we all fear. If he can induce Austria to satisfy Russia and to abstain from going so far as to come into collision with her, we shall all join in deep gratitude to his Excellency for having saved the peace of Europe. * See No. 75. No. 78. Sir G. Buchanan to Sir Edward Grey. (Received July 29.) (Telegraphic.) ST. PETERSBURGH, July 29, 1914. Partial mobilisation was ordered to-day. I communicated the substance of your telegram of the 28th instant* to Berlin to the Minister for Foreign Affairs in accordance with your instructions, and informed him confidentially of remarks as to mobilisation which the German Secretary of State had made to the British Ambassador at Berlin. This had already reached his Excellency from another source. The mobilisation, he explained, would only be directed against Austria. Austrian Government had now definitely declined direct conversation between Vienna and St. Petersburgh. The Minister for Foreign Affairs said he had proposed such an exchange of views on advice of German Ambassador. He proposed, when informing German Ambassador of this refusal of Austria's, to urge that a return should be made to your proposal for a conference of four Ambassadors, or, at all events, for an exchange of views between the three Ambassadors less directly interested, yourself, and also the Austrian Ambassador if you thought it advisable. Any arrangement approved by France and England would be acceptable to him, and he did not care what form such conversations took. Xo time was to be lost, 110 THE EUROPE AN WAR 5 GEORGE V., A. 1915 and the only way to avert war was for you to succeed in arriving, by means of conver- sations with Ambassadors either collectively or individually, at some formula which Austria could be induced to accept. Throughout Russian Government had been per- fectly frank and conciliatory, and had done all in their power to maintain peace. If their efforts to maintain peace failed, he trusted that it would be realized by the British public that it was not the fault of the Russian Government. I asked him whether he would raise objections if the suggestion made in Rome telegram of the 27th July,f which I mentioned to him, were carried out. In reply his Excellency said that he would agree to anything arranged by the four Powers provided it was acceptable to Servia; he could not, he said, be more Servian than Servia. Some supplementary statement or explanations would, however, have to be made in order to tone down the sharpness of the ultimatum. Minister for Foreign Affairs said that proposal referred to in your telegram of the 28th instant \. was one of secondary importance. Under altered circumstances of situation he did not attach weight to it. Further, the German Ambassador had informed his Excellency, so the latter told me. that his Government were continuing at Vienna to exert friendly influence. I fear that the German Ambassador will not help to smooth matters over, if he uses to his own Government the same language as he did to me to-day. He accused the Russian Government of endangering the peace of Europe by their mobilisation, and ?aid, when I referred to all that had been recently done by Austria, that he could not discuss such matters. I called his attention to the fact that Austrian consuls had warned all Austrian subjects liable to military service to join the colours, that Austria had already partially mobilised, and had now declared war on Servia. From what had passed during the Balkan crisis she knew that this act was one which it was impossible without humiliation for Russia to submit to. Had not Russia by mobilising shown that she was in earnest, Austria would have traded on Russia's desire for peace, and would have believed that she could go to any lengths. Minister for Foreign Affairs had given me to understand that Russia would not precipitate war by crossing frontier immediately, and a week or more would, in any case, elapse before mobilisation was completed. In order to find an issue out of a dangerous situation it was necessary that we should in the meanwhile all work together. See No. 67. t See No. 57. J See No. 69. No. 79. Sir .. de Bunsen to Sir Edward Grey. (Received July 29.) (Telegraphic.) VIKXNA, July 29, 1914. There is at present no step which we could usefully take to stop war with Servia, to which Austro-Hungarian Government are now fully committed by the Emperor's appeal to his people which has been published this morning, and by the declara- tion of war. French and Italian Ambassadors agree with me in this view. If the Axistro-Hungarian Government would convert into a binding engagement to Exiropc the declaration which has been made at St. Petersburgh to the effect that she desires neither to destroy the independence of Servia nor to acquire Servian territory, tho Italian Ambassador thinks that Russia might be induced to remain quiet. This however, the Italian Ambassador is convinced the Austrian Government would refuse to do. THE EUROPEAN WAR 111 SESSIONAL PAPER No. 40c No, 80. Sir R. Eodd to Sir Edward Grey. (Received July 29.) (Telegraphic.) HOME, July 29, 1914. In your telegram of the 27th instant* to Berlin, German Ambassador was reported to have accepted in principle the idea of a conference. This is in contradic- tion with the telegram of the 27th instantf from Berlin. Information received by the Italian Government from Berlin shows that German view is correctly represented in Sir E. Goschen's telegram of the 27th July,f but what creates difficulty is rather the " conference," so the Minister for Foreign Affairs understands, than the principle. He is going to urge, in a telegram which he is sending to Berlin to-night, adherence to the idea of an exchange of views in London. He suggest that the German Secretary of State might propose a formula acceptable to his Government. Minister for Foreign Affairs is of opinion that this exchange of views would keep the door open if direct communication between Vienna and St. Petersburgh fails to have any result. He thinks that this exchange of views might be concomitant with such direct communication. The German Government are also being informed that the Italian Government would not be pardoned by public opinion here unless they had taken every possible step so as to avoid war. He is urging that the German Government must lend their co-operation in this. He added that there seemed to be a difficulty in making Germany believe that Russia was in earnest. As Germany, however, was really anxious for good relations with ourselves, if she believed that Great Britain would act with Russia and France he thought it would have a great effect. Even should it prove impossible to induce Germany to take part, he would still advocate that England and Italy, each as representing one group, should continue to exchange views. * See No. 46. f See No. 43. No. 81. Sir Edward Grey to Sir R. Rodd. (Telegraphic.) FOREIGN OFFICE, July 29, 1914. With reference to your telegram of yesterday.* It is impossible for me to initiate discussions with Ambassadors here, as I understand from Austrian Minister for Foreign Affairs that Austria will not accept any discussion on basis of Servian note, and the inference of all I have heard from Vienna and Berlin is that Austria will not accept any form of mediation by the Powers as between Austria and Servia. Italian Minister for Foreign Affairs must therefore speak at Berlin and Vienna. I shall be glad if a favourable reception is given to any suggestions he can make there. * See No. 64. No. 82. Mr. Beaumont to Sir Edward Grey. (Received July 29.) (Telegraphic.) CONSTANTINOPLE, July 29, 1914. I understand that the designs of Austria may extend considerably beyond the ganjak and a punitive occupation of Servian territory. I gathered this from a remark 112 THE EUROPEAN WAR 5 GEORGE V., A. 1915 ^ let fall by the Austrian Ambassador here, who spoke of the deplorable economic situation of Salonica under Greek administration and of the assistance on which the Austrian army could count from Mussulman population discontented with Servian rule. No. 83. Mr. Crackanthorpe to Sir Edward Grey. (Received July 29.) (Telegraphic.) NISH, July 29, 1914. I have been requested by Prime Minister to convey to yorf expression of his deep gratitude for the statement which you made on the 27th instant in the House of Commons. No. 84. Sir Edward Grey to Sir E. Goschen. (Telegraphic.) FOREIGN OFFICE, July 29, 1914. The German Ambassador has been instructed by the German Chancellor to inform me that he is endeavouring to mediate between Vienna and St. Petersburg!!, and he hopes with good success. Austria and Russia seem to be in constant touch, and he is endeavouring to make Vienna explain in a satisfactory form at St. Petersburgh the scope and extension of Austrian proceedings in Servia. I told the German Ambassador that an agreement arrived at direct between Austria and Russia would be the best possible solution. I would press no proposal as long as there was a prospect of that, but my information this morning was that the Austrian Government have declined the suggestion of the Russian Government that the Austrian Ambassador at St. Petersburgh should be authorised to discuss directly with the Russian Minister for Foreign Affairs the means of settling the Austro-Servian conflict. The press correspondents at St. Petersburgh had been told that Russian Government would mobilise. The German Government had said that they were favourable in principle to mediation between Russia and Austria if necessary. They seemed to think the particular method of conference, consultation or discussion, or even conversations d quatre in London too formal a method. I urged that the German Government should suggest any method by which the influence of the four Powers could be used together to prevent war betwten Austria and Russia. France agreed, Italy agreed. The whole idea of mediation or mediating influence was ready to be put into operation by any method that Germany could suggest if mine was not acceptable. In fact mediation was ready to come into operation by any method that Germany thought possible if only Germany would " press the button " in the interests of peace. No. 85. Sir E. Goschen to Sir Edward Grey. (Received July SO.) (Telegraphic.) BERLIN, July 29, 1914. I was asked to call upon the Chancellor to-night. Ills Excellency had just returned from Potsdam. He said that should Austria be attacked by Russia a European conflagration might, he feared, become inevitable, owing to Germany's obligations as Austria's ally, THE EUROPEAN TV A.R 113 SESSIONAL PAPER No. 40c in spite of his continued efforts to maintain peace. He then proceeded to make the following strong bid for British neutrality. He said that it was clear, so far as he was able to judge the main principle which governed British policy, that Great Britain would never stand by and allow France to be crushed in any conflict there might be. That, however, was not the object at which Germany aimed. Provided that neutrality of Great Britain were certain, every assurance would be given to the British Govern- ment that the Imperial Government aimed at no territorial acquisitions at the expense of France should they prove victorious in any war that might ensue. I questioned his Excellency about the French colonies, and he said that he was unable to give a similar undertaking in that respect. As regards Holland, however, his Excellency said that, so long as Germany's adversaries respected the integrity and neutrality of the Netherlands, Germany was ready to give His Majesty's Government an assurance that she would do likewise. It depended upon the action of France what operations Germany might be forced to enter upon in Belgium, but when the war was over, Belgian integrity would be respected if she had not sided against Germany. His Excellency ended by saying that ever since he had been Chancellor the object of his policy had been, as you were aware, to bring about an understanding with England; he trusted that these assurances might form the basis of that understanding which he so much desired. He had in mind a general neutrality agreement between England and Germany, though it was of course at the present moment too early to discuss details, and an assurance of British neutrality in the conflict which present- crisis might possibly produce, would enable him to look forward to realisation of his desire. In reply to his Excellency's inquiry how I thought his request would appeal to you, I said that I did not think it probable that at this stage of events you would care to bind yourself to any course of action and that I was of opinion that you would desire to retain full liberty. , Our conversation upon this subject having come to an end, I communicated the contents of your telegram of to-day* to his Excellency, who expressed his best thanks to you. See No. 77. No. 86. Sir R. Rodd to Sir Edward Grey. (Received July 2&) (Telegraphic.) ROME, July 29, 1914. Minister for Foreign Affairs thinks ' that moment is past for any further discussions on basis of Servian note, in view of communication made to-day by Russia at Berlin regarding partial mobilisation. The utmost he now hopes for is that Germany may use her influence at Vienna to prevent or moderate any further demands on Servia. No. 87. Sir Edward Grey to Sir F. Bertie. FOREIGN OFFICE, July 29, 1914. Sir, After telling M. Cambon to-day how grave the situation seemed to be. I told him that I meant to tell the German Ambassador to-day that he must not be misled by the friendly tone of our conversations into any sense of false security 408 114 THE EUROPEAN WAR 5 GEORGE V., A. 1915 that we should stand aside if all the efforts to preserve the peace, which we were now making in common with Germany, failed. But I went on to say to M. Cambon that I thought it necessary to tell him also that public opinion here approached the pre- ~e No. 85. 124 THE EUROPEAN WAR 5 GEORGE V., A. 1915 And I will say this: If the peace of Europe can be preserved, and the preseni crisis safely passed, my own endeavour will be to promote some arrangement to which Germany could be a party, by which she could be assured that no aggressive or hostile policy would be pursued against her or her allies by France, Kussia, and ourselves, jointly or separately. I have desired this and worked for it, as far as I could, through the last Balkan crisis, and, Germany having a corresponding object, our relations sensibly improved. The idea has hitherto been too Utopian to form the subject of definite proposals, but if this present crisis, so much more acute than any that Europe has gone through for genr-rations. be safely passed, I am hopeful that the relief and reaction which will follow may make possible some more definite rapprochement between the Powers than has been possible hitherto. No. 102. Sir Edward Grey to Sir E. Goschen. (Telegraphic.) FOREIGN OFFICE, July 30, 1914. I have warned Prince Lichnowsky that Germany must not count upon our stand- ing aside in all circumstances. This is doubtless the substance of the telegram from Prince Lichnowsky to German Chancellor, to which reference is made in the last two paragraphs of your telegram of 30 July.* * See No. 98. No. 103 Sir Edward Grey to Sij J. Buchanan. (Telegraphic.) FOREIGN OFFICE, July 30, 1914. German Ambassador informs me that German Government would endeavour to influence Austria, after taking Belgrade and Servian territory in region of frontier, to promise not to advance further, while Powers endeavoured to arrange that Servia should give satisfaction sufficient to pacify Austria. Territory occupied would of course be evacuated when Austria was satisfied. I suggested this yesterday as a possible relief to the situation, and, if it can be obtained, I would earnestly hope that it might be agreed to suspend further military preparations on all sides. Russian Ambassador has told me of condition laid down by M. Sazonof, as quoted in your telegram of the 30th July,* and fears it cannot be modified; but if Austria advance were stopped after occupation of Belgrade, I think Russian Minister for Foreign Affairs' formula might be changed to read that the Powers would examine how Servia could fully satisfy Austria without impairing Servian sovereign rights or independence. If Austria, having occupied Belgrade and neighbouring Servian territory, declares herself ready, in the interest of European peace, to cease her advance and to discuss how a complete settlement can be arrived at, I hope that Russia would also consent to discussion and suspension of further military preparations, provided that other Powers did the same. It is slender chance of preserving peace, but the only one I can suggest if Russian Minister for Foreign Affairs can come to no agreement at Berlin. You should inform Minister for Foreign Affairs. See No. 97. TEE EUROPEAN WAR 125 SESSIONAL PAPER No. 40c No. 104. Sir Edward Grey to Sir F. Bertie. (Telegraphic.) FOREIGN OFFICE, July 30, 1914. You should inform the Minister for Foreign Affairs of my telegram to Sir G. Buchanan of to-day,* and say that I know that he has been urging Russia not to pre- cipitate a crisis. I hope he may be able to support this last suggestion at St. Peters- burgh. * See Xo. 103. No. 105. s Sir Edward Grey to Sir F. Bertie. FOREIGN OFFICE, July 30, 1914. Sir, M. Cambon reminded me to-day of the letter I had written to him two years ago in which we agreed that, if the peace of Europe was seriously threatened, we would discuss what we were prepared to do. I enclose for convenience of reference copies of the letter in question and of M. Cambon's reply. He said that the peace of Europe was never more seriously threatened than it was now. He did not wish to ask me to say directly that we would intervene, but he would like me to say what we should do if certain circumstances arose. The particular hypothesis he had in mind was an aggression by Germany on France. He gave me a paper, of which a copy is also enclosed, showing that the German military preparations were more advanced and more on the offensive upon the frontier than anything France had yet done. Sha anticipated that the aggression would take the form of either a demand that France should cease her preparations, or a demand that she should engage to remain neutral if there was war between Germany and Russia. Neither of these things could France admit. I said that the Cabinet was to meet to-morrow morning, and I would see him again to-morrow afternoon. I am, &c., E. GREY. [Enclosure 1 in No. 105.] Sir Edward Grey to M. Cambon. FOREIGN OFFICE, November 22, 1912. My dear Ambassador, From time to time in recent years the French and British naval and military experts have consulted together. It has always been understood that such consultation does not restrict the freedom of either Government to decide at any future time whether or not to assist the other by armed force. We have agreed that consultation between experts is not, and ought not to be regarded as, an engage- ment that commits either Government to action in a contingency that has not arisen and may never arise. The disposition, for instance, of the French and British fleets respectively at the present moment is not based upon an engagement to co-operate in war. You have, however, pointed out that, if either Government had grave reasons to expect an unprovoked attack by a third Power, it might become essential to know whether it could in that event depend upon the armed assistance of the other. 126 THE EUROPEAN WAR 5 GEORGE V.. A! 1915 I agree that, if either Government had grave reason to expect an unprovoked attack by a third Power, or something that threatened the general peace, it should immediately discuss with the other whether both Governments should act together to prevent aggression and to preserve peace, and, if so, what measures they would be prepared to take in common. If these measures involved action, the plans of the General Staffs would at once be taken into consideration, and the Governments would then decide what effect should be given to them. Yours, &c., E. GREY. [Enclosure 2 in No. 105.] L'AilBASSADE DE FRANCE, LONDRES, ce 23 novembre 1912. Cher Sir Edward, Par votre lettre en date d'hier, 22 novembre, vous m'avez rappele que, dans ces dernieres annees, les- autorites militai- res et navales de la France et de la Gran- de-Bretagne s'etaient consultees de temps en temps; qu'il avait toujours ete enten- du que ces consultations ne restreignaient pas la liberte, pour chaqoie Gouvernement, de decider dans 1'avenir s'ils se preteraient 1'un 1'autre le concours de leurs forces ar- mees; que de part et d'autre, ces consul- tations entre specialistes n'etaient et ne devaient pas etre considerees comme des engagements obligeant nos Gouverne- ments a agir dans certains cas; que ce- pendant je vous avais fait observer que, si 1'un ou 1'autre dee deux Gouvernements availnde graves raisons d'apprehender une attaque non provoquee de la part d'une tierce Puissance, il deviendrait essentiel de savoir s'il pourrait compter sur 1'assis-' tance armee de 1'autre. Votre lettre repond a cette observation, et je suis autorise & vous declarer que, dans le cas oil 1'oin de nos deux Gouverne- ments aurait un motif grave d'apprehen- der soit 1'agression d'une tierce ipuissance, soit quelque evenement menaqant pour la paix generate, ce Gouvernement examine- rait immediatement avec 1'autre si lea deux Gouvernements doivent agir de con- cert en vue de prevenir I'agres&ion ou de sauvegarder la paix. Dans ce cas, les deux Gouvernements delibereraient soir les mesures qu'ils seraient disposes a prendre en commun ; si ces mesures com- portaient une action, les deux Gouvmio- memts prendraient aussitot en considera- (Translation.) FRENCH EMBASSY, LONDON, November 23, 1912. Dear Sir Edward, You reminded me in your letter of yesterday, 22nd November, that during the last few years' the military and naval authorities of France and Great Britain had consulted with each other from time to time; that it had always been under- stood that these consultations should not restrict the liberty of either Government to decide in the future whether they should lend each other the support of their armed forces; that, on either side, these consultations between experts were not and should not be considered as engage- ments binding our Governments to take action in certain eventualities; that, however, I had remarked to you that, if one or other of the two Governments had grave reasons to fear an unprovoked at- tack on the part of a third Power, it would become essential to know whether it could count on the armed support of the other. Your letter answers that point, find I am authorized to state that, in the event of one of our two Governments having grave reasons to fear either an attack from a third Power, or some event threatening the General peace, that Gov- ernment would immediately examine with the other the question whether both rnments should act together in order to prevent aggression or preserve ]> If so, the two Governments would de- liberate as to the measures which they would be prepared to take in common; if those measures involved action, the two Governments would take into imme- diate consideration the plans of their THE EUROPEAN WAR 127 SESSIONAL PAPER No. 40c tion les plans de leurs etats-majors et de- cideraient alors de la suite qui devrait etre donnee a ces plans. Yotre sincerement devoue, PAUL CAMBON. general staffs and would then decide a* to the effect to be given to those plans. Yours, &c., PAUL CAMBON. [Enclosure 3 in No. 105.] French Minister for Foreign Affairs to M. Cambon. L'armee allenxande a eu ses avant-posites sur nos bornes-frontieres, hier, vendredi; par deux fbis des patrouilles allemandes out penetre sur notre territoire. Nos avant-postes sont en retraite a 10 kilom. en arriere de la frontiere. Les populations ainsi abandonnees a 1'attaque de 1'armee adverse protestent; mais le Gouverne- ment tient a montrer a 1'opinion publique et au Gouvernement britannique que 1'a- gresseur ne sera en aucun cas la France. Tout le 16e Corps de Metz renforce par une partie du Se venu de Treves et de Cologne occupe la frontiere de Metz au Luxembourg. Le 15e Corps d'Armee de Strasbourg a serre sur la frontiere. Sous menace d'etre fusilles les Alsaciens-Lor- rains des pays annexes ne peuvent pas passer la frontiere; des reservistes par di- zaines de milliers sont rappeles en Alle- magne ; c'est le dernier stade avant la mo- bilisation : or, nous n'avons rappele aucun reserviste. Comme vous le voyez, 1'AHemagne 1'a fait. J'ajoute que tooites nos informations concordent pour montrer que les prepara- tifs allemands ont commence samedi, le jour meme de la remise de la note autri- chienne. Ces elements, ajoxites a ceux contenus dans mon telegramme d'hier, vous permet- tent de f'aire la preuve au Gouverne- ment britannique de la volonte pacifique de 1'un et des intentions agressives de 1'aiutre. PARIS, le 31 juillet 1914. (Translation.) The German army had its advance- posts on our frontiers yesterday (Friday). German patrols twice penetrated on to our territory. Our advance-posts are withdrawn to a distance of 10 kilom. from the frontier. The local population is protesting against being thus aban- doned to the attack of the enemy's army, but the Government wishes to make it clear to public opinion and to the British Government that in no PP will France be the aggressor. The whole 16th corps from Metz, reinforced by a part of the 8th from Treves and Cologne, is occupy- ing the frontier at Metz on the Luxem- burg side. The 15th army corps from Strassburg has closed up on the frontier. The inhabitants of Alsace-Lorraine are prevented by the threat of being shot from crossing the frontiers. Reservists have been called back to Germany by tens of thousands. This is the last stage before mobilization, whereas we have not called out a single reservist. As you see, Germany has done it. I would add that all my information goes to show that the German preparations began on Saturday, the very day on which the Austrian note was handed in. These facts, added to those contained in my telegram of yesterday, will enable you to prove to the British Government the pacific intentions of the one party and the aggressive intentions of the other. PARIS, July 31, 1814. No. 106. Sir R. Rodd to Sir Edward Grey. (Received July 31.) (Telegraphic.) ROME, July 30, 1914. I learnt from the Minister for Foreign Affairs, who sent for me this evening, that the Austrian Government had declined to continue the direct exchange of views with the Russian Government. But he had reason to believe that Germany was now 128 THE EUROPEAN WAR 5 GEORGE V., A. 1915 disposed to give more conciliatory advice to Austria, as she seemed convinced that we should act with France and Russia, and was most anxious to avoid issue with us. He said he was telegraphing to the Italian Ambassador at Berlin to ask the Ger- man Government to suggest that the idea of an exchange of views between the four Powers should be resumed in any form which Austria would consider acceptable. It seemed to him that Germany might invite Austria to state exactly the terms which she would demand from Servia, and give a guarantee that she would neither deprive her of independence nor annex territory. It would be useless to ask for anything less than was contained in the Austrian ultimatum, and Germany would support no proposal that did not imply non-success for Austria. We might, on the other hand, ascertain from Russia what she would accept, and, once we knew the standpoints of these two countries, discussions could be commenced at once. There was still time so long as Austria had received no check. He in any case was in favour of con- tinuing an exchange of views with His Majesty's Government if the idea of dis- cussions between the four Powers was impossible. No. 107. Sir E. Goschen to Sir .Edward Grey. (Received July SI.) (Telegraphic.) BERLIN, July 30. 1914. I do not know whether you have received a reply from the German Govern- ment to the communication* which you made to them through the German Ambas- sador in London asking whether they could suggest any method by which the forfr Powers could use their mediating influence between Russia and Austria. I was in- formed last night that they had not had time to send an answer yet. To-day, in reply to an inquiry from the French Ambassador as to whether the Imperial Govern- ment had proposed any course of action, the Secretary of State said that he had felt that time would be saved by communicating with Vienna direct, and that he had asked the Austro-Hungarian Government what would satisfy them. No answer had, however, yet been returned. The Chancellor told me last night that he was " pressing the button " as hard as he could, and that he was not sure whether he had not gone too far in urging modern, tion at Vienna that matters had been precipitated rather than otherwise. See No. 84. No. 108. Sir E. Goschen to Sir Edward Grey. (Received July SI.) (Telegraphic.) BERLIN, July ?i, 1914. Chancellor informs me that his efforts to preach peace and moderation at Vienna have been seriously handicapped by the Russian mobilisation against Austria. He has done everything possible to attain his object at Vienna, perhaps even rather more than was altogether palatable at the Ballplatz. He could not, however, leava his country defenceless while time was being utilised by other Powers; and if, as he learns is the case, military measures are now being taken by Russia against Ger- many also, it would be impossible for him to remain quiet. He wished to tell me that it was quite possible that in a very short time, to-day perhaps, the German Govern- ment would take some very serious step; he was, in fact, just on the point of going to have an audience with the Emperor. His Excellency added that the news of the active preparations on the Russo-Ger- man frontier had reached him just when the Czar had appealed to the Emperor, in ////: AVA'o/v.M.v WAI: 129 SESSIONAL PAPER No. 4Qc the name of their old friendship, to mediate at Vienna, and when the Emperor was actually conforming to that requc.-t. No. 109. Sir E. Goschen to Sir Edward Grey. (Received July 31.) (Telegraphic.) BERLIN, July 31, 1914. I read to the Chancellor this morning your answer to his appeal for British neutrality in the event of war, as contained in your telegram of yesterday.* His Excellency was so taken up with the news of the Russian measures along the frontier, referred to in my immediately preceding telegram, that he received your communica- tion without comment. He asked me to let him have the message that I had just read to him as a memorandum, as he would like to reflect upon it before giving an answer and his mind was so full of grave matters that he could not be certain of remem- bering all its points. I therefore handed to him the text of your message on the understanding that it should be regarded merely as a record of conversation, and not as an official document. His Excellency agreed. * See No. 101. No. 110. Sir Edward Grey to Sir G. Buchanan. (Telegraphic.) FOREIGN OFFICE, July 31, 1914. I learn from the German Ambassador that, as a result of suggestions by the German Government, a conversation has taken place at Vienna between the Austrian Minister for Foreign Affairs and the Russian Ambassador. The Austrian Ambassa- dor at St. Petersburg!! has also been instructed that he may converse with the Rus- sian Minister for Foreign Affairs, and that he should give explanations about the Austrian ultimatum to Servia, and discuss suggestions and any questions directly affecting Austro-Russiaii relations. If the Russian Government object to the Aus- trians mobilising eight army corps it might be pointed out that this is not too great a number against 400,000 Servians. The German Ambassador asked me to urge the Russian Government to show goodwill in the discussions and to suspend their military preparations. It is with great satisfaction that I have learnt that discussions are being resumed between Austria and Russia, and you should express this to. the Minister for Foreign Affairs and tell him that I earnestly hope he will encourage them. I informed the German Ambassador that, as regards military preparations, I did not see how Russia could be urged to suspend them unless some limit were put by Austria to the advance of her troops into Servia. No. 111. Sir Edward Grey to Sir E. Goschen. (Tekpraiihic.) FOREIGN OFFICE. July 31, 1914. I hope that the conversations which are now proceeding between Austria and Russia may lead to a satisfactory result. The stumbling-block hitherto has been Austrian mistrust of Servian assurances, and Russian mistrust of Austrian inten- 409 130 THE El ROPE AX WAR 5 GEORGE V.. A. 1915 tions with regard to the independence and integrity of Servia. It has occurred to me that, in the event of this mistrust preventing a solution being found by Vienna and St. Petersburg!!, Germany might sound Vienna, and I would undertake to sound St. Petersburgh, whether it would be possible for the four disinterested Powers to offer to Austria that they would undertake to see that she obtained full satisfaction of her demands on Servia, provided that they did not impair Servian sovereignty and the integrity of Servian territory. As your Excellency is aware, Austria has already declared her willingness to respect them. Russia might be informed by the four Powers that they would undertake to prevent Austrian demands going the length of impairing Servian sovereignty and integrity. All Powers would of -course suspend further military operations or preparations. You may sound the Secretary of State about this proposal. I said to German Ambassador this morning that if Germany could get any reasonable proposal put forward which made it clear that Germany and Austria were striving to preserve European peace, and that Russia and France would be unreason- able if they rejected it, I would support it at St. Petersburgh and Paris, and go the length of saying that if Russia and France would not accept it His Majesty's Govern- ment would have nothing more to do with the consequences; but, otherwise, I told German Ambassador that if France became involved we should be drawn in. You can add this when sounding Chancellor or Secretary of State as to proposal above. No. 112. Sir E. Goschen to Sir Edward Grey. (Received July SI.) (Telegraphic.) BERLIN, July 31, 1914. According to information just received by German Government from their Ambassador at St. Petersburgh, whole Russian army and fleet are being mobilised. Chancellor tells me that " Kriegsgefahr " will be proclaimed at once by German Government, as it can only be against Germany that Russian general mobilisation is directed. Mobilisation would follow almost immediately. His Excellency added in explanation that "Kriegsgefahr" signified the taking of certain precautionary n: urea consequent upon strained relations with a foreign country. This news from St. Petersburgh, added his Excellency, seemed to him to put an end to all hope of a peaceful solution of the crisis. Germany must certainly prepare for all emergencies. I asked him whether he could not still put pressure on the authorities at Vienna to do something in general interest-; to reassure Russia and to show themselves disposed to continue discussions on a friendly basis. He replied that last night he had begged Austria to reply to your last proposal, and that he had received a reply to the effect that Austrian Minister for Foreign Affairs would take wishes of the Emperor this morning in the matter. No. 113. Sir G. Buchanan to Sir Edward Grey. (Received July SI.) (Telegraphic.) ST. TKIKUSBURGH, July 31, 1914. It has been decided to issue orders for general moliilisation. This decision was taken in consequence of report received from Russian Ambassador in Vienna to the effect that Austria is determined not to yield to inter- vention of Powers, and that she is moving troops against Russia as well as against Servia THE EUROPE Ay WAR 131 SESSIONAL PAPER No. 40c Russia ha? also reason to believe that Germany is making active military pre- parations, and >he cannot afford to let her get a start. No. 114. Sir Edward Grey to Sir F. Bertie and Sir E. Goschen. (Telegraphic.) FOREIGN OFFICE, July 31, 1914. I still trust that situation is not irretrievable, but in view of prospect of mobilisation in Germany it becomes essential to His Majesty's Government, in view of existing treaties, to ask whether French (German) Government is prepared to engage to respect neutrality of Belgium so long as no other Power violates it. A similar request is being addressed to German (French) Government. It is important to have an early answer. No. 115. Sir Edward Grey to Sir F. Villiers. (Telegraphic.) FOREIGN OFFICE, July 31, 1914. In view of existing treaties, you should inform Minister for Foreign Affairs that, in consideration of the possibility of a European war, I have asked French and German Governments whether each is prepared to respect the neutrality of Belgium provided it is violated by no other Power. You should say that I assume that the Belgian Government will maintain to the utmost of her power her neutrality, which I desire and expect other Powers to uphold and observe. You should inform the Belgian Government that an early reply is desired. No. 116. Sir Edward Grey to Sir F. Bertie. (Telegraphic.) FOREIGN OFFICE, July 31, 1914. I have received your telegram of yesterday's date.* Xobody here feels that in this dispute, so far as it has yet gone, British treaties or obligations are involved. Feeling is quite different from what it was during the Morocco question. That crisis involved a dispute directly involving France, whereas in this case France is being drawn into a dispute which is not hers. I believe it to be quite untrue that our attitude has been a decisive factor in situation. German Government do not expect our neutrality. We cannot undertake a definite pledge to intervene in a war. I have so told the French Ambassador, who has urged His Majesty's Government to reconsider this decision. I have told him that we should not be justified in giving any pledge at the present moment, but that we will certainly consider the situation again directly there is a new development. See No. 99. . 4094 132 THE KL'KOI'KAX WAK 5 GEORGE V., A. 1915 No. 117. Sir F. Bertie to Sir Edward Grey. (Received July 31.) (Telegraphic.) PARIS, July 31, 1914. At 7 o'clock this evening I was sent for l>y Minister for Foreign Affairs. When I arrived the German Ambassador was leaving his Excellency. German Ambassador had informed his Excellency that, in view of the fact that orders had been given for the total mobilisation of Russian army and fleet, German Government have in an ultimatum which they have addressed to the Russian Government required that Russian forces should be demobilised. The German Government will consider it necessary to order the total mobilisation of the German army on the Russian and French frontiers if within twelve hours the Russian Government do not give an undertaking to comply with German demand. The Minister for Foreign Affairs ask- me to communicate this to you, and inquires what, in these circumstances, will be the attitude of England. German Ambassador could not say when the twelve hours terminate. lie is going to call at the Ministry for Foreign Affairs to-morrow (Saturday) at 1 p.m. in order to receive the French Government's answer as to the attitude they will adopt in the circumstances. He intimated the possibility of his requiring his passports. I am informed by the Russian Ambassador that he is not aware of any general mobilisation of the Russian forces having taken place. No. 118. Sir M. de Bunsen to Sir Edward Grey. (Received July SI.) (Telegraphic.) YIK.VVA, July 31, 1914. I am informed by Count Forgach, Under-Secretary of State, that although Austria was compelled to respond to Russian mobilisation, which he deplored, the Austrian Ambassador in London has received instructions to inform you that mobilisation was not to be regarded as a necessarily hostile act on either side. Tele- grams were being exchanged between the Emperor of Russia and the (Jerman Emperor, and conversations were proceeding between Austrian Ambassador at St. Petersburgh and Russian Minister for Foreign Affairs. A general war might, he seriously hoped, be staved off by these efforts. On my expressing my fear that Germany would mobilise, he said that Germany must do something, in his opinion, to secure her position. As regards Russian intervention on behalf of Servia, Austna- Hungary found it difficult to recognize such a claim. I called \\\> attention to the fact that during the discussion of the Albanian frontier at the London Conference of Ambassadors the Russian Government had stood behind Servia. and that a com- promise between the views of Russia and Austria-Hungary resulted with accepted frontier line. Although he spoke in a conciliatory tone, and did not regard the situation as desperate, I could not get from him any suggestion for a similar com- promise in the present case. Count Forgach is going this afternoon to see the Russian Ambassador, whom I have informed of the above conversation. The Russian Ambassador has explained that Rus-ia has no desire to interfere unduly with Servia; that, as compared with the lafe Uu^-ian Minister, the present Minister at Belgrade is a man of -very moderate views; and that, as regards Austrian demands, Russia had counselled Servia to yield to them as far as she possibly conld '////; EUROPEAN WAR 133 SESSIONAL PAPER No. 40c without sacrificing her independence. His Excellency is exerting himself strongly in the interests of peace. No. 119. Sir Edward Grey to Sir F. Bertie. Sir, FOREIGN OFFICE, July 31, 1914. M. Cambon referred to-day to a telegram that had been shown to Sir Arthur Nicolson this morning from the French Ambassador in Berlin, saying that it was the uncertainty with regard to whether we would intervene which was the encouraging element in Berlin, and that, if we would only declare definitely on the side of Russia and France, it would decide the German attitude in favour of peace. I said that it was quite wrong to suppose that we had left Germany under the impression that we would not intervene. I had refused overtures to promise that we should remain neutral. I had not only definitely declined to say that we would remain neutral, I had even gone so far this morning as to say to the German Ambassador that, if France and Germany became involved in war, we should be drawn into it. That, of course, was not the same thing as taking an engagement to France, and I told M. Cambon of it only to show that we had not left Germany under the impression that we would stand asicbe. Mr. Cambon then asked me for my reply to what he had said yesterday. I said that we had come to the conclusion, in the Cabinet to-day, that we could not give any pledge at the present time. Though we should have to put our policy before Parliament, we could not pledge Parliament in advance. Up to the present moment, we did not feel, and public opinion did not feel, that any treaties or obligations of this country were involved. Further developments might alter this situation and cause the Government and Parliament to take the view that intervention was- justified. The preservation of the neutrality of Belgium might be, I would not' say a decisive, but an important factor, in determining our attitude. Whether we proposed to Parliament to intervene or not to intervene in a war, Parliament would wish to know how we stood with regard to the neutrality of Belgium, and it might be that I should ask both France and Germany whether each was prepared to undertake an engagement that she would not be the first to violate the neutrality of Belgium. M. Cambon repeated his question whether we would help France if Germany made an attack on her. I said that I could only adhere to the answer that, as far as things had gone at present, we could not take any engagement. M. Cambon urged that Germany had from the beginning rejected proposals that might have made for peace. It could not be to England's interest that France should be crushed by Germany. We should then be in a very diminished position with regard to Germany. In 1870 we had made a great mistake in allowing an enormous increase of German strength, and we should now be repeating the mistake. He asked me whether I could not submit his question to the Cabinet again. 1 said that the Cabinet would certainly be summoned as soon as there was some new development, but at the present moment the only answer I could give was that we could not undertake any definite engagement. I am, &e., E. GREY. 134 THE /-TffO/'AM.V WAR 5 GEORGE V., A. 1915 No. 120. Sir G. Buchanan to Sir Edward Grey. (Received August 1.) (Telegraphic.) ST. PETERSBURG, July 31, 1914. Minister for Foreign Affairs sent for me and French Ambassador and asked us to telegraph to our respective Governments subjoined formula as best calculated to amalgamate proposal made by you in your telegram of 30th July- with formula recorded in my telegram of 30th July.f He trusted it would meet with your approval: " Si 1'Autriche consentira a arreter marche de ses troupes sur le territoire scrhc, si, reconnaissant que le conflit austro-serbe a assume le caractere d'une question d'interet europen, elle admet que les Graudes Puissances examinent la satisfaction que la Serbie pourrait accorder au Gouvernemeut d'Autriche-IIougric saus laisser porter atteinte a ses droits d'Etat souveraiu ct a sou independence, la Russie s'engage a conserver son attitude expectante." % " If Austria will agree to check the advance of her troops on Servian territory ; if, recognizing that the dispute between Austria and Servia has assumed a character of European interest, she will allow the Great Powers to look into the matter and deter- mine whether Servia could satisfy the Austro-Huugarian Government without impair- ing her rights as a sovereign State or her independence, Russia will undertake to main- tain her waiting attitude." His Excellency then alluded to the telegram sent to German Emperor by Emperor of Russia in reply to the former's telegram. He said that Emperor Nicholas had begun by thanking Emperor William for his telegram and for the hopes of peaceful solution which it held out. His Majesty had then proceeded to assure Emperor William that no intention whatever of an aggressive character was con- cealed behind Russian military preparations. So long as conversation with Austria continued, His Imperial Majesty undertook that not a single man should be moved across the frontier; it was, however, of course impossible, for reasons explained, to stop a mobilisation which was already in progress. M. Sazouof said that undoubtedly there would be better prospect of a peaceful solution if the suggested conversation were to take place in London, where the atmosphere was far more favourable, and he therefore hoped that you would see your way to agreeing to this. His Excellency ended by expressing his deep gratitude to Hi- Majesty's Govern- ment, who had done so much to save the situation. It would be largely due to them if war were prevented. The Emperor, the Russian Government, and the Russian people would never forget the firm attitude adopted by Great Britain. See No. 103. t See No. 97. No. 121. Sir E. Goschen to Sir Edward Grey. (Received August 1.) BKKMN, July 31, 1014. (Telegraphic.) Your ti'lcirram of 31st July.* I spent an hour with Secretary of State urging him most earnestly to accept your proposal and make another effort to prevent terrible catastrophe of a European war. He expressed himself very sympathetically towards your proposal, am] appre- ciated your efforts to maintain peace, but said it was impossible for the Imperial i: EUROPE AX WAR 135 SESSIONAL PAPER No. 40c Government to consider any proposal until they had received an answer from Russia to their communication of to-day; this communication, which he admitted had the form of an ultimatum, being that, unless Russia could inform the Imperial Govern- ment within twelve hours that she would immediately countermand her mobilisation against Germany and x\ustria, Germany would be obliged on her side to mobilise at once: I asked his Excellency why they had made their demand even more difficult for Russia to accept by asking them to demobilise in south as well. He replied that it was in order to prevent Russia from saying all her mobilisation was only directed against Austria. His Excellency said that if the answer from Russia was satisfactory he thought personally that your proposal merited favourable consideration, and in any case he would lay it before the Emperor and Chancellor, but he repeated that it was no use discussing it until the Russian Government had sent in their answer to the German demand. He again assured me that both the Emperor William, at the request of the Emperor of Russia, and the German Foreign Office had even up till last night been urging Austria to show willingness to continue discussions and telegraphic and telephonic communications from Vienna had been of a promising nature but Russia's mobilisation had spoilt everything. * See No. 111. No. 122. Sir E. Goschen to Sir Edward Grey. (Received August 1.} BERLIN, July 31, 1914. (Telegraphic.) Neutrality of Belgium, referred to in your telegram of 31st July to Sir F. Bertie.f I have seen Secretary of State, who informs me that he must consult the Emperor and the Chancellor before he could possibly answer. I gathered from what he said that he thought any reply they might give could not but disclose a certain amount of their plan of campaign in the event of war ensuing, and he was therefore very doubtful whether they would return any answer at all. His Excellency, nevertheless, took note of your request. It appears from what he said that German Government consider that certain hostile acts have already been committed by Belgium. As an instance of this, he alleged that a consignment of corn for Germany had been placed under an embargo already. I hope to -see his Excellency to-morrow again to discuss the matter further, but the prospect of obtaining a definite answer seems to me remote. In speaking to me to-day the Chancellor made it clear that Germany would in any case desire to know the reply returned to you by the French Government. * See No. 114. No. 123. Sir Edward Grey to Sir E. Goschen. FOREIGN OFFICE, August 1, 1914. Sir, I told the. German Ambassador to-day that the reply* of the German Govern- ment with regard to the neutrality of Belgium was a matter of very great regret, * See No. 122. 136 7V//-: i: mo /'/;,! \ WAR 5 GEORGE V., A. 1915 because the neutrality of Belgium affected feeling in this country. If Germany could see her way to give the same assurance as that which had been given by France it would materially contribute to relieve anxiety and tension here. On the other hand, if there were a violation of the neutrality of Belgium by one combatant while the other respected it, it would be extremely difficult to restrain public feeling in this country. I said that we had been discussing this question at a Cabinet meeting, and as I was authorized to tell him this I gave him a memorandum of it. He asked me whether, if Germany gave a promise not to violate Belgium neu- trality we would engage to remain neutral. I replied that I could not say that ; our hands were still free, and we were con- sidering what our attitude should be. All I could say was that our attitude would be determined largely by public opinion here, and that the neutrality of Belgium would appeal very strongly to public opinion here. I did not think that we could give a promise of neutrality on that condition alone. The Ambassador pressed me as to whether I could not formulate conditions on which we would remain neutral. He even suggested that the integrity of France and her colonies might be guaranteed. I said that I felt obliged to refuse definitely any promise to remain neutral on similar terms, and I could only say that we must keep our hands free. I am, &c., E. GREY. No. 124. Sir F. Bertie to S.ir Edward Grey. (Received August 1.) PARIS, July 31, 1914. (Telegraphic.) On the receipt at 8.30 to-night of your telegram of this afternoon,* I sent a message to Minister for Foreign Affairs requesting to see him. He received me at 10.30 to-night at the Elysee, where a Cabinet Council was being held. He took a note of the inquiry as to the respecting by France of the neutrality of Belgium which you instructed me to make. He told me that a communication had been made to you by the German 'Ambas- sador in London of the intention of Germany to order a genenil mobilisation of her army if Russia do not demobilise at once. He is urgently anxious as to what the attitude of England will be in the circumstances, and begs an answer may be made by His Majesty's Government at the earliest moment possible. Minister for Foreign Affairs also told me that the German Embassy is packing up. See No. 114. No. 125. Sir F. Bertie to Sir Edward Grey. (Received August 1.) PARIS, July 31, 1914. (Telegraphic.) My immediately preceding telegram.* Political Director has brought me the reply of the Minister for Foreign Affairs to your inquiry respecting the neutrality of Belgium. It is as follows * See No. 124. ////: /;/ -A'O/V;.I.V ir.i/,' 137 SESSIONAL PAPER No. 40c French Government are resolved to respect the neutrality of Belgium, and it would only be iu the event of some other Power violating that neutrality that France might find herself under the necessity, in order to assure defence of her own security, ' to act otherwise. This assurance has been given several times. President of the Republic spoke of it to the King of the Belgians, and the French Minister at Brussels has spontaneously renewed the assurance to the Belgian Minister for Foreign Affairs to-day. No. 126. Sir F. Bertie to Sir Edward Grey. (Received August 1.) PARIS, August 1, 1914. (Telegraphic.) I have had conversation with the Political Director, who states that the German Ambassador was informed, on calling at the Ministry of Foreign Affairs this morning, that the French Government failed to comprehend the reason which prompted his communication of yesterday evening. It was pointed out to his Excellency that general mobilisation in Russia had not been ordered until after Austria had decreed a ccneral mobilisation, and that the Russian Government were ready to demobilise if all Powers did likewise. It seemed strange to the French Government that in view of this and of the fact that Russia and Austria were ready to converse, the German Government should have at that moment presented an ultimatum at St. Petersburgh requiring immediate demobilisation by Russia. There were no differences at issue between France and Germany, but the German Ambassador had made a menacing communication to the French Government and had requested an answer the next day, intimating that he would have to break off relations and leave Paris if the reply were not satisfactory. The Ambassador was informed that the French Government considered that this was an extraordinary proceeding. The German Ambassador, who is to see the Minister for Foreign Affairs again this evening, said nothing about demanding his passports, but he stated that he had packed up. No. 127. Sir M. de Bunsen to Sir Edward Grey. (Received August 1.) VIENNA, August 1, 1914. (Telegraphic.) General mobilisation of army and fleet. No. 128. Sir F. Villiers to Sir Edward Grey. (Received August 1.) BRUSSELS, August 1, 1914. (Telegraphic.) Belgian neutrality. The instructions conveyed in your telegram of yesterday* have been acted upon. Belgium expects and desires that other Powers will observe and uphold her neutrality, which she intends to maintain to the utmost of her power. In so informing me. Minister for Foreign Affairs said that, in the event of the violation of the neutrality of their territory, they believed that they were in a position to defend them- * See No. 115. 138 THE Kl-ROI'KA\ WAR 5 GEORGE V., A. 1915 selves against intrusion. The relations between Belgium and her neighbours were excellent, and there was no reason to suspect their intentions; but he thought it well, nevertheless, to be prepared against emergencies. No. 129. Minister of State, Luxemburg, to Sir Edward Grey. (Received August 2.) (Translation.) LUXEMBOURG, 2 aout 1914. LUXKMBURC, August 2, 1914. (Telegraphique.) (Telegraphic.) Ministre d'Etat du Luxembourg The Luxemburg- Minister of State has Eyschen vient de recevoir par 1'interme- just received through the German Minis- diaire du Ministre d'Allemagiie a Luxem- ter in Luxemburg, M. de Buch, a tele- bo urg, M. de Buch, un telegramme du gram from the Chancellor of the German Chancelier de 1'Empire allemand Beth- Empire, Bethmann-Hollweg, to the effect mann-Hollweg disant que les mesures mi- that the military measures taken in litaires a Luxembourg ne constituent pas Luxemburg do not constitute a hostile act un acte hostile centre le Luxembourg, against Luxemburg, but are only intended mais sont uniquement des mesures desti- to insure against a possible attack of a nees a assurer centre 1'attaque eventuelle French army. Full compensation will be d'une armee franchise. L'exploitation des paid to Luxemburg for any damage voies ferrees affermees a 1'Empire Luxem- caused by using the railways which are bourg recevra complete indemnhe pour leased to the Empire, dommages eventuels. No. 130. Sir Edward Grey to Sir E. GoscJien. FOIIKHIN OKKICK. August 1, 1914. (Telegraphic.) We are informed that authorities at Hamburg have forcibly detained steamers belonging to the Great Central Company and other British Merchant-ships. I cannot ascertain on what grounds the detention of British ships has been ordered. You should request German Government to send immediate orders that they should be allowed to proceed without delay. The effect on public opinion here will be deplorable unless this is done. His Majesty's Government, on their side, are most anxious to avoid any incident of an aggressive nature, and the German Government, will, I hope, be equally careful not to take any step which would make the situation between us impossible. No. 131. Sir Edward Grey to Sir E. GosrJien. F.>UK:I:\ On UK, August 1, 1914. (Telegraphic.) I still believe that it might be possible to secure pea--e if only a little respite in time ran l>e gained before any Great Power begins war. THK Kl'RO /'/v. LY WAR 139 SESSIONAL PAPER No. 40c The Ri s-ian Government has communicated to me the readiness of Austria to discuss with Russia and the readiness of Austria to accept a basis of mediation which is not open to the objections raised in regard 'to the formula which Russia originally suggested. Things ought not to be hopeless so long as Austria and Russia are ready to converse, and I hope that German Government may be able to make use of the Russian communications referred to above, in order to avoid tension. His Majesty's Government are carefully abstaining from any act which may precipitate matters. No. 132. Sir Edward Grey to Sir E. Goschen. FOREIGN OFFICE, August 1, 1914. (Telegraphic.) Following telegram from Mr. Sazonof to Count Benckendorff of the 31st July communicated to me to-day : "(Urgent.) " Formule amendee conferment a la proposition anglaise : ' Si Autriche consent a arreter la marche de ses troupes sur le territoire serbe et si, reconnaissant que le conflit austro-serge a assume le caractere d'uiie question d'interet europeen, elle admet que les Grandes Puissances examiiient la satisfaction que la Serbie pourrait accorder au Gouvernement austro-hongrois sans laisser porter atteinte a des droits d'Etat souverain et a son independance, la Russie s'engage a conserver ?on attitude expectante". TRANSLATION ''Formula amended in accordance with the English proposal: "If Austria consents to stay the march of her troops in Servian territory, and if recognising that the Austro-Servian conflict has assumed the character of a question of European interest, she admits that the Great Power? may examine the satisfaction which Servia can accord to the Austro-Hungarian Government without injury to her sovereign rights a> a State and to her independence, Russia undertakes to preserve her waiting attitude." (Above communicated to all Powers.) No. 133. Sir Edward Grey to Sir E. Goschen. (Telegraphic.) FOREIGN OFFICE, August 1, 1914. M. de Etter came to-day to communicate the contents of a telegram from M. f, dated the 31st July, which are as follow: " The Austro-Hungarian Ambassador declared the readiness of his Gov- ernment to discuss the substance of the Austrian ultimatum to Servia. M. Sazonoft' replied by expressing his satisfaction, and said it was desirable that the discussions should take place in London with the participation of the Great Powers. " M. Sazonoff hoped that the British Government would assume the direc- tion of these discussions. The whole of Europe would be thankful to them. It would be very important that Austria should meanwhile put a stop pro- visionally to her military action on Servian territory." (The above has been communicated to the six Powers.) 140 Tin: 1:1 i;oi'i:.\\ in/,' 5 GEORGE V., A. 1915 No. 134. Fir F. Bertie to Sir Edward Gr^y.-^(Eeceived August 1.) (Telegraphic.) PARIS, August 1, 1914. President of the Republic lias informed me that German Government we:e trying to saddle Russia with the responsibility; that it was only after a decree of general mobilisation had been issued in Austria that the Emperor of Russia ordered a general mobilisation; that, although the measures which the German Government have already taken are in effect a general mobilisation they arc not so designated; that a French general mobilisation will become necessary in self-defence, and that France is already forty-eight hours behind Germany as regards German military preparations; that the French troops have orders not to go nearer to the German frontier than a distance of 10 kilom. so as to avoid any grounds for accusations of provocation to Germany, whereas the German troops, on the other hand, are actually on the French frontier and have made incursions on it; that, notwithstanding mobili- sations, the Emperor of Russia has expressed himself ready to continue his conversa- tions with the German Ambassador with a view to preserving the peace; that French Government, whose wishes are markedly pacific, sincerely desire the preservation of peace and not quite despair, even now, of its being possible to avoid war. No. 135. * Sir Edward Grey to Sir G. Buchanan . (Telegraphic.) FOREIGN OFFICH, August 1, 1914. Information reaches me from a most reliable source that Aiir-triun Government have informed German- Government that though the situation has been changed by the mobilisation of Ru-sia they would in full appreciation of the efforts of England for the preservation of peace be ready to consider favourably my proposal for media' tion between Austria and Servia. The understanding of this acceptance would natu- rally be that the Austrian military action against Servia would continue for the present, and that the British Government would urge upon Russian Government to stop the mobilisation of troops directed against Austria, in which case Austria would naturally cancel those defensive counter-measures in Galicia, which have been force 1 upon Austria by Russian mobilisation. You should inform ^Minister f6r Foreign Affairs and say that if, in the con-id- oration of the acceptance of mediation by Austria, Russia can agree tu stop mobili- sation, it appears still to be possible to preserve peace. Presumably the matter should be discussed with German Government, also by Russian Government. No. 136. Sir F. Bertie to Sir Edward Grey. (Received August 7.) (Telegraphic.) I 'AIMS, August 1, 1914. Minister of War informed military attache this afternoon that orders had In n pi ven at :?.40 for a general mobilisation of the French army. This !'<;im ne-e-ary because the ^Minister of War knows that, under the -y-tcm of " Kriegszustand,' the Germans have called up >ix classes. Three cla--. - . n >;iflicient to briny iln ir covering troops up to war strength, the remaining three heing ilie reserve 1 . This, he says, being tantamount to mobilisation, is mobilisation under another name. THE /.TA'O/'AM.Y \Y.\R 141 oESSIONAL PAPER No. 40c The French forces On the frontier have opposed to them eight army corps on a war footing, mid an attack is expected at any moment. It is, therefore, of the utmost importance to guard against this. A zone of 10 kilom. lias been left between the French troops and German frontier. The French troops will not attack, and the Minister of War is anxious that it should be explained that this act of ruobilisation is one for purely defensive purposes. No. 137. Sir Edward Grey to Sir M. de Bunsen. (Telegraphic.) FOREIGN OFFICE, August 1, 1914. I saw the Austro-Hungarian Ambassador this morning. He supplied me with the substance of a telegram which the Austin-Hungarian Minister of Foreign Affaiis had sent to the Austrian Ambassador in Paris. In this telegram His Excellency w..s given instructions to assure the French Minister for Foreign Affairs that there was no intention in the minds of the Austro-Hungarian Government to impair the sove- reign rights of Servia or to obtain territorial aggrandisement. The Ambassador added that he was further instructed to inform the French Minister for Foreign Affairs that there was no truth in the report which had been published in Paris to the effect that Austria-Hungary intended to occupy the sanjak. Count Mensdorff called again later at the Foreign Office. He informed me of a telegram sent yesterday to the Austro-Hungarian Ambassador at St. Petersburgh by Count Berchtold, and gave me the substance. It states that Count Berchtold begged the Russian Ambassador, whom he sent for yesterday, to do his best to remove the wholly erroneous impression in St. Petersburgh that the "door had been banged" by Austria-Hungary on all further conversations. The Russian Ambassador promised to do this. Count BerchtoM repeated on this occasion to the Russian Ambassador the assurance which had already been given at St. Petersburgh, to the effect that neither an infraction of Servian sovereign rights nor the acquisition of Servian territory was being contemplated by Austria-Hungary. Special attention was called by Count Mensdorff to the fact that this telegram contains a statement to the effect that conversations at St. Petersburgh had not been broken off by Austria-Hungary. No. 138. Sir E. Goschen to Sir Edward Grey.- -(Received August #.) (Telegraphic.) ' BERLIX, August 1, 1914. Your telegram of to-day.* I have communicated the substance of the above telegram to the Secretary of State for Foreign Affairs, and spent a long time arguing with him that the chief dispute was between Austria and Russia, and that Germany was only drawn in r.s Austria's ally. If therefore Austria and Russia were, as was evident, ready to discus-- matters and Germany did not desire war on her own account, it seemed to me only logical that Germany should hold her hand and continue to work for a peaceful settlement. Secretary of State for Foreign Affairs said that Austria's readiness to discuss was the result of German influence at Vienna, and, had not Russia- mobilised against Germany, all would have been well. But Russia by abstaining from answer- ing Germany's demand that she should dem<. -inline, had caused Germany to mobilise also. Russia had said that her mobilisation did not necessarily imply war, and that * See No. 131. 142 THE r:riforf:.i\ WAR 5 GEORGE V., A. 1915 she could perfectly well remain mobilised for months without making war. This was not the case with Germany. She had the speed and Russia had the numbers, and the safety of the German Empire forbade that Germany should allow Russia time to bring up masses of troops from all parts of her wide dominions. The situation now was that, though the Imperial Government had allowed her several hours beyond the specified time, Russia had sent no answer. Germany had therefore ordered mobilisation, and the German representative at St. Petersburgh had been instructed within a certain time to inform the Russian Government that the Imperial Govern- ment must regard their refusal to answer as creating a state of war. No. 139. Sir G. Buchanan to Sir Edward Grey. (Received A ugust 2.) (Telegraphic.) ST. PETKUSIH itcii. August 1, 1914. "My telegram of 31st July.* The Emperor of Russia read his telegram to the German Emperor to the German Ambassador at the audience given to his Excellency yesterday. Xo progress whatever was made. In the evening M. Sazonof had an interview with the Austrian Ambassador who, not being definitely instructed by his Government, did his best to deflect the conversa- tion towards a general discussion of the relations between Ajistria-Hungary and Russia instead of keeping to the question of Servia. In reply the Minister for Foreign Affairs expressed his desire that these relations "should remain friendly, and said that, taken in general, they were perfectly satisfactory; but the real question which they had to solve at this moment was whether Austria was to crush Servia and to reduce her to the status of a vassal, or whether she was to leave Servia a free and independent State. In these circumstances, while the Servian question was unsolved, the abstract discussion of the relations between Austria-Hungary and Russia was a waste of time. The only place where a successful discussion of this question could be expected was London, and any such discussion was being made impossible by the action of Austria- Hungary in subjecting Belgrade, a virtually unfortified town, to bombardment. M. Sazonof informed the French Ambassador and myself this morning of his conversation with the Austrian Ambassador. He went on to say that during the Balkan crisis he had made it clear to the Austrian Government that war with Rnia must inevitably follow an Austrian attack on Servia. It was clear that Austrian domination of Servia was as intolerable for Russia as the dependence of the Nether- lands on Germany would be to Great Britain. It was, in fact, for Russia a question of life and death. The policy of Austria had throughout been both tortuous and im- moral, and she thought that she could treat Russia with defiance, secure in the support of her German ally. Similarly the policy of Germany had been an equivocal and double-iaced policy, and it mattered little whether the German Government knew or did not know the terms of the Austrian ultimatum; what mattered was that her intervention with the Austrian Government had been postponed until the moment had passed when its influence would have been felt. Germany was unfortunate in \\rr representatives in Vienna and St. Petersburgh: the former was a violent Russophobe who had urged Austria on, the latter had reported to his Government that Rin-i.i would never go to war. M. Sazanof was completely weary of the ceasele-- endeavours he had made to avoid a war. No suggestion held out to him had been refused. He had accepted the proposal for a conference of four, for mediation by Great Britain and Italy, for direct conversation between Austria and Russia; but Germany and Austria-Hungary had either rendered these attempts for peace ineffective by evasive, replies or had refused them altogether. The action of the A u-tm Hungarian Govern- ment and the German preparations had forced the lius-ian ( \\ eminent to order mobilisation, and the mobilisation of Germany had created a desperate situation. * See No. 120. THE ErR<>ri:\\ WAR 143 SESSIONAL PAPER No. 40c M. Sazonof added that the formula, of which the text is contained in my telegram of 31st July,* had been forwarded by the Kussian Government to Vienna, and he would adhere to it if you could obtain its acceptance before the frontier was crossed by German troops. In no ea^e would Ru^ia In^hi hostilities first. I now see no possibility of a general war being avoided unless the agreement of France and Germany can be obtained to keep their armies mobilised on their own sides of the frontier, as Russia has expressed her readiness to do, pending a last attempt to reach a settlement of the present crisis. * See No. 120. No. 140. Sir F. Bertie to Sir Edward Grey. (Received August 1.) (Telegraphic.) PARIS, August 1, 1914. The Minister of War again sent for the military attache this evening, as he said he wished to keep him informed of the situation. He laid great stress on the fact that the zone of 10 kilom. which he had arranged between the French troops and the German frontier, and which was still occupied by peasants, was a proof of the French endeavours to commit no provocative act. No. 141. Sir M. de Bunsen to Sir Edward Grey. (Received August 2.) (Telegraphic.) VIENNA, August 1, 1914. I am to be received to-morrow by Minister for Foreign Affairs. This afternoon he is to see the French and Russian Ambassadors. I have just been informed by the Russian Ambassador of German ultimatum requiring that Russia should demobilise within twelve hours. On being asked by the Russian Minister for Foreign Affairs whether the inevitable refusal of Russia to yield to this curt summons meant war, the German Ambassador replied that Germany would be forced to mobilise if Russia refused. Russian Ambassador at Vienna thinks that war is almost inevitable, and that mobilisation is too expensive to be kept for long, Germany will attack Russia at once. He says that the so-called mobilisation of Russia amounted to nothing more than that Russia had taken military measures corresponding to those taken by Germany. There seems to be even gi-eater tension between Germany and Russia than there is between Austria and Russia. Russia would, according to the Russian Ambas- sador, be satisfied even now with assurance respecting Servian integrity and inde- pendence. He says that Russia had no intention to attack Austria. He is going again to-day to point out to the Minister of Foreign Affairs that most terrific con- sequences must ensue from refusal to make this slight concession. This time Russia would fight to the last extremity. I agree with his Excellency that the German Ambassador at Vienna desired war from the first, and that his strong personal bias probably coloured his action here. The Russian Ambassador is convinced that the German Government also desired war from the first. It is the intention of the French Ambassador to speak earnestly to the Minister for Foreign Affairs to-day on the extreme danger, of the situation, and to ask whether proposals to serve as a basis of mediation from any quarter are being considered. There is great anxiety to know what England will do. I fear that nothing can alter the determination of Austro-Hungarian Government to proceed on their present course, if they have made up their mind with the approval of Germany. 144 THE 1:1 i:oi'i:.\\ WAR 5 GEORGE V., A. !9i5 No. 142. Sir E. Goschen to Sir Edward Grey. (Received August 2.) (Telegraphic.) BERLIN, August 1, 1914. Orders have just Ixcu issued for the general mobilisation of the navy and army, the first day of mobilisation to be ilnd August. No. 143. Sir E. Goschen to Sir Edward Grey. (Received August 2.) (Telegraphic.) BERLIN, August 1, 1914. Detention of British merchant ship at Hamburg. Your telegram of 1st August* acted on. Secretary of State, who expressed the greatest surprise and annoyance, has promised to send orders at once to allow steamers to proceed without delay. * See No. 130. No. 144. Sir E. Goschen to Sir Edward Grey. (Received August 2.) (Telegraphic.) BERLIN, August 2, 1914. Secretary of State has just informed me that, owing to certain Russian troops having crossed frontier, Germany and Russia are now in a state of war. No. 145. Sir E. Goschen to Sir Edward Grey. (Received August 2.) (Telegraphic.) BERLIN, August 2, 1914. My telegram of 1st August.* Secretary of State informs me that orders were sent last night to allow British ships in Hamburg to proceed on their way. He says that this must be regarded as a special favour to His Majesty's Government, as no other foreign ships have l'// F. Vi liters to Sir Edward Grey. (Received Aiujuxt 2.) ri'i it-graphic.) BRUSSELS, August 2, 1914. The news that a German force has entered Grand Duchy of Luxemburg has been officially confirmed to tbe Belgian Government. THE EUROPEAN WAR 145 -SESSIONAL PAPER No. 40c No. 147. Minister of State, Luxemburg, to Sir Edward Grey. (Received August S.) (Telegraphique.) LUXEMBOURG, le 2 aout 1914. J'ai I'honneur de porter a la connais- sance de votre Excellence les faits sui- vante: Dimanche, 2 aout, de grand matin, les troupes allemandes, d'apres les infor- mations qui sont parvenues au Gouver- ncment G'rand ducal a 1'heure actuelle, ont penetre sur le territoire luxembour- geois par les ponts de Wasserbillig et de Remich, se dirigeant specialement vers le sud du pays et vers la ville de Luxem- bourg, capitale du Grand Duche. Un certain nombre de trains blindes avec des troupes et des munitions ont ete achemi- nes par la voie de chemiri de fer de Was- serbillig a Luxembourg, et 1'on s'attend de les voir arriver. D'un instant a 1'autre, ces faits- impliqiuent des actes manifeste- ment contraire a la neutralite du Grand Duche garnntie par le Traite de Londres de 1867. Le Gouvernement luxembour- geois n'a pas manque de protester energi- quement contre cette agression aupres des representants de Sa 'Majeste 1'Empereur d'Allemagne a Luxembourg. Tine protes- tation identique va etre transmise telegra- phiquement au Secretaire d'Etat pour les Affaires Etrangeres a Berlin. (Translation.) LUXEMBURG, August 2, 1914. (Telegraphic.) I have the honour to bring to your Excellency's notice the following facts: On Sunday, the 2nd August, very early, the German troops, according to the in- formation which ha-s up to now reached the Grand Ducal Government, penetrated into Luxemburg territory by the bridges of Wasserbillig and Remich, and pro- ceeded particularly towards the south and in the direction of Luxemburg, the capi- tal of the Grand Duchy. A certain num- ber of armoured trains with troops . and ammunition have been sent along the railway line from Wasserbillig to Luxem- burg, -where their arrival is expected. These occurrences constitute acts which are manifestly contrary to the neutrality of the Grand Duchy as guaranteed by the Treaty of London of 1867. The Luxemburg Government have not failed to address an energetic protest against this aggression to the representatives of His Majesty the German Emperor at Luxemburg. An identical protest will be sent by telegraph to the Secretary of State for Foreign Affairs at Berlin. No. 148. Sir Edward Grey to Sir F. Bertie. (Telegraphic.) FOREIGN OFFICE, August 2, 1914. After the Cabinet this morning I gave M. Cambon the following memorandum: "I am authorised to give an assurance that, if the German fleet comes into the Channel or through the North Sea to undertake hostile operations against French coasts or shipping, the British fleet will give all the protection in its power. " This assurance is of course subject to the policy of His Majesty's Government receiving the support of Parliament, and must not be taken as binding His Majesty's Government to take any action until the above contingency of action by the German fleet takes place." I pointed out that we had very large questions and most difficult issues to con- sider, and that Government felt that they could not bind themselves to declare war upon Germany necessarily if war broke out between France and Germany to-morrow, but it was essential to the French Government, whose fleet had long been concentrated in the Mediterranean, to know how to make their dispositions with their north coast entirely undefended. We therefore thought it necessary to give them this assurance. It did not bind us to go to war with Germany unless the German fleet took the action 4010 146 THE i-:rr;or'-:A\ WAR 5 GEORGE V., A. 1915 /idicated, but it did give a security to France that would enable her to settle the disposition of her own Mediterranean fleet. M. Cambon asked me about the violation of Luxemburg. I told him the doctrine on that point laid down by Lord Derby and Lord Clarendon in 1867. He asked me what we should say about the violation of the neutrality of Belgium. I said that was a much more important matter; we were considering what statement we should make in Parliament to-morrow in effect, whether we should declare violation of Belgian neutrality to be a casus belli. I told him what had been said to the German Ambas- sador on this point. No. 149. Sir Edward Grey to Sir E. GoscJten. (Telegraphic.) FOREIGN OFFICE, August 2, 1914. Your telegram of 1st August.* I regret to learn that 100 tons of sugar was compulsorily unloaded from the British steamship " Sappho " at Hamburg and detained. Similar action appears to have been taken with regard to other British vessels loaded with sugar. You should inform Secretary of State that, for reasons stated in my telegram of 1st August,f I most earnestV trust that the orders already sent to Hamburg to allow the clearance of British ships covers also the release of their cargoes, the deten- tion of which cannot be justified. * See No. 143. t See No. 13TO. No. 150. Sir E. Goschen to Sir Edward Grey. (Receii-r./J. August 3.) (Telegraphic.) BERLIN,' August 3, 1914. Your telegram of 2nd August*: Detention of British ships at Hamburg. No information available. See No. 149. No. 151. Sir F. Villiers to Sir Edward Grey. (Received August S.) (Telegraphic.) m BRUSSELS, August 3, 1014. French Government have offered through their military attache the support of five French army corps to the Belgian Government. Following reply has boon received to-day: " We are sincerely grateful to the French Government for offering eventual support. In the actual circumstances, however, we do not propose to appeal to the guarantee of the Powers. Belgian Government will decide later on the action which they may think it necessary to take." No. 152. Sir Edward Grey to Sir F. Bertie. FOREIGN OFFICE, August 3, 1914. Sir, On the 1st instant the French Ambassador made the following communi- cation : THE EUROPEAN WAR 147 SESSIONAL PAPER No. 40c " In reply to the German Government's intimation of the fact that ulti- matums had been presented to France and Russia, and to the question as to what were the intentions of Italy, the Marquis di San GuiHano replied: " ' The war undertaken by Austria, and the consequences which might result, had in the words of the German Ambassador himself, an aggressive object. Both were therefore in conflict with the purely defensive character of the Triple Alliance, and in such circumstances Italy would remain neutral.' " In making this communication, M. Cambon was instructed to lay stress upon the Italian declaratipn that the present war was not a defensive but an aggressive war, and that, for this reason, the casus fcederis under the terms of the Triple Alliance did not arise, I am, &c., E. GEEY. No. 153. Sir Edward Grey to Sir E. Goschen. (Telegraphic.) FOREIGN OFFICE, August 4, 1914. The King of the Belgians has made an appeal to His Majesty the King for diplomatic intervention on behalf of Belgium in the following terms : '' Remembering the numerous proofs of your Majesty's friendship and that of your predecessor, and the friendly attitude of England in 1870 and the proof of friendship you have just given us again, I make a supreme appeal to the diplomatic intervention of your Majesty's Government to safeguard the integ- rity of Belgium." His Majesty's Government are also informed that the German Government has delivered to the Belgian Government a note proposing friendly neutrality entailing free passage through Belgian territory, and promising to maintain the independence and integrity of the kingdom and its possessions at the conclusion of peace, threaten- ing in case of refusal to treat Belgium as an enemy. An answer was requested within twelve hours. We also understand that Belgium has categorically refused this as a flagrant violation of the law of nations. His Majesty's Government are bound to protest against this violation of a treaty to which Germany is a party in common with themselves, and must request an assur- ance that the demand made upon Belgium will not be proceeded with and that her neutrality will be respected by Germany. You should ask for an immediate reply. No. 154. Sir F. Villiers to Sir Edward Grey. (Received August 4.) (Telegraphic.) BRUSSELS, August 4, 1914. German Minister has this morning addressed note to Minister for Foreign Affairs stating that as Belgian Government have declined the well-intentioned proposals submitted to them by the Imperial Government, the latter will, deeply to their regret, be compelled to carry out, if necessary by force of arms, the measures considered indispensable in view of the French menaces. No. 155. Sir Edward Grey to Sir F. Villiers. (Telegraphic.) FOREIGN OFFICE, August 4, 1914. You should inform Belgian Government that if pressure is applied to them by Germany to induce them to depart from neutrality, His Majesty's Government expect 40 10i 148 THE EUROPEAN WAR 5 GEORGE V., A. 1915 that they will resist by any means in their power, and that His Majesty's Government will support them in offering such resistance, and that His Majesty's Government in this event are prepared to join Kussia and France, if desired, in offering to the Belgian Government at once common action for the purpose of resisting use of force by Ger- many against them, and a guarantee to maintain their independence and integrity in future years. No. 156. Sir Edward Grey to Sir E. Goschen. (Telegraphic.) FOREIGN OFFICE, August 4, 1914. I continue to receive numerous complaints from British firms as to the detention of their ships at Hamburg, Cuxhaven, and other German ports. This action on the part of the German authorities is totally unjustifiable. It is in direct contravention of international law and of the assurances given to your Excellency by the Imperial Chancellor. You should demand the immediate release of all British ships if such release has not yet been given. No. 157. German Foreign Secretary to Prince Lichnowsky. (Communicated by German Embassy, August ^.) (Telegraphic.) BERLIN, August 4, 1914. Please dispel any mistrust that may subsist on the part of the British Government with regard to our intentions, by repeating most positively formal assurance that, even in the case of armed conflict with Belgium, Germany will, under no pretence whatever : annex Belgian territory. Sincerity of this declaration is borne out by fact that we solemnly pledged our word to Holland strictly to respect her neutrality. It is obvious that we could not profitably annex Belgian territory without making at the same time territorial acquisitions at expense of Holland. Please impress upon Sir E. Gray that German army could not be exposed to French attack across Belgium, which was planned according to absolutely unimpeachable information. German;.* had consequently to disregard Belgian neutrality, it being for her a question of life or death to prevent French advance. No. 158. Sir F. Villiers to Sir Edward Grey. (Received August 4.) (Telegraphic.) BRUSSELS, August 4, 1914. Military attache has been informed at War Office that German troops have enU-ml Belgian territory, and that Liege has been summoned to surrender by small party of Germans who, however, were repulsed. No. 159. Sir Edward Grey to Sir E, Goschen. (Telegraphic.) FOREIGN OFFICE, August 4, 1914. We hear that Germany has addressed note to Belgian Minister for Foreign Affairs stating that German Government will be compelled to carry out, if necessary, by force of arms, the measures considered indispensable. THE EUROPE Ay WAR 149 SESSIONAL PAPER No. 40c We are also informed that Belgian territory has been violated at Gemmenich. In these circumstances, and in view of the fact that Germany declined to give the same assurance respecting Belgium as France gave last week in reply to our request made simultaneously at Berlin and Paris, we must repeat that request, and ask that a satisfactory reply to it and to my telegram of this morning* be received here by 12 o'clock to-night. If not, you are instructed to ask for your passports, and to say that His Majesty's Government feel bound to take all steps in their power to uphold the neutrality of Belgium and the observance of a treaty to which Germany is as much a party as ourselves. See No. 153. 5 GEORGE V. SESSIONAL PAPER No. 40d A. 1915 RETURN (40n the greatest interest of all countries unive'rsal peace. These papers which are now in the hands of hon. Members show something more than that. They show what were the terms which were offered to us in exchange for our neutrality. I trust that not only the Members of this House, but all our fellow-subjects everywhere will read the communications, will read, learn and mark the communications which passed only a week ago to-day between Berlin and London in this matter. The terms by which it was sought to buy our neutrality tire contained in the communication made by the German Chancellor to Sir Edward Goschen on the 29th July, No. 85 of the published Paper. I think I must refer to them for a moment. After referring to the state of things as betweeii Austria and Russia, Sir Edward Goschen goes on: THE EUROPEAN WAR 161 SESSIONAL PAPER No. 40d " He then proceeded to make the following strong bid for British neutral- ity. He said that it was clear, so far as he was able to judge the main prin- ciple which governed British policy, that Great Britain would never stand by and allow France to be crushed in any conflict there might be. That, how- ever, was not the object at which Germany aimed. Provided that neutrality of Great Britain were certain, every assurance would be given to the British Government ''" Let the House observe these words " Aimed at no territorial acquisition at the expense of France should they prove victorious in any war that might ensue." Sir Edward Goschen proceeded to put a very pertinent question: " I questioned His Excellency about the French colonies " What are the French colonies? They mean every part of the dominions and possessions of France outside the geographical area of Europe "and he said that he was unable to give a similar undertaking in that . respect." Let me come to what, in my mind, personally, has always been the crucial and almost the governing consideration, namely, the position of the small States : " As regards Holland, hcrwever, His Excellency said that so long as Germany's adversaries respected the integrity and neutrality of the Nether- lands, Germany was ready to give His Majesty's Government an assurance that she would do likewise." , Then we come to Belgium : " It depended upon the action of France what operations Germany might be forced to enter upon in Belgium, but when the war was over, Belgian integrity would be respected if she had not sided against Germany. Let the House observe the distinction between those two cases. In regard to Holland it was not only independence and integrity but also neutrality; but in regard to Belgium, there was no mention of neutrality at all, nothing but an assurance that after the war came to an end the integrity of Belgium would be respected. Then His Excellency added : "Ever since he had been Chancellor the object of his policy had been to bring about an understanding with England. He trusted that these assur- the assurances I have read out to the House " might form the basis of that understanding which he so much desired." What does that amount to? Let me just ask the House. I do so, not with the object of inflaming passion, certainly not with the object of exciting feeling against Germany, but I do so to vindicate and make clear the position of the British Govern- ment in this matter. What did that proposal amount to? In the first place, it meant this: That behind the back of France they were not made a party to these communications we should have given, if we had assented to that, a free license to Germany to annex, in the event of a successful war, the whole of the extra European dominions and possessions of France. What did it mean as regards Belgium? When she addressed, as she has addressed in these last few days, her moving appeal to us to fulfil our solemn guarantee of her neutrality, what reply should we have given? What reply should we have given to that Belgian appeal? We should have been obliged to say that without her knowledge we had bartered away to the Power threatening her our obligation to keep our plighted word. The House has read, and the country has read, of course, in the last few hours, the most pathetic appeal addressed by the King of Belgium, and I do not envy the man who can read that appeal with an unmoved heart. Belgians are fighting and losing their lives. What 4011 162 TUB EURO PEAS WAR 5 GEORGE V., A. 1915 would have been the position of Great Britain to-day in the face of that spectacle if we had assisted to this infamous proposal ? Yes, and what are we to get in return for the betrayal of our friends and the dishonour of our obligations ? What are we to get in return? A promise nothing more; a promise as to what Germany would do in certain eventualities; a promise, be it observed I am sorry to have to say it, but it must be put upon record given by a Power which was at that very moment announcing its intention to violate its own treaty, and inviting us to do the same. I can only say, if we had dallied or temporized, we, as a Government, should have covered ourselves with dishonour, and we should have betrayed the interests of this country, of which we are trustees. I am glad, and I think the country will be glad, to turn to the reply which my right hon. friend made, and of which I will read to the House two of the more salient passages. This document No. 101 of my Paper, puts on record a week ago the attitude of the British Government, and, as I believe, of the British people. My right hon. friend says: " His Majesty's Government cannot for a moment entertain the Chan- cellor's proposal that they should bind themselves to neutrality on such terms. What he asks in effect is to engage to stand by while French Colonies are taken if France is beaten, so long as Germany does not take French terri- tory as distinct from the Colonies. From the material point of view "- My right hon. Friend, as he always does, used very temperate language: " such a proposal is unaceptable, for France, without further territory in Europe being taken from her, could be so crushed as to lose her position as a great Power, and become subordinate to German policy." That is the material aspect. But he proceeded: " Altogether apart from that, it would be a disgrace for us to make this bargain with Germany at the expense of France, a disgrace from which the good name of this country would never recover. The Chancellor also in effect asks us to bargain away whatever obligation or interest we have as regards the neutrality of Belgium. We could not entertain that bargain either." He then says: " We must preserve our full freedom to act, as circumstances may seem to us to require." And he added, I think, in sentences which I think the House will appreciate: "You should . . . add most earnestly that the one way of maintain- ing the good relations between England and Germany is that they should continue.' to work together to preserve the peace of Europe. . . For that object this Government will work in that way with all sincerity and good-will. "If the peace of Europe can be preserved and the present crisis safely passed, my own endeavour will be to promote some arrangement to which Germany could be a party, by which she could be assured that no aggressive or hostile policy would be pursued against her or her allies by France, Russia, and ourselves, jointly or separately. I have desired this and worked for it"- The statement was never more true "as far as I could, through the last Balkan crisis and Germany having a corresponding object, our relations sensibly improved. The idea has hitherto been too Utopian to form the subject of definite proposals, but if this present crisis, so much more acute than any that Europe has gone through for genera- tions, be safely passed, I am hopeful that the relief and reaction which will follow may make possible some more definite rapprochement between the Powers than has been possible hitherto." That document, in my opinion, states clearly, in temperate and convincing language the attitude of this Government. Can any one who reads it fail to appro- THE EUROPEAN WAR 163 SESSIONAL PAPER No. 40d ciate the tone of obvious sincerity and earnestness which underlies it; can any one honestly doubt that the Government of this country in spite of great provocation and I regard the proposals made to us as proposals which we might have thrown asido without consideration and almost without answer can any one doubt that in spite of great provocation the right hon. gentleman, who had already earned the title and no one ever more deserved it of Peace Maker of Europe, persisted to the very last moment of the last hour in that beneficent but unhappily frustrated pur- pose. I am entitled to say, and I do so on behalf of this country I speak not for a party, 1 speak for the country as a whole that we made every effort any Govern- ment could possibly make for peace. But this war has been forced upon us. What is it we are fighting for? Every one knows, and no one knows better than the Government the terrible incalculable suffering, economic, social, personal and poli- tical, which war, and especially a war between the Great Powers of the world must entail. There is no man amongst us sitting upon this bench in these trying days more trying perhaps than any body of statesmen for a hundred years have had to pass through, there is not a man amongst us who has not, during the whole of that time, had clearly before his vision the almost unequalled suffering which war, even in just cause, must bring about, not only to the peoples who are for the moment living in this country and in the other countries of the world, but to posterity and to the whole prospects of European civilization. Every step we took with that vision before our eye?, and with a sense of responsibility which it is impossible to describe. Unhap- pily, if in spite of all our efforts to keep the peace, and with that full and overpower- ing consciousness of the result, if the issue be decided in favour of war, we have, nevertheless, thought it to be the duty as well as the interest of this country to go to war, the House may be well assured it was because we believe, and I am certain the country will believe, we are unsheathing our sword in a just cause. If I am asked what we are fighting for I reply in two sentences. In the first place to fulfil a solemn international obligation, an obligation which, if it had been entered into between private persons in the ordinary concerns of life, would have been regarded as an obligation not only of law but of honour, which no self-respecting man could possibly have repudiated. I say, secondly, we are fighting to vindicate the principle which, in these days when force, material force, sometimes seems to be the dominant influence and factor in the development of mankind, we are fighting to vindicate the principle that small nationalities are not to be crushed, in defiance of international good faith, by the arbitrary will of a strong and overmastering Power. I do not believe any nation ever entered into a great controversy and this is one of the greatest history will ever know with a clearer conscience and stronger conviction that it is fighting, not for aggression, not for the maintenance even of its own selfish interest, but that it is fighting in defence of principles, the maintenance of which is vital to the civilisation of the world. With a full conviction, not only of the wisdom and justice, but of the obligations which lay upon us to challenge this great issue, we are entering into the struggle. Let us now make sure that all the resources, not only of this United Kingdom, but of the vast Empire of which it is the centre, shall be thrown into the scale, and it is that that object may be adequately secured, that I am now about to ask this Committee to make the very unusual demand upon it to give the Government a Vote of Credit of 100,000,000. I am not going, and I am sure the Committee do not wish it, into the technical distinctions between Votes of Credit and Supplementary Estimates and all the rarities and refinements which arise in that con- nection. There is a much higher point of view than that. If it were necessary, I could justify, upon purely technical grounds, the course we propose to adopt, but I am not going to do so, because I think it would be foreign to the temper and disposition of the Committee. There is one thing to which I do call attention, that is, the Title and Heading of the Bill.. As a rule, in the past Votes of this kind have been taken simply for naval and military operations, but we have thought it right to ask the Com- mittee to give us its confidence in the extension of the traditional area of Votes of 164 THE EUROPEAN WAR 5 GEORGE V.. A. 1915 Credit so that this money which we are asking them to allow us to expend may be applied not only for strictly naval and military operations, but to assist the food sup- plies, promote the continuance of trade, industry, business, and communications, whether by means of insurance or indemnity against risk or otherwise, for the relief of distress, and generally for all expenses arising out of the existence of a state of war. I believe the Committee will agree with us that it was wise to extend the area of the Vote of Credit so as to include all these various matters. It gives the Government a free hand. Of course, the Treasury will account for it, and any expenditure that takes place will be subject to the approval of the House. I think it would be a great pity in fact, a great disaster if, in a crisis of this magnitude, we were not enabled to make provision provision far more neded now than it was under the simpler condi- tions that prevailed in the old days for all the various ramifications and developments of expenditure which the existence of a state of war between the great Powers of Europe must entail on any one of them. I am asking also in my character of Secretary of State for War a position which I held until this morning for a Supplementary Estimate for men for the Army. Perhaps the Committee will allow me for a moment just to say on that personal matter that I took upon myself the office of Secretary of State for War under conditions, upon which I need not go back but which are fresh in the minds of every one, in the hope and with the object that the conditions of things in the Army, which all of us deplored, might speedily be brought to an end and complete confidence re-established. I believe .that is the case; in fact, I know it to be. There is no more loyal and united body, no body in which the spirit and habit of discipline are more deeply ingrained and cherished than in the British Army. Glad as I should have been to continue the work of that office, and I would have done so under normal conditions, it would not be fair to the Army, it would not be just to the country, that any Minister should divide his attention between that Department and another, still less that the First Minister of the Crown, who has to look into the affairs of all departments and who is ultimately respon- sible for the whole policy of the Cabinet, should give, as he could only give, perfunctory attention to the affairs of our Army in a great war. I am very glad to say that a very distinguished soldier and administrator, in the person of Lord Kitchener, with that great public spirit and patriotism that every one would expect from him, at my request stepped into the breach. Lord Kitchener, as every one knows, is not a politician. His association with the Government as a Member of the Cabinet for this purpose must not be taken as in any way identifying him with any set of political opinions. He has, at a great public emergency, responded to a great public call, and I am certain he will have with him, in the discharge of one of the most arduous tasks that has ever fallen upon a Minister, the complete confidence of all parties and all opinions. I am asking on his behalf for the Army, power to increase the number of men of all ranks, in addition to the number already voted, by no less than 500,000. I am certain the Committee will not refuse its sanction, for we are encouraged to ask for it not only by our own sense of the gravity and the necessities of the case, but by the knowledge that India is prepared to send us certainly two Divisions, and that every one of our self-governing Dominions, spontaneously and unasked, has already toudcn-il to the utmost limits of their possibilities, both in men and in money, every help tin -y can afford to the Empire in a moment of need. Sir, the Mother Country must set the example, while she responds with gratitude and affection to those filial overtures from the outlying members of her family. Sir, I will say no more. This is not an occasion for controversial discussion. In all that I have said, I believe I have not gone, either in the statement of our case or in my general description of the provision we think it necessary to make, beyond the strict bounds of truth. It is not my purpose it is not the purpose of any patriotic man to inflame feeling, to indulge in rhetoric, to excite international animosities. The occasion is far too grave for that. We have a great duty to perform, we have a great THE EUROPEAN WAR 165 SESSIONAL PAPER No. 40d trust to fulfil, and confidently we believe that Parliament and the country will enable us to do it. Mr. BOXAR LAW: No Minister has ever fulfilled a duty more responsible or in regard to which the responsibility was more acutely felt than that which has just been fulfilled by the right hon. Gentleman. This is not a time for speech making, and I should have been quite ready to leave the statement which he has given to the Com- mittee as the expression of the view, not of a party but of a nation. But as this, I think, will be the only opportunity which will be given for expressing the views of a large section of this Committee, I feel that I am bound to make clear to the Com- mittee and to the country, what is the attitude of His Majesty's Opposition on this question. There are two things which I desire to impress upon the Committee. The first is that we have dreaded war and have longed for peace as strongly as any Member of this Committee; and the second is that in our belief we are in a state of war against our will, and that we, as a nation, have done everything in our power to prevent such a condition of things arising. When this crisis first arose I confess I was one of those who had the hope that even then, though a European conflagration took place, we might be able to stay out of it. I held that hope strongly, but in a short time I became convinced of this, that into this war we should inevitably be drawn, and that it really was a question, and a question only, whether we should enter it honour- ably or be dragged into it with dishonour. I remember that on the first occasion after the retirement of my right hon. friend, when I had to speak on foreign atiairs, I made this statement, which perhaps is wrong, though I do not think so even yet. I said that if ever war arose between Great Britain and Germany it would not be due to inevitable causes, for I did not believe in inevitable war. I said it would be due to human folly. It is due to human folly, and to human wickedness, but neither the folly nor the wickedness is here. What other course was open to us? It is quite true, as the Foreign Secretary explained to the House the other day, that we were under no formal obligation to take part in such a struggle, but every Member in this House knows that the Entente meant this in the minds of this Government and of every other Govern- ment, that if any of the three Powers were attacked aggressively the others would be expected to step in to give their aid. The question, therefore, to my mind was this : Was this war in any way provoked by those who will now be our allies'? No one who has read the White Paper can hesitate to answer that -question. I am not going to go into it even as fully as the Prime Minister has done, but I would remind the House of this, that in this White Paper is contained the statement made by the German Ambassador, I think, at Vienna, that Russia was not in a condition and could not go to war, and in the same letter are found these words : " As for Germany, she knew very well what she was about in backing up Austria-Hungary in this matter." Every one for years has known that the key to peace or war lay in Berlin. Every one knew it, and at this crisis there is no one who can doubt that Berlin, if it had chosen, could have prevented this terrible conflict. I am afraid that the miscalcula- tion which was made about Brussels was made also about us. The despatch which the right hon. Gentleman referred to is a despatch of a nature that I, at least, believe would not have been addressed to Great Britain if it had been believed that our hands were free, and that we held the position which we had always held before. That, at least, is my belief. Now what does this mean ? We are fighting, as the Prime Minister said, for the honour, and with the honour is bound up always the interest, of our country. But we are fighting also for the whole basis of the civilisation for. which we stand, and for which Europe stands. I do not wish, any more than the Prime Minister, to inflame passion, and I only ask the House to consider this one aspect. Look at the way Belgium is being treated to-day. There is a report if it is not true now, it may be true to- morrow that the city of Liege is attacked by German troops, and that civilians, as in the days of the middle ages, are fighting for their hearths and homes against trained 166 THE EUROPEAN WAR 5 GEORGE V.. A. 1915 troops. How has that been brought about? In a state of war, war must be waged, but remember that this plan is not of to-day or of yesterday. It has been long matured. The Germans knew that they would have others to face, and they were ready to take the course which they took the other day of saying to Belgium, " Destroy your inde- pendence and allow our troops to go through, or we will come down upon you with a might which it is impossible for you to resist." If we had allowed that to be done, our position as one of the great nations of the world, and our honour as one of the nations of the world, would, in my opinion, have been gone. This is no small struggle. This is the greatest, perhaps, that this country has ever been engaged in, and the issue is uncertain. It is Napoleonism once again. Thank heaven, so far as we know, there is no Napoleon. I am not going to say anything more about the causes of the war, for I do not desire to encourage controversy on this subject. But, if I may be allowed to say so, I should like to say this, that I read yesterday with real pleasure an article in a paper which does not generally commend itself to me, the " Manchester Guardian." In that article it still held that the war ought not to have been entered into, but it took this view, that that was a question for history, and that now we were in it, there was only one question for us, and that was to bring it to a successful issue. I have felt sym- pathy, far more than at any other time, for the Prime Minister and for the Foreign Secretary. I can imagine nothing more terrible than that the Foreign Secretary should have a feeling that perhaps he has brought this country into an unnecessary war. No feeling can be worse. I can say this, and whether we are right or wrong, the whole House agrees with it I am sure, that that is a burden which the right hon. gentleman can carry with a good conscience, and that every one of us can put up unhesitatingly this prayer, may God defend the right. I should like, if I may to go to another topic this is the only opportunity I shall have, and I think it is worth saying and to ask the House to consider the conditions under which this war is going to be carried on. I was pleased to hear the Prime Minister say the other day in answer to a speech by the hon. Member (Mr. Arthur Anderson), and he has developed it in describing the terms of this Vote of Credit, that he realised, a3 we all must realise, that in a country situated like ours, the develop- ment of industry and the supply of food at home is just as much an operation of war as is the conduct of our armed forces. I do not wish to minimise our difficulties, but I am quite sure, as sure as I can be of anything, that there is no danger of a scarcity of food, and that the only danger is the fear of scarcity of food. Every one who has been in business knows that what causes panic prices is not actual scarcity at the time, but the fear of scarcity coming, and this is a case where every one of us must do what he can to impress upon the people of this country that there is, as I believe, no danger. Here I should like, if I may, to give one warning note. Remember, at least I believe it, this war, unexpected by us, is not unexpected by our enemy. I shall be greatly sur- prised if we do not find that at first on our tra'de routes there is a destruction of our property which might raise a panic. That is inevitable, I think, at the outset. Let us be prepared for it, and let us realise that it has no bearing whatever on the ultimate course of the war. There is something else which I think, if I am right, it is import mi t to say. We had a discussion yesterday about credit. That is the basis of success ful war, as it is of every branch of industry at this moment. I think the Government have; taken the right course. I have followed it closely, and I know that they have been supported by those who best understand the situation. I think the danger is minimised as much as it can be. But, after all, the question of credit really depends on what we believe is going to be the effect of this war upon our trade and our industry. I hope the House will not think I am too optimistic, but I do think there is a danger of our taking too gloomy a view of what the effects may be, and by taking that gloomy view helping to bring about the very state of affairs that we wish to avoid. Again, I wish to guard myself against seeming to be too hopeful. But let us look at the facts as if we were examining a chess problem. If we keep the command of the THE EUROPE Ay WAR 167 SESSIONAL PAPER No. 40d sea, what is going to happen? It all depends on that. I admit that if that goes the position is gloomy indeed, but of that I have no fear. If we keep the command of the sea, what is going to happen ? Five-sixths of our production is employed in the Home trade. What goes abroad is very important, for, of course, if the population which supplied the sixth were thrown out of work, that would react upon the Home trade. But, after all, the total amount of our exports to all the European countries which are now at war is only a small part of our total exports. There is here no question of fiscal policy. We are far beyond that. It is a fact. Our total exports to all the countries which are now at war do not, in my belief I have not looked into the figures exceed our exports to India and Australia taken alone. We shall have free trade, if the sea routes are maintained, with the Colonies and with the whole of the American Continent, and, un- fortunately for them, both our allies our enemies will not be competing with us in those markets. Look at it as a problem, and I think we have a right to believe, not that trade will be good, but that it will be much more nearly normal than is generally believed. I hope the House will not think that a useless thing to say. There is one thing more which I would desire to say. This is the affair of the Nation. Every one would desire to help. There is a great deal of work to be done which cannot be done by the Government. I was glad that the right hon. gentleman the Prime Minister has already asked the co-operation of my right hon. friend the Member for West- Birmingham and my right hon. friend the Member for the Strand. They gave it gladly. But I am sure that I speak not only for this bench, but for the whole of our party, when I say that the Government has only got to requisition any one of us and we will serve it and our country to the best of our ability. 5 GEORGE V. SESSIONAL PAPER No. 40 A. 1915 DOCUMENTS RELATIVE TO THE EUROPEAN WAR (SUPPLEMENT) DESPATCH FROM HIS MAJESTY'S AMBASSADOR AT BERLIN RESPECTING THE RUPTURE OF DIPLOMATIC RELATIONS WITH THE GERMAN GOVERNMENT, TUI-: i:n: i:.\\ \YAR SESSIONAL PAPER No. 40 DESPATCH FROM HIS MAJESTY'S AMBASSADOR AT BERLIN RESPECTING THE RUPTURE OF DIPLOMATIC RELATIONS WITH THE GERMAN GOVERNMENT. >'// E. Goschen to Sir Edward Grey. LONDON, August 8, 1914. SIR, In accordance with the instructions contained in your telegram of the 4th instant* I called upon the Secretary of State that afternoon and inquired, in the name of His Majesty's Government, whether the Imperial Government would refrain from violating Belgian neutrality. Herr von Jagow at once replied that he was sorry to say that his answer must be " Xo w " as, in consequence of the German troops having crossed the frontier that morning, Belgian neutrality had been already violated. Kerr von Jagow again went into the reasons why the Imperial Government had been obliged to take this step, namely, that they had to advance into France by the quickest and easiest way, so as to be able to get well ahead with their operations and endeavour to strike some decisive blow as early as possible. It was a matter of life and death for them, as if they had gone by the more southern route they could not have hoped, in VK-.V nf the paucity of roads and the strength of the fortresses, to have got through with.tut formidable opposition entailing great loss of time. This loss of time would have meant time gained by the Russians for bringing up their troops to the German frontier. Rapidity of action was the great German asset, while that of Russia was an inexhaustible supply of troops. I pointed out to Herr von Jagow that this fait accompli of the violation of the Belgian frontier rendered, as he would readily under- stand, the situation exceedingly grave, and I asked him whether there was not still time to draw back and avoid possible consequences, which both he and I would deplore. He replied that, for the reasons he had given me, it was now impossible for them to draw back. During the afternoon I received your further telegram of the same date,f and, in compliance with the instructions therein contained, I again proceeded to the Imperial Foreign Office and informed the Secretary of State that unless the Imperial Government could give the assurance by 12 o'clock that night that they would pro- ceed no further with their violation of the Belgian frontier and stop their advance, I had been instructed to demand my passports and inform the Imperial Government that His Majesty's Government would have to take all steps in their power to uphold the neutrality of Belgium and the observance of a treaty to which Germany was as much a party as themselves. Herr von Jagow replied that to his great regret he could give no other answer than that which he had given me earlier in the day, namely, that the safety of the F.mpire rendered it absolutely necessary that the Imperial troops should advance through Belgium. I gave His Excellency a written summary of your telegram and, pointing out that you had mentioned 12 o'clock as the time when His Majesty's Gov- ernment would expect an answer, asked him whether, in view of the terrible conse- quences which would necessarily ensue, it were not possible even at the last moment that their answer should be reconsidered. He replied that if the time given were even 24 hours or more, his answer must be the same. I said that in that case I should have to demand my passports. This interview took place at about 7 o'clock. In a short con- * See "Miscellaneous, Xo. 6 (1914)," No. 153. t See "Miscellaneous, No. 6 (1914)," No. 159. 4 THE ATA'0/V;.4.V WAR 5 GEORGE V.. A. 1915 versation which ensued Herr von Jagow expressed his poignant regret at the crumbling of his entire policy and that of the Chancellor, which had been to make friends with Great Britain and then, through Great Britain, to get closer to France. I said that this sudden end to my work in Berlin was to me also a matter of deep regret and disappointment, but that he must understand that under the circumstances and in view of our engagements. His Majesty's Government could not possibly have acted otherwise than they had done. I then said that I should like to go and see the Chancellor, as it might be, perhaps the last time I should have an opportunity of seeing him. He begged me to do so. 1 found 1 the Chancellor very agitated. His Excellency at once began a harangue, which lasted for about twenty minutes. He said that the step taken by His Majesty's Government was terrible to a degree; just for a word " neutrality/' a word which in war time had so often been disregarded just for a scrap of paper Great Britain was going to make war on a kindred nation who desired nothing better than to be friends with her. All his efforts in that direction 5iad been rendered useless by this last terrible step, and the policy to^which, as I knew, he had devoted himself since his accession to office had tumbled down like a house of cards. What we had done was unthinkable; it was like striking a man from behind while he was fighting for his life against two assailants. He held Great Britain responsible for all the terrible events that might happen. I protested strongly against that state- ment, and said that, in the same way as he and Herr von Jagow wished me to under- stand that for strategical reasons it was a matter of life and death to Germany to advance through Belgium and violate the latter's neutrality, so I would wish him to understand that it was, so to speak, a matter of " life and death " for the honour of Great Britain that she should keep her solemn engagement to do her utmost to defend Belgium's neutrality if attacked. That solemn compact simply had to be kept, or what confidence could any one have in engagements given by Great Britain in the future? The Chancellor said, "But at what price will that compact have been kept. Has the British Government thought of that?" I hinted to His Excellency as plainly as I could that fear of consequences could hardly be regarded as an excuse, for break- ing solemn engagements, but his Excellency was so excited, so evidently overcome by the news of our action, and so little disposed to hear reason that I refrained from adding fuel to the flame by further argument. As I was leaving ho said that the blow of Great Britain joining Germany's enemies was all the greater that almost up to the last moment he and his Government had been working with us and supporting our efforts to maintain peace between Austria and Russia. I said that this was part of the tragedy which saw the two nations fall apart just at the moment when the relations between them had been more friendly and cordial than they had boon for year.-. Unfortunately, notwithstanding our efforts to maintain peace hctwoon Russia and Austria, the war had spread and had brought us face to face with a situation which, if we held to our engagements, we could not possibly .avoid, and which unfortunately entailed our separation from our late fellow-worlcers. He would readily understand that no' one regretted this more than I. After this somewhat painful interview I returned to the embassy and drew up a telegraphic report of what had passed. This telegram was handed in at the Ontral Teflegraph Office a little before 9 p.m. It was accepted by that office, but apparently never despatched.* At about 9.30 p.m. Herr von Zimmermann, the Tinder-Secretary of State, camr to see me. After expressing his deep regret that the very friendly official and personal relations between us were about to cease, he asked me casualty whether a demand for passport* was equivalent to a declaration of war. I said that such an authority on inter- national law as he was knorwn to be must know as well or better than I what was usual in -m-h cases. I added that there were many cases where diplomatic relations h