254 THE MARITIME CANAL OF SUEZ. 



that the French combination formed for the purpose of raising this 

 large sum, consisted of the Socidte Gdn^rale and the Anglo- 

 Egyptian Bank ; and, that, if the Khedive's proposal was accepted it 

 was proposed to issue Treasury Bonds for the loan, secured on the 

 Canal shares held by the Khedive. 



Upon further telegraphic instructions from the Foreign Minister, 

 the English Consul-General at Cairo proceeded to the Palace of the 

 Khddive, to convey to him the views of the British Government, which 

 considered that it was of great importance to England that the 

 Viceroy's interest in the Suez Canal should not' fall into the hands 

 of a Foreign Power; and, that "Her Majesty's, Government were 

 disposed to purchase the Khddive's shares, provided satisfactory 

 terms could be arranged." In reply to this communication, the 

 Khedive expressed his acknowledgments, that he had every reason 

 to look upon England as the sincere friend of the Egyptian Govern- 

 ment, and that he would prefer seeing the interests of Egypt in 

 the Suez Canal transferred to England, rather than to any other 

 country. 



In the meantime, the French Government had evidently got an 

 inkling of the determination of England to secure possession of the 

 Khedive's shares, so they, therefore, instructed the French Chargi 

 d' Affaires in London, M. Gavard, to proceed to the Foreign Office, 

 and inform Lord Derby of the intention of the Khedive to dispose 

 of his shares to a French Syndicate, and to inquire whether Her 

 Majesty's Government would have any objection to such a transac- 

 tion. The surprise and chagrin of the French Government can be 

 better conceived than described, by the bold and straightforward 

 declarations of Lord Derby ; as his Lordship assured the French 

 Minister, " that the interests of England in the maintenance and 

 proper management of the Canal, forming as it did a portion of the 

 highway between England and her Indian possessions, were much 

 greater than that of any other European nation ;" and, therefore, 

 "the Khedive, in parting with the shares which he now possessed 

 in the Suez Canal Company," to a French combination, would, 

 in his Lordship's opinion, "surrender an important means of in- 

 fluencing the measures taken by the Company and its staff, and as 

 such, England could not look upon such a transaction with in- 

 difference." 



Three days after this conference at the Foreign Office, between 



