The Sun.
London, England, 1864-01-11 00:00:00

Capt. Osborn assists the Chinese Government in the
command of the fleet he will take the instructions of
the Governors-General and Governors as to the
employment or distribution of the force, in all
operations he is always to confer personally with
those officers before either undertaking or staying
these, and is to accept the Chinese decision as final.*
" 2. Captain Osborn, i❑ the capacity of Assistant
Commander-in-Chief to the Chinese Government,
will receive a commission from the Foreign-office
giving him the requisite powers. The foreign crews
will be duly controlled by him; and in the event of
any individual injuring the people or acting in a
lawless manner, Captain Osborn will exercise due
severity in the punishment of the same, in order to
the sustaining of proper discipline.
" 3. In order to the insuring of beneficial results
from the fleet now purchased by the Chinese Go-
vernment, Chinese sailors, as time and circum-
stances will permit, ought to be chosen for service
on board the steamers, in order that they may be.
come experienced, and that long continued practice
may prevent them from forgetting their duties, and
thereby rendering the fleet useless. The working
of the ships and the management cf the guns and
other arms Captain o.,born and the other comman-
ders will exert themselves to teach to such sailors
in order that they may attain a real acquaintance
with the same.

"4. It is agreed that for the support of the fleet,
consisting of seven steamers and one storeship, there
shall be appropriated the monthly sum of 75,000
taels. This amount is to cover the expense of salaries,
wages, rations, ammunition, coals, rewards, compen-
sations, as well as every other possible and, at the
present time, impossible to be indicated expendi-
ture. The control of the expenditure is confided to
the Inspector-General Lay. The office of Customs
at Shanghai will provide 10,000 taels monthly, the
Kiukiang Customs will provide 10,000 taels monthly,
the Foochow Customs will provide 34,000 taels
monthly, the Amoy Customs will provide 6,000 taels
monthly, the Canton Customs will provide 10,000
taels monthly, and the Swatow Customs will pro-
vide 5,000 taels monthly. In all will be provided
monthly the sum of 75,000 taels, which in the pro-
portions above-mentioned will be received from each
office of Customs by Mr. Lay monthly. Every
three months Mr. Lay will send in an account of
the expenditure to the Foreign cffice, which, in
turn, will communicate the same to the Board of
Revenue. Should there be any surplus money, Mr.
Lay will retain it for future use.
"5. From the 17th day of the 6th moon—that is
from the Ist day of August, it will be the duty of
each of the said officers of Customs to hand over in
full before making any other appropriations from
the duties received, the monthly sum fixed on to
the person appointed by the Inspector-General Lay

to attend at the bank to receive the same. In the
event of the money not being forthcoming, the In-
spector-General Lay will at once proceed to deduct
the same from the duties. For a period of four
years, and for each month during that period, this
rule is to be in force."