on by stating that the grant of the
Charter does not in any way imply the assumption of sovereign rights in
North Borneo, _i.e._, on the part of the British Government.

There the matter rested, but now that the Government is proposing[17] to
include British North Borneo, Brunai and Sarawak under a formal "British
Protectorate," the Netherlands Government is again raising objections,
which they must be perfectly aware are groundless. It will be noted that
the Dutch do not lay any claim to North Borneo themselves, having always
recognized it as pertaining, with the Sulu Archipelago, to the Spanish
Crown. It is only to the presence of the British Government in North
Borneo that any objection is raised. In a "Resolution" of the Minister
of State, Governor-General of Netherlands India, dated 28th February,
1846, occurs the following:--"The parts of Borneo on which the
Netherlands does not exercise any influence are:--

_a._ The States of the Sultan of Brunai or Borneo Proper;

* * * * * *

_b._ The State of the Sultan of the Sulu Islands, having for
boundaries on the West, the River Kimanis, the North and
North-East Coasts as far as 3 deg. N.L., where it is bounded by the
River Atas, forming the extreme frontier towards the North with
the State of Berow dependant on the Netherlands.

_c._ All the islands of the Northern Coasts of Borneo."

Knowing this, Mr. ALFRED DENT put the limit of his cession from Sulu at
the Sibuku River, the South bank of which is in N. Lat. 4 deg. 5'; but
towards the end of 1879, that is, long after the date of the cession,
the Dutch hoisted their flag at Batu Tinagat in N. Lat. 4 deg. 19', thereby
claiming the Sibuko and other rivers ceded by the Sultan of Sulu to the
British Company. The dispute is still under consideration by our Foreign
Office, but in September, 1883, in order to practically assert the
Company's claims, I, as their Governor, had a very pleasant trip in a
very small steam launch and steaming at full speed past two Dutch
gun-boats at anchor, landed at the South bank of the Sibuko, temporarily
hoisted the North Borneo flag, fired a _feu-de-joie_, blazed a tree, and
returning, exchanged visits with the Dutch gun-boats, and entertained
the Dutch Controlleur at dinner. Having carefully given the Commander of
one of the gun-boats the exact bearings of the blazed tree, he proceeded
in hot haste to the spot, and, I