[Quoted Jan. 12 From the British

Same subject. Reiterates willingness to participate in international loan on basis of note of Dec. 31.

Same subject. Transmits note of Jan. 12 from the Foreign Office.

Institution of Japanese civil administration in the Leased Territory of Kiaochow. Japanese Vice Minister for Foreign Affairs states that civil administration under jurisdiction of Ministry of War replaces military control, but differs in meaning from Chinese and English interpretation of term. Loan negotiations: Currency reorganization and loan and currency reform. Government lacks authority to make currency loans; inadvisable for private group to participate at present time; immediate decision apparently not required.

Same subject. Minister of Finance approves of participation in loan by French group, but dependent upon cooperation of British group. Attitude of the United States towards political relationships in the Far East. No change in policies; merely defined more clearly by Lansing-Ishii agreement. Railway concessions: Proposed elimination of German interests from the Hukuang Railway enterprise. Suggests recasting of agreements; asks concurrence and participation of American group. Loan negotiations: Currency reorganization and loan and currency reform. Reports probable appointment of Baron Sakatani as adviser to Chinese Government on currency reform; urges completion of arrangements for American participation in loan.

Political affairs. Summarizes situation. Urges attention be given China.

Loan negotiations: Currency reorganization and loan and currency reform. Transmits copies of agreement between the Chinese Government and the Japanese Specie Bank for a second advance of 10,000,000 yen, and statement of advances by the Bank of China. Political affairs. Summary of recent developments. Loan negotiations: Currency reorganization and loan and currency reform. Refers to proposed participation of British group in loan. French group disposed to accept arrangement with reservation. Railway concessions: Proposed elimination of German interests from the Hukuang Railway enterprise. Suggestions of the 5th inst. will have careful consideration. Loan negotiations: Currency reorganization and loan and currency reform. Refers to former discussion of proposed advance to China and states no action has been taken toward organization of American group pending decision to participate by French and British groups. Same subject. Discussion of British, French and U. S. participation in loan to China. Political affairs. Reported that Chang Tso-lin will attempt restoration of Emperor. Same subject. Chang Tso-lin's purpose not to restore Emperor but to oust President. Loan negotiations: Currency reorganization and loan and currency reform. Baron Sakatani contemplates visit to China; commented on financial situation in an interview. Political affairs. President Feng determined to resign; civil war likely if plans of military clique are carried out. Loan negotiations: Currency reorganization and loan and currency reform. Application has been made by various groups for an extension of time on the currency loan option.

Same subject. Decision in loan matter deferred; instruction to inform Chinese Government that Department trusts option will be extended.

9411

quires as to progress in organizing American group and regarding its scope when organized. Same subject. Action on loan situation deferred pending developments; doubtful whether group will be organized in near future. Loan negotiations: Other loans. Transmits list of loans made to the Chinese Government during 1917 and during January 1918. Loan negotiations: Currency reorganization and loan and currency reform. Option under currency loan agreement extended months.

six

Same subject. Japanese Minister urging appointment of Baron Sakatani as financial adviser; France may consent; important that American representative be appointed promptly. Political affairs. Report on the general situation in China during the first quarter of 1918. Loan negotiations: Other loans. Reports opinion of Chinese financiers regarding the two new domestic loans.

Political affairs. Unwarranted destruction and looting by soldiers at Liling. Encloses report of Dr. B. E. Niebel of May 15. Protection of Chinese interests in the Dominican Republic and Haiti by American diplomatic and consular officers. Requests that consent of Governments of Haiti and Dominican Republic be secured for the United States to take charge of Chinese interests and issue passports to Chinese citizens in those countries.

Political affairs. Emphasizes individual responsibility of commanding officers to protect foreigners.

Same subject. Transmits copy of measure for organization of the Southern Military Government, and copy of letter of resignation of Dr. Sun Yat-sen as generalissimo of the Military Government.

Subject

Same subject. Transmits copy of joint note sent May 29 by British, American, and Japanese Ministers to the Central Government, emphasizing individual responsibility of commanding officers to protect foreigners. Same subject. Comments upon cruel behavior of both Northern and Southern troops; transmits despatch of May 16 from the Consul at Changsha, describing unwarranted destruction and looting by soldiers at Liling and enclosing a report by Dr. B. E. Niebel of May 15. Exchange of notes and conclusion of agreements between the Governments of China and Japan relating to military cooperation. Transmits official text of notes. Protection of Chinese interests in the Dominican Republic and Haiti by American diplomatic and consular officers. Requests confirmation of understanding that present privilege of transit through the United States to China will not be affected by new instructions. International financial consortium. Proposes formation of American group composed of private bankers for making loan to China; outlines three projects which offer opportunities for such a group; asks if plan meets with approval. Same subject. Approves of organization of American group, but specifies precautions to protect the Chinese Government against unfair advantage. Same subject. Requests the representatives of certain banks to meet with him to discuss organization of financial consortium and to formulate a definite plan of operation. Political affairs. Report on the general situation in China during the second quarter of 1918. Railway concessions: Protest of Great Britain against the SiemsCarey & Co. contract. Transmits copy of note of Ministry of Foreign Affairs to British Government, in answer to protest against proposed construction by an American corporation of railways in Hupeh and Hunan; Chinese Government holds the former agreement on railways no longer in force.