New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-09-16
BIG CONCESSION FROM CHINA
THE FIRST EVER GRANTED TO FOR
EIGN SYNDICATE.
A CONTRACT THAT MARKS AN EPOCH
IN THE EMPIRES INDUS
TRIAL POLICY.
Try TELEGRAPH TO THE TsIBrHE. J


Washington, Sept 15.-Consul James W. Rags
dale. al Ten n-Tsin, China reports the first con
+ cession ever granted by the imperial Chinese
Government 10 a foreign syndicate by the terms
/ Of which foreigners have the right to open and
7 work mines construct and operate railways. en-
tirely free from Chinese control other than the
payment Of a royalty and conformity with the
general laws Of the empire applica BILE to
foreigners.
on May 2l there were signed, In the presence
of the Ministers of the Tsung iYamen, articles
/ of agreement which ceded TO the Peking Syndi-
cate Limited OF London. the sole right TO open
and work the coal and iron deposits Of Central
and Southern Shansi and the petroleum depos-
its Of the entire province; also the right 10 con
struct and operate all necessary railways TO
main trunk lines and navigable waters for ex-
porting the mining products
AN EPOCH MAKING CONTRACT.
The agreement was signed by orders issued in
imperial edct stamped with the seal of the
! Tsung- Ii Yamen as a visi. 10 sign Of imperial
| sanction and authority and the whole proceed
! ings were verified and ratified by the British
and Italian ministers tn China. The signing OF
this contract marks the most important epoch
| in the Industrial policy Of China The precedent
has been established OF allowing foreigners for
| commercial purposes to own real estate in the
! interior Of China open and operate mines and
construct and maintain railways
There have been many so-called mining con-
cessions granted in China but NOT of them
| is worth the paper II is written
| Of tho railway concess'ons only one-the Bel
! gian syndicate FOR the kng-Hankow Railway
has passed beyond the preliminary stage. and
in none is the syndcat" moro than the financial
! have no voice in the management and not too
! much security for their money As matter of
fact. up to date neither the Belgian syndicate
nor any other syndicate has furnished one cent
/ Of money
THE ARTr LES OF AGREEMENT.
Tho following is synopsis Of the articles ot
/ agreement between thr Pekng syndicate and
/ the Chinese Government
The right % open and work coal and iron de-
posits In certain named districts in the Province
- Shansi and the solo rirht 70 all petroleum,
these rights 20 exist FOR sixty wears. granted.
Private land. are to b. purchased. and
/ Government lands tho syndicate Is ~ pay double
/ the present land tax
All matters of administration, exploitat ton.
nansrenent of employees and finances shall be
controlled boy 'hc Board ~ Directors ~ the Pc
/ King Syndicate Each mine is to have foreign
managers and one Ctinaman 20 arrange dis
| pufes with natives All accounts are to be kept
| by foreign methods but audited annually by
! native ~ China All salaries 20 he paid by
the Peklns Syndicate and all receipts and pay
rents shan be controlled by foreigners.
All damage done 70 private property in pros
peciinr f. 10 to paid for. cemeteries and mortu-
AIRY shrines are not To he disturbed.
The chinese Government IS to receive per
cen, prodvccrs' tax on the actual cos; of ex-
tracing coal. iron or other material The syn
dicate is 20 receive per cent interest on the
capital II the company and 10 per cent shall he
set aside AZ sinking fund with which 10 repay
the capital Of the balance net profit tho Chinese
Government s 10 receive - per cent and the
Peking syndicate - per cent All future coal
or iron mines worked with foreign capital shall
pay the !, per cent producers tax
The Chinese Goternment ls not 70 be held
responsible for lossas
All imported machinery and material shall pay
IL p,r cent the regular maritime customs dues
but No Ikin taxes Mining products exported
from Il seaport shall p1y regular export duty.
TERMINATION OF THE CONTRACT
A. the expiration ~ sixty wears all machinery
plant. buildings. mines railways. etc. revert
gratis ~ the Chinese Government
The syndicate shall establish school If civil
engineering and mining for about twenty Chi
ncse students Chinese may buy shares in the
company dhe Imperial Chinese Government has
reserved $50 O00 worth OF shares for which II
pays In cash the par value,
When Chinese own - per cent ~ the shares
~ any one mino they may redeem the re-
nairder from the syndicate and operate the
mine Private mines now in -neraton may CON
,inue to work or sell out 70 the syndicate.
The syndicate has the right m build all neces-
sarv roads ard bridges open or deepen canals or
rivera and construct all railways 10 connect
mines with main trunk railways ar naviga bic
waters
In case Chinn goes n var the syndicate will
obey the orders NJ tho Chinese Government pro-
hibffing aid To the enemy
sYNDICATES IMMENSE RESOURCES.
The Peking Syndicate is composed Of few
men who control immense capital and who have
obtained the most valuable concessions China
could make The preliminary work has been In
progress for over two years. The concessions
will be worked by the Anglo-Italian syndicate.
with a capital of f6.0OO.0Oo.
Tn, success of this enterprise Is due first TO
tho fact that the syndicate willing to spend
money on the chance of getting concession.
and that after sending their general agent to
China they simply allowed him to manage af
fairs there and kept him supplied with money.
Then the agent. 4. Lussatti, has shown Won
derful tact In dealing with Chinese officials
Judgment In selecting his assistants and in util
,zinp all available means TO success. ana untIr-
Ing perseverance.