The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-05-22
No Joint Guarantee of the Proposed
Loan Is Possible, and Britain
VIII Oppose that Method.
ANOTHER SCHEME SUGGESTED
CHINA SHOULD FURNISH BONDS TO
EACH OF THE POWERS,
And Board Should Be Appointed to
Attend to Collection of Taxes and
Payment of the Bonds.

LONDON, May 21-The government was
questioned in the House of Commons to-
day on the subject Of the British tug Ewo
incident at Tien-Tsin, when two Chinese
on board that vessel were fatally shot by
Germans guarding a bridge after the tug
had fouled it, The under foreign secretary,
Lord Cranborne, said Field Marshal Won
Waldersee had expressed his regret and
had promised to take measures to prevent
the recurrence of similar incidents.
Lord Cranborne proceeded to make gen.
eral statement on the Chinese question,
saying the governments chief concern at
present was to moderate so far as possible
the demands tor indemnity and see that
they did not infringe on commercial inter-
ests. The government, therefore, was un-
alterably opposed 10 raising the import
duties to 10 per cent. as security for the
payment of the indemnity, and, in reply to
all such suggestions, had signified that
Great Britain would only consent TO such
a, rise of duties in connection with COM
mercial Improvements in the Chinese fiscal
system such as the abolition OF the likin
taxes. AS TO moderating the total indem-
nifty. there was more ways than one of
achieving that object and China's burden
might be perceptbiy hghtened by the meth
od OF exacting payment. III regard TO the
proposal that the indemnity be betrayed
by loan guaranteed by concert or the
powers, undoubtedly China S obligation 10
pay the indemnity was joint obligation,
and, though he hoped IL would not be neces-
sary, ii such loan was guaranteed II
would have TO be by the joint force OF all
the powers. The objection TO a joint
guarantee was so obvious that the govern
ment would have nothing to do with il.
Considering that British credit stood higher
than that of any other power, while Great
Britain only claimed a small portion of
the indemnify, ii would be nothing short Of
insane 10 agree 10 Jointly guarantee the
loan.
After mentioning that three high-placed
delinquents had been executed, that three
rad been permitted 10 commit suicide, that
four had been banished, and that the pow
ers had demanded the punishment or 10
provincial culprltS, Lord Cranborne con-
cluded by saying on the whole the affairs
of China We're entering on a more pacific
phase and that the government hoped to
soon withdraw large portion of the Brit
ish troops from that country.
Lord Lansdowne, the foreign secretary,
made a statement in the House of Lords
similar TO the one made by Lord Cranborne
In the House of Commons. He said the
government desired to avoid an arrange
mIent for the payment of the indemnity
by which China would be compelled to
contract separate obligations, and could
not agree to a joint guarantee of the loan.
The government, therefore, had suggested
10 the powers that China should give the
powers bonds representing the amount due
TO each of them. These bonds might be
eXtinguished in a term of years by the
payment of the principal and interest. Ger
tain sources of revenue should be ear
marked and the yield be paid to a board
which should distribute it. If China then
made default il would be to the powers
collectively. The government hoped the
powers would be content TO base their de-
mands on common principles and satisfy
them from common sources, and in default
demand payment by common action. The
proposed board would not be concerned in
the imposition or collection of taxes. 1T,
IN pursuance of the suggested plan, pay
ment was exacted from China in bonds at
their face value. and, If possible to ar
range, as Great Britain was prepared to do,
for not enforcing the full amount of thes,
annual payments at once, IT would greatly
improve the position of China and render
1t far easier TO meet her claims than if
driven 10 the expedient of a loan.
In regard to the withdrawal of troops,
the foreign secretary said $500 British
troops would leave Immediately. From the
FIRST Great Britain had indicated an OBJ
lection 70 be drawn into expeditions remote
from Peking. He believed the feeling was
shared by the other powers who desired the
arrival OF the moment when it would BE-
possible 10 withdraw from China.