The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-05-23
MKINI.EY IN CLOSE TOUCH


morrow.
MKINI.EY IN CLOSE TOUCH.
SAN FRANCISCO, May 22-The presi-
dent and Secretary of State Hay have
been in constant communication with
Washington during all their journey
West. Dispatches from foreign embas-
sizes have been continually arriving end
the Chinese situation has received special
attention. The president has been
anxious lest the difficulties thrown in the
way OF an arrangement by the demands
of some of the powers might lead to
definite delay and a consequent increase
of the indemnity to be exacted. The
points to be settled are, first, the total
each power; second, the method of pay
ment.
In regard to the first point the presi-
dent has constantly endeavored to mod
crate the demands of the powers to an
amount which China might pay without
financial ruin or territorial dismember-
ment. He has thought that $500 OO0, 900
was the maximum amount indicated by
the best authorities consulted and he has
proved the Willingness of this government
to make every sacrifice in the interest OF
the integrity of China and tho restora-
tiOn of normal relations by cutting down
our already moderate claim one-half If
other powers would make proportionate
reductions. These propositions have not
been accepted by the other governments,
though Great Britain has sncwn dispo-
sition to a considcrate treatment Of the
matter.
AS to the method Of payment it Is un-
derstood that there are various PROPOSE
tions before the conference Of ministers
in Pekin One is loan to be contracted
by China, guaranteed by the powers,
which it is thought might be floated at
4 per cent, with a commission Of or
per cent another is a loan, not guar
anteed, which would probably require an
enormous commission and a heavy rate
OF interest, some per cent. Neither of
these propositions were acceptable to the
president. Two weeks ago he proposed
that each of the powers should accept
for it's share of the indemnity the bonds
of China at par and with interest at 3
per cent, provision for meeting the inter
est and for eventual payment being taken
from the likin, the salt duties and IN
creased import taxes. Mr. Rockhil has
now been instructed to urge these views
anew upon the attention. of his colleagues.
The attitude of the British government,
as set forth in the recent speeches of it's
representatives in parliament indicate
the Great Britain, though not willing to
go so far as this country in moderating
the demands of the powers, Is inclined
to accept measures which, If adopted,
may bring the negotiations to a conclu-
sion.
ATTITUDE OF GERMANY.
BERLIN, May Pit is author.tat vely
announced that the powers will agree to
require the present Chinese import duties
to be paid in gold which is equivalent to
doubling the duties. The same payment
will also probably be required In the case
of the salt and opium tax.
Germany is apparently averse to in
terfering with the likin dues, since they
are too complicated, requiring too much
administrative machinery and too much
mixing in the internal affairs of China.
Officials here admit the powers are ke-
ly to divide into two groups upon the
method of settlement, some following
Great Britain, in favor of a loan. and
others supporting payment through In
creased revenue. 1t is not expected, how
ever, that a disagreement VII disturb
the present harmonious action
Count Won Waldersee, in a dispatch
from Pekin, made public today, sa 8 Ii
Hung Chang, having decided to take
energetic action against the Boxers along
the southern line of demarcation. his
generals are now operating in conjunc-
tion with Gen. Bailloud and Cart.
Knoerzer
Two companies of the Third (German)
regiment surprised and dispersed 400 es-
capped Boxers fourteen miles northwest
of Pao-Ting-Fu Five Germans were
wounded