The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-04-19

the protocol 1t would appear therefore,
that the idea of extracting an indemnity in
gold from China had not, at the outset, en-
tered into the minds of the foreign powers;
and that such an idea was simply an after
thought on the part Of Great Britain, which
was subsequently adopted by the other
powers-at least such is a warrantable sup
position.
Coming to the text itself of Article Of
the peace protocol, although, as far as the
wording goes, no obvious ambiguity is dis
covered, yet the prominent mention of the
sum of 450.Oo0OO0 taels serves to guide US in
finding out the real intention of the par
ties at the time of signing the instrument.
1t was manifestly the intention of the for
eign powers that China should pay, in GER
tain specified installments. the total sum OF
45O 600 taels or Whereabouts. as an in
demnity, and China understood that inten-
ton to be such. The contingency of China
being eventually called upon to pay a sum
considerably larger than that named had,
it must be admitted, never entered into the
contemplation of the foreign powers. and
this theory is supported by the important
fact that the indemnity amount had not
been arrived at as the result of the sum
but as an utmost limit that it would be
within the capability of China to pay with
out serious embarrassment In the course
of his conversation with the Russian am
bassador, Lord Lansdowne said TO the eff
feet that the British government would OBJ
ject strongly TO raising the total of $4,000
600 taels beyond that sum,zwhich, in their
opinion was a very heavy demand upon the
resources of China. Again his lordship
clearly indicated the stand of Great Brit
ain by declaring, in a memorandum COM
municated to the German and the Japan
csc ambassadors on July Is, 1901, that his
Majestys government were themselves In
favor of reduction of this amount and
that ii was only In Difference to the view or
other powers that they had assented TO the
total of the Chinese indemnities being fixed
at 10000 600 taels. Thus even Great Britain,
who was apparently the first to suggest the
amount being fixed on a gold basis, would
be the last to see the figure being subject
to any considerable increase. Indeed, in fix
ing gold exchanges, the powers little
thought at the time of the dire poten-
TALLY which it harbored. Had such a
thought ever entered into their calculations.
they would no doubt have reconsidered
their decision in this respect, and it is quite
possible they would have agreed to accept
the indemnities in silver.
UNITED STATES MODERATE.
Let us next examine the attitudes of the
different powers at the time when the ne
gotiation was going on. The United States,
Great Britain, Russia and, perhaps, France,
were inclined to accept less than the total
amount Of the proposed indemnity, espe-
cially the first mentioned country, which
advised at the very outset a considerable
moderation. Germany and Russia advo-
Gated an increase to 10 per cent. on import
duties, while France suggested that China
be allowed to collect duties on a gold basis
for the purpose of enabling her to meet
the new obligation. The rest of the powers
had no clearly defined ideas of their own,
contenting to follow the majority. Notwith-
standing these favorable attitudes assumed
at the time by the leading powers, the fact
now remains that China, who is now facing
the disastrous reality OF having on the one
hand the indemnity automatically increased
to extent out of all proportion to the
amount originally fixed, while on the other
being granted only a slight increase on the
import duties woefully incommensurate
with the enlarged liability, is at present
denied relief or assistance from these very
quarters-America excepted-in the one or
the other direction.
1.-THE way for China to proceed now is to
approach Great Britain, as being the coun-
try which has the largest commercial inter-
est in China, with the view of inducing her
to act in concert with America, in propos-
ing to the other powers any possible meas
ures for relief Mention may be made here
of fact which should influence Great
Britain to assume favorable mood Dur
ing the negotiation it had been suggested
by her to the other powers, that the in
demnty bonds should bear interest at the
rate of per cent. for the first year, and
thereafter to increase by II per cent. i'm
each of the two following years. and then
to remain permanently at 4 per cent She
must have been agreeably surprised to find
afterwards that the Chinese plenipotenti-
aries on the question of interest being put
to them. readily agreed to pay interest at 4
per cent. from the first year, which, it may
be seen, had exceeded her previous expec-
tation. Further in the conduct of the ne
gotiations she gave out as one Of her cardi-
nal principles the avoidance of the bank
ruptcy of China. Now is the time for her to
put that principle into practical effect by
devising means to avert the undesired
event, which the operation of the terms of
the indemnity is threatening with an in
creasing degree of certainty
FREDERICK w. EDDY.