Omaha daily bee., 1905-08-29
ANTS PAY FOR HALF OF sAKHALlN
Amount of Compensation to Be Fixed BY
Mixed Commission.
.oMUHA GETS INSTRUCTIONS FROM TOXIC
New Basis Of Compromise to Be Submitted
This Morning,
DOVE OF PEACE AGAIN HovERs NEAR
Last Move of NipponeSe VIII Cut
Ground from Under Feet of the
Russians-Skimful work
of Envoys.

PORTSMOUTH. N. H., Aug. &-Tomor-
row morning Baron Komura, acting upon
instructions received from Toxic as re.
suit OF today's meeting Of the cabinet and
elder statesmen" under the direct presi-
| dency of the Emperor of japan, will SUBJ
NIT to NJ Witte a new basis of compromise,
and that the compromise, Il is firmly be-
lieved tonight win ensure peace.
The revelation contained in the Associated
Press exclusive announcement today that
Japan had already Informed Emperor
Nicholas through Ambassador Meyer. that
Japan ready to waive the question OF
| indemnity and submit the price TO be paid
| for the northern half OF Sakhalin TO the
| Judgment Of a mixed commission, prepared
! the way for Japans backdown upon the
main issue. The announcement had been
| the sensation of the day. II had met with
denials high and low. II was decided TO be
| impossible incredible. The Japanese de-
clined to admit It and the Russians said
they had no confirmation. NJ, Witte in
| timated strongly that st. Petersburg had
not appraised him of any such action by the
president
! There was even disposition to ridicule
the idea OF arbtrating the price of half OF
the island. Nevertheless on all hands II
was admitted IL Japan took this position.
| the ground was cut from under Emperor
! Nicholas.
| M Witte by consummate skill in conced-
| Ing all the demands OF Japan involving the
real issues Of the war. had maneuvered his
adversaries into a position where, unless
they abandoned the claim for indemnity,
they could be held responsible for contin-
uing the war for money.
Turn Tables on Russia,
The Japanese, now foregoing the demand
for indemnity, practically turned the tables
| upon Russia and shift the burden back 10
its shoulders II It does not consent to sub
NIT a minor issue to the impartial judg.
ment of tribunal. NJ Witte publicly dis.
sents vigorously from the proposition. and
there Will still be a struggle with Peter
hof, but II Japan tomorrow agrees to for
mally renounce all claims for direct or in.
direct compensation for the expenses of the
war the big stumbling block to peace II out
of the way.
Everything will depend upon the form in
which the proposal Is submitted. Should
the renunciation be so coupled with the
other proposition that Russia could claim
it was still only a disguised demand for
tribute the gulf might only be narrowed,
not bridged. All the private advices that
reach the Russian mission from St. Peters,
burg indicate that the military party is in
sistent that Linevitch be given a chance
and that negotiations be broken of.
Nj. Witte feels the pressure of this senti-
, ment and a man of ambition he may not
feel that he can afford to lay himself open
to the charge that ne is temporizing with
the situation. He has power under his in.
structions to reject out OF hand any propo.
sition involving the payment OF tribute,
He need not consult his imperial master,
He is man of inspiration and he is quite
? capable If the Japanese proposition savora
still Of blood money" - refuse even to
3 accept it for transmission to St. Peters
5 burg.
But such a stroke is not expected. NJ.
Witte knows that public opinion both in
America and in Europe. well as in Rus
STA, would condemn him II he broke OF
!. the negotiations just the way was opened
for a possible accord
Talk of Loan to Russia.
While apparently the real negotiations
leading up to today's denouement were con-
Quoted by the president at oyster Bay, act
ing through Baron Kaneko on the one hand
, and Ambassador Meyer on the other. II is
y now believed that much has been going on
beneath the surface here. Another indica-
tion of the sudden turn in the events was
the arrival here tonight of Frank A. Van
> derlip, vice president of the City National
Z bank OF New York. He is registered at
Il the hotel John Howard" and after din
Nj.
3 there one hour. When asked his mission
!, Mr.. Vanderlp said he was only interested"
y In the situation. He had met NJ. Witte sew
eral years ago when he was at the head OF
the Russian finance ministry, and had also
seen him in New York upon his arrival. He
. had talked with him about the situation and
outlook in Russia, the state OF the negotia-
, tions etc. He evaded inquiries as 10
y whether the subject OF a loan had been
discussed, but considering the Importance
i OF the financial group" OF which the city
National bank is member, and the fact
that the bank took portion Of one OF the
Russian loans, II is fair TO assume that the
question Of finance was not entirely ig-
10 nored.
" Some Of the Japanese were greatly ex-
Ig cied over the reports that the Toxic gov
le ernment had surrendered on the subject
ii OF indemnity. They refused 70 believe IL,
80 declaring, n true, II would cause a tremen-
IS dous outburst Of popular feeling in Japan.
10 Assistant Secretary Peirce received a
d, long cipher message from oyster Bay to-
N night.
to Believe Peace iS Near.
Is ST PETERSBURG, Aug. 29,-3:I5 a. m
w. The Associated Press dispatch from Ports
81 mouth declaring that President Roosevelt
was authorized several days ago, on behalf
OF Japan, to waive all claim for indemnity
= or reimbursement Of the cost OF the war
iR and 10 cede back TO Russia the northern
s. half Of the island OF SaKhalin, leaving the
n redemption price" Of II TO the arbitration
m, OF mixed commission, was received toe
late here last night 10 reach the genera
w public but its significance was instantly
IN, recognized in the quarters where IL became
known.
IN There is every reason 70 believe. judging
or from the oficial expressions persistently
given out by the foreign once since tht
IN beginning Of the negotiations at Ports
N N mouth that this proposition by Japan 4
nd waive the question OF indemnity goes IA
toward removing the last. and, according /,
-" ofhcial explanations, the only stumbling
I'M block in the way OF peace.
The foreign once has saId that aver,