Arizona republican., 1905-08-15
On Which the Russians and
 Japanese Agree
THEY ARE MINOR ONES
The Tug of War May be Reached To- day over the Question of the Ces- sion of Sakhalin. In the Meantime the War is at StandstiII.

Portsmouth N. H., Aug. 14.-Al- though very rapid progress was made with the peace negotiations today, three of the twelve articles which con- stitute the Japanese conditions of peace having been agreed to by M. Witte and Baron Rosen on behalf of Russia, neither of the two articles to which NJ. Witte in his nepIy returned an absolute negative was reached. The crisis. therefore, is still to come. It may be reached tomorrow, as the ces- sion of Sakhalien comes fifth in the list. The three articles" as they are officially designated in the brief com munications authorized to be given to the press. which were disposed of to- day. are in substance as follows:
 First. Russia's recognition of Ja-
 pans "preponderating influence and special position in Korea, which Rus sia henceforth agrees is outside her sphere of influence. Japan binding her self to recognize the suzerainty of the reigning family, but with the right to give advice and assistance to improve the civil administration of the empire. Second-Mutual obligations to evac- uate Manchulia, each to surrender all special privileges in that province,
 mutual obligation to respect the tier ritor'ial integrity" of China and to maintain the principle of equal oppOr- tunity for commerce and industry of all nations in that province (the open door).
 Third. The cession to China of the Chinese Eastern railroad, from Harbin southWard.
 There was never any question about the acceptance on the part of M. Witte of these articles the first two cover , ing in more emphatic form the conten-
 tions of Japan in the diplomatic
 struggle which preceded hostilities. The third is q natural consequence of the result of the war. The cession of the railroad. the building of which l cost Russia an immense sum, estt- mated by some at between $100, 100000 and S2G0. 0.0OO,0O0, Is to go to China. i Japan and China, therefore, will ar 1 range between themselves the method l bv which the former is to be reim- | bursed. and through this financial op- i eration the Japanese might have a very considerable portion of her claim | for the expenses of the war liqul- | dated.
 1 The railroad is osteusibly the prop ! ertv of the Russo-C Chinese bank, al- ! though built by government money advanced through the bank, and since it's completion, operated. managed and
 Doliced by the Russian government.
 Japan cannot take the railroad her
 self. To place herself in Russia $
 shoes regarding the railroad would be
 militariIy to control the destinies or ] the three provinces of Manchurla ] which she has promised t" return to
 China.
 But Japan is entitled to reimburse
 tf vxrh
 been put in restoring the railroad De-
 low the present position of LlneNlIch
 army. rebuilding the bridges and mar
 rowing the gauge. If China could not
 find the money some other power or powers might do so and the road i would become hypothecated to the
 powers which advanced the money as
 other Chinese roads are to those which
 advanced the money for their con struction. It was NJ. Witte himself
 who organized the Russo-Chinese bank in 1895, and who has always been considered the real organizer or the Chinese Eastern company.