Arizona republican., 1905-08-18

and the Picking government and Rus sia.
 Russia has agreed to surrender the road to China and give up her con- sessions obtained in 1898, but China must assent, and her assent means that she must agree to remunerate the Russian government which guaranteed the bonds for the building of the road. Japan also has her claim for the re- building of the road destroyed by the Russian army, the reconstruction of bridges and the change of gauge. The matter remains primarily to be ad- justed by Japan and China and it is not unlikely that the Tokio govern ment is already in communication with the Peking government on the long subject.
 The long dispatch sent by Baron Komura to his government on this subject makes this probable. Possibly an answer from China is essential to a final agreement upon article seven and this may be the true reason for the poStpOnement after the accord ''in principle" had been reached. China's wish to be consulted concerning the articles of the treaty affecting her ter ritory must be respected in this par ticular at least. China may not care to assume the financial burden in | Volved in taking over the road. She certainly could not raise the money without hypothecating the property 1 If Japan is convinced that the road
 will eventually become paying com
 mercial venture, she might, herself,
 advance the money or it might be
 raised for China by an international i syndicate and become part of the sys- i tenn of Chinese imperial railroads. If not, Japan may and probably would for the present step into Rusia's shoes although she has sOlemnly promised China to restore Manchuria and to re-
 tain the railroad would be to retain a i strategical control of the province. 1 The amount Russia will realize is impossible to estimate. It will be only ' a comparatively small fraction of the
 sum poured into it. By the terms of i the concession China had the privdIege i of taking over the road at the end of 1 thirty years upon the repayment of the capital. construction and deficit
 charges. Japan recognized that Rus sia was entitled to some remuneration. 1 But this basis is not known. The Russian claim was founded on the 1 principle of International law that a | belligerent occupying a territory can exercise the right of the use of private l property during the occupation but
 cannot confiscate it as a spoil of war.
 M. Witte, in whose brain was born | the conception of the Chinese Eastern
 railroad, was particularly competent to ! defend the rights of Russia which Rus sia claims is distinctiveIy a private ! corporation, although making no con 1 cealment of the fact that if was backed by the government because of political | consideration. The original concession | obtained in 1899. for the Chinese East Tern. then simply the "cut off through | northern Manchuria, was obtained by 1 the late NJ. Dothstein. director of the
 Russo Chinese bank and Prince Ou- | tomsky and the company formed for i the construction of the road. Tn 1898 after the lease of Port Arthur and 1 Talienwan CDalny) was obtained from | China, the concession for the southern | branch was negotiated. It provided for l a Chinese president of the road, and 1 Shukingchin, who had been the Chi nese minister in St. Petersburg. was
 president until he fell a victim to the
 anti-foreign boxer uprising in 1900.
 The bonds issued with the govern 1 ment guarantee were sold like govern ! ment pour per cent rentes and are now
 in the hands of the banks and general i puDlic Ike regular government Obli- ! gations. Although the loss on opera i tiOn has been heavy the Russo Chinese
 bank always believed it would become
 a remunerative concern. Out of the
 big extraordinary items of expense was
 the necessity of maintaining railroad
 guards. The southern branch which
 now goes to China gave especial pro-
 mise of being very profitable.
 l St. Petersburg, Aug. 17.-General
 Linevitch, telegr aphing under date ot
 Aug. 16. says that the firing of the ] torpedo boats of Vice Admiral Kata-
 tako's squadron near Point LazarevC
 in the Tartary straits ceased on tho
 morning of Aug. 1S, when the vessels l withdrew
 The comm nander in chief reports that
 a part of the Russian force in Koea occupied the Village of Kopungsan af-
 ter a fight. He also reports that :
 number of small skirmishes have oc- 1 cured in Korea, in which the Rus
 sians were successful, in some in
 stances. capturing arms and ammuni- | tion.
 l -O--