The San Francisco call., 1905-08-15


conference to-day were in substance as
follows:
F3rst-Russia;s recognition Of Ja-
pans "P-cPondersting influence ana
special position in Korea, which, Rus-
Sfn henceforth aErecs is outside of her
sphere OF influence, Japan binding her-
self TO recognize the suEerzintS Of the
reiRninE family. hut with the rlSnt 10
give adrfce and assistance TO improve
the civil administration of the empire
secopd-NutuaI obligation 10 eVacu-
atc Hzuchurfa. each 10 SURRENDER al
special priv ilcKes in that provinces mu-
tuaI obligation TO respect the terri
foriaI integrity of China and 10 main
tain the principle Of equal opportunity
for the commerce and industry of all
nations IN that province (the open
door,
Third-The ceHsion TO China of the
Chinese Eastern Railway. from Harbin
southwark.
There was never any question about
the scceptance on the part OF Mr.. de
Yitte Of these articles" the first two
covering in more emphatic form the
contention OF Japan in the diplomatic
struggle which preceded hostilities-
CHINo-JAPANESE UNDERSTANDING.
The railroad. the building OF which
cost Russia an immense sum. estimated
by some at between S100.0o0.000 and
5000 000. 600. is TO go 10 China Japan
and China. therefore. arranged between
themselves the method by which the
former IS 70 be remunerated and
Japan might have a very considerable
portion Of her claim for the expenses
OF the war" liquidated. The railway is
ostensibly the property Of the Russian
Chinese Bank. although built by Gov
ernment money advanced through the
bank. and. since its completion, oper-
sted. managed and protected by the
Russian Government.
Japan cannot take the railroad herself
To place herself in RUssias shoes regard
ing the railroad would be TO militarily con-
troll these provinces Of Manchuria which
she has promised 10 return TO China But
Japan is entitled 10 reimbursement for
the expense 10 which she has-been put in
restoring the railroad below the present
position Of Linevitch's army, rebuilding
the bridges and narrowing the gauge. II
China could not find the money, some
other power or powers might do so and
the road would become hypothecated to
the powers which advanced the money,
as other Chinese roads are TO those who
advanced the money for their construe-
ton.
It was MI de Witte himself who or
ganized the Russo-Chinese Bank in 1895
and who has always been considered the
real organizer Of the Chinese Eastern
Company. Mr.. Berg. the attorney Of the
RussO-Chinese Bank, who owns pracu-
cally all, If not ALL Of the shares Of the
read, is attached 10 the Russian mission.
Both sessions Of the conference to-day
are described as "amicable." There were
several slight Jars, but none of them Sc
rious. The plenipotentiaries are showing
admirable tempers. The change in the
sble for the serenity manifested at the
conference table, but it probably would be
too much to say that the fate of such
gigantic negotia tions had been affected by
q high temperature and a few thousand
mosquitoes.
SAGHALIEN MAY BE DEFERRED.
Tomorrow. in the ordinary proceed
ings. the first stumbling block to a treaty
Of peace should be reached. After Port
Arthur and the leases Of Lsotung. which
are included in article l. and which Mr.
de Witte undoubtedly is prepared, with
slight modihca tlons. to accept. comes ar
Jlcle 5-the cessiOn Of Ssghalien. It is by
no means certain that, when this obstacle
is reached, it will not be postponed until
al the articles Oh which agreement is
easy or possible shall have been disposed
Of. If this course is followed, and the
press has high authority for the opinion
q
sition 10 put of the real struggle to the
very last, and the longer the conference
endures the brighter the prospects OF a
treaty are likely to become.
Every day they sit said a high au-
thOrity. increases the chances Of peace"
Mr.. Sato said tonight that he came to
Portsmouth hopeful of a successful issue
Of the negotiations and nothing had oc-
Cured TO alter his optimism.
The language Of the three articles
adopted to-day will form practically the
text Of the treaty of Washington. if one
be signed, subject, of course, to a final
revision. Each side has agreed TO the ar
ticles and they are included in the pro-
tocols Of each days session, which are
officially signed by the plenipotentiaries
the next morning. In addition to the
minutes kept by each side there is an alb
brevisted record of the discussions. Civ
ing the arguments on every point These
are daily attested, so that when the con-
ference is ended the record Of the pro
ceedings win be complete.
OF course, the agreement. article by
article, does not bind either Russia or
Japan until a final agreement is reached
and the treaty signed. 1t is, however,
significant that Mr.. Sato, while specifcal-
ly stating that be did not speak Of
fcially, gave il as his opinion that each
power had now bound itself to the arti-
cles agreed TO-
RUSSIANS CLAIM 4 VICTORY.
In the discussion of the second article,
covering the evacuation of Manchuria, il
IS positively stated that Russia won
victory Baron KomuTa. il is declared.
wanted TO limit the obligation TO evacuate
Manehuria and to surrender special priv
neges in the province TO Russia, where