Los Angeles herald., 1905-08-08
ANXIOUS TO RETAIN HOLD ON
CHINA
MORGAN VISITS ROOSEVELT
Chinese Proposition to Buy Out Rail-
road In Which American Finanoler
Holds Controlling Interest
combated by Europeans
BY Associated Press

| BY Associated Press
OYSTER BAY. Aug. ii. Pierpont
Morgan of New York had a conference
today with President Roosevelt, lasting
an hour and half. The president him
self is authority for the statement that
| 1t related practically entirely to the
case of the Hankow railroad in China
a controlling interest of which is owned
by j. p Morgan & Co. incidentally,
and as relating in a measure to the rail-
road interests held by Americans in
China, the pending peace negotiations
formed a topic of converse ton by the
president and Mr.. Morgan.
Mr. Morgan came to oyster Bay un-
heralded. While his visit was by ap-
pointment nothing concerning it was
permitted to leak through official
sources until after he had gone. He
remained for luncheon with the presi-
dent and Mrs. Roosevelt and for some
time afterward.
The president and Mr.. Morgan dis
eussed fully the Hankow railroad con-
cession. This was not the first time the
subject had been considered by the
president Several months ago the
question was taken up by the president
and his cabinet and considered thor
oughly. An effort is being made by the
Chinese government to purchase the
concession from the American-China
Development company, which owns the
concession. The railroad is now in
operation between Hankow and Cam
ton, a distance of about thirty miles
only, but the company, which lis abso-
lutely controlled by American capital
lists, owns concessions and has made
surveys for several hundred miles of
railroad lines.
Chinese Government Desires to Buy
A proposition has been made by the
Chinese government to the American
China Development company to pur-
chase the Hankow railroad and the ex-
tension concessions. 1t is understood
that the price offered is about $7,0OO,0O0.
Some of the American holders Of the
stock are inclined to accept the pro-
posal, but the European holders, who
have a minority of the stock, insist, as
they claim, in the interest of various
foreign countries, that the road and its
concessions remain under American
control. In behalf of the latter 1t Is
argued that a railroad in the heart of
China, operated by responsible and ag-
gressiVe American business men In con-
nection with the American steamship
lines would be of enormous advantage.
not only to the American producers of
all kinds but to those of the civilized
world generally.
1t is said that King Leopold of BEL
GUM, who owns some of the stock.
takes this view of the situation and is
vigorously opposed to yielding to the
proposition of the Chinese government.
A meeting of the%hoard of directors OF
the Americana China Development CONF.
pany is to be held in Jersey City on the
29th, and it is expected that at that
time a determination will be reached
as to the acceptance of China's offer
No details of the conclusion reached
at the conference between the president
and Mr.. Morgan are obtainable. 4
No information was obtainable either
in relation to the dotation of Russian
loan in this country, in case the envoysI
should reach an agreement which
should render 1t necessary for Russia
to raise considerable sum of money.