The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1909-06-03
WILL RAISE BIG
LOAN FOR China
J. P. Morgan Heads Group Of
Financiers Who Viii Advance
$4,000 900 for Great Railroad.

NEW YORK. June lit was learn
ed In Wall-st today that the real mis-
sion OF the Chinese special envoy.
Tong Shao Ii and his party, who spent
several weeks in Washington last Feb
ruary was 10 borrow a hundred MIL
lion dollars for the Great Szeuchuan
railroad, and II is stated on the same
authority that negotiations are In pro-
gress between group Of New YORK
fnanciers headed by J. p. Morgan and
the Chinese for the conclusion OF this
loan as soon as the Chinese govern
ment gives authority for final negotia-
tons.
The Chinese ENJOYS gave it out that
they were coming to America TO thank
President Roosevelt for RENTING the
Boxer indemnity. Rumors OF pro-
posed Chino-American alliance were
denied, but II is known that Japan
kept a close watch on the visitors
while they were In this country as 1t
was feared some understanding be-
tween this country and China as 10
the control of Manchuria was the OBJ
ject OF the visit.
After the public ceremony OF thank
Ing President Roosevelt hae been
gone through with, the Chinese ENJOYS
established themselves in an elabor-
ate mansion in Washington as though
| they intended to stay a while. Then,
suddenly they announced their mis-
sion was at an end and that they were
going 10 return to China via Europe
for the purpose of studying education
al methods.
Now comes the information that
Yuan ShiKai. who was grand council
| Tor OF China under the dowager en-
press, has sent Tang Shao-L TO the
United States to negotiate the loan.
While Tang and his party were on the
Pacific ocean, both the emperor and
empress died. and Yuan Shi-Kai was
thrown out of power. Tank did not
know whether he still had the power
to negotiate the loan or not. Tang
asked the state department to put
him in touch with the American finan-
ciers who could negotiate. China had
promised the American legation in
1894 that when Kankow-Shechuan
line was built, America would have
the first opportunity TO loan the
money
Elihu Root, then secretary of state.
called on J. p. Morgan and financial
aides and several conferences were
held at Washington. When the terms
were practically arranged the Ameri-
can financier asked whether Tang had
the power 10 sign papers and he re-
piled that the. change of government
in China made IL impossible for him
10 answer. He said that Yuan Khan
Shi. had told him 10 look into the mat
ter or rhe loan and TO arrahse- terms
but that he could not sign any pa
pers.
In order not 10 let the world know
that whatever mission he had on hand
had failed. Tang and his party went 10
Europe But II was generally known
and declared that The Chinese mis-
sion TO the United States had failed" /
and the matter was discussed in the /
Japanese parliament.
Tang went 10 Belgium where he In
financiers in his plan and was
also consulted by German financiers. |
The news from Pekin that the Am
erican department of state had remind /
ed China again OF her promise in 1904 |
Is thought here to have resulted from /
the knowledge that Tang had opened !
for the money In Eu- |
rope.
Root told Tang that America did
not loan money TO foreign governments
for political purposes. but that II
proper assurances could be presented
TO the state department that the loan
was a safe one. the state department
would assure any American financiers
who would be interested.
The prospect Of a large American
loan In China in the near future has
created a stir in Wall-st