The Sentinel=record., 1911-10-29
PEKING IS
 IN A PANIC
BOTH MANCHUS AND CHINESE FEAR MASSACRE AS RESULT
 OF AN EXPECTED BATTLE.
Foreign Residents and Legations Forming Plan for Defe6se-- lmperiaists Win Battle
 Near Hankow.

Picking, Oct. 2s Panic prevails al Picking Both Manchu and Chinese families are taking precautionary measures against immediate disturb ance. The Chinese are alarmed over Ia report that the Manchu garrison Intends to begin massacre if it meets with reverses at the hands or the rebels in the South The Man chis are said also to fear q massacre on the part of the Chinese. Both continue to desert the capital. All trains are crowded and the foreign hanks are receiving deposits and Jumps of silver and gold Foreign business houses within the legation quarter arc receiving treasure checks for safe keeping at enormous rates Iof storage
 Many foreigners living outside the legation quarter arc becoming alarn- ed and are formulating in conjunction with the legations, measures against emergencies
 A fortnight ago when the govern ment began to take drastic measures the Chinese spirit seemed duelled. Now since the defeat Of the imperial ists on Tctoher 20 and other evidences Tof Manchu weaKngss, revolution is talked freely openly Meetings are held in semi-publc hostelries and the police do not interfere. Certain rev. olutionlsts proclaiming themselves emissaries of the general organization have entered fine legation quarters and informed foreigners that Picking is organized and ready for revolt on- Ily awaiting orders from the reyolu- tionary chiefs. They say the entire Chinese element of the garrison is | in sympathy with the movement
 The crumbs of comfort for the Inn lperialists in the face of the situation | is the reported victory of the gov lernment and the success in negotiat- ing foreign loan of $S.000,OO0 to replenish the depleted coffers of the I reigning house.
 The report of the rebel reverse VII received today by Minister of War General Yin Tchang.
 It may dampen the ardor of those who seem ready to go over to the revolutionists. One of the legation al- so has q report from Hankow tonight that the rebels retired before the I'm perialists without serious resistance This causes the belief that Yin ETchang's victoy may have been pre- arranged Upon receipt Of the re- port from the war minister, Yuan Shi Kai immediately issued orders Ithat railway traffic between Picking and Hankow be resumed Monday morning.
 It is thought that Yuan's negotla- tions with the rebels may have pro. vided for the retirement to Han Yang.
 The loan of siS.0o0 00o was arraae- led with Belgian syndicate, having French and British connections, the lprice being 96. with slv per cent ln- lterest The syndicate will received -four per cent commission.
 The financial groups representing tue four nations interested in the railway loan. the United States lGreat Britain. France aud Germany took under adyisement proposition for q loan of ss,ooO,Ooo, but the Unit. ed States flnanciers decided that ths lnresont was an inopportune moment.
 This afternoon the diplomatic body lheld d meeting and considered tht
 request Of tho viceroy of the prov Iince Of Chi u for permission 10 DO
 lice Tien Tsln with troops, which il Icontrary to the international prOtoco of 1902 The ministers. however, de.
 cided to permit the yiceroy to do so
 owing to serious conditions prevail ing. The ministers decided, also t'
 authorize consuIs at Hankow to dea Temporarily with all questions crop lpng up. but the seizure of foreigi Iships carrying anything which ma.
 be called munitions Of war as threat [ ened by rebel leader General Ii y8al , Hang. cannot be permitted.
 s Regarding the appeal of Shangba i business men. through consuls that ] s0 mile zone around Shanghai be de elared neutral. the ministers decline
 Ilo assel( on the ground thaf t va