The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1912-09-20
|AAD or STANDARD
| OIL GROUP is SEEN IN
B5O,OOO,OO0tOAA TO CHINA
\. Wendell jackson is Believed
To Be Acting for American
Financial Leaders
Ill FIELDS ARE OBJECT
Concessions Are Given for De-
yelopment of Vast Tracts
! in New Republic

LONDON, Sept. ia. Wendell
ackson, the American who proposes
loan $50,000,00O to China and act
ally is paying over the first $780,
loo instalment OF the money. refused
oday TO say whether the Standard
BIZ Co. Is among his hackers. The
indicate Is international, but can
hot reveal what American interests
ire included In It." was all he would
bay.
In financial circles here It was
strongly the impression, however,
hat the Rockefeller company con-
rolls the group. The London house
BIZ Birch, Crisp & Co., which has re-
fused to make any statement concern
ny the loan, has figured prominently
n the TRANSACTIONS hus far, but imam
eeirs generally look on this as a blind,
aking Il for granted that the Stand.
ard does not want to disclose It's hand
bt present.
II Is certain that during the early
hays of the Chinese provisional gov
ernment, when DR.. Sun Vat Sen was
president and Nankin the capital, the
Standards agent. Roy Anderson, had
the highest of grips on the admins
Grafton.
II is also practically certain that
The money with which the provision
al government finanaced itself during
the first few weeks OF It's existence
came from the Standard Oil source.
In return for what the Standard did
|for the provisional government IT ID
well known that promises were given
|for sucn oil concessions as the stand
ard might want in Szechewan prov
.ince, which experts say will probably
prove, when It's develoment COM
mences. to be the richest oil region
lin the world.
with DIR. Suns retirement, the sue
cession OF Yuan Shi Kai TO the presi-
|dency and the transfer OF the capi-
|tal from Nankin to Pekin the Stand
ard was crowded out OF its posistion
| OF influence and power and the six
Originally the four) powers syndi-
cate, Of which ]. Pierpont Morgan's
international banking corporation
was the American member, became
dominant.
II Is agreed among financiers that
this cannot but have been extremely
displeasing to the Standard. The
transition of China from an outworn
to an up-to-date civilization promised
incalculable profits to whatever in
terest could secure control OF the
nations affairs and there was every
indication that the six-powers syndi-
cate planned to rnonopolize them.
The syndicate had, for the outset,
diplomatic support which gave 1t
practically Official standing. 1t Was
obvious that the new government
would have TO borrow a large sum.
The syndicate was ready to advance
IL but at a rate. which including the
jugglery OF international exchange,
appropriated 10 or IL per cent In
addition to this 1t specified that China
must borrow from no one but the
syndicate and that the syndicate must
be granted supervision fthe taxing
machinery. giving 1t virtual control OF
the government itself
The Chinese refused these terms
and the syndicate accordingly simply
waited, trusting TO time to compel
their surrender In the meantime 1t
undertook to see to 1t that the money
was forthcoming from no other
source. This seeed comparatively
easy by so arranging matters that
no other financiers could secure their
governments pledge. to back them. In
case of default, in enforcing collec.
ton.
What English financiers surmise Is
that the Standard has been quietly
manouevering to overcome these diff
cuities and regain the control wrest-
ed from il by the six power syndi-
cate.