The Birmingham age-herald., 1912-09-12
Has Project for Great Sys- tenn of Railways Over
 the Nation
IS SUPPORTED BY iYUAN'S GOVERNMENT
President Invites Provincial Governors to Send Representatives to Con- ference-LlOyd's Loan
 Excites Peking


 for great system of Chinese rail- ways. which holds the foremost place in pr. Sun Tat Sens programme has commanded the support of the Picking government and may involve a great extension of privileges of foreigners with possibilities of an immense in- crease in Chinas foreign trade. The government has authorized Dr. Sun Yat Sen to establish a corporation to carry out system of national railways COW ering territory 70,000 miles in extent. Mixed Chinese and foreign companies will be granted concessions throughout China proper for periods of about 40 years, after which time the lines are to revert to China.
 Similar concessions are to be given to foreigners for intermediate districts. but the railroads in the frontier prov inces will be under exclusively Chinese control and will be financed through foreign loans apart from the other rail- ways.
 Would Open All China
 Dr. Sun Yat Sens proposals, which, however, are thus far without govern ment sanction, include the opening of the whole of China proper to foreign residence. enterrpising foreigners to be amenable to Chinese laws, through special courts.
 French, German and American banks will participate with loyd's bank Tn the new loan to China of $50 900 900, the agreement for which recently was sgned. The terms of this agreement include the starting of bank having its head offices in London and sub ordinate board at Picking. The bank is to be capitalized with $10,000,000, half of which will be subscribed by Chinese. President Yuan Shi Kai proposes to give pr. Sun Yat Sen 30,000 taels (s20,- O00) monthly to promote his scheme of railways throughout China and the pro- sional assembly is expected to agree ;r fhix Dr Sur proposes to borra g abroad. giving the railways as security until the profits will pay the loans, wlIs coupon the lines will become gov ernment property.
 This Is considered a clever political move. for while many sections of the country distrust Yuan Shi Kai recog- nizing only his capability, Sun Yat Sen $ a popular hero, who is most kelly to persuade the nation to accept for eign railway loans, which were actu- nlly the cause of the late revolution.
 Will Hold Conference
 President Yuan has invited each pro- vincial governor to send three repre- sentatiyes to d conference to be held at Picking. hoping to persuade them of the necessity of strong central gov ernment, the inter- provincial ties now I pf persuasion are remarkable. Men come to Peking his enemeis and depart oyalists
 The situation is indicated by the Designation of a member of the assem- bly, who said that the reason for his withdrawal was that the government no longer recognized the assembly. The presidential orders frequently re- semble the imperial edicts of former days. One recently created another Mongolian duke.
 Yuan's cabinet remains obscure and important affaiss are conducted from he presidents office. The acting prem CT Is Chao Ping Chun, president of the board of the Interior, old adherent who emerged from retirement with Yuan Shi Kai.
 The s5o,oo0.000 loan which has just peen negotiated with Lloyd's bank at london is agitatlng Peking. The rep fesentative of the bank here says that | is merely a preliminary loan and hat all funds necessary for the re- Organization of Chinese finances will be forthcoming. There is much skeptic- sm however, with regard to the ulti- nate success of this step. The opinion s expressed that if il is successful the fix nation group of bankers will be broken up. Their counter action is awaited with interest