Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1913-03-22
Morgan 'sCombine
Strangles China
BY 3. c. FORBES.

by D. ~ ~ERo-Ss
The Morgan interests claim they were
asked by President Taft to plant an
American financial foot in China. They
responded by planting a spiked boot on
chna's throat.
The Hearst newspapers all along have
protested VehementIy against the stran-
guIatIon of the new republic by the COM
binatlon of International bankers. The
Ubiquitous exactlons of lenders who in
sisted upon being also the spenders have
been held up to condemnation from time
to time. The Six-Power Banking Group,
holding a pistol at chlna's head, original
y demanded abIect surrender. They
sought to force the needy government to
grant the usurers a monopoly for thirty
years, during which the schemers could
virtually dictate the terms China must
pay them for every dollar borrowed. No
other banker or syndicate Of bankers was
to be allowed to do business with Pekin.
The hold.up was so shameful that the
Chinese authorities, beset though they
were with pressing necessities, offered re-
sstance. Their plight aroused worldwide
sympathy, and the sextet was obliged
to modify its terms.
Britons were outraged by the part
played by their government in support
ing the financial plotters, and a sort of
apology, meant to be an explanation, is
sued by the foreign office, did not place
Downing street in any favorable light.
An attempt to intimdate British bankers
into boycotting loan arranged by Birch
Crisp, a brilliant London banker, aroused
intense indignation. In spite Of all OPP
position, however, Crisp succeeded In
floating large loan.
President Wilson has effectively dis
armed the American participants in the
hoId-up. His next step should be-and
doubtless Will be-the speedy recognition
Of the Chinese republican government.
Such action would enhance Chlna's pres
tige and enable her to conduct her fl
nancing on more advantageous terms.
! hear, Indeed, that interests outside
the SlxPower syndicate are perfectly
willing to supply China with funds with
out any governmental guarantee that
United States troops will stand ready to
collect the interest promptly. There are,
fortunately, few bankers not under the
dominance Of the Morgan house. It was
stated last evening that China will be
offered assistance without any demand
for monopoly covering generation TO
come. That the whole Six Power com
binatIon will fall apart is certain. NeI-
ther Russia nor Japan has dollar to
spare for China. Berlin sends a brave
dispatch about going on with the loan,
but everyone In financial circles knows
that Germany Is In monetary straits and
will be lucky If she escapes a collapse
! before another fortnight passes.
"chlnese Crisp" as they call him In
London, Is a wonderful fellow. He used
to be an advertising solicitor for South
African weekly paper published In Lon
don. He was clever beyond ordinary.
I
arena, and he made his mark rapidly.
His methods were not those of the old
school, and at one important Iuncture,
after series of enViable successes, he
ran foul of a London banker of the first
magnitude. This gentleman suddenly no.
thed Crisp that an agreement the two
| had entered into would not be carried
out; in other words, the banker sought
to throw Crisp in hole. Crisp gave him
an hour to write an abIect apology, re-
tract his threat and agree to abide by
the agreement, the alternative being the
laying of the whole facts before the gov
ernors of the Bank of England. The biq
banker capitulated instanter.
This same Crisp will probably figure
| In future financial dealings with China.
He has won his spurs, has demonstrated
his ability to keep pledges in face of
every opposition and is now an mpor-
tant factor in "the city" as Gondon's
financial district is termed.
The Morgan statement is Iaughable.
II paints the bankers as patriots "ready
to serve the administration irrespective
of the heavy risks Involved" There
were risks, but all on Chlna's side.
At last a better day should dawn for
long suffering China. The United States
can help by Immediately recognizing the
! new republic. To do so is not only a
duty, but ought to be a pleasure.