The Sentinel=record., 1913-03-19
PRESIDENT WILSON DECLINES TO REQUEST CHINESE LOAN
 OF AMERICANS.
COMPLICATIONS ARE FEARED
Entire Cabinet Joins With President in Approving His Position in Re fuslng the Request of New
 York Bankers.

Washington, March 1S.--President Wilson, tonight in statement approy- ed by his cabinet after two hours of discussion announced that his admin istration had declined to request the group of American bankers to con tinue their negotiations for partici- patton in the $215,000.00O loan desired by the Chinese government
 The statement follows:
 We are informed that at the re- quest of the last administration cer- tain group of American bankers un- dertook to participate in the loan now desired by the government of China approximately $l25.000,000) our gov ernment wished American bankers to participate along with the bankers of other nations because 1t desired that the good will of the United States towards China should be exhibited in this practical way that American cap ital, should have access to that great country and that the United States should be in position to share with the other powers any political respon- abilities that might be associated with the development Of the foreign relations or China iii connection with her industrial and commercial enter prses.
 "The present administration has been asked by this group of bankers whether it would also request them to participate in the loan. The rep resentatives of the bankers through whom the administration was ap- buf W continue to seek their share of the loan under the proposed agreements only if expressly requested to do so by the government. The administra- ton has declined 10 make such re- quest because 1t did not approve the conditions of the loan or the implica- tions of the responsibility Its own part which it was plainly told would be involved in the request.
 The conditions of the loan seem to us to touch very nearly the admin istration independence of China It. self and this administration does not feel that it ought. even by implica- ton, to be party to those conditions. The responsibility on it's part, when would be implied in requesting the bankers to undertake the loan might conceivably go the length in some un- happy contingency of forcible inter ference of the financial and even the political affairs of that great oriental state just now awakening to a con seiousness of its power and Of US obligations to it's people. The condi lions include not only the pledging oi particular taxes some of them antl quated and burdensome, to secure the loan but also the administration oi those taxes by foreign agents. The responsibility on the part of our gov e.nment implied in the encourage lnent of loan thus secured and ad ministered is plain enough and IS op noxious to the principles upon which the government of our people rests
 The government of the United States is not only willing but earnest ly desirous of aiding the great Chin ese people in every way that Is con sistent with their untrammeled de yeopment and its own immemOria principles. The awakening of the peo pie of China to a consciousness O their possibilities under free govern ment is the most significant if not the most momentous, event of our genera lion. With this movement and aspira ton. the American people are in pro found sympathy. They certainly wisi to participate and participate ver' generously, in opening to the Chinese and to the use of the world the al most untouched and perhaps unrivai led resources of China.
 The government of the Unitei States is earnestly desirous or pTomo' ing the most extended and intimat trade relationships between this coun try and the Chinese republic. Tn present administration will urge an support the legislative measures ne' essary to give American merchants manufacturers, contractors and eng neers. the banking and other nnaI cal facilities which they now iacr and without which they are at a SCI ious disadvantage as compared VII their industrial and commercial rival' This is its duty. This Is the mai material interest of it's citizens m th development of China.
 Our interests are those of the ope door--a door of friendship and m' loal advantage. This Is the only doo we care to enter"
 The statement came as cons qnence Of the visit to Washingto last week ot the representatives New York banking firms headed D William D. Straight. They had