The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-05-28
WHY WILSON VETOED
THE SIX POWER LOAN
Willard Straight Says President
Misunderstood Its
Intention.
DIDN'T WANT BATTLESHIPS
Had Satisfactory Talks With
Bryan Lately, and Hopes
for Future Trade.
DIDN'T WANT BATTLEsHIP.

WASHINGTON, May 27.--A vivid side
ight on diplomatic history was provided
ct the National Foreign Trade Conven-
tion to-day and for the first time one of
The American banking participants gave
MS opinion OF the motives which prompted
the Wilson Administration to withdraw
governmental support from the six Power
'hlntso administrative loan Of 1913.
willard straight, president OF the Amer
l'ah Asldtlc Association, who represented
the American banking groups In China,
nad read vigorous paper on the sub
iect or foreign trade and foreign loans
When he concluded Capt. Robert Dollar
Of san Francisco arose and asked Mr.
straight why the United States would
not stay In the six Power loan negotia-
tons so that Americans could get fair
share Of Chinese business through the
purchase of American materials with the
money This question was greeted with
laughter by the audience. which evidently
thought the matter was a sore point with
Mr.. straight. but he treasured them by
saying
Explains Chinese Loan.
THAT is a bit Of history. II Is n dead
issue. think Capt Dollar IN under a
misunderstanding. The six Power loan
was not an Industrial loan. Its proceeds
were to be utilized for clearing or some
OF the floating debt OF China and for GER
tain other administrative purposes.
81 think that the President and Secre-
tary of state felt certainly know Il was
represented to thcm--that tho combina-
ton Of six Powers was holding n iinan-
cial club over the head Of the weak young
republic and endeavoring TO extract from
China certain benefits ana privileges to
which they were not entitled. shortly
Washington We told Secretary Bryan that
the loan negotiation was about to be con-
cluded and before signing that agreement
We desired TO know the attitude of the
Administration.
at was not that We wanted American
battlcsh!ps. We wanted the Endorsement,
the approval, OF the American Govern
ment In order TO sell these bonds 10 the
American public, and We wanted TO know
that the transaction was satisfactory TO
our Government.
president Wilson thought not. He took
the view. / believe, that certain Powers
which formed "a part of the six Power
combination We're endeavor.ng to play the
European political situation, the jealousy
between England. France. Russia Ger
many and Japan.
The whole International political game
cam, into that one Chinese loan. Eng
land could not stand Tor certain things In
China. which she had always stood for
because of the fear OF Germany IN Europe,
and there were certain phases OF the no.
ltiCal situation drought into these nego-
tintiOns OF which our Government did not
approve and our Government withdrew
from the Elk Power loan.
at wyts not a question Of sale OF ma
tcrials with regard 10 that particular loan,
but Il had this Indirect effect. Neither
the public nor the Administration seemed
90 llik" any distinction between this pO-
Ideal loan ana other loans the proceeds
Of which would he utilized for the benefit
Of American Industry through the pur-
chase OF American materials with a por-
ton Of the funds.
I'VE are stil in China as regards one
railway loan, but we are having difficulty
Ia getting an equal show with other coun-
tries for our manufactures. II Is very
expensive amusement to try TO fight the
British. and particularly the Germans.
IN this Hukuang railway, but We are try
ing do our hest