The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1918-07-31
APPROVES LOAN
FOR CHINA DEFENCE
State Department Announces Policy of
Cooperation with Our Bankers
$50. OOO. 900 Mentioned.

WASHINGTON, July 3l.-The new |
policy of approving loans by American
bankers to China so that nation may |
be the better able to defend itself against |
enemy forces approaching its borders was |
announced today by the state department. |
No specific amount of the loan was an
nounced, but it is understood that $780,
100000 will be advanced Frank /. Pork. |
acting secretary of state, in outlining
the new policy issued this statement
'China declared war against Germa-
ny very largely because of the action of
the United States. Therefore this govern
ment has felt a special interest in the de-
sire of China so to equip herself as to be
of more specific assistance in the war
against Central Powers.
Until the present time the engage
ments of the United States in preparing
to exert effectively its strength in the
European theater of war has operated
to present specific constructive steps to
help China realize her desires Recently,
however, this government felt that be-
| cause of the approach to Chinese terri
| tory Of the scenes Of disorder a special
1
means at the disposal Of China
! Consequently a number Of American
bankers who had been interested in the
past in making loans to China and who
had had experience in the Orient were
| called to Washington and asked to be-
come interested in the matter The bank
ers responded very promptly, and an agree
ment has been reached between them
/ and ba 1av,or+yoa,a4 Df OF Al.
| following salient features:
| 81. The formation of a group of Amer
lean bankers to make loan or loans
and to consist of representatives from
different parts of the country.
80. An assurance ON. the part Of the
bankers that they viii cooperate with
the government and follow the policies
outlined by the department of state.
SO. Submission of the names of the
banks, which will compose the group for
the approval by the department of state
Il. Submission of the terms and con
ditions of any loan or loans for approval
by the department of state.
"5. Assurances that if the terms and
conditions of the loan are accepted b,
this government and by the government
to which the loan is made, in order t
- | tAiSpuAdEe any ldCllildlG the Tree inter
course between American citizens anc
foreign states, which is mutually advan
tageous, the government viii be willin,
to aid in every way possible and to MAKE
prompt and vigorous representations an,
to take every possible step to insure til,
execution Of equitable contracts made il
good faith By its citizens in foreign lands
Tt is hoped that the American grou
win be associated with bankers Of Grea
Britain, Japan, and France Negotia
= tions are now in progress between TIL
government of the United States an
: those governments which it is hoped vii
5 result in their cooperation and in tn
participation by .he bankers OF thos
countries in equal parts in any loan whic
may be made
? Besides the warlike conditions While
confront China on her northern an
| western borders, there is further il
e eentive to cooperate with all these goy
I ernments because the war has created
community of interest between them an
5 their citizens and those of other govern
$ ments and has broken down barrier
. which once have existed and has mad
: easier the intercourse between them |
= is hoped that if the project succeeds
I viii serve as an agency through whic
this community Of interest and the COZ
sequent expansion of our mutual intel
. ests abroad may be adequately and pror
= erly expressed