New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-08-08
Ne1U COns0rtiux1A Aims TO Giue
China Fuir' Deal as o. Nation

especially DESTROYS of making invest
ments there, but they must decline
to be understood as asserting to be
excluded from those provinces.
Lamentable Delay
In the succeeding months, among the
our governments involved, the United
States taking the lead in the matter,
there followed a long diplomatic cor
respondence with the idea of securing
,japan's recession from her position.
Little or no Roadway was made on
this point and the longer it remained
open the greater the danger became in
two directions.
The chief one of these was the la
mentable delay in the formation of the
consortium itself. China sorcly needed
effective assistance and the Western
banking groups were being blockcd
from rendering it. Secondly, the three
Western governments seemed to feel
strongly the improperly Of permitting
Japan to continue in her insistcnce
upon claim which might later on be
interpreted into a declaration by ia
pan of some especial political status
in the provinces of Manchuria and
Mongolia.
This difficulty on the reservations
still existing, was requested by the
American banking group, with the APP
proval OF the British and French bank
ing groups and also with the approval
of the State Department at Washington
TO visit Japan and find out definitely
whether the Japanese banking group
intended to enter the consortium on the
same terms as the other banking
groups.
Japan Withdraws Her Reservations
| was in Japan throughout the month
of March last, and then again upon my
return in May from China, before sail
ing for home, spent a week at Toxic
AS result of better understanding
Japan withdrew her reservations in
toto, and the Japanese government au-
thorized its banking group to enter
the consortium without qualification
Throughout the negotiations the gov
ernments and the banking groups were
equally active and worked together
with the single end in view of forming
effective cooperation for the aid of
China
JaDan's change of attitude was, of
course, most gratifying, and it served
TO make clear several interesting
points as to the present financial and
political situation in Japan | found
from the start that the members of
the Japanese banking group, which
comprised eighteen of the leading in
sututicns in the country and great
majority of the leading men Of affairs
in Japan, were strongly for the CON
sortlum and greatly DESTROYS that
Japan should become member of it
without reservations Early in my
visit, too, the government. with Pre-
mler Hara at its head, stated to me
It's conviction as to the wisdom of with
drawing the reservations. Through the
instrumentality of our ambassador
Roland S. Morris, who occupies in
Japan a position of extraordinary
strength and influence, l was brought
IN touch with all the leading members
of the Cabinet and of the powerful
diplomatic advisory council, who gave
me private assurances of their adher-
ence to the American formula of the
consortium.
But there was another element in
Japan which for the moment strongly
opposed participation by Japan with
out reservations. That was described
TO me by certain Japanese as the So
called military party.
That element chung tenaciously to
its determination to have the record
show some special claim for Japan in
the provinces of Manchuria and Mon
golia. Its final Withdrawal from this
joint influence brought to bear upon
it-tilst, from its commercial and bank
ing interests at home, and second by
the consistent and unyielding atti-
tude on the part of the American
British and French governments. which
throughout my long and difficult nego-
tiations in Japan acted practically as
a unit in the whole matter
1t is only fair to sag that in Japan
found on certain points there was
sincere misunderstanding, which hap
in Toxic. We made it clear that the
American, British and French banking
groups had no intentions with respect
to Manchuria and Mongolia that would
serve to threaten the economic Sc
curity or national safety of Japan
Further, we were able to specify Ger
tain FEEDER OF branch line, railway
projects in South Manchuria, upon
which substantial progress had al
ready been made by the Japanese, and
which, therefore, in accordance with
Paris, should fall outside the scope OF
the cOnsortium.
Japan showed observation-disclosures anc
wisdom in waving her reservations re.
gardlng Manchuria and Mongolia. She
was courageous in recognizing that those
reservations we're Of no real value tl
her and, if persisted in, would only serve
as an inevitable bar to her entering the
partnership with the western nations
partnership calculated to prove of more
benefit to Japan's commercial interests
than to those of any other nation.
An Active Propaganda Against America
After having gained the informal as
surancc of the japanese government
that it would authorize its BANKING
group to enter the consortum, ! pro
ceeded to China for the purpose of oh
serving there, on behalf of the American
banking group, conditions economic
financial and political. In China | spen-
more than month that was full of ex
traordinary interest and found severa
situations of unusual import.
First, it became clear that some ele
ment-the Chinese said it was the same
one that in Japan had delayed Japan
entry into the consortium without res
ervations-was now endeavoring t,
block our path and, by inspiring antag
onism on the part of the Chinese
bring about the failure of the con
sortum
America, and therefore the American
group, commands q greater degree oil
confidence among the Chinese people
than any other nation or group. The
reason for this is plain. The United
states has refrained from seeking ter.
ritoral concessions in China and it has
strlven through the years for the pres.
ovation of China'c torri+or, avid -.