The New York herald., 1921-09-13
Suggested Discussion OF
Settlement Would Prevent
China From Bringing Up
Matter in Washington.
ASKS ALLIES GUARANTY
yiscount Kato Says Japanese
Cabinets Offer Is Silent but
Eloquent Confession of Dip
lomatic Incompetency.'
Bv the Associated Press.

BIZ the Associated Press.
Prg1N, Sept. 1.-THE proposals O.
Japan sent to China for the purpose o.
'eaching settlement of the disput,
,ver Shantung were made public her,
o day. The text, translated from thu
Chinese text which accompanied thu
.opy written In Japanese, Is as fol
ows:
First-The rights to lease Kiao-
chau Bay, together with rights and
privileges Of the neutral zone. are to
be fully restored TO China.
Second-If the Chinese Govern
ment. on it's own initiative, opens the
whole of the leased territory as a
commercial port, recognizing liberty
of residence by foreigners and OF the
carrying on of commercial. industrial
and agricultural projects. and also
recognizing the rights and privileges
already acquired by foreigners. the
Japanese Government will rescind the
agreement formally entered into for
the establishment OF concessions un-
der exclusive jurisdiction and OF In
ternational concessions. [This refers
garding the twenty-one demands Of
Japan.l The Chinese Government
agrees in the interest OF trade and
for the residence Of foreigners to
open herself certain suitable places
In the Province Of Shantung as COM
mercial ports. The regulations for
these will be drawn up t'y agreement
between the Chinese Government and
all countries which. hsya- interests
there
Third-The railway from Kiao-
chau to Tsi-nan. tos .ther with the
mining areas belonging thereto. shall
become the joint enterprise OF China
and Japan.
Fourth-Japan to relinquish all
preferential rights acquired by virtue
OF treaties relating to the leased ter
ritory of Kiao-chau. Japan under
this relinquishes rights acquired un-
der 1915. 1917 and 1918 agreements.]
Fifth-Preferential rights in the
kao-hsu- -Hsun-teh and the Chefoo-
Wei-hsein railways shall be trans
ferred by Japan to the joint manage
ment of the new banking consortium.
These are projected railways.1
Sixth--The Tsing-tao customs shall
be recognized as part of the Chinese
customs. In the same manner as dur
ing the German regime.
Seventh--Regarding the disposal of
public buildings and properties, the
principle is recognized that these are
rsl'rquished to China, but a mutual
agreement shall be entered into for
the future maintenance Of all public
works.
Eighth-Details for the carrying
out OF the above provisions and other
matters relating thereto shall be fur
ther settled by delegates appointed
by the Chinese and Japanese Govern
ments.
When the Chinese Government
gives public notice of the formation
OF a special police force to guard the
kiao-chau-Tsi-nan Railway, the Jap
anese Government shall announce
Immediately the withdrawal OF it's
troops and transfer responsibility
for protection of the railway to
China.
China to Refuse Terms.
China will refuse to entertain Jsnan,
proposals relative to settlement of N,
Shantung controversy. It is declared \,
! person In the confidence OF the Ad
She win base her act,o,
On the ground that the award OF shan
tung to Japan by the Treaty OF Yer
sailles was Illegal, and that Japan In,
n hn x,riu H.
which were conferred by concessIor
upon Germany, and which were turnee
over to Japan at the peace conference
y is pointed out that the Japanese pro
posals make no mention of the rights re.
served TO China under the German
agreement relative to the redemption o,
The railways In Shantung
The Chino-German agreement pro.
pided Germany could not transfer right.
redcd to her to any other nations. anc
llso there was n reservation to tho
ERECT that China might redeem contro
y the railways constructed In Shantung
The Japanese note proposes joint opera.
ION OF the railways already constructed
- wen as mines In Shantung the sur.
render or lines under construction as Z
result OF the new consortium. and tn,
restitution to China OF the port of Using.
Lao ana leased territory. There Is
however. said to be an ambiguous claus.
n the Japanese proposals regarding tn,
ipkeep OF public buildings at Tsing-tao
Hamper Her NJ Washington.
II Is learned in other sources that ad
iitional objection to opening negotia.
ions has been found In the fact tina,
thus begun would continr,
beyond the data. OF the conferences or
OF armaments and Far East
'rn questions 10 be held In Washington
IND that the fact that such parleys wer,
n progress would effectually bar China
rom bringing them up at the Washing.
on meeting. Furthermore. n eventuaIl,
induced to accept the proffcred terms
China prefers the adjustment to b,
made at the conference table In such 4
manner that the participating Power,
which are Jointly interested would be.
Continued on Sixth Page.