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[95
THE CONFLICT OF INTEREST WITH RUSSIA.
DECEMBER 25TH,
JAPAN'S STAKE IN MANCHURIA. [shipper came very nearly being paid for the privilege of shipping his beans. A railway conference was held in Harbin between the officials of the three lines and strong efforts were made to stabiliza the rate. Several plans were presented but none adopted.
From a shipper's standpoint it was: preferable to ship to Dairen, since the
A PRIZE WORTH STRUGGLING FOR. A correspondent of the Christian Science -Monitor, who was recently in China, wrote as follows on this subjeet:
Japan's vested interests in South and
moment the beans are stored in one of Central Manchuria total more than
the new fireproofs warehouses of the $750,000,000 gold. Quietly and anostenta- tiously she has been pushing ahead her South Manchuria Railway the shipper can outposts of civilization ever since 1005, take his warehouse receipts to any of was the foreign banks in Dairen and get his when the treaty of Portsmouth signed, until at present she has a stake money, less a small percentage for hand- in Manchuria equal to if not greater than ling charges.
In Vindivostack there. dre no foreign Russia's. Is the time. approaching when Japanese and Eussian interests must in- banks, and the shipper is forced, after evitably clash If so, what will the out-sale, to await delivery before he can come be! Another war between Bussia collect, meanwhile losing interest on his and Japan world upset balance of power investment while the shipment is in in Asia and would lead immediately to transit. In order to compensate for this serious international complications.
loss the Ussuri Railway underent the Japan's largest single interest is the rates of the South Manchuria lino and Ithus secured a large bulk of the business. extends South Manchuria Railway, which from Dairen to Changchun, passing The Japanese railway retaliated by giving through Mukden, and the Murden preferential rates to shippers at a con- Antung branch which connects with the siderable distance from the rail head at Imperial Japanese Railways at Antung in Changchun, and sponsered a system of Korea. These railways are both under cartage overland. From November to the supervision of the board of direc- March the ground is frozen and zative caravans rumbering 100 carts in each, tors of the South Manchuria Railway.
make the trip from the distant bean collecting stations at a fairly rapid rate.
THE NEW LINE.
The line from Changchun to Dairen was originally constructed by Russian en gineers as the southern branch of the Chinese Eastern Railway and cost $40,507,739 gold. A further expense was Naturally the South Manchuria Railway incurred when the South Manchuria Rail-is determined to find-a modus vivendi way Company decided to change this wherely the bean and other cereal ship- line from broad gauge to standard gauge.ments may be made profitable, otherwise A similar change was made in the the 20,000,000 gold yen invested in the Mukden-Antung line three years later. port and storage facilities of Dairen will At the present time the total trackage, have to be charged up to bitter experi- including sidings and spurs, approximates ence. The Japanese, therefore, are ex 700 miles. There are about 3,000 em- tending the present branch line from toward, Taitaihar, paming ployees in the company, all of whom are Taonaniu paid about one-third more than railway through the richest agricultural ar employees in Japan.
south of the Kinghan Mountains and ruaning parallel to the southern branch of the Chinese Eastern Railway.
THE SOUTH MANCHURIA RAILWAY. In addition to the South Manchuris Railway, the company exerts a control- ling interest in the Chinese-built lines from Ssupingkai to Taonanfa, and from Chanchun to Kirin, a provincial capital. Japas also exercises complete authority over the territory of Kwantung, which takes in both the prosperous port of Dairen and the citadel of Port Arthur
How Japan obtained the concession to construct this line is clothed in diplomatic mystery, but Chinese and foreign opinion in Mukden insists that it must have relinquished interest due her on previous loans to the Manchurian Government in return for this valuable grant. Although Russian officials of the Chinese 'Eastern Railway look upon the construction of this line as Japan's first covert act and tantamount' to a declara, tion of war, the Chinese have overruled. all objections and Japanese construction trains run to the rail head daily.
Iu order to understand Dairen's meteoric rise from the forty-second port in China in 1907 to the fifta in 1924, 1 is necessary to delve a bit into contem; porary history. As far back as 1857 tew ramshackle huts were found when the
Although suffering from severe dis Anglo-French Fleet sought a base for the bombardment of the Taka forts, but there tarbances from internal political up- were practically no traces of foreign oc-heavals, the people of Japan are united cupation at the close of the Sino-upon the foreign policy at their country Japanese Wor, 35 years later: When the and will never give up ono jot or little Russians cttained their lease of the of the Japanese investments in Man- Linotung Peninsula, they devoted dearly churia unless compelled to do so by all their energies to the establishment of superior force of arms. To protect their Port Arthur, and paid but scant attention interests in Manchuria there is one com. to the development of Dairen.
plete division of the Japanese Army and one mixed artillery brigade, equipped feld pieces, with mountain guns and with headquarters at Liaoyang, about midway between Changchun, and Dairer in the heart of the rich mining district.
Since its cession to Japan by the terms of the treaty of Portsmouth, it had made greater strides along the pathway of pro gress than any other port in the Far East, with the exception of Shanghai The solid stone construction of the many imposing buildings gives one the impres sion that the prosperity of Dairen dates back at least 200 cr 300 years instead of less than a quarter of a century. It is in all respects a bustling metropolis possess ing every modern conveniece Brilliantly illuminated, wide asphalt bouleyards, an abundance of costly moter cars, and crowds of well-dressed Japanese are all signs of a very real prosperity.
During the Great War the directors of the railway realized the need for the mediate expansion of the port facilities. The harbour was widened and deepefied, a long breakwater was constructed, and the channel dredged and shortened. Two modern docks of solid concrete more than one fifth of a mile in length and nearly 300 feet wide were constructed. Railway tracks were extended the entire length on each side.
Dairen is a Japanese city. Excluding Russians, of whom there are less than 1,000, there are not more than 20 Euro poant. The remainder of the population is made up of about 125,000 Japanese and about 00,000 Chinese who live on the out- skirts and in the suburbs.
Japazene troops are spread up and down the line with garrisons at Tiebling Saupingkai and Tshihchino, zumbering all told about 29,000 men. The garrison at Antung, Kores, and that stationed along the Yalu River, which forms the boundary between Manchuria and Keres, slightly more than a division. In case of an emergency Japan could throw about 50,000 men into the field without calling upon reserves from the homeland." A Japanese military airport has been established at Hoshigaura, seven miles distant from Dairen, and great secrecy is maintained with regard to the number! of ships and pilota stationed there. Frequent flights are made by various units of the squadron along the South Manchuria line, but particular care is taken by the pilote to keep within the area of the railway zone, & strip 12 miles wide and 400 miles long. SHIMONOSEKI 30 HOURS DISTANT.
1.
Japanese destroyers and scout cruisers are stationed continually in the famous. Iandlocked barbour of Port Arthur. Con staat touch is maintained between this. port, Dairen and Fusan. The naval base THE RAILWAY CONFLICT.
of Shimonoseki but 30 hours distant, "Leaving out of consideration Japan's so that in the event of hostilities a direct other concessions, such as the Fushun line of communications with Japan could coal mines, which produces at the pre- be kept open without difficulty. sent time about 19,000 tons of coal daily; the Anzan iron mines, smelters and coke Peninsula, following the treaty of Ports Ever since Russia lost the Liastung ovens, which represent an investment of more than $100,000,000, Japan's struggle mouth, the Russian Bear has been licking for supremacy centres along the railways. his wounds and plotting revenge. This It is quite possible that a clash will come peninsula is of enormous strategio value, between Japan and Russia for the freight for by regaining the railway Russia traffé of Central Manchuria," "
would again possess the fortifications of Port Arthur and, more important still, obtain Dairen, the only ice-free port in Manchuria on the Pacife. This policy and has been the aim of each succeeding was first enunciated by Peter the Great,
Russian Government.
The greatest commodity of Manchuria is the soya bean, the all of which firat came on world markets daring the Great War as a substitute for many vegetable and mineral oils which were difficult to secure at that time. Last year Man- churia raised the largest crop of beans in its history, and as many as 350 care day were despatched from a single ship ping-station on the Chineso Eastern Railway. Some were sent to Changchun, the southern terminus of the Chinese Eastern Railway, trans-shipped to the care of the South Manchuria Line and routed to Dairen. Other bean shipments were diverted at Harbin to the eastern
Russia has not forgotten that it was her. branch of Chinese, Eastern Railway and- switched directly to the Russian-owned inability in 1904 to maintain a line o to Vladi communications across Biberia which re
If the Soviets were to invade North Manchuria, and openly seize the Chinese Eastern Railway, as Ambassador Kara khan threatened to do a year ago, Japanese force of 100,000 mon would be rushed immediately across the Straite of Shimonoseki to Dairen and Port Arthur, and moved northward by the South Man- churia Railway to Changchun.
Ussuri line at Suiento and sulted in her defeat. To-day the same
vöstock.net, matk
Immediately all three lines entered into problem is even more difficult, since with bitter competition for the bean trade and bombing, planes it would be comparative á ráte war followed. Hates were, cut and ly easy for a Japanese air squadron to individual rebates were given to such an cut the railway line at any given point. extent that by the end of the season the
(Continued on next column.)
"
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IA, CHATER, ROAD,
As long as China and Japan remain friends, Russia will not invade Man- churia, but if she can succeed in arousing Oriental camity between these two Powers, there is every reason to suppose
PHILIPPINE NATIONAL BANK. INVESTIGATORS APPORTION BLAME FOR OVERDRAFT.
The Insular Auditor of the Philippines. -
she would attack China from the rear,(Mr. Ben. F. Wright) and the Assistant seize the modern arsenals în Mukden, and Attorney-General (Mr. Marceliano Monte. conclude a treaty with Japan to divide mayor) who have investigated the circum- Manchuria. There are 11,000,000 Chinese stances connected with an overdraft of in the Three Eastern Provinces, and it 2,000,000 pesos at the Philippine National is this immovable mass that stands in Bank, incurred by the Bacolod-Murcia. the way of further Russian and Japanese Central recently, made their report last intrigue south of Siberin and north of the Great Wail of China
ENORMOUS WEALTH.
week to the Chief Executive. The Re... port blames the bank's directorate, the
Three extramural Chinese Provinces, Sugar Centrals"Agency, the centrals' Shengkiang, Kirin and Heilangkiang, auditor and practically every executive comprise Manchuria, a territory larger official connected with the bank for the than the eastern half of the United irregularity. Complete reorganisation of States, with a total population but twice the bank, as a result of this and other that of New York City. It was not until occurrences, is strongly urged by the 1919, when the Republican form of Gov investigators. ernment was established in China, that the ban against colonization outside the Great Wall was lifted, and the exodu of Chinese farmers from the overcrowüs Provinces of Chibli, Shantung and Anhwei began.
The Manila Times gives the following synopsis of the Report:
1.Total amount expended on central, P4,463,01289. The amount of the "over- draft," to which responsibility attached, set by the committee at P2,019,185.25.
2. Lack of proper, efficient and busi- The potential and actual wealth of these three Provinces has been estimatedness-like organisation of the National to exceed by eight times that of any Bank the primary cause of the trouble.
3. The Board of Directors of the Bank eimilar area in intramural China. Dur- ing the past century the rulers of both primarily responsible for authorising the Russia and Japan have cast covetous eyes expenditure of millions of funds, for which upon this richest ancus jewel of Asia's the Government was responsible, for what Crown, and by treaty and concessions amounted to the building of an entirely have pushed their separate civilizations new central without fully matured and detailed plans and specifications upor far into the hinterland.
to strict accountability.
To-day there are 11,000,000 Chinese in which an accurate estimate of costs could be made, and by which those responsible Manchuria as compared with 200,000 Ras for carrying put the work could be beld siana and about 175,000 Japanese. Will Russia or Japan be able to oust this Such unbusiness-like procedure left the ever-increasing Chinese population? If door wide open for the expenditure of a so, could either of these countries rule large amount in excess of the authorisa- Manchuria in peace and harmony Willion
future.
the Chinese eventually absorb these two 4. Facts show that at least three meni- other civilizations, or will they drive one bera of the board of directors knew that into the sea and the other across the the extension could not be completed Siberian border 1 The last alternative is within the amount authorised and cou the maintenance of the present status mittee is of opinion that there was a quo, which is matisfactory enough for general understanding to this effect be- China, but exceedingly irksome to Japan tween the officers of the bunk and the and Russia, both of which countries central. have dreamed wealthy dreams for the 5. Overdraft in the case of the previous extension of the Talisay-Silay The 200,000 Bussians in Manchuria, Central amounted to 1724,392.47 and no though ostensibly engaged in peaceful one taken to task for it. occupations, are in reality reservists 6. Large responsibility fixed upon holding themselves in readiness for in manager and supervising auditor of the stant mobilization. There are 150,000 Bugar Centrais AgencyEEN ANY veteran Red troops under arms just across Acting General Manager and Audi Ator of Bank beld to be not seriously the border:
An analogous situation exists with re-responsible under existing conditions. gard to Japan, whose policy is to send 8 President and Superintendent of new drafts from each military training Bacolod Central also held responsible for class to Manchuria in the hope that as expending large excess knowingly and soon as their military service is complet without the approval of the board of ed they will return as colonists. In ad-directors of the bank dition to the 50,000 regular troops guard. The fact that the enormous sum of Manchuria, there is to-day a potential from the bank without proper authorisn ing Japan's interests and concessions in over two millions could be withdrawn
army of 175,000 colonists.
tion is cleat proof of a lack of co-ordina The Chinese will never absorb these tion as well as of grave mismanagement," two other civilizations as, in the past, and an excellent illustration of what may they absorbed the Jews in Honan and be expected from mixing a highly tech. the Russian Albazins in Mongolia Tomical manufacturing business with the day transportation has improved and a backing business and both with politica never-ending thin stream of both Russians 10 The whole procedure of the exten-3 and Japanese continues to pour into Mansion from beginning to end was highly churia and daily increases the number of unbusiness like and reflects great dis their respective colonists,
credit upon the bank and every official in Thres hundred years ago the Manchu proportion to his connection with the hordes swept down from the north, over-transaction. threw the Chinese dynasty of the Mings, 11. Board of Directors failed inevit- and ruled. Ching waited To-day Man-ably because they attempted individually churia is overwhelmingly Chinese and the to assume the details of managing a will continue to dominate Manchuria P60,000,000 sugar manufacturing busi- merely through her superior, numbers, neat, of which they were ignorant, as well Russia and Japan realize thoroughly that as a large banking institution. from a standpoint of population China is 12 Complete reorganisation of bank invulnerable.
recommended.