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of the Articles in question would make them satisfactory. Mr. Addis stated that it embodied the interpretation placed by the four Groups on the Articles in question and it remained for the Chinese to say whether it is their interpretation or not. Mr. Davison said that he had had an appointment with Dr. Chen with the hope of getting from him an expression of his views in the matter, but Dr. Chen had not been able to keep the appointment and therefore no expression of his views had yet been obtained.
Mr. Urbig raised the point that no definite time limit was mentioned but Dr. Davison explained that he understood the reason why none could be mentioned was because of the fact that different time limits might be necessary in different sections of the Chinese Empire; he thought reliance should be placed on the good faith of the Chinese, to which no exception was taken by the Conference.
The Chairman said he had no further suggestions to make in regard to the procedure of the Conference. Mr. Urbig enquired whether it would now be proper to discuss the measure of control which the Banks were to require. The Chairman stated that, unless Mr. Urbig considered the matter of control part of the Currency Reform Programme, this should not be discussed now, but that the conference should first decide whether or not it would approve of the programme and adopt the Committee's report upon it. Mr. Davison stated that the American Group, interpreting Articles 14 and 15 of the Currency Reform Programme as quoted above, were willing to adopt the Report of the Committee of Experts in general approval of the Currency Reform Programme and put themselves on record as so doing.
Mr. Addis said that so far as the British Group was concerned the Currency scheme having been submitted to a Committee of Experts they were prepared to accept and adopt their findings and he suggested to the Conference whether it would not be better to do that by way of resolution. It was therefore RESOLVED that the Currency Committee Report upon the Currency Reform Programme of China be adopted and that the Groups therefore accept the Currency Reform Programme as a basis for the loan under the Agreement of April 15th 1911.
The Resolution as proposed was unanimously adopted by the Conference and the Secretary was directed to make a Minute to that effect.
The Chairman said he unterstood that all the delegates to the Conference were agreed in feeling that the Groups assumed no responsibility for the Pro- gramme and accepted it only as a satisfactory basis for the loan upon the Report of the Expert Committee referred to above. All present agreed that the Chair- man's statement correctly represented the opinion of the Conference and the Secretary was directed to minute the Currency Programme approved with the above understanding.
Mr. Urbig suggested that China should be officially notified October 14th, to which the Conference agreed, the Secretary being directed to so minute.
As to the time of the actual issue of the loan, Mr. Urbig said that should be taken up amongst the Groups within the six months allowed by the
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Loan Agreement after notification to China is given, and that they should mutually agree upon a time of issue which should be satisfactory, it being understood that the issue should be made simultaneously by all four Groups. This recommendation was agreed to by the Conference and the Secretary was directed to so minute.
It was decided by the Conference that official notification to the Chinese Government should be given by the representatives in Peking upon whom would rest the duty of bringing to the attention of the Chinese Government the confident hope of their adoption of the recommendations of the Expert Committee in connection with the Currency Reform Programme.
CONTROL
The discussion of the Currency Loan Programme having been concluded the Chairman asked if there was any further business, whereupon Mr. Urbig again referred to the question of the control of the expenditure of the loan funds.
Mr. Addis, speaking for the British Group, stated that they had come to the conclusion that it was impossible to exercise control over the proceeds of the Currency Reform Loan in the same way as expenditure for sleepers or locomotives could be controlled. The British Group had decided that it was impracticable and that, he understood, was the view held by Dr. Vissering also. He said his Group was convinced and he had no doubt the other Groups were also, that China was sincere in her desire to reform her Currency, and while he thought it would be advisable to get as much control as possible, yet if it were found impossible to get the full measure of control recommended by the Expert Committee, the Groups should not on that account decline to proceed with the Loan. He thought that China would in a way be put upon her honour vis-a-vis the four Groups and the Governments of the four lending nations, and he thought that if the Adviser were kept informed of everything which was done by China in the reform of her currency, he would be able to exercise a very considerable measure of control in any case by calling the attention of the Groups, and through them of their Governments, to any steps which were taken which he considered inadvisable. It was for this reason that he had made the suggestion that the three other Governments should endorse the recommendation of the United States Government of the Adviser in order that China should understand that his appointment was unanimously approved by all the Governments. In this case the British Group were prepared to recommend that the Groups might waive their usual custom of securing control of expendi- tures under the Loan Agreement, trusting to the sincerity and good faith of the Chinese Government, the influence of the four Powers, and the efforts of the Adviser.
Mr. Urbig thought that the Adviser should be given as much power as it was possible to obtain from China and all agreed with him, at the same time expressing the opinion that in case it was impossible to secure the full measure of power for the Adviser, and control of expenditure, recommended by the Expert
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