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THE CHINESE LOAN."
· FURTHER QUESTIONS IN PARLIAMENT.
Among the Parliamentary questions to which printed replies were returned on the 31st ult., are several addressed to Sir · Edward Grey concerning the Chinese Loan.
Sir E. Grey informed Mr. C. Bathurst that the impression given by Mr. Crisp on his first visit to the Foreign Office was that he represented a syndicate composed of Lloyds Bank, the Capital and Coun- ties, and the London and South-Western. It was subsequently ascertained that the impression did not correspond with the facts. The London County and West-
despatch in the place of that of the Lon- minster was inadvertently named in tho
don and South-Western Bank.
Viscount Wolmer asks whether the negotiations with the Chinese Government were carried on by the respective Govern ments and their diplomatic representa tives at Peking or by the Powers and their agents: and what powers negotiating with the Chinese Government had been conferred on the bankers by their respective Governments.
for
To this Sir Edward Grey replies that the negotiations had been carried on at Peking between the representatives of the six groups and the Chinese Government. No powers were conferred on the bankers by their respective Governments, but the latter were consulted as a matter of course at every stage of the negotiations.
To another question the Foreign tary replies that no note was addressed on August 6th by the Chinese Minister of Finance to the six-Power baaks in- forming them of the rupture of dégotia. tion,
Another question by Yiscount Wolmer askeil the Foreign Secretary to publish
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are on the board of directors of the East- ern Bank. I am not aware of any loan agreement between Mesars. Carlowitz & Thb Co. and the province of Cheklang, loan agreement of Mesura, Arnhold. Kar- berg & Co. with the province of Chihli was prior to March ith. The attitude of his Majesty's Government, in accord with the other Governments concerned, has been to oppose all loans, whether made by individual firms represented on the board of directors of the Hongkong and Shanghai Bank or by any one else, in so far as they are in conflict with the Six- Powers Group pending negotiation and issue of the reorganization loan; and the answer to the last part of the question is in the negative.
all agreements made with the sanction September 24th summary of the agreements since March 9th. Messes. E. and approval of his Majesty's Govern- principal conditions rejected by the Chi-D. Sassoon alone of the firm mentioned ment between the Hongkong and Shang-nose Government on September 22nd and hai Banking Corporation End the Dentsche whether it was the right hon. gentleman's Asiatische Bank and other foreign com intention to withhold from the House of panies since the agreement of September Commons information which the bankers 2nd, 1898, between the two banks named, had thought good to furnish to the public, To this Sir Edward replies that the Goy-
Sir E. Grey. The statement published renent is not in a position to publish on September 24th was a general state agreements between private companies." ment, made simultaneously by all the In the House of Commons on the 29th groups. No details were given, and, as alt,
I have already stated, his Majesty's Gov. Viscount Wolmer (Newton, Opp.) asked erament are not at present in a position the Secretary for Foreign Affairs if he to disclose them, The sanction of the would state what guarantees were, in the Governments was neither asked for nor considered adequate for the proper and opinion of his Majesty's Government, required.
Sir G. Parker (Gravesend, Opp.)-Has useful expendite of the proceeds of the right hon, gotitleman communicated loans to the Gove, ament of the Republic with the other Live Powers concerned of China and satisfactory security for the asking whether they would have any ob- repayment of principal and interest; and jection to the special conditions being whether he was prepared to communicate published and laid before this House? confidentially to British financial houses Bir E. Grey. We have not communi- of repute, if they so desired, the condi-cated with the other five Powers on that tions on which the support of his point. Majesty's Government in laan negotia. Sir G. Parker-Is there any reason for tions with the Government of the Re not communicating with the other Powers public of China might be obtained. in order to ask for their permission,
Mr. Acland. I must refer the noble which the right hon. gentleman previous lord to the answer returned to the hon. ly indicated would be necessary before the agreement, the amount of the proposed member for the College Division of Glas-papers including these conditions can be loan, the revenues allocated to the ser gow on the 14th inst. The negotiations laid!
vice of or as security for the loan, and between the Chinese Government and the Six-Powers Group being regarded by his Majesty's Government as merely in abey ance, they are not prepared to give amp port to any other parties desiring the lend money to the Chinese Government,
In reply to Mr. Norman Craig (Thanet, Opp.),
Mr. Norman Craig asked the Secretary for Foreign Affairs if he would state how many independent loan agreements had been made with the Chinese Government, Chinese Provincial Governments, or pro- visional Republican Governments since March 9th, 1912, and would he state in each case the names of the respective parties to the agreement, the date of the
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DISEASES
Sir E. Grey.-I do not think that the the purposes for which the proceeds of Six-Powers can reasonably be pressed to the loan were to be applied; and would disclose all the conditions while the he say whether the Four-Powers Group negotiations are still under considera- or the Six-Powers Group entered any tion.
protest in each of the cases, respectively, Mr. Norman Craig (Thanet, Opp.) and with what result. asked the Secretary for Foreign Affairs Sir E. Grey. I am only aware in addi- whether he was aware that, amongst other tion to the Crisp loan agreement of the Mr. Acland said: The Russian and German frms, the two firms Messrs. so-called Anglo-Belgium Agreement of Consortium under an agreement signed Karberg & Co were directly represented Chinese Vice-Minister of Finance and re- on June 18th last. This agreement had on the court of directors of the Hong- presentatives of the Banque Sino-Belge retrospective effect so far as concerned kong and Shanghai Banking Corpore at Teking. The amount of the loan was such as ECZEMA, SCROFULA," Bid Legs, participation in the advances already tion; that Messrs. Carlowitz & Co. were £1,000,000, with a preference for a fur: ABSCESSES, ULCERS, GLANDULAR SVELLINGS, made to the Chinese Government.
the agents of Messrs Krupp in China; ther 9,000,000, and was secured in Bons, PIMPLES, ERUPTIONS, PILES, BLOOD Mr. Norman Craig asked whether any that Messrs. Arnhold, Karberg & Co., in respect to both principal and interest by POISON, RESUBATION, GOUT, &c., should st agreement was ever made after March conjunction with the Skoda Works, the a brat charge upon the net income and
once realize that outward application, such 9th, 1912, between the Chinese Govern Austrian Credit Anstalt; and the Lower property of the Peking-Kalgan Railway as lotions, ointments so-called baims, &c., ment and the Six-Powers Group, or their Austrian Escompte Gesellschaft, recently. The purpose of the loan was stated to be financial representatives, in regard to any concluded a loan agreement with the Chi-, to provide funds for the payment of such though they may give relief for the time loan to be made to the Chinese Govern- nese province of Chibli for a large sum, expenses as should be
being, DO NOT CURE. The trouble lles deemed necessary mont; and, if so, at what date.
the Chinese Government engaging itself, to consolidate the central and local (Chi deeper in the blood. These complaints are Mr. Acland.A subsequent agreement to order artillery for the total amount of nese) Governments, to assure the satisfac. the result of Clogging Impurities in the blood was made on May 17th by which the Chi- the loan from the Skoda Works; and who tory administration of the State and and so nese Government formally accepted the ther he was satisfied that the greater part provinces, and (or) to relieve the distress CAN BE CURED terms prescribed by the group-at that of the capital of Messrs. Carlowitz & Co, prevailing among the people and is com- ONLY BY PURIFYING THE BLOOD. time a Four-Powers Group-for the and Messrs. Arnhold, Karberg i Co., and inercial circles." On learning of supervision of the expenditure of provi- the firms represented by them,
For cleansing the blood of all impurities, was signature of this agreement the four Gov. sional advances. In accordance with the engaged in British trade.
eraments interested immediately in- from whatever cause arising, there is no stipulations of this agreement an advance Bir E. Grey. The answer is in the structed their representatives at Peking other medicine just as good as Clarke's Blood of Taels 3,000,000 was made on May 22nd. affirmative. The loan agreement referred to protest to the Chinese Government Mixture that's why in thousands of cases Mr. Ginnell (Westmeath, N., Nat.). to, however, between Messrs. Arnhold, against the loan as a breach of the en of skin and blood discases it has effected Has either Russia or Japan any interest Karberg & Co. and the Chinese Govern-gagement under which the groups had truly remarkable cures where all other treat- whatever in the Six-Powers Group but a ment was concluded in February last, and undertaken to make advances, His ments have falled. political interest 1 ("Hear, hear," and was, therefore, prior to the agreement be Majesty's Minister made a separate pro- cries of "Answer.")
tween the Chinese Government and the test against the clause in the loan agres- Four-Powers Group.
ment assigning the revenues of the In reply to Mr. Norman Craig,
Mr. Norman Craig asked the Secretary Peking Kaigan Railway to the service of Mr. Acland said: Advances were made for Foreign Affairs whether the policy the loan as a violation of an agreement to the Chinese Government up to the of the group of international bankers, previously entered into by the Chinese third week in June under an agreement; formerly known as the Four-Powers Government that that line could not be entered into on March 9th and reaffirmed Group and now as the Six-Powers Group, mortgaged to any foreign loan (1902). on May 17th, when regulations governing had been since March 9th, 1919, to apponThe result of the action taken at Peking the supervision of the expenditure were all independent loans to China or to the was the cancellation of the clause in the added. Advances were suspended after Chiness. provinces whether David Anglo-Belgian Agreement assigning the it was officially reported to the groups Bassoon & Co. and E. D. Bassoon & Co. preference for a further £9,000,000 to the by their auditor, appointed under the were amongst the British firms, and Car-Banque Sino-Bolge. agreement of May 17th, that it was in lowitz & Co. and Arnhold, Karberg & Co. On the let inst.. possible properly to carry out his duties amongst the German firma, represented on Bir H. Carlile (Herts, St. Albans, under the said regulations owing to want the court of directory of the Hongkong Opp.) naked the Secretary for Foreign of co-operation on the part of the Chinese and Shanghai Banking Corporation; Affairs whether it was his intention, in authorities. Inasmuch as a party to an whether he was aware that each of the the event of the financial houses forming agreement cannot free himself from it by four frais named had been concerned in the body known as the Six-Powers Group a failure to observe it, the groups hold independent loan agreements made since deciding to renew their understanding or that the Chinese are still bound by the March 9th, 1912; that David Bassoon & agreement at the end of the year, that the Cerias of the agreement referred to. Co. and E. D. Sassoon & Co. were repre- Foreign Office should continue to support
On the 31st ult.,
sented on the board of directors of the that group in its action relative to the Eastern Bank (Limited), which with the financing of China; or whether he would Banque Sino-Belge signed the so-called inform the English section of the Six- Anglo-Belgian Loan Agreement of March Powers Group that they would not be 14th, 1912; that Carlowitz & Co. con supported by the Foreign Office to the faded a idan agreement with the pro detriment of other English bnanciers vince of Chokiang; that Arnhold, Karberg who might be willing to undertake Chi & Co. concluded a loan agreement with hese business.
No reply was given.
Mr. R. Gwynne (Eastbourne, Opp.) asked the Secretary for Foreign Affairs whether he would state in how many cases his Majesty's Government, were pledged to give their exclusive support or special privileges to one or more British finan ciem in the matter of loans to foreign countries, the names of those enjoying the privileges, the extent of those privi leges, and the country to which in cach case the privileges apply.
Sir E. Grey-I am not aware of any case in which we are pledged to give ex clusive support or special privileges in definitely to British financiers in the mat ter of logus to foreign countries, though his Majesty's Government may at various times have promised their support to one or more banks or firms for some particu lar loan under special circumstances, as has been done recently in the case of the
China loan.
the province of Chibli would he say Sir E. Grey (Northumberland, Ber. what had been the attitude of his wick). I am not aware that the agree Majesty's Government in regard to loans ment between the Six-Powers Group is promoted, not by the Hongkong and likely to lapse at the end of the year, but Shanghai Banking Corporation, but by in any case the policy of his Majesty's individual firms represented on its court Government in the matter of Chinese of directors; and whether the support of loans has been clearly defined since the the Government extended to these indivi-House met, and I have nothing to add dual firms in loan transactions not pro-to the answers which I bave already given moted by the Hongkong and Shanghai on this subject. With regard to the Banking Corporation.
second part of the question, the lun
Sir E. Grey. The answer to the first member will be aware from the corre question is in the affirmative ponding spondence which has just been published negotiation and issue of the reorganiza that a condition of the support given by tion loan proposed. The answer to the his Majesty's Government to the Hong Mr. R. Gwynne asked whether it was second question is in the affirmative. kong and Shanghai Bank was that the with the sanction of his Majesty's Gov. With regard to the third. I am only British group should be expanded. ernment, as a member of the Six-Powers aware that Messrs. E. D. Sassoon as re-promise of support to the Six-Powers Group, that the British group and Ame presenting the Eastern Bank (Limited) Group applied to the period of repatia- rican group respectively published on have been concerned in individual loan tion and issue of the reorganization loan.
The
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