Directory_and_Chronicle_1923 — Page 202

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TREATY FOR THE SETTLEMENT RELATING TO SHANTUNG

Art. XV.-China undertakes to reimburse to Japan the actual value of all the Railway properties mentioned in the preceding Article.

The actual value to be so reimbursed shall consist of the sum of fifty-three million, four hundred and six thousand, one hundred and forty-one (53,406,141) gold marks (which is the assessed value of such portion of the said properties as was left behind by the Germans), or its equivalent, plus the amount which Japan, during her administration of the Railway, has actually expended for permanent improvements on or additions to the said properties, less a suitable allowance for depreciation.

It is undertsood that no charge will be made with respect to the wharves, ware- honse and other similar properties mentioned in the preceding Article, except for such permanent improvements on or additions to them as may have been made by Japan during her administration of the Railway, less a suitable allowance for de- preciation.

Art. XVI.-The Government of Japan and the Government of the Chinese Republic shall each appoint three Commissioners to form a Joint Railway Com- mission, with powers to appraise the actual value of the Railway properties on the basis defined in the preceding Article and to arrange the transfer of the said properties.

Art. XVII. The transfer of all the Railway properties under Article XIV. of the present Treaty shall be completed as soon as possible, and, in any case, not later than nine months from the date of the coming into force of the present Treaty.

Art. XVIII. To effect the reimbursement under Article XV. of the present Treaty, China shall deliver to Japan, simultaneously with the completion of the transfer of the Railway properties, Chinese Government Treasury Notes, secured on the properties and revenues of the Railway and running for a period of fifteen years, but redeemable, whether in whole or in part, at the option of China at the end of five years from the date of the delivery of the said Treasury Notes, or at any time there- after upon six months' previous notice.

Art. XIX. Pending the redemption of the said Treasury Notes under the pre- ceding Article, the Government of the Chinese Republic will select and appoint, for so long a period as any part of the said Treasury Notes shall remain unredeemed, a Japanese subject to be Traffic Manager, and another Japanese subject to be Chief Accountant jointly with the Chinese Chief Accountant and with co-ordinate functions.

These officials shall all be under the direction, control and supervision of the Chinese Managing-Director, and removable for cause.

Art. XX.--Financial details of a technical character relating to the said Treasury Notes not provided for in this Section shall be determined in common accord between the Japanese and Chinese authorities as soon as possible and, in any case, not later than six months from the date of the coming into force of the present Treaty.

SECTION VI.-Extensions of the Tsingtao-Tsinanfu Railway

Art. XXI.-The concessions relating to the two extensions of the Tsingtao- Tsinanfu Railway, namely, the Tsinanfu-Shunteh and the Kaomi-Hsuchowfu lines, shall be made open to common activity of an international financial group, on terms to be arranged between the Government of the Chinese Republic and the said group.

SECTION VII.-Mines

Art. XXII. The mines of Tsechwan, Fangtze and Chinlingchen, for which the mining rights were formerly granted by China to Germany, shall be handed over to a company to be formed under a special charter of the Government of the Chinese Republic, in which the amount of Japanese capital shall not exceed that of Chinese capital.