File No. 774/135A.

The Secretary of State to Minister Rockhill.

[Telegram.—Paraphrase.]

(Mr. Root informs Mr. Rockhill of the passage of the bill authorizing the President to modify the indemnity bond from $24,440,000 to $13,655,492.69 and interest at 4 per cent, and to remit the remainder of the indemnity as an act of friendship, such payments and remissions to be at such times and in such manner as the President shall deem just. Says that a further sum of $2,000,000 is reserved from the indemnity paid to abide the result of the rehearing on private claims presented to the Court of Claims within one year. The balance remaining after such adjudications is also to be returned to the Chinese Government in such a manner as the Secretary of State shall decide. Mr. Eoot directs Mr. Kockhill to invite an expression of views of the Chinese Government as to times and manner of remission which would be just; and advise him, in conferring with the Chinese Government upon this subject, to keep in mind the conferences during his last visit to the United States.)