File No. 893.77/1530
Minister Reinsch to the Secretary of State
Peking, May 12, 1916, 1:50 p.m.
Your telegram of May 6, 4 p.m. In view of the fact that surplus revenue of Ministry of Communication last year was eight million dollars silver from railways and that Ministry has always promptly met its obligations, loan in question would seem to be amply secured. Although more in the nature of a general credit than a specific lien, yet it amounts to secondary lien upon the entire railway, post and telegraph revenue of China. The purpose of the loan Minister of Communication stated to me to be for the cost of extensions of the service both on railway and telegraph stock.