The Minister in China ( Schurman ) to the Acting Secretary of State
[Received September 21—11:25 a.m.]
375. My 366, September 9, 11 a.m.73 Chinese Government during Chang Ying-hua’s75 regime has paid $4,000,000 silver on Crisp and Anglo-French loan due September 20th and 25th, 1,000,000 Metropolitan [Page 809] police, 500,000 to Navy, 160,000 to Houses Parliament, 700,-000 to Government departments in cash and other sums in redeemable notes and 100,000 to Chihli militarists. All mainly from salt revenues and surplus releases. Reliably reported that payments due on Crisp and Anglo-French loans held back by custodian of banks before any releases made. Crisp payment being made today through Hongkong-Shanghai Bank which bank dropped sterling rate of exchange one farthing below market rate yesterday making Chinese pay one-half percent more than market rate.
Loan of 400,000 has been secured from Sino-Belgian Bank, 150,000 for educational expenses, 200,000 more for Parliament.