CHINESE RAILWAYS.

Dominion, Volume 2, Issue 476, 7 April 1909, Page 7

CHINESE RAILWAYS.

CAPITALISTS'DISPUTE, THE HAND OF GERMANY ONCE MORE, CANTON-HANKAU LINE. (DY TELEOttAM— TRESS ASSOCIATION—COVI RIGHT.) Paris, April 5. . After hcatod conferences at Paris with a German group of bankers, tho Britisli and French group declined to participate in'the Deutsehe-Asiatischo Bank's Canton-Hankau railway loan, on. tho ground that adequato control of cxpendituro was not provided for, Tho British and French banks also forwarded a protest to Poking, on tho ground that tho loan had not been previously sub< mittod to Britain, in accordance with the provisions of ;tho convention of September 9, 1905. London, April 5. Details of the differences between tho British and German financiers over tho Canton-Hankau railway show that there was acute tension through Germany persisting 'with an agreement made with China taliiml tho backs of England and Prance, contrarj to a protocol signed a week earlier. Tin German financiers' showed a disposition to yield, but pleaded that their Foreign Oflie* would not permit them. BRITAIN'S CONSTRUCTION OPTION. # The lack of adequate control of expenditure is a .general charge mado by Anglo-French capitalists in connection with Chinese railway construction works. Tho particular complaint in connection with Cni\ton-Hniil;au rni'.wa • is that China had ' undertaken to rive British capital preference. The Canton-liaiiknu railway is a portion of a larger pcheine, the Peking-Httnkau-Ca'nton railway. Towards finniicing the lino a loan of .£1,350,000 was obtained at tho commencement of construction from tho Goveminent of Hong-Kong;. Under tho terms .f this loan it is claimed that Britain obtained the option of construction of tho line between Canton and Hankan. Last month it was reported that tho Gorman capitalists were •likely to withdraw their loan, but considerations of high politics soem to have intervened. Ine , Cantou-Hiinkau railway will have * length of 742 miles. Tho country traversed is described as of singular beauty, besides being populous, fertile, and of reputed mineral wealth. Tho population of Hunan alone, which the railway will cross, is estimated by the Chinese at 22,000,000, which after making ollowanco for exaggeration, gives an average o? well over 200 to the square mile.