CHINA AND GERMANY.

New Zealand Herald, Volume LXI, Issue 18761, 15 July 1924, Page 7

CHINA AND GERMANY.

TWO NEW AGREEMENTS. POINTS AT ISSUE SETTLED. A. and N.Z. PEKING, July 13. The Chinese Cabinet has issued the text of two agreements between China and Germany. They relate to the re-establish-ment of the German Bank and the. settle-, ment of bonds and financial questions in the former agreement. China undertakes to return all the bank's property, including the bank buildings in Peking and Hankow, free of encumbrances. She also agrees. J ( o pay 1,950,000 dollars in Tientein-Hnkuaing railway bonds as compensation for property in other parts of China which has been liquidated. The Chinese Government is prepared to reinstate the German Bank on its pre-war footing, including its functions as an issuing bank.

In the second agreement the (Dhinese Government undertakes to release German private property still withheld by China, to the total value of between 69,000,000 and 70,000,000 dollars. The German Government will pay China in advance a portion of an indemnity, equivalent to half the value of the released property, as final compensation for all the Govern, ment's claims arising out of the war.

The German Government undertakes to settle all outstanding claims of German private individuals against China. This agreement is to be considered a final settlement of all the outstanding claims of the Chinese Government against the German Government, and vice versa, provided that they originated before July 1, 1921. Both agreements are signed by the Prime Minister, Dr. Wellington Koo.

RECOGNITION OF RUSSIA. EXCHANGE OF AMBASSADORS. (Received 5.5 p.m.) Reuter. PEKING. July 13. It has now been virtually decided that China will comply with the request of the Soviet for an exchange of Ambassadors.