HC Deb 23 October 1912 vol 42 cc2163-5
7. Mr. NORMAN CRAIG

asked the Secretary of State for Foreign Affairs whether he is aware that the Chinese premier informed the six-Power group on 12th June, 1912, that he would require about 19,000,000 taels during the month of June, 1912, and that, unless he received that sum through the group, he would consider himself free to borrow elsewhere; that on 17th June, 1912, the six-Power group advanced 3,000,000 taels; will he say whether any and what further sum was advanced by or through the six-Power group during that month; whether be is aware that on 9th July, 1912, the Chinese Minister of Finance informed the six-Power group in writing that, by reason of the failure of the group to advance money to meet China's urgent needs, China must seek other means of raising money; will he say whether any and what reply was made to this communication; whether he is aware that on 5th August, 1912. the Chinese Minister of Finance informed the six-Power group in writing that, having failed to arrive at a satisfactory conclusion with the six-Power group with regard to the loan negotiations, the central Government after long delay had decided to negotiate loans with other banking groups; whether he is aware that the Crisp loan agreement was not signed until 30th August, 1912, and that no money was to be provided there-under until a later date; and whether any and what protest was made against the action proposed to be taken by the Chinese Government between 5th August, 1912, the date of the announcement of their intention to borrow elsewhere, and 30th August, 1912, the date of the Crisp loan agreement?

Mr. ACLAND

The Minister of Finance wrote to the agents of the six-Power group on 12th June, stating that the urgent needs of the Chinese Government for the month of June amounted to 24,143,000 taels; of this sum 3,000,000 taels had been already received from the group, leaving the amount still required 21,143,000 taels. The Minister requested that, should the group be unable to guarantee the amount in question, he might be informed definitely to that effect before 15th June, so that the Chinese Government might be enabled to apply to other financial groups to arrange for a large loan. The six-Power group advanced 3,000,000 taels on 13th June, and a like sum on 21st June. No other advances were made during the month of June. On 9th July the Minister of Finance informed the agents of the group in writing that, if a further advance, which had been requested the previous day, were not made, the Chinese Government would be obliged to tell the provinces to find assistance themselves, or the central Government would have to seek other means of meeting urgent needs. No written reply appears to have been made to this communication, but we understand that the Chinese Government were informed that the group were prepared to extend the advances to the sum required, and negotiations were continued in regard to the terms. I am not aware of any communication made by the Minister of Finance to the agents of the group on 5th August. It is correct that the Crisp Loan agreement was signed on 30th August. The agreement stipulated that the first payment (£500,000) should be made to the Chinese Government on or before 30th September. No protest was made by His Majesty's Government against the conclusion of this loan between the dates indicated, but the attitude of His Majesty's Government was fully explained to Mr. Crisp on the 23rd August, and no information as to the signature of a definitive agreement was received until the 4th September. I think that the circumstances of the Crisp loan will be best explained if Papers were to be laid. I therefore, propose to lay Papers as soon as possible.