Peking, Jan. 3.
A few days ago the native press and several local English language papers picked vp and circulate ed the rumour that Sir Francis Aglen was about to abandon the administration of the consolidate ed domestic loan service and re sign his authority into the hands of the Ministry of Finance. The assumption and the implication were that he found his duties as present pest. It has also been generally known that the Customs Surplus ig not the first security for the loan service. When the various domestic loans were consolidated in March, 1921 by pre sidential mandate and Sir Francis Aglen was put in charge of the service, he was promised $12,000,- 000 a year from the Salt surplus and $500,000 a month from the Ministry of Communications pend-director of this service in conflict ing the reorganization of the with British financial interests Wine and Tobacco tax collectorate. and that the situation had become It has been public knowledge that embarrassing. This was not all the Ministry of Communications strictly true but there was a germ hag not met its obligations to the of truth in it that could not be loan service for about 14 months denied and the result has been a and that it has been many months state of excitement among bond-since the/ Salt Gabelle contributed holders which threatens to border anything, and that the whole on panic. The holidays have in-burden of the consolidated loan tervened and with the banks clos-service was therefore upon the ed it has been impossible for the Customs surplus. It was there-bond-holding public to determine fore clearly understood that if, what was going to happen when because of trade depression or be~ the market reopened, but many cause of a radical drop in the ex-private transactions in which the change value of silver, the Cus-bonds were very little below their toms surplus was insufficient to last market figures, together with cover the service, Sir Francis more accurate knowledge of the Aglen would be forced to suspend real situation, have thrown-a. ray interest payments which would of hope on the future of the bonds. literally knock the bottom out of What. has actually happened is the bond market. The last con-that the financiers of four Powtingency was that the Diplomatic ers, Great Britain, America, Body would lay hands on the sur-France and Japan, have protested plus as security for foreign or through their Legations to the other loans. It was the least like-Chinese Government against the ly and the least apprehended. vse of Customs surplus which,
Text read from the printed page and cleaned; old type leaves the occasional error.