A story appeared in one of Shanghai's newspapers on Tuesday reporting allegations of corruption in the use of surtax funds by Chinese officials. The reports are said to have emanated from local Chiaese merchants. An account was given of resolutions framed by Mr. tien Shih-ling and presented to the International Famine Relief Committee. Mr. Tien's resolutions demand that the the period of the enforcement of the surtax be specified; that surtax estimates be tabulated; that methods of reporting the surtax be systematize and that reports be made pene cally with regard to distribution of funds.
Also a statement is made to the effect that the old Chiaotung G: is alleged to be obtaining funds from the surtax for political purposes, with a view toward winning the election.
'A reporter of the "North-China Daily News," "seeking the facts of this story, found that on November 14, Mr. Tien Shih-ling of the Chinese Chamber of Commerce wrote a letter to the local Chinese Foreign Famine Relief Committee suggesting that the committee request the government for information and that the five resolutions indicated above be forwarded to the govern: ment. This letter was taken up at the Committee's meeting of November 22 and was generally—discussed. It was held at this meeting that the matters referred to are of a political nature and that the local committee was interested in famine relief and not polities. Friends of the resolutions made it clear that they were meant only as a precaution and that the surtax was of such recent origin that there could be no basis for supposing that any of the funds so collected were misused. For instance, it was said yesterday. that the surtax on telegrams had only come into operation a month ago, or thereabouts, and that the accounting for the first month of operation would not Ge completed for a week.
Text read from the printed page and cleaned; old type leaves the occasional error.