Peking, July 6.
The Chinese Eastern Railway conference closed to-day with a tiffin given by the shareholders and directors which was attended by President Sung Hsiao-liang and other prominent Chinese. The most important result of the conference is the decision to issue debentures for Tis, 25,000,000, bearing five per cent. interest, with the Railway as security. Debentures of Tls. 1°,000,000 will be given to the Chinese Government in payment of the old debt of Tls. 5,000,000 with compound interest since 1907, while the balance will be sold in the open market to provide an operating fund for the Railway.
The entire Peking community agrees that the debenture issue is virtually a sale of the controlling financial interest in the QOhinese Eastern Railway to the Japanese, since the Chinese are apparently prepared to sell their debentures wherever they are received and since the investment is unattractive to any but the Japanese, who recently offered a loan of 20 millions on the Railway.
Text read from the printed page and cleaned; old type leaves the occasional error.