With regard to the foreign loan of £2,000,000 contracted by the Canton Government, the Canton Times" says the agent of the syndicate, Mr. G. L. Brander, is now on his way to London to arrange details. The same journal says the authorities deny that there has been any revival of the Cassel Agreement negotiations. With regard to the loan, it is stated that the authorities argue that the proposed issue of £2,000,000_ sterling per cent. bonds through London bankers is simply a substitute for the present unappreciated domestic loan of $17,500,000 in the form of government banknotes now being circulated on the market at a great discount, which are now accepted only at less than 65 per cent.; that the supervision required by the bond holder will not interfere with the administration of the wine and tobacco tax, as receipts from these sources will be greatly increased and never lessen, the present income being more than sufficient to cover the loan; and that the supervision simply operates over the expenditure for which the bonds are issued, thus preventing corruption and diversion of the money to other purposes.
The Canton Government does not object to the low price of issue, $87.50 for $100 face value, the reason being that the Government is now losing heavily daily because of lack 1 of reserve to redeem or support the present paper money on the market. The Provincial Bank of Kuangtung, by which the government notes are being issued, and the Canton Government Mint are losing some $900,000 a month because of lack of silver and the high cost of silver obtained through agencies on account. The Mint is now being operated with but very little, if any, profit to the pubic, as it is being run by private concerns, with certain considerations to the Canton Government. The Government is trying to conduct its own mint with improved plant to be purchased with proceeds from the loan in London. The output of 20-cent. pieces amounts to about $300,000 daily, and plans are being made to double the capacity through larger and improved equipment.
Canton, Oct. 27.
The students and workers in Canton are opposing the - several
Text read from the printed page and cleaned; old type leaves the occasional error.