Japanese Said Abusing, Educational Grants Washington, June 19.
The State Department was reported) today to be attempting to cancel China's remissions of U.S. $18,000,000] in Boxer indemnities for Chinese scientific and educational projects because of Japanese insistence on teaching "propaganda" courses in Chinese Universities in occupied areas.
According to the Congressional statute of 1925 the payments are to be used for Chinese universities, scientific professorships and fellowships to American colleges under the direction of a board of ten Chinese and five Americans.
Asserting that the Japanese were violating the.terms of the Boxer agreement, the State Department plans to request China to resume cash payments instead of the present policy of granting bequests to educational institutions, the reports said.
The Department's reported intentions was said to bring up the question of legality of the move. since administration of the indemnity is in hands of a self-perpetuating foundation. It was therefore believed the State Department would not act until an official protest had been received from China.—United Press.
Text read from the printed page and cleaned; old type leaves the occasional error.