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FRANCE.

NEUTRALITY OF CHINA IN THE WAR BETWEEN RUSSIA AND JAPAN.

Mr. Hay to Mr. Porter.

'Telegram.-Paraphrase.]

DEPARTMENT OF STATE, Washington, February 8, 1904.

(Mr. Hay instructs Mr. Porter to consult the minister for foreign affairs in regard to the possibility and desirability of neutral powers concurrently using good offices with Russia and Japan (in case a state of war should unfortunately be created), to induce them to respect the neutrality of China and in all practicable ways her administrative entity, to localize and limit as much as possible the area of hostilities, so that undue excitement and disturbance of the Chinese people may be prevented and the least possible loss to the commerce and the peaceful intercourse of the world may be occasioned. If this proposition is acceptable, suggest that instructions be sent to the French representatives at St. Petersburg, Tokyo, and Peking. All the signatories of the protocol of Peking will then be consulted.)

Mr. Porter to Mr. Hay.

No. 1295.]

AMERICAN EMBASSY,

Paris, February 12, 1904. SIR: Upon receiving your cable of February 8, suggesting that the powers take concurrent action in an effort to insure the neutrality of China, etc., I went to see Mr. Delcassé the same day to place the matter before him. He received it in the best spirit and I am sure he feels that our Government in taking this step is actuated by a friendly desire to limit the evils threatened by a state of war. He discussed the subject for some time. A little anxiety was expressed to know the exact significance of the phrase "Administrative entity," but as this and the phrase "Entité administrative" in French are identical, I think no doubt can remain in his mind as to the scope of the meaning.

* * *

The issuing of the circular has certainly been very timely and is directly in the interest of all the powers. It has again brought the practical diplomacy of America to the front and given it very great prominence.

Mr. Delcassé himself takes the common-sense view of your circular, and while he does not yet express any decided opinion he will explain its provisions to his colleagues of the cabinet, and after they consider the subject I hope we may before long receive a satisfactory reply.

I have, etc.,

HORACE PORTER.

Mr. Porter to Mr. Hay.

[Telegram.-Paraphrase.]

AMERICAN EMBASSY,
Paris, February 13, 1904.

(Mr. Porter states that Mr. Delcassé gives adherence to our proposition in the following words:

Like the Government of the United States, the Government of the French Republic thinks that it is very desirable that the neutrality of China be respected. But it is of the opinion that Manchuria, which is the field of military operations, ought to be excepted. It thinks, also, that it follows of itself that Chinese neutrality ought to include the leased Chinese territories and foreign concessions.)

Mr. Hay to Mr. Porter.

[Telegram.-Paraphrase.]

DEPARTMENT OF STATE, Washington, February 15, 1904.

(Mr. Hay directs Mr. Porter to express the gratification of the President for the prompt and hearty cooperation of France in the matter of China's neutrality.)

Mr. Hay to Mr. Porter.

[Telegram.-Paraphrase.]

DEPARTMENT OF STATE, Washington, February 19, 1904.

(Mr. Hay transmits the reply of Russia to the proposal of the United States, which says that the Imperial Government reciprocates in the desire for tranquillity in China, and that it is ready to enter into an engagement with the powers for the maintenance of the neutrality of that Empire provided that China herself strictly observes neutrality, that Japan complies with the agreement between the powers and observes the principles of international law, and that it is understood that Manchuria, in which military operations must of necessity be carried on, is excepted from the neutralization.)

TRANSFER OF THE NEW PANAMA CANAL COMPANY'S PROPERTY TO THE UNITED STATES.

Mr. Porter to Mr. Hay.

[Telegram.-Paraphrase.]

AMERICAN EMBASSY,
Paris, April 2, 1904.

(Mr. Porter states that the Assistant Attorney-General and Mr. Russell request that the Attorney-General be informed of an inter

view they have had with the president of the company, and that they find the company's views satisfactory. They expect speedy conclusion.)

Mr. Porter to Mr. Hay.

[Telegram.-Paraphrase.]

AMERICAN EMBASSY,

Paris, April 17, 1904.

(Mr. Porter sends the following from Messrs. Day and Russell to the Attorney-General:

General deed conveying totality of property has been executed and delivered before our consul-general. Deed drawn to suit us, and we are guaranteed all further deeds we may want later. We are to pay transfer charges, if any. Have no expectations of having to pay any. We shall take possession here and shall cable Walker at Panama to take over properties there, sending copy of deed and other papers.)

Mr. Vignaud to Mr. Hay.

[Telegram.-Paraphrase.]

AMERICAN EMBASSY,
Paris, May 2, 1904.

(Mr. Vignaud sends text of letters and substance of contract exchanged to-day by Messrs. Day and Russell.

Mr. J. P. MORGAN, Hotel Bristol, Paris.

PARIS, April 28.

DEAR SIR: As representatives of the Government of the United States, having full power so to do, we have the honor to say that the Government desires to, and does hereby, appoint your firm, J. P. Morgan & Co., its agents, to see to and to effect the transfer and payment by the United States at the Bank of France, Paris, of the $40,000,000, constituting the price of the New Panama Canal Company's property.

Upon delivery of the property by the latter company to the representatives of the United States, the Government will place such $40,000,000 with your firm as such agents, to be transferred and paid to the company, or upon its order to the liquidator of the old Panama Canal Company, at the Bank of France, in gold coin, or such other form as may be agreed upon between your firm and the company, as speedily as may be convenient.

It is understood that your firm will see to, and pay for, insurance, and take all other reasonable precautionary measures, and that it will charge the United States nothing, and pay no interest, and shall not be accountable for any profits made under agreements it may make with third parties. Please signify your acceptance.

Morgan's answer addressed to us bearing same date:

We beg leave to acknowledge the receipt of your valued favor of this date, addressed to our senior, in behalf of the United States, and constituting us as fiscal agents of the United States for the purpose of and with the powers mentioned in your said communication. We accept said appointment, under the terms and powers indicated, and hereby express our complete accord with the understanding you state. We are, dear sirs,

Very truly, yours,

J. P. MORGAN & Co.

Substance of contract between company and United States.

[Agreement 28th April.]

Company will make delivery of property covered by general conveyance of April 16, upon execution and delivery of this agreement. Payment of 40 millions gold to be made after delivery of said property in Bank of France through agents hereafter mentioned, as follows: Upon call and order of company, at such time or times as it may designate to said agents, in following order and manner: Twenty million francs to credit Jean Pierre Gautron, liquidator; five million francs to credit of company; remainder, 40 per cent to company and 60 per cent to Gautron, proportionately. United States, upon such delivery of property having been made, will pay through Morgan & Co., in gold coin, in Bank of France, in manner aforesaid, and shall remain obligated until full amount paid in manner aforesaid, and the United States agrees that payment shall be so made without regard to any suits, attachments, injunctions, or causes of any nature whatsoever. All expenses incident to carrying out agreement of even date between United States and Morgan, shown by copies of letters attached, shall be borne by company, United States to be protected from all costs whatever, of transmitting and paying at Paris. Agreed that phrase "third parties" in letter to Morgan, includes company, and that company may make agreements with Morgan Company, not inconsistent with provisions of said letters. This agreement not to be construed to change or be inconsistent with agreements and conveyances heretofore made between company and Government.)

TREATY BETWEEN THE UNITED STATES AND FRANCE FOR THE DETERMINATION OF THEIR RELATIONS IN TUNIS.

Signed at Washington March 15, 1904.

Ratification advised by the Senate March 24, 1904.
Ratified by the President May 6, 1904.

Ratified by France April 3, 1904.

Ratifications exchanged at Washington May 7, 1904.
Proclaimed May 9, 1904.

BY THE PRESIDENT OF THE UNITED STATES OF AMERICA.

A PROCLAMATION.

Whereas a Convention between the United States of America and the French Republic acting in its own name as well as in that of His Highness the Bey of Tunis, to determine the relations between the United States and France in Tunis and to define the treaty situation of the United States in the Regency, was concluded and signed by

their respective Plenipotentiaries at Washington, on the fifteenth day of March, one thousand nine hundred and four, the original of which Convention, being in the English and French languages is word for word as follows:

The President of the United States of America and the President of the French Republic, acting in his own name as well as in that of His Highness the Bey of Tunis, desiring to determine the relations between the United States and France in Tunis, and desiring to define the treaty situation of the United States in the Regency, have named for that purpose the following plenipotentiaries:

The President of the United States of America, John Hay, Secretary of State of the United States; and

The President of the French Republic, J. J. Jusserand, Ambassador Extradordinary and Plenipotentiary of France at Washington;

Who, after communicating to each other their full powers, which were found in good and due form, have agreed upon the following Articles:

ARTICLE I.

The Government of the United States declares that it renounces the right of invoking in Tunis the stipulations of the Treaties made between the United States and the Bey of Tunis in August 1797, and in February 1824, and that it will refrain from claiming for its Consuls and citizens in Tunis other rights and privileges than those which belong to them in virtue of international law or which belong to them in France by reason of treaties in existence between the United States and France.

The Government of the French Republic agrees on its side to assure these rights and privileges in Tunis to the Consuls and citizens of the United States and to extend to them the advantage of all treaties and conventions existing between the United States and France.

ARTICLE II.

The present convention shall be ratified and the ratifications shall be exchanged at Washington as soon as possible.

In witness whereof, the respective Plenipotentaries have signed the foregoing Articles and have affixed their seals.

Done in duplicate at Washington, in the English and French languages, the 15th day of March, in the year 1904.

JOHN HAY [SEAL.]
JUSSERAND [SEAL.]

And whereas the said Convention has been duly ratified on both parts, and the ratifications of the two governments were exchanged in the City of Washington, on the seventh day of May, one thousand nine hundred and four;

Now, therefore, be it known that I, Theodore Roosevelt. President of the United States of America, have caused the said Convention to be made public, to the end that the same and every article and clause thereof may be observed and fulfilled with good faith by the United States and the citizens thereof.

FB 1904 M-20

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