PART I

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THE FIGHT FOR THE REPUBLIC IN CHINA

by

B. L. PUTNAM WEALE

Author of _Indiscreet Letters from Peking_, etc.

With 28 Illustrations

London: Hurst & Blackett, Ltd.

Paternoster House, E.C.

1918

[Illustration: President Li Yuan-Hung.]

PREFACE

This volume tells everything that the student or the casual reader needs

to know about the Chinese Question. It is sufficiently exhaustive to

show very clearly the new forces at work, and to bring some realisation

of the great gulf which separates the thinking classes of to-day from

the men of a few years ago; whilst, at the same time, it is sufficiently

condensed not to overwhelm the reader with too great a multitude of

facts.

Particular attention may be devoted to an unique feature--namely, the

Chinese and Japanese documentation which affords a sharp contrast

between varying types of Eastern brains. Thus, in the Memorandum of the

Black Dragon Society (Chapter VII) we have a very clear and illuminating

revelation of the Japanese political mind which has been trained to

consider problems in the modern Western way, but which remains saturated

with theocratic ideals in the sharpest conflict with the Twentieth

Century. In the pamphlet of Yang Tu (Chapter VIII) which launched the

ill-fated Monarchy Scheme and contributed so largely to the dramatic

death of Yuan Shih-kai, we have an essentially Chinese mentality of the

reactionary or corrupt type which expresses itself both on home and

foreign issues in a naïvely dishonest way, helpful to future diplomacy.

In the Letter of Protest (Chapter X) against the revival of Imperialism

written by Liang Ch'i-chao--the most brilliant scholar living--we have a

Chinese of the New or Liberal China, who in spite of a complete

ignorance of foreign languages shows a marvellous grasp of political

absolutes, and is a harbinger of the great days which must come again to

Cathay. In other chapters dealing with the monarchist plot we see the

official mind at work, the telegraphic despatches exchanged between

Peking and the provinces being of the highest diplomatic interest. These

documents prove conclusively that although the Japanese is more

practical than the Chinese--and more concise--there can be no question

as to which brain is the more fruitful.

Coupled with this discussion there is much matter giving an insight into

the extraordinary and calamitous foreign ignorance about present-day

China, an ignorance which is just as marked among those resident in the

country as among those who have never visited it. The whole of the

material grouped in this novel fashion should not fail to bring

conviction that the Far East, with its 500 millions of people, is

destined to play an important rôle in _postbellum_ history because of

the new type of modern spirit which is being there evolved. The

influence of the Chinese Republic, in the opinion of the writer, cannot

fail to be ultimately world-wide in view of the practically unlimited

resources in man-power which it disposes of.

In the Appendices will be found every document of importance for the

period under examination,--1911 to 1917. The writer desires to record

his indebtedness to the columns of _The Peking Gazette_, a newspaper

which under the brilliant editorship of Eugene Ch'en--a pure Chinese

born and educated under the British flag--has fought consistently and

victoriously for Liberalism and Justice and has made the Republic a

reality to countless thousands who otherwise would have refused to

believe in it.

PUTNAM WEALE.

PEKING, June, 1917.

CONTENTS

I.--GENERAL INTRODUCTION

II.--THE ENIGMA OF YUAN SHIH-KAI

III.--THE DREAM REPUBLIC

(From the Manchu Abdication to the dissolution of Parliament)

IV.--THE DICTATOR AT WORK

(From the Coup d'état of the 4th Nov. 1913 to the outbreak of the

World-war, 1st August, 1914)

V.--THE FACTOR OF JAPAN

VI.--THE TWENTY-ONE DEMANDS

VII.--THE ORIGIN OF THE TWENTY-ONE DEMANDS

VIII.--THE MONARCHIST PLOT

1º The Pamphlet of Yang Tu

IX.--THE MONARCHY PLOT

2º Dr. Goodnow's Memorandum

X.--THE MONARCHY MOVEMENT IS OPPOSED

The Appeal of the Scholar Liang Chi-chao

XI.--THE DREAM EMPIRE

("The People's Voice" and the action of the Powers)

XII.--"THE THIRD REVOLUTION"

The Revolt of Yunnan

XIII.--"THE THIRD REVOLUTION" (_continued_)

Downfall and Death of Yuan Shih-kai

XIV.--THE NEW RÉGIME--FROM 1916 TO 1917

XV.--THE REPUBLIC IN COLLISION WITH REALITY: TWO TYPICAL INSTANCES OF

"FOREIGN AGGRESSION"

XVI.--CHINA AND THE WAR

XVII.--THE FINAL PROBLEM:--REMODELLING THE POLITICO-ECONOMIC

RELATIONSHIP BETWEEN CHINA AND THE WORLD

APPENDICES--DOCUMENTS AND MEMORANDA

ILLUSTRATIONS

President Li Yuan-Hung

The Funeral of Yuan-Shih-kai: The Procession passing down the great

Palace Approach with the famous Ch'ien Men (Gate) in the distance

The Provincial Troops of General Chang Hsun at his Headquarters of

Hsuchowfu

The Funeral of Yuan Shih-kai: The Catafalque over the Coffin on its

way to the Railway Station

The Funeral of Yuan Shih-kai: The Procession passing down the great

Palace Approach with the famous Ch'ien Men (Gate) in the distance

An Encampment of "The Punitive Expedition" of 1916 on the Upper

Yangtsze (_By courtesy of Major Isaac Newell, U.S. Military Attaché_.)

Revival of the Imperialistic Worship of Heaven by Yuan Shih-kai in

1914: Scene on the Altar of Heaven, with Sacrificial Officers clothed

in costumes dating from 2,000 years ago.

A Manchu Country Fair: The figures in the foreground are all Manchu

Women and Girls

A Manchu Woman grinding Grain

Silk-reeling done in the open under the Walls of Peking

Modern Peking: A Run on a Bank

The Re-opening of Parliament on August 1st, 1916, after three years of

dictatorial rule

The Original Constitutional Drafting Committee of 1913, photographed

on the Steps of the Temple of Heaven, where the Draft was completed

A Presidential Review of Troops in the Southern Hungtung Park outside

Peking: Arrival of the President

President Li Yuan-Hung and the General Staff watching the Review

March-past of an Infantry Division

Modern Peking: The Palace Entrance lined with Troops. Note the New

Type Chinese Policeman in the foreground

The Premier General Tuan Chi-Jui, Head of the Cabinet which decided to

declare war on Germany General Feng Kuo-chang, President of the

Republic The Scholar Liang Chi-chao, sometime Minister of Justice, and

the foremost "Brain" in China

General Tsao-ao, the Hero of the Yunnan Rebellion of 1915-16, who died

from the effects of the campaign

Liang Shih-yi, who was the Power behind Yuan Shih-kai, now proscribed

and living in exile at Hong-Kong

The Famous or Infamous General Chang Hsun, the leading Reactionary in

China to-day, who still commands a force of 30,000 men astride of the

Pukow Railway

The Bas-relief in a Peking Temple, well illustrating Indo-Chinese

Influences

The Late President Yuan Shih-kai

President Yuan Shih-kai photographed immediately after his

Inauguration as Provisional President, March 10th, 1912

The National Assembly sitting as a National Convention engaged on the

Draft of the Permanent Constitution. (Specially photographed by

permission of the Speakers for the Present Work)

View from rear of the Hall of the National Assembly sitting as a

National Convention engaged on the Draft of the Permanent

Constitution. (Specially photographed by permission of the Speakers

for the Present Work)

CHAPTER I

GENERAL INTRODUCTION

The revolution which broke out in China on the 10th October, 1911, and

which was completed with the abdication of the Manchu Dynasty on the

12th February, 1912, though acclaimed as highly successful, was in its

practical aspects something very different. With the proclamation of the

Republic, the fiction of autocratic rule had truly enough vanished; yet

the tradition survived and with it sufficient of the essential machinery

of Imperialism to defeat the nominal victors until the death of Yuan

Shih-kai.

The movement to expel the Manchus, who had seized the Dragon Throne in

1644 from the expiring Ming Dynasty, was an old one. Historians are

silent on the subject of the various secret plots which were always

being hatched to achieve that end, their silence being due to a lack of

proper records and to the difficulty of establishing the simple truth in

a country where rumour reigns supreme. But there is little doubt that

the famous Ko-lao-hui, a Secret Society with its headquarters in the

remote province of Szechuan, owed its origin to the last of the Ming

adherents, who after waging a desperate guerilla warfare from the date

of their expulsion from Peking, finally fell to the low level of

inciting assassinations and general unrest in the vain hope that they

might some day regain their heritage. At least, we know one thing

definitely: that the attempt on the life of the Emperor Chia Ching in

the Peking streets at the beginning of the Nineteenth Century was a

Secret Society plot and brought to an abrupt end the pleasant habit of

travelling among their subjects which the great Manchu Emperors

K'ang-hsi and Ch'ien Lung had inaugurated and always pursued and which

had so largely encouraged the growth of personal loyalty to a foreign

House.

From that day onwards for over a century no Emperor ventured out from

behind the frowning Walls of the Forbidden City, save for brief annual

ceremonies, such as the Worship of Heaven on the occasion of the Winter

Solstice, and during the two "flights"--first in 1860 when Peking was

occupied by an Anglo-French expedition and the Court incontinently

sought sanctuary in the mountain Palaces of Jehol; and, again, in 1900,

when with the pricking of the Boxer bubble and the arrival of the

International relief armies, the Imperial Household was forced along the

stony road to far-off Hsianfu.

The effect of this immurement was soon visible; the Manchu rule, which

was emphatically a rule of the sword, was rapidly so weakened that the

emperors became no more than _rois fainéants_ at the mercy of their

minister.[1] The history of the Nineteenth Century is thus logically

enough the history of successive collapses. Not only did overseas

foreigners openly thunder at the gateways of the empire and force an

ingress, but native rebellions were constant and common. Leaving minor

disturbances out of account, there were during this period two huge

Mahommedan rebellions, besides the cataclysmic Taiping rising which

lasted ten years and is supposed to have destroyed the unbelievable

total of one hundred million persons. The empire, torn by internecine

warfare, surrendered many of its essential prerogatives to foreigners,

and by accepting the principle of extraterritoriality prepared the road

to ultimate collapse.

How in such circumstances was it possible to keep alive absolutism? The

answer is so curious that we must be explicit and exhaustive.

The simple truth is that save during the period of vigour immediately

following each foreign conquest (such as the Mongol conquest in the

Thirteenth Century and the Manchu in the Seventeenth) not only has there

never been any absolutism properly so-called in China, but that apart

from the most meagre and inefficient tax-collecting and some

rough-and-ready policing in and around the cities there has never been

any true governing at all save what the people did for themselves or

what they demanded of the officials as a protection against one another.

Any one who doubts these statements has no inkling of those facts which

are the crown as well as the foundation of the Chinese group-system, and

which must be patiently studied in the village-life of the country to be

fitly appreciated. To be quite frank, absolutism is a myth coming down

from the days of Kublai Khan when he so proudly built his _Khanbaligh_

(the Cambaluc of Marco Polo and the forebear of modern Peking) and

filled it with his troops who so soon vanished like the snows of winter.

An elaborate pretence, a deliberate policy of make-believe, ever since

those days invested Imperial Edicts with a majesty which they have never

really possessed, the effacement of the sovereign during the Nineteenth

Century contributing to the legend that there existed in the capital a

Grand and Fearful Panjandrum for whom no miracle was too great and to

whom people and officials owed trembling obedience.

In reality, the office of Emperor was never more than a

politico-religious concept, translated for the benefit of the masses

into socio-economic ordinances. These pronouncements, cast in the form

of periodic homilies called Edicts, were the ritual of government; their

purpose was instructional rather than mandatory; they were designed to

teach and keep alive the State-theory that the Emperor was the High

Priest of the Nation and that obedience to the morality of the Golden

Age, which had been inculcated by all the philosophers since Confucius

and Mencius flourished twenty-five centuries ago, would not only secure

universal happiness but contribute to national greatness.

The office of Emperor was thus heavenly rather than terrestrial, and

suasion, not arms, was the most potent argument used in everyday life.

The amazing reply (_i.e._, amazing to foreigners) made by the great

Emperor K'ang-hsi in the tremendous Eighteenth Century controversy

between the Jesuit and the Dominican missionaries, which ruined the

prospects of China's ever becoming Roman Catholic and which the Pope

refused to accept--that the custom of ancestor-worship was political and

not religious--was absolutely correct, _politics in China under the

Empire being only a system of national control exercised by inculcating

obedience to forebears_. The great efforts which the Manchus made from

the end of the Sixteenth Century (when they were still a small

Manchurian Principality striving for the succession to the Dragon Throne

and launching desperate attacks on the Great Wall of China) to receive

from the Dalai Lama, as well as from the lesser Pontiffs of Tibet and

Mongolia, high-sounding religious titles, prove conclusively that

dignities other than mere possession of the Throne were held necessary

to give solidity to a reign which began in militarism and which would

collapse as the Mongol rule had collapsed by a mere Palace revolution

unless an effective _moral_ title were somehow won.

Nor was the Manchu military Conquest, even after they had entered

Peking, so complete as has been represented by historians. The Manchus

were too small a handful, even with their Mongol and Chinese

auxiliaries, to do more than defeat the Ming armies and obtain the

submission of the chief cities of China. It is well-known to students of

their administrative methods, that whilst they reigned over China they

_ruled_ only in company with the Chinese, the system in force being a

dual control which, beginning on the Grand Council and in the various

great Boards and Departments in the capital, proceeded as far as the

provincial chief cities, but stopped short there so completely and

absolutely that the huge chains of villages and burgs had their historic

autonomy virtually untouched and lived on as they had always lived. The

elaborate system of examinations, with the splendid official honours

reserved for successful students which was adopted by the Dynasty, not

only conciliated Chinese society but provided a vast body of men whose

interest lay in maintaining the new conquest; and thus Literature, which

had always been the door to preferment, became not only one of the

instruments of government, but actually the advocate of an alien rule.

With their persons and properties safe, and their women-folk protected

by an elaborate set of capitulations from being requisitioned for the

harems of the invaders, small wonder if the mass of Chinese welcomed a

firm administration after the frightful disorders which had torn the

country during the last days of the Mings.[2]

It was the foreigner, arriving in force in China after the capture of

Peking and the ratification of the Tientsin Treaties in 1860, who so

greatly contributed to making the false idea of Manchu absolutism

current throughout the world; and in this work it was the foreign

diplomat, coming to the capital saturated with the tradition of European

absolutism, who played a not unimportant part. Investing the Emperors

with an authority with which they were never really clothed, save for

ceremonial purposes (principally perhaps because the Court was entirely

withdrawn from view and very insolent in its foreign intercourse) a

conception of High Mightiness was spread abroad reminiscent of the awe

in which Eighteenth Century nabobs spoke of the Great Mogul of India.

Chinese officials, quickly discovering that their easiest means of

defence against an irresistible pressure was to take refuge behind the

august name of the sovereign, played their rôle so successfully that

until 1900 it was generally believed by Europeans that no other form of

government than a despotism _sans phrase_ could be dreamed of. Finding

that on the surface an Imperial Decree enjoyed the majesty of an Ukaze

of the Czar, Europeans were ready enough to interpret as best suited

their enterprises something which they entirely failed to construe in

terms expressive of the negative nature of Chinese civilization; and so

it happened that though the government of China had become no

government at all from the moment that extraterritoriality destroyed the

theory of Imperial inviolability and infallibility, the miracle of

turning state negativism into an active governing element continued to

work after a fashion because of the disguise which the immense distances

afforded.

Adequately to explain the philosophy of distance in China, and what it

has meant historically, would require a whole volume to itself; but it

is sufficient for our purpose to indicate here certain prime essentials.

The old Chinese were so entrenched in their vastnesses that without the

play of forces which were supernatural to them, _i.e._, the

steam-engine, the telegraph, the armoured war-vessel, etc., their daily

lives could not be affected. Left to themselves, and assisted by their

own methods, they knew that blows struck across the immense roadless

spaces were so diminished in strength, by the time they reached the spot

aimed at, that they became a mere mockery of force; and, just because

they were so valueless, paved the way to effective compromises. Being

adepts in the art which modern surgeons have adopted, of leaving wounds

as far as possible to heal themselves, they trusted to time and to

nature to solve political differences which western countries boldly

attacked on very different principles. Nor were they wrong in their

view. From the capital to the Yangtsze Valley (which is the heart of the

country), is 800 miles, that is far more than the mileage between Paris

and Berlin. From Peking to Canton is 1,400 miles along a hard and

difficult route; the journey to Yunnan by the Yangtsze river is

upwards of 2,000 miles, a distance greater than the greatest march

ever undertaken by Napoleon. And when one speaks of the Outer

Dominions--Mongolia, Tibet, Turkestan--for these hundreds of miles

it is necessary to substitute thousands, and add thereto difficulties

of terrain which would have disheartened even Roman Generals.

Now the old Chinese, accepting distance as the supreme thing, had made

it the starting-point as well as the end of their government. In the

perfected viceregal system which grew up under the Ming Dynasty, and

which was taken over by the Manchus as a sound and admirable governing

principle, though they superimposed their own military system of Tartar

Generals, we have the plan that nullified the great obstacle. Authority

of every kind was _delegated_ by the Throne to various distant governing

centuries in a most complete and sweeping manner, each group of

provinces, united under a viceroy, being in everything but name so many

independent linked commonwealths, called upon for matricular

contributions in money and grain but otherwise left severely alone[3].

The chain which bound provincial China to the metropolitan government

was therefore in the last analysis finance and nothing but finance; and

if the system broke down in 1911 it was because financial reform--to

discount the new forces of which the steam engine was the symbol--had

been attempted, like military reform, both too late and in the wrong

way, and instead of strengthening, had vastly weakened the authority of

the Throne.

In pursuance of the reform-plan which became popular after the Boxer

Settlement had allowed the court to return to Peking from Hsianfu, the

viceroys found their most essential prerogative, which was the control

of the provincial purse, largely taken from them and handed over to

Financial Commissioners who were directly responsible to the Peking

Ministry of Finance, a Department which was attempting to replace the

loose system of matricular contributions by the European system of a

directly controlled taxation every penny of which would be shown in an

annual Budget. No doubt had time been vouchsafed, and had European help

been enlisted on a large scale, this change could ultimately have been

made successful. But it was precisely time which was lacking; and the

Manchus consequently paid the penalty which is always paid by those who

delay until it is too late. The old theories having been openly

abandoned, it needed only the promise of a Parliament completely to

destroy the dignity of the Son of Heaven, and to leave the viceroys as

mere hostages in the hands of rebels. A few short weeks of rebellion was

sufficient in 1911 to cause the provinces to revert to their condition

of the earlier centuries when they had been vast unfettered agricultural

communities. And once they had tasted the joys of this new independence,

it was impossible to conceive of their becoming "obedient" again.

Here another word of explanation is necessary to show clearly the

precise meaning of regionalism in China.

What had originally created each province was the chief city in each

region, such cities necessarily being the walled repositories of all

increment. Greedy of territory to enhance their wealth, and jealous of

their power, these provincial capitals throughout the ages had left no

stone unturned to extend their influence in every possible direction and

bring under their economic control as much land as possible, a fact

which is abundantly proved by the highly diversified system of weights

and measures throughout the land deliberately drawn-up to serve as

economic barriers. River-courses, mountain-ranges, climate and soil, no

doubt assisted in governing this expansion, but commercial and financial

greed was the principal force. Of this we have an exceedingly

interesting and conclusive illustration in the struggle still proceeding

between the three Manchurian provinces, Fengtien, Kirin and

Heilungchiang, to seize the lion's share of the virgin land of Eastern

Inner Mongolia which has an "open frontier" of rolling prairies. Having

the strongest provincial capital--Moukden--it has been Fengtien province

which has encroached on the Mongolian grasslands to such an extent that

its jurisdiction to-day envelops the entire western flank of Kirin

province (as can be seen in the latest Chinese maps) in the form of a

salamander, effectively preventing the latter province from controlling

territory that geographically belongs to it. In the same way in the

land-settlement which is still going on the Mongolian plateau

immediately above Peking, much of what should be Shansi territory has

been added to the metropolitan province of Chihli. Though adjustments of

provincial boundaries have been summarily made in times past, in the

main the considerations we have indicated have been the dominant factors

in determining the area of each unit.

Now in many provinces where settlement is age-old, the regionalism which

results from great distances and bad communications has been greatly

increased by race-admixture. Canton province, which was largely settled

by Chinese adventurers sailing down the coast from the Yangtsze and

intermarrying with Annamese and the older autochthonous races, has a

population-mass possessing very distinct characteristics, which sharply

conflict with Northern traits. Fuhkien province is not only as

diversified but speaks a dialect which is virtually a foreign language.

And so on North and West of the Yangtsze it is the same story,

temperamental differences of the highest political importance being

everywhere in evidence and leading to perpetual bickerings and

jealousies. For although Chinese civilization resembles in one great

particular the Mahommedan religion, in that it accepts without question

all adherents irrespective of racial origin, _politically_ the effect of

this regionalism has been such that up to very recent times the Central

Government has been almost as much a foreign government in the eyes of

many provinces as the government of Japan. Money alone formed the bond

of union; so long as questions of taxation were not involved, Peking was

as far removed from daily life as the planet Mars.

As we are now able to see very clearly, fifty years ago--that is at the

time of the Taiping Rebellion--the old power and spell of the National

Capital as a military centre had really vanished. Though in ancient days

horsemen armed with bows and lances could sweep like a tornado over the

land, levelling everything save the walled cities, in the Nineteenth

Century such methods had become impossible. Mongolia and Manchuria had

also ceased to be inexhaustible reservoirs of warlike men; the more

adjacent portions had become commercialized; whilst the outer regions

had sunk to depopulated graziers' lands. The Government, after the

collapse of the Rebellion, being greatly impoverished, had openly fallen

to balancing province against province and personality against

personality, hoping that by some means it would be able to regain its

prestige and a portion of its former wealth. Taking down the ledgers

containing the lists of provincial contributions, the mandarins of

Peking completely revised every schedule, redistributed every weight,

and saw to it that the matricular levies should fall in such a way as to

be crushing. The new taxation, _likin_, which, like the income-tax in

England, is in origin purely a war-tax, by gripping inter-provincial

commerce by the throat and rudely controlling it by the barrier-system,

was suddenly disclosed as a new and excellent way of making felt the

menaced sovereignty of the Manchus; and though the system was plainly a

two-edged weapon, the first edge to cut was the Imperial edge; that is

largely why for several decades after the Taipings China was relatively

quiet.

Time was also giving birth to another important development--important

in the sense that it was to prove finally decisive. It would have been

impossible for Peking, unless men of outstanding genius had been living,

to have foreseen that not only had the real bases of government now

become entirely economic control, but that the very moment that control

faltered the central government of China would openly and absolutely

cease to be any government at all. Modern commercialism, already

invading China at many points through the medium of the treaty-ports,

was a force which in the long run could not be denied. Every year that

passed tended to emphasize the fact that modern conditions were cutting

Peking more and more adrift from the real centres of power--the economic

centres which, with the single exception of Tientsin, lie from 800 to

1,500 miles away. It was these centres that were developing

revolutionary ideas--_i.e._, ideas at variance with the Socio-economic

principles on which the old Chinese commonwealth had been slowly built

up, and which foreign dynasties such as the Mongol and the Manchu had

never touched. The Government of the post-Taiping period still imagined

that by making their hands lie more heavily than ever on the people and

by tightening the taxation control--not by true creative work--they

could rehabilitate themselves.

It would take too long, and would weary the indulgence of the reader to

establish in a conclusive manner this thesis which had long been a

subject of inquiry on the part of political students. Chinese society,

being essentially a society organized on a credit-co-operative system,

so nicely adjusted that money, either coined or fiduciary, was not

wanted save for the petty daily purchases of the people, any system

which boldly clutched the financial establishments undertaking the

movement of _sycee_ (silver) from province to province for the

settlement of trade-balances, was bound to be effective so long as those

financial establishments remained unshaken.

The best known establishments, united in the great group known as the

Shansi Bankers, being the government bankers, undertook not only all the

remittances of surpluses to Peking, but controlled by an intricate

pass-book system the perquisites of almost every office-holder in the

empire. No sooner did an official, under the system which had grown up,

receive a provincial appointment than there hastened to him a

confidential clerk of one of these accommodating houses, who in the name

of his employers advanced all the sums necessary for the payment of the

official's post, and then proceeded with him to his province so that

moiety by moiety, as taxation flowed in, advances could be paid off and

the equilibrium re-established. A very intimate and far-reaching

connection thus existed between provincial money-interests and the

official classes. The practical work of governing China was the

balancing of tax-books and native bankers' accounts. Even the

"melting-houses," where _sycee_ was "standardized" for provincial use,

were the joint enterprises of officials and merchants; bargaining

governing every transaction; and only when a violent break occurred in

the machinery, owing to famine or rebellion, did any other force than

money intervene.

There was nothing exceptional in these practices, in the use of which

the old Chinese empire was merely following the precedent of the Roman

Empire. The vast polity that was formed before the time of Christ by the

military and commercial expansion of Rome in the Mediterranean Basin,

and among the wild tribes of Northern Europe, depended very largely on

the genius of Italian financiers and tax-collectors to whom the revenues

were either directly "farmed," or who "assisted" precisely after the

Chinese method in financing officials and local administrations, and in

replenishing a central treasury which no wealth could satisfy. The

Chinese phenomenon was therefore in no sense new; the dearth of coined

money and the variety of local standards made the methods used economic

necessities. The system was not in itself a bad system: its fatal

quality lay in its woodenness, its lack of adaptability, and in its

growing weakness in the face of foreign competition which it could never

understand. Foreign competition--that was the enemy destined to achieve

an overwhelming triumph and dash to ruins a hoary survival.

War with Japan sounded the first trumpet-blast which should have been

heeded. In the year 1894, being faced with the necessity of finding

immediately a large sum of specie for purpose of war, the native bankers

proclaimed their total inability to do so, and the first great foreign

loan contract was signed.[4] Little attention was attracted to what is a

turning-point in Chinese history. There cannot be the slightest doubt

that in 1894 the Manchus wrote the first sentences of an abdication

which was only formally pronounced in 1912: they had inaugurated the

financial thraldom under which China still languishes. Within a period

of forty months, in order to settle the disastrous Japanese war, foreign

loans amounting to nearly fifty-five million pounds were completed. This

indebtedness, amounting to nearly three times the "visible" annual

revenues of the country--that is, the revenues actually accounted for to

Peking--was unparalleled in Chinese history. It was a gold indebtedness

subject to all sorts of manipulations which no Chinese properly

understood. It had special political meaning and special political

consequences because the loans were virtually guaranteed by the Powers.

It was a long-drawn _coup d'état_ of a nature that all foreigners

understood because it forged external chains.

The _internal_ significance was even greater than the external. The

loans were secured on the most important "direct" revenues reaching

Peking--the Customs receipts, which were concerned with the most vital

function in the new economic life springing up, the steam-borne coasting

and river-trade as well as the purely foreign trade. That most vital

function tended consequently to become more and more hall-marked as

foreign; it no longer depended in any direct sense on Peking for

protection. The hypothecation of these revenues to foreigners for

periods running into decades--coupled with their administration by

foreigners--was such a distinct restriction of the rights of eminent

domain as to amount to a partial abrogation of sovereignty.

That this was vaguely understood by the masses is now quite certain. The

Boxer movement of 1900, like the great proletarian risings which

occurred in Italy in the pre-Christian era as a result of the

impoverishment and moral disorder brought about by Roman misgovernment,

was simply a socio-economic catastrophe exhibiting itself in an

unexpected form. The dying Manchu dynasty, at last in open despair,

turned the revolt, insanely enough, against the foreigner--that is

against those who already held the really vital portion of their

sovereignty. So far from saving itself by this act, the dynasty wrote

another sentence in its death-warrant. Economically the Manchus had been

for years almost lost; the Boxer indemnities were the last straw. By

more than doubling the burden of foreign commitments, and by placing the

operation of the indemnities directly in the hands of foreign bankers by

the method of monthly quotas, payable in Shanghai, _the Peking

Government as far back as fifteen years ago was reduced to being a

government at thirty days' sight, at the mercy of any shock of events

which could be protracted over a few monthly settlements_. There is no

denying this signal fact, which is probably the most remarkable

illustration of the restrictive power of money which has ever been

afforded in the history of Asia.

The phenomenon, however, was complex and we must be careful to

understand its workings. A mercantile curiosity, to find the parallel

for which we must go back to the Middle Ages in Europe, when "free

cities" such as those of the Hanseatic League plentifully

dotted river and coast line, served to increase the general difficulties

of a situation which no one formula could adequately cover.

Extraterritoriality, by creating the "treaty port" in China, had been

the most powerful weapon in undermining native economics; yet at the

same time it had been the agent for creating powerful new

counter-balancing interests. Though the increasingly large groups of

foreigners, residing under their own laws, and building up, under their

own specially protected system of international exchange, a new and

imposing edifice, had made the hovel-like nature of Chinese economics

glaringly evident, the mercantile classes of the New China, being always

quick to avail themselves of money-making devices, had not only taken

shelter under this new and imposing edifice, but were rapidly extending

it of their own accord. In brief, the trading Chinese were identifying

themselves and their major interests with the treaty-ports; they were

transferring thither their specie and their credits; making huge

investments in land and properties, under the aegis of foreign flags in

which they absolutely trusted. The money-interests of the country knew

instinctively that the native system was doomed and that with this doom

there would come many changes; these interests, in the way common to

money all the world over, were insuring themselves against the

inevitable.

The force of this--politically--became finally evident in 1911; and what

we have said in our opening sentences should now be clear. The Chinese

Revolution was an emotional rising against the Peking System because it

was a bad and inefficient and retrograde system, just as much as against

the Manchus, who after all had adopted purely Chinese methods and who

were no more foreigners than Scotchmen or Irishmen are foreigners to-day

in England. The Revolution of 1911 derived its meaning and its value--as

well as its mandate--not from what it proclaimed, but for what it stood

for. Historically, 1911 was the lineal descendant of 1900, which again

was the offspring of the economic collapse advertised by the great

foreign loans of the Japanese war, loans made necessary because the

Taipings had disclosed the complete disappearance of the only _raison

d'être_ of Peking sovereignty, _i.e._ the old-time military power. The

story is, therefore, clear and well-connected and so logical in its

results that it has about it a finality suggesting the unrolling of the

inevitable.

During the Revolution the one decisive factor was shown to be almost at

once--money, nothing but money. The pinch was felt at the end of the

first thirty days. Provincial remittances ceased; the Boxer quotas

remained unpaid; a foreign embargo was laid upon the Customs funds. The

Northern troops, raised and trained by Yuan Shih-kai, when he was

Viceroy of the Metropolitan province, were, it is true, proving

themselves the masters of the Yangtsze and South China troops; yet that

circumstance was meaningless. Those troops were fighting for what had

already proved itself a lost cause--the Peking System, as well as the

Manchu dynasty. The fight turned more and more into a money-fight. It

was foreign money which brought about the first truce and the transfer

of the so-called republican government from Nanking to Peking. In the

strictest sense of the words every phase of the settlement then arrived

at was a settlement in terms of cash.[5]

Had means existed for rapidly replenishing the Chinese Treasury without

having recourse to European stockmarkets (whose actions are

semi-officially controlled when distant regions are involved) the

Republic might have fared better. But placed almost at once through

foreign dictation under a species of police-control, which while

nominally derived from Western conceptions, was primarily designed to

rehabilitate the semblance of the authority which had been so

sensationally extinguished, the Republic remained only a dream; and the

world, taught to believe that there could be no real stability until the

scheme of government approximated to the conception long formed of

Peking absolutism, waited patiently for the rude awakening which came

with the Yuan Shih-kai _coup d'état_ of 4th November, 1913. Thus we had

this double paradox; on the one hand the Chinese people awkwardly trying

to be western in a Chinese way and failing: on the other, foreign

officials and foreign governments trying to be Chinese and making the

confusion worse confounded. It was inevitable in such circumstances

that the history of the past six years should have been the history of a

slow tragedy, and that almost every page should be written over with the

name of the man who was the selected bailiff of the Powers--Yuan

Shih-kai.

[Illustration: The Funeral of Yuan Shih-kai: The Procession passing

down the great Palace Approach, with the famous Ch'ien Men (Gate) in the

distance.]

[Illustration: The Provincial Troops of General Chang Hsun at his

Headquarters of Hsuchowfu.]

[Illustration: The Funeral of Yuan Shih-kai: The Catafalque over the

Coffin on its way to the Railway Station.]

[Illustration: The Funeral of Yuan Shih-kai: The Procession passing down

the great Palace Approach, with the famous Ch'ien Men (Gate) in the

distance.]

FOOTNOTES:

[1] As there is a good deal of misunderstanding on the subject of the

Manchus an explanatory note is useful.

The Manchu people, who belong to the Mongol or Turanian Group, number at

the maximum five million souls. Their distribution at the time of the

revolution of 1911 was roughly as follows: In and around Peking say two

millions; in posts through China say one-half million,--or possibly

three-quarters of a million; in Manchuria Proper--the home of the

race--say two or two and a half millions. The fighting force was

composed in this fashion: When Peking fell into their hands in 1644 as a

result of a stratagem combined with dissensions among the Chinese

themselves, the entire armed strength was reorganized in Eight Banners

or Army Corps, each corps being composed of three racial divisions, (1)

pure Manchus, (2) Mongols who had assisted in the conquest and (3)

Northern Chinese who had gone over to the conquerors. These Eight

Banners, each commanded by an "iron-capped" Prince, represented the

authority of the Throne and had their headquarters in Peking with small

garrisons throughout the provinces at various strategic centres. These

garrisons had entirely ceased to have any value before the 18th Century

had closed and were therefore purely ceremonial and symbolic, all the

fighting being done by special Chinese corps which were raised as

necessity arose.

[2] This most interesting point--the immunity of Chinese women from

forced marriage with Manchus--has been far too little noticed by

historians though it throws a flood of light on the sociological aspects

of the Manchu conquest. Had that conquest been absolute it would have

been impossible for the Chinese people to have protected their

women-folk in such a significant way.

[3] A very interesting proof--and one that has never been properly

exposed--of the astoundingly rationalistic principles on which the

Chinese polity is founded is to be seen in the position of priesthoods

in China. Unlike every other civilization in the world, at no stage of

the development of the State has it been necessary for religion in China

to intervene between the rulers and the ruled, saving the people from

oppression. In Europe without the supernatural barrier of the Church,

the position of the common people in the Middle Ages would have been

intolerable, and life, and virtue totally unprotected. Buckle, in his

"History of Civilization," like other extreme radicals, has failed to

understand that established religions have paradoxically been most

valuable because of their vast secular powers, exercised under the mask

of spiritual authority. Without this ghostly restraint rulers would have

been so oppressive as to have destroyed their peoples. The two greatest

monuments to Chinese civilization, then consist of these twin facts;

first, that the Chinese have never had the need for such supernatural

restraints exercised by a privileged body, and secondly, that they are

absolutely without any feeling of class or caste--prince and pauper

meeting on terms of frank and humorous equality--the race thus being the

only pure and untinctured democracy the world has ever known.

[4] (a) This loan was the so-called 7 per cent. Silver loan of 1894 for

Shanghai Taels 10,000,000 negotiated by the Hongkong & Shanghai Bank. It

was followed in 1895 by a £3,000,000 Gold 6 per cent. Loan, then by two

more 6 per cent. loans for a million each in the same year, making a

total of £6,635,000 sterling for the bare war-expenses. The Japanese war

indemnity raised in three successive issues--from 1895 to 1898--of

£16,000,000 each, added £48,000,000. Thus the Korean imbroglio cost

China nearly 55 millions sterling. As the purchasing power of the

sovereign is eight times larger in China than in Europe, this debt

economically would mean 440 millions in England--say nearly double what

the ruinous South African war cost. It is by such methods of comparison

that the vital nature of the economic factor in recent Chinese history

is made clear.

[5] There is no doubt that the so-called Belgian loan, £1,800,000 of

which was paid over in cash at the beginning of 1912, was the instrument

which brought every one to terms.

CHAPTER II

THE ENIGMA OF YUAN SHIH-KAI

THE HISTORY OF THE MAN FROM THE OPENING OF HIS CAREER IN KOREA IN 1882

TO THE END OF THE REVOLUTION, 12TH FEBRUARY, 1912

Yuan Shih-kai's career falls into two clear-cut parts, almost as if it

had been specially arranged for the biographer; there is the

probationary period in Korea, and the executive in North China. The

first is important only because of the moulding-power which early

influences exerted on the man's character; but it is interesting in

another way since it affords glimpses of the sort of things which

affected this leader's imagination throughout his life and finally

brought him to irretrievable ruin. The second-period is choke-full of

action; and over every chapter one can see the ominous point of

interrogation which was finally answered in his tragic political and

physical collapse.

Yuan Shih-kai's origin, without being precisely obscure, is unimportant.

He came of a Honanese family who were nothing more distinguished than

farmers possessing a certain amount of land, but not too much of the

world's possessions. The boy probably ran wild in the field at an age

when the sons of high officials and literati were already pale and

anaemic from over-much study. To some such cause the man undoubtedly

owed his powerful physique, his remarkable appetite, his general

roughness. Native biographers state that as a youth he failed to pass

his _hsiu-tsai_ examinations--the lowest civil service degree--because

he had spent too much time in riding and boxing and fencing. An uncle in

official life early took charge of him; and when this relative died the

young man displayed filial piety in accompanying the corpse back to the

family graves and in otherwise manifesting grief. Through official

connections a place was subsequently found for him in that public

department under the Manchus which may be called the military

intendancy, and it was through this branch of the civil service that he

rose to power. Properly speaking Yuan Shih-kai was never an

army-officer; he was a military official--his highest rank later on

being that of military judge, or better, Judicial Commissioner.

Yuan Shih-kai first emerges into public view in 1882 when, as a sequel

to the opening of Korea through the action of foreign Powers in forcing

the then Hermit kingdom to sign commercial treaties, China began

dispatching troops to Seoul. Yuan Shih-kai, with two other officers,

commanding in all some 3,000 men, arrived from Shantung, where he had

been in the train of a certain General Wu Chang-ching, and now encamped

in the Korean capital nominally to preserve order, but in reality, to

enforce the claims of the suzerain power. For the Peking Government had

never retreated from the position that Korea had been a vassal state

ever since the Ming Dynasty had saved the country from the clutches of

Hideyoshi and his Japanese invaders in the Sixteenth Century. Yuan

Shih-kai had been personally recommended by this General Wu Chang-ching

as a young man of ability and energy to the famous Li Hung Chang, who as

Tientsin Viceroy and High Commissioner for the Northern Seas was

responsible for the conduct of Korean affairs. The future dictator of

China was then only twenty-five years old.

His very first contact with practical politics gave him a peculiar

manner of viewing political problems. The arrival of Chinese troops in

Seoul marked the beginning of that acute rivalry with Japan which

finally culminated in the short and disastrous war of 1894-95. China, in

order to preserve her influence in Korea against the growing influence

of Japan, intrigued night and day in the Seoul Palaces, allying herself

with the Conservative Court party which was led by the notorious Korean

Queen who was afterwards assassinated. The Chinese agents aided and

abetted the reactionary group, constantly inciting them to attack the

Japanese and drive them out of the country.

Continual outrages were the consequence. The Japanese legation was

attacked and destroyed by the Korean mob not once but on several

occasions during a decade which furnishes one of the most amazing

chapters in the history of Asia. Yuan Shih-kai, being then merely a

junior general officer under the orders of the Chinese Imperial

Resident, is of no particular importance; but it is significant of the

man that he should suddenly come well under the limelight on the first

possible occasion. On 6th December, 1884, leading 2,000 Chinese troops,

and acting in concert with 3,000 Korean soldiers, he attacked the Tong

Kwan Palace in which the Japanese Minister and his staff, protected by

two companies of Japanese infantry, had taken refuge owing to the

threatening state of affairs in the capital. Apparently there was no

particular plan--it was the action of a mob of soldiery tumbling into a

political brawl and assisted by their officers for reasons which appear

to-day nonsensical. The sequel was, however, extraordinary. The Japanese

held the Palace gates as long as possible, and then being desperate

exploded a mine which killed numbers of Koreans and Chinese soldiery and

threw the attack into confusion. They then fought their way out of the

city escaping ultimately to the nearest sea-port, Chemulpo.

The explanation of this extraordinary episode has never been made

public. The practical result was that after a period of extreme tension

between China and Japan which was expected to lead to war, that

political genius, the late Prince Ito, managed to calm things down and

arrange workable _modus vivendi_. Yuan Shih-kai, who had gone to

Tientsin to report in person to Li Hung Chang, returned to Seoul

triumphantly in October, 1885, as Imperial Resident. He was then

twenty-eight years old; he had come to the front, no matter by what

means, in a quite remarkable manner.

The history of the next nine years furnishes plenty of minor incidents,

but nothing of historic importance. As the faithful lieutenant of Li

Hung Chang, Yuan Shih-kai's particular business was simply to combat

Japanese influence and hold the threatened advance in check. He failed,

of course, since he was playing a losing game; and yet he succeeded

where he undoubtedly wished to succeed. By rendering faithful service

he established the reputation he wished to win; and though he did

nothing great he retained his post right up to the act which led to the

declaration of war in 1894. Whether he actually precipitated that war is

still a matter of opinion. On the sinking by the Japanese fleet of the

British steamer _Kowshing_, which was carrying Chinese reinforcements

from Taku anchorage to Asan Bay to his assistance, seeing that the game

was up, he quietly left the Korean capital and made his way overland to

North China. That swift, silent journey home ends the period of his

novitiate.

It took him a certain period to weather the storm which the utter

collapse of China in her armed encounter with Japan brought about--and

particularly to obtain forgiveness for evacuating Seoul without orders.

Technically his offence was punishable by death--the old Chinese code

being most stringent in such matters. But by 1896 he was back in favour

again, and through the influence of his patron Li Hung Chang, he was at

length appointed in command of the Hsiaochan camp near Tientsin, where

he was promoted and given the task of reforming a division of old-style

troops and making them as efficient as Japanese soldiery. He had already

earned a wide reputation for severity, for willingness to accept

responsibility, for nepotism, and for a rare ability to turn even

disasters to his own advantage--all attributes which up to the last

moment stood him in good stead.

In the Hsiaochan camp the most important chapter of his life opens;

there is every indication that he fully realized it. Tientsin has always

been the gateway to Peking: from there the road to high preferment is

easily reached. Yuan Shih-kai marched steadily forward, taking the very

first turning-point in a manner which stamped him for many of his

compatriots in a way which can never be obliterated.

It is first necessary to say a word about the troops of his command,

since this has a bearing on present-day politics. The bulk of the

soldiery were so-called _Huai Chun_--_i.e._, nominally troops from the

Huai districts, just south of Li Hung Chang's native province Anhui.

These Kiangu men, mixed with Shantung recruits, had earned a historic

place in the favour of the Manchus owing to the part they had played in

the suppression of the Taiping Rebellion, in which great event General

Gordon and Li Hung Chang had been so closely associated. They and the

troops of Hunan province, led by the celebrated Marquis Tseng Kuo-fan,

were "the loyal troops," resembling the Sikhs during the Indian Mutiny;

they were supposed to be true to their salt to the last man. Certainly

they gave proofs of uncustomary fidelity.

In those military days of twenty years ago Yuan Shih-kai and his

henchmen were, however, concerned with simpler problems. It was then a

question of drill and nothing but drill. In his camp near Tientsin the

future President of the Chinese Republic succeeded in reorganizing his

troops so well that in a very short time the Hsiaochan Division became

known as a _corps d'élite_. The discipline was so stern that there were

said to be only two ways of noticing subordinates, either by promoting

or beheading them. Devoting himself to his task Yuan Shih-kai gave

promise of being able to handle much bigger problems.

His zeal soon attracted the attention of the Manchu Court. The

circumstances in Peking at that time were peculiar. The famous old

Empress Dowager, Tzu-hsi, after the Japanese war, had greatly relaxed

her hold on the Emperor Kwanghsu, who though still in subjection to her,

nominally governed the empire. A well-intentioned but weak man, he had

surrounded himself with advanced scholars, led by the celebrated Kang Yu

Wei, who daily studied with him and filled him with new doctrines,

teaching him to believe that if he would only exert his power he might

rescue the nation from international ignominy and make for himself an

imperishable name.

The sequel was inevitable. In 1898 the oriental world was electrified by

the so-called Reform Edicts, in which the Emperor undertook to modernize

China, and in which he exhorted the nation to obey him. The greatest

alarm was created in Court circles by this action; the whole vast body

of Metropolitan officialdom, seeing its future threatened, flooded the

Palace of the Empress Dowager with Secret Memorials praying her to

resume power. Flattered, she gave her secret assent.

Things marched quickly after that. The Empress, nothing loth, began

making certain dispositions. Troops were moved, men were shifted here

and there in a way that presaged action; and the Emperor, now

thoroughly alarmed and yielding to the entreaties of his followers, sent

two members of the Reform Party to Yuan Shih-kai bearing an alleged

autograph order for him to advance instantly on Peking with all his

troops; to surround the Palace, to secure the person of the Emperor from

all danger, and then to depose the Empress Dowager for ever from power.

What happened is equally well-known. Yuan Shih-kai, after an exhaustive

examination of the message and messengers, as well as other attempts to

substantiate the genuineness of the appeal, communicated its nature to

the then Viceroy of Chihli, the Imperial Clansman Jung Lu, whose

intimacy with the Empress Dowager since the days of her youth has passed

into history. Jung Lu lost no time in acting. He beheaded the two

messengers and personally reported the whole plot to the Empress Dowager

who was already fully warned. The result was the so-called _coup d'état_

of September, 1898, when all the Reformers who had not fled were

summarily executed, and the Emperor Kwanghsu himself closely imprisoned

in the Island Palace within that portion of the Forbidden City known as

the Three Lakes, having (until the Boxer outbreak of 1900 carried him to

Hsianfu), as sole companions his two favourites, the celebrated

odalisques "Pearl" and "Lustre."

This is no place to enter into the controversial aspect of Yuan

Shih-kai's action in 1898 which has been hotly debated by partisans for

many years. For onlookers the verdict must always remain largely a

matter of opinion; certainly this is one of those matters which cannot

be passed upon by any one but a Chinese tribunal furnished with all the

evidence. Those days which witnessed the imprisonment of Kwanghsu were

great because they opened wide the portals of the Romance of History:

all who were in Peking can never forget the counter-stroke; the arrival

of the hordes composed of Tung Fu-hsiang's Mahommedan cavalry--men who

had ridden hard across a formidable piece of Asia at the behest of their

Empress and who entered the capital in great clouds of dust. It was in

that year of 1898 also that Legation Guards reappeared in Peking--a few

files for each Legation as in 1860--and it was then that clear-sighted

prophets saw the beginning of the end of the Manchu Dynasty.

Yuan Shih-kai's reward for his share in this counter-revolution was his

appointment to the governorship of Shantung province. He moved thither

with all his troops in December, 1899. Armed _cap-à-pie_ he was ready

for the next act--the Boxers, who burst on China in the Summer of 1900.

These men were already at work in Shantung villages with their

incantations and alleged witchcraft. There is evidence that their

propaganda had been going on for months, if not for years, before any

one had heard of it. Yuan Shih-kai had the priceless opportunity of

studying them at close range and soon made up his mind about certain

things. When the storm burst, pretending to see nothing but mad fanatics

in those who, realizing the plight of their country, had adopted the

war-cry "Blot out the Manchus and the foreigner," he struck at them

fiercely, driving the whole savage horde head-long into the metropolitan

province of Chihli. There, seduced by the Manchus, they suddenly changed

the inscription on their flags. Their sole enemy became the foreigner

and all his works, and forthwith they were officially protected. Far and

wide they killed every white face they could find. They tore up

railways, burnt churches and chapels and produced a general anarchy

which could only have one end--European intervention. The man, sitting

on the edge of Chinese history but not yet identifying himself with its

main currents because he was not strong enough for that had once again

not judged wrongly. With his Korean experience to assist him, he had

seen precisely what the end must inevitably be.

The crash in Peking, when the siege of the Legations had been raised by

an international army, found him alert and sympathetic--ready with

advice, ready to shoulder new responsibilities, ready to explain away

everything. The signature of the Peace Protocol of 1901 was signalized

by his obtaining the viceroyalty of Chihli, succeeding the great Li Hung

Chang himself, who had been reappointed to his old post, but had found

active duties too wearisome. This was a marvellous success for a man but

little over forty. And when the fugitive Court at length returned from

Hsianfu in 1902, honours were heaped upon him as a person particularly

worthy of honour because he had kept up appearances and maintained the

authority of the distressed Throne. As if in answer to this he flooded

the Court with memorials praying that in order to restore the power of

the Dynasty a complete army of modern troops be raised--as numerous as

possible but above all efficient.

His advice was listened to. From 1902 until 1907 as Minister of the Army

Reorganization Council--a special post he held simultaneously with that

of metropolitan Viceroy--Yuan Shih-kai's great effort was concentrated

on raising an efficient fighting force. In those five years, despite all

financial embarrassments, North China raised and equipped six excellent

Divisions of field-troops--75,000 men--all looking to Yuan Shih-kai as

their sole master. So much energy did he display in pushing military

reorganization throughout the provinces that the Court, warned by

jealous rivals of his growing power, suddenly promoted him to a post

where he would be powerless. One day he was brought to Peking as Grand

Councillor and President of the Board of Foreign Affairs, and ordered to

hand over all army matters to his noted rival, the Manchu Tieh Liang.

The time had arrived to muzzle him. His last phase as a pawn had come.

Few foreign diplomats calling at China's Foreign Office to discuss

matters during that short period which lasted barely a twelve-month,

imagined that the square resolute-looking man who as President of the

Board gave the same energy and attention to consular squabbles as to the

reorganization of a national-fighting force, was almost daily engaged in

a fierce clandestine struggle to maintain even his modest position.

Jealousy, which flourishes in Peking like the upas tree, was for ever

blighting his schemes and blocking his plans. He had been brought to

Peking to be tied up; he was constantly being denounced; and even his

all powerful patroness, the old Empress Dowager, who owed so much to

him, suffered from constant premonitions that the end was fast

approaching, and that with her the Dynasty would die.

In the Autumn of 1908 she took sick. The gravest fears quickly spread.

It was immediately reported that the Emperor Kwanghsu was also very

ill--an ominous coincidence. Very suddenly both personages collapsed and

died, the Empress Dowager slightly before the Emperor. There is little

doubt that the Emperor himself was poisoned. The legend runs that as he

expired not only did he give his Consort, who was to succeed him in the

exercise of the nominal power of the Throne, a last secret Edict to

behead Yuan Shih-kai, but that his faltering hand described circle

after circle in the air until his followers understood the meaning. In

the vernacular the name of the great viceroy and the word for circle

have the same sound; the gesture signified that the dying monarch's last

wish was revenge on the man who had failed him ten years before.

An ominous calm followed this great break with the past. It was

understood that the Court was torn by two violent factions regarding the

succession which the Empress Tzu-hsi had herself decided. The fact that

another long Regency had become inevitable through the accession of the

child Hsuan Tung aroused instant apprehensions among foreign observers,

whilst it was confidently predicted that Yuan Shih-kai's last days had

come.

The blow fell suddenly on the 2nd January, 1909. In the interval between

the death of the old Empress and his disgrace, Yuan Shih-kai was

actually promoted to the highest rank in the gift of the Throne, that

is, made "Senior Guardian of the Heir Apparent" and placed in charge of

the Imperial funeral arrangements--a lucrative appointment. During that

interval it is understood that the new Regent, brother of the Emperor

Kwanghsu, consulted all the most trusted magnates of the empire

regarding the manner in which the secret decapitation Decree should be

treated. All advised him to be warned in time, and not to venture on a

course of action which would be condemned both by the nation and by the

Powers. Another Edict was therefore prepared simply dismissing Yuan

Shih-kai from office and ordering him to return to his native place.

Every one remembers that day in Peking when popular rumour declared that

the man's last hour had come. Warned on every side to beware, Yuan

Shih-kai left the Palace as soon as he had read the Edict of dismissal

in the Grand Council and drove straight to the railway-station, whence

he entrained for Tientsin, dressed as a simple citizen. Rooms had been

taken for him at a European hotel, the British Consulate approached for

protection, when another train brought down his eldest son bearing a

message direct from the Grand Council Chamber, absolutely guaranteeing

the safety of his life. Accordingly he duly returned to his native place

in Honan province, and for two years--until the outbreak of the

Revolution--devoted himself sedulously to the development of the large

estate he had acquired with the fruits of office. Living like a

patriarch of old, surrounded by his many wives and children, he

announced constantly that he had entirely dropped out of the political

life of China and only desired to be left in peace. There is reason to

believe, however, that his henchmen continually reported to him the true

state of affairs, and bade him bide his time. Certain it is that the

firing of the first shots on the Yangtsze found him alert and issuing

private orders to his followers. It was inevitable that he should have

been recalled to office--and actually within one hundred hours of the

first news of the outbreak the Court sent for him urgently and

ungraciously.

From the 14th October, 1911, when he was appointed by Imperial Edict

Viceroy of Hupeh and Hunan and ordered to proceed at once to the front

to quell the insurrection, until the 1st November, when he was given

virtually Supreme Power as President of the Grand Council in place of

Prince Ching, a whole volume is required to discuss adequately the maze

of questions involved. For the purposes of this account, however, the

matter can be dismissed very briefly in this way. Welcoming the

opportunity which had at last come and determined once for all to settle

matters decisively, so far as he was personally concerned, Yuan Shih-kai

deliberately followed the policy of holding back and delaying everything

until the very incapacity marking both sides--the Revolutionists quite

as much as the Manchus--forced him, as man of action and man of

diplomacy, to be acclaimed the sole mediator and saviour of the nation.

The detailed course of the Revolution, and the peculiar manner in which

Yuan Shih-kai allowed events rather than men to assert their mastery has

often been related and need not long detain us. It is generally conceded

that in spite of the bravery of the raw revolutionary levies, their

capacity was entirely unequal to the trump card Yuan Shih-kai held all

the while in his hand--the six fully-equipped Divisions of Field Troops

he himself had organized as Tientsin Viceroy. It was a portion of this

field-force which captured and destroyed the chief revolutionary base in

the triple city of Hankow, Hanyang and Wuchang in November, 1911, and

which he held back just as it was about to give the _coup de grâce_ by

crossing the river in force and sweeping the last remnants of the

revolutionary army to perdition. Thus it is correct to declare that had

he so wished Yuan Shih-kai could have crushed the revolution entirely

before the end of 1911; but he was sufficiently astute to see that the

problem he had to solve was not merely military but moral as well. The

Chinese as a nation were suffering from a grave complaint. Their

civilization had been made almost bankrupt owing to unresisted foreign

aggression and to the native inability to cope with the mass of

accumulated wrongs which a superimposed and exhausted feudalism--the

Manchu system--had brought about. Yuan Shih-kai knew that the Boxers had

been theoretically correct in selecting as they first did the watchword

which they had first placed on their banners--"blot out the Manchus and

all foreign things." Both had sapped the old civilization to its

foundations. But the programme they had proposed was idealistic, not

practical. One element could be cleared away--the other had to be

endured. Had the Boxers been sensible they would have modified their

programme to the extent of protecting the foreigners, whilst they

assailed the Dynasty which had brought them so low. The Court Party, as

we have said, seduced their leaders to acting in precisely the reverse

sense.

Yuan Shih-kai was neither a Boxer, nor yet a believer in idealistic

foolishness. He had realized that the essence of successful rule in the

China of the Twentieth Century was to support the foreign point of

view--nominally at least--because foreigners disposed of unlimited

monetary resources, and had science on their side. He knew that so long

as he did not openly flout foreign opinion by indulging in bare-faced

assassinations, he would be supported owing to the international

reputation he had established in 1900. Arguing from these premises, his

instinct also told him that an appearance of legality must always be

sedulously preserved and the aspirations of the nation nominally

satisfied. For this reason he arranged matters in such a manner as to

appear always as the instrument of fate. For this reason, although he

destroyed the revolutionists on the mid-Yangtsze, to equalize matters,

on the lower Yangtsze he secretly ordered the evacuation of Nanking by

the Imperialist forces so that he might have a tangible argument with

which to convince the Manchus regarding the root and branch reform which

he knew was necessary. That reform had been accepted in principle by the

Throne when it agreed to the so-called Nineteen Fundamental Articles, a

corpus of demands which all the Northern Generals had endorsed and had

indeed insisted should be the basis of government before they would

fight the rebellious South in 1911. There is reason to believe that

provided he had been made _de facto_ Regent, Yuan Shih-kai would have

supported to the end a Manchu Monarchy. But the surprising swiftness of

the Revolutionary Party's action in proclaiming the Republic at Nanking

on the 1st January, 1912, and the support which foreign opinion gave

that venture confused him. He had already consented to peace

negotiations with the revolutionary South in the middle of December,

1911, and once he was drawn into those negotiations his policy wavered,

the armistice in the field being constantly extended because he saw that

the Foreign Powers, and particularly England, were averse from further

civil war. Having dispatched a former lieutenant, Tong Shao-yi, to

Shanghai as his Plenipotentiary, he soon found himself committed to a

course of action different from what he had originally contemplated.

South China and Central China insisted so vehemently that the only

solution that was acceptable to them was the permanent and absolute

elimination of the Manchu Dynasty, that he himself was half-convinced,

the last argument necessary being the secret promise that he should

become the first President of the united Republic. In the circumstances,

had he been really loyal, it was his duty either to resume his warfare

or resign his appointment as Prime Minister and go into retirement. He

did neither. In a thoroughly characteristic manner he sought a middle

course, after having vaguely advocated a national convention to settle

the matter. By specious misrepresentation the widow of the Emperor

Kwanghsu--the Dowager Empress Lung Yu who had succeeded the Prince

Regent Ch'un in her care of the interests of the child Emperor Hsuan

Tung--was induced to believe that ceremonial retirement was the only

course open to the Dynasty if the country was to be saved from

disruption and partition. There is reason to believe that the Memorial

of all the Northern Generals which was telegraphed to Peking on the 28th

January, 1912, and which advised abdication, was inspired by him. In any

case it was certainly Yuan Shih-kai who drew up the so-called Articles

of Favourable Treatment for the Manchu House and caused them to be

telegraphed to the South, whence they were telegraphed back to him as

the maximum the Revolutionary Party was prepared to concede: and by a

curious chance the attempt made to assassinate him outside the Palace

Gates actually occurred on the very day he had submitted an outline of

these terms on his bended knees to the Empress Dowager and secured their

qualified acceptance. The pathetic attempt to confer on him as late as

the 25th January the title of Marquess, the highest rank of nobility

which could be given a Chinese, an attempt which was four times renewed,

was the last despairing gesture of a moribund power. Within very few

days the Throne reluctantly decreed its own abdication in three

extremely curious Edicts which are worthy of study in the appendix. They

prove conclusively that the Imperial Family believed that it was only

abdicating its political power, whilst retaining all ancient ceremonial

rights and titles. Plainly the conception of a Republic, or a People's

Government, as it was termed in the native ideographs, was

unintelligible to Peking.

Yuan Shih-kai had now won everything he wished for. By securing that the

Imperial Commission to organize the Republic and re-unite the warring

sections was placed solely in his hands, he prepared to give a type of

Government about which he knew nothing a trial. It is interesting to

note that he held to the very end of his life that he derived his powers

solely from the Last Edicts, and in nowise from his compact with the

Nanking Republic which had instituted the so-called Provisional

Constitution. He was careful, however, not to lay this down

categorically until many months later, when his dictatorship seemed

undisputed. But from the day of the Manchu Abdication almost, he was

constantly engaged in calculating whether he dared risk everything on

one throw of the dice and ascend the Throne himself; and it is precisely

this which imparts such dramatic interest to the astounding story which

follows.

CHAPTER III

THE DREAM REPUBLIC

(FROM THE 1st JANUARY, 1912, TO THE DISSOLUTION OF PARLIAMENT)

To describe briefly and intelligibly the series of transactions from the

1st January, 1912, when the Republic was proclaimed at Nanking by a

handful of provincial delegates, and Dr. Sun Yat Sen elected Provisional

President, to the _coup d'état_ of 4th November, 1913, when Yuan

Shih-kai, elected full President a few weeks previously, after having

acted as Chief Executive for twenty months, boldly broke up Parliament

and made himself _de facto_ Dictator of China, is a matter of

extraordinary difficulty.

All through this important period of Chinese history one has the

impression that one is in dreamland and that fleeting emotions take the

place of more solid things. Plot and counter-plot follow one another so

rapidly that an accurate record of them all would be as wearisome as the

Book of Chronicles itself; whilst the amazing web of financial intrigue

which binds the whole together is so complex--and at the same time so

antithetical to the political struggle--that the two stories seem to run

counter to one another, although they are as closely united as two

assassins pledged to carry through in common a dread adventure. A huge

agglomeration of people estimated to number four hundred millions, being

left without qualified leaders and told that the system of government,

which had been laid down by the Nanking Provisional Constitution and

endorsed by the Abdication Edicts, was a system in which every man was

as good as neighbour, swayed meaninglessly to and fro, vainly seeking to

regain the equilibrium which had been so sensationally lost. A litigious

spirit became so universal that all authority was openly derided,

crimes of every description being so common as to force most respectable

men to withdraw from public affairs and leave a bare rump of desperadoes

in power.

Long embarrassed by the struggle to pay her foreign loans and

indemnities, China was also virtually penniless. The impossibility of

arranging large borrowings on foreign markets without the open support

of foreign governments--a support which was hedged round with

conditions--made necessary a system of petty expedients under which

practically every provincial administration hypothecated every liquid

asset it could lay hands upon in order to pay the inordinate number of

undisciplined soldiery who littered the countryside. The issue of

unguaranteed paper-money soon reached such an immense figure that the

market was flooded with a worthless currency which it was unable to

absorb. The Provincial leaders, being powerless to introduce

improvement, exclaimed that it was the business of the Central

Government as representative of the sovereign people to find solutions;

and so long as they maintained themselves in office they went their

respective ways with a sublime contempt for the chaos around them.

What was this Central Government? In order successfully to understand an

unparalleled situation we must indicate its nature.

The manoeuvres to which Yuan Shih-kai had so astutely lent himself from

the outbreak of the Revolution had left him at its official close

supreme in name. Not only had he secured an Imperial Commission from the

abdicating Dynasty to organize a popular Government in obedience to the

national wish, but having brought to Peking the Delegates of the Nanking

Revolutionary Body he had received from them the formal offer of the

Presidency.

These arrangements had, of course, been secretly agreed to _en bloc_

before the fighting had been stopped and the abdication proclaimed, and

were part and parcel of the elaborate scenery which officialdom always

employs in Asia even when it is dealing with matters within the purview

of the masses. They had been made possible by the so-called "Article of

Favourable Treatment" drawn-up by Yuan Shih-kai himself, after

consultation with the rebellious South. In these Capitulations it had

been clearly stipulated that the Manchu Imperial Family should receive

in perpetuity a Civil List of $4,000,000 Mexican a year, retaining all

their titles as a return for the surrender of their political power, the

bitter pill being gilded in such fashion as to hide its real meaning,

which alone was a grave political error.

In spite of this agreement, however, great mutual suspicion existed

between North and South China. Yuan Shih-kai himself was unable to

forget that the bold attempt to assassinate him in the Peking streets on

the 17th January, when he was actually engaged in negotiating these very

terms of the Abdication, had been apparently inspired from Nanking;

whilst the Southern leaders were daily reminded by the vernacular press

that the man who held the balance of power had always played the part of

traitor in the past and would certainly do the same again in the near

future.

When the Delegates came to Peking in February, by far the most important

matter which was still in dispute was the question of the oath of office

which Yuan Shih-kai was called upon to take to insure that he would be

faithful to the Republic. The Delegates had been charged specifically to

demand on behalf of the seceding provinces that Yuan Shih-kai should

proceed with them to Nanking to take that oath, a course of action which

would have been held tantamount by the nation to surrender on his part

to those who had been unable to vanquish him in the field. It must also

not be forgotten that from the very beginning a sharp and dangerous

cleavage of opinion existed as to the manner in which the powers of the

new government had been derived. South and Central China claimed, and

claimed rightly, that the Nanking Provincial Constitution was the

Instrument on which the Republic was based: Yuan Shih-kai declared that

the Abdication Edicts, and not the Nanking Instrument had established

the Republic, and that therefore it lay within his competence to

organize the new government in the way which he considered most fit.

The discussion which raged was suddenly terminated on the night of the

29th February (1912) when without any warning there occurred the

extraordinary revolt of the 3rd Division, a picked Northern corps who

for forty-eight hours plundered and burnt portions of the capital

without any attempts at interference, there being little doubt to-day

that this manoeuvre was deliberately arranged as a means of intimidation

by Yuan Shih-kai himself. Although the disorders assumed such dimensions

that foreign intervention was narrowly escaped, the upshot was that the

Nanking Delegates were completely cowed and willing to forget all about

forcing the despot of Peking to proceed to the Southern capital. Yuan

Shih-kai as the man of the hour was enabled on the 10th March, 1912, to

take his oath in Peking as he had wished thus securing full freedom of

action during the succeeding years.[6]

[Illustration: An Encampment of "The Punitive Expedition" of 1910 on the

Upper Yangtsze.

_By courtesy of Major Isaac Newell, U.S. Military Attaché_.]

[Illustration: Revival of the Imperialistic Worship of Heaven by Yuan

Shih-kai in 1914: Scene on the Altar of Heaven, with Sacrificial

Officers clothed in costumes dating from 2,000 years ago.]

[Illustration: A Manchu Country Fair: The figures in the foreground are

all Manchu women and girls.]

[Illustration: A Manchu Woman grinding Grain.]

It was on this astounding basis--by means of an organized revolt--that

the Central Government was reorganized; and every act that followed

bears the mark of its tainted parentage. Accepting readily as his

Ministers in the more unimportant government Departments the nominees of

the Southern Confederacy (which was now formally dissolved), Yuan

Shih-kai was careful to reserve for his own men everything that

concerned the control of the army and the police, as well as the

all-important ministry of finance. The framework having been thus

erected, attention was almost immediately concentrated on the problem of

finding money, an amazing matter which would weary the stoutest reader

if given in all its detail but which being part and parcel of the

general problem must be referred to.

Certain essential features can be very rapidly exposed. We have already

made clear the purely economic nature of the forces which had sapped the

foundations of Chinese society. Primarily it had been the disastrous

nature of Chinese gold-indebtedness which had given the new ideas the

force they required to work their will on the nation. And just because

the question of this gold-indebtedness had become so serious and such a

drain on the nation, some months before the outbreak of the Revolution

an arrangement had been entered into with the bankers of four nations

for a Currency Loan of £10,000,000 with which to make an organized

effort to re-establish internal credit. But this loan had never actually

been floated, as a six months' safety clause had permitted a delay

during which the Revolution had come. It was therefore necessary to

begin the negotiations anew; and as the rich prizes to be won in the

Chinese lottery had attracted general attention in the European

financial world through the advertisement which the Revolution had given

the country, a host of alternative loan proposals now lay at the

disposal of Peking.

Consequently an extraordinary chapter of bargaining commenced. Warned

that an International Debt Commission was the goal aimed at by official

finance, Yuan Shih-kai and the various parties who made up the

Government of the day, though disagreeing on almost every other

question, were agreed that this danger must be fought as a common enemy.

Though the Four-Power group alleged that they held the first option on

all Chinese loans, money had already been advanced by a Franco-Belgian

Syndicate to the amount of nearly two million pounds during the critical

days of the Abdication. Furious at the prospect of losing their

percentages, the Four Power group made the confusion worse confounded by

blocking all competing proposals and closing every possible door. Russia

and Japan, who had hitherto not been parties to the official consortium,

perceiving that participation had become a political necessity, now

demanded a place which was grudgingly accorded them; and it was in this

way that the celebrated six-power Group arose.

It was round this group and the proposed issue of a £60,000,000 loan to

reorganize Chinese finance that the central battle raged. The Belgian

Syndicate, having been driven out of business by the financial boycott

which the official group was strong enough to organize on the European

bourses, it remained for China to see whether she could not find some

combination or some man who would be bold enough to ignore all

governments.

Her search was not in vain. In September (1912) a London stockbroker,

Mr. Birch Crisp, determined to risk a brilliant coup by negotiating by

himself a Loan of £10,000,000; and the world woke up one morning to

learn that one man was successfully opposing six governments. The

recollection of the storm raised in financial circles by this bold

attempt will be fresh in many minds. Every possible weapon was brought

into play by international finance to secure that the impudence of

financial independence should be properly checked; and so it happened

that although £5,000,000 was secured after an intense struggle it was

soon plain that the large requirements of a derelict government could

not be satisfied in this Quixotic manner. Two important points had,

however, been attained; first, China was kept financially afloat during

the year 1912 by the independence of a single member of the London Stock

Exchange; secondly, using this coup as a lever the Peking Government

secured better terms than otherwise would have been possible from the

official consortium.

Meanwhile the general internal situation remained deplorable. Nothing

was done for the provinces whose paper currency was depreciating from

month to month in an alarming manner; whilst the rivalries between the

various leaders instead of diminishing seemed to be increasing. The

Tutuhs, or Military Governors, acting precisely as they saw fit, derided

the authority of Peking and sought to strengthen their old position by

adding to their armed forces. In the capital the old Manchu court,

safely entrenched in the vast Winter Palace from which it has not even

to-day been ejected (1917) published daily the Imperial Gazette,

bestowing honours and decorations on courtiers and clansmen and

preserving all the old etiquette. In the North-western provinces, and in

Manchuria and Mongolia, the so-called Tsung She Tang, or Imperial Clan

Society, intrigued perpetually to create risings which would hasten the

restoration of the fallen House; and although these intrigues never rose

to the rank of a real menace to the country, the fact that they were

surreptitiously supported by the Japanese secret service was a continual

source of anxiety. The question of Outer Mongolia was also harassing the

Central Government. The Hutuktu or Living Buddha of Urga--the chief city

of Outer Mongolia--had utilized the revolution to throw off his

allegiance to Peking; and the whole of this vast region had been thrown

into complete disorder--which was still further accentuated when Russia

on the 21st October (1912) recognized its independence. It was known

that as a pendent to this Great Britain was about to insist on the

autonomy of Tibet,--a development which greatly hurt Chinese pride.

On the 15th August, 1912, the deplorable situation was well-epitomised

by an extraordinary act in Peking, when General Chang Cheng-wu, one of

the "heroes" of the original Wuchang rising, who had been enticed to the

capital, was suddenly seized after a banquet in his honour and shot

without trial at midnight.

This event, trivial in itself during times when judicial murders were

common, would have excited nothing more than passing interest had not

the national sentiment been so aroused by the chaotic conditions. As it

was it served to focus attention on the general mal-administration over

which Yuan Shih-kai ruled as provisional President. "What is my crime?"

had shrieked the unhappy revolutionist as he had been shot and then

bayonetted to death. That query was most easily answered. His crime was

that he was not strong enough or big enough to compete against more

sanguinary men, his disappearance being consequently in obedience to an

universal law of nature. Yuan Shih-kai was determined to assert his

mastery by any and every means; and as this man had flouted him he must

die.

The uproar which this crime aroused was, however, not easily appeased;

and the Advisory Council, which was sitting in Peking pending the

assembling of the first Parliament, denounced the Provisional President

so bitterly that to show that these reproaches were ill-deserved he

invited Dr. Sun Yat-sen to the capital treating him with unparalleled

honours and requesting him to act as intermediary between the rival

factions. All such manoeuvres, however, were inspired with one

object,--namely to prove how nobody but the master of Peking could

regulate the affairs of the country.

Still no Parliament was assembled. Although the Nanking Provisional

Constitution had stipulated that one was to meet within ten months

_i.e._ before 1st November, 1912, the elections were purposely delayed,

the attention of the Central Government being concentrated on the

problem of destroying all rivals, and everything being subordinate to

this war on persons. Rascals, getting daily more and more out of hand,

worked their will on rich and poor alike, discrediting by their actions

the name of republicanism and destroying public confidence--which was

precisely what suited Yuan Shih-kai. Dramatic and extraordinary

incidents continually inflamed the public mind, nothing being too

singular for those remarkable days.

Very slowly the problem developed, with everyone exclaiming that foreign

intervention was becoming inevitable. With the beginning of 1913, being

unable to delay the matter any longer, Yuan Shih-kai allowed elections

to be held in the provinces. He was so badly beaten at the polls that it

seemed in spite of his military power that he would be outvoted and

outmanoeuvred in the new National Assembly and his authority undermined.

To prevent this a fresh assassination was decided upon. The ablest

Southern leader, Sung Chiao-jen, just as he was entraining for Peking

with a number of Parliamentarians at Shanghai, was coolly shot in a

crowded railway station by a desperado who admitted under trial that he

had been paid £200 for the job by the highest authority in the land, the

evidence produced in court including telegrams from Peking which left no

doubt as to who had instigated the murder.

The storm raised by this evil measure made it appear as if no parliament

could ever assemble in Peking. But the feeling had become general that

the situation was so desperate that action had to be taken. Not only was

their reputation at stake, but the Kuomingtang or Revolutionary Party

now knew that the future of their country was involved just as much as

the safety of their own lives; and so after a rapid consultation they

determined that they would beard the lion in his den. Rather

unexpectedly on the 7th April (1913) Parliament was opened in Peking

with a huge Southern majority and the benediction of all Radicals.[7]

Hopes rose with mercurial rapidity as a solution at last seemed in

sight. But hardly had the first formalities been completed and Speakers

been elected to both Houses, than by a single dramatic stroke Yuan

Shih-kai reduced to nought these labours by stabbing in the back the

whole theory and practice of popular government.

The method he employed was simplicity itself, and it is peculiarly

characteristic of the man that he should have been so bluntly cynical.

Though the Provisional Nanking Constitution, which was the "law" of

China so far as there was any law at all, had laid down specifically in

article XIX that all measures affecting the National Treasury must

receive the assent of Parliament, Yuan Shih-kai, pretending that the

small Advisory Council which had assisted him during the previous year

and which had only just been dissolved, had sanctioned a foreign loan,

peremptorily ordered the signature of the great Reorganization Loan of

£25,000,000 which had been secretly under negotiation all winter with

the financial agents of six Powers[8], although the rupture which had

come in the previous June as a forerunner to the Crisp loan had caused

the general public to lose sight of the supreme importance of the

financial factor. Parliament, seeing that apart from the possibility of

a Foreign Debt Commission being created something after the Turkish and

Egyptian models, a direct challenge to its existence had been offered,

raged and stormed and did its utmost to delay the question; but the

Chief Executive having made up his mind shut himself up in his Palace

and absolutely refused to see any Parliamentary representatives.

Although the Minister of Finance himself hesitated to complete the

transaction in the face of the rising storm and actually fled the

capital, he was brought back by special train and forced to complete the

agreement. At four o'clock in the morning on the 25th April the last

documents were signed in the building of a foreign bank and the Finance

Minister, galloping his carriage suddenly out of the compound to avoid

possible bombs, reported to his master that at last--in spite of the

nominal foreign control which was to govern the disbursement--a vast sum

was at his disposal to further his own ends.

Safe in the knowledge that possession is nine points of the law, Yuan

Shih-kai now treated with derision the resolutions which Parliament

passed that the transaction was illegal and the loan agreement null and

void. Being openly backed by the agents of the Foreign Powers, he

immediately received large cash advances which enabled him to extend his

power in so many directions that further argument with him seemed

useless. It is necessary to record that the Parliamentary leaders had

almost gone down on their knees to certain of the foreign Ministers in

Peking in a vain attempt to persuade them to delay--as they could very

well have done--the signature of this vital Agreement for forty-eight

hours so that it could be formally passed by the National Assembly, and

thus save the vital portion of the sovereignty of the country from

passing under the heel of one man. But Peking diplomacy is a perverse

and disagreeable thing; and the Foreign Ministers of those days,

although accredited to a government which while it had not then been

formally recognized as a Republic by any Power save the United States,

was bound to be so very shortly, were determined to be reactionary and

were at heart delighted to find things running back normally to

absolutism[9]. High finance had at last got hold of everything it

required from China and was in no mood to relax the monopoly of the salt

administration which the Loan Agreement conferred. Nor must the fact be

lost sight of that of the nominal amount of £25,000,000 which had been

borrowed, fully half consisted of repayments to foreign Banks and never

left Europe. According to the schedules attached to the Agreement, Annex

A, comprising the Boxer arrears and bank advances, absorbed £4,317,778:

Annex B, being so-called provincial loans, absorbed a further

£2,870,000: Annex C, being liabilities shortly maturing, amounted to

£3,592,263: Annex D, for disbandment of troops, amounted to £3,000,000:

Annex C, to cover current administrative expenses totalled £5,500,000:

whilst Annex E which covered the reorganization of the Salt

Administration, absorbed the last £2,000,000; The bank profits on this

loan alone amounted to 1¼ million pounds; whilst Yuan Shih-kai

himself was placed in possession by a system of weekly disbursements of

a sum roughly amounting to ten million sterling, which was amply

sufficient to allow him to wreak his will on his fellow-countrymen.

Exasperated to the pitch of despair by this new development, the Central

and Southern provinces, after a couple of months' vain argument, began

openly to arm. On the 10th July in Kiangse province on the river

Yangtsze the Northern garrisons were fired upon from the Hukow forts by

the provincial troops under General Li Lieh-chun and the so-called

Second Revolution commenced.

The campaign was short and inglorious. The South, ill-furnished with

munitions and practically penniless, and always confronted by the same

well-trained Northern Divisions who had proved themselves invincible

only eighteen months before fought hard for a while, but never became a

serious menace to the Central Government owing to the lack of

co-operation between the various Rebel forces in the field. The Kiangse

troops under General Li Lieh-chun, who numbered at most 20,000 men,

fought stiffly, it is true, for a while but were unable to strike with

any success and were gradually driven far back from the river into the

mountains of Kiangse where their numbers rapidly melted away. The

redoubtable revolutionary Huang Hsin, who had proved useful as a

propagandist and a bomb-thrower in earlier days, but who was useless in

serious warfare, although he assumed command of the Nanking garrison

which had revolted to a man, and attempted a march up the Pukow railway

in the direction of Tientsin, found his effort break down almost

immediately from lack of organization and fled to Japan. The Nanking

troops, although deserted by their leader, offered a strenuous

resistance to the capture of the southern capital which was finally

effected by the old reactionary General Chang Hsun operating in

conjunction with General Feng Kuo-chang who had been dispatched from

Peking with a picked force. The attack on the Shanghai arsenal which had

been quietly occupied by a small Northern Garrison during the months

succeeding the great loan transaction, although pushed with vigour by

the South, likewise ultimately collapsed through lack of artillery and

proper leadership. The navy, which was wholly Southern in its sympathies

and which had been counted upon as a valuable weapon in cutting off the

whole Yangtsze Valley, was at the last moment purchased to neutrality by

a liberal use of money obtained from the foreign banks, under, it is

said, the heading of administrative expenses! The turbulent city of

Canton, although it also rose against the authority of Peking, had been

well provided for by Yuan Shih-kai. A border General, named Lung

Chi-kwang, with 20,000 semi-savage Kwangsi troops had been moved near

the city and at once attacked and overawed the garrison. Appointed

Military Governor of the province in return for his services, this Lung

Chi-kwang, who was an infamous brute, for three years ruled the South

with heartless barbarity, until he was finally ejected by the great

rising of 1916. Thoroughly disappointed in this and many other

directions the Southern Party was now emasculated; for the moneyed

classes had withheld their support to the end, and without money nothing

is possible in China. The 1913 outbreak, after lasting a bare two

months, ignominiously collapsed with the flight of every one of the

leaders on whose heads prices were put. The road was now left open for

the last step Yuan Shih-kai had in mind, the coup against Parliament

itself, which although unassociated in any direct way with the rising,

had undoubtedly maintained secret relations with the rebellious generals

in the field.

Parliament had further sinned by appointing a Special Constitutional

Drafting Committee which had held its sittings behind closed doors at

the Temple of Heaven. During this drafting of the Permanent

Constitution, admittance had been absolutely refused to Yuan Shih-kai's

delegates who had been sent to urge a modification of the

decentralization which had been such a characteristic of the Nanking

Instrument. Such details as transpired showed that the principle of

absolute money-control was not only to be the dominant note in the

Permanent Constitution, but that a new and startling innovation was

being included to secure that a _de facto_ Dictatorship should be

rendered impossible. Briefly, it was proposed that when Parliament was

not actually in session there should be left in Peking a special

Parliamentary Committee, charged with supervising and controlling the

Executive, and checking any usurpation of power.

This was enough for Yuan Shih-kai: he felt that he was not only an

object of general suspicion but that he was being treated with contempt.

He determined to finish with it all. He was as yet, however, only

provisional President and it was necessary to show cunning. Once more he

set to work in a characteristic way. By a liberal use of money

Parliament was induced to pass in advance of the main body of articles

the Chapter of the Constitution dealing with the election and term of

office of the President. When that had been done the two Chambers

sitting as an Electoral College, after the model of the French

Parliament, being partly bribed and partly terrorised by a military

display, were induced to elect him full President.

On the 10th October he took his final oath of office as President for a

term of five years before a great gathering of officials and the whole

diplomatic body in the magnificent Throne Room of the Winter Palace.

Safe now in his Constitutional position nothing remained for him but to

strike. On the 4th November he issued an arbitrary Mandate, which

received the counter-signature of the whole Cabinet, ordering the

unseating of all the so-called Kuomingtang or Radical Senators and

Representatives on the counts of conspiracy and secret complicity with

the July rising and vaguely referring to the filling of the vacancies

thus created by new elections.[10] The Metropolitan Police rigorously

carried out the order and although no brutality was shown, it was made

clear that if any of the indicted men remained in Peking their lives

would be at stake. Having made it impossible for Parliament to sit owing

to the lack of quorums, Yuan Shih-kai was able to proceed with his work

of reorganization in the way that best suited him; and the novel

spectacle was offered of a truly Mexican situation created in the Far

East by and with the assent of the Powers. It is significant that the

day succeeding this _coup d'état_ of the 4th November the agreement

conceding autonomy to Outer Mongolia was signed with Russia, China

simply retaining the right to station a diplomatic representative at

Urga.[11]

In spite of his undisputed power, matters however did not improve. The

police-control, judiciously mingled with assassinations, which was now

put in full vigour was hardly the administration to make room for which

the Manchus had been expelled; and the country secretly chafed and

cursed. But the disillusionment of the people was complete. Revolt had

been tried in vain; and as the support which the Powers were affording

to this régime was well understood there was nothing to do but to wait,

safe in the knowledge that such a situation possessed no elements of

permanency.

FOOTNOTES:

[6] The defective nature of this oath of office will be patent at a

glance:

"At the beginning of the Republic there are many things to be taken care

of. I, Yuan Shih-kai, sincerely wish to exert my utmost to promote the

democratic spirit, to remove the dark blots of despotism, to obey

strictly the Constitution, and to abide by the wish of the people, so as

to place the country in a safe, united, strong, and firm position, and

to effect the happiness and welfare of the divisions of the Chinese

race. All these wishes I will fulfil without fail. As soon as a new

President is elected by the National Assembly I shall at once vacate my

present position. With all sincerity I take this oath before the people

of China.

"Dated the tenth day of March in the First Year of the Republic of China

(1912)."

(Signed) Yuan Shih-kai.

[7] The Parliament of China is composed of a House of Representatives

numbering 596 members and a Senate of 274. The Representatives are

elected by means of a property and educational franchise which is

estimated to give about four million voters (1 per cent of the

population) although in practice relatively few vote. The Senate is

elected by the Provincial Assemblies by direct ballot. In the opinion of

the writer, the Chinese Parliament in spite of obvious shortcoming, is

representative of the country in its present transitional stage.

[8] The American Group at the last moment dropped out of the Sextuple

combination (prior to the signature of the contract) after President

Wilson had made his well-known pronouncement deprecating the association

of Americans in any financial undertakings which impinged upon the

rights of sovereignty of a friendly Power,--which was his considered

view of the manner in which foreign governments were assisting their

nationals to gain control of the Salt Administration The exact language

the President used was that the conditions of the loan seemed "to touch

very nearly the administrative independence of China itself," and that a

loan thus obtained was "obnoxious" to the principles upon which the

American government rests. It is to be hoped that President Wilson's

dictum will be universally accepted after the war and that meddling in

Chinese affairs will cease.

[9] The United States accorded formal recognition to the Republic on the

election of the Speakers of the two Houses of Parliament: the other

Treaty Powers delayed recognition until Yuan Shih-kai had been elected

full President in October. It has been very generally held that the long

delay in foreign recognition of the Republic contributed greatly to its

internal troubles by making every one doubt the reality of the Nanking

transaction. Most important, however, is the historical fact that a

group of Powers numbering the two great leaders of democracy in

Europe--England and France--did everything they could in Peking to

enthrone Yuan Shih-kai as dictator.

[10] According to the official lists published subsequent to the coup

d'état, 98 Senators and 252 Members of the House of Representatives had

their Parliamentary Certificates impounded by the police as a result of

the Mandates of the 4th November, and were ordered to leave the Capital.

In addition 34 Senators and 54 Members of the Lower House fled from

Peking before their Certificates could be seized. Therefore the total

number affected by the proscription was 132 Senators and 306

Representatives. As the quorums in the case of both Houses are half the

total membership, any further sittings were thus made impossible.

[11] A full copy of this agreement will be found in the appendix.

CHAPTER IV

THE DICTATOR AT WORK

(FROM THE COUP D'ETAT OF THE 4TH NOVEMBER, 1913, TO THE OUTBREAK OF THE

WORLD-WAR 1ST AUGUST, 1914)

With the Parliament of China effectively destroyed, and the turbulent

Yangtsze Valley dragooned into sullen submission, Yuan Shih-kai's task

had become so vastly simplified that he held the moment to have arrived

when he could openly turn his hand to the problem of making himself

absolutely supreme, _de jure_ as well as _de facto_. But there was one

remaining thing to be done. To drive the last nail into the coffin of

the Republic it was necessary to discredit and virtually imprison the

man who was Vice-President.

It is highly characteristic that although he had received from the hero

of the Wuchang Rising the most loyal co-operation--a co-operation of a

very arduous character since the Commander of the Middle Yangtsze had

had to resist the most desperate attempt? to force him over to the side

of the rebellion in July, 1913, nevertheless, Yuan Shih-kai was

determined to bring this man to Peking as a prisoner of state.

It was just the fact that General Li Yuan-hung was a national hero which

impelled the Dictator to action. In the election which had been carried

out in October, 1913, by the National Assembly sitting as a National

Convention, in spite of every effort to destroy his influence, the

personal popularity of the Vice-President had been such that he had

received a large number of votes for the office of full President--which

had necessitated not one but three ballots being taken, making most

people declare that had there been no bribery or intimidation he would

have probably been elected to the supreme office in the land, and

ousted the ambitious usurper. In such circumstances his complete

elimination was deemed an elementary necessity. To secure that end Yuan

Shih-kai suddenly dispatched to Wuchang--where the Vice-President had

resided without break since 1911--the Minister of War, General Tuan

Chi-jui, with implicit instructions to deal with the problem in any way

he deemed satisfactory, stopping short of nothing should his victim

prove recalcitrant.

Fortunately General Tuan Chi-jui did not belong to the ugly breed of men

Yuan Shih-kai loved to surround himself with; and although he was a

loyal and efficient officer the politics of the assassin were unknown to

him. He was therefore able to convince the Vice-President after a brief

discussion that the easiest way out of the ring of intriguers and

plotters in which Yuan Shih-kai was rapidly surrounding him in Wuchang

was to go voluntarily to the capital. There at least he would be in

daily touch with developments and able to fight his own battles without

fear of being stabbed in the back; since under the eye of the foreign

Legations even Yuan Shih-kai was exhibiting a certain timidity. Indeed

after the outcry which General Chang Cheng-wu's judicial murder had

aroused he had reserved his ugliest deeds for the provinces, only small

men being done to death in Peking. Accordingly, General Li Yuan-hung

packed a bag and accompanied only by an aide-de-camp left abruptly for

the capital where he arrived on the 11th December, 1913.

A great sensation was caused throughout China by this sudden departure,

consternation prevailing among the officers and men of the Hupeh

(Wuchang) army when the newspapers began to hint that their beloved

chief had been virtually abducted. Although cordially received by Yuan

Shih-kai and given as his personal residence the. Island Palace where

the unfortunate Emperor Kwanghsu had been so long imprisoned by the

Empress Dowager Tsu Hsi after her _coup d'état_ of 1898, it did not take

long for General Li Yuan-hung to understand that his presence was a

source of embarrassment to the man who would be king. Being, however,

gifted with an astounding fund of patience, he prepared to sit down and

allow the great game which he knew would now unroll to be played to its

normal ending. What General Li Yuan-hung desired above all was to be

forgotten completely and absolutely--springing to life when the hour of

deliverance finally arrived. His policy was shown to be not only

psychologically accurate, but masterly in a political sense. The

greatest ally of honesty in China has always been time, the inherent

decency of the race finally discrediting scoundrelism in every period of

Chinese history.

The year 1914 dawned with so many obstacles removed that Yuan Shih-kai

became more and more peremptory in his methods. In February the young

Empress Lun Yi, widow of the Emperor Kwanghsu, who two years previously

in her character of guardian of the boy-Emperor Hsuan Tung, had been

cajoled into sanctioning the Abdication Edicts, unexpectedly expired,

her death creating profound emotion because it snapped the last link

with the past. Yuan Shih-kai's position was considerably strengthened by

this auspicious event which secretly greatly delighted him; and by his

order for three days the defunct Empress lay in State in the Grand Hall

of the Winter Palace and received the obeisance of countless multitudes

who appeared strangely moved by this hitherto unknown procedure. There

was now only a nine-year old boy between the Dictator and his highest

ambitions. Two final problems still remained to be dealt with: to give a

legal form to a purely autocratic rule, and to find money to govern the

country. The second matter was vastly more important than the first to a

man who did not hesitate to base his whole polity on the teachings of

Machiavelli, legality being looked upon as only so much political

window-dressing to placate foreign opinion and prevent intervention,

whilst without money even the semblance of the rights of eminent domain

could not be preserved. Everything indeed hinged on the question of

finding money.

There was none in China, at least none for the government. Financial

chaos still reigned supreme in spite of the great Reorganization Loan of

£25,000,000, which had been carefully arranged more for the purpose of

wiping-out international indebtedness and balancing the books of foreign

bankers than to institute a modern government. All the available specie

in the country had been very quietly remitted in these troubled times by

the native merchant-guilds from every part of China to the vast emporium

of Shanghai for safe custody, where a sum not far short of a hundred

million ounces now choked the vaults of the foreign banks,--being safe

from governmental expropriation. The collection of provincial revenues

having been long disorganized, Yuan Shih-kai, in spite of his military

dictatorship, found it impossible to secure the proper resumption of the

provincial remittances. Fresh loans became more and more sought after;

by means of forced domestic issues a certain amount of cash was

obtained, but the country lived from hand to mouth and everybody was

unhappy. Added to this by March the formidable insurrection of the

"White Wolf" bandits in Central China--under the legendary leadership of

a man who was said to be invulnerable--necessitated the mobilization of

a fresh army which ran into scores of battalions and which was vainly

engaged for nearly half a year in rounding-up this replica of the

Mexican Villa. So demoralized had the army become from long licence that

this guerrilla warfare was waged with all possible slackness until a

chance shot mortally wounded the chief brigand and his immense following

automatically dispersed. During six months these pests had ravaged three

provinces and menaced one of the most strongly fortified cities in

Asia--the old capital of China, Hsianfu, whither the Manchu Court had

fled in 1900.

Meanwhile wholesale executions were carried out in the provinces with

monotonous regularity and all attempts at rising ruthlessly suppressed.

In Peking the infamous Chih Fa Chu or Military Court--a sort of Chinese

Star-Chamber--was continually engaged in summarily dispatching men

suspected of conspiring against the Dictator, Even the printed word was

looked upon as seditious, an unfortunate native editor being actually

flogged to death in Hankow for telling the truth about conditions in the

riverine districts. These cruelties made men more and more determined to

pay off the score the very first moment that was possible. Although he

was increasingly pressed for ready money, Yuan Shih-kai, by the end of

April, 1914, had the situation sufficiently in hand to bring out his

supreme surprise,--a brand-new Constitution promulgated under the

euphonious title of "The Constitutional Compact."

This precious document, which had no more legality behind it as a

governing instrument than a private letter, can be studied by the

curious in the appendix where it is given in full: here it is sufficient

to say that no such hocuspocus had ever been previously indulged in

China. Drafted by an American legal adviser, Dr. Goodnow, who was later

to earn unenviable international notoriety as the endorser of the

monarchy scheme, it erected what it was pleased to call the Presidential

System; that is, it placed all power directly in the hands of the

President, giving him a single Secretary of State after the American

model and reducing Cabinet Ministers to mere Department Chiefs who

received their instructions from the State Department but had no real

voice in the actual government. A new provincial system was likewise

invented for the provinces, the Tutuhs or Governors of the Revolutionary

period being turned into Chiang Chun or Military Officials on the Manchu

model and provincial control absolutely centralized in their hands,

whilst the Provincial Assemblies established under the former dynasty

were summarily abolished. The worship at the Temple of Heaven was also

re-established and so was the official worship of Confucius--both

Imperialistic measures--whilst a brand-new ceremony, the worship of the

two titulary Military Gods, was ordered so as to inculcate military

virtue! It was laid down that in the worship of Heaven the President

would wear the robes of the Dukes of the Chow dynasty, B.C. 1112, a

novel and interesting republican experiment. Excerpts from two Mandates

which belong to these days throw a flood of light on the kind of

reasoning which was held to justify these developments. The first

declares:

... "In a Republic the Sovereign Power is vested in the people, and

the main principle is that all things should be determined in

accordance with the desires of the majority. These desires may be

embraced by two words, namely, existence and happiness. I, the

President, came from my farm because I was unable to bear the

eternal sufferings of the innocent people. I assumed office and

tried vainly to soothe the violent feelings. The greatest evil

nowadays is the misunderstanding of true principles. The Republicans

on the pretext of public interest try to attain selfish ends, some

going so far as to consider the forsaking of parents as a sign of

liberty and regarding the violation of the laws as a demonstration

of equality. I will certainly do my best to change all this."

In the second Mandate Yuan Shih-kai justifies the re-establishment of

the Confucian worship in a singular way, incidentally showing how

utterly incomprehensible to him is the idea of representative

government, since he would appear to have imagined that by dispatching

circular telegrams to the provincial capitals and receiving affirmative

replies from his creatures all that is necessary in the way of a

national endorsement of high constitutional measures had been obtained.

... "China's devotion to Confucius began with the reign of the

Emperor Hsiaowu, of the Han dynasty, who rejected the works of the

hundred authors, making the six Confucian classics the leading

books. Confucius, born in the time of the tyranny of the nobility,

in his works declared that after war disturbances comes peace, and

with peace real tranquillity and happiness. This, therefore, is the

fountain of Republicanism. After studying the history of China and

consulting the opinions of scholars, I find that Confucius must

remain the teacher for thousands of generations. But in a Republic

the people possess sovereign power. Therefore circular telegrams

were dispatched to all the provinces to collect opinions, and many

affirmative answers have already been received. Therefore, all

colleges, schools, and public bodies are ordered to revive the

sacrificial ceremony of Confucius, which shall be carefully and

minutely ordained." ...

With the formal promulgation of the Constitutional Compact the situation

had become bizarre in the extreme. Although even the child-mind might

have known that powers for Constitution-making were vested solely in the

National Assembly, and that the re-division of authority which was now

made was wholly illegal, because Yuan Shih-kai as the bailiff of the

Powers was able to do much as he pleased; and at a moment when Liberal

Europe was on the eve of plunging into the most terrible war in history

in defence of right against might, reaction and Prussianism of the most

repulsive type were passed by unnoticed in China. In a few loosely

drafted chapters not only was the governance of the country rearranged

to suit a purely dictational rule, but the actual Parliament was

permanently extinguished and replaced by a single Legislative Chamber

(_Li Fa Yuan_) which from its very composition could be nothing but a

harmless debating Society with no greater significance than a dietine of

one of the minor German States. Meanwhile, as there was no intention of

allowing even this chamber to assemble until the last possible moment, a

Senate was got together as the organ of public opinion, ten Senators

being chosen to draft yet another Constitution which would be the final

one. Remarkable steps were taken a little later in the year (1914) to

secure that the succession to the dictatorship should be left in Yuan

Shih-kai's own hands. An elaborate ritual was contrived and officially

promulgated under the title of the Presidential Succession Law on the

29th December whereby the Chief Executive selected three names which

were placed in a gold box in a Stone House in the grounds of the

Palace,--the gold box only to be opened when death or incapacity

deprived the nation of its self-appointed leader. For the term of the

presidency was openly converted into one of ten years and made subject

to indefinite renewal by this precious instrument which was the work of

the puppet senate. In case of the necessity of an election suddenly

arising, an Electoral College was to be formed by fifty members drawn

from the Legislative Chamber and fifty from the Senate, the Presidential

candidates consisting of the President (if he so desired) and the three

whose names were in the gold box in the Stone House in the Palace

grounds. It is not definitely known to whom these provisions were due,

but it is known that at least they were not the work of the American

adviser.

His responsibility, however, was very great; for the keynote of all this

scheme, according to Dr. Goodnow[12], was "centralization of power," a

parrot-like phrase which has deluded better men than ever came to China

and which--save as a method necessary during a state of war--should

have no place in modern politics. But it was precisely this which

appealed to Yuan Shih-kai. Although as President he was _ex officio_

Commander-in-Chief of the Army and Navy, he now turned this office into

a direct and special organization installed within the precincts of the

Imperial City. The flags of this new dictatorship constantly floated

over his palace, whilst scores of officers were appointed to scores of

departments which were directly concerned with centralizing the control

of every armed man in the country in the master's hands. Meanwhile in

order to placate provincial commanders, a "Palace of Generals," was

created in Peking to which were brought all men it was held desirable to

emasculate. Here, drawing ample salaries, they could sit in idleness the

livelong day, discussing the battles they had never fought and

intriguing against one another, two occupations in which the product of

the older school of men in China excels. Provincial levies which had any

military virtue, were gradually disbanded, though many of the rascals

and rapscallions, who were open menaces to good government were left

with arms in their hands so as to be an argument in favour of drastic

police-rule. Thus it is significant of the underlying falseness and

weakness of the dictator's character that he never dared to touch the

troops of the reprobate General Chang Hsun, who had made trouble for

years, and who had nearly embroiled China in war with Japan during the

so-called Second Revolution (July-August, 1913) by massacring some

Japanese civilians in the streets of Nanking when the city was

recaptured. So far from disbanding his men, Chang Hsun managed

constantly to increase his army of 30,000 men on the plea that the post

of Inspector-General of the Yangtsze Valley, which had been given to him

as a reward for refusing to throw in his lot with the Southern rebels,

demanded larger forces. Yuan Shih-kai, although half afraid of him,

found him at various periods useful as a counterweight to other generals

in the provinces; in any case he was not the man to risk anything by

attempting to crush him. As he was planted with his men astride of the

strategically important Pukow railway, it was always possible to order

him at a moment's notice into the Yangtsze Valley which was thus

constantly under the menace of fire and sword.

Far and wide Yuan Shih-kai now stretched his nets. He even employed

Americans throughout the United States in the capacity of press-agents

in order to keep American public opinion favourable to him, hoping to

invoke their assistance against his life-enemy--Japan--should that be

necessary. The precise details of this propaganda and the sums spent in

its prosecution are known to the writer; if he refrains from publishing

them it is solely for reasons of policy. England it was not necessary to

deal with in this way. Chance had willed that the British Representative

in Peking should be an old friend who had known the Dictator intimately

since his Korean days; and who faithful to the extraordinary English

love of hero-worship believed that such a surprising character could do

little wrong. British policy which has always been a somewhat variable

quantity in China, owing to the spasmodic attention devoted to such a

distant problem, may be said to have been non-existent during all this

period--a state of affairs not conducive to international happiness.

Slowly the problem developed in a shiftless, irresolute way. Unable to

see that China had vastly changed, and that government by rascality had

become a physical and moral impossibility, the Legations in Peking

adopted an attitude of indifference leaving Yuan Shih-kai to wreak his

will on the people. The horde of foreign advisers who had been appointed

merely as a piece of political window-dressing, although they were

allowed to do no work, were useful in running backwards and forwards

between the Legations and the Presidential headquarters and in making

each Power suppose that its influence was of increasing importance. It

was made abundantly clear that in Yuan Shih-kai's estimation the

Legations played in international politics much the same rôle that

provincial capitals did in domestic politics: so long as you bound both

to benevolent neutrality the main problem--the consolidation of

dictatorial power--could be pushed on with as you wished. Money,

however, remained utterly lacking and a new twenty-five million sterling

loan was spoken of as inevitable--the accumulated deficit in 1914 being

alone estimated at thirty-eight million pounds. But although this

financial dearth was annoying, Chinese resources were sufficient to

allow the account to be carried on from day to day. Some progress was

made in railways, building concessions being liberally granted to

foreign corporations, this policy having received a great impetus from

the manner in which Dr. Sun Yat Sen had boomed the necessity for better

communications during the short time he had ruled at a National Railway

Bureau in Shanghai, an office from which he had been relieved in 1913 on

it being discovered that he was secretly indenting for quick-firing

guns. Certain questions proved annoying and insoluble, for instance the

Tibetan question concerning which England was very resolute, as well as

the perpetual risings in Inner Mongolia, a region so close to Peking

that concentrations of troops were necessary. But on the whole as time

went on there was increasing indifference both among the Foreign Powers

and Chinese for the extraordinary state of affairs which had been

allowed to grow up.

There was one notable exception, however, Japan. Never relaxing her grip

on a complicated problem, watchful and active, where others were

indifferent and slothful, Japan bided her time. Knowing that the hour

had almost arrived when it would be possible to strike, Japan was vastly

active behind the scenes in China long before the outbreak of the

European war gave her the longed for opportunity; and largely because of

her the pear, which seemed already almost ripe, finally withered on the

tree.

FOOTNOTES:

[12] It is significant that Dr. Goodnow carried out all his

Constitutional studies in Germany, specializing in that department known

as Administrative Law which has no place, fortunately, in Anglo-Saxon

conceptions of the State.

CHAPTER V

THE FACTOR OF JAPAN

(FROM THE OUTBREAK OF THE WORLD-WAR, 1ST AUGUST, 1914, TO THE FILING OF

THE TWENTY-ONE DEMANDS, 18TH JANUARY, 1915)

The thunderclap of the European war shattered the uneasy calm in China,

not because the Chinese knew anything of the mighty issues which were to

be fought out with such desperation and valour, but because the presence

of the German colony of Kiaochow on Chinese soil and the activity of

German cruisers in the Yellow Sea brought the war to China's very doors.

Vaguely conscious that this might spell disaster to his own ambitious

plans, Yuan Shih-kai was actually in the midst of tentative negotiations

with the German Legation regarding the retrocession of the Kiaochow

territory when the news reached him that Japan, after some rapid

negotiations with her British Ally, had filed an ultimatum on Germany,

peremptorily demanding the handing-over of all those interests that had

been forcibly acquired in Shantung province in the great leasing-year of

1898.

At once Yuan Shih-kai realized that the Nemesis which had dogged his

footsteps all his life was again close behind him. In the Japanese

attack on Kiaochow he foresaw a web of complications which even his

unrivalled diplomacy might be unable to unravel; for he knew well from

bitter experience that wherever the Japanese sets his foot there he

remains. It is consequently round this single factor of Japan that the

history of the two succeeding years revolves. From being indisputably

the central figure on the Chinese canvas, Yuan Shih-kai suddenly becomes

subordinate to the terror of Japanese intervention which hangs over him

constantly like a black cloud, and governs every move he made from the

15th August, 1914, to the day of his dramatic death on the 6th June,

1916. We shall attempt to write down the true explanation of why this

should have been so.

It is extremely hard to discuss the question of Japan for the benefit of

an exclusively Western audience in a convincing way because Japanese

policy has two distinct facets which seem utterly contradictory, and yet

which are in a great measure understandable if the objects of that

diplomacy are set down. Being endowed with an extraordinary capacity for

taking detached views, the Statesmen of Tokio long ago discerned the

necessity of having two independent policies--an Eastern policy for

Eastern Asia and a Western policy for Western nations--because East and

West are essentially antithetical, and cannot be treated (at least not

yet) in precisely the same manner. Whilst the Western policy is frank

and manly, and is exclusively in the hands of brilliant and attractive

men who have been largely educated in the schools of Europe and America

and who are fully able to deal with all matters in accordance with the

customary traditions of diplomacy, the Eastern policy is the work of

obscurantists whose imaginations are held by the vast projects which the

Military Party believes are capable of realization in China. There is

thus a constant contradiction in the attitude of Japan which men have

sought in vain to reconcile. It is for this reason that the outer world

is divided into two schools of thought, one believing implicitly in

Japan's _bonâ fides_, the other vulgarly covering her with abuse and

declaring that she is the last of all nations in her conceptions of fair

play and honourable treatment. Both views are far-fetched. It is as true

of Japan as it is of every other Government in the world that her

actions are dictated neither by altruism nor by perfidy, but are merely

the result of the faulty working of a number of fallible brains and as

regards the work of administration in Japan itself the position is

equally extraordinary. Here, at the extreme end of the world, so far

from being in any way threatened, the principle of Divine Right, which

is being denounced and dismembered in Europe as a crude survival from

almost heathen days, stands untouched and still exhibits itself in all

its pristine glory. A highly aristocratic Court, possessing one of the

most complicated and jealously protected hierarchies in the world, and

presided over by a monarch claiming direct descent from the sacred Jimmu

Tenno of twenty-five hundred years ago, decrees to-day precisely as

before, the elaborate ritual governing every move, every decision and

every agreement. There is something so engaging in this political

curiosity, something so far removed from the vast world-movement now

rolling fiercely to its conclusion, that we may be pardoned for

interpolating certain capital considerations which closely affect the

future of China and therefore cannot fail to be of public interest.

The Japanese, who owe their whole theocratic conception to the Chinese,

just as they owe all their letters and their learning to them, still

nominally look upon their ruler as the link between Heaven and Earth,

and the central fact dominating their cosmogony. Although the vast

number of well-educated men who to-day crowd the cities of Japan are

fully conscious of the bizarre nature of this belief in an age which has

turned its back on superstition, nothing has yet been done to modify it

because--and this is the important point--the structure of Japanese

society is such that without a violent upheaval which shall hurl the

military clan system irremediably to the ground, it is absolutely

impossible for human equality to be admitted and the man-god theory to

be destroyed. So long as these two features-exist; that is so long as a

privileged military caste supports and attempts to make all-powerful the

man-god theory, so long will Japan be an international danger-spot

because there will lack those democratic restraints which this war has

shown are absolutely essential to secure a peaceful understanding among

the nations. It is for this reason that Japan will fail to attain the

position the art-genius and industry of her people entitle her to and

must limp behind the progress of the world unless a very radical

revision of the constitution is achieved. The disabilities which arise

from an archaic survival are so great that they will affect China as

adversely as Japan, and therefore should be universally understood.

Japanese history, if stripped of its superficial aspects, has a certain

remarkable quality; it seems steeped in heroic blood. The doctrine of

force, which expresses itself in its crudest forms in Europe, has always

been in Japan a system of heroic-action so fascinating to humanity at

large that until recent times its international significance has not

been realized. The feudal organization of Japanese society which arose

as a result of the armed conquest of the islands fifteen hundred years

ago, precluded centralizating measures being taken because the Throne,

relying on the virtues of Divine Ancestors rather than on any

well-articulated political theory, was weak in all except certain

quasisacerdotal qualities, and forced to rely on great chieftains for

the execution of its mandates as well as for its defence. The military

title of "barbarian-conquering general," which was first conferred on a

great clan leader eight centuries ago, was a natural enough development

when we remember that the autochthonous races were even then not yet

pushed out of the main island, and were still battling with the

advancing tide of Japanese civilization which was itself composed of

several rival streams coming from the Asiatic mainland and from the

Malayan archipelagoes. This armed settlement saturates Japanese history

and is responsible for the unending local wars and the glorification of

the warrior. The conception of triumphant generalship which Hideyoshi

attempted unsuccessfully to carry into Korea in the Sixteenth Century,

led directly at the beginning of the Seventeenth Century to the formal

establishment of the Shogunate, that military dictatorship being the

result of the backwash of the Korean adventure, and the greatest proof

of the disturbance which it had brought in Japanese society. The

persistence of this hereditary military dictatorship for more than two

and a half centuries is a remarkable illustration of the fact that as in

China so in Japan the theocratic conception was unworkable save in

primitive times--civilization demanding organization rather than

precepts and refusing to bow its head to speechless kings. Although the

Restoration of 1868 nominally gave back to the Throne all it had been

forced to leave in other hands since 1603, that transfer of power was

imaginary rather than real, the new military organization which

succeeded the Shogun's government being the vital portion of the

Restoration. In other words, it was the leaders of Japan's conscript

armies who inherited the real power, a fact made amply evident by the

crushing of the Satsuma Rebellion by these new corps whose organization

allowed them to overthrow the proudest and most valorous of the Samurai

and incidentally to proclaim the triumph of modern firearms.

Now it is important to note that as early as 1874--that is six years

after the Restoration of the Emperor Meiji--these facts were attracting

the widest notice in Japanese society, the agitation for a Constitution

and a popular assembly being very vigorously pushed. Led by the

well-known and aristocratic Itagaki, Japanese Liberalism had joined

battle with out-and-out Imperialism more than a quarter of a century

ago; and although the question of recovering Tariff and Judicial

autonomy and revising the Foreign Treaties was more urgent in those

days, the foreign question was often pushed aside by the fierceness of

the constitutional agitation.

It was not, however, until 1889 that a Constitution was finally granted

to the Japanese--that instrument being a gift from the Crown, and

nothing more than a conditional warrant to a limited number of men to

become witnesses of the processes of government but in no sense its

controllers. The very first Diet summoned in 1890 was sufficient proof

of that. A collision at once occurred over questions of finance which

resulted in the resignation of the Ministry. And ever since those days,

that is for twenty-seven consecutive years, successive Diets in Japan

have been fighting a forlorn fight for the power which can never be

theirs save by revolution, it being only natural that Socialism should

come to be looked upon by the governing class as Nihilism, whilst the

mob-threat has been very acute ever since the Tokio peace riots of 1905.

Now it is characteristic of the ceremonial respect which all Japanese

have for the Throne that all through this long contest the main issue

should have been purposely obscured. The traditional feelings of

veneration which a loyal and obedient people feel for a line of

monarchs, whose origin is lost in the mists of antiquity, are such that

they have turned what is in effect an ever-growing struggle against the

archaic principle of divine right into a contest with clan-leaders whom

they assert are acting "unconstitutionally" whenever they choose to

assert the undeniable principles of the Constitution. Thus to-day we

have this paradoxical situation; that although Japanese Liberalism must

from its very essence be revolutionary, _i.e._, destructive before it

can hope to be constructive, it feigns blindness, hoping that by suasion

rather than by force the principle of parliamentary government will

somehow be grafted on to the body politic and the emperors, being left

outside the controversy, become content to accept a greatly modified

rule.

This hope seems a vain one in the light of all history. Militarism and

the clans are by no means in the last ditch in Japan, and they will no

more surrender their power than would the Russian bureaucracy. The only

argument which is convincing in such a case is the last one which is

ever used; and the mere mention of it by so-called socialists is

sufficient to cause summary arrest in Japan. Sheltering themselves

behind the Throne, and nominally deriving their latter-day dictatorship

from the Imperial mandate, the military chiefs remain adamant, nothing

having yet occurred to incline them to surrender any of their

privileges. By a process of adaptation to present-day conditions, a

formula has now been discovered which it is hoped will serve many a long

year. By securing by extra-legal means the return of a "majority" in the

House of Representatives the fiction of national support of the

autocracy has been re-invigorated, and the doctrine laid down that what

is good for every other advanced people in the world is bad for the

Japanese, who must be content with what is granted them and never

question the superior intelligence of a privileged caste. In the opinion

of the writer, it is every whit as important for the peace of the world

that the people of Japan should govern themselves as it is for the

people of Germany to do so. The persistence of the type of military

government which we see to-day in Japan is harmful for all alike because

it is as antiquated as Tsarism and a perpetual menace to a disarmed

nation such as China. So long as that government remains, so long must

Japan remain an international suspect and be denied equal rights in the

council-chambers of the Liberal Powers.

If the situation which arose on the 15th August, 1914, is to be

thoroughly understood, it is necessary to pick up threads of

Chino-Japanese relations from a good many years back. First-hand

familiarity with the actors and the scenes of at least three decades is

essential to give the picture the completeness, the brilliancy of

colouring, and withal the suggestiveness inseparable from all true

works of art. For the Chino-Japanese question is primarily a work of art

and not merely a piece of jejune diplomacy stretched across the years.

As the shuttle of Fate has been cast swiftly backwards and forwards, the

threads of these entwining relations have been woven into patterns

involving the whole Far East, until to-day we have as it were a complete

Gobelin tapestry, magnificent with meaning, replete with action, and

full of scholastic interest.

Let us follow some of the tracery. It has long been the habit to affirm

that the conflict between China and Japan had its origin in Korea, when

Korea was a vassal state acknowledging the suzerainty of Peking; and

that the conflict merited ending there, since of the two protagonists

contending for empire Japan was left in undisputed mastery. This

statement, being incomplete, is dangerously false. Dating from that

vital period of thirty years ago, when Yuan Shih-kai first went to Seoul

as a general officer in the train of the Chinese Imperial Resident (on

China being forced to take action in protection of her interests, owing

to the "opening" of Korea by the American Treaty of 1882) three

contestants, equally interested in the balance of land-power in Eastern

Asia were constantly pitted against one another with Korea as their

common battling-ground--Russia, China and Japan. The struggle, which

ended in the eclipse of the first two, merely shifted the venue from the

Korean zone to the Manchurian zone; and from thence gradually extended

it further and further afield until at last not only was Inner Mongolia

and the vast belt of country fronting the Great Wall embraced within its

scope, but the entire aspect of China itself was changed. For these

important facts have to be noted. Until the Russian war of 1904-05 had

demonstrated the utter valuelessness of Tsarism as an international

military factor, Japan had been almost willing to resign herself to a

subordinate rôle in the Far East. Having eaten bitter bread as the

result of her premature attempt in 1895 (after the Korean war) to become

a continental power--an attempt which had resulted in the forced

retrocession of the Liaotung Peninsula--she had been placed on her good

behaviour, an attitude which was admirably reflected in 1900 when her

Peking Expeditionary Force proved itself so well-behaved and so gallant

as to arouse the world's admiration. But the war with Russia and the

collapse of the Tsar's Manchurian adventure not only drew her back into

territory that she never hoped to see again, but placed her in

possession of a ready-made railway system which carried her almost up to

the Sungari river and surrendered to her military control vast

grasslands stretching to the Khingan mountains. This Westernly march so

greatly enlarged the Japanese political horizon, and so entirely changed

the Japanese viewpoint, that the statesmen of Tokio in their excitement

threw off their ancient spectacles and found to their astonishment that

their eyes were every whit as good as European eyes. Now seeing the

world as others had long seen it, they understood that just as with the

individuals so with nations the struggle for existence can most easily

be conducted by adopting that war-principle of Clausewitz--the restless

offensive, and not by writing meaningless dispatches. Prior to the

Russian war they had written to Russia a magnificent series of documents

in which they had pleaded with sincerity for an equitable

settlement,--only to find that all was in vain. Forced to battle, they

had found in combat not only success but a new principle.

The discovery necessitated a new policy. During the eighties, and in a

lesser degree in the nineties, Japan had apart from everything else been

content to act in a modest and retiring way, because she wished at all

costs to avoid testing too severely her immature strength. But owing to

the successive collapses of her rivals, she now found herself not only

forced to attack as the safest course of action, but driven to the view

that the Power that exerts the maximum pressure constantly and

unremittedly is inevitably the most successful. This conclusion had

great importance. For just as the first article of faith for England in

Asia has been the doctrine that no Power can be permitted to seize

strategic harbours which menace her sea-communications, so did it now

become equally true of Japan that her dominant policy became not an

Eastern Monroe doctrine, as shallow men have supposed, but simply the

Doctrine of Maximum Pressure. To press with all her strength on China

was henceforth considered vital by every Japanese; and it is in this

spirit that every diplomatic pattern has been woven since the die was

cast in 1905. Until this signal fact has been grasped no useful analysis

can be made of the evolution of present conditions. Standing behind

this policy, and constantly reinforcing it, are the serried ranks of

the new democracy which education and the great increase in material

prosperity have been so rapidly creating. The soaring ambition which

springs from the sea lends to the attacks developed by such a people the

aspect of piracies; and it is but natural. In such circumstances that

for Chinese Japan should not only have the aspect of a sea-monster but

that their country should appear as hapless Andromeda bound to a rock,

always awaiting a Perseus who never comes....

The Revolution of 1911 had been entirely unexpected in Japan. Whilst

large outbreaks had been certainly counted on since the Chinese

Revolutionary party had for years used Japan as an asylum and a base of

operations, never had it been anticipated that the fall of an ancient

Dynasty could be so easily encompassed. Consequently, the abdication of

the Manchus as the result of intrigues rather than of warfare was looked

upon as little short of a catastrophe because it hopelessly complicated

the outlook, broke the pattern which had been so carefully woven for so

many years, and interjected harsh elements which could not be assigned

an orderly place. Not only was a well-articulated State-system suddenly

consigned to the flames, but the ruin threatened to be so general that

the balance of power throughout the Far East would be twisted out of

shape. Japanese statesmen had desired a weak China, a China which would

ultimately turn to them for assistance because they were a kindred race,

but not a China that looked to the French Revolution for its

inspiration. To a people as slow to adjust themselves to violent

surprises as are the Japanese, there was an air of desperation about the

whole business which greatly alarmed them, and made them determined at

the earliest possible moment to throw every ounce of their weight in the

direction which would best serve them by bringing matters back to their

original starting-point. For this reason they were not only prepared in

theory in 1911 to lend armed assistance to the Manchus but would have

speedily done so had not England strongly dissented from such a course

of action when she was privately sounded about the matter. Even to-day,

when a temporary adjustment of Japanese policy has been successfully

arranged, it is of the highest importance for political students to

remember that the dynastic influences in Tokio have never departed from

the view that the legitimate sovereignty of China remains vested in the

Manchu House and that everything that has taken place since 1911 is

irregular and unconstitutional.

For the time being, however, two dissimilar circumstances demanded

caution: first, the enthusiasm which the Japanese democracy, fed by a

highly excited press, exhibited towards the Young China which had been

so largely grounded in the Tokio schools and which had carried out the

Revolution: secondly--and far more important--the deep, abiding and

ineradicable animosity which Japanese of all classes felt for the man

who had come out of the contest head and shoulders above everybody

else--Yuan Shih-kai. These two remarkable features ended by completely

thrusting into the background during the period 1911-1914 every other

element in Japanese statesmanship; and of the two the second must be

counted the decisive one. Dating back to Korea, when Yuan Shih-kai's

extraordinary diplomatic talents constantly allowed him to worst his

Japanese rivals and to make Chinese counsels supreme at the Korean Court

up to the very moment when the first shots of the war of 1894 were

fired, this ancient dislike, which amounted to a consuming hatred, had

become a fixed idea. Restrained by the world's opinion during the period

prior to the outbreak of the world-war as well as by the necessity of

acting financially in concert with the other Powers, it was not until

August, 1914, that the longed-for opportunity came and that Japan

prepared to act in a most remarkable way.

The campaign against Kiaochow was unpopular from the outset among the

Japanese public because it was felt that they were not legitimately

called upon to interest themselves in such a remote question as the

balance of power among European nations, which was what British warfare

against Germany seemed to them to be. Though some ill-will was felt

against Germany for the part played by her in the intervention of 1895,

it must not be forgotten that just as the Japanese navy is the child of

the British navy, so is the Japanese army the child of the German

army--and that Japanese army chiefs largely control Japan. These men

were averse from "spoiling their army" in a contest which did not

interest them. There was also the feeling abroad that England by

calling upon her Ally to carry out the essential provisions of her

Alliance had shown that she had the better part of a bargain, and that

she was exploiting an old advantage in a way which could not fail to

react adversely on Japan's future world's relationships. Furthermore, it

is necessary to underline the fact that official Japan was displeased by

the tacit support an uninterested British Foreign Office had

consistently given to the Yuan Shih-kai régime. That the Chinese

experiment was looked upon in England more with amusement than with

concern irritated the Japanese--more particularly as the British Foreign

Office was issuing in the form of White Papers documents covering Yuan

Shih-kai's public declarations as if they were contributions to

contemporary history. Thus in the preceding year (1913) under the

nomenclature of "affairs in China" the text of a _démenti_ regarding the

President of China's Imperial aspirations had been published,--a

document which Japanese had classified as a studied lie, and as an act

of presumption because its working showed that its author intended to

keep his back turned on Japan. The Dictator had declared:--

... From my student days, I, Yuan Shih-kai, have admired the

example of the Emperors Yao and Shun, who treated the empire as a

public trust, and considered that the record of a dynasty in history

for good or ill is inseparably bound up with the public spirit or

self-seeking by which it has been animated. On attaining middle age

I grew more familiar with foreign affairs, was struck by the

admirable republican system in France and America, and felt that

they were a true embodiment of the democratic precepts of the

ancients. When last year the patriotic crusade started in Wuchang

its echoes went forth into all the provinces, with the result that

this ancient nation with its 2,000 years of despotism adopted with

one bound the republican system of government.

It was my good fortune to see this glorious day at my life's late

eve; I cherished the hope that I might dwell in the seclusion of my

own home and participate in the blessings of an age of peace.

But once again my fellow-countrymen honoured me with the pressing

request that I should again assume a heavy burden, and on the day on

which the Republic was proclaimed I announced to the whole nation

that never again should a monarchy be permitted in China. At my

inauguration I again took this solemn oath in the sight of heaven

above and earth beneath. Yet of late ignorant persons in the

provinces have fabricated wild rumours to delude men's minds, and

have adduced the career of the First Napoleon on which to base their

erroneous speculations. It is best not to inquire as to their

motives; in some cases misconception may be the cause, in others

deliberate malice.

The Republic has now been proclaimed for six months; so far there

is no prospect of recognition from the Powers, while order is far

from being restored in the provinces. Our fate hangs upon a hair;

the slightest negligence may forfeit all. I, who bear this arduous

responsibility, feel it my bounden duty to stand at the helm in the

hope of successfully breasting the wild waves.

But while those in office are striving with all their might to

effect a satisfactory solution, spectators seem to find a difficulty

in maintaining a generous forbearance. They forget that I, who have

received this charge from my countrymen, cannot possibly look

dispassionately on when the fate of the nation is in the balance. If

I were aware that the task was impossible and played a part of easy

acquiescence, so that the future of the Republic might become

irreparable, others might not reproach me, but my own conscience

would never leave me alone.

My thoughts are manifest in the sight of high heaven. But at this

season of construction and dire crisis how shall these mutual

suspicions find a place? Once more I issue this announcement; if

you, my fellow countrymen, do indeed place the safety of China

before all other considerations, it behooves you to be large-minded.

Beware of lightly heeding the plausible voice of calumny, and of

thus furnishing a medium for fostering anarchy. If evilly disposed

persons, who are bent on destruction, seize the excuse for sowing

dissension to the jeopardy of the situation, I, Yuan Shih-kai, shall

follow the behest of my fellow-countrymen in placing such men beyond

the pale of humanity.

A vital issue is involved. It is my duty to lay before you my

inmost thought, so that suspicion may be dissipated. Those who know

have the right to impose their censure. It is for public opinion to

take due notice.

[Illustration: Silk-reeling done in the open under the Walls of Peking.]

[Illustration: Modern Peking: A Run on a Bank.]

[Illustration: The Re-opening of Parliament on August 1st, 1916, after

three years of dictatorial rule.]

Moreover Yuan Shih-kai had also shown in his selection and use of

foreign Advisers, that he was determined to proceed in such a manner as

to advertise his suspicion and enmity of Japan. After the Coup d'état of

the 4th November, 1913, and the scattering of Parliament, it was an

American Adviser who was set to work on the new "Constitution"; and

although a Japanese, Dr. Ariga, who was in receipt of a princely salary,

aided and abetted this work, his endorsement of the dictatorial rule was

looked upon as traitorous by the bulk of his countrymen. Similarly, it

was perfectly well-known that Yuan Shih-kai was spending large sums of

money in Tokio in bribing certain organs of the Japanese Press and in

attempting to win adherents among Japanese members of Parliament.

Remarkable stories are current which compromise very highly-placed

Japanese but which the writer hesitates to set down in black and white

as documentary proof is not available. In any case, be this as it may,

it was felt in Tokio that the time had arrived to give a proper

definition to the relations between the two states,--the more so as Yuan

Shih-kai, by publicly proclaiming a small war-zone in Shantung within

the limits of which the Japanese were alone permitted to wage war

against the Germans, had shown himself indifferent to the majesty of

Japan. The Japanese having captured Kiaochow by assault before the end

of 1914 decided to accept the view that a _de facto_ Dictatorship

existed in China. Therefore on the 18th of January, 1915, the Japanese

Minister, Dr. Hioki, personally served on Yuan Shih-kai the now famous

Twenty-one Demands, a list designed to satisfy every present and future

need of Japanese policy and to reduce China to a state of vassalage.

CHAPTER VI

THE TWENTY-ONE DEMANDS

Although the press of the world gave a certain prominence at the time to

the astounding _démarche_ with which we now have to deal, there was such

persistent mystery about the matter and so many official _démentis_

accompanied every publication of the facts that even to this day the

nature of the assault which Japan delivered on China is not adequately

realized, nor is the narrow escape assigned its proper place in

estimates of the future. Briefly, had there not been publication of the

facts and had not British diplomacy been aroused to action there is

little doubt that Japan would have forced matters so far that Chinese

independence would now be virtually a thing of the past. Fortunately,

however, China in her hour of need found many who were willing to

succour her; with the result that although she lost something in these

negotiations, Japan nevertheless failed in a very signal fashion to

attain her main objective. The Pyrrhic victory which she won with her

eleventh hour ultimatum will indeed in the end cost her more than would

have a complete failure, for Chinese suspicion and hostility are now so

deep-seated that nothing will ever completely eradicate them. It is

therefore only proper that an accurate record should be here

incorporated of a chapter of history which has much international

importance; and if we invite close attention to the mass of documents

that follow it is because we hold that an adequate comprehension of them

is essential to securing the future peace of the Far East. Let us first

give the official text of the original Demands:

JAPAN'S ORIGINAL TWENTY-ONE DEMANDS

Translations of Documents Handed to the President, Yuan Shih-kai, by

Mr. Hioki, the Japanese Minister, on January 18th, 1915.

GROUP I

The Japanese Government and the Chinese Government being desirous of

maintaining the general peace in Eastern Asia and further

strengthening the friendly relations and good neighbourhood existing

between the two nations agree to the following articles:--

Article 1. The Chinese Government engages to give full assent to all

matters upon which the Japanese Government may hereafter agree with

the German Government relating to the disposition of all rights,

interests and concessions, which Germany, by virtue of treaties or

otherwise, possesses in relation to the Province of Shantung.

Article 2. The Chinese Government engages that within the Province

of Shantung and along its coast no territory or island will be ceded

or leased to a third Power under any pretext.

Article 3. The Chinese Government consents to Japan's building a

railway from Chefoo or Lungkow to join the Kiaochou-Tsinanfu

railway.

Article 4. The Chinese Government engages, in the interest of trade

and for the residence of foreigners, to open by herself as soon as

possible certain important cities and towns in the Province of

Shantung as Commercial Ports. What places shall be opened are to be

jointly decided upon in a separate agreement.

GROUP II

The Japanese Government and the Chinese Government, since the

Chinese Government has always acknowledged the special position

enjoyed by Japan in South Manchuria and Eastern Inner Mongolia,

agree to the following articles:--

Article 1. The two Contracting Parties mutually agree that the term

of lease of Port Arthur and Dalny and the term of lease of the South

Manchurian Railway and the Antung-Mukden Railway shall be extended

to the period of 99 years.

Article 2. Japanese subjects in South Manchuria and Eastern Inner

Mongolia shall have the right to lease or own land required either

for erecting suitable buildings for trade and manufacture or for

farming.

Article 3. Japanese subjects shall be free to reside and travel in

South Manchuria and Eastern Inner Mongolia and to engage in business

and in manufacture of any kind whatsoever.

Article 4. The Chinese Government agrees to grant to Japanese

subjects the right of opening the mines in South Manchuria and

Eastern Inner Mongolia. As regards what mines are to be opened, they

shall be decided upon jointly.

Article 5. The Chinese Government agrees that in respect of the

(two) cases mentioned herein below the Japanese Government's consent

shall be first obtained before action is taken:--

(a) Whenever permission is granted to the subject of a third Power

to build a railway or to make a loan with a third Power for the

purpose of building a railway in South Manchuria and Eastern Inner

Mongolia.

(b) Whenever a loan is to be made with a third Power pledging the

local taxes of South Manchuria and Eastern Inner Mongolia as

security.

Article 6. The Chinese Government agrees that if the Chinese

Government employs political, financial or military advisers or

instructors in South Manchuria or Eastern Inner Mongolia, the

Japanese Government shall first be consulted.

Article 7. The Chinese Government agrees that the control and

management of the Kirin-Changchun Railway shall be handed over to

the Japanese Government for a term of 99 years dating from the

signing of this Agreement.

GROUP III

The Japanese Government and the Chinese Government, seeing that

Japanese financiers and the Hanyehping Co. have close relations with

each other at present and desiring that the common interests of the

two nations shall be advanced, agree to the following articles:--

Article 1. The two Contracting Parties mutually agree that when the

opportune moment arrives the Hanyehping Company shall be made a

joint concern of the two nations and they further agree that without

the previous consent of Japan, China shall not by her own act

dispose of the rights and property of whatsoever nature of the said

Company nor cause the said Company to dispose freely of the same.

Article 2. The Chinese Government agrees that all mines in the

neighbourhood of those owned by the Hanyehping Company shall not be

permitted, without the consent of the said Company, to be worked by

other persons outside of the said Company; and further agrees that

if it is desired to carry out any undertaking which, it is

apprehended, may directly or indirectly affect the interests of the

said Company, the consent of the said Company shall first be

obtained.

GROUP IV

The Japanese Government and the Chinese Government with the object

of effectively preserving the territorial integrity of China agree

to the following special articles:--

The Chinese Government engages not to cede or lease to a third Power

any harbour or bay or island along the coast of China.

GROUP V

Article 1. The Chinese Central Government shall employ influential

Japanese advisers in political, financial and military affairs.

Article 2. Japanese hospitals, churches and schools in the interior

of China shall be granted the right of owning land.

Article 3. Inasmuch as the Japanese Government and the Chinese

Government have had many cases of dispute between Japanese and

Chinese police to settle cases which caused no little

misunderstanding, it is for this reason necessary that the police

departments of important places (in China) shall be jointly

administered by Japanese and Chinese or that the police departments

of these places shall employ numerous Japanese, so that they may at

the same time help to plan for the improvement of the Chinese Police

Service.

Article 4. China shall purchase from Japan a fixed amount of

munitions of war (say 50% or more) of what is needed by the Chinese

Government or that there shall be established in China a

Sino-Japanese jointly worked arsenal. Japanese technical experts are

to be employed and Japanese material to be purchased.

Article 5. China agrees to grant to Japan the right of constructing

a railway connecting Wuchang with Kiukiang and Nanchang, another

line between Nanchang and Hanchow, and another between Nanchang and

Chaochou.

Article 6. If China needs foreign capital to work mines, build

railways and construct harbour-works (including dock-yards) in the

Provinces of Fukien, Japan shall be first consulted.

Article 7. China agrees that Japanese subjects shall have the right

of missionary propaganda in China.[13]

The five groups into which the Japanese divided their demands possess a

remarkable interest not because of their sequence, or the style of their

phraseology, but because every word reveals a peculiar and very

illuminating chemistry of the soul. To study the original Chinese text

is to pass as it were into the secret recesses of the Japanese brain,

and to find in that darkened chamber a whole world of things which

advertise ambitions mixed with limitations, hesitations overwhelmed by

audacities, greatnesses succumbing to littlenesses, and vanities having

the appearance of velleities. Given an intimate knowledge of Far Eastern

politics and Far Eastern languages, only a few minutes are required to

re-write the demands in the sequence in which they were originally

conceived as well as to trace the natural history of their genesis.

Unfortunately a great deal is lost in their official translation, and

the menace revealed in the Chinese original partly cloaked: for by

transferring Eastern thoughts into Western moulds, things that are like

nails in the hands of soft sensitive Oriental beings are made to appear

to the steel-clad West as cold-blooded, evolutionary necessities which

may be repellent but which are never cruel. The more the matter is

studied the more convinced must the political student be that in this

affair of the 18th January we have an international _coup_ destined to

become classic in the new text-books of political science. All the way

through the twenty-one articles it is easy to see the desire for action,

the love of accomplished facts, struggling with the necessity to observe

the conventions of a stereotyped diplomacy and often overwhelming those

conventions. As the thoughts thicken and the plot develops, the effort

to mask the real intention lying behind every word plainly breaks down,

and a growing exultation rings louder and louder as if the coveted

Chinese prize were already firmly grasped. One sees as it were the

Japanese nation, released from bondage imposed by the Treaties which

have been binding on all nations since 1860, swarming madly through the

breached walls of ancient Cathay and disputing hotly the spoils of

age-old domains.

Group I, which deals with the fruits of victory in Shantung, has little

to detain us since events which have just unrolled there have already

told the story of those demands. In Shantung we have a simple and

easily-understood repeated performance of the history of 1905 and the

settlement of the Russo-Japanese War. Placed at the very head of the

list of demands, though its legitimate position should be after

Manchuria, obviously the purpose of Group I is conspicuously to call

attention to the fact that Japan had been at war with Germany, and is

still at war with her. This flourish of trumpets, after the battle is

over, however, scarcely serves to disguise that the fate of Shantung,

following so hard on the heels of the Russian débâcle in Manchuria, is

the great moral which Western peoples are called upon to note. Japan,

determined as she has repeatedly announced to preserve the peace of the

Orient by any means she deems necessary, has found the one and only

formula that is satisfactory--that of methodically annexing everything

worth fighting about.

So far so good. The insertion of a special preamble to Group II, which

covers not only South Manchuria but Eastern Inner Mongolia as well, is

an ingenious piece of work since it shows that the hot mood of conquest

suitable for Shantung must be exchanged for a certain judicial

detachment. The preamble undoubtedly betrays the guiding hand of

Viscount Kato, the then astute Minister of Foreign Affairs, who

saturated in the great series of international undertakings made by

Japan since the first Anglo-Japanese Treaty of 1902, clearly believes

that the stately Elizabethan manner which still characterizes British

official phrasing is an admirable method to be here employed. The

preamble is quite English; it is so English that one is almost lulled

into believing that one's previous reasoning has been at fault and that

Japan is only demanding what she is entitled to. Yet study Group II

closely and subtleties gradually emerge. By boldly and categorically

placing Eastern Inner Mongolia on precisely the same footing as Southern

Manchuria--though they have nothing in common--the assumption is made

that the collapse in 1908 of the great Anglo-American scheme to run a

neutral railway up the flank of Southern Manchuria to Northern Manchuria

(the once celebrated Chinchow-Aigun scheme), coupled with general

agreement with Russia which was then arrived at, now impose upon China

the necessity of publicly resigning herself to a Japanese overlordship

of that region. In other words, the preamble of Group II lays down that

Eastern Inner Mongolia has become part and parcel of the Manchurian

Question because Japan has found a parallel for what she is doing in the

acts of European Powers.

These things, however, need not detain us. Not that Manchuria or the

adjoining Mongolian plain is not important; not that the threads of

destiny are not woven thickly there. For it is certain that the vast

region immediately beyond the Great Wall of China is the Flanders of the

Far East--and that the next inevitable war which will destroy China or

make her something of a nation must be fought on that soil just as two

other wars have been fought there during the past twenty years. But this

does not belong to contemporary politics; it is possibly an affair of

the Chinese army of 1925 or 1935. Some day China will fight for

Manchuria if it is impossible to recover it in any other way,--nobody

need doubt that. For Manchuria is absolutely Chinese--people must

remember. No matter how far the town-dwelling Japanese may invade the

country during the next two or three decades, no matter what large

alien garrisons may be planted there, the Chinese must and will remain

the dominant racial element, since their population which already

numbers twenty-five millions is growing at the rate of half a million a

year, and in a few decades will equal the population of a first-class

European Power.

When we reach Group III we touch matters that are not only immediately

vital but quite new in their type of audacity and which every one can

to-day understand since they are politico-industrial. Group III, as it

stands in the original text, is _simply the plan for the conquest of the

mineral wealth of the Yangtsze Valley_ which mainly centres round Hankow

because the vast alluvial plains of the lower reaches of this greatest

of rivers were once the floor of the Yellow Sea, the upper provinces of

Hupeh, Hunan, Kiangsi being the region of prehistoric forests clothing

the coasts, which once looked down upon the slowly-receding waste of

waters, and which to-day contain all the coal and iron. Hitherto every

one has always believed that the Yangtsze Valley was _par excellence_

the British sphere in China; and every one has always thought that that

belief was enough. It is true that political students, going carefully

over all published documents, have ended their search by declaring that

the matter certainly required further elucidation. To be precise, this

so-called British sphere is not an _enclave_ at all in the proper sense;

indeed it can only seem one to those who still believe that it is still

possible to pre-empt provinces by ministerial declarations. The Japanese

have been the first to dare to say that the preconceived general belief

was stupid. They know, of course, that it was a British force which

invaded the Yangtsze Valley seventy-five years ago, and forced the

signature of the Treaty of Nanking which first opened China to the

world's trade; but they are by no means impressed with the rights which

that action has been held to confer, since the mineral resources of this

region are priceless in their eyes and must somehow be won.

The study of twenty years of history proves this assumption to be

correct. Ever since 1895, Japan has been driving wedges into the

Yangtsze Valley of a peculiar kind to form the foundations for her

sweeping claims of 1915. Thus after the war with China in 1894-95, she

opened by her Treaty of Peace four ports in the Yangtsze Valley region,

Soochow, Hangchow, Chungking and Shasi; that is, at the two extreme ends

of the valley she established politico-commercial _points d'appui_ from

which to direct her campaign. Whilst the proximity of Soochow and

Hangchow to the British stronghold of Shanghai made it difficult to

carry out any "penetration" work at the lower end of the river save in

the form of subsidized steam-shipping, the case was different in Hunan

and Hupeh provinces. There she was unendingly busy, and in 1903 by a

fresh treaty she formally opened to trade Changsha, the capital of the

turbulent Hunan province. Changsha for years remained a secret centre

possessing the greatest political importance for her, and serving as a

focus for most varied activities involving Hunan, Hupeh, and Kiangsi, as

well as a vast hinterland. The great Tayeh iron-mines, although entirely

Chinese-owned, were already being tapped to supply iron-ore for the

Japanese Government Foundry at Wakamatsu on the island of Kiushiu. The

rich coal mines of Pinghsiang, being conveniently near, supplied the

great Chinese Government arsenal of Hanyang with fuel; and since Japan

had very little coal or iron of her own, she decided that it would be

best to embrace as soon as possible the whole area of interests in one

categorical demand--that is, to claim a dominant share in the Hanyang

arsenal, the Tayeh iron-mines and the Pinghsiang collieries.[14] By

lending money to these enterprises, which were grouped together under

the name of Hanyehping, she had early established a claim on them which

she turned at the psychological moment into an international question.

We can pass quickly by Group IV which is of little importance, except to

say that in taking upon herself, without consultation with the senior

ally, the duty of asking from China a declaration concerning the future

non-leasing of harbours and islands, Japan has attempted to assume a

protectorship of Chinese territory which does not belong to her

historically. It is well also to note that although Japan wished it to

appear to the world that this action was dictated by her desire to

prevent Germany from acquiring a fresh foothold in China after the war,

in reality Group IV was drafted as a general warning to the nations, one

point being that she believed that the United States was contemplating

the reorganization of the Foochow Arsenal in Fuhkien province, and that

as a corollary to that reorganization would be given the lease of an

adjoining harbour such as Santuao.

It is not, however, until we reach Group V that the real purpose of the

Japanese demands becomes unalterably clear, for in this Group we have

seven sketches of things designed to serve as the _coup de grâce_. Not

only is a new sphere--Fuhkien province--indicated; not only is the

mid-Yangtsze, from the vicinity of Kiukiang, to serve as the terminus

for a system of Japanese railways, radiating from the great river to the

coasts of South China; but the gleaming knife of the Japanese surgeon is

to aid the Japanese teacher in the great work of propaganda; the

Japanese monk and the Japanese policeman are to be dispersed like

skirmishers throughout the land; Japanese arsenals are to supply all the

necessary arms, or failing that a special Japanese arsenal is to be

established; Japanese advisers are to give the necessary advice in

finance, in politics, in every department--foreshadowing a complete and

all embracing political control. Never was a more sweeping programme of

supervision presented, and small wonder if Chinese when they learnt of

this climax exclaimed that the fate of Korea was to be their own.

For a number of weeks after the presentation of these demands everything

remained clothed in impenetrable mystery, and despite every effort on

the part of diplomatists reliable details of what was occurring could

not be obtained. Gradually, however, the admission was forced that the

secrecy being preserved was due to the Japanese threat that publicity

would be met with the harshest reprisals; and presently the veil was

entirely lifted by newspaper publication and foreign Ambassadors began

making inquiries in Tokio. The nature and scope of the Twenty-one

Demands could now be no longer hidden; and in response to the growing

indignation which began to be voiced by the press and the pressure which

British diplomacy brought to bear, Japan found it necessary to modify

some of the most important items. She had held twenty-four meetings at

the Chinese Foreign Office, and although the Chinese negotiators had

been forced to give way in such matters as extending the "leasing"

periods of railways and territories in Manchuria and in admitting the

Japanese right to succeed to all German interests and rights in Shantung

(Group I and II), in the essential matters of the Hanyehping concessions

(Group III) and the noxious demands of Group V China had stood

absolutely firm, declining even to discuss some of the items.

Accordingly Japanese diplomacy was forced to restate and re-group the

whole corpus of the demands. On the 26th April, acting under direct

instructions from Tokio, the Japanese Minister to Peking presented a

revised list for renewed consideration, the demands being expanded to

twenty-four articles (in place of the original twenty-one largely

because discussion had shown the necessity of breaking up into smaller

units some of the original articles). Most significant, however, is the

fact that Group V (which in its original form was a more vicious assault

on Chinese sovereignty than the Austrian Ultimatum to Serbia of June,

1914), was so remodelled as to convey a very different meaning, the

group heading disappearing entirely and an innocent-looking exchange of

notes being asked for. It is necessary to recall that, when taxed with

making Demands which were entirely in conflict with the spirit of the

Anglo-Japanese Alliance, the Japanese Government through its ambassadors

abroad had categorically denied that they had ever laid any such Demands

on the Chinese Government. It was claimed that there had never been

twenty-one Demands, as the Chinese alleged, but only fourteen, _the

seven items of Group V being desiderata which it was in the interests of

China to endorse but which Japan had no intention of forcing upon her_.

The writer, being acquainted from first to last with everything that

took place in Peking from the 18th January to the filing of the Japanese

ultimatum of the 7th May, has no hesitation in stigmatizing this

statement as false. The whole aim and object of these negotiations was

to force through Group V. Japan would have gladly postponed _sine die_

the discussion of all the other Groups had China assented to provisions

which would have made her independence a thing of the past. Every

Chinese knew that, in the main, Group V was simply a repetition of the

measures undertaken in Korea after the Russo-Japanese war of 1905 as a

forerunner to annexation; and although obviously in the case of China no

such rapid surgery could be practised, the endorsement of these measures

would have meant a virtual Japanese Protectorate. Even a cursory study

of the text that follows will confirm in every particular these capital

contentions:

JAPAN'S REVISED DEMANDS

Japan's Revised Demands on China, twenty-four in all, presented

April 26, 1915.

_Note on original text_:

[The revised list of articles is a Chinese translation of the

Japanese text. It is hereby declared that when a final decision is

reached, there shall be a revision of the wording of the text.]

GROUP I

The Japanese Government and the Chinese Government, being desirous

of maintaining the general peace in Eastern Asia and further

strengthening the friendly relations and good neighbourhood existing

between the two nations, agree to the following articles:--

Article 1. The Chinese Government engages to give full assent to all

matters upon which the Japanese Government may hereafter agree with

the German Government, relating to the disposition of all rights,

interests and concessions, which Germany, by virtue of treaties or

otherwise, possesses in relation to the Province of Shantung.

Article 2. (Changed into an exchange of notes.)

The Chinese Government declares that within the Province of Shantung

and along its coast no territory or island will be ceded or leased

to any Power under any pretext.

Article 3. The Chinese Government consents that as regards the

railway to be built by China herself from Chefoo or Lungkow to

connect with the Kiaochow-Tsinanfu Railway, if Germany is willing to

abandon the privilege of financing the Chefoo-Weihsien line, China

will approach Japanese capitalists to negotiate for a loan.

Article 4. The Chinese Government engages, in the interest of trade

and for the residence of foreigners, to open by China herself as

soon as possible certain suitable places in the Province of Shantung

as Commercial Ports.

(Supplementary Exchange of Notes)

The places which ought to be opened are to be chosen and the

regulations are to be drafted, by the Chinese Government, but the

Japanese Minister must be consulted before making a decision.

GROUP II

The Japanese Government and the Chinese Government, with a view to

developing their economic relations in South Manchuria and Eastern

Inner Mongolia, agree to the following articles:--

Article 1. The two contracting Powers mutually agree that the term

of lease of Port Arthur and Dalny and the terms of the South

Manchuria Railway and the Antung-Mukden Railway shall be extended to

99 years.

(Supplementary Exchange of Notes)

The term of lease of Port Arthur and Dalny shall expire in the 86th

year of the Republic or 1997. The date for restoring the South

Manchurian Railway to China shall fall due in the 91st year of the

Republic or 2002. Article 12 in the original South Manchurian

Railway Agreement stating that it may be redeemed by China after 36

years after the traffic is opened is hereby cancelled. The term of

the Antung-Mukden Railway shall expire in the 96th year of the

Republic or 2007.

Article 2. Japanese subjects in South Manchuria may lease or

purchase the necessary land for erecting suitable buildings for

trade and manufacture or for prosecuting agricultural enterprises.

Article 3. Japanese subjects shall be free to reside and travel in

South Manchuria and to engage in business and manufacture of any

kind whatsoever.

Article 3a. The Japanese subjects referred to in the preceding two

articles, besides being required to register with the local

authorities passports which they must procure under the existing

regulations, shall also submit to police laws and ordinances and tax

regulations, which are approved by the Japanese consul. Civil and

criminal cases in which the defendants are Japanese shall be tried

and adjudicated by the Japanese consul; those in which the

defendants are Chinese shall be tried and adjudicated by Chinese

Authorities. In either case an officer can be deputed to the court

to attend the proceedings. But mixed civil cases between Chinese and

Japanese relating to land shall be tried and adjudicated by

delegates of both nations conjointly in accordance with Chinese law

and local usage. When the judicial system in the said region is

completely reformed, all civil and criminal cases concerning

Japanese subjects shall be tried entirely by Chinese law courts.

Article 4. (Changed to an exchange of notes.)

The Chinese Government agrees that Japanese subjects shall be

permitted forthwith to investigate, select, and then prospect for

and open mines at the following places in South Manchuria, apart

from those mining areas in which mines are being prospected for or

worked; until the Mining Ordinance is definitely settled methods at

present in force shall be followed.

PROVINCE OF FENG-TIEN

|Locality |District |Mineral

| | |

|Niu Hsin T'ai |Pen-hsi |Coal

|Tien Shih Fu Kou |Pen-hsi |Coal

|Sha Sung Kang |Hai-lung |Coal

|T'ieh Ch'ang |Tung-hua |Coal

|Nuan Ti Tang |Chin |Coal

|An Shan Chan region |From Liaoyang to Pen-hsi |Iron

PROVINCE OF KIRIN

(Southern portion)

|Sha Sung Kang |Ho-lung |Coal and Iron

|Kang Yao |Chi-lin (Kirin) |Coal

|Chia P'i Kou |Hua-tien |Gold

Article 5. (Changed to an exchange of notes.)

The Chinese Government declares that China will hereafter provide

funds for building railways in South Manchuria; if foreign capital

is required, the Chinese Government agrees to negotiate for the loan

with Japanese capitalists first.

Article 5a. (Changed to an exchange of notes.)

The Chinese Government agrees that hereafter, when a foreign loan is

to be made on the security of the taxes of South Manchuria (not

including customs and salt revenue on the security of which loans

have already been made by the Central Government), it will negotiate

for the loan with Japanese capitalists first.

Article 6. (Changed to an exchange of notes.)

The Chinese Government declares that hereafter if foreign advisers

or instructors on political, financial, military or police matters,

are to be employed in South Manchuria, Japanese will be employed

first.

Article 7. The Chinese Government agrees speedily to make a

fundamental revision of the Kirin-Changchun Railway Loan Agreement,

taking as a standard the provisions in railroad loan agreements made

heretofore between China and foreign financiers. If, in future, more

advantageous terms than those in existing railway loan agreements

are granted to foreign financiers, in connection with railway loans,

the above agreement shall again be revised in accordance with

Japan's wishes.

All existing treaties between China and Japan relating to Manchuria

shall, except where otherwise provided for by this Convention,

remain in force.

1. The Chinese Government agrees that hereafter when a foreign loan

is to be made on the security of the taxes of Eastern Inner

Mongolia, China must negotiate with the Japanese Government first.

2. The Chinese Government agrees that China will herself provide

funds for building the railways in Eastern Inner Mongolia; if

foreign capital is required, she must negotiate with the Japanese

Government first.

3. The Chinese Government agrees, in the interest of trade and for

the residence of foreigners, to open by China herself, as soon as

possible, certain suitable places in Eastern Inner Mongolia as

Commercial Ports. The places which ought to be opened are to be

chosen, and the regulations are to be drafted, by the Chinese

Government, but the Japanese Minister must be consulted before

making a decision.

4. In the event of Japanese and Chinese desiring jointly to

undertake agricultural enterprises and industries incidental

thereto, the Chinese Government shall give its permission.

GROUP III

The relations between Japan and the Hanyehping Company being very

intimate, if those interested in the said Company come to an

agreement with the Japanese capitalists for co-operation, the

Chinese Government shall forthwith give its consent thereto. The

Chinese Government further agrees that, without the consent of the

Japanese capitalists, China will not convert the Company into a

state enterprise, nor confiscate it, nor cause it to borrow and use

foreign capital other than Japanese.

GROUP IV

China to give a pronouncement by herself in accordance with the

following principle:--

No bay, harbour, or island along the coast of China may be ceded or

leased to any Power.

Notes to be Exchanged

A

As regards the right of financing a railway from Wuchang to connect

with the Kiu-kiang-Nanchang line, the Nanchang-Hangchow railway, and

the Nanchang-Chaochow railway, if it is clearly ascertained that

other Powers have no objection, China shall grant the said right to

Japan.

B

As regards the rights of financing a railway from Wuchang to connect

with the Kiu-kiang-Nanchang railway, a railway from Nanchang to

Hangchow and another from Nanchang to Chaochow, the Chinese

Government shall not grant the said right to any foreign Power

before Japan comes to an understanding with the other Power which is

heretofore interested therein.

[Illustration: The Original Constitutional Drafting Committee of 1913,

photographed on the steps of the Temple of Heaven, where the Draft was

completed.]

[Illustration: A Presidential Review of Troops in the Southern Hungtung

Park outside Peking: Arrival of the President.]

NOTES TO BE EXCHANGED

The Chinese Government agrees that no nation whatever is to be

permitted to construct, on the coast of Fukien Province, a dockyard,

a coaling station for military use, or a naval base; nor to be

authorized to set up any other military establishment. The Chinese

Government further agrees not to use foreign capital for setting up

the above mentioned construction or establishment.

Mr. Lu, the Minister of Foreign Affairs, stated as follows:--

1. The Chinese Government, shall, whenever, in future, it considers

this step necessary, engage numerous Japanese advisers.

2. Whenever, in future, Japanese subjects desire to lease or

purchase land in the interior of China for establishing schools or

hospitals, the Chinese Government shall forthwith give its consent

thereto.

3. When a suitable opportunity arises in future, the Chinese

Government will send military officers to Japan to negotiate with

Japanese military authorities the matter of purchasing arms or that

of establishing a joint arsenal.

Mr. Hioki, the Japanese Minister, stated as follows:--

As relates to the question of the right of missionary propaganda the

same shall be taken up again for negotiation in future.

An ominous silence followed the delivery of this document. The Chinese

Foreign Office had already exhausted itself in a discussion which had

lasted three months, and pursuant to instructions from the Presidential

Palace prepared an exhaustive Memorandum on the subject. It was

understood by now that all the Foreign Offices in the world were

interesting themselves very particularly in the matter; and that all

were agreed that the situation which had so strangely developed was very

serious. On the 1st May, proceeding by appointment to the Waichiaopu

(Foreign Office) the Japanese Minister had read to him the following

Memorandum which it is very necessary to grasp as it shows how

solicitous China had become of terminating the business before there was

an open international break. It will also be seen that this Memorandum

was obviously composed for purpose of public record, the fifth group

being dealt with in such a way as to fix upon Japan the guilt of having

concealed from her British Ally matters which conflicted vitally with

the aims and objects of the Anglo-Japanese Alliance Treaty.

MEMORANDUM

Read by the Minister of Foreign Affairs to Mr. Hioki, the Japanese

Minister, at a Conference held at Wai Chiao Pu, May 1, 1915.

The list of demands which the Japanese Government first presented to

the Chinese Government consists of five groups, the first relating

to Shantung, the second relating to South Manchuria and Eastern

Inner Mongolia, the third relating to Hanyehping Company, the fourth

asking for non-alienation of the coast of the country, and the fifth

relating to the questions of national advisers, national police,

national arms, missionary propaganda, Yangtsze Valley railways, and

Fukien Province. Out of profound regard for the intentions

entertained by Japan, the Chinese Government took these momentous

demands into grave and careful consideration and decided to

negotiate with the Japanese Government frankly and sincerely what

were possible to negotiate. This is a manifestation to Japan of the

most profound regard which the Chinese Government entertains for the

relations between the two nations.

Ever since the opening of the negotiations China has been doing her

best to hasten their progress holding as many as three conferences a

week. As regards the articles in the second group, the Chinese

Government being disposed to allow the Japanese Government to

develop the economic relations of the two countries in South

Manchuria, realizing that the Japanese Government attaches

importance to its interests in that region, and wishing to meet the

hope of Japan, made a painful effort, without hesitation, to agree

to the extension of the 25-year lease of Port Arthur and Dalny, the

36-year period of the South Manchurian Railway and the 15-year

period of the Antung-Mukden Railway, all to 99 years; and to abandon

its own cherished hopes to regain control of these places and

properties at the expiration of their respective original terms of

lease. It cannot but be admitted that this is a most genuine proof

of China's friendship for Japan.

As to the right of opening mines in South Manchuria, the Chinese

Government has already agreed to permit Japanese to work mines

within the mining areas designated by Japan. China has further

agreed to give Japan a right of preference in the event of borrowing

foreign capital for building railways or of making a loan on the

security of the local taxes in South Manchuria. The question of

revising the arrangement for the Kirin-Changchun Railway has been

settled in accordance with the proposal made by Japan. The Chinese

Government has further agreed to employ Japanese first in the event

of employing foreign advisers on political, military, financial and

police matters.

Furthermore, the provision about the repurchase period in the South

Manchurian Railway was not mentioned in Japan's original proposal.

Subsequently, the Japanese Government alleging that its meaning was

not clear, asked China to cancel the provision altogether. Again,

Japan at first demanded the right of Japanese to carry on farming in

South Manchuria, but subsequently she considered the word "farming"

was not broad enough and asked to replace it with the phrase

"agricultural enterprises." To these requests the Chinese

Government, though well aware that the proposed changes could only

benefit Japan, still acceded without delay. This, too, is a proof of

China's frankness and sincerity towards Japan.

As regards matters relating to Shantung the Chinese Government has

agreed to a majority of the demands.

The question of inland residence in South Manchuria is, in the

opinion of the Chinese Government, incompatible with the treaties

China had entered into with Japan and other Powers, still the

Chinese Government did its best to consider how it was possible to

avoid that incompatibility. At first, China suggested that the

Chinese Authorities should have full rights of jurisdiction over

Japanese settlers. Japan declined to agree to it. Thereupon China

reconsidered the question and revised her counter-proposal five or

six times, each time making some definite concession, and went so

far to agree that all civil and criminal cases between Chinese and

Japanese should be arranged according to existing treaties. Only

cases relating to land or lease contracts were reserved to be

adjudicated by Chinese Courts, as a mark of China's sovereignty over

the region. This is another proof of China's readiness to concede as

much as possible.

Eastern Inner Mongolia is not an enlightened region as yet, and the

conditions existing there are entirely different from those

prevailing in South Manchuria. The two places, therefore, cannot be

considered in the same light. Accordingly, China agreed to open

commercial marts first, in the interests of foreign trade.

The Hanyehping Company mentioned in the third group is entirely a

private company, and the Chinese Government is precluded from

interfering with it and negotiating with another government to make

any disposal of the same as the Government likes, but having regard

for the interests of the Japanese capitalists, the Chinese

Government agreed that whenever, in future, the said company and the

Japanese capitalists should arrive at a satisfactory arrangement for

co-operation, China will give her assent thereto. Thus the interests

of the Japanese capitalists are amply safeguarded.

Although the demand in the fourth group asking for a declaration not

to alienate China's coast is an infringement of her sovereign

rights, yet the Chinese Government offered to make a voluntary

pronouncement so far as it comports with China's sovereign rights.

Thus, it is seen that the Chinese Government, in deference to the

wishes of Japan, gave a most serious consideration even to those

demands, which gravely affect the sovereignty and territorial rights

of China as well as the principle of equal opportunity and the

treaties with foreign Powers. All this was a painful effort on the

part of the Chinese Government to meet the situation--a fact of

which the Japanese Government must be aware.

As regards the demands in the fifth group, they all infringe China's

sovereignty, the treaty rights of other Powers or the principle of

equal opportunity. Although Japan did not indicate any difference

between this group and the preceding four in the list which she

presented to China in respect to their character, the Chinese

Government, in view of their palpably objectionable features,

persuaded itself that these could not have been intended by Japan as

anything other than Japan's mere advice to China. Accordingly China

has declared from the very beginning that while she entertains the

most profound regard for Japan's wishes, she was unable to admit

that any of these matters could be made the subject of an

understanding with Japan. Much as she desired to pay regard to

Japan's wishes, China cannot but respect her own sovereign rights

and the existing treaties with other Powers. In order to be rid of

the seed for future misunderstanding and to strengthen the basis of

friendship, China was constrained to iterate the reasons for

refusing to negotiate on any of the articles in the fifth group, yet

in view of Japan's wishes China has expressed her readiness to state

that no foreign money was borrowed to construct harbour work in

Fukien Province. Thus it is clear that China went so far as to see a

solution for Japan of a question that really did not admit of

negotiation. Was there, then, evasion, on the part of China?

Now, since the Japanese Government has presented a revised list of

demands and declared at the same time, that it will restore the

leased territory of Kiaochow, the Chinese Government reconsiders the

whole question and herewith submits a new reply to the friendly

Japanese Government.

In this reply the unsettled articles in the first group are stated

again for discussion.

As regards the second group, those articles which have already been

initialled are omitted. In connection with the question of inland

residence the police regulation clause has been revised in a more

restrictive sense. As for the trial of cases relating to land and

lease contracts the Chinese Government now permits the Japanese

Consul to send an officer to attend the proceedings.

Of the four demands in connection with that part of Eastern Inner

Mongolia which is within the jurisdiction of South Manchuria and the

Jehol intendency, China agrees to three.

China, also, agrees to the article relating to the Hanyehping

Company as revised by Japan.

It is hoped that the Japanese Government will appreciate the

conciliatory spirit of the Chinese Government in making this final

concession and forthwith give her assent thereto.

There is one more point. At the beginning of the present

negotiations it was mutually agreed to observe secrecy but

unfortunately a few days after the presentation of the demands by

Japan an Osaka newspaper published an "Extra" giving the text of the

demands. The foreign and the Chinese press has since been paying

considerable attention to this question and frequently publishing

pro-Chinese or pro-Japanese comments in order to call forth the

World's conjecture--a matter which the Chinese Government deeply

regrets.

The Chinese Government has never carried on any newspaper campaign

and the Chinese Minister of Foreign Affairs has repeatedly declared

this to the Japanese Minster.

In conclusion, the Chinese Government wishes to express its hope

that the negotiations now pending between the two countries will

soon come to an end and whatever misgivings foreign countries

entertain toward the present situation may be quickly dispelled.

The Peking Government, although fully aware of the perils now

confronting it, had dared to draft a complete reply to the revised

Demands and had reduced Japanese redundancy to effective limits. Not

only were various articles made more compact, but the phraseology

employed conveyed unmistakably, if in a somewhat subtle way, that China

was not a subordinate State treating with a suzerain. Moreover, after

dealing succinctly and seriously with Groups I, II and III, the Chinese

reply terminates abruptly, the other points in the Japanese List being

left entirely unanswered. It is important to seize these points in the

text that follows.

CHINA'S REPLY TO REVISED DEMANDS

China's Reply of May 1, 1915, to the Japanese Revised Demands of

April 26, 1915.

GROUP I

The Chinese Government and the Japanese Government, being desirous

of maintaining the general peace in Eastern Asia and further

strengthening the friendly relations and good neighbourhood existing

between the two nations, agree to the following articles:--

Article I. The Chinese Government declares that they will give full

assent to all matters upon which the Japanese and German Governments

may hereafter mutually agree, relating to the disposition of all

interests, which Germany, by virtue of treaties or recorded cases,

possesses in relation to the Province of Shantung.

The Japanese Government declares that when the Chinese Government

give their assent to the disposition of interests above referred to,

Japan will restore the leased territory of Kiaochow to China; and

further recognize the right of the Chinese Government to participate

in the negotiations referred to above between Japan and Germany.

Article 2. The Japanese Government consents to be responsible for

the indemnification of all losses occasioned by Japan's military

operation around the leased territory of Kiaochow. The customs,

telegraphs and post offices within the leased territory of Kiaochow

shall, prior to the restoration of the said leased territory to

China, be administered as heretofore for the time being. The

railways and telegraph lines erected by Japan for military purposes

are to be removed forthwith. The Japanese troops now stationed

outside the original leased territory of Kiaochow are now to be

withdrawn first, those within the original leased territory are to

be withdrawn on the restoration of the said leased territory to

China.

Article 3. (Changed to an exchange of notes.)

The Chinese Government declares that within the Province of Shantung

and along its coast no territory or island will be ceded or leased

to any Power under any pretext.

Article 4. The Chinese Government consent that as regards the

railway to be built by China herself from Chefoo or Lungkow to

connect with the Kiaochow-Tsinanfu railway, if Germany is willing to

abandon the privilege of financing the Chefoo-Weihsien line, China

will approach Japanese capitalists for a loan.

Article 5. The Chinese Government engage, in the interest of trade

and for the residence of foreigners, to open by herself as soon as

possible certain suitable places in the Province of Shantung as

Commercial Ports.

(Supplementary Exchange of Notes)

The places which ought to be opened are to be chosen, and the

regulations are to be drafted by the Chinese Government, but the

Japanese Minister must be consulted before making a decision.

Article 6. If the Japanese and German Governments are not able to

come to a definite agreement in future in their negotiations

respecting transfer, etc., this provisional agreement contained in

the foregoing articles shall be void.

GROUP II[15]

The Chinese Government and the Japanese Government, with a view to

developing their economic relations in South Manchuria, agree to the

following articles:--

Article 2. Japanese subjects in South Manchuria may, by arrangement

with the owners, lease land required for erecting suitable buildings

for trade and manufacture or agricultural enterprises.

Article 3. Japanese subjects shall be free to reside and travel in

South Manchuria and to engage in business and manufacture of any

kind whatsoever.

Article 3a. The Japanese subjects referred to in the preceding two

articles, besides being required to register with the local

authorities passports which they must procure under the existing

regulations, shall also observe police rules and regulations and pay

taxes in the same manner as Chinese. Civil and criminal cases shall

be tried and adjudicated by the authorities of the defendant

nationality and an officer can be deputed to attend the proceedings.

But all cases purely between Japanese subjects and mixed cases

between Japanese or Chinese, relating to land or disputes arising

from lease contracts, shall be tried and adjudicated by Chinese

Authorities and the Japanese Consul may also depute an officer to

attend the proceedings. When the judicial system in the said

Province is completely reformed, all the civil and criminal cases

concerning Japanese subjects shall be tried entirely by Chinese law

courts.

RELATING TO EASTERN INNER MONGOLIA

(To be Exchanged by Notes)

1. The Chinese Government declare that China will not in future

pledge the taxes, other than customs and salt revenue of that part

of Eastern Inner Mongolia under the jurisdiction of South Manchuria

and Jehol Intendency, as security for raising a foreign loan.

2. The Chinese Government declare that China will herself provide

funds for building the railways in the part of Eastern Inner

Mongolia under the jurisdiction of South Manchuria and the Jehol

Intendency; if foreign capital is required, China will negotiate

with Japanese capitalists first, provided this does not conflict

with agreements already concluded with other Powers.

The Chinese Government agree, in the interest of trade and for the

residence of foreigners, to open by China herself certain suitable

places in that part of Eastern Inner Mongolia under the jurisdiction

of South Manchurian and the Jehol Intendency, as Commercial Marts.

The regulations for the said Commercial Marts will be made in

accordance with those of other Commercial Marts opened by China

herself.

GROUP III

The relations between Japan and the Hanyehping Company being very

intimate, if the said Company comes to an agreement with the

Japanese capitalists for co-operation, the Chinese Government shall

forthwith give their consent thereto. The Chinese Government further

declare that China will not convert the company into a state

enterprise, nor confiscate it, nor cause it to borrow and use

foreign capital other than Japanese.

Letter to be addressed by the Japanese Minister to the Chinese

Minister of Foreign Affairs.

Excellency: I have the honour to state that a report has reached me

that the Chinese Government have given permission to foreign nations

to construct, on the coast of Fukien Province, dock-yards, coaling

stations for military use, naval bases and other establishments for

military purposes; and further, that the Chinese Government are

borrowing foreign capital for putting up the above-mentioned

constructions or establishments. I shall be much obliged if the

Chinese Government will inform me whether or not these reports are

well founded in fact.

Reply to be addressed by the Chinese Minister of Foreign Affairs to

the Japanese Minister.

Excellency: I have the honour to acknowledge the receipt of your

Excellency's Note of.... In reply I beg to state that the Chinese

Government have not given permission to foreign Powers to construct,

on the coast of Fukien Province, dock-yards, coaling stations for

military use, naval bases or other establishments for military

purposes; nor do they contemplate to borrow foreign capital for

putting up such constructions or establishments.

Within forty-eight hours of this passage-at-arms of the 1st May it was

understood in Peking that Japan was meditating a serious step. That

vague feeling of unrest which so speedily comes in capitals when

national affairs reach a crisis was very evident, and the word

"ultimatum" began to be whispered. It was felt that whilst China had

held to her rights to the utmost and had received valuable indirect

support from both England and the United States, the world-situation was

such that it would be difficult to prevent Japan from proceeding to

extremities. Accordingly there was little real surprise when on the 7th

May Japan filed an ultimatum demanding a satisfactory reply within 48

hours to her Revised Demands--failing which those steps deemed necessary

would be taken. A perusal of the text of the Ultimatum will show an

interesting change in the language employed. Coaxing having failed, and

Japan being _now convinced that so long as she did not seek to annex the

rights of other Foreign Powers in China open opposition could not be

offered to her_, states her case very defiantly. One significant point,

however, must be carefully noted--that she agrees "to detach Group V

from the present negotiations and to discuss it separately in the

future." It is this fact which remains the sword of Damocles hanging

over China's head; and until this sword has been flung back into the

waters of the Yellow Sea the Far Eastern situation will remain perilous.

JAPAN'S ULTIMATUM TO CHINA

Japan's Ultimatum delivered by the Japanese Minister to the Chinese

Government, on May 7th, 1915.

The reason why the Imperial Government opened the present

negotiations with the Chinese Government is first to endeavour to

dispose of the complications arising out of the war between Japan

and China, and secondly to attempt to solve those various questions

which are detrimental to the intimate relations of China and Japan

with a view to solidifying the foundation of cordial friendship

subsisting between the two countries to the end that the peace of

the Far East may be effectually and permanently preserved. With this

object in view, definite proposals were presented to the Chinese

Government in January of this year, and up to to-day as many as

twenty-five conferences have been held with the Chinese Government

in perfect sincerity and frankness.

In the course of the negotiation the Imperial Government have

consistently explained the aims and objects of the proposals in a

conciliatory spirit, while on the other hand the proposals of the

Chinese Government, whether important or unimportant, have been

attended to without any reserve.

It may be stated with confidence that no effort has been spared to

arrive at a satisfactory and amicable settlement of those questions.

The discussion of the entire corpus of the proposals was practically

at an end at the twenty-fourth conference; that is on the 17th of

the last month. The Imperial Government, taking a broad view of the

negotiation and in consideration of the points raised by the Chinese

Government, modified the original proposals with considerable

concessions and presented to the Chinese Government on the 26th of

the same month the revised proposals for agreement, and at the same

time it was offered that, on the acceptance of the revised

proposals, the Imperial Government would, at a suitable opportunity,

restore, with fair and proper conditions, to the Chinese Government

the Kiaochow territory, in the acquisition of which the Imperial

Government had made a great sacrifice.

On the 1st of May, the Chinese Government delivered the reply to the

revised proposals of the Japanese Government, which is contrary to

the expectations of the Imperial Government. The Chinese Government

not only did not give a careful consideration to the revised

proposals but even with regard to the offer of the Japanese

Government to restore Kiaochow to the Chinese Government the latter

did not manifest the least appreciation for Japan's good will and

difficulties.

From the commercial and military point of view Kiaochow is an

important place, in the acquisition of which the Japanese Empire

sacrificed much blood and money, and, after the acquisition the

Empire incurs no obligation to restore it to China. But with the

object of increasing the future friendly relations of the two

countries, they went to the extent of proposing its restoration, yet

to their great regret, the Chinese Government did not take into

consideration the good intention of Japan and manifest appreciation

of her difficulties. Furthermore, the Chinese Government not only

ignored the friendly feelings of the Imperial Government in offering

the restoration of Kiaochow Bay, but also in replying to the revised

proposals they even demanded its unconditional restoration; and

again China demanded that Japan should bear the responsibility of

paying indemnity for all the unavoidable losses and damages

resulting from Japan's military operations at Kiaochow; and still

further in connection with the territory of Kiaochow China advanced

other demands and declared that she has the right of participation

at the future peace conference to be held between Japan and Germany.

Although China is fully aware that the unconditional restoration of

Kiaochow and Japan's responsibility of indemnification for the

unavoidable losses and damages can never be tolerated by Japan yet

she purposely advanced these demands and declared that this reply

was final and decisive.

Since Japan could not tolerate such demands the settlement of the

other questions, however compromising it may be, would not be to her

interest. The consequence is that the present reply of the Chinese

Government is, on the whole, vague and meaningless.

Furthermore, in the reply of the Chinese Government to the other

proposals in the revised list of the Imperial Government, such as

South Manchuria and Eastern Inner Mongolia, where Japan particularly

has geographical, commercial, industrial and strategic relations, as

recognized by all the nations, and made more remarkable in

consequence of the two wars in which Japan was engaged the Chinese

Government overlooks these facts and does not respect Japan's

position in that place. The Chinese Government even freely altered

those articles which the Imperial Government, in a compromising

spirit, have formulated in accordance with the statement of the

Chinese Representatives thereby making the statements of the

Representatives an empty talk; and on seeing them conceding with the

one hand and withholding with the other it is very difficult to

attribute faithfulness and sincerity to the Chinese authorities.

As regards the articles relating to the employment of advisers, the

establishment of schools, and hospitals, the supply of arms and

ammunition and the establishment of arsenals and railway concessions

in South China in the revised proposals they were either proposed

with the proviso that the consent of the Power concerned must be

obtained, or they are merely to be recorded in the minutes in

accordance with the statements of the Chinese delegates, and thus

they are not in the least in conflict either with Chinese

sovereignty or her treaties with the Foreign Powers, yet the Chinese

Government in their reply to the proposals, alleging that these

proposals are incompatible with their sovereign rights and treaties

with Foreign Powers, defeat the expectations of the Imperial

Government. However, in spite of such attitude of the Chinese

Government, the Imperial Government, though regretting to see that

there is no room for further negotiations, yet warmly attached to

the preservation of the peace of the Far East, is still hoping for a

satisfactory settlement in order to avoid the disturbance of the

relations.

So in spite of the circumstances which admitted no patience, they

have reconsidered the feelings of the Government of their

neighbouring country and, with the exception of the article relating

to Fukien which is to be the subject of an exchange of notes as has

already been agreed upon by the Representatives of both nations,

will undertake to detach the Group V from the present negotiation

and discuss it separately in the future. Therefore the Chinese

Government should appreciate the friendly feelings of the Imperial

Government by immediately accepting without any alteration all the

articles of Group I, II, III, and IV and the exchange of notes in

connection with Fukien province in Group V as contained in the

revised proposals presented on the 26th of April.

The Imperial Government hereby again offer their advice and hope

that the Chinese Government, upon this advice, will give a

satisfactory reply by 6 o'clock P.M. on the 9th day of May. It is

hereby declared that if no satisfactory reply is received before or

at the specified time, the Imperial Government will take steps they

may deem necessary.

EXPLANATORY NOTE

Accompanying Ultimatum delivered to the Minister of Foreign Affairs

by the Japanese Minister, May 7th, 1915.

1. With the exception of the question of Fukien to be arranged by an

exchange of notes, the five articles postponed for later negotiation

refer to (a) the employment of advisers, (b) the establishment of

schools and hospitals, (c) the railway concessions in South China,

(d) the supply of arms and ammunition and the establishment of

arsenals and (e) right of missionary propaganda.

2. The acceptance by the Chinese Government of the article relating

to Fukien may be either in the form as proposed by the Japanese

Minister on the 26th of April or in that contained in the Reply of

the Chinese Government of May 1st. Although the Ultimatum calls for

the immediate acceptance by China of the modified proposals

presented on April 26th, without alteration but it should be noted

that it merely states the principle and does not apply to this

article and articles 4 and 5 of this note.

3. If the Chinese Government accept all the articles as demanded in

the Ultimatum the offer of the Japanese Government to restore

Kiaochow to China, made on the 26th of April, will still hold good.

4. Article 2 of Group II relating to the lease or purchase of land,

the terms "lease" and "purchase" may be replaced by the terms

"temporary lease" and "perpetual lease" or "lease on consultation,"

which means a long-term lease with its unconditional renewal.

Article 4 of Group II relating to the approval of police laws and

Ordinances and local taxes by the Japanese Council may form the

subject of a secret agreement.

5. The phrase "to consult with the Japanese Government" in

connection with questions of pledging the local taxes for raising

loans and the loans for the construction of railways, in Eastern

Inner Mongolia, which is similar to the agreement in Manchuria

relating to the matters of the same kind, may be replaced by the

phrase "to consult with the Japanese capitalists."

The article relating to the opening of trade marts in Eastern Inner

Mongolia in respect to location and regulations, may, following

their precedent set in Shantung, be the subject of an exchange of

notes.

6. From the phrase "those interested in the Company" in Group III of

the revised list of demands, the words "those interested in" may be

deleted.

7. The Japanese version of the Formal Agreement and its annexes

shall be the official text or both the Chinese and Japanese shall be

the official texts.

Whilst it would be an exaggeration to say that open panic followed the

filing of this document, there was certainly very acute alarm,--so much

so that it is to-day known in Peking that the Japanese Legation cabled

urgently to Tokio that even better terms could be obtained if the matter

was left to the discretion of the men on the spot. But the Japanese

Government had by now passed through a sufficiently anxious time itself,

being in possession of certain unmistakable warnings regarding what was

likely to happen after a world-peace had come,--if matters were pressed

too far. Consequently nothing more was done, and on the following day

China signified her acceptance of the Ultimatum in the following terms.

_Reply of the Chinese Government to the Ultimatum of the Japanese

Government, delivered to the Japanese Minister by the Minister of

Foreign Affairs on the 8th of May, 1915._

On the 7th of this month, at three o'clock P.M. the Chinese

Government received an Ultimatum from the Japanese Government

together with an Explanatory Note of seven articles. The Ultimatum

concluded with the hope that the Chinese Government by six o'clock

P.M. on the 9th of May will give a satisfactory reply, and it is

hereby declared that if no satisfactory reply is received before or

at the specified time, the Japanese Government will take steps she

may deem necessary.

The Chinese Government with a view to preserving the peace of the

Far East hereby accepts, with the exception of those five articles

of Group V postponed for later negotiation, all the articles of

Group I, II, III, and IV and the exchange of notes in connection

with Fukien Province in Group V as contained in the revised

proposals presented on the 26th of April, and in accordance with the

Explanatory Note of seven articles accompanying the Ultimatum of the

Japanese Government with the hope that thereby all the outstanding

questions are settled, so that the cordial relationship between the

two countries may be further consolidated. The Japanese Minister is

hereby requested to appoint a day to call at the Ministry of Foreign

Affairs to make the literary improvement of the text and sign the

Agreement as soon as possible.

Thus ended one of the most extraordinary diplomatic negotiations ever

undertaken in Peking.

FOOTNOTES:

[13] Refers to preaching Buddhism.

[14] The reader will observe, that the expression "Hanyehping

enterprises" is compounded by linking together characters denoting the

triple industry.

[15] Six articles found in Japan's Revised Demands are omitted here as

they had already been initialled by the Chinese Foreign Minister and the

Japanese Minister.

CHAPTER VII

THE ORIGIN OF THE TWENTY-ONE DEMANDS

The key to this remarkable business was supplied by a cover sent

anonymously to the writer during the course of these negotiations with

no indication as to its origin. The documents which this envelope

contained are so interesting that they merit attention at the hands of

all students of history, explaining as they do the psychology of the

Demands as well as throwing much light on the manner in which the

world-war has been viewed in Japan.

The first document is purely introductory, but is none the less

interesting. It is a fragment, or rather a _précis_ of the momentous

conversation which took place between Yuan Shih-kai and the Japanese

Minister when the latter personally served the Demands on the Chief

Executive and took the opportunity to use language unprecedented even in

the diplomatic history of Peking.

The _précis_ begins in a curious way. After saying that "the Japanese

Minister tried to influence President Yuan Shih-kai with the following

words," several long lines of asterisks suggest that after reflection

the unknown chronicler had decided, for political reasons of the highest

importance, to allow others to guess how the "conversation" opened. From

the context it seems absolutely clear that the excised words have to

deal with the possibility of the re-establishment of the Empire in

China--a very important conclusion in view of what followed later in the

year. Indeed there is no reason to doubt that the Japanese Envoy

actually told Yuan Shih-kai that as he was already virtually Emperor it

lay within his power to settle the whole business and to secure his

position at one blow. In any case the _précis_ begins with these

illuminating sentences:

... Furthermore, the Chinese revolutionists are in close touch and

have intimate relations with numerous irresponsible Japanese, some

of whom have great influence and whose policy is for strong

measures. Our Government has not been influenced by this policy, but

if your Government does not quickly agree to these stipulations, it

will be impossible to prevent some of our irresponsible people from

inciting the Chinese revolutionists to create trouble in China.

The majority of the Japanese people are also opposed to President

Yuan and Yuan's Government. They all declare that the President

entertains anti-Japanese feeling and adopts the policy of

"befriending the Far" (Europe and America) and "antagonizing the

Near" (Japan). Japanese public opinion is therefore exceedingly

hostile.

Our Government has all along from first to last exerted its best

efforts to help the Chinese Government, and if the Chinese

Government will speedily agree to these stipulations it will have

thus manifested its friendship for Japan.

The Japanese people will then be able to say that the President

never entertained anti-Japanese feelings, or adopted the policy of

"befriending the Far and antagonizing the Near." Will not this then

be indeed a bonâ fide proof of our friendly relations?

The Japanese Government also will then be inclined to render

assistance to President Yuan's Government whenever it is

necessary....

We are admittedly living in a remarkable age which is making waste paper

of our dearest principles. But in all the welter which the world war has

made it would be difficult to find anything more extraordinary than

these few paragraphs. Japan, through her official representative, boldly

tears down the veil hiding her ambitions, and using the undoubted menace

which Chinese revolutionary activities then held for the Peking

Government, declares in so many words that unless President Yuan

Shih-kai bows his head to the dictation of Tokio, the duel which began

in Seoul twenty-five years ago would be openly resumed.

Immediately following the "conversation" is the principal document in

the dossier. This is nothing less than an exhaustive Memorandum, divided

into two sections, containing the policy advocated by the Japanese

secret society, called the Black Dragon Society, which is said to have

assumed that name on account of the members (military officers) having

studied the situation in the Heilungchiang (or "Black Dragon") province

of Manchuria. The memorandum is the most remarkable document dealing

with the Far East which has come to light since the famous Cassini

Convention was published in 1896. Written presumably late in the autumn

of 1914 and immediately presented to the Japanese Government, it may

undoubtedly be called the fulminate which exploded the Japanese mine of

the 18th January, 1915. It shows such sound knowledge of

world-conditions, and is so scientific in its detachment that little

doubt can exist that distinguished Japanese took part in its drafting.

It can therefore be looked upon as a genuine expression of the highly

educated Japanese mind, and as such cannot fail to arouse serious

misgivings. The first part is a general review of the European War and

the Chinese Question: the second is concerned with the Defensive

Alliance between China and Japan, which is looked upon as the one goal

of all Japanese Diplomacy.

PART I. THE EUROPEAN WAR AND THE CHINESE QUESTION

The present gigantic struggle in Europe has no parallel in history.

Not only will the equilibrium of Europe be affected and its effect

felt all over the globe, but its results will create a New Era in

the political and social world. Therefore, whether or not the

Imperial Japanese Government can settle the Far Eastern Question and

bring to realization our great Imperial policy depends on our being

able to skilfully avail ourselves of the world's general trend of

affairs so as to extend our influence and to decide upon a course of

action towards China which shall be practical in execution. If our

authorities and people view the present European War with

indifference and without deep concern, merely devoting their

attention to the attack on Kiaochow, neglecting the larger issues of

the war, they will have brought to nought our great Imperial policy,

and committed a blunder greater than which it can not be conceived.

We are constrained to submit this statement of policy for the

consideration of our authorities, not because we are fond of

argument but because we are deeply anxious for our national welfare.

No one at present can foretell the outcome of the European War. If

the Allies meet with reverses and victory shall crown the arms of

the Germans and Austrians, German militarism will undoubtedly

dominate the European Continent and extend southward and eastward to

other parts of the world. Should such a state of affairs happen to

take place the consequences resulting therefrom will be indeed great

and extensive. On this account we must devote our most serious

attention to the subject. If, on the other hand, the Germans and

Austrians should be crushed by the Allies, Germany will be deprived

of her present status as a Federated State under a Kaiser. The

Federation will be disintegrated into separate states, and Prussia

will have to be content with the status of a second-rate Power.

Austria and Hungary, on account of this defeat, will consequently be

divided. What their final fate shall be, no one would now venture

to predict. In the meantime Russia will annex Galicia and the

Austrian Poland: France will repossess Alsace and Lorraine: Great

Britain will occupy the German Colonies in Africa and the South

Pacific; Servia and Montenegro will take Bosnia, Herzegovina and a

certain portion of Austrian Territory; thus making such great

changes in the map of Europe that even the Napoleonic War in 1815

could not find a parallel.

When these events take place, not only will Europe experience great

changes, but we should not ignore the fact that they will occur also

in China and in the South Pacific. After Russia has replaced Germany

in the territories lost by Germany and Austria, she will hold a

controlling influence in Europe, and, for a long time to come, will

have nothing to fear from her western frontier. Immediately after

the war she will make an effort to carry out her policy of expansion

in the East and will not relax that effort until she has acquired a

controlling influence in China. At the same time Great Britain will

strengthen her position in the Yangtsze Valley and prohibit any

other country from getting a footing there. France will do likewise

in Yunnan province using it as her base of operations for further

encroachments upon China and never hesitate to extend her

advantages. We must therefore seriously study the situation

remembering always that the combined action of Great Britain,

Russia, and France will not only affect Europe but that we can even

foresee that it will also affect China.

Whether this combined action on the part of England, France and

Russia is to terminate at the end of the war or to continue to

operate, we can not now predict. But after peace in Europe is

restored, these Powers will certainly turn their attention to the

expansion of their several spheres of interest in China, and, in the

adjustment, their interests will most likely conflict with one

another. If their interests do not conflict, they will work jointly

to solve the Chinese Question. On this point we have not the least

doubt. If England, France and Russia are actually to combine for the

coercion of China, what course is to be adopted by the Imperial

Japanese Government to meet the situation? What proper means shall

we employ to maintain our influence and extend our interests within

this ring of rivalry and competition? It is necessary that we bear

in mind the final results of the European War and forestall the

trend of events succeeding it so as to be able to decide upon a

policy towards China and determine the action to be ultimately

taken. If we remain passive, the Imperial Japanese Government's

policy towards China will lose that subjective influence and our

diplomacy will be checked for ever by the combined force of the

other Powers. The peace of the Far East will be thus endangered and

even the existence of the Japanese Empire as a nation will no doubt

be imperilled. It is therefore our first important duty at this

moment to enquire of our Government what course is to be adopted to

face that general situation after the war? What preparations are

being made to meet the combined pressure of the Allies upon China?

What policy has been followed to solve the Chinese Question? When

the European War is terminated and peace restored we are not

concerned so much with the question whether it be the Dual

Monarchies or the Triple Entente which emerge victorious but

whether, in anticipation of the future expansion of European

influence in the Continents of Europe and Asia, the Imperial

Japanese Government should or should not hesitate to employ force to

check the movement before this occurrence. Now is the most opportune

moment for Japan to quickly solve the Chinese Question. Such an

opportunity will not occur for hundreds of years to come. Not only

is it Japan's divine duty to act now, but present conditions in

China favour the execution of such a plan. We should by all means

decide and act at once. If our authorities do not avail themselves

of this rare opportunity, great difficulty will surely be

encountered in future in the settlement of this Chinese Question.

Japan will be isolated from the European Powers after the war, and

will be regarded by them with envy and jealousy just as Germany is

now regarded. Is it not then a vital necessity for Japan to solve at

this very moment the Chinese Question?

No one--not even those who care nothing for politics--can deny that

there is in this document an astounding disclosure of the mental

attitude of the Japanese not only towards their enemies but towards

their friends as well. They trust nobody, befriend nobody, envy nobody;

they content themselves with believing that the whole world may in the

not distant future turn against them. The burden of their argument

swings just as much against their British ally as against Germany and

Austria; and the one and only matter which preoccupies Japanese who make

it their business to think about such things is to secure that Japan

shall forestall Europe in seizing control of China. It is admitted in so

many words that it is too early to know who is to triumph in the

gigantic European struggle; it is also admitted that Germany will

forever be the enemy. At the same time it is expected, should the issue

of the struggle be clear-cut and decisive in favour of the Allies, that

a new three-Power combination formed by England, France and Russia may

be made to operate against Japan. Although the alliance with England,

twice renewed since 1902, should occupy as important a place in the Far

East as the _Entente_ between England and France occupies in Europe, not

one Japanese in a hundred knows or cares anything about such an

arrangement; and even if he has knowledge of it, he coolly assigns to

his country's major international commitment a minimum and constantly

diminishing importance. In his view the British Alliance is nothing but

a piece of paper which may be consumed in the great bonfire now shedding

such a lurid light over the world. What is germane to the matter is his

own plan, his own method of taking up arms in a sea of troubles. The

second part of the Black Dragon Society's Memorandum, pursuing the

argument logically and inexorably and disclosing traces of real

political genius, makes this unalterably clear.

Having established clearly the attitude of Japan towards the world--and

more particularly towards the rival political combinations now locked

together in a terrible death-struggle, this second part of the

Memorandum is concerned solely with China and can be broken into two

convenient sections. The first section is constructive--the plan for the

reconstruction of China is outlined in terms suited to the Japanese

genius. This part begins with an illuminating piece of rhetoric.

PART II. THE CHINESE QUESTION AND THE DEFENSIVE ALLIANCE

It is a very important matter of policy whether the Japanese

Government, in obedience to its divine mission, shall solve the

Chinese Question in a heroic manner by making China voluntarily rely

upon Japan. To force China to such a position there is nothing else

for the Imperial Japanese Government to do but to take advantage of

the present opportunity to seize the reins of political and

financial power and to enter by all means into a defensive alliance

with her under secret terms as enumerated below:

_The Secret Terms of the Defensive Alliance_

The Imperial Japanese Government, with due respect for the

Sovereignty and Integrity of China and with the object and hope of

maintaining the peace of the Far East, undertakes to share the

responsibility of co-operating with China to guard her against

internal trouble and foreign invasion and China shall accord to

Japan special facilities in the matter of China's National Defence,

or the protection of Japan's special rights and privileges and for

these objects the following treaty of Alliance is to be entered into

between the two contracting parties:

1. When there is internal trouble in China or when she is at war

with another nation or nations, Japan shall send her army to render

assistance, to assume the responsibility of guarding Chinese

territory and to maintain peace and order in China.

2. China agrees to recognize Japan's privileged position in South

Manchuria and Inner Mongolia and to cede the sovereign rights of

these regions to Japan to enable her to carry out a scheme of local

defence on a permanent basis.

3. After the Japanese occupation of Kiaochow, Japan shall acquire

all the rights and privileges hitherto enjoyed by the Germans in

regard to railways, mines and all other interests, and after peace

and order is restored in Tsingtao, the place shall be handed back to

China to be opened as an International Treaty port.

4. For the maritime defence of China and Japan, China shall lease

strategic harbours along the coast of the Fukien province to Japan

to be converted into naval bases and grant to Japan in the said

province all railway and mining rights.

5. For the reorganization of the Chinese army China shall entrust

the training and drilling of the army to Japan.

6. For the unification of China's firearms and munitions of war,

China shall adopt firearms of Japanese pattern, and at the same time

establish arsenals (with the help of Japan) in different strategic

points.

7. With the object of creating and maintaining a Chinese Navy, China

shall entrust the training of her navy to Japan.

8. With the object of reorganizing her finances and improving the

methods of taxation, China shall entrust the work to Japan, and the

latter shall elect competent financial experts who shall act as

first-class advisers to the Chinese Government.

9. China shall engage Japanese educational experts as educational

advisers and extensively establish schools in different parts of the

country to teach Japanese so as to raise the educational standard of

the country.

10. China shall first consult with and obtain the consent of Japan

before she can enter into an agreement with another Power for making

loans, the leasing of territory, or the cession of the same.

From the date of the signing of this Defensive Alliance, Japan and

China shall work together hand-in-hand. Japan will assume the

responsibility of safeguarding Chinese territory and maintaining the

peace and order in China. This will relieve China of all future

anxieties and enable her to proceed energetically with her reforms,

and, with a sense of territorial security, she may wait for her

national development and regeneration. Even after the present

European War is over and peace is restored China will absolutely

have nothing to fear in the future of having pressure brought

against her by the foreign powers. It is only thus that permanent

peace can be secured in the Far East.

But before concluding this Defensive Alliance, two points must first

be ascertained and settled, (1) Its bearing on the Chinese

Government. (2) Its bearing on those Powers having intimate

relations with and great interests in China.

In considering its effect on the Chinese Government, Japan must try

to foresee whether the position of China's present ruler Yuan

Shih-kai shall be permanent or not; whether the present Government's

policy will enjoy the confidence of a large section of the Chinese

people; whether Yuan Shih-kai will readily agree to the Japanese

Government's proposal to enter into a treaty of alliance with us.

These are points to which we are bound to give a thorough

consideration. Judging by the attitude hitherto adopted by Yuan

Shih-kai we know he has always resorted to the policy of expediency

in his diplomatic dealings, and although he may now outwardly show

friendliness towards us, he will in fact rely upon the influence of

the different Powers as the easiest check against us and refuse to

accede to our demands. Take for a single instance, his conduct

towards us since the Imperial Government declared war against

Germany and his action will then be clear to all. Whether we can

rely upon the ordinary friendly methods of diplomacy to gain our

object or not it does not require much wisdom to decide. After the

gigantic struggle in Europe is over, leaving aside America which

will not press for advantage, China will not be able to obtain any

loans from the other Powers. With a depleted treasury, without means

to pay the officials and the army, with local bandits inciting the

poverty-stricken populace to trouble, with the revolutionists

waiting for opportunities to rise, should an insurrection actually

occur while no outside assistance can be rendered to quell it we are

certain it will be impossible for Yuan Shih-kai, single-handed, to

restore order and consolidate the country. The result will be that

the nation will be cut up into many parts beyond all hope of remedy.

That this state of affairs will come is not difficult to foresee.

When this occurs, shall we uphold Yuan's Government and assist him

to suppress the internal insurrection with the certain assurance

that we could influence him to agree to our demands, or shall we

help the revolutionists to achieve a success and realize our object

through them? This question must be definitely decided upon this

very moment so that we may put it into practical execution. If we do

not look into the future fate of China but go blindly to uphold

Yuan's Government, to enter into a Defensive Alliance with China,

hoping thus to secure a complete realization of our object by

assisting him to suppress the revolutionists, it is obviously a

wrong policy. Why? Because the majority of the Chinese people have

lost all faith in the tottering Yuan Shih-kai who is discredited and

attacked by the whole nation for having sold his country. If Japan

gives Yuan the support, his Government, though in a very precarious

state, may possibly avoid destruction. Yuan Shih-kai belongs to that

school of politicians who are fond of employing craftiness and

cunning. He may be friendly to us for a time, but he will certainly

abandon us and again befriend the other Powers when the European war

is at an end. Judging by his past we have no doubt as to what he

will do in the future. For Japan to ignore the general sentiment of

the Chinese people and support Yuan Shih-kai with the hope that we

can settle with him the Chinese Question is a blunder indeed.

Therefore in order to secure the permanent peace of the Far East,

instead of supporting a Chinese Government which can neither be long

continued in power nor assist in the attainment of our object, we

should rather support the 400,000,000 Chinese people to renovate

their corrupt Government, to change its present form, to maintain

peace and order in the land and to usher into China a new era of

prosperity so that China and Japan may in fact as well as in name be

brought into the most intimate and vital relations with each other.

China's era of prosperity is based on the China-Japanese Alliance

and this Alliance is the foundational power for the repelling of the

foreign aggression that is to be directed against the Far East at

the conclusion of the European war. This alliance is also the

foundation-stone of the peace of the world. Japan therefore should

take this as the last warning and immediately solve this question.

Since the Imperial Japanese Government has considered it imperative

to support the Chinese people, we should induce the Chinese

revolutionists, the Imperialists and other Chinese malcontents to

create trouble all over China. The whole country will be thrown into

disorder and Yuan's Government will consequently be overthrown. We

shall then select a man from amongst the most influential and most

noted of the 400,000,000 of Chinese and help him to organize a new

form of Government and to consolidate the whole country. In the

meantime our army must assist in the restoration of peace and order

in the country, and in the protection of the lives and properties of

the people, so that they may gladly tender their allegiance to the

new Government which will then naturally confide in and rely upon

Japan. It is after the accomplishment of only these things that we

shall without difficulty gain our object by the conclusion of a

Defensive Alliance with China.

For us to incite the Chinese revolutionists and malcontents to rise

in China we consider the present to be the most opportune moment.

The reason why these men cannot now carry on an active campaign is

because they are insufficiently provided with funds. If the Imperial

Government can take advantage of this fact to make them a loan and

instruct them to rise simultaneously, great commotion and disorder

will surely prevail all over China. We can intervene and easily

adjust matters.

The progress of the European War warns Japan with greater urgency of

the imperative necessity of solving this most vital of questions.

The Imperial Government cannot be considered as embarking on a rash

project. This opportunity will not repeat itself for our benefit. We

must avail ourselves of this chance and under no circumstances

hesitate. Why should we wait for the spontaneous uprising of the

revolutionists and malcontents? Why should we not think out and lay

down a plan beforehand? When we examine into the form of Government

in China, we must ask whether the existing Republic is well suited

to the national temperament and well adapted to the thoughts and

aspirations of the Chinese people. From the time the Republic of

China was established up to the present moment, if what it has

passed through is to be compared to what it ought to be in the

matter of administration and unification, we find disappointment

everywhere. Even the revolutionists themselves, the very ones who

first advocated the Republican form of government, acknowledge that

they have made a mistake. The retention of the Republican form of

Government in China will be a great future obstacle in the way of a

Chino-Japanese Alliance. And why must it be so? Because, in a

Republic the fundamental principles of government as well as the

social and moral aims of the people are distinctly different from

that of a Constitutional Monarchy. Their laws and administration

also conflict. If Japan act as a guide to China and China models

herself after Japan, it will only then be possible for the two

nations to solve by mutual effort the Far East Question without

differences and disagreements. Therefore to start from the

foundation for the purpose of reconstructing the Chinese

Government, of establishing a Chino-Japanese Alliance, of

maintaining the permanent peace of the Far East and of realizing the

consummation of Japan's Imperial policy, we must take advantage of

the present opportunity to alter China's Republican form of

Government into a Constitutional Monarchy which shall necessarily be

identical, in all its details, to the Constitutional Monarchy of

Japan, and to no other. This is really the key and first principle

to be firmly held for the actual reconstruction of the form of

Government in China. If China changes her Republican form of

Government to that of a Constitutional Monarchy, shall we, in the

selection of a new ruler, restore the Emperor Hsuan T'ung to his

throne or choose the most capable man from the Monarchists or select

the most worthy member from among the revolutionists? We think,

however, that it is advisable at present to leave this question to

the exigency of the future when the matter is brought up for

decision. But we must not lose sight of the fact that to actually

put into execution this policy of a Chino-Japanese Alliance and the

transformation of the Republic of China into a Constitutional

Monarchy, is, in reality, the fundamental principle to be adopted

for the reconstruction of China.

We shall now consider the bearing of this Defensive Alliance on the

other Powers. Needless to say, Japan and China will in no way impair

the rights and interests already acquired by the Powers. At this

moment it is of paramount importance for Japan to come to a special

understanding with Russia to define our respective spheres in

Manchuria and Mongolia so that the two countries may co-operate with

each other in the future. This means that Japan after the

acquisition of sovereign rights in South Manchuria and Inner

Mongolia will work together with Russia after her acquisition of

sovereign rights in North Manchuria and Outer Mongolia to maintain

the status quo, and endeavour by every effort to protect the peace

of the Far East. Russia, since the outbreak of the European War, has

not only laid aside all ill-feelings against Japan, but has adopted

the same attitude as her Allies and shown warm friendship for us. No

matter how we regard the Manchurian and Mongolian Questions in the

future she is anxious that we find some way of settlement. Therefore

we need not doubt but that Russia, in her attitude towards this

Chinese Question, will be able to come to an understanding with us

for mutual co-operation.

The British sphere of influence and interest in China is centred in

Tibet and the Yangtsze Valley. Therefore if Japan can come to some

satisfactory arrangement with China in regard to Tibet and also give

certain privileges to Great Britain in the Yangtsze Valley, with an

assurance to protect those privileges, no matter how powerful Great

Britain might be, she will surely not oppose Japan's policy in

regard to this Chinese Question. While this present European War is

going on Great Britain has never asked Japan to render her

assistance. That her strength will certainly not enable her to

oppose us in the future need not be doubted in the least.

Since Great Britain and Russia will not oppose Japan's policy

towards China, it can readily be seen what attitude France will

adopt in regard to the subject. What Japan must now somewhat reckon

with is America. But America in her attitude towards us regarding

our policy towards China has already declared the principle of

maintaining China's territorial integrity and equal opportunity and

will be satisfied, if we, do not impair America's already acquired

rights and privileges. We think America will also have no cause for

complaint. Nevertheless America has in the East a naval force which

can be fairly relied upon, though not sufficiently strong to be

feared. Therefore in Japan's attitude towards America there is

nothing really for us to be afraid of.

Since China's condition is such on the one hand and the Powers'

relation towards China is such on the other hand, Japan should avail

herself in the meantime of the European War to definitely decide

upon a policy towards China, the most important move being the

transformation of the Chinese Government to be followed up by

preparing for the conclusion of the Defensive Alliance. The

precipitate action on the part of our present Cabinet in acceding to

the request of Great Britain to declare war against Germany without

having definitely settled our policy towards China has no real

connection with our future negotiations with China or affect the

political condition in the Far East. Consequently all intelligent

Japanese, of every walk of life throughout the land, are very deeply

concerned about the matter.

Our Imperial Government should now definitely change our dependent

foreign policy which is being directed by others into an independent

foreign policy which shall direct others, proclaiming the same with

solemn sincerity to the world and carrying it out with

determination. If we do so, even the gods and spirits will give way.

These are important points in our policy towards China and the

result depends on how we carry them out. Can our authorities firmly

make up their mind to solve this Chinese Question by the actual

carrying out of this fundamental principle? If they show

irresolution while we have this heaven-conferred chance and merely

depend on the good will of the other Powers, we shall eventually

have greater pressure to be brought against the Far East after the

European War is over, when the present equilibrium will be

destroyed. That day will then be too late for us to repent of our

folly. We are therefore impelled by force of circumstances to urge

our authorities to a quicker sense of the situation and to come to a

determination.

The first point which leaps out of this extraordinarily frank

disquisition is that the origin of the Twenty-one Demands is at last

disclosed. A perusal of the ten articles forming the basis of the

Defensive alliance proposed by the Black Dragon Society, allows us to

understand everything that occurred in Peking in the spring of 1915. As

far back as November, 1914, it was generally rumoured in Peking that

Japan had a surprise of an extraordinary nature in her diplomatic

archives, and that it would be merely a matter of weeks before it was

sprung. Comparing this elaborate memorandum of the Black Dragon Society

with the original text of the Twenty-one Demands it is plain that the

proposed plan, having been handed to Viscount Kato, had to be passed

through the diplomatic filters again and again until all gritty matter

had been removed, and an appearance of innocuousness given to it. It is

for this reason that the defensive alliance finally emerges as five

compact little "groups" of demands, with the vital things directly

affecting Chinese sovereignty labelled _desiderata_, so that Japanese

ambassadors abroad could leave very warm assurances at every Foreign

Office that there was nothing in what Japan desired which in any way

conflicted with the Treaty rights of the Powers in China. The air of

mystery which surrounded the whole business from the 18th January to the

7th May--the day of the ultimatum--was due to the fact that Japan

attempted to translate the conspiracy into terms of ordinary

intercourse, only to find that in spite of the "filtering" the

atmosphere of plotting could not be shaken off or the political threat

adequately hidden. There is an arresting piece of psychology in this.

The conviction expressed in the first portion of the Memorandum that

bankruptcy was the rock on which the Peking administration must sooner

or later split, and that the moment which Japan must seize is the

outbreak of insurrections, is also highly instructive in view of what

happened later. Still more subtle is the manner in which the ultimate

solution is left open: it is consistently admitted throughout the mass

of reasoning that there is no means of knowing whether suasion or force

will ultimately be necessary. Force, however, always beckons to Japan

because that is the simplest formula. And since Japan is the

self-appointed defender of the dumb four hundred millions, her influence

will be thrown on the side of the populace in order "to usher into China

a new era of prosperity" so that China and Japan may in fact as well as

in name be brought into the most intimate and vital relations with each

other.

The object of the subsidized insurrections is also clearly stated; it is

to alter China's republican form of government into a Constitutional

Monarchy which shall necessarily be identical in all its details to the

Constitutional Monarchy of Japan and to no other. Who the new Emperor is

to be is a point left in suspense, although we may here again recall

that in 1912 in the midst of the revolution Japan privately sounded

England regarding the advisability of lending the Manchus armed

assistance, a proposal which was immediately vetoed. But there are other

things: nothing is forgotten in the Memorandum. Russia is to be

specially placated, England to be specially negotiated with, thus

incidentally explaining Japan's recent attitude regarding the Yangtsze

Railways. Japan, released from her dependent foreign policy, that is

from a policy which is bound by conventions and treaties which others

respect, can then carry out her own plans without fear of molestation.

And this brings us to the two last documents of the dossier--the method

of subsidizing and arranging insurrections in China when and wherever

necessary.

The first document is a detailed agreement between the Revolutionary

Party and various Japanese merchants. Trained leaders are to be used in

the provinces South of the Yellow River, and the matter of result is so

systematized that the agreement specifies the amount of compensation to

be paid for every Japanese killed on active service; it declares that

the Japanese will deliver arms and ammunition in the districts of

Jihchow in Shantung and Haichow in Kiangsu; and it ends by stating that

the first instalment of cash, Yen 400,000, had been paid over in

accordance with the terms of the agreement. The second document is an

additional loan agreement between the interested parties creating a

special "trading" corporation, perhaps satirically named "The Europe and

Asia Trading Company," which in a consideration of a loan of half a

million yen gives Japanese prior rights over all the mines of China.

ALLEGED SECRET AGREEMENT MADE BETWEEN SUN WEN (SUN YAT SEN) AND THE

JAPANESE

In order to preserve the peace in the Far East, it is necessary for

China and Japan to enter into an offensive and defensive alliance

whereby in case of war with any other nation or nations Japan shall

supply the military force while China shall be responsible for the

finances. It is impossible for the present Chinese Government to

work hand in hand with the Japanese Government nor does the Japanese

Government desire to co-operate with the former. Consequently

Japanese politicians and merchants who have the peace of the Far

East at heart are anxious to assist China in her reconstruction. For

this object the following Agreement is entered into by the two

parties:

1. Before an uprising is started, Terao, Okura, Tseji Karoku and

their associates shall provide the necessary funds, weapons and

military force, but the funds so provided must not exceed 1,500,000

yen and rifles not to exceed 100,000 pieces.

2. Before the uprising takes place the loan shall be temporarily

secured by 10,000,000 yen worth of bonds to be issued by Sun Wen

(Sun Yat Sen). It shall however, be secured afterwards by all the

movable properties of the occupied territory. (See Article 14 of

this Agreement.)

3. The funds from the present loan and military force to be provided

are for operations in the provinces South of the Yellow River, viz.:

Yunnan, Kweichow, Hunan, Hupeh, Szechuan, Kiangsi, Anhuei, Kiangsu

Chekiang, Fukien, Kwangsi and Kwangtung. If it is intended to invade

the Northern provinces North of the Yellow River, Tseji Karoku and

his associates shall participate with the revolutionists in all

deliberations connected with such operations.

4. The Japanese volunteer force shall be allowed from the date of

their enrolment active service pay in accordance with the

regulations of the Japanese army. After the occupation of a place,

the two parties will settle the mode of rewarding the meritorious

and compensating the family of the killed, adopting the most

generous practice in vogue in China and Japan. In the case of the

killed, compensation for each soldier shall, at the least, be more

than 1,000 yen.

5. Wherever the revolutionary army might be located the Japanese

military officers accompanying these expeditions shall have the

right to advise a continuation or cessation of operations.

6. After the revolutionary army has occupied a region and

strengthened its defences, all industrial undertakings and railway

construction and the like, not mentioned in the Treaties with other

foreign Powers, shall be worked with joint capital together with the

Japanese.

7. On the establishment of a new Government in China, all Japan's

demands on China shall be recognized by the new Government as

settled and binding.

8. All Japanese Military Officers holding the rank of Captain or

higher ranks engaged by the Chinese revolutionary army shall have

the privilege of being continued in their employment with a limit as

to date and shall have the right to ask to be thus employed.

9. The loan shall be paid over in three instalments. The first

instalment will be 400,000 yen, the second instalment ... yen and

the third instalment ... yen. After the first instalment is paid

over, Okura who advances the loan shall have the right to appoint

men to supervise the expenditure of the money.

10. The Japanese shall undertake to deliver all arms and ammunition

in the Districts of Jih Chao and Haichow (in Shantung and Kiangsu,

South of Kiaochow).

11. The payment of the first instalment of the loan shall be made

not later than three days after the signing of this Agreement.

12. All the employed Japanese Military officers and Japanese

volunteers are in duty bound to obey the orders of the Commander of

the revolutionary army.

13. The Commander of the revolutionary army shall have the right to

send back to Japan those Japanese military officers and Japanese

volunteers who disobey his orders and their passage money shall not

be paid if such decision meets with the approval of three or more of

the Japanese who accompany the revolutionary force.

14. All the commissariat departments in the occupied territory must

employ Japanese experts to co-operate in their management.

15. This Agreement takes effect immediately it is signed by the two

parties.

The foregoing fifteen articles have been discussed several times

between the two parties and signed by them in February. The first

instalment of 400,000 yen has been paid according to the terms of

this Agreement.

LOAN AGREEMENT MADE BETWEEN THE REVOLUTIONARY PARTY REPRESENTED BY

CHANG YAO-CHING AND HIS ASSOCIATES OF THE FIRST PART AND KAWASAKI

KULANOSKE OF THE SECOND PART

1. The Europe and Asia Trading Company undertakes to raise a loan of

500,000 yen. After the Agreement is signed and sealed by the

contracting parties the Japanese Central Bank shall hand over 3/10

of the loan as the first instalment. When Chang Yao-Ching and his

associates arrive at their proper destination the sum of 150,000 yen

shall be paid over as the second instalment. When final arrangements

are made the third and last instalment of 200,000 yen shall be paid.

2. When money is to be paid out, the Europe and Asia Trading Company

shall appoint supervisors. Responsible individuals of the

contracting parties shall jointly affix their seals (to the cheques)

before money is drawn for expenditure.

3. The Europe and Asia Trading Company shall secure a volunteer

force of 150 men, only retired officers of the Japanese army to be

eligible.

4. On leaving Japan the travelling expenses and personal effects of

the volunteers shall be borne by themselves. After reaching China,

Chang Yao-Ching and his associates shall give the volunteers the pay

of officers of the subordinate grade according to the established

regulations of the Japanese army.

5. If a volunteer is wounded while on duty Chang Yao-Ching and his

associates shall pay him a provisional compensation of not exceeding

1,000 yen. When wounded seriously a provisional compensation of

5,000 yen shall be paid as well as a life pension in accordance with

the rules of the Japanese army. If a volunteer meets with an

accident, thus losing his life, an indemnity of 50,000 yen shall be

paid to his family.

6. If a volunteer is not qualified for duty Chang Yao-Ching and his

associates shall have the power to dismiss him. All volunteers are

subject to the orders of Chang Yao-Ching and his associates and to

their command in the battlefields.

7. When volunteers are required to attack a certain selected place

it shall be their duty to do so. But the necessary expenses for the

undertaking shall be determined beforehand by both parties after

investigating into existing conditions.

8. The volunteer force shall be organized after the model of the

Japanese army. Two Japanese officers recommended by the Europe and

Asia Trading Company shall be employed.

9. The Europe and Asia Trading Company shall have the power to

dispose of the public properties in the places occupied by the

volunteer force.

10. The Europe and Asia Trading Company shall have the first

preference for working the mines in places occupied and protected by

the volunteer force.

And here ends this extraordinary collection of papers. Is fiction mixed

with fact--are these only "trial" drafts, or are they real documents

signed, sealed, and delivered? The point seems unimportant. The thing of

importance is the undoubted fact that assembled and treated in the way

we have treated them they present a complete and arresting picture of

the aims and ambitions of the ordinary Japanese; of their desire to push

home the attack to the last gasp and so to secure the infeodation of

China.

CHAPTER VIII

THE MONARCHIST PLOT

THE PAMPHLET OF YANG TU

A shiver of impotent rage passed over the country when the nature and

acceptance of the Japanese Ultimatum became generally known. The

Chinese, always an emotional people, responding with quasi-feminine

volubility to oppressive acts, cried aloud at the ignominy of the

diplomacy which had so cruelly crucified them. One and all declared that

the day of shame which had been so harshly imposed upon them would never

be forgotten and that Japan would indeed pay bitterly for her policy of

extortion.

Two movements were started at once: one to raise a National Salvation

Fund to be applied towards strengthening the nation in any way the

government might decide; the other, to boycott all Japanese articles of

commerce. Both soon attained formidable proportions. The nation became

deeply and fervently interested in the double-idea; and had Yuan

Shih-kai possessed true political vision there is little doubt that by

responding to this national call he might have ultimately been borne to

the highest pinnacles of his ambitions without effort on his part. His

oldest enemies now openly declared that henceforth he had only to work

honourably and whole-heartedly in the nation's interest to find them

supporting him, and to have every black mark set against his name wiped

out.

In these circumstances what did he do? His actions form one of the most

incredible and, let it be said, contemptible chapters of contemporary

history.

In dealing with the origins of the Twenty-one Demands we have already

discussed the hints the Japan Representative had officially made when

presenting his now famous Memorandum. Briefly Yuan Shih-kai had been

told in so many words that since he was already autocrat of all the

Chinese, he had only to endorse the principle of Japanese guidance in

his administration to find that his Throne would be as good as publicly

and solidly established. Being saturated with the doleful diplomacy of

Korea, and seeing in these proposals a mere trap, Yuan Shih-kai, as we

have shown, had drawn back in apparent alarm. Nevertheless the words

spoken had sunk in deep, for the simple and excellent reason that ever

since the _coup d'état_ of the 4th November, 1913, the necessity of

"consolidating" his position by something more permanent than a display

of armed force had been a daily subject of conversation in the bosom of

his family. The problem, as this misguided man saw it, was simply by

means of an unrivalled display of cunning to profit by the Japanese

suggestion, and at the same time to leave the Japanese in the lurch.

His eldest son, an individual of whom it has been said that he had

absorbed every theory his foreign teachers had taught him without being

capable of applying a single one, was the leader in this family

intrigue. The unhappy victim of a brutal attempt to kill him during the

Revolution, this eldest son had been for years semi-paralyzed: but

brooding over his disaster had only fortified in him the resolve to

succeed his father as legitimate Heir. Having saturated himself in

Napoleonic literature, and being fully aware of how far a bold leader

can go in times of emergency, he daily preached to his father the

necessity of plucking the pear as soon as it was ripe. The older man,

being more skilled and more cautious in statecraft than this youthful

visionary, purposely rejected the idea so long as its execution seemed

to him premature. But at last the point was reached when he was

persuaded to give the monarchy advocates the free hand they solicited,

being largely helped to this decision by the argument that almost

anything in China could be accomplished under cover of the war,--_so

long as vested foreign interests were not jeopardized_.

In accordance with this decision, very shortly after the 18th January,

the dictator's lieutenants had begun to sound the leaders of public

opinion regarding the feasibility of substituting for the nominal

Republic a Constitutional Monarchy. Thus, in a highly characteristic

way, all through the tortuous course of the Japanese negotiations, to

which he was supposed to be devoting his sole attention in order to save

his menaced fatherland, Yuan Shih-kai was assisting his henchmen to

indoctrinate Peking officialdom with the idea that the salvation of the

State depended more on restoring on a modified basis the old empire than

in beating off the Japanese assault. It was his belief that if some

scholar of national repute could be found, who would openly champion

these ideas and urge them with such persuasiveness and authority that

they became accepted as a Categorical Imperative, the game would be as

good as won, the Foreign Powers being too deeply committed abroad to pay

much attention to the Far East. The one man who could have produced that

result in the way Yuan Shih-kai desired to see it, the brilliant

reformer Liang Chi-chao, famous ever since 1898, however, obstinately

refused to lend himself to such work; and, sooner than be involved in

any way in the plot, threw up his post of Minister of Justice and

retired to the neighbouring city of Tientsin from which centre he was

destined to play a notable part.

This hitch occasioned a delay in the public propaganda, though not for

long. Forced to turn to a man of secondary ability, Yuan Shih-kai now

invoked the services of a scholar who had been known to be his secret

agent in the Old Imperial Senate under the Manchus--a certain Yang

Tu--whose constant appeals in that chamber had indeed been the means of

forcing the Manchus to summon Yuan Shih-kai back to office to their

rescue on the outbreak of the Wuchang rebellion in 1911. After very

little discussion everything was arranged. In the person of this

ex-Senator, whose whole appearance was curiously Machiavellian and

decadent, the neo-imperialists at last found their champion.

Events now moved quickly enough. In the Eastern way, very few weeks

after the Japanese Ultimatum, a society was founded called the Society

for the Preservation of Peace (_Chou An Hui_) and hundreds of

affiliations opened in the provinces. Money was spent like water to

secure adherents, and when the time was deemed ripe the now famous

pamphlet of Yang Tu was published broadcast, being in everybody's hands

during the idle summer month of August. This document is so remarkable

as an illustration of the working of that type of Chinese mind which

has assimilated some portion of the facts of the modern world and yet

remains thoroughly reactionary and illogical, that special attention

must be directed to it. Couched in the form of an argument between two

individuals--one the inquirer, the other the expounder--it has something

of the Old Testament about it both in its blind faith and in its

insistence on a few simple essentials. It embodies everything essential

to an understanding of the old mentality of China which has not yet been

completely destroyed. From a literary standpoint it has also much that

is valuable because it is so naïve; and although it is concerned with

such a distant region of the world as China its treatment of modern

political ideas is so bizarre and yet so acute that it will repay study.

It was not, however, for some time, that the significance of this

pamphlet was generally understood. It was such an amazing departure from

old precedents for the Peking Government to lend itself to public

propaganda as a revolutionary weapon that the mind of the people refused

to credit the fatal turn things were taking. But presently when it

became known that the "Society for the Preservation of Peace" was

actually housed in the Imperial City and in daily relations with the

President's Palace; and that furthermore the Procurator-General of

Peking, in response to innumerable memorials of denunciation, having

attempted to proceed against the author and publishers of the pamphlet,

as well as against the Society, had been forced to leave the capital

under threats against his life, the document was accepted at its

face-value. Almost with a gasp of incredulity China at last realized

that Yuan Shih-kai had been seduced to the point of openly attempting to

make himself Emperor. From those August days of 1915 until the 6th June

of the succeeding year, when Fate had her own grim revenge, Peking was

given up to one of the most amazing episodes that has ever been

chronicled in the dramatic history of the capital. It was as if the old

city walls, which had looked down on so much real drama, had determined

to lend themselves to the staging of an unreal comedy. For from first to

last the monarchy movement had something unreal about it, and might have

been the scenario of some vast picture-play. It was acting pure and

simple--acting done in the hope that the people might find it so

admirable that they would acclaim it as real, and call the Dictator

their King. But it is time to turn to the arguments of Yang Tu and allow

a Chinese to picture the state of his country:

A DEFENCE OF THE MONARCHICAL MOVEMENT

PART I

Mr. Ko (or "the stranger"): Since the establishment of the Republic

four years have passed, and upon the President depends the

preservation of order at home and the maintenance of prestige

abroad. I suppose that after improving her internal administration

for ten or twenty years, China will become a rich and prosperous

country, and will be able to stand in the front rank with western

nations.

Mr. Hu: No! No! If China does not make any change in the form of

government there is no hope for her becoming strong and rich; there

is even no hope for her having a constitutional government. I say

that China is doomed to perish.

Mr. Ko: Why so?

Mr. Hu: The republican form of government is responsible. The

Chinese people are fond of good names, but they do not care much

about the real welfare of the nation. No plan to save the country is

possible. The formation of the Republic as a result of the first

revolution has prevented that.

Mr. Ko: Why is it that there is no hope of China's becoming strong?

Mr. Hu: The people of a republic are accustomed to listen to the

talk of equality and freedom which must affect the political and

more especially the military administration. In normal circumstances

both the military and student classes are required to lay great

emphasis upon unquestioned obedience and respect for those who hold

high titles. The German and Japanese troops observe strict

discipline and obey the orders of their chiefs. That is why they are

regarded as the best soldiers in the world. France and America are

in a different position. They are rich but not strong. The sole

difference is that Germany and Japan are ruled by monarchs while

France and America are republics. Our conclusion therefore is that

no republic can be strong.

But since the French and American peoples possess general education

they are in a position to assume responsibility for the good

government of their nations which they keep in good order. On that

account, although these republics are not strong in dealing with the

Powers, they can maintain peace at home. China, however, is unlike

these countries, for her standard of popular education is very low.

Most of the Chinese soldiers declare as a commonplace: "We eat the

imperial food and we must therefore serve the imperial master." But

now the Imperial family is gone, and for it has been substituted an

impersonal republic, of which they know nothing whatsoever. These

soldiers are now law-abiding because they have awe-inspiring and

respectful feelings for the man at the head of the state. But as the

talk of equality and freedom has gradually influenced them, it has

become a more difficult task to control them. As an example of this

corrupt spirit, the commanders of the Southern troops formerly had

to obey their subordinate officers and the subordinate officers had

to obey their soldiers. Whenever there was an important question to

be discussed, the soldiers demanded a voice and a share in the

solution. These soldiers were called the republican army. Although

the Northern troops have not yet become so degenerate, still they

never hesitate to disobey the order of their superiors whenever they

are ordered to proceed to distant localities. Now we have come to

the point when we are deeply satisfied if the army of the Republic

does not openly mutiny! We cannot expect any more from them save to

hope that they will not mutiny and that they will be able to

suppress internal disturbances. In the circumstances there is no use

talking about resistance of a foreign invasion by these soldiers. As

China, a republic, is situated between two countries, Japan and

Russia, both of which have monarchical governments, how can we

resist their aggression once diplomatic conversations begin? From

this it is quite evident that there is nothing which can save China

from destruction. Therefore I say there is no hope of China becoming

strong.

Mr. Ko: But why is it that there is no hope of China ever becoming

rich?

Mr. Hu: People may not believe that while France and America are

rich China must remain poor. Nevertheless, the reason why France and

America are rich is that they were allowed to work out their own

salvation without foreign intervention for many years, and that at

the same time they were free from internal disturbances. If any

nation wishes to become rich, it must depend upon industries for its

wealth. Now, what industries most fear is disorder and civil war.

During the last two years order has been restored and many things

have returned to their former state, but our industrial condition is

the same as under the Manchu Dynasty. Merchants who lost their

capital during the troublous times and who are now poor have no way

of retrieving their losses, while those who are rich are unwilling

to invest their money in industrial undertakings, fearing that

another civil war may break out at any moment, since they take the

recent abortive second revolution as their warning. In future, we

shall have disquietude every few years; that is whenever the

president is changed. Then our industrial and commercial condition

will be in a still worse condition. If our industries are not

developed, how can we expect to be strong? Take Mexico as a warning.

There is very little difference between that country and China,

which certainly cannot be compared with France and America.

Therefore I say there is no hope for China ever becoming rich.

Mr. Ko: Why is it that you say there is no hope for China having a

Constitutional Government?

Mr. Hu: A true republic must be conducted by many people possessing

general education, political experience and a certain political

morality. Its president is invested with power by the people to

manage the general affairs of the state. Should the people desire to

elect Mr. A their president to-day and Mr. B to-morrow, it does not

make much difference; for the policy of the country may be changed

together with the change of the president without there being any

danger of disorder or chaos following such change. We have a very

different problem to solve in China. The majority of our people do

not know what the republic is, nor do they know anything about a

Constitution nor have they any true sense of equality and freedom.

Having overthrown the Empire and established in its place a republic

they believe that from now on they are subservient to no one, and

they think they can do as they please. Ambitious men hold that any

person may be president, and if they cannot get the presidency by

fair means of election they are prepared to fight for it with the

assistance of troops and robbers. The second revolution is an

illustration of this point. From the moment that the Emperor was

deposed, the centralization of power in the government was

destroyed; and no matter who may be at the head of the country, he

cannot restore peace except by the re-establishment of the monarchy.

So at the time when the republic was formed, those who had

previously advocated Constitutional Government turned into

monarchists. Although we have a Provisional Constitution now and we

have all kinds of legislative organs, which give to the country an

appearance of a constitutional government, China has a

constitutional government in name only and is a monarchy in spirit.

Had the government refrained from exercising monarchical power

during the last four years, the people could not have enjoyed one

day of peace. In short, China's republic must be governed by a

monarchy through a constitutional government. If the constitutional

government cannot govern the republic, the latter cannot remain. The

question of constitutional government is therefore very important,

but it will take ten or twenty years before it can be solved.

Look at the people of China to-day! They know that something

terrible is going to come sooner or later. They dare not think of

the future. The corrupt official lines his pocket with unrighteous

money, preparing to flee to foreign countries or at least to the

Foreign Settlements for safety. The cautious work quietly and do not

desire to earn merit but merely try to avoid giving offence. The

scholars and politicians are grandiloquent and discourse upon their

subjects in a sublime vein, but they are no better than the corrupt

officials. As for our President, he can remain at the head of the

State for a few years. At most he may hold office for several

terms,--or perhaps for his whole life. Then questions must arise as

to who shall succeed him; how to elect his successor; how many

rivals will there be; whether their policies will be different from

his, etc., etc. He personally has no idea regarding the solution of

these questions. Even if the president is a sagacious and capable

man he will not be able to make a policy for the country or fix a

Constitution which will last for a hundred years. Because of this he

is driven merely to adopt a policy so as to maintain peace in his

own country and to keep the nation intact so long as he may live. In

the circumstances such a president can be considered the best

executive head we can have. Those who are worshippers of the

constitutional government cannot do more than he does. Here we find

the reason for the silence of the former advocates of a

constitutional administration. They have realized that by the

formation of the republic the fundamental problem of the country has

been left unsolved. In this wise it happens that the situation is

something like this. Whilst the country is governed by an able

president, the people enjoy peace and prosperity. But once an

incapable man assumes the presidency, chaos will become the order of

the day, a state of affairs which will finally lead to the overthrow

of the president himself and the destruction of the country. In such

circumstances, how can you devise a general policy for the country

which will last for a hundred years? I say that there is no hope for

China establishing a truly constitutional government.

Mr. Ko: In your opinion there is no hope for China becoming strong

and rich or for her acquiring a constitutional government. She has

no choice save ultimately to disappear. And yet is there no plan

possible whereby she may be saved?

Mr. Hu: If China wishes to save herself from ultimate disappearance

from the face of the earth, first of all she must get rid of the

republic. Should she desire wealth and strength, she must adopt a

constitutional government. Should she want constitutional government

she must first establish a monarchy.

Mr. Ko: How is it that should China desire wealth and strength she

must first adopt the constitutional form of government?

Mr. Hu: Wealth and strength is the object of the country, and a

constitutional government is the means to realizing this object. In

the past able rulers could accomplish their purpose without a

constitutional government. We refer to Emperor Wu of the Han Dynasty

and Emperor Tai Chung of the Tang Dynasty. However, when these able

rulers died their system of administration died with them. This

contention can be supported by numerous historical instances; but

suffice to say that in China as well as in Europe, the lack of a

constitutional government has been the cause of the weakness of most

of the nations in ancient times. Japan was never known as a strong

nation until she adopted a constitutional government. The reason is

this: when there is no constitutional government, the country cannot

continue to carry out a definite policy.

Within comparatively recent times there was born in Europe the

constitutional form of government. European nations adopted it, and

they became strong. The most dangerous fate that can confront a

nation is that after the death of an able ruler the system of

administration he has established disappears with him; but this the

constitutional form of government is able to avert. Take for

instance William I. of Germany who is dead but whose country

continues to this day strong and prosperous. It is because of

constitutional government. The same is true of Japan, which has

adopted constitutional government and which is becoming stronger and

stronger every day. The change of her executive cannot affect her

progress in respect of her strength. From this it is quite clear

that constitutional government is a useful instrument for building

up a country. It is a government with a set of fixed laws which

guard the actions of both the people and the president none of whom

can overstep the boundary as specified in the laws. No ruler,

whether be he a good man or a bad man, can change one iota of the

laws. The people reap the benefit of this in consequence. It is easy

to make a country strong and rich but it is difficult to establish a

constitutional government. When a constitutional government has been

established, everything will take care of itself, prosperity

following naturally enough. The adoption of a constitutional

government at the present moment can be compared to the problem of a

derailed train. It is hard to put the train back on the track, but

once on the track it is very easy to move the train. What we should

worry about is not how to make the country rich and prosperous, but

how to form a genuine constitutional government. Therefore I say

that if China desires to be strong and prosperous, she should first

of all adopt the constitutional form of government.

Mr. Ko: I do not understand why it is that a monarchy should be

established before the constitutional form of government can be

formed?

Mr. Hu: Because if the present system continues there will be

intermittent trouble. At every change of the president there will be

riot and civil war. In order to avert the possibility of such awful

times place the president in a position which is permanent. It

follows that the best thing is to make him Emperor. When that bone

of contention is removed, the people will settle down to business

and feel peace in their hearts, and devote their whole energy and

time to the pursuit of their vocations. It is logical to assume that

after the adoption of the monarchy they will concentrate their

attention on securing a constitutional government which they know is

the only salvation for their country. As for the Emperor, knowing

that he derives his position from the change from a republic, and

filled with the desire of pacifying the people, he cannot help

sanctioning the formation of the constitutional form of government

which in addition, will insure to his offspring the continuation of

the Throne. Should he adopt any other course, he will be exposed to

great personal danger. If he is broadminded, he will further

recognize the fact that if no constitutional form of government is

introduced, his policy will perish after his death. Therefore I say

that before the adoption of the constitutional form of government, a

monarchy should be established. William I. of Germany and the

Emperor Meiji of Japan both tried the constitutional form of

government and found it a success.

Mr. Ko: Please summarize your discussion.

Mr. Hu: In short, the country cannot be saved except through the

establishment of a constitutional form of government. No

constitutional government can be formed except through the

establishment of a monarchy. The constitutional form of government

has a set of fixed laws, and the monarchy has a definite head who

cannot be changed, in which matters lies the source of national

strength and wealth.

Mr. Ko: What you have said in regard to the adoption of the

constitutional monarchy as a means of saving the country from

dismemberment is quite true, but I would like to have your opinion

on the relative advantages and disadvantages of a republic and a

monarchy, assuming that China adopts the scheme of a monarchy.

Mr. Hu: I am only too glad to give you my humble opinion on this

momentous question.

Mr. Ko: You have said that China would be devastated by contending

armies of rival leaders trying to capture the presidency. At what

precise moment will that occur?

Mr. Hu: The four hundred million people of China now rely upon the

President alone for the protection of their lives and property. Upon

him likewise falls the burden of preserving both peace and the

balance of power in the Far East. There is no time in the history of

China that the Head of the State has had to assume such a heavy

responsibility for the protection of life and property and for the

preservation of peace in Asia; and at no time in our history has the

country been in greater danger than at the present moment. China can

enjoy peace so long as His Excellency Yuan Shih-kai remains the

President, and no longer. Should anything befall the President,

every business activity will at once be suspended, shops will be

closed, disquietude will prevail, people will become panic-stricken,

the troops uncontrollable, and foreign warships will enter our

harbours. European and American newspapers will be full of special

dispatches about the complicated events in China, and martial law

will be declared in every part of the country. All this will be due

to the uncertainty regarding the succession to the presidency.

It will be seen from the first section of this long and extraordinary

pamphlet how the author develops his argument. One of his major premises

is the inherent unruliness of Republican soldiery,--the armies of

republics not to be compared with the armed forces of monarchies,--and

consequently constituting a perpetual menace to good government. Passing

on from this, he lays down the proposition that China cannot hope to

become rich so long as the fear of civil war is ever-present; and that

without a proper universal education a republic is an impossibility. The

exercise of monarchical power in such circumstances can only be called

an inevitable development,--the one goal to be aimed at being the

substitution of Constitutional Government for the dictatorial rule. The

author deals at great length with the background to this idea, playing

on popular fears to reinforce his casuistry. For although constitutional

government is insisted upon as the sole solution, he speedily shows that

this constitutionalism will depend more on the benevolence of the

dictator than on the action of the people. And should his advice be not

heeded, when Fortune wills that Yuan Shih-kai's rule shall end, chaos

will ensue owing to the "uncertainty" regarding the succession.

Here the discussion reaches its climax--for the demand that salvation be

sought by enthroning Yuan Shih-kai now becomes clear and unmistakable.

Let the author speak for himself.

Mr. Ko: But it is provided in the Constitutional Compact that a

president must be selected from among the three candidates whose

names are now kept in a golden box locked in a stone room. Do you

think this provision is not sufficient to avert the terrible times

which you have just described?

Mr. Hu: The provision you have mentioned is useless. Can you find

any person who is able to be at the head of the state besides His

Excellency Yuan Shih-kai? The man who can succeed President Yuan

must enjoy the implicit confidence of the people and must have

extended his influence all over the country and be known both at

home and abroad. He must be able to maintain order, and then no

matter what the constitution provides, he will be unanimously

elected President. He must also be able to assure himself that the

two other candidates for the presidency have no hope for success in

the presidential campaign. The provision in the constitution, as

well as the golden casket in which the names of the three candidates

are kept which you have mentioned, are nothing but nominal measures.

Moreover there is no man in China who answers the description of a

suitable, successor which I have just given. Here arises a difficult

problem; and what has been specified in the Constitutional Compact

is a vain attempt to solve it. It is pertinent to ask why the

law-makers should not have made the law in such a way that the

people could exercise their free choice in the matter of the

presidential successor? The answer is that there is reason to fear

that a bad man may be elected president by manipulations carried out

with a masterly hand, thereby jeopardizing the national welfare.

This fear has influenced the constitution-makers to settle upon

three candidates from among whom the president must be elected. Then

it may be asked why not fix upon one man instead of upon three since

you have already deprived the people of part of their freedom? The

answer is that: there is not a single man whose qualifications are

high enough to be the successor. As it is, three candidates of equal

qualifications are put forward for the people to their selection. No

matter how one may argue this important question from the legal

point of view, there is the fact that the law makers fixed upon

three candidates for the presidency, believing that we do not

possess a suitable presidential successor. The vital question of the

day setting aside all paper talk, is whether or not China has a

suitable man to succeed President Yuan Shih-kai. Whether or not the

constitutional compact can be actually carried out in future I do

not know; but I do know that that instrument will eventually become

ineffective.

Mr. Ko: I desire a true picture of the chaos which you have hinted

will ensue in this country. Can you tell me anything along that

line?

Mr. Hu: In a time of confusion, the soldiers play the most

important part, virtuous and experienced and learned statesmen being

unable to cope with the situation. The only qualification which a

leader at such a time needs to possess is the control of the

military, and the ability to suppress Parliament. Should such a

person be made the president, he cannot long hold his enviable post

in view of the fact that he cannot possess sufficient influence to

control the troops of the whole country. The generals of equal rank

and standing will not obey each other, while the soldiers and

politicians, seeing a chance in these differences for their

advancement, will stir up their feelings and incite one another to

fight. They will fight hard among themselves. The rebels, who are

now exiles in foreign lands, taking advantage of the chaos in China,

will return in very little time to perpetrate the worst crimes known

in human history. The royalists who are in retirement will likewise

come out to fish in muddy waters. Persons who have the

qualifications of leaders will be used as tools to fight for the

self-aggrandizement of those who use them. I do not wish to mention

names, but I can safely predict that more than ten different parties

will arise at the psychological moment. Men who will never be

satisfied until they become president, and those who know they

cannot get the presidency but who are unwilling to serve others,

will come out one after another. Confusion and disturbance will

follow with great rapidity. Then foreign countries which have

entertained wild ambitions, availing themselves of the distressful

situation in China will stir up ill-feelings among these parties and

so increase the disturbances. When the proper time comes, various

countries, unwilling to let a single country enjoy the privilege of

controlling China, will resort to armed intervention. In consequence

the eastern problem will end in a rupture of the international

peace. Whether China will be turned at that time into a battleground

for the Chinese people or for the foreign Powers I cannot tell you.

It is too dreadful to think of the future which is enshrouded in a

veil of mystery. However, I can tell you that the result of this

awful turmoil will be either the slicing of China like a melon or

the suppression of internal trouble with foreign assistance which

will lead to dismemberment. As to the second result some explanation

is necessary. After foreign countries have helped us to suppress

internal disturbances, they will select a man of the type of Li Wang

of Korea, who betrayed his country to Japan, and make him Emperor of

China. Whether this man will be the deposed emperor or a member of

the Imperial family or the leader of the rebel party, remains to be

seen. In any event he will be a figurehead in whose hand will not be

vested political, financial and military power, which will be

controlled by foreigners. All the valuable mines, various kinds of

industries and our abundant natural resources will likewise be

developed by others. China will thus disappear as a nation. In

selecting a man of the Li Wang type, the aforesaid foreign countries

will desire merely to facilitate the acquisition of China's

territory. But there can be easily found such a man who bears

remarkable resemblance to Li Wang, and who will be willing to make a

treaty with the foreigners whereby he unpatriotically sells his

country in exchange for a throne which he can never obtain or keep

without outside assistance. His procedure will be something like

this: He will make an alliance with a foreign nation by which the

latter will be given the power to carry on foreign relations on

behalf of his country. In the eyes of foreigners, China will have

been destroyed, but the people will continue deceived and made to

believe that their country is still in existence. This is the first

step. The second step will be to imitate the example of Korea and

make a treaty with a certain power, whereby China is annexed and the

throne abolished. The imperial figurehead then flees to the foreign

country where he enjoys an empty title. Should you then try to make

him devise means for regaining the lost territory it will be too

late. For China will have been entirely destroyed by that time. This

is the second procedure in the annexation of Chinese territory. The

reason why that foreign country desires to change the republic into

the monarchy is to set one man on the throne and make him witness

the whole process of annexation of his country, thereby simplifying

the matter. When that time has come, the people will not be

permitted to make any comment upon the form of government suitable

for China, or upon the destruction of their country. The rebels who

raised the standard of the republic have no principles and if they

now find that some other tactics will help to increase their power

they will adopt these tactics. China's republic is doomed, no matter

what happens. If we do not change it ourselves, others will do it

for us. Should we undertake the change ourselves we can save the

nation: otherwise there is no hope for China to remain a nation. It

is to be regretted that our people now assume an attitude of

indifference, being reluctant to look forward to the future, and

caring not what may happen to them and their country. They are

doomed to become slaves after the loss of their national

independence.

Mr. Ko: I am very much frightened by what you have said. You have

stated that the adoption of a constitutional monarchy can avert such

terrible consequences; but is there not likely to be disturbance

during the change of the republic to monarchy, since such

disturbance must always accompany the presidential election?

Mr. Hu: No comparison can be formed between these two things. There

may be tumult during the change of the form of government, but it

will be better in comparison with the chaos that will some day ensue

in the republic. There is no executive head in the country when a

republic endeavours to select a presidential successor. At such a

time, the ambitious try to improve their future, while the patriotic

are at a loss now to do anything which will assist in the

maintenance of order. Those who are rebellious rise in revolt while

those who are peace-loving are compelled by circumstances to join

their rank and file. Should the form of government be transformed

into a monarchical one, and should the time for change of the head

of the state come, the successor having already been provided for,

that will be well-known to the people. Those who are patriotic will

exert their utmost to preserve peace, and as result the

heir-apparent can peacefully step on the throne. There are persons

who will contend for the office of the President, but not for the

throne. Those who contend for the office of President do not commit

any crime, but those who try to seize the throne are rebels. Who

dares to contend for the Throne?

At the time of the change of the president in a republic, ambitious

persons arise with the intention of capturing this most honourable

office, but not so when the emperor is changed. Should there be a

body of persons hostile to the heir-apparent, that body must be very

small. Therefore I say that the enemies of a succeeding Emperor are

a few, whilst there are many in the case of a presidential

successor. This is the first difference.

Those who oppose the monarchy are republican enthusiasts or persons

who desire to make use of the name of the republic for their own

benefit. These persons will raise trouble even without the change of

the government. They do not mind disturbing the peace of the country

at the present time when the republic exists. It is almost certain

that at the first unfurling of the imperial flags they will at once

grasp such an opportune moment and try to satisfy their ambition.

Should they rise in revolt at the time when the Emperor is changed

the Government, supported by the loyal statesmen and officials,

whose interests are bound up with the welfare of the imperial family

and whose influence has spread far and wide, will be able to deal

easily with any situation which may develop. Therefore I declare

that the successor to the throne has more supporters while the

presidential successor has few. This is the second difference

between the republic and the constitutional monarchy.

Why certain persons will contend for the office of the President can

be explained by the fact that there is not a single man in the

country whose qualifications are above all the others. Succession to

the throne is a question of blood-relation with the reigning

Emperor, and not a question of qualifications. The high officials

whose qualifications are unusually good are not subservient to

others but they are obedient to the succeeding Emperor, because of

their gratitude for what the imperial family has done for them, and

because their well-being is closely associated with that of the

imperial household. I can cite an historical incident to support my

contention. Under the Manchu Dynasty, at one time General Chu

Chung-tang was entrusted with the task of suppressing the Mohammedan

rebellion. He appointed General Liu Sung San generalissimo. Upon the

death of General Liu, Chu Chung-tang appointed his subordinate

officers to lead the army but the subordinate officers competed for

power. Chu Chung-tang finally made the step-son of General Liu the

Commander-in-Chief and the officers and soldiers all obeyed his

order as they did his father's. But it may be mentioned that this

young man was not more able than any of his father's subordinate

commanders. Nevertheless prestige counted. He owed his success to

his natural qualification, being a step-son to General Liu. So is

the case with the emperor whose successor nobody dares openly to

defy--to say nothing of actually disputing his right to the throne.

This is the third difference between the republic and the monarchy.

I will not discuss the question: as to whether there being no

righteous and able heir-apparent to succeed his Emperor-father,

great danger may not confront the nation. However, in order to

provide against any such case, I advocate that the formation of a

constitutional government should go hand in hand with the

establishment of the monarchy. At first it is difficult to establish

and carry out a constitutional government, but once it is formed it

will be comparatively easy. When the constitutional government has

been established, the Emperor will have to seek his fame in such

useful things as the defence of his country and the conquest of his

enemy. Everything has to progress, and men possessing European

education will be made use of by the reigning family. The first

Emperor will certainly do all he can to capture the hearts of the

people by means of adopting and carrying out in letter as well as in

spirit constitutional government. The heir-apparent will pay

attention to all new reforms and new things. Should he do so, the

people will be able to console themselves by saying that they will

aways be the people of a constitutional monarchy even after the

succession to the throne of the heir-apparent. When the time comes

for the heir-apparent to mount the throne the people will extend to

him their cordial welcome, and there will be no need to worry about

internal disturbances.

Therefore, I conclude that the successor to the presidential chair

has to prevent chaos by wielding the monarchical power, while the

new emperor can avert internal disquietude forever by means of his

constitutional government. This is the fourth difference between the

republic and the monarchy. These four differences are accountable

for the fact that there will not be as much disturbance at the time

of the change of emperors as at the time when the president is

changed.

Mr. Ko: I can understand what you have said with regard to the

advantages and disadvantages of the republic and the monarchy, but

there are many problems connected with the formation of a

constitutional monarchy which we have to solve. Why is it that the

attempt to introduce constitutional government during the last years

of the Manchu Dynasty proved a failure?

Mr. Hu: The constitutional government of the Manchu Dynasty was one

in name only, and as such the forerunner of the revolution of 1911.

Towards the end of the Manchu Dynasty, the talk of starting a

revolution to overthrow the imperial régime was in everybody's

mouth, although the constitutional party endeavoured to accomplish

something really useful. At that time His Excellency Yuan Shih-kai

was the grand chancellor, and realizing the fact that nothing except

the adoption of a constitutional government could save the throne of

the Manchus, he assumed the leadership of the constitutional party,

which surpassed in strength the revolutionary party as a result of

his active support. The people's hearts completely turned to the

constitutional party for salvation, while the revolutionary party

lost that popular support which it had formerly enjoyed. Then it

seemed that the imperial household would soon adopt the

constitutional monarchy and the threatening revolution could be

averted. Unfortunately, the elaborate plans of His Excellency Yuan

Shih-kai regarding the adoption of the constitutional government

were not carried out by the imperial household. A great change took

place: His Excellency retired to his native province; and after

losing this powerful leader the constitutional party was pitilessly

shattered. A monarchist party suddenly made its appearance on the

political arena to assist the imperial family, which pretended to do

its very best for the development of a constitutional government,

but secretly exerted itself to the utmost for the possession and

retention of the real power. This double-dealing resulted in

bringing about the revolution of 1911. For instance, when the people

cried for the convening of a parliament, the imperial family said

"No." The people also failed to secure the abolition of certain

official organs for the imperialists. They lost confidence in the

Reigning House, and simultaneously the revolutionary party raised

its banner and gathered its supporters from every part of the

country. As soon as the revolt started at Wuchang the troops all

over the country joined in the movement to overthrow the Manchu

Dynasty. The members of the Imperial Senate, most of whom were

members of the constitutional party, could not help showing their

sympathy with the revolutionists. At last the imperial household

issued a proclamation containing Nineteen Articles--a veritable

_magna charta_--but it was too late. The constitutional government

which was about to be formed was thus laid aside. What the imperial

family did was the mere organization of an advisory council. A

famous foreign scholar aptly remarked: "A false constitutional

government will eventually result in a true revolution." In trying

to deceive the people by means of a false constitutional government

the imperial house encompassed its own destruction. Once His

Excellency Yuan Shih-kai stated in a memorial to the throne that

there were only two alternatives: to give the people a

constitutional government or to have them revolt. What happened

afterwards is a matter of common knowledge. Therefore I say that the

government which the imperial family attempted to form was not a

constitutional government.

Mr. Ko: Thank you for your discussion of the attempt of the imperial

household to establish a constitutional government; but how about

the Provisional Constitution, the parliament and the cabinet in the

first and second years of the Republic? The parliament was then so

powerful that the government was absolutely at its mercy, thereby

disturbing the peaceful condition of the country. The people have

tasted much of the bitterness of constitutional government. Should

you mention the name of constitutional government again they would

be thoroughly frightened. Is that true?

Mr. Hu: During the first and second years of the Republic, in my

many conversations with the members of the Kuo Ming Tang, I said

that the republic could not form an efficient method of control, and

that there would be an over centration of power through the adoption

of monarchical methods of ruling, knowing as well as I did the

standards of our people. When the members of the Kuo Ming Tang came

to draw up the Provisional Constitution they purposely took

precisely the opposite course of action and ignored my suggestion.

It may, however, be mentioned that the Provisional Constitution made

in Nanking was not so bad, but after the government was removed to

Peking, the Kuo Ming Tang people tied the hand and foot of the

government by means of the Cabinet System and other restrictions

with the intention of weakening the power of the central

administration in order that they might be able to start another

revolution. From the dissolution of the Nanking government to the

time of the second revolution they had this one object in view,

namely to weaken the power of the central administration so that

they could contend for the office of the president by raising

further internal troubles in China. Those members of the Kuo Ming

Tang who made the constitution know as well as I that China's

republic must be governed through a monarchical administration; and

therefore the unreasonable restrictions in the Provisional

Constitution were purposely inserted.

Mr. Ko: What is the difference between the constitutional government

which you have proposed and the constitutional government which the

Manchu Dynasty intended to adopt?

Mr. Hu: The difference lies in the proper method of procedure and in

honesty of purpose, which are imperative if constitutional

government expects to be successful.

Mr. Ko: What do you mean by the proper method of procedure?

Mr. Hu: The Provisional Constitution made in Nanking, which was

considered good, is not suitable for insertion in the future

constitution, should a constitutional monarchy be established. In

making a constitution for the future constitutional monarchy we have

to consult the constitutions of the monarchies of the world. They

can be divided into three classes which are represented by England,

Prussia and Japan. England is advanced in its constitutional

government, which has been in existence for thousands of years,

(_sic_) and is the best of all in the world. The English king enjoys

his empty title and the real power of the country is exercised by

the parliament, which makes all the laws for the nation. As to

Prussia, the constitutional monarchy was established when the people

started a revolution. The ruler of Prussia was compelled to convene

a parliament and submitted to that legal body a constitution.

Prussia's constitution was made by its ruler together with the

parliament. Its constitutional government is not so good as the

English. As to the Japanese constitutional monarchy, the Emperor

made a constitution and then convened a parliament. The

constitutional power of the Japanese people is still less than that

of the Prussian people. According to the standard of our people we

cannot adopt the English constitution as our model, for it is too

advanced. The best thing for us to do is to adopt part of the

Prussian and part of the Japanese in our constitution-making. As our

people are better educated now than ever before, it is decidedly

unwise entirely to adopt the Japanese method, that is, for the

Emperor to make a constitution without the approval of the

parliament and then to convoke a legislative body. In the

circumstances China should adopt the Prussian method as described

above with some modifications, which will be very suitable to our

conditions. As to the contents of the constitution we can copy such

articles as those providing the right for the issue of urgent orders

and appropriation of special funds, etc., from the Japanese

Constitution, so that the power of the ruler can be increased

without showing the slightest contempt for the legislative organ. I

consider that this is the proper method of procedure for the

formation of a constitutional monarchy for China.

Mr. Ko: Can I know something about the contents of our future

constitution in advance?

Mr. Hu: If you want to know them in detail I recommend you to read

the Constitutions of Prussia and Japan. But I can tell you this

much. Needless to say that such stipulations as articles

guaranteeing the rights of the people and the power of the

parliament will surely be worked into the future constitution. These

are found in almost every constitution in the world. But as the

former Provisional Constitution has so provided that the power of

the parliament is unlimited, while that of the president is very

small, the Chief Executive, besides conferring decorations and

giving Orders of Merit, having almost nothing to do without the

approval of the Senate, it is certain that nothing will be taken

from that instrument for the future constitution. Nor will the

makers of the future constitution take anything from the nineteen

capitulations offered by the Manchu Government, which gave too much

power to the legislative organ. According to the Nineteen Articles

the Advisory Council was to draw up the constitution, which was to

be ratified by the parliament; the Premier being elected by the

parliament; whilst the use of the army and navy required the

parliament's sanction; the making of treaties with foreign countries

have likewise to be approved by the parliament, etc., etc. Such

strict stipulations which are not even known in such an advanced

country in matters constitutional as England were extorted from the

imperial family by the advisory council. Therefore it is most

unlikely that the makers of the future constitution will take any

article from the nineteen capitulations of "confidence." They will

use the Constitutions of Japan and Prussia as joint model and will

always have in their mind the actual conditions of this country and

the standard of the people. In short, they will copy some of the

articles in the Japanese constitution, and adopt the Prussian method

of procedure for the making of the constitution.

Mr. Ko: What do you mean by honesty?

Mr. Hu: It is a bad policy to deceive the people. Individually the

people are simple, but they cannot be deceived collectively. The

Manchu Government committed an irretrievable mistake by promising

the people a constitutional government but never carrying out their

promise. This attitude on the part of the then reigning house

brought about the first revolution. As the standard of our people at

the present time is not very high, they will be satisfied with less

power if it is properly given to them. Should any one attempt to

deceive them his cause will finally be lost. I do not know how much

power the people and the parliament will get in the constitutional

monarchy, but I would like to point out here that it is better to

give them less power than to deceive them. If they are given less

power, and if they want more, they will contend for it. Should the

government deem it advisable to give them a little more, well and

good. Should they be unfit for the possession of greater power, the

government can issue a proclamation giving the reasons for not

complying with their request, and they will not raise trouble

knowing the true intention of the government. However, honesty is

the most important element in the creation of a constitutional

monarchy. It is easy and simple to practise it. The parliament must

have the power to decide the laws and fix the budgets. Should its

decision be too idealistic or contrary to the real welfare of the

country, the Government can explain its faults and request it to

reconsider its decision. Should the parliament return the same

decision, the Government can dissolve it and convoke another

parliament. In so doing the Government respects the parliament

instead of despising it. But what the parliament has decided should

be carried out strictly by the Government, and thus we will have a

real constitutional Government. It is easy to talk but difficult to

act, but China like all other countries has to go through the

experimental stage and face all kinds of difficulties before a

genuine constitutional government can be evolved. The beginning is

difficult but once the difficulty is over everything will go on

smoothly. I emphasize that it is better to give the people less

power at the beginning than to deceive them. Be honest with them is

my policy.

Mr. Ko: I thank you very much for what you have said. Your

discussion is interesting and I can understand it well. The proper

method of procedure and honesty of purpose which you have mentioned

will tend to wipe out all former corruption.

Mr. Ko, or the stranger, then departed.

On this note the pamphleteer abruptly ends. Having discussed _ad

nauseam_ the inadequacy of all existing arrangements, even those made by

Yuan Shih-kai himself, to secure a peaceful succession to the

presidency; and having again insisted upon the evil part soldiery cannot

fail to play, he introduces a new peril, the certainty that the foreign

Powers will set up a puppet Emperor unless China solves this problem

herself, the case of Korea being invoked as an example of the fate of

divided nations. Fear of Japan and the precedent of Korea, being

familiar phenomena, are given a capital position in all this debate,

being secondary only to the crucial business of ensuring the peaceful

succession to the supreme office. The transparent manner in which the

history of the first three years of the Republic is handled in order to

drive home these arguments will be very apparent. A fit crown is put on

the whole business by the final suggestion that the Constitutional

Government of China under the new empire must be a mixture of the

Prussian and Japanese systems, Yang Tu's last words being that it is

best to be honest with the people!

No more damning indictment of Yuan Shih-kai's régime could possibly have

been penned.

The Fight for the Republic in China(#14345) · 第 1 / 11 章