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 Shangtung 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.
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