Mr. Conger to Mr. Hay.
Peking, China, February 18, 1901.
Sir: I have the honor to report that on the 16th the question of indemnities was taken up by the foreign ministers and discussed generally, [Page 87] developing the fact, which from private conversations was already evident, that there are nearly as many different opinions as there are ministers.
I suggested the adoption of a lump sum which should be within the ability of China to pay, and as this would evidently be not sufficient to pay the demands in full, each power would have to agree to a scaling down proportionate to their claims.
This does not meet with the approval of my colleagues. All say they have no instructions as to this method, and none of them, except the Japanese, seem really to favor it. * * * The German minister insists that China is able to pay the entire amount of all demands, and that his Government will require full compensation for all their expenditures and losses.
It is understood by all that the war indemnities or expenses must be fixed by the Governments themselves, but the information sought in the telegram confirmed herewith was deemed important by all of my colleagues. Some of them believe that special indemnities-should be demanded for the legation guards who were killed or wounded during the siege, on the ground that they were here by consent of the Chinese Government. But if this rule should be applied, then it should also be extended to those killed and wounded in the column of Seymour and McCalla; and from these it is but a very short and hardly distinguishable step to all soldiers, sailors, and marines who were anywhere engaged in the expedition. It seems to me, therefore, that all soldiers, sailors, and marines should be treated alike.
You will note in the private claims sent you that all sorts of impossible demands are made. Without definite instructions I understand that the general practice of the United States in the matter of the presentation of private claims is that—
- (1)
- Claims arising out of nonfulfillment of contracts with a foreign government are not usually pressed;
- (2)
- That remote, consequential, or speculative damages or anticipated profits are not chargeable;
- (3)
- That interest oh claims is not allowable.
I also observe, in view of the plain agreement in our treaty, that China will defend our citizens from “all insult or injury of any sort;” that our Government has at times gone further in demanding indirect damages from the Chinese than it probably would have done without this treaty provision.
The question whether each legation should undertake to examine the claims of its own nationals, instead of having recourse to a mixed commission for the investigation of international claims, has been somewhat discussed, and it is the general opinion of the ministers that each legation or Government should investigate and pass upon the claims of its own people.
If this plan is adopted it will be necessary that some general principles upon which all private claims shall be based should be agreed to and followed by all the Governments. This question will be soon taken up for discussion.
I have, etc.,