861.77/1907: Telegram

The Acting President of the Technical Board (Johnson) to the Acting Secretary of State

Five thousand Kappel army unloaded and marched east from Pogranichnaya, 5,000 refuse to go east trying to go west, remaining [Page 727] 5,000 will go east; whole army entirely demoralized. Manchuria Station frontier still closed waiting for decision from the Chinese Government. In December Chinese Eastern received 1,000,000 yen due from Japanese Army and half a million gold roubles from the Kappel movement which will pull railway through to the middle of January; [heavy] fuel payments in January necessitate outside assistance before long. Chang Tso Lin interests influenced by Tokyo desperately trying to eliminate unfriendly Chinese members of railway board of directors including Dr. Wang, Chinese representative [on] Technical Board. Chinese-Russian board of directors merely intriguing, accomplishing nothing to relieve railway situation which condition strengthening position of the Technical Board.

Johnson