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ARTICLE 11. If within fifteen days after receipt of the proposal by the principal agency, the said agency should not have refused or returned the first premium delivered by the insurer or depositor, the policy shall be regarded as in force, just as if it had been definitely issued, and under no pretext can the company refuse it.

ARTICLE 12. The calculation and liquidation of the losses and claims of the assured or depositors must likewise be attended to by the principal agencies established in Chile.

ARTICLE 13. This principal agency shall be the legal representative for all questions before the courts relative to operations made in Chile, which, in every case, shall be decided by the Chilean courts, and under no pretext can the company raise the defence that it is sued in a foreign country and not in its domicile.

ARTICLE 14. Agencies of foreign life insurance companies or agencies receiving deposits in the form of savings shall expend in Government bonds or bonds of land banks, the total amount of their receipts for premiums on policies in force in Chile, and shall deposit that amount in the mint, in accordance with the provisions of article 3.

ARTICLE 15. The deposit established by article 14 shall be made in twelve equal monthly dividends to date from the promulgation of this law.

ARTICLE 16. The deposit established by this law may in whole or in part be replaced by its value in real estate purchased by the principal agency, which can not be mortgaged or affected by obligations of any kind, or by sale without judicial authorization, and in order to pay the losses which have occurred in Chile.

This real estate shall be kept constantly insured in a company distinct from the one to which it belongs.

ARTICLE 17. The agencies of foreign life insurance companies which do not make the deposit established by article 14 are regarded as unauthorized, and if they issue any policies, the same shall be null and void, and the agent who issues them shall be subject to the penalty established in article 2.

Agencies which are placed in this situation can not do in Chile any other business than that connected with or corresponding to the policies issued before the promulgation of this law.

ARTICLE 18. Within six months from the date of the promulgation of this law, the President of the Republic shall issue for its execution a set of regulations in which fines may be established to the amount of 1,000 pesos, which in every case shall be applied by the regular courts of justice.

ARTICLE 19. The agency which, in any half year, does not deposit the amounts required by this law, either to complete its capital, or corresponding to the reserve fund, or to the premiums on life-insurance policies, is immediately disqualified from continuing to do business in any other form under the penalties established in arti

cle 17.

In order to become rehabilitated, a new authorization of the President of the Republic is required, after the deposit of all the amounts in arrear.

ARTICLE 20. The present law shall be in force in all parts of the Republic, from the date of its publication in the official journal.

Santiago, April 23, 1896.

JORGE MONTT.
H. PEREZ DE ARCE.

CHINA.

SETTLEMENT OF CLAIMS GROWING OUT OF THE SZECHUAN

No. 2479.]

RIOTS.

Mr. Denby to Mr. Olney.

LEGATION OF THE UNITED STATES,

Peking, February 14, 1896. (Received April 3.)

SIR: I have the honor to inform you that I have received from Consul Child a claim against the Government of China, which was filed in his consulate by Rev. George Warner, of the American Baptist Missionary Union, a copy of which is inclosed.

Clause 134, Article XII, of the personal instructions, requires that diplomatic agents shall, with rare exceptions, seek previous instructions from the Department before presenting to the Government to which they are accredited any claim for collection. I have strictly observed this rule, and have filed without previous instructions such claims only as clearly came within the exceptions. The rule has often proved beneficial in its operation, serving to prevent the presentation of speculative or doubtful demands.

A careful consideration of the claims now presented for your instruction will show that they come under the head of consequential or remote damages, about the allowance whereof in actions for tort there has been much discussion in the courts. The theory underlying the claims is that the parties mentioned, who are members of the American Baptist Missionary Union, were compelled by riotous proceedings in Szechuan to leave their homes and go elsewhere to secure personal safety, and were there put to great expense. Take, as an example, the first case, that of Dr. C. H. Finch, wife and family. He was forced to go to Shanghai, and the Union charges for "traveling expenses to Shanghai and return, $350; six months' house rent and extra incidental expenses, $500; six months' lost time, salary at $125 per month, $750," amounting to $1,600 for Dr. Finch.

Besides these items there is attached to some of the schedules the statement, "Losses on property not yet estimated." In other items the losses on property are "estimated." One of the schedules contains charges for expenses in traveling to Chungking and return. One contains charges for "two passages to America, $700.”

The argument in favor of the allowance of these claims is made in the second inclosure, and it is not therefore necessary for me to present it. Relying on your better judgment, I need say little. Charges similar to those made in the claims now presented have been bruited during my stay here.

* ** **

I therefore ask your specific instructions as to what items in the claims herewith inclosed I shall present for payment, if any.

I have, etc.,

CHARLES DENBY.

[Inclosure 1 in No. 2479.]

Claims made by the American Baptist Missionary Union against the Chinese Government for losses sustained during the riots of May and June, 1895, in the Province of Szechuan, at Su-chau-fu (Sui-fu).

Dr. C. H. Finch, wife and family:

Enforced traveling expenses to Shanghai and return..
Six months' honse rent and extra incidental expenses.
Six months' lost time, salary at $125 per month..
Robert Wellwood, wife and family:

Enforced traveling expenses to Shanghai and return..
Six months' house rent and extra incidental expenses.
Six months' lost time, salary at $125 per month.......
Miss B. G. Forbes:

Enforced traveling expenses to Shanghai and return..
Six months' house rent and extra incidental expenses.
Four months' lost time, salary at $62.50.......

George Warner and wife:

Enforced traveling expenses to Shanghai....

Six months' rent and extra incidental expenses.
Six months' lost time, salary $75 per month
Six months' rent on two houses at Suifu..

Total...

$350

500

750

350

500

750

175

200

250

359

270

450

85

6,205

Losses on property not yet estimated.

C. F. Viking, wife and family:

KIA-TING FU.

Enforced traveling expenses to Shanghai and return.
Six months' rent and extra incidental expenses.
Six months' lost time, salary at $100 per month.
W. P. Beaman:

Enforced traveling expenses to Shanghai and return.
Six months' rent and extra incidental expenses.
Six months' lost time, salary at $75 per month..
C. A. Salquist:

Enforced traveling expenses to Shanghai and return.
Six months' rent and extra incidental expenses.
Six months' lost time, salary at $75 per month..
Six months' rent on houses destroyed at Kia-ting Fu..
Losses on property at Kia-ting Fu (estimated)

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Enforced traveling expenses to Shanghai and return.
Six months' rent and extra incidental expenses.
Six months' lost time, at $100 per month...
F. J. Bradshaw:

Enforced traveling expenses to Shanghai and return.
Six months' rent and extra incidental expenses.
Six months' lost time, salary at $75 per month..
Miss F. C. Bliss:

Enforced traveling expenses to Shanghai and return.
Six months' rent and extra incidental expenses
Six months' lost time, salary at $62.50

W. M. Uperaft:

400

450

600

200

225

450

200

225

450

250

1,000

4,450

450

500

600

225

225

450

225

225

375

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Losses at Ya-chon Fu not yet estimated.

Made on behalf of the American Baptist Missionary Union by

GEO. WARNER,
A. B. M. U., Ningpo, China.

UNITED STATES CONSULATE-GENERAL,
Shanghai, October 21, 1895.

Sworn to and subscribed before me the day and year above written.

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In filing the above claims on behalf of the American Baptist Missionary Union, I would respectfully call attention to the following facts showing the justice thereof: 1. Owing to the extensive antiforeign riots in the province of Szechuan, beginning at Chengtu on May 29, 1895, and sweeping over the whole western part of the province, all missionaries of the American Baptist Missionary Union stationed at Sui-fu, Kia-ting, and Ya-chou were compelled to leave their homes and their work and seek safety in Shanghai.

2. As a direct result of the riots, the American Baptist Missionary Union has already been forced to pay for traveling of the missionaries the sum of $1,400, and to cover incidental expenses and return to their stations, at the lowest estimates, will require an outlay of $3,275.

3. Furthermore, the missionaries of the American Baptist Missionary Union were settled in their respective stations at the time of the riots, engaged in the perforinance of the duties for which they were sent out, and, because of lack of protection and the turbulent state of the province, the work of the American Baptist Missionary Union has not only been broken up, but the missionaries have been denied the privilege of service for which they have been paid. It seems a just claim for the Union to ask indemnity for amount of salaries during this time which has been lost to the work of the Union. If the condition of the province will allow of their return with low water on the Yangtse, the lowest estimate on this will be six months' lost time to the mission-June 1 to December 31-the earliest possible date of their reaching their mission stations. We, therefore, ask reimbursement for this lost time of six months, as per schedule in statement of claims.

4. An estimate for property losses for Sui-fu and Ya-chou can not be made until the return of the members of said stations. When the members arrive losses, if any, will be reported.

5. Some damage has been done to our summerhouses; also, personal effects have been stolen. We beg to note that no claim has been made for such losses owing to the fact that we can not estimate the amount each one has lost until someone returns and investigates the matter. As soon as we can return and look the field over, a report of claims will be sent in to the proper authorities.

6. Once more. Owing to the great nervous strain from the imminent danger to which our missionaries were exposed, two of our party are incapacitated for work and, under the advice of physicians, are compelled to return to America for rest. This has entailed upon the Union the additional expense of $700, for which claim is made.

7. Sui-fu and Ya-chou. It ought to be recorded in honor of the local officials in these places that they did all within their power to protect the missionaries and their property. But the lack of authority at the capital, Chengtu, and the encouragement given by the viceroy to the rioters in all parts of the province rendered the efforts of the Sui-fu and Ya-chou officials ineffective in affording protection. 8. For further explanations and particulars reference is given to the accompanying documents.

No. 2496.]

Mr. Denby t Mr. Olney.

LEGATION OF THE UNITED STATES, Peking, March 24, 1896. (Received April 30.) SIR: I have the honor to inclose herewith a translation of a communication from the Tsung-li Yamên concerning the agreement made by the members of the Szechuan commission and the Chinese officials as to the payment of the claims of the American Methodist Mission.

I inclose, also, a copy of my answer to this communication. It will be seen that the Yamên is ready to take up the claims of the Southern Baptists' Union, which were not presented by the commission.

In my dispatch No. 2479, of February 14, 1896, I transmitted to you a copy of the claim of the Southern Baptists' Union and asked instruc tions as to whether I should present it in the form in which it reached me. Since the date of that dispatch I have written to the consul at Hankow to procure from the claimants a more accurate and definite statement. It is quite likely that the claims would have been allowed if they had been presented at Chengtu by the American commission, but it is, on the other hand, most probable that claims made for "enforced traveling to Shanghai and return," "extra incidental expenses," "two passages to America"-for which you see the dispatch cited-if presented by me to the Yamên, will meet with vigorous objection.

The bill on its face shows that some of the missionaries only went to Chungking, and for these the charge for traveling expenses is only $100, while others went to Shanghai at a cost of $350, and two went from Chungking to America at a cost of $700.

I await your instructions.
I have, etc.,

CHARLES DENBY.

[Inclosure 1 in No. 2496.]

The Tsung-li Yamén to Mr. Denby.

PEKING, March 19, 1896.

YOUR EXCELLENCY: In September last we received a dispatch from you announcing the appointment of three officials-Messrs. Read, Barber, and Cheshire-as a commission to proceed to Szechuan to investigate the missionary cases in that province, and this Government ordered the provincial judge of the province to cooperate with them.

We have now received a dispatch from the governor-general of Szechuan stating that the judge and the taotai in charge of the bureau of foreign affairs have made a joint report as follows:

On the 28th of May, 1895, at the English dispensary in Chengtu, near the Shrine of the Four Sacred Men, a dispute arose with the populace, leading to a row in which the dispensary was destroyed. Rowdies profited of the incident to stir up trouble, and the disturbance was resumed on the next day at the chapel on Shensi street. These inci dents were reported in a memorial, and thereafter the most active leaders were arrested, of whom Wang Shui-ting and five others were tried and were reported to the Throne for execution.

Just as the question of indemnity was under consideration we learned that the American Government had ordered Mr. Read and his fellowcommissioners to come to Szechuan to investigate these matters. In connection therewith the Tsung-li Yamên detailed the provincial judge of this province to cooperate with said commissioners in their investi gations and also ordered the taotai Lai Ho-nien to enter the bureau of foreign affairs as director. Mr. Read and his companions arrived at the capital of Szechuan on the 15th of last December. The judge and the taotai fixed a time for a conference and were engaged with them in deliberations daily until the 28th December. By that date a conclusion had been arrived at between them as to the chapel on Shensi street, where the damage to house and furniture had been comparatively heavy, and as to the missionaries at Silver Hill, in Lin Shui department, who had suffered from fright. Both these cases were of the FR 96- -4

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