the agreement in 1904 after the company (which was indemnified for the revocation) breached the agreement by selling a majority stake outside the United States. The Chinese imperial government got the money for the indemnity from the British Hong Kong government, on condition British subjects would be favored if foreign capital was needed to build the railroad line, and in 1909, a British-led consortium began negotiations. This came to Knox's attention in May of that year, and he demanded that U.S. banks be allowed to participate. Taft appealed personally to the Prince Regent, Zaifeng, Prince Chun, and was successful in gaining U.S. participation, though agreements were not signed until May 1911. However, the Chinese decree authorizing the agreement also required the nationalization of local railroad companies in the affected provinces. Inadequate compensation was paid to the shareholders, and these grievances were among those which touched off the Chinese Revolution of 1911. After the revolution broke out, the revolt's leaders chose Sun Yat-sen as provisional president of what became the Republic of China, overthrowing the Manchu dynasty, Taft was reluctant to recognize the new government, although American public opinion was in favor of it. The U.S. House of Representatives in February 1912 passed a resolution supporting a Chinese republic, but Taft and Knox felt recognition should come as a concerted action by Western powers. Taft in his final annual message to Congress in December 1912 indicated that he was moving towards recognition once the republic was fully established, but by then he had been defeated for reelection and he did not follow through. Taft continued the policy against immigration from China and Japan as under Roosevelt. A revised treaty of friendship and navigation entered into by the U.S. and Japan in 1911 granted broad reciprocal rights to Japanese people in America and Americans in Japan, but were premised on the continuation of the Gentlemen's Agreement. There was objection on the West Coast when the treaty was submitted to the Senate, but Taft informed politicians that there was no change in immigration policy. Europe Taft was opposed to the traditional practice of rewarding wealthy supporters with key ambassadorial posts, preferring that diplomats not live in a lavish lifestyle and selecting men who, as Taft put it, would recognize an American when they saw one. High on his list for dismissal was the ambassador to France, Henry White, whom Taft knew and disliked