File No. 793.94/288.

Minister Reinsch to the Secretary of State.

[Telegram—Extract.]

At yesterday’s meeting residence in Manchuria was further discussed, China holding that taxes and police regulations should apply equally to Japan, Japanese residents and Chinese citizens, while the Japanese demanded the right of veto in these matters.

Passing to Group V, Japanese Minister presented a paper containing an additional demand in Fukien namely the concession of coal mines at Anki. The Minister for Foreign Affairs refused to receive this document stating that his Government could not enter upon a discussion of any demands in Group V or in extension thereof as they were inconsistent with national independence and treaty obligations. * * * Japanese Minister withdrew the paper and declared that he could only report the attitude of the Chinese Government to his own.

Reinsch.