861.77/1080: Telegram

The Chargé in Japan (Atherton) to the Acting Secretary of State

French Ambassador informs me that the American note, Department’s August 30, 4 p.m., was received by the Japanese Government with considerable resentment. The French Ambassador reached the conclusion, after conversation at Foreign Office, that the Minister for Foreign Affairs appears favorable [apparently?] saw no underlying principle in the note other than a series of minor disagreements between Semenoff, American engineers, and certain Japanese military commanders. Minister for Foreign Affairs stated that these explanations [disagreements?] were being investigated but [Page 581] a long time must elapse before a reply could be given, and further stated that the use of the word “aggrandizement” in the note was without apparent basis.

Vernacular press reports that the Diplomatic Advisory Council has been discussing whether Japan shall take single-handed action in continuing to increase her forces in Siberia or withdraw to the borders of Manchuria and Mongolia for preventing the spread of Bolshevik influence.

Press further reports that the Government has decided not to change its previous decision to make its participation in the consortium conditional upon the exclusion of Manchuria and Mongolia.

Atherton