893.51/2308: Telegram

The Ambassador in France (Wallace) to the Acting Secretary of State

1087. Pursuant to Department’s telegraphic instruction 8804, July 1, I have handed to Minister for Foreign Affairs the suggested formula for interpretation of the Bankers Agreement of May 12th and in course of interview with Mr. Pichon advanced Department’s suggestion relative to inadmissibility exclusion of Mongolia and Manchuria. Mr. Pichon, though expressing certainty as to ultimate [Page 466] accord with United States on all matters relating to consortium, deferred official reply until consultation with technicians [sic].

Subsequent informal discussions on this matter at the Foreign Office show that the text is acceptable to the French Government although I have not yet received official confirmation.

As regards making representations with the American and British Governments to the Japanese Government regarding an exclusion of Mongolia and Manchuria, the Foreign Office seems disposed to move with considerable caution and though it appears favorable to the policy [of] not permitting the exclusion of these two regions, nevertheless is not disposed to take such steps as would risk excluding Japan from the consortium. I learn that the Foreign Office is in consultation on this subject with other departments of the French Government and with the British as well and until hearing from these will not make a definite answer on this point.

Wallace