893.51/2173: Telegram

The Minister in China (Reinsch) to the Acting Secretary of State

Your April 9, 6 p.m. This matter has received serious consideration. I have [learned] through Abbott that the British, French think it far better to renew the option, as they fear that otherwise the Japanese might use the interval until the new consortium formed to commit (Republic?), at present dependent upon them absolutely, to a currency arrangement favorable to Japan, particularly the appointment of Sakatani.95 As the intergroup agreement expires June 19th next, Russia could then [be] automatically eliminated and the option taken over immediately by the new consortium. Abbott agrees with this and believes less trouble and risk to settle the matter in June than now. Group representatives acting under instructions have asked for renewal. In view of the above I beg to suggest reconsideration.

Reinsch
  1. Baron Yoshiro Sakatani; see pp. 556 ff.