Papers Relating to the Foreign Relations of the United States, 1920, Volume I

893.51/3026: Telegram

The Acting Secretary of State to the Chargé in Japan (Bell)²¹

Washington, November 2, 1920—6 p.m.

405. With reference to Department’s telegram of today concerning approval of Consortium,²² it is desired that you advise the Government to which you are accredited that this Government for its part contemplates making on November 8th a public announcement concerning the Consortium in the following sense:²³

“The Government of the United States is gratified to learn that the agreement tentatively adopted in May, 1919, at Paris by representatives of the investing public of America, Great Britain, France, and Japan, covering the formation of the new Consortium for the assistance of China, has now been confirmed by the signature of the four banking groups. This international association thus coming into existence under the name of the Consortium has been organized with the full approval of the four Governments, and in the belief by them that the interests of the Chinese people can best be served by the cooperative action of their several banking communities to the end that the Chinese Government may be able to procure (through loan agreements involving the issue for subscription by the public of loans to the Chinese Government or other agencies involving a guarantee by the Chinese Government or Chinese Provincial Government) the capital required, particularly for the construction of improved means of communication and transportation. It is thus hoped to assist the Chinese people in their efforts toward a greater unity and stability, and offer to individual enterprise of all nationalities equal opportunity and a wider field of activity in the economic development of China. It is further believed that through such cooperative action a greater degree of understanding and harmony with reference to Far Eastern matters may be reached among all five of the nations involved.”

You will state that we submit the text of this announcement in the hope that the other interested Governments will deem it fitting to issue simultaneously and in similar terms such a statement concerning the consummation of the Consortium organization.

Davis

21. The same telegram to the Chargé in Great Britain as no. 1114 for repetition to the Ambassador in France as no. 1598.
22. Apparently refers to no. 409, Nov. 3, 3 p.m., p. 592, which was originally dated Nov. 2.
23. The Chargé in Japan was instructed in telegram no. 427, Nov. 16 (not printed), to repeat to the Minister in China the text of the public announcement.