893.51/2863: Telegram

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

337. Your 245, June 28 [29], 1 [5] p.m. Proposed action in connection with decision of Chinese Government regarding payment [Page 649] of Hukuang and Tientsin-Pukow coupons was brought to the attention of the Japanese Government in accordance with instructions contained in last paragraph of your telegram referred to above and reply has now been received from Minister for Foreign Affairs in the following sense.

Although Minister for Foreign Affairs is not familiar with contents of communication between Mr. Lamont and Chinese Department of Communication, Japanese Government fully share views of American Government that owing to little influence of Chinese Government the credit of that Government in foreign markets will not only be greatly damaged but future issue of their obligations will be seriously affected. Japanese Government therefore has no objection whatever that steps be taken to bring this question to the serious attention of the Chinese Government and is prepared to make representations to Chinese Government in above sense provided other interested Governments fully concur in proposal of American Government.

Bell