861.77/1583: Telegram

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

[Paraphrase]

314. My 312, June 22. Yesterday there was another conference between the British Ambassador, Eliot, and Uchida, Japanese Minister of Foreign Affairs. Uchida was still seemingly in sympathy [Page 698] with the first and second points. He was, however, somewhat in doubt as to whether it is expedient to link up the Chinese Eastern Railway with the consortium. He was especially inclined to doubt the expediency of such an association at this time. Eliot was informed by the Foreign Minister that he was expecting to have difficulty in the Diet in regard to the situation regarding Siberia. In case such an agreement was undertaken at present, Uchida was afraid that criticism would be made that his policy in regard to Siberia had opened with the massacre at Nikolaevsk and finished by giving to the consortium the Chinese Eastern Railway. Within a few weeks, perhaps, this question could be brought up, but he did not think it wise to do so now.

On account of the position taken by the Minister for Foreign Affairs, the British Ambassador has sent a telegram to his home Government recommending that at the present time the point regarding the consortium should not be insisted upon. I am forced to add that considering the difficulty which the Government faces in connection with the situation in Siberia and the Japanese troops there, there would be little gain if any in pressing the issue at present. Nevertheless, considering the position of the Foreign Minister regarding points 1 and 2, as the British Ambassador has described it, I can not see why there should not be a definite effort at as early a date as possible to get Japan to agree, in principle, to having the Boards continued or else to the setting up of an international bankruptcy commission such as was suggested by the Department in its telegram no. 232, of June 19.

Bell