893.74/312: Telegram
The Minister in China ( Schurman ) to the Secretary of State
[Received 3:17 p.m.]
202. Reference is made to the Department’s telegram of April 24, no. 72, the substance of which was immediately conveyed to the Premier and Ministers of Foreign Affairs and Communications of China.
With the most effective assistance of Mr. Bell and Mr. Peck,11 reenforced by Mr. Schwerin, I have made every effort to bring matters to a settlement At last the Minister of Communications at an interview on May 25 read to me a resolution which had been agreed upon by representatives of the Ministries of Foreign Affairs, Communications, and Navy, which made provision for a way of taking care of the Mitsui agreement and giving authorization for carrying out Federal Telegraph contract immediately, and which the Minister of Communications expected would be adopted next day by the Cabinet. I learned from other sources that this resolution had been approved likewise by the Ministers of Foreign Affairs and Navy.
Subsequently the Foreign Office informed me that no formal discussion was held and no action taken at the Cabinet meeting regarding the Federal Telegraph agreement. I have learned confidentially that Acting Minister for Foreign Affairs Shen urged that if the resolution were followed the Japanese would never agree and would cause great difficulties to the Chinese Government. Accordingly, the decision was that, until settlement had been reached with the Japanese, execution of the Federal contract should be postponed.
Since September 29, 1921, my notes remain unanswered and the Chinese Government has sent me no written communication regarding this matter. Postponing for an indefinite time the execution of the Federal contract, this last act of bad faith culminates a long story of procrastination and evasion in which the efforts of the American Government on behalf of China have been disregarded … What it amounts to is that, under intimidation or inducements of interested Japanese parties, the present Peking Government has abandoned the policy of equal opportunity.
On June 6, the Acting Minister for Foreign Affairs again gave my questions evasive replies. I made a demand to be provided at the earliest possible date with a categorical statement of the intentions [Page 795] of the Chinese Government regarding the Federal agreement but I have no hopes of compliance.
Permit me to ask that you bring again to the Chinese Minister’s attention the American Government’s interest in the Federal Telegraph agreement and give expression to your indignation and amazement at this renunciation of our rights which the matter involves. In my opinion there is involved a menace to historic principles which have been maintained by our Government as well as a disastrous loss to American prestige.
Time and again I have been informed that the Chinese authorities are continuously assured by the Japanese Legation that since the wireless matter will be settled by the Japanese Ambassador direct with the Department it may be allowed to rest in Peking.
- Edward Bell, counselor, and Willys R. Peck, Chinese secretary, of the Legation at Peking.↩