893.74/507: Telegram

The Minister in China (Schurman) to the Secretary of State

3. Your 317, December 17 [27], 1 p.m. Chiang, reappointed Director General of Telegraphs, has held several long discussions with the Legation regarding Federal contract from which it appears that the Ministry will take up with Moss and Davis question of changing type of apparatus and size and location of stations to correspond with radio development and acquisition of new stations by the Chinese Government since signing original Federal contract. Consequently they desire company to send representative possessed of extensive powers and accompanied by fully qualified expert. They desire completion Shanghai station earliest possible date.

Japanese opposition to Federal contract continues strong. Compagnie Générate de Télégraphie Sans Fil has an agent here who is pressing Ministry of Communication[s] to grant concession for developing complete system of radio telegraphy and telephony with broadcasting throughout China. Company to advance capital and have temporary exclusive rights until cost repaid. Additional security to be postal revenue.

Schurman