Memorandum by the Secretary of State

The British Ambassador called to see me today and, referring to his letter of January 28th hereto attached,56 I informed him as to the second paragraph on page 2 that the Chinese Minister had not stated to me as a condition of neutrality of the Foreign Settlement the Powers must agree to the abolition of special rights and treaties within the concession. I do not know what concession is referred to but he had spoken to me and had said that the military authorities ought to be withdrawn.

I also told him that I had telegraphed to Mr. MacMurray the suggestion that we approach the various military commanders with a view to getting them to agree to leave the area of the Settlement outside of the area of military operations and that I had also suggested for ourselves that, after this matter had been disposed of, we would be willing to take up as one of the parties negotiations for a change in the status of the Settlement. The Ambassador said that was not objectionable.

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