893.51/5191: Telegram
The Minister in China (MacMurray) to the Secretary of State
[Received October 16—8:52 p.m.]
893. The Department’s written instruction No. 1313 of August 5th. The following is a memorandum of a conversation on October 5th between the American Consul General at Shanghai and the Minister of Finance:
“Inquiry was found to be agreeable, Mr. Soong concedes the existence of a commission to answer them93 and pass upon the various claims of indebtedness against the Chinese Government. He stated that such a commission is in existence and in reply to a further inquiry he stated that while the commission may refer to the Kemmerer Commission for advice, it is independent of the Kemmerer Commission. He was then asked as to the status of American creditors for railway equipment, and replied that within a very short time the American creditors would be notified to present their claims. When questioned as to the date when such notice would be given, after due deliberation he stated definitely that it would be forthcoming within a period of two months. Inquiry was then made as to the status of such claims—whether they would be inferior to the loans which have already fallen due and against which substantial securities have been offered by the National Government. He stated immediately and unequivocally that claims for railway equipment would be in a better position than other loans. He said that the supplies were in the hands of the railway and were producing and they would therefore be recognized as having a superior status to other loans which had matured.
[Page 828]My own impression is that all indebtedness for railway equipment will be given preference over loans and other debts.”
- Phrase garbled; it should read: “Inquiry was made of Mr. Soong concerning the existence of a commission to examine into.”↩