393.1164 University of Shanghai/68
Statement by the American Ambassador in Japan (Grew) to the Japanese Minister for Foreign Affairs (Ugaki), July 30, 1938
I have asked to see His Excellency the Minister today for the purpose of again bringing to his attention one individual matter, but a matter of great importance, in connection with respect for American property in China, namely the case of the University of Shanghai.
I mentioned this case in my conversation with the Minister on July 4. It concerns the failure of the Japanese military authorities in Shanghai to return this valuable and important property to its rightful owners.
This property, which belongs to the Northern and Southern Baptist Missionary Societies and is located in the Yangtzepoo district, was occupied by Japanese forces since August 1937.
On July 5 of this year the Japanese forces evacuated the property but the property has nevertheless not been returned to the control of its owners.
The owners do not and cannot recognize that there has been a return of the property under these conditions, and my Government feels that this evacuation does not in any way lessen the responsibility of the Japanese Government for damages to the property and for losses suffered by the Mission arising out of the Japanese occupation and control.
[Page 780]The seat of hostilities has long been removed far from Shanghai.
The failure of the Japanese authorities to return the property to the complete control of the Mission representatives is undeniably open to the interpretation that the Japanese authorities hope that the property will become useless to its owners, thereby making possible its purchase.
My Government feels very strongly that this interference with this important American property is obviously inconsistent with the repeated assurances of the Japanese Government that American rights and interests shall be respected;
And accordingly my Government once again asks that appropriate steps be taken without further delay to effect the prompt return of the property in question to the full control of its owners.
This terminates my official representations, made under my Government’s instructions, but I beg that His Excellency will permit me to say a word on my own initiative apart from the foregoing formal approach.
The Minister and I are both working for the maintenance and development of good relations between our two countries, and these relations obviously depend not only on government policy but also on public opinion.
In the United States we must recognize the fact that official policy depends in large measure upon public opinion and that, in the long run, the attitude and policy of the American Government is actually directed by public opinion.
Therefore, in considering the best methods of maintaining good relations between Japan and the United States, I feel sure that the Minister will wish me to point out the issues which have a direct and important bearing upon that public opinion.
This issue of the University of Shanghai is especially important because this property belongs to the Baptist Church, and because there are about eight million Baptists in the United States either directly or indirectly interested in seeing that property returned to the control of its rightful owners.
This important and influential body of Americans fail to understand how, when the tide of hostilities has for many months swept far away from Shanghai, the Japanese military authorities still insist on preventing the Baptist Mission from entering upon full control of its property, already much looted and damaged.
That prevention cannot successfully be explained to them on the ground of military necessity.
Adverse publicity on this subject will inevitably increase in the United States, and will have an important influence on public opinion.
Not only the general principle but well over a million dollars in property rights are here involved.
[Page 781]I think that the Minister will wish to study this angle of the problem and once more to exert his effective efforts to implement in this case the general assurances which he has given us concerning respect for American rights in China. I earnestly appeal to him to do so.