711.94/961: Telegram

The Secretary of State to the Ambassador in Japan ( Grew )

106. Under date June 26 Peiping telegraphs that United Press despatch from Washington reports that Saito is returning to Japan after sounding out the President and the Secretary of State in regard to proposals relating to (a) negotiation of a mutual non-aggression pact; (b) a good will and non-competition declaration based on a trade understanding; (c) negotiations in regard to Manchukuo and the Philippine Islands; and (d) discussion of Japanese and American relations with China,

The Department is telegraphing Peiping for its information and guarded use only that this report is entirely misleading; that it is apparently the most recent of a series of attempts made by a certain interested party to create through the vehicle of the press an impression of diplomatic achievement where there has in fact been none or to draw from us a statement of our views; that these stories seem to us to be mischievous in net result; that at times we consider it appropriate to issue denials but as a general rule it seems preferable to ignore the stories; and that there has been no negotiation about anything.

Hull