793.94/6997: Telegram

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

233. Legation’s 230, May 31, 4 p.m.

1. General Yu Hsueh-chung, who came to Peiping from Tientsin yesterday afternoon, has given out an interview in which he bitterly assails the Japanese military for their conduct of the past few days which he attributes to their desire to force his resignation and the removal of Provincial Government to Paoting as well as to remove all other officials who are opposed to Japanese ambitions in North China.

2. Removal of provincial headquarters to Paoting is said to be proceeding. Possibility of Huang Fu’s return to Peiping would be greatly enhanced by Yu Hsueh-chung’s resignation or even by removal of headquarters to Paoting.

It is believed Japanese desire Huang Fu’s return here.

3. From a reliable Government source it is confirmed that Japanese made no actual demands but they let it be known that they desired, (1) immediate removal of provincial government to Paoting; (2) dissolution of Peiping and Tientsin Kuomintang and abolition of all other political organizations in North China; (3) removal of Third Regiment of gendarmes from Tientsin and similar organizations from Peiping; (4) dismissal of Tientsin Mayor and Chief of Bureau of Public Safety there and substitution of officials friendly to Japanese.

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4. A responsible and highly placed Chinese military official is authority for the statement that the Japanese intend to bring two regiments into the demilitarized zone on or before June 11, the movement being in the nature of a notice to Ambassador Ariyoshi, who will arrive in China June 12, that the Kwantung military and not the Japanese Foreign Office are responsible for affairs in North China.

5. Still another reliable Chinese source states that the situation is being shaped for starting a drive for the recognition of “Manchukuo” by China after the arrival of Ambassador Ariyoshi and the establishment of air mail service between China and “Manchukuo”.

6. It is hoped situation will be relieved at least temporarily by removal of Provincial Government to Paoting and changes in present government personnel, some of whom Japanese have long disliked.

Repeated to Legation at Nanking and Tokyo. By mail to Tientsin.

For the Minister: