693.94244/10: Telegram
The Counselor of Embassy in China (Peck) to the Secretary of State
[Received May 13—9:15 a.m.]
135. The Minister of Finance during a general conversation this morning informed me that the smuggling operations in the North are becoming an increasingly serious threat to the Government finances and to all legitimate trade and he asked whether the American Government had made representations to the Japanese Government on this subject as the British Government had done. I said I had seen press references to the action of the British Government but I did not know whether the American Government had taken any similar step. He expressed the opinion that it would be desirable for the American Government to make representations both to the Japanese and to the Chinese Governments expressing concern over the damage to American trade and the threat to American interests represented by the decrease in maritime customs receipts which are security for the American portion of the Boxer Indemnity and at least indirect security for other American obligations. Kung said he had been informed of the nature of the representations recently made by the British Ambassador in Tokyo. I recalled that the Embassy had already made oral representations to the Chinese Government on this subject (see my despatch to the Embassy of January 2177) but promised to report his observations.
To the Department and Peiping.
- Not printed.↩