793.94/11690
The Navy Department to the Department of State77
The following information has been received from the Naval Attaché at Peiping as of 8:20 p.m., under date of 8 December, 1937:
An official of the Nipponese Army in Manchukuo stated himself with emphasis that there is unrest and also bitterness towards the Japanese rule there. He also said that there was no Japanese secret service in Siberia which fact increases their worry. Native troops have been shifted to the south, mostly to the North China area, in order to avoid any possible revolts in the immediate rear border forces.
The concentration of 14 divisions of Japanese soldiers about 350,000 in Manchuria the majority east of Harbin plus others sent from the North China area has been confirmed by many reports. The Russian Government is satisfied with the present disposition of their forces on the same front.
The Kwantung army leaders openly resent Hasegawa’s78 Shanghai operations and tear their major objective may be thus compromised. The strength of the Soviets is fully recognized and no longer underestimated consequently any action by Russia is now feared.
The Russians are planning to keep on delaying on any fishing agreement with Japan thus making Japan assume the role of an [Page 950] aggressor nation. The Soviets are confident of military success but are anxious for favorable foreign opinion.
Note: The Naval Attaché left Peiping for Harbin at 9:30 a.m. on December 9, 1937.