893.00/13974: Telegram

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

77. Reference my 69, February 10, 9 a.m. M. S. Baldwin, an American teacher at the University of Nanking, states that he has received reliable reports that the peaceful entry of Government forces into [Page 25] Sian was due to an agreement to incorporate Communist troops in the army, which was negotiated by Chiang Kai-shek with Red leaders before, during and after his captivity. He is said to have had conferences with the Communist leader Chou En Lai both before his confinement at Sian and recently, the latter having spent some 10 days in Fenghua during which time the Generalissimo has given him several interviews. Informant states that Chiang Kai-shek compelled the Red leaders to make the first move with an offer to cease attacks on the Government before he suggested any proceedings, thus preserving his own and the Government’s dignity.

Johnson