893.00/14067: Telegram

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

149. Paragraph 2 of our 144, April 1, 3 p.m.

1.
Yang Hu Cheng returned to Sian April 2 and issued statement pledging loyalty to National Government. This is considered indication that, when movement of Northeastern troops into Honan and Anhwei is completed, the Sian revolt except for Communist question will have been settled. Yang’s pledge of loyalty is reported to have been contingent upon a promise of security in his position as Shensi Pacification Commissioner in return for his agreement to reorganization of his troops. Yu Hsueh Chung will reportedly be given post such as Honan-Anhwei Pacification Commissioner.
2.
Opinions conflict as to whether Chang Hsueh Liang will be given new military post. Indication to the contrary is that he recently presented his private Boeing plane to Chiang Kai-shek to be included in national air service equipment. Opinions also conflict as to whether he is virtually a prisoner at Chikow and will remain so until disposition of his troops is completed or whether he is being guarded there for his personal safety against patriots who consider him a traitor deserving assassination.
3.
According to Japanese news sources, the Hangchow conversations March 29 to April 1 included questions of (1) reorganization of Chinese Red Army; (2) convocation of National Defense Conference to formulate positive Japan policy as suggested by Szechwan militarists and others. Whether these questions were actually discussed is unknown.
4.
Han Fu Chu67 also visited Hangchow causing considerable speculation. One plausible reason advanced for his presence there was to discuss cooperation between Shantung troops and Northeast troops in latter’s new positions looking to reformation of the “defense line” against “influences” in North China.
5.
Sent to the Department; by mail to Peiping, Shanghai, Tokyo.
Johnson
  1. Chairman of the Shantung Provincial Government.