693.002/512: Telegram
The Consul General at Shanghai (Gauss) to the Secretary of State
[Received February 16—1:37 p.m.]
263. Reference my 235, February 10, 7 p.m. regarding Shanghai customs. Inspector General has today informed the Commissioner of Customs that he understands conversations are proceeding in Tokyo between interested diplomatic representatives and Japanese Government regarding the question of bank of deposit of customs revenue, that Inspector General is not in a position to take action himself or to authorize the Commissioner to do so, that it is not possible for him to conclude an agreement with one power which is not acceptable to other powers whose interest in indemnities and loans on the customs exceed those of Japan, and he suggests therefore that the matter be deferred pending conclusion of negotiations at Tokyo. Commissioner [Page 659] is expected to reply to Japanese Consul General in the sense of the foregoing which was drafted in consultation with the British Embassy.
Repeated to Tokyo, Hankow and Peiping.