Foreign Relations of the United States, Diplomatic Papers, 1938, The Far East, Volume III

693.002/514: Telegram

The Ambassador in Japan (Grew) to the Secretary of State

Tokyo, February 17, 1938—6 p.m.
[Received February 17—8:55 a.m.]

112. Department’s 59, of February 15, 6 p.m., Chinese customs.

1. The considerations outlined by the Department were imparted to the British Ambassador today.

2. Craigie was informed recently by the Vice Minister for Foreign Affairs that revised instructions have been sent to Okamoto⁶⁵ which Horinouchi believes will be more acceptable to foreign interests. These instructions envisage inter alia the deposit in the Yokohama Specie Bank only of the customs revenues taken in districts now under Japanese occupation, all other customs revenues to be deposited in the Hong Kong [and] Shanghai Bank. If Lawford⁶⁶ declines to accept the new proposal, Okamoto is, according to Craigie, directed to discuss the matter with the foreign representatives in Shanghai. Horinouchi implied that these instructions might be even further amended if they fail to meet the views of the foreign interests.

3. Our aide-mémoire was presented to the Foreign Office this afternoon.⁶⁷

Repeated to Shanghai for Hankow and Peiping.

Grew

65. Japanese Consul General at Shanghai.
66. British Commissioner of Customs at Shanghai.
67. Foreign Relations, Japan, 1931–1941, vol. i, p. 740.