693.002/552: Telegram

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

151. My 124, February 25, 4 p.m. Doctor Young showed me yesterday a copy of a letter addressed to Doctor Kung by Mr. MacKillop of British Embassy which contained in substance the following:

British note stated that policy which Kung suggested must lead to the forcible seizure and disruption of the customs by the Japanese; that this will result in the suspension of service of foreign obligations and destroy China’s credit. British note states that the only means of avoiding Japanese control of customs in occupied areas (which Japanese are in a position to do) is to arrive at some arrangement which will preserve non-Japanese administration, provide due service of foreign obligations, and enable collections to be enforced. British note added that the object of the discussions at Tokyo and Shanghai is to secure as far as possible these essentials, and stated that it was the desire of the British Government that the utmost effort should be made to persuade Doctor Kung to acquiesce in any arrangements that it might be possible to reach in those negotiations.

Doctor Young remarked to me that British Government was asking Kung to accept some arrangement which might be arrived at through negotiations concerning which Doctor Kung was being kept in complete ignorance.

Johnson