393.115 Chase National Bank/3: Telegram

The Consul General at Shanghai (Gauss) to the Secretary of State

1368. Reference my No. 1365, October 24, 3 p.m., regarding silver shipment on the President Coolidge. Japanese Consul General called on me this evening to extend his remarks of this morning by saying it [Page 513] has been ascertained that the Inspector General of Customs instructed the Commissioner of Customs to pass the shipment free from export duty and equalization fee which in the opinion of the Japanese indicates that the shipment was made on behalf of the Chinese Government or that the Chinese Government would benefit therefrom. He added that the Japanese authorities have serious doubt as to the ownership and origin of the silver and gold and that they have rather exact information that the Chase Bank was asked by the Ministry of Finance of the Chiang Kai Shek government through the Central Bank of China at Shanghai to make the shipment. He also alluded to my statement this morning that the Japanese banks were reported at the time not to have assented to the nationalization of silver and stated that those banks did eventually assent to that measure.

2. The silver and gold is now being unloaded from the President Coolidge which is due to sail tomorrow morning.

Repeated to Tokyo and Peiping.

Gauss