793.94/14770: Telegram
The Consul General at Hong Kong (Southard) to the Secretary of State
[Received 12:15 p.m.]
77. Following is a paraphrase of a message from the American Consul at Saigon: It is reliably reported that the French authorities in Indo-China have stationed troops fully equipped for active service at all points of strategic importance along the coast between Moncay and Haiphong due to the fact that two Japanese aircraft carriers and a number of other war vessels are understood to have been observed in close proximity to the territorial waters of French Indo-China near Moncay about February 18.
Reliable sources state that complete plans for dealing with an influx of refugees in the area adjacent to Langson and Caobang have been made by the frontier garrisons in the event of a Japanese offensive into Kwangsi. The Indo-China–Kwangsi frontier will be closed only in the event that it becomes necessary to stop the entry of more refugees than can be dealt with under existing plans or to avoid friction and possible clashes with the Japanese.
The firm having the contract for building the bridges for the Nanning Railroad has withdrawn its European staff from China for an indefinite time. This action was taken because it was considered inadvisable to continue building bridges which might be bombed by the Japanese.
Chinese Government representatives in Indo-China have been advised confidentially and officially that all merchandise including munitions will be given unrestricted transit through Indo-China. Cheng Ming Pan, an official of the Central Trust, is the source of the foregoing statement. Previously Government General had advised this Consulate by telegram in reference to request for information regarding transit tax that in theory there is no transit tax on war material shipped through Indo-China for the Chinese Government but that in practice such shipments were forbidden. The information had been requested on behalf of shippers of trucks in transit. Report that Wang Ching Wei and Doihara were together at Tamdao has been confirmed, negotiations are said to have resulted negatively and Doihara has left Indo-China. Information regarding present whereabouts of Wang Ching Wei thus far unobtainable. Reliably informed that China National Aviation Corporation has been granted authority to establish Chungking–Hanoi service.
Repeated to Chungking, Yunnanfu.