893.00/14450: Telegram

The Counselor of Embassy in China (Lockhart) to the Secretary of State

535. Peiping’s 530, October 6, 4 p.m.74 According to a reliable Chinese source, General Itagaki arrived here October 7 and has been discussing the proposed Central Government and related matters with Generals Kita and Tada (who recently relieved General Sugi-yama in command of the North China forces). General Itagaki is understood to be a vigorous supporter of Wang Ching Wei and a strong Central Government for the occupied areas while Kita and Tada are reported to be in favor of large autonomy for North China.

The Chinese informant stated that, although the new Central Government will probably adopt the Chinese national flag, in North China the five-barred flag or a new special flag will be adopted to indicate its special status; he also reports that Wang Ching Wei’s “Kuomintang” will not be extended to North China, but somehow the Hsin Min Hui will recognize the “three people’s principles”.

The informant says that among local circles it is believed that the serious defeat recently suffered by the Japanese military north of Changsha has weakened the position of Itagaki and others who are promoting the new Central Government and may delay its formation. He says that, according to local Japanese, the Japanese leaders are splitting into two groups, one consisting of Nishio and Itagaki who wish to fight until Chiang Kai Shek is crushed and the other consisting of naval, financial and political leaders who desire to bring hostilities to an end, and by negotiations with Nishio and Itagaki if that is the only way of ending hostilities; the second group wishes to avoid friction with the United States and, in order to balance the influence of Nishio and Itagaki, brought about the appointment of Admiral Nomura to the post of Foreign Minister.

Repeated to Chungking and Shanghai. By air mail to Tokyo.

Lockhart
  1. Not printed.