893.515/1369: Telegram
The Chargé in China (Peck) to the Secretary of State
[Received March 17—7:30 a.m.]
183. Department’s 39, February 24, 3 p.m. On March 15, 7 p.m., the Minister for Foreign Affairs21 told me that he had received information from Paris that both the French and British banks in North China had been instructed not to deal in Federal Reserve Bank notes and he inquired whether American banks would follow a similar course. I replied that the position of the Department of State was that the American banks had responsibilities in the matter with regard to which the American Government was not in position to interfere. The Minister expressed the earnest hope that American banks would refrain from activities calculated to assist Japanese currency measures at the expense of the National currency and I replied noncommittally that I would keep his wishes in mind. I remarked that I would be particularly interested in learning just how explicit were the instructions issued to French and British banks. (The British Diplomatic Mission have expressed to me doubt whether British banks are prohibited by British law or regulations from dealing in Federal Reserve banknotes but seem to have no definite information on the subject.)
Repeated to Peiping, Shanghai, Tientsin.
- Wang Chung-hui.↩