893.51/7671: Telegram

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

184. To Secretary of the Treasury from Adler. TF–89. In accordance with article 1 (c) of the Sino-American agreement of April 1, 1941, Board asks me to consult you on the desirability of investing the United States $2,000,000 in its account with the Federal Reserve Bank in direct obligations of the Government of the United States. The Board is receiving sufficient United States dollars from remittances to meet its out-payments for the next few months with respect to both direct applications for foreign exchange and to its obligations to the Central Bank under the November 1 agreement without having to draw on the United States $2,000,000 in the Federal Reserve Bank. [Adler.]