394.1153/5: Telegram

The Minister in Switzerland (Harrison) to the Secretary of State

2361. American interests China. Swiss Consulate General Shanghai telegraphed May 26 following:

“Notwithstanding their assurances to respect private property Japanese authorities in occupied China have ordered from beginning the liquidation of principal banks and certain large American companies. Funds resulting from this liquidation are blocked and American companies in question find it impossible to adjust their affairs before their repatriation.

In addition Japanese authorities have taken over on their own account the exploitation of most important companies without naming an administrator for enemy property who should be the depository of the profits of exploitation. Authorities have nevertheless authorized certain employees who are citizens of countries at war with Japan to continue their work.”

Swiss Consulate General at Shanghai requests instructions regarding action which should be taken.

Harrison