893.00/15387: Telegram

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

919. Information [from] usually reliable and well-informed Chinese sources indicates that CEC 12th Plenary Session which began May 20 and ended 26th accomplished little. Liberal elements reportedly exerted no influence in meetings and CC61a clique apparently dominant. Appointment Chen Kuo-fu as party Minister of Organization to succeed Chu Chia-hua pointed to further strengthening of CC control of party and was considered strong answer to criticism of reactionary CC clique (Embassy’s 907, May 25). Generalissimo is said to have expressed resentment of foreign and domestic criticism, stating that some has arisen from misunderstanding and some is justified but that criticism of Chinese armies is deeply resented as reflection of nation. He also allegedly denied China not democracy and labeled “insincere” criticism as unfriendly to China, interference with China’s internal affairs and sovereignty and treatment of China as “semi-colonial”. English translation of his speeches, reportedly being prepared by Information Ministry, expected to omit stronger passages.

Manifesto issued at close of session deals with generalities and offers nothing new, merely reasserting previously expressed need for Allied military aid, for price stabilization and strengthening economic system, for improvement administrative efficiency, for promotion local self-government and for spirit of government by law. Important resolutions adopted said by press to include formulation of industrial policy, reform censorship, improvement livelihood civil officials and aid to postwar industries.

Although Generalissimo is said to have stated censorship must be maintained to protect Government against unfair criticism, there are [Page 435] evidences of slight relaxation in domestic censorship in publication strong “soak the rich” article on economic situation in recent issue Ta Kung Pao in which corruption, inefficiency charged against Government and in publication by Central Daily News (Kuomintang) of mildly critical Sun Fo speech.

Liberal elements in party reportedly discouraged over CEC trend and Sun Fo said to have failed to express his views at meetings. Changes in Government posts would be made after session by CEC Standing Committee but apparently no important changes anticipated. Minority party leaders said to be encouraged in that CEC session gives further support to their contention that Kuomintang leadership is bankrupt.

So far as known, Communist problem not discussed. No announcement of session in local press until adjournment, Government reportedly having made effort to prevent outside discussion of meeting.

Gauss
  1. The Chen brothers, Kuo-fu and Li-fu.