893.00/9–1544: Telegram

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

1558. Wu Teh-chen, Secretary General [of] Kuomintang, informs us People’s Political Council is to be reconstituted hereafter by increasing number of delegates from 240 to 290 to be elected by provincial, city and district councils and is to be given right to investigate and examine national budget.

It is understood Kmt–CCP negotiations are to be discussed in today’s session. In a telegram from Yenan of September 11 Service reported Communist representatives to PPC have been instructed to propose summoning of conference of all political groups for creation of a national government.

First week of session was devoted largely to presentation of government reports and interpellations of delegates many of which were sharply critical and this week delegates deliberating 200 proposals presented for consideration. Session scheduled to close 19th.

Gauss