493.11/9–2044: Telegram

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

1589. Reference action Chinese Government in moving for abolition of Boxer2 indemnity boards, including China Foundation, I direct attention to page 557, volume I, Foreign Relations, 1924, from which it appears that Secretary of State informed President of his understanding that in creating China Foundation the Chinese Government definitely divorced itself from any future control or supervision over funds of the indemnity, surrendering the authority which it would otherwise normally exercise to the Foundation which under the terms of its constitution is self-perpetuating body. I do not know on what this understanding of Department was based, not having access to full records, but it seems to me that action of Chinese Government at this time in abolishing the Foundation without reference to or consultation with our Government should not pass unnoticed. Continuance [Page 1162] of administration of funds by China Foundation promises intelligent nonpolitical application thereof in furtherance Sino-American cultural relations. With liquidation of Foundation, the endowment funds now held will probably pass to Ministry of Education. I have said nothing to Foreign Minister3 on this question. I believe, however, that it should have careful consideration of Department.

  1. For so-called Boxer Protocol signed at Peking, September 7, 1901, see Foreign Relations, 1901, Appendix (Affairs in China), p. 312.
  2. T. V. Soong.