The Ambassador in China (Gauss) to the Secretary of State
[Received October 18—1 p.m.]
1704. I conferred today with Foreign Minister regarding proposal to dissolve China Foundation (Reurtel 1332, October 13, 7 p.m.) leaving an aide-mémoire in terms of your instruction. He commented that while there is legal basis for argument that China may properly order dissolution of the Foundation he has himself felt such a move inadvisable, that our approach at this time is opportune, and that our views will be laid before the Government. He confirmed our information that it has been proposed to entrust administration of these funds to Ministry of Education.