The Secretary of State to the Chargé in China (Atcheson)

No. 88

Sir: Reference is made to the Embassy’s despatch no. 3079 of October 19, 19441 entitled “Implementation of Chinese Government Obligations to American Interests in Diplomatic Quarter and International Settlements” in which the Embassy suggested that it would be advisable for American telephone and other interests concerned to follow the example of the Shanghai Power Company and make up dossiers setting forth their contractual arrangements with the International Settlement at Shanghai and other similar authorities for transmission through the Embassy to the Chinese Foreign Office.

There are enclosed two copies of a monograph2 concerning the history, rights and obligations of the Shanghai Telephone Company Federal, Inc., the China Electric Company, Limited, and the Commercial Pacific Cable Company, which has been prepared by the International Telephone and Telegraph Corporation. There is also enclosed a copy of a letter1 addressed to Mr. Vincent3 by Colonel Behn of the International Telephone and Telegraph Corporation transmitting the copies of the monograph to the Department.

It is suggested that the Embassy transmit one copy of the monograph to the Chinese Government for its information. It is also suggested that in doing so the Embassy make reference to former Ambassador Gauss’4 conversation with Dr. T. V. Soong5 on October 18, 19446 in regard to the recognition and protection of legitimate American interests as provided by Articles II and III of the Treaty for the Relinquishment of Extraterritorial Rights in China and the Regulation of Related Matters signed on January 11, 1943,7 and that [Page 1389] the Embassy state that those documents are being placed on record with the Ministry for the purpose of assisting the Chinese Government in making appropriate arrangements to implement the provisions of the Articles mentioned.

Very truly yours,

For the Secretary of State:
Joseph W. Ballantine

Director, Office of Far Eastern Affairs
  1. Not printed.
  2. Enclosures not printed.
  3. Not printed.
  4. John Carter Vincent, Chief of the Division of Chinese Affairs.
  5. Clarence E. Gauss, who resigned in November 1944.
  6. Chinese Minister for Foreign Affairs.
  7. See Foreign Relations, 1944 vol. vi, p. 1157.
  8. Department of State Treaty Series No. 984, or 57 Stat. 767.