893.00/2–2046: Telegram
The Counselor of Embassy in China (Smyth) to the Secretary of State
[Received April 21—3:02 p.m.]
714. Rapid deterioration of Manchurian situation dominated Yenan broadcast for period April 14 to 19 with numerous accounts of fighting between Kuomintang and Communist troops and latter invariably winning. Similar Communist victories also reported in other border areas. Continued hostile activity by Yen Hsi-shan’s troops reported. Particular point is made of defeats inflicted on American equipped divisions in Manchuria.
One item reports Kmt 14th Division of American equipped New 6th Army annihilated. Similar developments reported north of Tientsin. One item reports Kmt troops surrendering in Manchuria in large numbers due to heavy casualties. These casualties not attributed to inferiority of American equipment but to lack of morale in war-weary Kmt troops, reluctant to continue fratricidal strife. Two items report continued demobilization of Communist troops in the border regions with big celebrations to commemorate victory over Japan.
Other items reported include condolences received on plane crash which killed Wang Jo-fei, Tong Fa, Yeh Ting and other prominent Communist leaders; report of student demonstration in Mukden allegedly organized by Kmt reactionaries to protest mediation in Manchuria; long report on comments by Democratic League leaders stating Manchuria is domestic not diplomatic problem and should be solved by political means through implementation of PCC resolutions; reported formation of additional democratic governments in Liaoning; and issuance by Communist Party Manchurian Political Bureau of a directive designed to initiate large scale production movement in Manchuria.
Sent Dept as 714, repeated Moscow as 53.