893.5200/4–346
The Counselor of Embassy in China (Smyth) to the Secretary of State
[Received April 10—6:10 a.m.]
620. Additional facts received from Josselyn concerning Shanghai Consular deeds (see Deptel 76, January 12,23 Shanghai’s 128, January 29,24 Embassy’s despatch 1094, February 8) follw:
Officer of Shanghai Consulate visited Chen Pao-hua, Deputy Commissioner Land Administration Shanghai Municipal Govt, March 14. Chen’s attention invited to article appearing in Shanghai Herald March 8 which stated time limit for filing applications for re-registration real property was March 18 and anyone who delayed filing application would be penalized 10% of total registration fee. Chen was informed Consulate had no official knowledge this ruling and could give no weight to newspaper story. Officer pointed out American Govt considered some provisions of new land regulations (evidently those published by Shanghai City Govt) impinged spirit of relinquishment treaty and that discussions now proceeding in Chungking between [Page 1326] Embassy and Chinese Govt for settling divergent views. Chen replied applications for registration would be accepted after March 18 if applicant had good excuse in which case no penalty would be imposed. Chen seemed to consider discussions between Embassy and Chinese Govt good excuse. Chen thought there would be one type deed for both aliens and Chinese and that plans for issuance such deeds were proceeding. Americans would probably be issued deeds of ownership on reciprocal basis.
Meaning of “reciprocal basis” is not clear from Josselyn’s report but presumed to mean Americans domiciled in States permitting Chinese to own land will be given new deed in exchange for perpetual leases. Chen’s statement apparently confirms statement T. K. Ho January 28 that Americans should not worry about time limit but should await settlement whole matter. (Shanghai despatch 80 to Department, January 30.) Chen evidently does not wish to admit mistake was made so will not penalize if there is good excuse.
Josselyn is requested to file courteous caveat as matter of precaution with Shanghai Land Bureau, calling attention to fact that article 4 relinquishment treaty does not specify time limit within which perpetual leases may be changed for deeds of ownership and that no fees can be charged. (Sent Department 620, repeated Shanghai 245.)
Embassy feels Chinese will agree to settle matter along lines indicated in Embassy’s despatch 1094, February 8 and would appreciate Department’s instructions regarding new deed of ownership (Shanghai despatch 80 to Department, January 30) and detailed procedure (see penultimate paragraph Embassy’s despatch No. 1094, February 8) for handling matter.