893.00/10–247: Telegram
The Ambassador in China (Stuart) to the Secretary of State
[Received October 3—8:32 a.m.]
2020. There have been many reports from diverse but fairly reliable sources that T. V. Soong and the CC clique have entered a temporary rapprochement and that the governorship of Kwangtung, the calling off of the press and other attacks on Soong, and his recent substantial gift to the party were among the items in the bargain. Although T. V. himself denies having entered into an understanding with CC clique, it must be pointed out that as elsewhere the CC clique dominates the party machinery in Kwangtung and without some assurance of its non-opposition both on a national and provincial scale it is doubtful whether T. V. would have accepted the governorship. (Ref-Embtel 1194 [1994], September 27, 11 a.m.).
[Page 301]Embassy considers that it is Government’s objective to stabilize its bases in south China at a time when it is weakening in north China and when separatist tendencies in Kwangtung and Kwangsi might gather impetus. It is very likely T. V.’s objective to stage a comeback on the political scene by acquiring a reputation as a model governor. At the same time he avoids being connected with the Nanking operations of the Central Govt in a situation where any responsible official in Nanking will find it hard to avoid loss of prestige.
Embassy concurs with Shanghai’s statement that CC clique is increasing its power—not only in Nanking but consolidating its overall position through control of the party machinery throughout the country.