893.00/1–3047: Telegram

The Ambassador in China (Stuart) to the Secretary of State

163. Embassy has been informed by a foreign diplomatic source which it considers reliable that Generalissimo has advised Chang Chi-chung that he has another post in mind for him and that if he returns to Sinkiang at all, he will not be expected to remain for any extended period. This is in accord with other information available to Embassy which indicated that Chang Chi-chung would be replaced as Governor of Sinkiang by Pai Chung-hsi, present Minister [of] National Defense.

It is becoming increasingly clear that General Chang has been unable to move Central Government to appropriate sufficient funds to implement the agreement signed with Sinkiang rebels last June, and it is generally rumored here that he has been more outspoken in denouncing Central Government’s responsibility for conditions in [Page 549] Sinkiang in private conversation than he was in a recent press conference (reference Embassy’s despatch 395, January 8).

It is difficult to estimate effect of General Chang’s replacement on situation in Sinkiang, but his capture of public confidence there has been such that it cannot but increase the bitter skepticism of overwhelming non-Chinese population of province with regard to Chinese intentions, even though he may be replaced by the leading Chinese Mohammedan.