893.00/10–2148: Telegram
The Consul General at Peiping (Clubb) to the Secretary of State
[Received 10:46 p. m.]
376. Trusted informed source characterizes National military position Manchuria as very critical. States that Chinchow fell through failure 4 divisions from Mukden and 4 from Hulutao arrive Chinchow within 3 days as scheduled whereupon 4 divisions Chinchow “were finished”, and that same 8 divisions are now refusing advance (apparently by reluctance their commanders undertake task).
Generals Wei Li-huang and Tu Yu-ming, per same source, arrived secretly Peiping yesterday for conference with Generalissimo but may have returned Mukden today. Generalissimo and Madame seen by informant re situation and Generalissimo is considering resigning. (This section must not get back to any Chinese circle in any way, for safety informant.)
[Page 505]Source said Fu Tso-yi would not [now?] be reluctant even have National troops dispatched this area for fear their indiscipline. He opined also that Nanking Governmental circles do not yet realize seriousness of situation, that Vice Premier Chang Li-sheng (now in Peiping) does, but that Generalissimo has not changed his mind re his ability control situation by methods previously used. (Due conflict last statement with paragraph 2, suggest it merely means Generalissimo contemplates no shift in his established position re Communist problem.)
Department please pass to Embassy, Nanking.