893.6363/7–2549: Telegram

The Consul at Tsingtao (Hawthorne) to the Secretary of State

369. Re third paragraph Depcirtel July 13.85 Caltex86 experienced labor trouble when attempted discharge five coolies.

Coolies manhandled American district manager and demanded year’s salary. Company finally agreed pay 6 months’ salary which acceptable to employees but not to labor union. Case unsettled.

Well-informed foreign banker predicts collapse People’s Notes within 3 months.

Small quantities Russian poor quality gas entering Chefoo. Buses operating between here and Chefoo losing minimum 7,000 PN per trip basis cost fuel alone.

Sent Nanking 235, repeated. Department 369, Shanghai 146.

Hawthorne
  1. Not printed.
  2. California Texas Oil Co., Ltd.