893.00/4–2049: Telegram

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

799. Re my 784, April 18, repeated OffEmb Canton 263, Shanghai 390. Reliably informed Wu Chung-hsin, liaison between Generalissimo and Acting President, carried Communist peace proposals to Generalissimo April 17. Chang Chun known to have gone Chikow April 18. Same source informs us his mission twofold:

(1)
Deliver message from Acting President to Generalissimo which states he (Li) has been unsuccessful in peace negotiations and, if Generalissimo so wishes, he should come out of retirement to lead continent [continued?] resistance. Otherwise Generalissimo should turn over full authority to Li.
(2)
Attempt to convince Generalissimo that strategically speaking the defense of Yangtze is far superior to his proposed Shanghai, Hangchow, Nanchang line and in fact absolutely necessary if Communist penetration into South China is to be prevented. Wu returned Nanking April 18; Chang due 19th. Will report results visit soonest.

Sent Department, repeated Shanghai 399, OffEmb Canton 268.

Stuart