893.515/1–1849: Telegram

The Consul General at Shanghai (Cabot) to the Secretary of State

148. Reference ConGen airgram A–26, January 6. Government over weekend suspended sales of gold bullion which had totalled 450,000 ounces since late November and yesterday announced plans for US 100 million “dollar bond issue to be backed by 2 million ounces gold which reserve to be held outside of China proper and perhaps with foreign banks participating as trustees. Public reaction not enthusiastic although feature of redemption date to be determined by lottery may have appeal. Press release containing basic outline of plan follows by airgram.8

Sent Department 148, repeated Nanking 115.

  1. No. 57, not printed.