CONFIDENTIAL
5.
AFTER THE AMBASSADOR HAD EXPRESSED DISAPPOINTMENT THAT THE MEETING HAD NOT ACHIEVED THE SIMPLE COMPROMISE THAT A SLIGHT
SIDE
X
MOVE TOWARDS US ON THE CHINESE,COULD HAVE ACHIEVED, SHEN TU CONCLUDED BY SAYING THAT BOTH SIDES SHOULD STUDY THEIR POSITIONS. HE APPEARED TO LEAVE A SMALL LOOPHOLE FOR A CHINESE COMPROMISE OF- FER. WE ARE ACCORDINGLY LEAVING THE BALL IN THEIR COURT.
6.
THE ABOVE PREDATES YOUR TELEGRAM NR.378.
GEORGE
FILA
MAED
FED
FK & GD
LEGAL ADVISERS
MR.BUTLER
MISS BROWN
MR.MURRAY
MR.CORTAZZI
2
CONFIDENTIAL