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there would be no further claims for payment later. The

Colonial Secretary reassured them on this point and the

compensation was fixed at $20,000.

It was evident from the Japanese attitude

during the conference that they fully appreciated that

they were in the wrong, and they seemed only too anxious

to make amends and get the matter settled and done with.

When saying goodbye General Tanaka asked

that assurances should be given to General Grasett,

that such a thing would never occur again. They were not

asked to give any written assurance, as it was thought

that General Tanaka's word would be more likely to carry

weight than any written document.

HONG KONG.

6/3/1939.

C

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