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4133/889/10.
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S.7.1.
13th June, 1942.
sir,
I am dirented by r. secretary Eden to scknowledge the receipt of your letter of the 1st June enclosing a memorandum on the subject of the arrangement made by the manager of the Kailan Mining dministration with the Japanese authorities at
Tientsin.
2. The views expressed by your board of Directors have been carefully considered, but they do not lead this Department to modify the opinion already conveyed to you in the letters of the 6th February end the 13th Way.
3. The fact remains that the Kailan mines have produced a large proportion or the coking coal essential to the Japanese steel industry and are of first class militery importance. Nevertheless, in the circumstances already described, r. Nathan gave an undertaking to the Japanese authorities to be responsible for the continued working of the mines after the outbreak of war, and until the Japanese were
This undertaking in & position to take them over.
speci ically related to a state of war end Japan.
between Great Tritsin
Mr. der is not impressed by the statement of your directors that this was the only means of eratling the chinese Engineering and Viring
and Viring ompany to resume posse slon of the
and that the Japanese would eventually property after the war, and that have been able to replace the Fritish staff with their own nationale.
5. Thee and the other arguments eŭvanced in your memorandum do not, in r. uen'a opinion, excuse the voluntary
The ecretary,
The Chinese Engineering and ining Company Limited,
Kent House,
11/16 Telegraph Street,
5.7.2.
undertaking
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