The Under Becretary of State

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522 10/6/1915.

confirming this next day in a letter to "H.Steger, Esq.,

C/o Messrs.Reuter Brockelmann & Co., Shanghai." and three days

later in a letter to the Texas Company, New York.

You will note from this cable which we quote that the

liquidators went out of their way to consult Mr. Steger instead

of us or the Texas Company on a matter of the first importance,

1.e. the renewal of the leases of the godowns, and it was only

when this was communicated to us by the Texas Company that we

were able to settle the matter over the heads of the liquidators

and their friend Steger.

As we could not understand this attitude at all, we then

and there telegraphed to Cheetham:

"Don't cable through New York or Reuters.

disconnect them absolutely from Texas business."

In the circumstances therefore, it would not be sur-

prising if at some time Mr.Cheetham had harboured the notion

that the arrangement was only a temporary one, nor would the

apparent solicitude of the Attorney General in Hongkong for

the interests of Reuter Brockelmann & Co., as quoted by the

liquidatore, tend to weaken that view, in spite of our specific

advices to the contrary. Letters may even have passed which

the censors in Hongkong may have construed as bearing out the

theory of a dummy arrangement, but we are so sure of our posi-

tion in regard to Cheetham that we have cabled to Messrs. Johnson

Stokes & Master requesting them to take effective steps to

thoroughly investigate the position and defend our interests,

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