8864

24 FEB 20

Paraphrase of telegram from Sir B. Alston No. 90, dated

February 21st 1921.

337

i

Your Lordship's telegrams 70 and 74.

As Your Lordship is aware from my telegram No. 73,

the description of the nature and grounds of my action given

by the American Government is inaccurate. At the same time I

cannot but concur in their view of the importance of the

matter in connection with our co-operation in the Far East,

and I trust that on this ground means will be found to

bring about pourparlers between Mr. Isaacs and the Federal

Company. Such, if eventually satisfactory, would almost

certainly be welcomed by the Chinese Government as a way of

escape from their own errors.

The answers to the questions in Your Lordship's

telegram No. 74 are:-

+

1. On the advice of this Legation, and to give the

Chinese Government no excuse for shirking their own

obligations at the instance of competitors, the Marconi

Company have made a point of executing to the latter their

obligations under all their contracts with the Chinese

Government; and it thus happens that no time was lost in

erecting and equipping the Chinese National Company's

factory at Shanghai. It will be ready for operation

next April.

2. The answer is yes.

The Chinese National

Company

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