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the Chi Kung Tong, the most important and

influential Chinese Society in the United States

of America, which sided strongly with the Canton-

ase against the British in the first instance,

have recently informed China by telegraph that

they have appointed General Chan Kwing-ming as their President and General Tang Chi-yao

of Yunnan as their vice-President.

4.

Three cruisers belonging to the

Chinese navy, under the command of Admiral Lee,

have recently arrived in the Colony, and they

have instituted an examination of vessels bound

for Canton, in order to stop shipments of arms.

Information has been given to them regarding

the various ships reported to be carrying

munitions, but no seizure has so far been made.

The Canton Authorities have retaliated by mining the passages into the Pearl River at Bocca Tigris. If the Central Government could see its way

to blockade the Pearl River, matters would speedily

be brought to a head, and it is difficult to see

how the Russians could maintain their position.

One cruiser is sailing for Hainan to support

General Tang Pun-yan, who, it is reported, is about to take the field against the Reds.

5.

I am addressing you separately regarding the trade loan. With business practically

at a

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