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however remained in the background, leaving it to C. C.

Wu to direct the proceedings. I may mention here that I

learnt some time ago on good authority that the moulders'

strike, which has been dragging on in Hongkong for Rome

months, was started at the personal instigation of Liso

thung l'a

I would bere refer again to the remark in my

telegram No.31 of July 15th reporting the beginning of

the strike, and in my despatch No.151 of September 11th

concerning the bomb outrage, that a clash with the ex-

tremiste at present in power must have taken place sooner

or later. I gather from several residents here that in

December last, when the Customs surplus question was pro-

minent, the enfarced withdrawal of the "hemeen employees

was apprehended. One reason why it did not come to a

head probably was that the extremist part was at that time

not in full control. The recent attempt to raise the sur-

plus question once more indicatas, na muggented in my

despatch No.165 of October 1st on the political situation,

the need for some form of anti-foreign propaganda to

revive the present administration's credit.

For the rest, when Dr. Sun at one of our inter-

views with him was emphasising the right to strike, my

French colleague and I agreed that that was a commonplace

in our own countries. Te pointed out however that, in the

present instance, no attempt had ever been made to discuss

with us much grievancen, if any, as the "hameen employees

might have. They were simply ordered out of the Conces-

sions, without notice to us or consulsation with them,

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