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(g) Ssu-ch'uan province under several petty generals. China is thus broken up into a mumber of military satrapies.

4.

Of these regional groups those controlled by the Kuo-min-chun and the Kuo-min-tang are now under Bolshevik influence, and the War Lords of these areas, namely Marshal Feng Yu-hsiang in the North and General Cheung Kai-shek in the South have been liberally supplied with arms and munitions of war from Russia as well as with Russian generals and technical advisers. The purpose with which Russian help is thus given to the Kuo-min-chun and the Kuo-min-tang is to spread Bolshevism in China, and to undermine and, if possible, eliminate from the Far East the trade and influence of "imperialist" nations, of which Bolshevist propaganda

Consequently describes Great Britain to be the foremost. under existing circumstances the effect of the arms embargo is to withhold the sinews of war from our Chinese friends, who are anti-Russian, while in no way denying an abundant supply to those Chinese who under Russian influence have for more than a year past made a determined attack upon our trade in China and especially upon the British Colony

of Hong Kong.

5.

Meanwhile, the Central Government at Peking has entirely disappeared. There is at present no Government at Peking and, even if some phantom Government is reconstituted there,it will exert little authority outside the city walls. Is it, then, worth while for the sake of a Central Government which no longer exists or for the hope of the unification of China at some indefinite period in the future, to debar ourselves from helping our friends and, for example, to keep General Cheung Kai-shek under Russian influence because only from Russians can he get the munitions of war which he so urgently needs, if he is to maintain his position in

Kuang-tung?

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