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الديار

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negotiations before obtaining satisfactory replies to (3) and ? (4) above such action would be tantamount to over- looking those incidents. Moreover it is the aim of the strike pickets now that they have been driven off the river to tighten up the boycott ashore and the action suggested by Brenan would tend to perpetuate this. Clear waterways only reduce slightly the general effect of the boycott and Canton Government will certainly interpret any relaxation of our naval activities before removal of land boycott as demonstrating that we shrink from the consequences of such activities.

In these circumstances I recommend following action after discussion today with General Luard, AdmiralStirling

Hallifax Southern Kemp and Bernard all of whom concur in this telegram. The urgency of the matter has prevented me from discussing with Brenan.

If we do not receive this week satisfactory replies from Canton Government to Brenan's two notes of September 10th we should then demand within 24 houre an undertaking that all British ships on the Yang$se and elsewhere will be respected by Canton troops and that all anti-British manifestations in all territory controlled by the Canton Government will cease forthwith,failing which we will take such action es seems to us proper. I believe that this threat may suffice, in view

of the critical situation of the Cantonese Army on the Yangtee and of the hazardous political conditions in Kwangtung.

If however it does not suffice I submit that we should then proceed forthwith to close the ports of Canton and Swatow by naval action. I am sure that all local representatives of Foreign Powers would be thankful to see this step taken and I do not believe that under existing conditions such measures

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