45

5.

Please let me have your own further views

together with a report from Hle Majesty's Consul-

General Shanghai on point 4 and your observations

on point 6 of this summary, and at the same time

ascertain and report to me the views of His Majesty's

Consul-General at Shanghai and Canton on the

expediency and effectiveness of reprisals made so

far away from the scene of the cutrage.

I cannot myself but fear that such reprisals

would be damaging to the more modcrate elements now

apparently in the ascendent at Canton and without

effect on the Yangtze area where the outrage was

committed. Do you share my doubts on this point?

Do you consider it expedient, now that Chiang

Kai-shek is taking active steps to repress the

extremists, to use any sanctions which would fall on

him? If not, can you suggest any sanctions which

would not be open to this objection that they would

do more injury to the moderate than the extreme

and anti-British faction in the Nationalist

government?

Repeat Canton for Hongkong, Shanghai for

Commander-in-Chief.

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