Enclosure No.3.

71

4th. October 1929.

Mr. Chu Chan-nien oalled to see me today on his way

through Hong Kong to take up his post as Chinese Minister

to Sweden. He said that he had been asked by Mr. C.T.

Wang to see the Governor here (and, failing the Governor,

the Officer Administering the Government) and endeavour to

effect the settlement of the dispute about the Chinese

Telegraph Office, and in any case to find out how the

matter stood. After he had lunched with me, I had a few

minutes conversation with him, in which I told him that this

Government did not consider that it had been properly treated

by the Chinese Government over the appointment of the new

Superintendent of the Telegraph Office. A recognised procedure

had been drawn up for such appointments, and the Chinese

Government had not adhered to it. The present position,

therefore, was that we had written to the Minister, setting

out the facts, and were awaiting a reply from the Minister.

Mr. Chu argued that the arrangement, by which this Government

was to be notified of a proposed nominee and the consent of

this Government obtained before the appointment was made, was

a purely temporary arrangement consequent on a dispute between

different regional governments in China. I told him that,

whatever the nature of the arrangement, it was not open to

one party to break it without reference to the other, and

that was what China had done in this case.

Chu was

disposed to argue that China did not admit that the consent

of this Government was required. I told him that was a point

I was not prepared to argue with him. The facts had been

put before the Minister and we awaited the Minister's reply.

I told him I was not prepared to take any action, pending

a reply from the Minister, and suggested to him that it

might be well for him, if he saw the appointee, Mr. Lu

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