112.

2.

introduces entirely new point to which Chinese would

never agree.

3. Referring to paragraph 6 of your telegram

No. 35 explanation given yesterday by Minister for

Foreign Affairs for dropping sentence relating to

domiciliary searches by procurators is that according

to Chinese system the procurator is part of the court

so that such searches would be conducted on

procurator's warrant bearing seal of court which

Chinese profess to regard as a court process. Minister

for Foreign Affairs shows no readiness to budge on this

point.

4. We discussed personal status. Minister for

Foreign Affairs insists that China cannot possibly

accept anything on lines of our text and professes to

be unable to make better offer than that contained in

Chinese counter-draft of December 1st. From his

previous discussions with Hsu Mo, Mr. Teichman thinks

compromise solution might possibly be found along some

such lines as the following:-

(a) In general in matters of personal status

British laws would be applied by Chinese courts.

(b) In cases where only British subjects were

concerned and at their request cases would be reserved

for British jurisdiction.

(c) Special provisions to be made for administra-

tion of estates of deceased persons by British consuls. If you approve can I be furnished with a draft?

Minister

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