This Document is the Property of His Britannic Majesty's Government, and should be returned to the Foreign Office if not required for official use.]

107

118

TO CHINA.

Cypher telegram to Sir M. Lampson (Peking).

Foreign Office.

No. 92.

4th April, 1931. 3.35 p.m.

• *

* •

• •

Following Circular telegram sent to Dominions

(other than Newfoundland) dated 3rd April.

Reports received from His Majesty's linister in

China indicate that substantial progress has been made

in the negotiations with regard to extraterritoriality

and that provisional agreement has been reached ad

referendum on the greater part of the matters of detail

contained in the draft treaty of which copies were

enclosed in my despatch 7th January Circular A No. 6

Secret.

The way has thus been cleared for discussion

of the major issues and as the Chinese are known to be

anxious that a settlement should be reached before the

assembly of the National People's Convention on the 5th May it is possible that matters may move very rapidly. In the circumstances it seems very desirable that any

question which may arise as to the form of the treaty which it is hoped will result from the negotiations should receive consideration forthwith.

In view of the fact that it is no longer practicable to maintain intact the privileges hitherto enjoyed by His Majesty's subjects in China, there can, we think, be no question as to the desirability of seizing the present favourable opportunity for negotiating modifications in

the

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