COPY.

DEPARTMENT OF STAL19

WASHINGTON

July 22, 1935.

Excellency :

I have the honor to refer to Your Excellency's

note of July 1, 1935, and previous correspondence, in

regard to the procedure now in force in Hong Kong in

respect to the trans-shipment and exportation of arms

to China, and have to inform you that I have been pleased

to note the procedure which your Government proposes

to adopt with a view to closing the loophole which I

pointed out in my note of January 10 and which we are

equally desirous of dealing with effectively.

I am prepared to adhere provisionally to the

procedure suggested in your note No. 76 of March 27 and

I shall immediately initiate the practice of sending

copies of all licenses issued for the exportation of

arms and munitions to Hong Kong to the Consul General

in that city for transmission to the Governor of long

Kong.

3

I should appreciate it if you would inform

me of the date after which the Governor of Hong Kong

will require as evidence that arms consigned to China

via Hong Kong are entitled to an "in transit" status

the production of copies of the export licenses issued.

I have recently received information that

shipments of arms from Hong Kong to China via Macau

His Excellency

The Honorable Sir Ronald Lindsay,

P.C., G.0.3.G., K.C.B., C.V.O.,

British Ambassador.

have/

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