SECRET.
THE WAR OFFICE,
LONDON, S.W. 1.
027/1186 (M.I.2.)
9th March, 1935.
Dear
Genr
22/4.5
(11月)
With reference to the subject, which we have previously discussed, of Japanese activities at Macao and Canton, I think you will now have seen the Admiralty and Air Ministry references to our letter to the Foreign Office
(1) (027/1186 (M.1.2.) of 15th February), and have noted that both
(14)
(1)
(16)
these departments share our apprehensions regarding the possible setting up of large Japanese interests in the immediate vicinity of Hong Kong.
I gather from Peking telegram No.175 of 20th February that the Governor of Macao is not, for the moment, giving the Japanese much encouragement; this fits in with the statement in Hong Kong telegram No.29 of 31st January, that "we are being offered an opportunity" to counter Japanese plans for economic penetration in South China. You will note, however, from Peking telegram No.216 of 27th February that the latest Japanese offer is so favourable that at any rate the Colonial Secretary of Macao thinks it should be accepted.
The whole question has aroused considerable interest here, and I shall probably again be questioned about it in the near future. I should therefore be very grateful for any information you can spare me, regarding such answers as you may have returned to the Governor of Hong Kong, and whatever plans you may have in view. Of course, I clearly realise the difficulty of financing Mr. Gellion's scheme from Colonial funds - which is what his suggestion amounts to.
If you could possibly spare the time to dictate it, a short note of your views on the question of Japanese activity in the vicinity of Hong Kong would be of the very greatest
G.E.J. Gent, Esq., D.S.O.,M.C.,
Colonial Office,
S.W.1.
assistance./