COPY

(F 2593/221/10)

NO DISTRIBUTION.

Decode and Decypher. Sir H. Knatchbull-Hugessen (Nanking)

D.

R.

No.130.

3rd May 1937.

(Via W/T.) 3rd May, 1937.

10.00 p.m.,3rd May, 1937.

(Beginning of "R").

Addressed to Hongkong No.21 of 3rd May.

My telegram No.126 to the Foreign Office.

I have now received reply from Vice Minister for Foreign

Affairs.

After expressing regret that Hongkong authorities

should have lost sight of juridical aspect of the question the

letter continued as follows:-

Begins.

I am inclined to think in dealing with matters of this

kind it is always advantageous to use a certain amount of tact

and discretion and especially to take into consideration

feeling of local inhabitants so as to avoid any unpleasant

situation that may otherwise arise. Quite aside from and

without prejudice to the question of jurisdiction over Kowloon

citizens I therefore request you to be so good as to advise

Hongkong authorities to defer full prosecution of their plan

indefinitely and give more careful and thorough consideration

to the matter in the light of views expressed by all parties

concerned.

Ends.

(End of "R").

I propose to reply that completion of the scheme cannot

be/

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