135
NO DISTRIBUTION.
Decode.
Mr. Blunt (Canton)
18th October, 1938.
D.
(Via W/T.) 18th October, 1938.
R.
9.30 a.m., 19th October, 1938.
No. 92.
(R).
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Addressed to His Majesty's Ambassador Shanghai No. 202
October 18th.
(18)
My telegram No. 200.
I made formal verbal protest to Provincial Chairman last
night who replied as I expected that he noted my protest but that transfer of rolling stock from Canton Kowloon railway to
Canton Hankow railway was as from adjacent route to another,
that its intention was to save rolling stock and to deprive
Japanese of its use, that it was a matter of military necessity
and that interest would continue to be paid by Central
Government to bondholders.
2. I suggested leaving a [grp. undec.] rolling stock
as some sop to the bondholders. He replied that this was
impossible but that rolling stock of British section of Canton
Kowloon railway would not be removed.
Repeated to Foreign Office No. 92 and Governor Hongkong
No. 114.