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96
Enclosure No.2.
(2+)
Enclosure No.3.
export of arms from Germany to China.
3.
The Chinese Ministry for Foreign Affairs after
the raid intervened in this matter complaining about the
action taken by this Government and endeavouring to
obtain what they described as a "settlement" of the affair.
I took the opportunity of the presence in Hong Kong of
the British Ambassador to China and his staff last
Saturday to discuss all aspects of the affair with him.
4. I append for your information a copy of a
letter written by Mr. W. H. Donald, adviser to Marshal
Cheung Kai Shek and shewn to me by Mr. T. E. Witham,
another agent of the Chinese Government in Hong Kong.
I asked Mr. Witham to convey to Mr. Donald my attitude
generally as set out in my secret telegram to you No.317
of 29th September, 1939, and with which Mr. Witham
expressed his personal concurrence. I added that any
action by David Kung to incriminate himself would leave
this administration no option but to prosecute him also
and might easily lead to a minor embarrassment between
the British and Chinese Governments, which is far from
being desirable for various reasons, some of which are
stated in Mr. Donald's letter.
5.
The Police Court proceedings in this case have
now begun and I enclose a press cutting reporting what
took place at the preliminary hearing. I shall report
the result of the case in due course.
I have the honour to be,
Sir,
Your most obedient, humble servant,
1. but kortheti
Governor.
Th