[This Document is the Property of His Britannic Majesty's Government, and should be returned to the Foreign Office if not required for official use.]

FROM JAPAN

Decypher. Sir R. Craigie (Tokyo).

7th August 1959.

D.

1.15 a.m. 8th August 1939.

R.

9.30 a.m. 8th August 1939.

No. 968.

tientéin

45

IMMEDIATE

Your telegram No. 461.

Your Lordship will have since received my telegram No. 946

and my immediately four following telegrams giving the text of the

memorandum.

An agreement in various points arising out of items 1 8 of

agenda has only been reached with the greatest difficulty and persever-

ance. The tentative agreement represents maximum concessions which

we can expect from the Japanese. There is therefore no question now

of any item being left in for bargaining purposes. The bargaining

has been done and we are left with much different terms from those

which the Japanese wished us to accept.

2. The Japanese military are becoming very restless at the

delays consequently I consider it very desirable to enable tension

to be eased that the four men and Ssu Ching-wu should be handed over

at the earliest possible moment. Moreover once this is done and an undertaking given that Li Han-yuan will leave Tientsin as soon as necessary arrangements can be made I will be in a position to insist on General Muto implementing his verbal promise to me that there would

be a radical change in the situation at Tientsin, once these diffi-

culties were out of the way. I ask however that actual decision as

to the best moment for handing over be left to my discretion. I will

give Sir A. Clark Kerr ample warning.

3.....

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