4191714

NO DISTRIBUTION.

Decypher. Mr. Jamieson, (Tientsin).

May 12th, 1939.

D. (by wireless) May 12th, 1939. 6.0. p.m. May 12th, 1959.

R.

No. 179.

IMPORTANT.

(1)

Your telegram No. 337 to Shanghai and Chungking telegram No. 18 Tour Series to Foreign Office.

Japanese-controlled press is becoming increasingly vehement against failure of British Concession authorities to hand over persons arrested. I an being pressed and accused of insincerity. Local foreign comunity is becoming demoralised and alarmed.

2. Enforcement of barrier system is a double-edged weapon and one which Japanese would, I am convinced, prefer not to see enforced. I cannot overlook possibility that Japanese, if their wishes are not met, will take the more serious step of taking Concession by force. I am convinced this step is in contempla- tion but think it will only be put into effect as a last resort when all efforts have failed to get an amicable settlement of local difficulties. It has been openly stated in press that

decisive measures will be taken.

3. If that step is taken matters will be incalculably worse not only for foreign and Chinese residents of Concession but also for Chinese Government itself. The maintenance of Concessions as such is going a long way to make Japanese domination of north China impossible.

4. Herbert had a friendly conversation with Tanaka this morning. Herbert explained that a telegram was being sent this

orming asking for early clarification of the situation and he is convinced no action will be taken pending your reply.

5. In all the circumstances I hope that I may be given authority to act within limits proposed by me and that a reply will be sent me if possible by 14th May.

Addressed to Foreign office telegram No. 179 of May 12th; repeated to Chungking for His Majesty's Anbassador telegram No. 15, Shanghai telegram No. 235, Tokyo No. 101, Peking No. 111 (Shanghai) repeat to Polyo.

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