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3. There remains, therefore, the question of the

disposal of the balance of $2,484.43 which will be left

after the deduction of $1,450 as agreed, since the

Japanese Government disclaim any intention of requesting

ite return. I would suggest that a reply be returned to

the Japanese Government informing them that this balance

will be kept "in suspense" in connection with the numerous

other claims for losses to British subjects arising out

of the Sino-Japanese conflict mentioned in paragraph 2 of

your despatch under reference. I should be glad to learn

whether you agree with this suggestion.

I have the honour to be,

sir,

Your obedient Servant,

(SP) J. T. HENDERSON

(For His Majesty's Ambassador)

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