COPY

23

PILOTAGE

Minutes of a meeting at the Japanese Consulate-General

with Messrs. Kita & Yoshioka on July 26th, 1940.

In reply to my enquiry Mr. Yoshioka said that the Navy were very indignant at the proposal contained in my letter of July 19th (copy attached). The Association had warned the navy that they would refuse to go aboard any further British vessels unless and until the prescribed fees were paid by the British companies in the same way as they were paid in full by the Japanese and Portuguese companies.

2. I replied that the compromise which I had suggested was eminently fair. In February 1st the Japanese naval authorities had unilaterally defined the term (reasonable fee) under clause 5(e) of the ally define Blunt-Okazaki agreement. Obviously they should have consulted the second party to the agreement and come to a bilateral understanding as to what constituted a reasonable fee".

done.

3. Mr. Yoshioka admitted this should have been

I

4. I continued that had this been done and had I (as party to the original clause 5(e)) been here, I would have made the proposals contained in my letter of July 19th. I further questioned whether Portuguese steamers paid the full fee prescribed. asked from what date Japanese vessels had paid this prescribed fee. I could understand the attitude and feeling of the Japanese pilots, but the fault was with the navy for taking unilateral action on a bilateral agreement. I would consult the Hongkong shipping companies thereon during this weekend.

(initialled) A.P.B.

26/7/1940.

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