Colonial Office -

ARY

(F 7765/828/10)

Who

Tth the Complissage

of the

t

Borniary of Olai

WB. L. Monson · Esq.

copied to: 10 Mwr

BO

DO

Tsy.

BIT

THIS TELEGRAM IS OF PARTICULAR SECRECY AND SHOULD BE RETAINED BY

THE AUTHORISED RECIPIENT AND NOT PASSED ON7.

CYPHER7

WAR CABINET DISTRIBUTION

FROM CHINA

FROM CHUNGKING TO FOREIGN OFFICE.

Sir H. Seymour, No. 1551

74

Most SECRET

D. 4.15 p.m. 14th November, 1942.

R.

1.30 8. m. 16th November, 1942.

14th November, 1942.

My immediately preceding telegram.

Following are chan es introduced into the Chinese counter draft as compared with our draft.

2. Contents of second paragraph. Words after "relations between them" are deleted.

3. New article 1: "Relations between the Republic of China and United Kingdom, Great Britain and Northern Ireland and India shall t based on the principle of equality and reciprocity".

4. Article 2: Same as our article 1 except that in clause 2 the term "all nationals of Republic of China" is used instead of "all Chinese nationals".

6.

5. Article 3: Same as our article 2.

Article 4: Same as our article 3 except that at the end of clause 2 the following words are added "always provided that such rights are however consonant with laws and regulations of the Republic of China".

Article 5: ame as our article 4 but with the addition of above quoted words at the end of clauses 2 and 4. New clauses 5 an 6 read as follows "5. His Majesty the King considers that the Convention for th Extension of Hongkong /grp. omitted: ? territor concluded at Peking on June 9th 1898 between the Chinese Government and His Majesty's Government in the United Kingdom should be terminated, and agrees that the rights ac orded to His Majesty's Government in United Kingdom under that convention shall cease",

"6. The administration and control of British leased area at Kowloon as shown on the annexed map grp. undec.? referred to 7 in the last para raph of the convention including its official assets and official obligations shall be transferred to the Government of the Republic of China, it being mutually understood that the Government of the Republic of China in taking over the administrat: ~ Gnd control of the said area will make provision for the assumptio: and discharge of its official obligations and liabilities and for recognition and protection of all legitimate rights therein, alway provided that such rights are consonant with the laws and regulati of the Republic of China".

8. Article 6 Clause 1 as in our draft article 5 down to and including the words "have been acquired by fraud"; then continues "or other illegal practice". It is also agreed that exercise of these rights or titles shall be sub ected to the laws and regulati of the Republic of China concerning taxation, national defence and the right of eminent domain, and that no such rights or titles may be alienated to the Government on nationals (including companies) of any third country without the exprese consent of the Government

of/

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