[CYPHER].
DEPARTMENTAL NO. 2. 214
FROM CHUNGKING TO FOREIGN OFFICE
Sir H. Seymour
No: 569
April 27th, 1942. 27th,1942.
D. 4. 0p.m.
R.
4.45 a.m.
April 27th, 1942. April 28th, 1942.
11111
Your telegram No. 552.
It should be borne in mind that British military setbacks in the Far East, our dependence on Chinese armies for defence of Burma and obvious Chinese realisation (as shown by their behaviour) of what all this may mean, renders the continued retention of British extra-territoriál rights an anomaly which may at any time prove awkward and consequently become dangerous to us itself.
2. It is possible that the Chinese Government will deliberately [? grp. omitted] from raising the matter. I dread the initiative for fear of appearing as suppliants in a matter of national humiliation. But the issue may at any moment be forced on us, e.g. by a motor accident involving a British driver or attempted enforcement of some Chinese war-time regulation affecting foreign firms. We should then either have to make a hurried surrender or come into acute conflict with the Chinese Government by seeking to maintain our extra-territoris rights.
3. Offer to "negotiate after the war" means little at present to the Chinese who would be unlikely to admit that the question is a subject for negotiation.
4. I agree that it is undesirable to issue [2 grps. undec: ? proposed statement] at present time and recommend that any action taken to strengthen our legal machinery should be as unobtrusive as possible. If the question of extra- territoriality is to be shelved indefinitely, the need for Legal Adviser to assist acting judge may arise at any moment. Former would have however to be attached to the Embassy or the Consulate General for general duties, as there would be no legal work for him to do unless and until the need for his services arises. Only China Consular Officer with legal qualifications is believed to be Whitamore now in Manchuria.
[INDIV].