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I attach a telegram from Sir Robert Craigie concurring in the proposal to release the soldiers gradually and on medical grounds. We should, therefore, now telegraph to Hong Kong giving the Secretary of State's approval for this. A telegram should also be repeated to Chungking so that Sir A. Clark Carr should let the Chinese authorities know what is being proposed. They will, no doubt, instruct their organisations in Hong Kong to get in touch with the men when they are released.

I should, however, refer to the situation which has recently been created in the Hinterland of Hong Kong by the expansion of Japanese military operations towards Wai chow. In the course of these operations they had

occupied

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