CO537-3705 — Page 96

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Laren on

right, but if despite the importance of the

above general policy factor and the reasons

for the conclusions indicated in paragraph

one, you still feel that the local situation

demands some action, I shall of course be

very ready to consider the matter further.

it is

Obviously the most important thing

to achieve a solution of the Chinese

claim to jurisdiction within the Walled

which wer

City so as to prevent this claim being used

as a pretext for further incidents in the

future. In this connection, as you are

opposed to Chinese Government's suggestion

that area should be turned into a public

garden containing Office of Commissioner

for Foreifn Affairs, it is agreed that this

suggestion should not be accepted. Before,

however, suggestion in paragraph two of

your telegram No.115 is put to Chinese

Government views in your telegram No.110

en proposal made by Consul-General, Canton,

You

Made

Xin Hong Kong telegram No.109 that area

should be available to Chinese Government

for use as a consulate-generalis under

consideration

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