CO537-3706 — Page 67

alternative courses of action pending the Court's decision. Finally, the Chinese Government will understand that it will be very desirable from our point of view to make a public statement on the whole question very shortly, which will of course have to include a reference to our proposals for the Garden of Remembrance and the Chinese Government's inability to accept them, but that we hope that it may be possible to agree a joint statement with the Chinese Government for this purpose.

3. There are two points arising out of our suggestions in the foregoing paragraph to which I should' draw attention. The first is that the Garden of Remembrance is added as an alternative to the main- tenance of the status quo for the period pending the decision of the Court. The Governor proposes only the maintenance of the status quo, but we think that there would be some advantage in putting in the Garden of Remembrance as an alternative in our communication to the Chinese. If they agreed to this alternative and were prepared to co-operate in seeing that the measures that would have to be taken to clear the area were not made the subject of agitation in China, it might turn out to be a more satisfactory procedure from our point of view, particularly if the reference to the International Court was likely to take some time. The second point relates to the doubts expressed in paragraph 4 of the Governor's

telegram