CO537-3706 — Page 71

Wt.

/665. 8/47. 50,000. S. & S. Ltd.

c. c

Mr. Mayle

Mr..

Mr.

Mr.

Mr.

1/3/48

DRAFT. LETTER.

P.W. SCARLETT, ESQ.

(201)

(194)

FURTHER ACTION.

54145/16/48

Ausil 203

And

218

Permt. U.S. of S.

7/3

× Parly. U.S. S. Mer 18/37, D.

x

Secretary of State:

Your Reference...

1.

Deap. 19/3

9th March, 1948.

Walled City of Kowloon

We have been considering what might

now be said to the Chinese Government, in

the light of the views expressed by the

Governor of Hong Kong in his telegram No.298)

following their intimation that they could

not accept any settlement which did not give

them jurisdiction, and that there would have

to be a public announcement that they would

exercise jurisdiction (paragraph 2 of

Nanking telegram No.238 of 6th March).

2. The terms of this communication will

no doubt require very careful consideration

particularly in view of the possibility of

publicity at a later stage. We should like

to suggest, for consideration, that it

should be on the following lines:

We regret very much to learn

that the Chinese Government are unable

to accept any settlement that does not

give them jurisdiction. We still feel

that our proposal for a Garden of

Remembrance with joint British and

Chinese trustees represents the best

solution for the future of this area and

one which would reduce to a minimum the

need