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and suggest that the Court should deal with the question on its merits as well as on the purely legal aspect, although such a suggestion might not in fact prove to be contrary to our interests, On the other hand a reference to the International Court seems to offer the only hope of an eventual solution and, what is perhaps more important, of reaching a position in the meantime where administrative action can be taken with some assurance that it will not be made the subject of artificially inspired agitation in China. There is also the point that if we refer to the possibility of going to the International Court in the manner proposed and at the sare time indicate that this was a question which we had hoped might be settled amicably between our two great nations without recourse to such a procedure, the Chinese may think again and come round to our proposal for the Garden of Remembrance.

6. I have noted from paregraph 5 of your telegram No. 259, which was received after foregoing bad bo63 drafted, that you inoline towards ipternati 0081 arbitret100, Grateful for your views on bpseific suggestion in paragraph 4 of this telogram and also on the three alternative courses set out in paragraph 3. of these alternativeg my own 11:0lination da to proceed with the Garden of Remembrance with an open invitation to the Chinesc to participate on the joint lines we have suggested at any time they wish to do so. There are three possible arguments in favour of tats coupes, Firstly, it should Peduce occasions for the active exercise of Juriediction. Secondly, it would pole 1ù more difficult than ever for the Chinese to maintain that the jurisdiction issue is of practical importance. Pipally, the oeso for & Garden of Remembrance on grounda of sentiment to in no way affected by its failure as a subution of the Welled by problem.

To It would be useful if in commenting. on this alternative, and also the Park proposal, you could give some idea of the probable cost in each cavo,

8. It would of coupee be necessary to coneide2 how the above points. should be put to tja Chinose, It may be preferable to put the indicato concerning the International Court before our propoasle for dealing with the area in the meantime, profscing both points with an intimation that our proponel for Garden of Esxeabrence with joint truatesg sent a far de ve felt we could go in the direction of meeting the Chinese..

9% We are also considering the question whether In the next communication to the Chineso vo should not iotiate to them that ye shall now have to give publicity to our efforts to find a solution, 100luding our offer of a Garden of Remembrance under joint trnatceship and the Chinese rejection of it, Grateful for Four 1żows on this,

(Copies sent to Pavein offion for krenemission

to Fenking).

Copies sent to

Foreign Office

MP. 4. Senth

THE ROSAS. 8° 27067- $62,