CO129-496 - Public Offices - 1926 — Page 148

Registry No. 2175/8/10

147

F.O..

Draft.

ir R. Macleay

Peking

Telegram

May

1926.

1

(of

Despatched

M.

Your telegrama Nos. 24 and 26 Conference.

April 10th and 14th;

Washington Surtaxes).

You will see from Governor of

Hongkong's telegram of May 20th that he

agrees with Sir J.Jamieson in thinking

that though action in connection with

Washington surtaxes will not affect

boycott situation, nevertheless a good

effect might be produced locally if we

took the initiative in offering proceeds

thereof to Canton. I would like if

possible to harmonise this view with that

expressed in your telegram No.25 so as to

be in position to adopt agreed course of

action when the right moment arrives.

The course which I would propose is to

wait, as you suggest, until levy of

Washington surtaxes is authorised and then

if Canton claims proceeds thereof

forthwith declare that in view of the

prolonged existence in Canton of a local

administration separate from that of the

Central Government we consider claim to be

justified and would be prepared in order

to avoid technical difficulties in

connection with custodianship, to advoca

allocation of such proceeds to Canton

Administration...

21.