Enclo.No. 3.
lo.2
Enclo No.4.
17
British loans to Chinese militarists had previously appeared in the Man Kwok Yat Po of the 20th December 1926, which accused the Chartered Bank of India,
Australia and China, the British American Tobacco Company and Sir Robert Ho Tung of jointly engineering a loan of £5,000,000 to Marshals Chang Tso-lin and Sun Ch'uan-fang. I enclose copy of correspondence which has passed between me and His Majesty's Consul-General at Canton on this subject.
2.
An even more illuminating exposition of the aims of southern extremists is given in the enclosed
translation of an address delivered by General Cheung Kai-shek at Nan-chang. While General Cheung's prime
object may be the liberation of China from "imperialis-
tic control", and first and foremost from that of Great
Britain as being the most powerful, he has made it no
secret that he hopes to assist all the other so-called "oppressed mations" to a similar liberation (see enclo- ho 20 sure No. 7 to my secret despatch of the 14th January).
This is not mere bombast. I cannot too strongly urge upon His Majesty's Government the necessity for taking Moscow's programme of world-revolution seriously as a
definite scheme for a Russo-Chinese communist coalition
which, with its enormous reserve of proletariat manhood, shall carry the gospel of Lenin in a new crusade to Indo-China, Malaya, India and finally the whole world.
Enclo No. 5.
3.
Moscow has already made use of the sword with startling success in China, and, if the enclosed tele- gram from Chinese sources is correct, may be about to use it more actively. I enclose also a press telegram from Warsaw, dated the 27th January, and published in all the local English newspapers. But for the present
* Not printed.
+ C 3000!!27 [No 20]; not privited.
the
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