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es a result of joint action we have decided to re- occupy the concession as e preliminary measure, a measure which we can the more appropriately take in that it concerns our own interests alone, but that we are nevertheless prepared to collaborate with the Fowers either in any further sanctions they may decide to apply against the Hankow government or in any sub- sequent negotiations that may be initiated with the
Ranking government.
(3) Upon what ground should we base our action?
It may be well to treat it only as a sanction for Nanking outrage which presents a clear and simple issue though it could also be justified on further grounds set out in paragraph 7 of my No. 326. These however give greater scope for argumentative reply and are perhaps therefore better avoided.
Please telegraph your views at once.
Repeat to Shanghai for Commander-in-Chief.
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