CO129-504-13 Chinese situation- request from General Li Chai-sum for assistance in obtaining arms and ammunition 27-4-1927 - 6-10-1927 — Page 77

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10. In short, it appears to Mr.

Amery that the adoption of the Govr.'s

proposal in the form suggested above,

would not constitute a breach of the

China Arms Embargo Agreement, would not

involve a reversal of the established

policy of neutrality in China, and

even if known ikum

/would not be objected to by other

Powers, at least two of which follow

the same principle.

Moreover, the

proposal can scarcely be distinguished

in principle from the concessions

already granted to a Northern General.

In view of these considerations, and of

the importance to Hong Kong of pre-

serving harmonious relations with

Canton, 1 am to commend the proposal

to Sir Austen Chamberlain's favourable

consideration.

10.

A copy of this letter is being

sent to the Admiralty, War Office, Air

Ministry and Committee of Imperial

Defence.

I am,

etc.,

(sd) G. Grindle

I