CO129-563-17 Sino-Japanese War- attacks on shipping. For extracted photographs see CN 3-12 27-9-1937 - 17-1-1938 — Page 136

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of a daylight patrol by one of H. M.snips

within the leased territorial waters of the

also

Colony. The S. of S. observes that,

in reply, the C. in C. China states that he

does not propose to take any steps at this

moment which may have the effect of further

prejudicing relations of H. M. G. with the

Japanese Government, and that he considers

it a mistake to allow vessels flying the

Chinese national maritime customs flag to

trade on the security of British territorial

waters in pursuing their duties, and suggests

that this practice should be stopped as the

best compromise under the circumstances.

As their Lordships are aware, Chinese vessels

of war, whether neutral or otherwise, retain

the right to use the waters of Mirs Bay and

Deep Bay under the 1898 Convention between the

Further

U.K.

and China, aatamtanexofte, as already

stated in the letter from this Department

of the btn of October, the S. of S. considers

tnat it would not be in the best interests of

the Colony or of British relations with China

if