In any further communication
on this subject, please quote
No. F 2902/279/10
and address→
not to any person by name
but to-
"The Under-Secretary of State,"
Foreign Office,
London, S.W.1.
IMMEDIATE.
.
Sir,
RECI
2
C.O. PEGY
FOREIGN OFFICE.
S.W.1.
D
25th March, 1938.
174
I am directed by Viscount Halifax to transmit to you
herewith a copy of a telegram which he has received from His
Majesty's Ambassador in China regarding preparations being made
by the Chinese to destroy the property of the Canton Kowloon
Railway. Lord Halifax is advised that the Chinese Government
.
have the right, to take all necessary measures of defence
against invasion and, up to a point, to act in advance of an
actual emergency. In the event of a Japanese invasion of this
area it would be extremely difficult to dissuade them from
exercising this right, and in Lord Halifax's view the only
method of safeguarding the interests of railway bondholders is
to make arrangements for the moveable property of the railway
to be stored for safety in Kowloon. If it should be decided to
adopt this course Lord Halifax would suggest that an arrangement
should be made in advance with the Chinese authorities in order
to avoid confusion if and when the emergency arises.
I am
accordingly to enquire whether Mr. Ormsby-Gore would see any objection to His Majesty's Consul-General at Canton entering
into discussions with the local Chinese authorities with a view
to an arrangement by which in case of emergency as much as possible of the rolling stock and other moveable property of the Railway would be stored for safety in Kowloon.
The Under-Secretary of State,
Colonial Office.
2.
A/
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