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necessary measures for the protection of Japanese residents and the suppression of terrorism, and thus co-operate with the municipal police force. This does not necessarily mean that the Japanese police organs will take any independent action for the suppression of terrorism in general at this juncture, but in bringing the co-operation into practice they intend to take measures more effective than here- tofore. As regards the clothes to be worn by members of the Japanese police organs so co-operating, the Japanese side has no objection to the Municipal Council's proposal in principle, with a view to effecting smoother co-operation with the municipal police.
2. No. 3 and No. 5 merely put forward some particular cases of measures mentioned in No. 2, and, therefore, in carrying out the measures of No. 3 and No. 5 the Japanese police organs will substantially co-operate with the municipal police force according to necessity.
3. As regards No. 4, the Japanese authorities deem the adoption of this proposal vitally important for the effective co-operation with the municipal police in maintaining peace and order in the Settlement. Not only the present vacancies in the Japanese branch of the municipal police force should be filled and its size should be further enhanced, but the proposals contained in Mr. S. Hidaka's letters of the 4th November, 1938, and the 10th December, 1938, should be immediately carried out, independently of the question of the opening of the areas of the Settlement lying north of the Soochow Creek, and the powers of the senior Japanese officers of the municipal police should be increased, and, in particular, they should be enabled to participate in dealing with all the cases of anti- Japanese activities and invested with powers to take necessary measures.
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