CO129-579-3 Sino-Japanese War- shipping 30-10-1938 - 23-12-1939 — Page 104

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to use for this purpose any

special or emergency powers which

they may possess. Whether there are

ordinary legal grounds upon which

the ships could be detained appears

to be a matter entirely for the

Government of Hong Kong themselves to

decide.

3.

Should the Chinese authorities

be anxious that the ships in question

should not fall into Japanese hands,

it would appear to be for them to take

the necessary steps, vis-à-vis the

Chinese interests concerned, and if

necessary, to make it worth the

latters' while not to part with them.

I have, etc.

(Sgd.) MALCOLM MacDONALD