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1.

QUARTERLY SUBHARY OF JAPANESE ACTIVITIES.

FIRST QUARTER- 1939.

The local Consul-General left suddenly for Japan

on 4.2.39 following the death of his wife at Tokyo on 3.2.39.

It is reported however that whilst there he attended an

important conference in connection with the South China

situation consequent upon the Japanese bombing of British

territory on 21.2.39. He returned to Hong Kong on 29.3.39

accompanied by MATSUDAIRA, Vice-Consul at Canton, who has

bean stationed temporarily at Shanghai; and IWAI, who purports to be Vice-Consul at Shanghai, but is suspected to be a safe

hand courier making regular trips between Shanghai, Amoy,

Siong Kong and Formosa.

(11) ÚDA, the local Consul, made a sudden trip to Franch Indo-

China in January, allegedly to make contact with espionage

agents.

Identification

(111) Increases have again been made in the local Consulate

staff, suesting further pressure of work.

certificates are being issued through the Consulate to approved Chinese who wish to return to Canton, but it is reported that

only the poorer class Chinese are taking advantage of this.

2.

The increase in the local Japanese population, first noticed after the fall of Canton, has been steadily maintained

throughout the quarter and the adult population now stands at

441 males and 230 females, making a total of 679, but is still far short of the number of residents in iiong Kong prior to

hostilities. Of those who have returned a large proportion

is made up of wives and families following representations made to the local Consulate through the liong Kong Japanese Residents' Association, that they be allowed to return to

liong Kong. Japanese movements in and out of the Colony have shown

a substantial increase since the beginning of the year. A

considerable number of those arriving and departing have been leading officials and industrialists from Formosa and Japan on

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