FOREIGN RELATIONS, 1934, VOLUME III



munications had been reached, such as, for example, extension of
through passenger traffic on the Peiping-Liaoning Railway westward
to Paot'ou in Suiyuan Province. The Legation has been unable to
obtain substantiation of this report. The Chinese official of the Pei-
ping Political Affairs Readjustment Committee, referred to above,
informed a member of the Legation that he had seen a copy of the
postal agreement and that it referred to no matters other than postal.
He stated that he had no knowledge of any other agreements.
  It may be mentioned that there are, at this time, an unusual number
of rumors current, some of them allegedly being fabricated by one
Chinese faction in North China to embarrass another faction. How-
ever, the transfer of the capital of Hopei Province from Tientsin to
Paoting, which will result in weakening the position of General Yu
Hsueh-chung and in strengthening that of General Huang Fu, seems
to be assured by the recent approval of the transfer by the Executive
Yuan. The press also reports that General Huang Fu has just been
appointed Minister of the Interior, an appointment which is probably
for the purpose of further increasing his prestige, although it may,
conceivably, envisage his departure from North China.
  Respectfully yours,                                C. E. GAuSS

8621.01/305
    The Ambassador in Japan (Grew,) to the Secretary of State

No. 1076                              TOKYO, December 7, 1934.
                                       [Received December 28.]
  Sm: I have the honor to report that a press despatch from Geneva
dated November 12 stated that the League of Nations Mandates Com-
mission would take note of reports concerning the alleged fortifica-
tion of Japan's mandated islands in the South Seas. This report
evoked a flat denial from the Japanese Foreign Office that Japan had
established military structures on the islands, according to the Japan
Advertiser and the Osaka Mainichi of November 15. The substance
of the oral statement given to the press by the Foreign Office spokes-
man on November 14 is as follows:
  (1) In exercising control of its mandated islands Japan has strictly
observed the regulations of the mandate and has in no circumstance
deviated from these regulations.
  (2) Japan has never established military structures on the islands
and has taken no measures that violate the fortification provisions in
the Washington Treaty.47

4T See article XIX of the naval treaty signed February 6, 1922, Foreign Rela-
tions, 1922, vol. I, p. 247.



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