493.11 N 15/131: Telegram

The Minister in China (MacMurray) to the Secretary of State

260. Second paragraph [of my telegram] of March 30, 8 p.m. from Shanghai:

1.
Cunningham has advised me formulation of memorandum [regarding] functioning [of the] Joint Commission to assess Nanking damages has been delayed through insufficiency of powers [on the part of] G. Zay Wood representing General Huang. He now telegraphs:

“April 22, 5 p.m. Wood conferred with Paxton and me yesterday regarding Nanking reparation when he gave oral undertaking to place in my hand by April 28 (1) letter to the American Minister from Huang Fu, enclosing copy of proposed instruction as handed to the Minister March 30th (see paragraph 2 below) changing ‘set aside’ to [‘]pay to the consul at Nanking initial and subsequent payment[s’]; (2) names of Chinese Commission; (3) letter to me from Wood that Huang accepts in principle my (a) and (b) (see paragraph 3 below); (4) check for $100,000 [as] initial payment He stated that Huang absolutely refused to use my draft for instructions. I am by no means pleased since it is believed this is merely a quibble as my information is that Huang has authority from the Council21 to issue instruction as drafted by me. However, we are sufficiently impressed with the good faith to recommend that your Commissioners be designated to be announced in Shanghai upon fulfillment of (1) to (3) above. The written letters will be evidence to his successor of infinitely more value than oral statement.

Further instructions are requested.”

2.
Draft instructions to Commissioners as handed to me by Huang March 30th are as follows:
  • “(1) Instructions in identical terms concerning the question of compensation to be issued by the Chinese and American Governments to their Commissioners, respectively;
  • (2) Quote textually paragraph in note providing for compensation and Sino-American Joint Commission. Appoint Messrs. (blank) to be Chinese (American) commissioners in conjunction with the American (Chinese) Commissioners.
  • (3) Two Commissioners to be appointed by the American and the Chinese Governments, respectively. In the case of disagreement the dispute shall be referred to an arbitrator of a nation [alky] not concerned with the Nanking incident to be selected by mutual agreement between the commissioners.
  • (4) Claims shall be divided into two categories: (a) Individual claims; (b) group claims.
  • (5) To meet the assessed claims the Government will set aside an initial sum of $100,000 Mexican within one month after exchange of notes.
  • (6) Upon the verification and assessment of the individual claims the group claims will then be verified and assessed.
  • (7) Commission to start to function within one month after exchange of notes and to complete their work within three months upon their organization but to be extended in the case of necessity and upon agreement between the Minister for Foreign Affairs of the Nationalist Government and the American Minister.”
3.
Items (a) and (b) of Cunningham’s counterdraft are as follows:
  • “(a) All government claims, those of Consul J. K. Davis and Vice Consul J. Hall Paxton and the Chinese staff of the consulate shall be accepted and approved as presented.
  • (b) Sworn statements shall be accepted as prima facie evidence of claims presented and only upon proof of errors shall same be questioned.”
4.
I concur in Cunningham’s recommendation as to announcement of designation of American Commissioners. I recommend that I be authorized to designate, without delay, as Commissioners Spiker and either Charles E. Patton or J. Walter Lowrie, both residents of Shanghai and both connected with the Presbyterian Mission (North), since under the agreement the Commission should be constituted by April 30.

MacMurray
  1. Telegram in two sections.
  2. Central Political Council, under the Central Executive Committee, Nationalist Government.