861.77 Chinese Eastern/281: Telegram

The Ambassador in Germany (Schurman) to the Secretary of State

[Paraphrase]

160. Reference Embassy’s 159, August 30, 3 p.m. The Russian Embassy here has just delivered the answer to the Chinese proposal. It is a general acquiescence, but subject to conditions. Among them the chief one is that the Russians have the right to appoint again the former manager, rather than be limited to appoint a new manager, which is stipulated in the Chinese note. However, the Russian representative orally explained that, if the Chinese insisted upon a new [Page 308] manager being appointed and would themselves appoint a new president of the railway board, the Russian Government might consent.

The Russians propose that the negotiations begin not later than September 15 at Moscow.

Schurman