893.516/616: Telegram
The Ambassador in the United Kingdom (Kennedy) to the Secretary of State
[Received June 2—2:23 p.m.]
769. Embassy’s 760, June 1, 7 [5] p.m.62 British Treasury states that telegrams have been sent today to Tokyo and Shanghai indicating skepticism regarding the Japanese assurances and expressing the opinion that in time exchange control may be instituted and Central China subjected to tactics similar to those employed in North China. The British Ambassadors are instructed to confer with their American, French, Dutch and Belgian colleagues and the British banks in Shanghai are to be asked to keep in close touch with their non-Axis colleagues of the Foreign Bankers Association with a view to ensuring non-cooperation.
Although the British Treasury perceives little difference between non-cooperation and active opposition, Craigie apparently does. However, the British Treasury is concerned that “non-cooperative” [Page 413] united front be preserved and ready against the day when the Japanese show their hand. They hope that in the meantime none of the non-Axis foreign banks will be tempted to do special deals with the new Japanese bank.
- Not printed.↩