893.515/1446: Telegram
The Consul General at Canton (Myers) to the Secretary of State
[Received 5:40 p.m.]
Referring to my telegram September 16, 5 p.m. and despatch No. 32 of September 15,12 the Japanese Consul General in reply to my [protest] of September 14 against the imposition of currency restrictions stated in substance that the existing restrictions have been imposed solely for the purpose of eradicating speculation in currencies and that although there is no intention of interfering with legitimate operations of third power nationals abnormal conditions in Canton make necessary the continuance of the restrictions.
Indications are that no relaxation in the existing restrictions is to be expected in the near future. The business of the National City Bank continues to suffer and the Hong Kong office of the Standard Oil Company has instructed the manager of the local office not to take the risks involved by his making collections personally from agents in the city.
In the light of all the circumstances I recommended for consideration the making of appropriate representations in Tokyo.13
Sent to Peiping. Repeated to Chungking.