893.00/7–2748: Telegram

The Consul General at Mukden (Ward) to the Secretary of State

316. Student demonstration inspired by July 5 student slaying Peiping in progress Mukden. Assembly and speeches from municipal govt building to be followed by parades and slogan posting. Some 4,000 students representing 46 groups participating. Assembly calm and orderly. Boy Scouts and few police maintaining order. No troops in evidence. Slogans directed against alleged discrimination against northeast by Govt (alleged desire Govt remove universities and related subsidies from Mukden and impress northeast students into army) and Peiping authorities responsible July 5 incident. Peiping dead mourned. Appears demonstration will remain orderly. This largest student demonstration northeast since VJ Day.

Demonstrations significant chiefly as evidence growing persecution complex civilians Nationalist-held northeast. Complex result chiefly grievances restrictions northeast currency, difficulties maintenance universities Mukden, and general exasperation living conditions Nationalist-held areas, all of which given much publicity recently. Presently does not appear dissatisfaction evidenced these complaints will have serious immediate repercussions. They may influence Govt be more careful in matters pertaining Manchuria.

Sent Nanking 395, repeated Dept 316.

Dept please pass Nanking.

Ward