862i.73/38

The Japanese Embassy to the Department of State35

(Tentative draft)

1.
The Yap–Shanghai cable to be assigned to and owned by Japan; the value of said cable to be credited by Japan to Germany in the reparation account conformably with the provisions in Part VIII, Section I, Annex VII of the Treaty of Versailles.
2.
The Yap–Guam cable to be assigned to and owned by the United States; the value of said cable to be likewise credited by the United States to Germany.
3.
The Yap–Menado cable to be assigned to and owned by The Netherlands, in full and final satisfaction of all claims of the Netherland Government and its nationals respecting their interests in the German-Netherland Telegraph Company.
4.
Each country to operate both ends of the cable which it owns under the foregoing plans of allocation.
5.
Arrangements to be made among Japan, the United States and The Netherlands for the regulation of their connecting cable services at Yap.
6.
Japan to lay a cable between Naba and Shanghai, which is to be connected with the existing Yap–Naba section, so as to establish Yap–Naba–Shanghai services; the means of connection between the Yap–Naba section and the Naba–Shanghai section to be determined by Japan, having in view the promotion of facilities of communication.
7.
The Shanghai end of the Yap–Naba–Shanghai cable to be brought in to the Japanese Telegraph Office at Shanghai, which will undertake the receiving and delivery of messages passing over said cable; provided, however, that with regard to messages emanating from or destined to the Great Northern Telegraph system, suitable arrangements will be made between the Japanese Telegraph Administration and the Great Northern Telegraph Company for the transmission of such messages.
8.
The operation by the United States or by The Netherlands of its own cable at Yap to be free from all taxation or control at the hands of the local authorities.
9.
The Principal Allied and Associated Governments jointly to communicate with The Netherlands, China and the Great Northern Telegraph Company, in order to secure the necessary consent of each of these parties to the terms of the present arrangement in which such parties are respectively interested.
  1. Handed to the Secretary of State by the Japanese Ambassador, June 18.