893.74/727: Telegram

The Chargé in China ( Mayer ) to the Secretary of State

[Paraphrase]

474. Your telegram 210, September 30, 6 p.m.

1.
The confidential Chinese agent of the Federal Company here states that the Director General of Telegraphs, Chiang, has told him twice lately that it is now a propitious time for us to take up the wireless question again, and each of them considers Koo favorable to our desires regarding the question. That Koo is both Acting Premier and Minister for Foreign Affairs would likewise appear to be to our advantage.
2.
I was further informed by the Federal Company’s agent that he is reliably advised that within about two months Chang Tso-lin intends to put his own cabinet in power here and that the present stop-gap organization is only permitted out of respect for Wu Pei-fu, who had a working agreement with Chang Tso-lin and whose influence is now waning in China, if it is not practically lost. Should this information be correct, as I am rather inclined to think, it would be preferable for us, in view of the pro-Japanese connections of Chang Tso-lin, to make a further attempt to have the Federal Company contract executed during the lifetime of the present cabinet.
3.
Pursuant to the Department’s telegram aforementioned, I shall take no action in the matter unless directed to do so.
Mayer