793.94/3750

Memorandum by the Assistant Chief of the Division of Far Eastern Affairs (Hamilton)

Mr. Kato of the Japanese Embassy just phoned again (4 p.m.) and stated that the Embassy had a second telegram from the Japanese Foreign Office stating that at 2 p.m. today the Shanghai Municipal Council closed the office in the International Settlement of the Min Kuo Yih Pao; and that the Municipal Council had decided not to close for the time being the office in the International Settlement of the Anti-Japanese Association but that, whenever the Japanese Naval authorities desired that this office be closed, the Municipal Council would cooperate with the Japanese Navy in closing the office.

Mr. Hamilton was unable to ascertain from Mr. Kato whether the message meant that when the office of the Anti-Japanese Association was closed it would be closed by the Municipal Council or by the Japanese Navy or by both acting in cooperation.

Mr. Kato stated also that a further telegram received by the Embassy from Shanghai indicated that conditions there were improving.

M[axwell] M. H[amilton]