Office of the Historian

893.9111 RR/4–1649: Telegram

The Minister-Counselor of Embassy in China (Clark) to the Secretary of State

Canton, April 16, 1949.
[Received April 17—2:48 a. m.]

Cantel 223. Chinese Press. UP report Pacification Commander Yu Han-mou has prevented shipment silver by Central Bank from Canton to interior China. Kung Ping Pao (C–C Clique51) carried extra April 14 covering story. According UP, Kwangtung garrison troops April 14 prevented loading, approximately 7 tons silver aboard chartered CATC52 plane. Silver returned vaults Central Bank; frozen by military decree. Central Bank official stated shipment ordered National Finance Minister; destined Liuchow for shipment this week, via 6 chartered CAT[C] planes. UP states understood Central Bank already shipped $200,000 before military action. Military states action taken prevent further local inflation. According UP, news proposed shipment forced up local price silver dollar parity with US dollar.

Sent Department; repeated Nanking 198, Shanghai 144.

Clark
  1. Group in the Kuomintang led by Chen Li-fu and Chen Kuo-fu.↩
  2. Central Air Transport Corporation.↩