File 893.51/630.

The Secretary of State to the American Chargé d’Affaires.

[Telegram.—Extract.—Paraphrase.]

The Department has been informed by the American group that a loan such as reported in your telegram of October 28 would seriously affect the issue of the loan for currency reform already agreed upon and might seriously interfere with carrying out that reform as well as adversely affecting China’s credit in future. You may informally request of the Chinese Government further details of any proposed loan.

Knox.