JAP. STATEMENT ON CUSTOMS CONTROL

Northern Advocate, 30 November 1937, Page 7

JAP. STATEMENT ON CUSTOMS CONTROL

(Received noon.)

TOKIO, November 29

After delivery of the British and American Notes, the Foreign Office spokesman said: ‘‘l emphasise that Japan does not intend to disturb the present status of Shanghai Customs and will respect the interests of the other Powers entitled to certain amounts on account of loans.” He added that he was unable to reveal the contents of the Notes, but said there were no protests. The Customs administration was definitely part of the Nanking Government: therefore Sir Frederick Maze, inspec-tor-general of Customs, although a Briton, was regarded as an employee of the Chinese Government. Must Control Customs. Japan must control Customs oecause it would be intolerable for Chma to apply tiie proceeds to the purchase of munitions and foodstuffs. Negotiations with the local Chinese Customs officials were progressing smoothly. It was very likely that Britain would be consulted about the ultimate arrangement. “I am certain that control will end when hostilities cease,” the spokesman a'dded.

The official revealed for the first time that Manchukuo Customs quotas due to the Powers on account of loans had been deposited in the Central Bank of Manchukuo and would be available after a simple negotiation. This procedure would probably be adopted at Shanghai.

Matters of Military Strategy.

The spokesman said that, although foreign rights would be preserved, Japan considers it unnecessary to consult Britain and America regarding projected actions in Shanghai, which arc wholly matters of military strategy.

Japan does not intend to interfere with the administrative functions of the municipal council. Anything done would be purely provisional and a matter of military expediency.

All Customs revenues at Tientsin were being paid into the Japanese Yokohama Specie Bank, which was servicing foreign, but not domestic loans.