§ 7 and 9. Mr. MOREING
asked the Secretary of State for Foreign Affairs (1) whether he will represent to the Japanese Government that the encouragement to smuggling in North China is incompatible with the ancient doctrine of Wang Tao which is being fostered by them in Manchuria;
(2) Whether, in the interests of British loans secured on the Chinese Customs, he will consult the Chinese Government and the various foreign Governments interested in Chinese loans, with a view to organising an international preventive fleet to stop smuggling in North China?
§ Mr. EDEN
I can assure my hon. Friend that no relevant consideration that might conduce to a satisfactory solution of the problem will be lost sight of. 1987 I think, however, as regards the suggestion made in his question No. 9, that the best means of checking the smuggling would be the restoration to the Chinese preventive agencies of the normal means of exercising their authority.
§ Mr. MOREING
Is my right hon. Friend aware that since the Japanese have been in practical control of Manchukuo they have been preaching the doctrine of Wang Tao, which, briefly, is, "Do unto others as you would that they should do unto you," and is it not better that they should apply it to North China as well as to Manchukuo?
§ Mr. H. G. WILLIAMS
Can my right hon. Friend say what Wang Tao is? Has it anything to do with "Wang Ling"?
§ 8. Mr. MOREING
asked the Secretary of State for Foreign Affairs whether any Government other than the British and Chinese Governments has protested to Japan against the smuggling of goods in North China by Japanese subjects?
§ Mr. EDEN
As I informed the House on Monday last, the United States Government have made representations on the subject at Tokyo. No other Government apart from His Majesty's Government and the Chinese Government have, so far as I am aware, yet taken any similar action, though, as I have already said, His Majesty's Ambassador at Tokyo has kept in close touch with the representatives of the other Governments interested.
§ Mr. A. V. ALEXANDER
Has the Foreign Office had any conversations with the Treasury about the effect of this smuggling upon our financial commitments?
§ 12. Mr. CHORLTON
asked the Secretary of State for Foreign Affairs whether any Japanese loans are secured on the Chinese Maritime Customs; and, if so, whether he will represent to the Japanese Government that in their own 1988 interests they should do everything in their power to encourage the effective working of the Chinese Customs service?
§ Mr. EDEN
So far as I am aware, no Japanese loans are directly secured on the Chinese Maritime Customs. There are, however, the 6 per cent. "Treasury Notes in Japanese yen for the Compensation of Public Properties and Salt Interests at, Tsingtao" of 1923, for which the primary security is the surplus of the Customs revenue and Salt Gabelle. The service of these notes has been in default since 1925. As regards the second part of the question, the attention of the Japanese Government has been called to the detriment which is being caused to legitimate Japanese interests in general by the incidence of wholesale smuggling in North China.