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DECLASSIFIED
TOP SECRET
E. O. 11652, Sec. 3(E) and 5(D) or (E)
OSD letter, April 12, 1974
By NLT-
NARS Date 7.14.75
places recently taken over. Communists present occupation of Harbin
might possibly be traded by them against Government possession of
Kalgan, etc. The Communists had agreed in June to release Harbin to
the Government, the Government on the other hand was then ready to
accept continued occupation of Kalgan by the Communists.
Since Chou's return he called on Doctor Stuart once, Tuesday.
Doctor Stuart reported on this, "The interview was a long story of
distrust and misconceptions". Chou did not communicate with me until
he appeared unannounced late this morning and had a two hour confer-
ence with me, not including the half hour we devoted to lunch.
Doctor Stuart and I have, in effect, kept clear of the negotia-
tions this week, endeavoring to push to the public forefront the
Third Party and Doctor Sun Fo. At the same time, the Third Party
members have reported to us and consulted us.
Chou today recited most of the differences from the Communist
point of view taking the stand that the Government had stipulated
unacceptable terms which amounted to a surrender, and was at the same
time determinedly pursuing a full dress military campaign. He said
Yenan, learning of the Generalissimo's departure, had recalled Chou.
He had advised against his leaving Nanking for the next few days in
the hope that some good might come from the Third Party effort. He
then covered the military situation of aggressive Government actions
and said he made those comments to me as a member of the Committee of
Three. I asked whether or not he was suggesting an immediate meeting
of the Committee and while his reply was a somewhat complicated state-
ment, apparently he was not asking for such a meeting at this moment.
I tried to disabuse his belief regarding the Formosa trip and informed
him that the Generalissimo returns tomorrow, Sunday, at 2 P. M.
We had a long talk but it was without much effect as he adheres
stubbornly to his belief in Government duplicity of intent as to the
Kalgan truce episode and prejudiced action by Doctor Stuart and me in
giving a press release on it, and regarding unreasonable or evil
purposes of the Government in putting forward the eight points in the
Generalissimo's statement of October 16th. The important point of the
interview today was the fact that Chou called on me despite his attacks
on the impartial integrity of my actions and of my final statement in
our Shanghai interview that by his own statements he had terminated my
services as mediator.
I can make no predictions favorable or unfavorable. Negotiations
are still under way and, very fortunately, I think, under the auspices
of Chinese mediators instead of American. The Generalissimo's return
may either help or hinder. The Marine Corps incidents concerned with
hunting parties complicate matters.
TOP SECRET OLUNCI
REVERMENT
- 2 -
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"ocrText": "DECLASSIFIED\nTOP SECRET\nE. O. 11652, Sec. 3(E) and 5(D) or (E)\nOSD letter, April 12, 1974\nBy NLT-\nNARS Date 7.14.75\nplaces recently taken over. Communists present occupation of Harbin\nmight possibly be traded by them against Government possession of\nKalgan, etc. The Communists had agreed in June to release Harbin to\nthe Government, the Government on the other hand was then ready to\naccept continued occupation of Kalgan by the Communists.\nSince Chou's return he called on Doctor Stuart once, Tuesday.\nDoctor Stuart reported on this, \"The interview was a long story of\ndistrust and misconceptions\". Chou did not communicate with me until\nhe appeared unannounced late this morning and had a two hour confer-\nence with me, not including the half hour we devoted to lunch.\nDoctor Stuart and I have, in effect, kept clear of the negotia-\ntions this week, endeavoring to push to the public forefront the\nThird Party and Doctor Sun Fo. At the same time, the Third Party\nmembers have reported to us and consulted us.\nChou today recited most of the differences from the Communist\npoint of view taking the stand that the Government had stipulated\nunacceptable terms which amounted to a surrender, and was at the same\ntime determinedly pursuing a full dress military campaign. He said\nYenan, learning of the Generalissimo's departure, had recalled Chou.\nHe had advised against his leaving Nanking for the next few days in\nthe hope that some good might come from the Third Party effort. He\nthen covered the military situation of aggressive Government actions\nand said he made those comments to me as a member of the Committee of\nThree. I asked whether or not he was suggesting an immediate meeting\nof the Committee and while his reply was a somewhat complicated state-\nment, apparently he was not asking for such a meeting at this moment.\nI tried to disabuse his belief regarding the Formosa trip and informed\nhim that the Generalissimo returns tomorrow, Sunday, at 2 P. M.\nWe had a long talk but it was without much effect as he adheres\nstubbornly to his belief in Government duplicity of intent as to the\nKalgan truce episode and prejudiced action by Doctor Stuart and me in\ngiving a press release on it, and regarding unreasonable or evil\npurposes of the Government in putting forward the eight points in the\nGeneralissimo's statement of October 16th. The important point of the\ninterview today was the fact that Chou called on me despite his attacks\non the impartial integrity of my actions and of my final statement in\nour Shanghai interview that by his own statements he had terminated my\nservices as mediator.\nI can make no predictions favorable or unfavorable. Negotiations\nare still under way and, very fortunately, I think, under the auspices\nof Chinese mediators instead of American. The Generalissimo's return\nmay either help or hinder. The Marine Corps incidents concerned with\nhunting parties complicate matters.\nTOP SECRET OLUNCI\nREVERMENT\n- 2 -"
}