Local Authorities Given Power to Act; Tokyo Believes Britain Holds Key to Problem Washington, May 12, HE Secretary of State, Mr, Cordell Hull, told the press yes terday that American diplomatic representatives on the scene had been authorized to handle situations as they develop in Shanghai and other Far Eastern points where local difficulties are likely to arise.
'Mr. Hull said he had not received formation of the Japanese Navy spokesman's statement yesterday in Shanghai declaring that Japanese forces might' find it necessary to occupy the British and American defence sectors of the Shanghai International Settlement.
Mr, Hull declined to comment regarding the probable attitude of American authorities in Shanghai in the event the Japanese attempted to occupy the International Settlement.—United Press.
Tokyo, May 13.
British assent to the recent Japanese proposals for a revision of the [statutes governing the administration fof the Shanghai International Sctile~ [ment was held essential by well formed circles here for the solution the thorny Shanghai question, With Britain holding the pixest interests in the International Settlement, her approval of the suggested reforms would automatically secure the assent of other interested Powers, these quarters held.
"An carly. stabilization of the status of the. International Settlement. It was held here, would be beneficial to British as well as other interests
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