File No.

612 CJK
1949
Govt of India
Ministry of E.A. & C.R.

Secret reports received from D.I.B. regarding Chinese affairs and activities

Intelligence Bureau
(Ministry of Home Affairs)
The following extract from an unconfirmed secret report dated 9.12.48. received
through the Calcutta S.C. is passed on for information.
“It is also learnt that diplomatic relations have already been established between the
Communists headed by Mao Tse–tung and the United States of America and the American
Consulate is continuing to function at Mukden, Manchuria, which was occupied by the
Communists long ago.”
A. Jayaram
Assistant Director

Intelligence Bureau
(Ministry of Home Affairs)
The following extracts are from a Secret Report, dated 1.12.48, regarding the Chinese
Situation, are passed on for information.
“The recent visit of Madame Chiang Kai Shek to USA is to persuade America in
granting a heavy loan to China to cope with the financial position of the country to fight the
Communists. Though America does not appear to be unwilling to keep the request of China,
adequate securities are required in this connection before granting any loan to China.
Madame Chiang Kai Shek will try to influence Dr. Kung Hsiang Hsi (6605-4277-4115)
husband of her younger sister, to agree to sign the loan bond with her.
 Besides this the Chinese Govt will also request America to help China by
reorganising the “Flying Tigers” fighter squadrons under the leadership and supervision of
the very American General who created as possible with the object of checking the alarming
advance of Communist troops and also in suppressing their harmful activities.
2. With the exception of the K.M.T. in Canada and India which are still holding K.M.T.
views and policy, all other overseas K.M.T. are now favouring Communism.
A. Jayaram
Assistant Director

Intelligence Bureau,
(Ministry of Home Affairs)
The following extract regarding Chinese Communists activities from a secret report dated 12-
12-48 received from the Calcutta Security Control, is passed on for information:-
“So far South China is comparatively out of Communist influence. Having noticed
daily deterioration in the condition of the Govt Troops, many Hakkas are bringing their
families to India for safety. It is rumoured that the Chinese Communists have made their
stronghold in Hongkong with a view to make a thrust to South China from Hongkong at the
opportune moment.
The local Chinese seems indifferent about the impending political change, as it
appears, in China. They believe that whatever party takes over the charge of the Govt their
interest would be safeguarded. They think it a mere change of power from the weak to the
strong.”
A. Jayaram
Assistant Director

Intelligence Bureau,
(Ministry of Home Affairs)
The following report dated 16.12.48 regarding the activities of the Chinese in India received
from the Security Council, Calcutta, is passed on for information:-
 1. Calcutta Hakkas mostly from Dhapa areas, 24-Paraganas, make journeys to and from
Calcutta-Hongkong as stowaways. They carry money, letters and other commodities
from Dhapa and Calcutta. They deliver the money and letter for different persons in
Mei-hsien, a district in South China (Kwangtung province). They trade with the
commodities. Due to daily inflation of the Chinese currency, they could make good
profit out of the money entrusted to them by different persons for payment to their
dependents in China. Now-a-days some Hakkas make business in this way by taking
advantage of 6months no-objection return to India visa. They also bring Chinese
provisions to sell same in Calcutta.
2. Re: overseas Chinese assets in India.
Chinese Central Govt promulgate dan Ordinance sometime ago to assess the assets of the
Overseas Chinese throughout the world, Mr. Li Wei-Pin and Yu Shu-Hsien secretary of the
local KMT have been entrusted with by the Chinese Overseas Affairs Department to make a
report on the assets of all Chinese in India.”
A. Jayaram
Assistant Director