Communist troops are quiet and well behaved and we have not been interfered with though there is still complete uncertainty as to the rules applicable regarding moving about and different rules are applied to different missions. 
2. Though I regret decision to remove Penhalluriack  from Shanghai at present juncture as I feel it will still further damage our prestige, I have instructed him to leave first opportunity that will not deprive private person of a chance of evacuating. I feel sure you will agree that an official at present time should not prevent a private person leaving. I have instructed Loveday to act as Consul-General and authorised him to grant visas, etc.