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Espionage Fear Results in Refugee Curbs in French Part of Shanghai

The French Municipal Council here has decided to refuse building permits or trading licenses to all persons in the French concession with German passports pending an investigation aimed at making a distinction between Bonafide refugees and German agents.

The action was taken, it was stated, because of reports that German agents here had sought to avoid suspicion by having their passports stamped with the red “J” used by the German authorities to designate Jews. The council promised that licenses would be issued later to genuine Jewish and political refugees able to offer sufficient guarantees of their responsibility.