SECRET
-2-
HAS FAILED SO FAR TO REPORT TO THE POLICE.
4. THE COMMUNIST PRESS EXPLOITED MINOR INDUSTRIAL DISPUTES AND LAW
ENFORCEMENT MEASURES RELATED TO SQUATTER, HAWKER AND TRAFFIC CONTROL. RECENT UNSOLVED CRIMES, INCLUDING AN ARMED ROBBERY AT A COMMUNIST BANK IN WHICH ABOUT 144,000 DOLLARS WAS STOLEN (THE SECOND AT A COMMUNIST BANK IN THREE MONTHS), LED TO VEHEMENT COMMUNIST PRESS
ATTACKS AGAINST THE POLICE ALLEGING INCOMPETENCE AND PREOCCUPATION
WITH 'POLITICAL PERSECUTION'.
5. AT SHAT AUKOK POLICE OR MILITARY VEHICLES WERE STONED FROM
BRITISH TERRITORY ON THREE OCCASIONS CAUSING SLIGHT DAMAGE TO
ONE MILITARY VEHICLE. NO INJURIES WERE SUSTAINED.
6 THE FIVE LAU FAU SHAN COMMUNISTS ARRESTED ON 4TH AUGUST AND CHARGED WITH FALSE IMPRISONMENT (TELEGRAM 621) WERE ACQUITTED
BY THE COURT ON 23RD AUGUST ON GROUNDS OF INSUFFICIENT EVIDENCE.
COMMENT:
Fen 4/1
7. WHILST COMMUNIST PRESS MILITANCY CONTINUES, OTHER COMMUNIST
CIRCLES SEEM ANXIOUS TO AVOID INVOLVEMENTS WHICH MIGHT MAR THE
PEACEFUL CELEBRATION OF THE NATIONAL DAY. COMMUNIST UNIONS HAVE
BEEN UNSETTLED BY RECENT CRIMINAL PROSECUTION OF OFFICIALS AND
EFFORTS TO CONSOLIDATE THEIR POSITION HAVE BEEN UNDERMINED. ALTHOUGH OTHER UNIONS STILL RETAIN INELIGIBLE OFFICE-BEARERS THE AWAITED RESULT OF THE GAS WORKERS' UNION ELECTION, DELAYED THROUGH THE ARREST OF THE CHAIRMAN, MAY INDICATE THE STRATEGY THEY INTEND TO FOLLOW. MEANWHILE UNION EFFORTS TO EXERT INFLUENCE IN LABOUR DISPUTES WITHOUT DIRECT INVOLVEMENT HAVE MET WITH LITTLE SUCCESS, AS HAVE RECENT RECRUITMENT CAMPAIGNS. IN COMMUNIST PRESS AND PUBLISHING CIRCLES MORALE IS LOW AND NEWSPAPER CIRCULATION
HAS REMAINED STATIC. AT MAJOR COMMUNIST SCHOOLS POLITICAL
INDOCTRINATION HAS CONTINUED THROUGHOUT THE HOLIDAYS. SOME MINOR
SCHOOLS HAVE RE-OPENED AND ANTI-SOVIET REFERENCES WERE MADE IN OPENING SPEECHES. THE POOR ACADEMIC STANDARD OF COMMUNIST SCHOOL
SECRET
/GRADUATES
;