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TORILAND U-BOAT INCIDENT STORY

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OLDEST NEWPA

IN THE FAR ESTABLISHED 1845.

No. 29,708

THURSDAY, JULY 22, 1937°

Price: 10 Cts.

OF

AUSTRALIA'S CHOICEST

BUTTER

AIR CLASH

MORE PLANES SENT UP New 29th Army Withdrawal Agreement Reported

BUT TROOPS REMAIN at AT

BRITISH

WANPING AND LUKUOCHIAO TALKS WITH

PRINCE KONOYE

INDIAN GUARDS

CALLS EMERGENCY ON H.K. JAPANESE

MEETING OF THE DIET

Tientsin, To-day. Immediate fears are entertained of a Japanese clash in the air.

RESIDENCES

Japanese residents

in the Colony Sino-mob violence should the situation in are apparently taking no risk from

JAPAN OFF

Informat gotiations, been resul have been development Trans-Oce

London, To-day. glo-Japanese ne

vere to have Jesterday, off owing to the

North. China.

SINCERE CO

MURDER

the North take a turn for the worse

At the Kowloon Magistracy this with carbines were seen early this afternoon, the hearing of the afternoon mounting guard on the cere Company murder case, in wh Mody Road side of a group of re-four men are alleged to be involved, sidences of Japanese people, the was re-arranged and it was agreed other flank on Minden Avenue like that the prosecution will wise being patrolled by private In- with the es on 1nesday, dian guards.

According to a message from Loyang, seven and private Indian guards armed heavy bombers were despatched to Nan- yuan to-day, while it is stated that the Chinese have now assembled more than 350 planes in the North China area, and that all the planes that were stationed in Nanking have already proceeded north.

Japanese estimates indicate that the total of the Chinese air force is 940 machines, for which they have fully qualified pilots totalling about 900, not including some sixty Italian and American experts.

The Japanese have also sent a large number of planes into the North China area but they are heavily out-numbered at the moment, and, in view of the activity of the Japanese planes over the Peiping area, carring their reconnaisance as far down as Pao- tingfu, it is feared that they will be offered challenge, Our Own Correspondent.

ANOTHER AGREEMENT REPORTED

Tientsin, To-day.

According to Japanese military headquarters, a representative of the 29th Route Army, acting on the authority of General Sung Cheh-yuan, held a conference with Japanese Army leaders here this morning and reached another agreement for the withdrawal of the 37th Division of the 29th Army to the west of the Yungtung River.

According to this source of information, part of the Chinese troops have already commenced withdrawal in accordance with this agreement and have now abandoned Hamunkao and Paopaoshan. The troops at Lukouchiao and Wanping are still holding their ground, however, though it is hoped that these will agree to commence withdraw- al this morning.

The rumour has revived here that General Sung Cheh-yuan, under pressure of pro-Japanese elements in the Hopei-Chahar Coun- cil, is considering a separate settlement with the Japanese Govern- ment and is prepared to ignore Nanking representations.

This is in the face of repeated denials by General Sung Cheh- yuan of such intentions. Our Own Correspondent.

TOKYO, TO-DAY.

A SPECIAL MEETING OF THE NEW DIET HAS BEEN

· CALLED FOR TO-MORROW MORNING AT 9 O'CLOCK, WHEN

(Continued on Page 24)

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