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THE CHINA MAIL, JANUARY 5, 1940
U.S. BUDGET
BUDGET SPEECH New Barracks In Hawaii:::: More Merchant Ships
Sir John Simon, who yesterday declined to encourage civil ser- vants to expect salary Increases to compensate for the rising cost of living.
SHE SENT £10,000 TO HELP ALLIES
It was announced yesterday that the £1,000,000 fund for the purchase of supplies for the Allies, as sponsor- ed by the mayors of the principal cities in South Africa, has received a cheque, for £10,000 from Miss Elsie Garlick, member of 2 well-known Capetown family.
Miss Garlick stipulated that the money should be used at the discre- tion of the British Government, and the Mayor of Johannesburg, who is chairman of the fund, has announced that the donation will be forwarded to London within the next few days.
INTERNED SOLDIER
SENTENCED
A Chinese internee, Mak-Chi-ching, 35, was sentenced to two weeks' hard labour this morning by Mr. E. Hims- worth for damaging Government pro- perty in the new camp in Argyle Street..
Inspector H. E. Rogers said accused interfered with the electric wire in his sleeping hut, as he wanted more light.
MOTOR ACCIDENT
A Chinese, Au Yeung-ling, was treated at the Queen Mary Hospital for injuries to his head, after he had been knocked down by a motor car driven by Signalman J. Egan, of the Royal Signals Corps, in Island Road, near Main Street, Shaukiwan, yester- day.
THEFT OF A LETTER
Found guilty of stealing a letter from No. 1A, Queen Victoria Street, Man Lau, 29, was sentenced to six months' hard labour by Mr. R. Ed- wards this morning.
Defendant was seen taking the let ter out of the box on the staircase,
FITTER'S LOSS
A fitter on board the. 8.5. St. Bernard has informed the Police that while the ship was on the high sea, someone on board stole £50 in notes from his coat pocket.
TAXATION TO BE ON BASIS OF ABILITY TO PAY
Washington, To-day.
IN THE COURSE OF A review of fiscal policy in his Budget Speech, President Roosevelt pointed out that the deliberate use of Government funds to energise private enterprise profoundly affected both Government and private incomes. National income in four years had risen 69 per cent.,
the biggest rise in any similar period in history. The Work Progress Administration would be en- abled to provide employment for an average of 135,000 people.
FRENCH
COMMUNIST
APPEAL REJECTED
(SPECIAL TO “CHINA MAIL")
Paris, To-day.
The military court of appeals yesterday rejected the request of 28 former Communist Deputies for provisional liberty pending their trial.
The former Daputies are at pre- sent being held in the Sante pri- son in Paris on charges of at- tempting to reconstitute a politi- cal party banned by law-Havas.
T. H. A. Erikson, of Conduit Road, summoned, before Mr. R. A. D. For-
unattended in Ice House Street, was fined $5.
The Farm Security Administration would operate on rest this morning, for leaving his car
about 80 per cent. of last year's level.
Relief expenditure would be close-
ly geared to actual needs, but present hopes were disappointed, re- į vised estimates might be submitted later in the session.
Replying to criticism of the Public' Debt, President Roosevelt pointed out that there were durable and tangible assets constructed or purchased by had the Government, though these never yet been Usted.
The expenditure estimates in. cluded nearly $150,000,000 for construction of merchant ship ping.
One of the largest army con- struction items was $1,264,000 for barracks at Hawail..
ABILITY TO PAY
The President did not tell Congress how he proposed to raise the new defence taxes, but suggested they should follow the principle of taxing according to ability to pay, and avoid taxes which would decrease the con- sumer's buying power.
the
It is generally believed that this rules out excise taxes and suggests possibility of higher income taxes.- Reuter.
BUDGET TO EXCEED EIGHT THOUSAND MILLIONS
Washington, To-day, The Budget Estimates provide for expenditure totalling US$8,424,000,000 and revenue totalling US$6,248,000,- 000, and therefore for a' deficit of $2,176,000,000 against $3,933,000,000 in the last Budget.
The President makes recommenda- tions for new taxation amounting to $480,000,000 further reducing the de- felt, to $1,718,000,000.
BIG ITEMB
SUCCESSFUL CHINESE COUNTER-ATTACKS IN
NORTH KWANGTUNG
Chungking, To-day.
THE CHINESE FORCES IN northern Kwangtung counter- attacked on New Year's Day and after 48 hours' heavy fighting drove the Japanese back along the entire front, declared the Chinese military spokesman at the press conference.
Reviewing the battle the spokesman stated the Japanese pushed northward from Canton in three columns in the latter part of December the centre striking from Tsungfa, the right wing from Lungmoon and the left wing along the Canton-Hankow railway.
The two wings, and particularly the the Chinese forces attacked the Ja- right, made rapid progress in their panese right wing at Yungyun, on New, advance,
Year's Day, from two directions.
As the left column reached Yingtak, on the railway, the right column went beyond Meikeng and reached Yung- yun and Sanhua.
The Chinese command decided to hold the Japanese at the centre while the Chinese forces east and west of the railway attacked the Japanese wings.
COUNTER-ATTACK
A Chinese column from Shulkwan attacked the Japanese from the north- west, while another Chinese column from south Klangsi attacked from the north-east,
Meanwhile another Chinese detach- The Japanese centre was halted by ment attacked Meikeng, in the Ja- the Chinese in the hills in the vicinity |panese rear. of Liangkou and Liupeitsi, whereupon This Japanese column was eventual- ly forced to withdraw southward back providing for an expenditure of $804,-to Lungmoon. 500,000, an Increase of $183,000,000
At the same time, the spokes- on last year. He explained that with man concluded, the left wing on the certain emergency works and other railway was driven back to Lienklang- extras, the grand total for the Navykou, south of Yingtak.-Reuter. would be $1,224,000,000, and much
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of the increase would be devoted to warship construction.
Programmes other than for national
Besides continuing work on the defence are estimated to swallow 120 (actual) ships, the President is $1,300,000,000 on work relief, $800, asking for funds to construct two 000,000 on the agricultural program- {battleships, one aircraft-carrier, one' me, $1,100,000,000 on public works minesweeper, two cruisers, eight de- and investments, $1,200,000,000 onstroyers, six submarines, one sub- pensions, $1,100.000,000 in interest on marine tender, and three seaplane the public debt and $1,000,000,000 in tenders. the operation of government depart- ments.
The President, in his Message, said that the expenditure represented the needs of the country to develop and maintain normal defence preparations and emergency defence expenditures in view of the world situation.
There has been heavy priming of the expenditure of other departments.
NAVY BUDGET
The battleships will be the ninth and tenth constructed in five years.
65,000-TON SHIPS
Their size is not specified in Presidential Message, but the Navy is preparing for craft of 85,000 tons.
the
The Budget provides for 145,000 men for the. Navy and 25,000 for the Marines.
The Army Budget recommends an cxpenditure of $1,007,000,000, for the Army's air and land forces, be- President Roosevelt later. sent toing an increase of $40,000,000 on the Congress the regular Navy Budget current year-Reuter.
RICE SHOPS LOOTED
Shanghai, To-day. Tén rice shops were looted yester- day in spite of the great reduction in the price.
There many hundreds in and around Shanghal who are starving. Yester- day some 30 arrests were made in connection with looting-Our Own Correspondent.
WEATHER REPORT
The Royal Observatory reports that the ridge of moderately high pressure persists between south-west China, and the Bonins.
A depression is approaching Hok- kaldo from the Sea of Japan.