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ESTABLISHED FOR MORE THAN 100 YEARS

HONG KONG, THURSDAY, JULY 7, 1949.

Price: 20 Cents,

“SKANDEX"

CARD-INDEX, STEEL, CABINET Swedish made.

High Quality Low Price Various Sizes In Stock Ask for a Demonstration At:- HONG KONG 'TYPEWRITER EXCHANGE

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CRIPPS' SPEECH IN COMMONS Choppy Water In S. Koreans Claim

No Devaluation Of Sterling Intended

DECLINE IN RESERVES

London, July 6.

Sir Stafford Cripps, Chancellor of the Exchequer, told the House of Com. mons today, "The Government have not the slightest intention of de- valuing the Pound." The statement was grooted with choors.

Sir Stafford also announced that the reserves of the Sterling Area fell from £471,000,000 on March 31 last to £406,000,000 on June 30.

Tropical Depression

Manila, July 6.

The Weather Bureau an. nounced today a tropical de- preseion had been located 170 Esat North East of Surigao in the North Eastern Mindanao, warned North-

and ern Mindanas and the Virayan island and Southern Luzon will be greatly affect. ed with moderate to heavy enins.

30

The warning told winds of m.p.h. were expected near the centre of the tropical de- pression which, was

moving

West North West at 11 m.p.h. The Bureau sald at 2 a.m. tomorrow the depression 18 expected to be centered 60

miles North East of Surigao and at 2 p.m. tomorrow i Is expected to be 40 miles North of Cebu In the Visayan Islands-United Press.

Mao Tse-tung

dollar

He disclosed that the British Government had in-

troduced a standstill agreement on purchases in mid-June. This agreement will be continued for at least three months.

Death Of

Japanese Rail Chief

He said that existing con- tracts and commitments will remain in force, but speciße authority will be required for new purchases.

that

Sir Stafford warned after a new import programme

had been completed, probably Brind Serves

by September, it might be necessary to reduce consump- tion of certain dollar food- stuffs.

Tokyo, July 6. The mutilated body of Sol-

Sir Stafford Cripps, British danor! Shimoyama, missing Chancellor of the Exchequer, told President of the State Ratl the House of Commons that, a way Corporation, was dis- was known, the most dificult covered at 1.20 this morning problem with which to Sterling scattered over a distance of Area had been faced was in its

balance of trade and

40 yards on the railway em-with the dollar area. bankment behind Kosuge Pri-

son.

Making his

payments

Warning To Chinese Govt

The High Road

This stretch of choppy water ocetiples a street In Maitland, New South Wales, Australia, which is in the flood, area. About 6,000 of the town's 21,000 people are homeless following the torrential rohs of the last few days. When this picture was nude, the water level was reported to be falling.—AP Photo,

FE Freight Conference Orders No More S'hai Bills Of Lading

Tokyo, July 6, Admiral Sir Patrick Brind commander-in-chief of the Far Eastern station. todav told

at press conference ¤ Tokyo that British warships awaited would cagerly

defend any British An announcement was issued statement on Britain's gold and

ship attacked in Chinese difficulties. Slr Stafford at 6 am. by the National Police dollar

waters, wherever possible. Headquarters after the body was id: identified beyond reasonable doubt" as that of the Government rail-

has been a decline of business attack British shipping by sex or The once busy port of Shanghai, now spurned by way chief.

The head wor crushed, both ivity in many parts of the world. air, and British warships will stop

morchantmen, got more instead of a seller's market, we that wherever possible," he said | legs

a train and the face was mutilat now have a buyer's market

The population of · Hong Kong. ed beyond recognition.

all tcnów "As we

the most was calm and conscious of the fact Clothes, name cards and watch dimeult problem with which the that Britain would defond this were identified as those of Shi-Sterling Aren has been faced is in Colony, added Sir Patrick. moyama by relatives.

Its balance of trade and payments with the dollar area.

Overture and one arm were severed by

To Japanese

The

Manila, July 0. The body has been taken to the Chinese Communist Tokyo University Hospita for eu- leader. Mr. Mao Tse-tung, topsy. Pending results the pelire

"During recent

months there

tonight offered economic and refuse to state whether death was Critical Effect

after the

"This has been well demonstrat-

by the critical

diplomatic relations with the tide or murder. Japanese *people

The discovery of the body has Intensifed police investigation of formation of a coalition gov- the case. The police traced him

effect of the ernment in China.

shortly after 8.30 am. yesterday dollar shortage upon our sterling The statement was made in alto a bank in Nihonbashi. He told economy over the last few years. Chinese-language broadcast from his car driver to walt five minutes The decline in demand from the Pelping on the eve of the Double and after going to the bank he dolla

ara for Sterling goods Seven celebration observing, the was not seen until his body was naturally brings with it important anniversary of the outbreak of discovered Ave miles

Tokyo

the Sino-Japanese war at Marco Polo bridge, in July 7, 1937.

The declaration, signed by Mao Tse-tung, Li Chai-zum, Chairman of the Kuomintang Revolutionary Committee, and others, said that Tons of life and property during the civil war was greater than claring the fighting against Japan.

outsideeensequences.

Emergency State? Following himoyama's dis. appearance Jast night

the Japanese Public Safety Com mission ordered provincial police authorities to take pre- liminary stepa for pozalbis pro- clamation of, a state of emer. genty.

change in the Anancial "This and commercial climate has meant that the shortage of dollars in the

become ever Sterling Area hos more marked,

"From

“Neither side is entitled to at-

The Admiral confirmed that the aircraft carrier "Trumph" was proceeding to Hong Kong, com- plete with logistical support to en able it to operate from it. "There. ho may be another if needed," added.

Wa

have

Shanghai, July 6.

bad

ocean-going Ocean nows today. Shippers learned the Far East Freight Conference

has ordered no more bills of lading be issued · for Shanghai until the port closure situation is clarified. The conference is an organisa- tion of European and Mediterranean shippers. whose ships normally come here.

Ocean commerce has avoid- ed Shanghai since the British freighter Anchises was bomb- ed in the Whongpoo River by

Chinese Nationalist

war-

"The situation in Hong Kong is very different from 1941. tremendous advan. tages of command of the ser! a and alr, and with these two plane on June 21.

Five days inter the Nationalist together, the defence of Hong

Government invoked Kong is a very much stronger closure order on the Communist propoeltion than then.

the coast. Fearing Nationalist nir or Dessary, wa

land

ships have stayed sea attack, army considerable help".

clear of Shanghai ever since. Admiral Bring lunched with Shanghai, has been under fro

could

If ne-

D

port

ported

Eight Russians Hurt In Fighting

Seoul, July 6.

The Korean Defence Ministry said today eight Russians were injured 'in recent fighting on Ongjin peninsula, North of Seoul.

The Ministry said its information was from a re-

liable source."

United Nations officials, who interviewed North Koreans captured in the peninsula fighting said they had not been able to establish that any Russians have boon involved in the fight- ing. Casualtior in the peninsula skirmishing have been reported in the hundreds by the South Koreans.

The Korean announcement said:

the

"It has been definitely esta- bilshed that eight wounded Soviet

from soldiers were moved Hacju (Kaishu) Home Ministry Hospital (in North Korea) to the Red Cross hospital in Haeju about noon on June 26.

"It has been reliably reported that Soviet troops attached to the North Korean puppet govern- ment's armies are in position of acting as command this well as advisors.

"It has been further con- firmed 'from rutiablo ayo- witnesses that the North Korean puppet army attempts always to remove any Russlan dead as quickly a

EO possiblo

the bodles may not be taken by (Korean) Nationalist troops." The Russians

'ot announced Christmas they had withdrawn all of their forces from North Koren.

Fruitless Questioning

UN. officials said that ques-

Food Prices Further Up

to

Further increases were 20 gistered yesterday in the cont of fresh food in the Colony. Prices of certain vegetabiat, fish and maat continued ries.

Biggest Increase yesterday Was in the price of pork which was sold at HKË! » catly. The highest price on catty. Tuesday was HK$5.60

It was reliably learned that tho Commliteca governing the official flah and vegetablo markets have called emer- gency meetings to discuss the price situation.

Official commant on reports that Government la consider- ing placing the prices, af-fi and vegetables under offfolal control was not available.

tioning of North Korean prisoners | *******

the

had produced no information in Ingleiinitely against the Soviet dicating“ „Nusilan pelivity in Inspired Communists who GLOW border Oghting

Information

N

Koren

On June 28 the commander of control the Northern half of the,

Korean forca anuntry? themontazule said ngents editor

Dong Sung Kim, newspaper Onglin

and one of a group of Haeju wore supplying him with even Koreans in Philadelphia as

on the, number of Northern casualties roaching the four, declared month "goodwill hospitals there. At that time no Russians had been reported to be her independence for 40 years against Japanese aggression and Communian bald the residents |

Government an. was ready to fight

for an undeterminable time

The Kcreari of Northern, village on the isored by the Chamon, spon

of Com-

Rad

River. These papers- quated Nationallat communique claim- border had voluntarily crossed merce of their country, is visit Ing that thraa Communist ships;

over to the South. The villagers

ing the United States in behqir were runk an the elver on July ware quoted as saying

they

of the 30,000,000 Koreans to thank 2 and 3. One sinking was re- were tired of the Communist America for economic aid and

to bava. bean

Northern regime.

the assistanco

armied of our 604 Hankow, big Yanglus port The Defence Ministry gave to forces during World War U. miles upriver from Shanghai. evidence to support the

claim

They came here from Washing- bleanwhile, Shanghai Commun- and at banks and other designated source other than "rellable" in York. Associated Press

declined

to identify itston and will leave today for New Janks still were not making for Informed observers - here who banks atill

United Press. eign exchange romittances commercial purposes.

belleve that the Soviets maintain Communist authorities ordered a military mission in North day and there was no indication Korean nimy, said is unlikely

it In Hong Kong, Chinese news when the bha might be lifted. that the Russians would use any papers said the Nationalists had

Remittances from Chinese living of their men in actual combat. widened the scope of

Shanghai: July 6, their

overaens to their families in China The Defence. Ministry claimed.

A Chinese bombing operations and

were wero

Nationalist plané being accepted. This was that the eight wounded Russians dropped two bombs near Lung- raiding for up the Yangte only a trifling amount

Included phe Houtenant, two nwa Aerodrome here today. Com second feutenants and five non-munist delenders opened fire and commissioned officers.

the plane made off Southward In Philadelphia, a Seoul editar with amake

Irura its pouring said that Korea will hold out fuselage.-Router.

the April and May General MacArthur turlay and whiquent air 'stuck since the Com-these remittances stopped yester-Korea which advised the North

figures of overseas trade there confer with him again before leav. munists took over. has been a considerable failining Tokyo. off in our sales to the United States and this has reduced our dollar earnings.

The BBC has been playing speelal request records to cheer the Amethyst crew during their long vigil on the Yangtse, Admiral Brind revealed. ;

It said that while China in the past was under threat of inva- alon from Japan, now the people at China are willing to have economie and diplomatic relations with the Japanese people.

The Commission yesterday aftér-

"This decline has been even The radio

United noon decided that conditions have attacked States policy in Japan as anti- not yet reached the state to war- more marked in the case of ether Donocratic, and said the coali- rant such proclamation, but that parts of the Sterling Area, par-

The four officors and 10 ratings alon government in China is not preliminary steps should be taken leularly those selling primary isolated. We have friends-first, to cope with the mounting labour commodities to the United Sates are remarkably cheerful despite Soviet Russia and secondly, "De unrest

where both quantities and priced the arduous taak of waiting amid mocratic nations of the world," Opinion as to whether Shimn-nave moved sharply downwards. many difficulties. They are able to buy some food ashore, said the The broadcast was heard here yama died by his own hand or "Our sales to Canada were well | Admiral. by the Associated Press Asso- was killed was divided today. His

wife bought he had committed maintained in the month of May suicide. She Raid her husband and in that month they were very was showing signs of over-strain nearly an all-time record. GRENADE KILLS and nervous disorder from the "We hope that those exports will

ordeal of carrying through the be increased still further, FOUR, HURTS 30

discharge of railway workers and pecially as a result of action taken Singapore, July 6. had been taking sleeping tablets by industry and by the Govern Four people were killed and 30 at night.

ment following the visit of the Lieutenant-Colonel injured-four seriously

Changnon, President, of the Board of Trade MacArthur's when a hand grenade was thrown General

railway to Canada. into a crowd watching a Chinese chief, said he thought suicide un

"We are also hopeful that our circus at Kampar, 40 miles South likely. "Shimoyama was in good

coirits when I saw him the night exports to the United States will of Ipoh, Perak, last night

The culprit escaped in the con- before he disop, cared." Colons, resume their upward tendency. fusion that was caused by Changnon said. explosion.--Reuter,

clated Press.

were

THE WEATHER

People, in the locality where Wider Gap

the body was

found said that many deaths, had occurred in that spot, Stranrers walking along the rallway have died at the spot while it is also a frequently, AL DENG GRT (9 p.m. HKÉT) the popular spot for suleides. depasion,

Tokyo

Shimoyama's death overshadow. vakantues lo mave Eastwards. Its trough Fed the movementa of rollway strate thi

to | workem, who this morning stiil another depression over China. The had taken no concuried action Paelfie antheyente rides perpless against the personnel cuts, the Chlum Hem, but pressten han fallin

1

BEFORE

centred

The Eastern

over the Southern Philippines with K

depresslore, fermíne Ezat, Mindanga.

Today's Forecast (—Moderata wjöds Eriva

à Bouther quarter., Pair and warm

1 Yəstandky's Weatherin

Maximumr, 80.0`dre. Fuch.

Minimum: 80.8 đềg, Fah, Rjunahines : 12.4 hou.. Rainfall Nik » TOY

lace Jan.

Mac-

omalaisin - General 'Arthur's Public Safety Division. ald today Ohlmbyama's death appeared to be

murder. "Everything would indicate II.”

->

"As a result of the decline i demand, our dollar

has gap A now and

The Amethyst had sufficient com- plement and was in a good enough condition to at least navigate the

ter.

Nationalist Planes In Action

Canton, July 6. Nationalist planes were in

Shippers said the did not know why the remittances were stopped for the first time in Shanghai history, as far as they know. Speculation, however. ren thi

way:

Lock Noods 1.The order was caused by the shipping stoppage. With no car

Rod coming from abroad goch China incka inmediata need for Yangtse, said Sir Patrick-Reaction over Kiangsu, Fukien,

foreign exchange abroad.

2-Communist dollars wore. In Cheklang, Klangsi and Anhwel short supply here and the Red between July 3 and 5 inflitt- Government was proparing to un- ing extensive

and load big holdings of cotton tex damage casualties to

Communist tilos. The Government was wait- for proceeds from this sale to Ing A communique Issued by

Afr cash remittance chocks and drafts

than turn on raber

printing Force Headquarters in Talpel pres and risk a sharp inflation

presses (Formosa) sald that heavy bombs ary ris were.dropped on July 3 on a large The ardor has, croatod a small factory in Chi Shu on the Shant-black market. Persons who had to hai-Nanking railway about 00

Heat Wave troops.

In U.S. Kills 2400:

abroad in

ON OTHER PAGES

Personalia,

Barotay On Bridge.

Mimi Air Attack In Day of

Bleosy,

miles South East of Nanking, transfer money from Chicago, July 6.

The plant was largely demolished some manner are selling cheques On July 5, Nationalist planes and drafts to money dealers.-As- The year's worst heat wave

broke up a big Horinted Press. was blamed for almost 400 bombed and widened again. unfavourable position has de- deaths in the last four days. bridge South West of Chienu at North Fukion and strafed Com veloped. While awaiting the With the temperature agala munfat forces In Chienou and

a United figures for the second quarter reaching 100 degrees, of 1949 to make its usual quar-Press survey today showed that Kuten, more than 300 were kill-Page 2

ed. Twenty junks. on the Mit terly

announcement, the Gov-376 persons throughout, the, na-River between Shulkow and. Ku- Page 3 ernment In the course of listion died as a result of heat since tien were sunk on the same after- fteminders, normal review of the situation 6 p.m. Friday. Ninety-three of moon.

Page 4 has already taken certain pre- those dropped dead of proetration On July 3 the airport of Chin- liminary steps to deal with this or sunatroke and 282 were drown hun on the Chakiang-Klongsi rail- Page 8 situation,

ed while sooking roller at the way was combed and 00 vehleles boothes

were damaged. On the 13ino day "The figures of our dollar re-

bombed and The official police report on the felt before taking

No general rains was forecast Nationalist planes account of from New Jersey to Now England strated Communist 1-initial stages of the autopsy sald European Recovery Plan assis~ | which wolfered: for 32 days the highway near Ningpo and infllct64

the catio of death was "uctance, of the Canadien credit or worst drought in the region's his [tàln,” but it was

Page 7 presumed he was dead when hit by a train of drawings on the International tory. Losses caused by the drought on the Yung River near Ningpo Chiang To Continus The Fight They were convinced he was car- Monetary Fund were in the four were estimated at $20,000,000.

River Page & rlod somewhere after death, and quarters of 1948:£147,000,000,

A thunderstorm broke suddenly Ships on the Yangtze said they have evory rouson to £107,000,000, £70,000,000

and over the parched Past Coast toer Anking in Anhwel Provined were attacked. A large-size trang~ day but brought only

· Becret Plan"‚To': Ald · European:] One of the doctors perferning in the first quarter of 1910 celler from a 11-day drought a port was disabled. Other Nation- Page the autopky, which is continuine the corresponding

figuro, was Farm exparts mid tus rain gave at planes, bombed Communjet Kaye positions around Nanchang and

Recovery, one day's grace to fermera who runshule, Ingforth Kiangel, Con- | Page 10 tonight, told the press he believed 482,000,000.

"""The dollar deficit in the three already have suffered a multi-mil- munia) Lindpa- and vehicles were Engidowring!" Shimogama was the "vicum of foul play."

months to June 80. has: risen: to | lm" dollar drop loss.--Ukited bombad and maching-gunded with Pras 12 (Continued on Page 4) £167,000,000 --Reuter.

“heavy •[ósson---Associated Press.

949.8mm-$7.50 Yakstainet an average of 1081.4 symm[0.81 in.

Reings a 10 am Taro, atậm.st. ;..2011.5 31054.2 mb.

Equals 20.19 19:17 Inches

Ital, Humidity. .... 75

77

| believe he was murdered.

Daw Point

den. T.

Wind Direction.

knota.

IL.

LOTES

0.5

4.1

Windrow

Tiden 1-

Sith

1

£93,000,000.

Pross

Alleged Drain On Dollar Re-

serve.

troops on 10

400 casunities. A military launch

was damaged.

Раде

The China · Problem--An Edi-

torlat

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