CHIANG KAI SHEK NOT TO RESIGN.

SHANGHAI REPORT "GROUNDLESS,!' HE SAYS.

די

MR. SOONG TO REMAIN IN HARNESS.

MILITARY COSTS CAUSE ALARM.

[THEODOR AZUTKE'S AGENCY.)

SHANGHAI, August 7. Marshal Chiang Rai Shek arrived here this morning. The Shanghai Evening Post states that the object of his visit is said to be to urge Mr. T. V. Soong to remain in office as Finance Minister, but a report is also current the Chiang Kai Shek will formally announce his own resignation in a few days

According to a "highly qualified political authority, inter viewed by the Evening Post," the inability of Chiang Kai Shek to render any proper account of the defrayal of millions of national revenue, including some 8300,000,000 of Loan Bonds issued under his" instructions by Mr. F. V. Soong, in the last two years, coupled with his more signifcant inability to bring under his sway the various leading generals who are harassing him with demands for funde for carrying out disbandment measures, are the. principal reasons for the impending resignation of the Marshal, says the Evening Post.

LATER.

Chiang Kai Shek authorises a denial of the Evening Post, report as absolutely groundless. He states that the object of his visit to Shanghai is to persuade Mr. T. V. Soong to withdraw bis resignation.

די

The Marshal informed Pressmen later that he entirely sup ported Mr. Soong's financial policy and considered anyone endea vouring to upset it was an enemy of the National Government.

He added that as a result of his persuasions Mr. Soong had withdrawn his resignation, and both would leave for Nanking in A day or two,

FINANCE MINISTER

EXPLAINS.

TASK CONSIDERED *IMPOSSIBLE."...

{THROUGH AICTER'S AGENCY.]

SHANGHAI, Aug. 7. The resignation of Mr. T. V. Soong, the Minister of Finance, is

now officially confirmed.

Yesterday, M., Soong memorial- ised the National Government say- ing that the present Disbandment Conference discussions have dealt with huge sums of money for dis bardment and for future military expenses, which it would be his task to raise.

-200

C.E.R. SERVICE RESUMED.

THE HONG KONG DAILY PRESS. THURSDAY, AUGUST 8, 1

(Wch Tez Yat Pao.)

SHANGHAI, Aug. 7. The international railway sex- vice on the Chinese Eastern Rail- way was resumed on Wednesday, when passenger trains frore Harbin to Chita. Chinese and Rus sian National flags as well as flags of other natione were displayed on the train.

raz

INTERVENTION BY THE

POWERS.

THE MYSTERY OF A "NOTE."

(REUTER'S AMERICAN SERVICE.]

reports emanating from

"

Moscow

that Mr. H. L. Stimson (US Secretary of State), in a Note to the principal Powers, has suggest ed the formation of an Interna- tional Commission to settle the dispute between China and Russia. While it is known that Mr. Stim-

He therefore summoned a Zerence of financial experts, who

MABESNGTON, Aug. 6. reached the unanimous conclusion

Officials of the U.S. State De that while the required sums can be faised, there must be an aspartment decline to comment on gurance hereafter of a fully ade 'quate Budget system.

Mr. Soong points out that the Disbandment Conference last spring decided that military ex- penditure should nob excced $16,000,000 monthly, which Was "heavy enough," but, observing the tendency of the present Conferson is very anxious that a "settle ence, it seems to me that the month- mert should be reached by direct ly military expenditures, will un- negotiation between the two parties doubtedly be far in excess of the if possible it is believed in well- informed circles that Mr. Stimson sum set as a maximum."

may have put forward such suggestion in an aidé meinwire he handed on July 25 to the diploma- tic representatives in Washington of Great Britain, Japan, France. Italy, and Germany. Incidentally

been revealed.

It is the Finance Minister's con- sidered opinion that if "the limit is not adhered to, there is no hope of effecting a National Budges, with the result that the orderly

FATAL AFFRAY IN JOHN BULL BAULKS

CALCUTTA.

ALL CAUSED BY A MONEYLENDER!

MILLS STRIKE SEQUEL.

(THROUGH RAUTER'S AGENCY.]

CALCUTTA, Aug. 8.

A sentence shouted by a nervous moneylender led to a bloody affray, resulting in four deaths.

One of a number of Pathan moneylenders, apparently enraged with the prospect of additional strikers leading to further im poverishment

of his.. clients.

shouted to the workers that the strikers were looting their homes,

AT LAST.

YOUNG - PLAN BURDENS TOO HEAVY,

REPARATIONS REVISION

'DEMANDED.

[TEXOVOR REDTER'S AGENCY.)'

THE HAOVE, Aug. 6. Clearly and firmly, Mr. Philip Snowden, the British Chancell

of the Exchequer, defined the Bri. tish attitude towards the Young Plan at this afternoon's session of the Reparations Conference.

In the main, his speech consist- ed of a reiteration of his declara tion in the House of Commons on A melee followed in which knives July 28th, when he said that while and clubs were freely used.

Britain had agreed to the scale of Dozens were seriously injured and German annuities, she would have 54 arrests were effected.·

The jute stoppage extended to more mills yesterday. Over 1,000 strikers demonstrated outside a mill in the Gourepore district with the idea of dissuading the operatives from working.

Hi

LATELL Three of the people injured in yesterday's disturbances have died in hospital,"

1929.

ZEPPELIN'S WORLD

FJ

FLIGHT.

HAZARDS OF SIBERIAN WASTES.

TO FOLLOW... RIVERS.

(REUTER'S AMERICAN SERVICE]

LAKEHURST, N.Y., Aug. 6. TheGraf Zeppelin " is schedul- ed to leave as midnight on Aug. 7 with 17 passengers who include Princess Xenia's husband, Mr. W. B. Leeds (the multi-millionaire).

Comdr. Eckener. interviewed, said the most hazardous part of the world sight would be over the Siberian wastes between Moscow and Tokyo, where radio would be useless. In view of the inadequate maps, Eckener will rely upon the courses of the great rivers in the Russo-Asiatic plains.

a lot to say regarding their dis-SCRAPPING NAVAL BASES, tribution.

He told the delegates at the Con- ference that in the opinion of the British Government, the proposed distribution of the German annui ties-was utterly indefensible.

He desired the Conference to suc ceed, but Britain could not be aaked to sacrifice her national interests.

British Objections.

i

The main British objections to

DEATH OF LABOUR OFFICE the Young Plan may be outlined

EXPERT.

MR. HAROLD GRIMSHAW,

(THROUGH REUTER'S AGENCY.]

GENEVA, Aug. 1. The death is announced of Mr. Harold Grimshaw, the department. al chief of the Diplomatic division of the International Labour Office, on whose behalf he recently visited

Java and South Africa.

Mr. Grimshaw made a special study of the question of forced labour among natives..

STURDY YOUNG SCOUTS.

LITTLE SICKNESS AT »

JAMBOREE.

[THROUGH EEUTER'S AGENCY.]

..'1

LONDON, Aug. . The chief medical officer at the Jamboree, in a statement to Reu- ter, said that in spite of most unfavourable weather, the general health of the Boy Scouts was ex cellent. Only two had mild cases of infectious disease since the camp opened, both contracted be fore their arrival. The minor medical and surgical cases treat ed in hospital were remarkably low.

A pageant was carried out in the arena this afternoon, in spite of a thunderstorm and torrential rain.

ንነ

1

BATTLE IN BUKHAREST.. TROOPS CALLED OUT.

{TAROGUE REUTER'S AGENCY.] »

BUKHAREST, Aug. 6.

A fierce battle between troops and a large body of striking miners, who had seized the power station at Lupeni in the Jíu Valley, re

many injured.

|

as follows:

In the first place, the Scheme is so developed that Britain would Jose £2,500,000 per annum, a com- pared with her receipts under the Dawes Plan.

Secondly, Britain is expected under the Scheme to forego a sum of £200,000,000 which the Allies on to her on account of repayment already made to the United States. Thirdly, objection is taken to the exclusion of Britain from a share in the unconditional portion of the German annuities. The annuity averages £100,000,000, of which £33,000,000 must be paid in foreign currencies, unconditionally. The remainder is conditional. In other words, Germany is permitted, in order to protect her exchange, to postpone for a period of two years its payments in foreign currencies, and may remit its equivalent in Reichsmarks to the proposed" Inter- national Boak.

Under the Young Scheme, which Britain declares to be inacceptable in its present form, Britain would be paid only out of the conditional portion of the annuity.

Revision Possible.

LATER. The Reparations conference also privately discussed Mr. Snowden's criticisms concerning distribution of payments. The French Finance Minister, M. Chenon, suggested that another conference of experte, to decide upon the distribution of Reparations, might be necessary.

Italy supported M. Chenon, and Russia and Portugal supported

WEST INDIES STEP AGAIN

"MOOTED,

New York:-An article in The Nation and Another

Augur" in the Fortnightly Re signed

view of July 1, are quoted by the London correspondent of the New Fork Times as evidence of a de finite move" in England favouring the scrapping of the British naval bases in the West Indies" in order to show their good faith in the Cnited States."

The suggestion that Britain might sell the West Indian Islanda, also Bermuda, and that the proceeds might be applied in part.payment of the British War Debt to the Un- ited States was made some time ago by a Member of Congress, and was promptly met in England by the reply: "British possessions are not for sale."

SWEEPING CHANGES IN EGYPT.

FULL TEXT OF PROPOSED TREATY,

MIXED RECEPTION IN LONDON.

FEARS FOR BRITONS' SECURITY.

[BRITISH WIRELESS SERVICE;)

RUGBY, Aug 6. The Foreign Office to-day issued the text of the proposals to achieve a settlement of the questions out- standing between Great Britain and Egypt, which were submitted Mr. Arthur Henderson, the For- the Egyptian Premier, on Sunday.

In a covering Note to the Egyp- lain Premier, Mr. Henderson says: "The proposals, together with the explanatory notes to be ex- changed on matters of detail, which Your Excellency is about to submit to the Egyptian Par- liament, represent the extreme limit to which I could recommend His Majesty's Government in the United Kingdom of Great Britain and Northern Ireland to go in their desire to achieve a lasting and honourable settlement of out- standing questions between Great Britain and Egypt

sign Secretary, to Mahmoud Pasha,

"It it the earnest hope of His Majesty's Government that patriotic Egyptians will examine these proposal, in the same friend- ly and conciliatory spirit" which has characterised our recent con- versations and will establish on a satisfactory basis the relations between our respective countries. "If this should be the verdiet of the newly-glected Egyptian Parliament, His Majesty's Gov- ernment, for their part, will im-. mediately submit the proposals to Parliament with a view to rati fication of the treaty, carrying them into efect."

Egyptian Premier's Reply. The Egyptian Premier, in a note acknowledging the receipt of the proposals says: —

King of "Egypt ündertakes that should he deem it necessary to have recourse to the formation of mill- tary instructors, these shall be cho- sen from British subjects.

Nine. In order to facilitate and secure the protection of the Suce Canal, as an essential means of communication between the differ- ent parts of the British Empire, the King of Egypt authorises His Britannic Majesty to maintain up- on Egyptian territory in localities to be agreed upon cost of Long, 32 E., such forces as His Britannic Majesty considers necessary for the, purpose. The presence of these forces shall not constitute, in any manner, occupation, and will in no way prejudice the sovereignty of Egypt

Ten. The Egyptian Government, when engaging the service of for eign officials will, sa s'rule, engage British subjects.

Jurisdiction Given Up.. Eleven. His Britannic Majesty recognises that the capitulatory re- gime now existing in Egypt is no longer in accordance with the spirit of the times and with the present state ́of Egypt, and accordingly with the Powers possessing capitula undertakes. to use every induence tory rights in Egypt to obtain, in legitimate interests of foreigners, conditions which will safeguard the the transfer to Mixed Tribunals of the jurisdiction of the existing Consular Courts and the applica- foreigners. tion of Egyptian legislation to

Twelve. His Britannic Majesty will be represented at the Court of the King of Egypt by an Ambas- sador, duly accredited, and the King of Egypt will reserve the highest diplomatis ranks at the Court to representatives of His Britannis Majesty. The King cf Egypt will be represented at the Court of Saint James by an Am-

To date the idea of scrapping the

"I realise that these proposals naval bares in the West Indies, be represent the extreme limit to which cause they constitute a potential you could recommend His British threat against the Panama Canal Sajesty's, Government to go and, and because such demilitarisation for my part, I am prepared to sub-bassador. would be tangible evidence that the mit them to the Egyptian people British are acting in good faith in and Parliament in the sincere belief declaring their naval policy was that their acceptance would be "in not directed toward a possible war the best interests of my country. with the United States has been "I join in the earnest hope of put forward only by irresponsible His Britannic Majesty's Govern writers in magazines, and totally ment that these proposals will be without official authority. The examined by all patriotic Egyptians despatch from the London corres without distinction of party in the pondent of the New York Times, same friendly and conciliatory however, declares that such a move spirit in which they have been con- was suggested to Mr. "Baldwin byceived and discussed by us, and that his advisers several months ago, and they will be found to embody & it is said that the former Prime satisfactory basis for future rela- Minister was giving, considerable tions between our respective coun- attention to the idea,"

trica.

The same correspondent declares It is in this spirit and with that the idea is now being brought this hope that I take back these

se pro- before Mr. MacDonald.

York Times S

"Augur," described by the Newposals to the Egyptian people,"

The Full Text, a distinguished

The Treaty proposals consist of London journalist, suggests the abandonment of the Caribbean hav-sixteen short clauses and will be al bases by Britain as a most impor- valid for twenty-five years. The tant move toward the organisation full text of the proposals is as of permanent peace between Great follows:

1. Military occupation of Egypt Britain and America, and be prays that Mr. MacDonald, in making by British forcer is terminated, his proposed visit to Washington, shall not confine himself to talking

about cruiserTU...

Washington dispatches intimate that Hoover is in no mood to "rush

2. ÁT Alliance is established between the high contracting parties in consideration of their friend ship, cordial understanding and good relations.

Mr. Snowden's demand for revision. TWO NEW AIR MARSHALS.undertakes to support.

Herr Stresemann said that Ger-

"Budan Status.

Thirteen. While reserving liberty to "conclude new Conven--- tions in the future, modifying the Conventions of 1890, the high con- tracting parties "agree that the status of the Sudan shall be that resulting from the said Conven- tions. Accordingly, the Governo- General shall continue to exercise on the joint-behalf of the high contracting parties, the powers conferred upon him by the said conventions.

Fourteen. Nothing in the pre- shall in any way, prejudice the sent proposals is intended to; or

rights and obligations which de volve or may devolve upon either of the high contracting parties un- der the CoverDont of the League of Nations or the Treaty for the renunciation of war, signed at Paris, on August 27, 1928.

Fifteen. Any difference regard- ing the application or interpreta- tion of the present proposals which the parties are unable to settle by with in accordance with the con-.. direct negotiation, shall be dealt ditions of the Covenant of the League of Nations.

Sixteen. At any time after the expiration of a period of twenty- five years from the coming into force of the Treaty based on the above proposals, such modification. of its terms as may be deemed op- the circumstances propriate which may then exist, may be made by agreement between the high con-

Press Opinion Divided. [THIGUCH REUTER'S AGENCY.]

LONDON, Aug. 7.

a call for the proposed naval con- 3. Egypt, being anxious to be ference, and is inclined to leave the come a Member of the League of next move to the British Premies, Nations will make," under the con- the date of whose visit to Washing-ditions prescribed by Article 1 of ton is still regarded as very proble the Covenant of the League, s re- matical.

quest for admission, which Fis Britannic Majesty's Government

4. Should any dispute with a

volving risk of rupture with that WM. SALMOND.

State, the high contracting parties Two new Air Marshals are creat

will concert together with a view to ed in the list of Royal Air Force the settlement of the said dispute by promotions issued by the Air Mini peaceful means in accordance with the publication of the proposals for the provisions of the League Coven- try. They are Sir Edward Leonardant and of any other nationa! Ellington and Sir William Geoffrey obligations applicable to the case.

many was disinterested as regards, SIR E ELLINGTON AND SIR third State produce a sitaation in-tracting parties.

the distribution problem, which was a matter for the Allies to

development of the nation will be the nature of this Note has ever sulted in ten men being killed and settle, but expected the political

impossible if reduction in mili-

tary expenditures and an cper& tive Budget system are not enfore- ed.

Mr. Soong says it becomes im- possible for him to face the sofėly- tried people, and he therefore sub- mits his resignation.

Retrenchment Urged.

NANKING, Aug. 7.

In the course of a speech at the closing of the Disbandment Con- ference, Marshal Chiang Kai Shck estimated that the Army at present totalled two million men. The Con- ference decided to reduce the num- ber to 800,000.

Marshal Chiang pointed out that China's revenue totals 8430,000,000 (Mex.), of which 8100,000,000 is car marked for the repayment of Na tional Debt The Army cost a minimum of $398,000,000, not in cluding extraordinary expenditure. Therefore, a radical reduction was the only way to save Chiad from bankruptcy. Even with the reduc tion to 800,0000, the military expen diture will total 60 per cent. of the revenue.

HOPEI OFFICIALS RESIGN.

(Wah Tei Yat Päc), ·

SHANGHAI, Aug.. 7.

The troops were obliged to tackle RAILWAY DISRUPTED BY the strikers as the seizure of the power station placed the lives of miners working underground in danger.

FLOODS.

500,000 SUFFERERS.IN CHIELI.

(THROUGH REUTER'S AGENCY.).

PEPING, Aug. 7 Floods outside Shanhaikuan have caused a stoppage of the Peping- Mukden Railway. It is expected

it will "take several days to effect repairs, as part of the line is still under water.

The Yungting Ho foods are sub- eiding, and the river level slowly falling. It is now estimated that there are more than 500,000 flood sufferers in the Yungting Ho area alone. Many people are still taking refuge in the hills, and will starve unless rescued soon,

The Provincial Authorities and Chinese societies are working hard for relief of sufferers, but cannot cope with the enormous number needing food and other necesarjes.

TONG WAR AVERTED.

"PEACE TREATY" SIGNED."

[REUTER'S AMERICAN SERVICE.)

New Yox, Aug. 7

CLAIM AGAINST THE "VESTRIS.”

875,000 ASKED.

[REUTER'S AMERICAN SERVICE]

NEW YORK, Aug. 6. An action for damages to the ex- tent of 875,000 (gold) against Messrs. Lamport and Halt, Ltd., arising out of the sinking of the liner Vestris, has been brought in the State Supreme Court on be- half of the husband and four chil dren of Mrs. Irish Johnson, a ne- gress, who was lost when the Ves. tria foundered.

FRENCH MINISTER'S AIR TRIP.

CONFERENCE IN LONDON.

(THROUGH REUTER'S AGENST.]"

LONDON, Aug. 6. The French Air Minister, M. Eynae, arrived in London to-day, making the trip by air.

The members of the Executive The On Leon and Hip Sug It is officially learned that he Committee of the Hopei (Chilli) | Tongs have signed a "peace proposes to discuss with Lord Provincial Government have re treaty" in the presence of the Thomson, the British Air Minister, cently tendered their resignation. United States Prosecuting Attor problems of civil aviation, part They will leave Peping as soon as ney, Mr. Tuttle, thus averting the cularly in relation to the position their resignation is approved by danger of a Tong war in New in Africa, the Far East and South the Central Government."

York.

Americo.

question to be dealt with.

Faris! Gloomy View,

PARIS, Aug...7. Mr. Snowden's speech is adverse- ly criticised by newspapers here, which are generally pessimistic as regards the outcome of the confer. ence. They dwell upon the grave responsibility of anyone who breaks the Anglo-French Agreement.

WHEAT PRICE INCREASE.

FRENZIED SELLING IN

Hanson Balmond.

li

Air Commodores Robert Hamil tom Clark-Hall, and Amyas Edea Borton are promoted to Air Vice Marshals.

Against Aggression.

A mixed reception has been given.

an Anglo-Egyptian Agreement.

Labour's organ the Daily Herald, emphasis the fact that they are offered to the Egyptian people "not to a Government." It declares that the way has been opened for an honourable settlement.

5. Each of the high сод tracting parties undertakes not le adopt in relations with foreign Sir Edward Ellington, who is countries an attitude which is in-. The Daily News considers them fifty years old, is the present officer consistent with the alliance, or the best effort yet made liberally to commanding the air defence which will create difficulties for liquidate a most difficult situation; Great Britain, and has been res the other party thereto. In pur.abilst the Daily Chronicle, the ponsible for "directing the Roya suance of this undertaking, they other Liberal paper," also the Air Force in India and Iraq. In will not oppose each other's policy Times insist upon a most care- 1917 Sir Edward was appointed De- in foreign countries, nor conclude ful examination of the proposals AMERICA.

puty Director of Imperial Aeronau- with a third Power, any agreement from the aspect of Imperial defence. ties at the War Office, and on the of a political character which might Conservative organs. generally [REUTER'S AMERICAN BERVICE.]

reorganisation of the Air Ministry be prejudicial to the interests of the heartily damn the proposals. The in February, 1919, became Director other party.

Morning Post suggests that the pro CHICAGO, Aug. 8.

General of Supply and Research. Six. His Britannic Majesty'sposals are ill-calculated for the The advance in price of from 50

with a seat on the Air Ministry. Government recognises that the res peace of Egypt, and the safety of

Three years later he went to ponsibility for the lives or property the Empire. to 55 cents per bushel in wheat,

Egypt to take over command of the of foreigners in Egypt "devolves The Daily Express is "amazed Prices since the beginning of June has been too tempting to AmericanRoyal Air Force in the Middle henceforth on the Egyptian Govern and astonished" and asks how Bri- farmers, who have been selling old East, and in 1923 was air officer ment. The King of Egypt will en-tain can discharge her responsibili and new wheat as fast as they pos India. In 1024 he commanded the tions in this respect.

commanding the flying service in sure the fulfilment of his obligaties in the Sudan" when our in- sibly can.

fluence in Egypt is whittled down Record. prices have often been ob- Royal Air Force in Iraq, and since

to next to nothing" tained, and it is estimated that at returning to England has been least 137,387,000 bushels have been

engaged in the work of strengthen- collected at local distribution points ing the home defence of the flying or are on their way to Chicago

The Federal Farm Board is be- ing urged to act to prevent the wholesale, dumping of grain and wheat.

COTTON DISPUTE.

(THROUGH BEUTKE'S AGENCY.)

LONDON, Aug. 6. Mr. Ramsay MacDonald has cul- Jed for a report on the cotton dis- pute.

unit.

Event of War..

Seven. Should, notwithstanding the provisions of Paragraph four, either of the high contracting par Like his colleague, Sir William ties become engaged in was, the Salmond started his millitary other high contracting party will career in the Royal Artillery, and immediately come to his aid in also like Bir Edward was appoint the capacity of an ally. In parti ed to the Royal Flying Corps in cular, the King of Egypt will, in 1912. He saw service in France, the event of war or inenace of war, and went to the Middle East, furnish to His Britannic Majesty where he commanded the widely-op Egyptian territory, all facili. scattered detachments of the Royalties and assistance in his power in- Flying Corps, later the Royal Air cluding the use of aerodromes and Force, from 1916 to 1929. In 1921, he was appointed to the Air Coun cil as a member of supply and research

means of communication,

Eight. In view of the desirablity of identity in training of the Egyptian and British armies, the

The Daily Telegraph hopes the proposals will be condemned by Parliament as emphatically as the conduct of those It alludes to presenting them. sweeping and dangerous, surrender of principler" and thinks that Mr. Henderson's atutement as to no change of poli- oy" is not what those words mean in the mouth of a plain man

Further, it declares that by the "immense and disastrous conces sion" in point six, there is surren- dered one of four reserved points Point one follows naturally, and completes a picture of insecurity, for the contemplation of Washing- ton and Bowe."

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