HONG KONG DAILY PRESS, TUESDAY, MAY
CHINA CURRENCY
CURRENCY MEASURES
London Comment On
The Situation
AGGRESSIVE JAPANESE
POLICY
Caution Urged In Viewing Trade Prospects
Londen, May 18. Giving prominence to Dr, Kung's announcement of measures to 'consolidate, China's currency reform; the "Financial News" says that the decision to increase gold foreign exchange reserve may be taken as an answer to the reports that China would re- turn to the silver standard.
The statement issued proves that there is no truth in the report that America may make a big loan to China. It is taken for granted that America would not grant a loan unless in ex- pectation China reverts to the silver standard or some arrange- ment vis-a-vis the dollar. «
The City Editor of the "Dally Mail" says that the announcement suggests that silver will continue to play a prominent part in China's central banking affairs and possi- bly some understanding will be reached with the United States. Reuter
H
FOUR-COLUMN REVIEW
London, May 18. The Financial News" in a four- column review of the Chinese financial and industrial conditions emphasises that the currency re- form last November marked a dis- tinct turning point for better Chi- nese trade and industry.
The subsequent Agures of note issue proved that the Government was keeping its promise to avold inflation. Thus confidence was restored, interest rates enormously declined, the cheaper money In- duced various provinces to initiate large capital expenditure pro- grammes and export Grade en- joyed ar enormous stimulus.
The
new measures now an- nounced by Dr. Kung to round of reform were most adequate and diplomatically will further strengthen confidence which seems to have been studiously designed
avold offence to Japan
to
NO DEVALUATION
The "new
measures. $3vs Dr. Kung, have been decided upon in the light of the experience gained since the monetary reforms were Introduced on November 3, 1935, and he is convinced that they will lead to greater economic improve- ment and prosperity.
In the course of an interview. Dr. Kung said the minting of the new dollars with less allver did not imply devaluation, as specula- tors have been trying to make out. They will be merely token currency. similar to the legal tender notes.
Dr. Kung emphasised that since November 3, 1935, the value of Chi- nese currency has been divorced from the silver price in the world market.- Reuter.
OUTSIDE VIEWS
Shanghai, May 18. The decision to mint new coins and remove restrictions in the use of silver in arts and industry, is regarded in some financial circles as intended to further America's desire for the greater commercial use of the white metal and in re-
China. turn Amrica may extend credits to
to
By this means the Chinese Gov- But Chinese efforts to win the
ernment"would be, able to increase confidence of foreign Governments and capital had one most danger portions of note issue reserve, pre- its gold and foreign exchange ous effect; they alarmed Japan sumably at the expense of silver, It was certainly not a coincidence which would be mortgaged that the creation of the indepen-America as security for credit but dent North-China provinces. under Japanese tutelage coincided with
would remain in American banks in Shanghal-Reuter, China's demonetisation of silver.
The aggressive Japanese policy which has frequently disturbed the improvement in the political and economical situation in China is again a grave danget. Hence the prospects of Chinese trade and
Anance must be viewed with caution despite provement. Reuter
G distinct im-
您
GENERAL ESTIMATES
London, May 18: Bankers and merchants. Inter- viewed by Reuter, welcome Dr. Kung's statement and pay tribute to the success of Chinese managed currency, but are gravely concerned at the effects of amug- gling. Some refuse to believe that the Japanese allow the "Customs to be wrecked, while others fear that the Japanese military are deliber- ately seeking to undermine the Central Government's stability.
MERELY TOKENS
Shanghai, May 18. The suggestion that minting of new coins with lesser silver content means devaluation of Chinese cur- rency is scoffed at in authoritative financial circles which support the atcial view they are merely tokens similar to the status of legal tender notes.
The silver content of the new coins is not revealed, but the mat- ter generally 13 regarded unimportant.-Heuter
STUDYING POLICE
**METHODS
Polish Officers Visit Germany
$3
NORTH CHINA SMUGGLING
Serious Position Reported
COLBERT TRIAL EVIDENCE
Defence Not Yet. Opened
Tientsir, May 18
19, 1936.
ARAB-JEWISH INCIDENT
Revolver Shots In The Darkness
"Hong Kong Daily Press" Special
NAVAL STRENGTH OF RUSSIA
BILATERAL TREATY
WITH BRITAIN
TALKS TO BEGIN THIS WEEK
London. May 18.
Soviet naval talks.
Fairly rapid progress is expected at the forthcoming Anglo-
It appears that the only clause in "the London- Treaty which may prove an obstacle is that providing for non- construction between. 8,000 and 20,000 tons, says Reuter's diploma- tic correspondent.
The defence at the Colbert trial was to have been opened this after-
Jerusalem, May 17. Another grave incident, accom- noon, but on account of the pro- tracted cross-examination of Dr. the city into a highly critical state, panied by bloodshed has thrown Shanghai, May 18.
Harold Mourer, an American spec- fraught with serious peri: Late on Sir Frederick Maze, officially re-lalist from the Kalgan Sanatorium. Saturday night M the Jewish porting to the Chinese Government this was not possible.
Cinema Edison" situated in the regarding the smuggling from Dr. John Colbert. a well-known Manchukuo
Jewish quarter of the new part of and Dairen, states American medical practitioner, is Jerusalem, the house being nearly that the quantities of smuggled the accused at the trial in the tall, someone under cover of the goods are increasing dally and a in the United States. Court for darkness, began to, are revolver decrease of Customs revenue is China. He is charged shown at many ports. For exam-tempting to murder his wife, who the heads of the audience.
with at-shots blindly into the darkness on ple, during the past, tour months, was a patient at the hospital, by the Tientsin collection dropped 23 administering poison
Panic instantly broke out, the culprit took advantage of the con- per cent.
Dr. Mourer in his evidence scout-rusion to escape in a car waiting Unless the Customs preventive ed the possibility that Mrs. Colbert outside. All attempts to establish department is free to resume suffered from either pernicious his identity have normal operations in the North, anaemla or dilation of the heart when the Cinema was empiled, it so far falled, rearming of vessels and ahore previously.
Reports that the talks are likely was discovered that three Jews had stations, and unless the railway
to be complicated by the Soviet been killed. The news of this new authorities in the North are en
atrocity spread like wildfire over in the Balte are authoritatively demand" for parity with Germany abled to co-operate with the Cus-
the town, people poured into the denied in London. toms authority. "it is idle to ex-
streets, gesticulated and shouted pect an improvement in the exist-
It is pointed out that the talks ing unprecedented and serious situation," he says.
It is believed that Nanking will hesitate to rearm Customs vessels owing to risk of incident- Rautan LONDON COMMENT
Londen, May 18. In the course of a leading ar- ticle on the smuggling in North China the Times "says that the evasive answers of the Japanese authorities to the diplomatic pro- tests indicate that the connivance in this shoddy swindle is not mere- ly an affair of local military aë- tion but a deliberate stroke of Governmental policy.
1
The talks are likely to begin this week by contacts between the Soviet Embassy and the Foreign Office or Admiralty, the Soviet plenipotentiaries being the Ambassador. M. Maisky, and the naval attache. M. Chikunský.
Sister Koegler of the German Hospital in Pelping testified that she tock blood count of the Colberts on April 1 and found the absence of normal red cells such as are in-wildly. The authorities immedi.will not be concerned with quan- dicated by pernicious anaemia-
ately declared the State of Emer titat ve limitation, the sole object Neiter.
gency-which had hitherto only being to incorporate in a bilateral been declared over the old quarter treaty between Britain and Soviet of the town-over the whole town. Between 8 p.m. and 6 a.m, no one At the
HEAVY RAIN IN is allowed in the streets.
ENGLAND
Ship Collision Off Beachy Head
London, May 18.
burial of the three murdered Jew on 'Sunday, a strong milltary de- tachment followed the cortege. On Saturday a consultation took place between the Arab leaders, but the result is not known, the press hav.
ADDIS ABABA
ARRESTS
Many Executions For Arms Possession
ing me.ely received communica- ("Hong Kong Dally Press" Special)
Djibout, May 18. More than 1,500 people have been
celved here.
Russ a the qualitative limitation of the London Treaty and provi- slon for advance exchange of building programmes.
The operation of any qualitative limitations will naturally be de- pendent ou Japan's attitude, fast as the Treaty itself is dependent on Japan's building programme.- Reuter.
STARHEMBERG'S INTENTIONS
Speculation on Ronie. Visit
Rome, May 17. While authoritative circles insist
that the original plan is confirmed, that is, the Arabs will not negotiate with the British arrested in Addis Ababa since the that Prince von Starhemberg's ' Local thunderstorms accompan-mandatory Government, or consider occupation by the Italians for visit to Signor Benito Mussolini is. Advices received in London sugied by heavy rain were experienced any of its proposals. till the immig-pillaging, according to reports re- purely of a private character, there gest that proposals for reduced in many parts of England during ration of Jews ceases.- tariffs or independent Customs in the week-end, causing a break in Transocean News Service.
Those arrested In- is little doubt that Austrian inter- the North, in exchange for the the drought which had lasted for
clude many people who have dis-nal affairs were discussed by these. obeyed Marshal Badoglio's order to
statesmen: cessation of smuggling, may short- over three weeks. Flooding was ly be made "semi-omcially" by caused in some localities.
hand over all arms to the Italian Tokyo to Nanking.
authorities. At Eastbourne the The result of these events in Queen's Hotel was filled by light- China is underminingning, but no one was injured. Japan's prestige. "Those Japanese During a thick fog in the Chan- who so often have loudly proclaim-nel. two Clan Line steamers collid- ed their mission as a stabilising ed off Beachy Head, but both ves- force in the Far East will not easily stis were able to proceed on their ("Hong Kong Dally Press" Special) reconcile their specious words with
North
courses.
18
||
roof of
a policy aiming at bankrupting In Seaford, the Russian cargo the only fem Government. Insteamer Ussuri ran
China. Japan's present policy in fog. her bow being bumped against this context may indict grave financial loss on China, but it will the stonework of Eaplana. After harm her own credit as a nation-spending a day on the beach the steamer was refloated at high tide Reuter
last night undamaged.- British Wireless.
TIME FOR ACTION
London, May 18. Commenting on the smuggling 17 North China, the "News Chronicle" City Editor "says that
the position of all loans involved is still quite safe, but the time has obviously arrived when R de- termined attempt must be made to stop the rot.
F
FORMER GREEK. PREMIER
Death Of Tsaldaris Mourned
Athens, May 17. The news that another Greck
away suddenly came as a shock to ashore in 醬 ex-Premier, Tsaldaris, had passed
the population, which is plunged into deep grief, Tsaidaris having always enjoyed the greatest popu larity. Taaldaris, who was 68 years sid, attended a political meeting on Saturday, when he "delivered a apecch on the present situation. On returning home he complained of feeling unwell and lay down, but died from heart-failure at 1.30
WOMEN'S GOLF CONTEST
If the area of Japanese influence Surprise Defeat Of
were to reach towards Shanghai, the position of Customs loans would become most precarious, says the paper. Reuter
TWO AIRSHIPS ON VOYAGE
Hindenburg On Second Trip To America
("Hong Kong Daily Press" Special)
Hamburg. May 18, The air liner Hindenburg, which started from Frankfurt on its sec-. ond night to the United States early on Sunday morning, gave its position as roughly 500 kilometres north-west of the Azores at 7 a.m. to-day,
The Graf Zeppelin which start-
Title Holder
1:
Southport, May 18. There were several surprises in the first round of the women's golf champ.onship, Including the defeat of the title holder.
Miss Charlotte Glutting (America) beat Mrs. Collette Vare (America) by 5 and 3.
Miss Bridget, Newell beat Mies Wanda Morgan (holder) by 3 and
1.
Mrs. Newton (Lancashire County Champion) beat Mrs. Goldthwaite (America) by 4 and 2
Among the interesting results were the following:-
Mrs. Walker (Ireland) beat Miss Jessie Anderson 2 and 1,
M.88 Pam Barton beat Miss Diana Plumpton 1 up.
The possibility that the Chinese will be driven to desperation and attempt force against Japan is not
("Hong Kong Daily Press" Special)
Mrs, Cheney (America) beat excluded from the general
Berlin, May 18. ed from Pernambuco, Brazil, on Its Mrs. Homi (Scotland) by 6 and 5. estimates of the situation.-Router The Chief of the Polish Police, return flight to Germany at mid- ~Reuter,
General Zagorski, accompanied by night on Sunday. had reached a three officers, arrived here-to-day | point 115 kilometres south of the on a four-day vials to study police equator at the same time.—
Soon Fransocean News Service.
CHINESE ACTION
Nanking, May 18. Dr. H. E. Kung, Minister of Fin-organisation and methods. ance, last evening announced three after their arrival they were re- measures intended to assure theceived at the Reich Ministry for permaneney of an independent the Interior and the Prussian State currency system not linked with Ministry. any foreign monetary unit. These ransocetin News Service measures are as follows:
NEW CABINET IN POLAND
(1) The Government will con- tinue to maintain adequate réser ves against the note issue, constat. ing of gold, foreign exchange and stiver. of which the silver portion will have a value equivalent to at least 28 per cent, of the note air-Hong Kong Daily Preas" Specia', culation;
Warsaw, May 17, (2) The issue of silver coins, of The new Cabinet, after Presid- denominations of Afty cents and ent Moscicki had signed the decree "one dollar;
appointing the Ministers and ad-
note 18sue,
U.S. MERCHANT. MARINE
Board To Investigate Allegations
before medical aid could be obtain- Ed
Since the unauthorised posses- sion of arms is punishable by death. between 40 and 50 people are be- Ing executed daily by shooting. Among those who have been shot are several well-known figures and personal friends of Haile Selassie
Transocean News Service:
EXPULSION FROM ETHIOPIA
"Times" Correspondent Involved
London, May 18.
The "Times" correspondent in Addis Ababa, Mr. G. L. Steer, has
Prince von Starhemberg, former- ly vice-Chancellor of Austria and head of the Heimwehr, found him- self over-night deprived of his high offices by the bloodless.coup of the Chancellor, Dr. Kurt Schuschnigg. Circles in close touch with Aus- trian politics believe that Prince
von Starhemberg intends to fight
for the continuation of the Heim – wehr, but that be is unlikely to make any move at present.-- Reuter.
STILL A POWERFUL FACTOR
Loyalty Affirmed To Starhemberg
11
Vienna. May 18.
in company with three other for- Two new events have demon-
British Wireless,
eign journalists been expelled from strated that Prince Starhemberg is Ethiopia by the Italian authorities. still a powerful factor in Austriani Taaldaris played a decisive role As Mr. Steer had in any case in politics. Firstly, news has been in Greek politics more than once.
Vienna Heimwehr tended to leave, the expulsion or- received in and was noted for his unusual
der has not greatly hastened his circles that Signor Mussolini has broadmindedness. He studied in
promised Prince von Starhembey departure. Goettingen, Leipzig, and Paris, and
increased support and assistance: subsequently travelled far, thus
A supreme leader of the Heinrwehr being in touch with the thought
and, secondly, that Major Baaren-- and feeling of other countries,
fels has sent a message to Prince, When Venizelos took over Gree
von Starhemberg in the name of leadership under the patronage of
all the country leaders of Mr: the Entente in 1917, Tealdaris was
Heimwehr assuring him of their banished but returned in 1920,
loyalty and devotion-Reuter. when Venizelos was defeated tri the General Election, Tsaldaris
LORD ALLENBY'S and General "Kondylis formed a Government in 1933, and worked
CHIVALRY for the return of King George in 1935. Tsaldaris will be given State Funeral on Tuesday.--- Fransocean News Service.
HOTEL GUESTS SUFFER
Barcelona Workers
. On Strike "Hong Kong Dally Press"
2
RETURN FROM THE WAR FRONT
Mussolini Greets His Relatives
Rome, May IT A crowd of 5,000 witnessed an at- fectionate family re-union when Signor Benito Mussolini, the Prime Minister, accompanied by his wife and daughter, the Countess Ciaco, welcomed back to the capital the wo soldier sons of the Dictator, Vittorio and Bruno, Count Ciano, and the Duce's nephew, Vito Mus- solini
The young men, all of them flers, were received at the Littorio air-
vice in Ethiopia.
his nephew,- Reuter
GIFTS TO POLISH ARMY
Speciaport, having flown back from ser Barcelona, May 18. Il Duce kissed his two sons and People wishing to dine out are having an extremely dificult time aj present as all licensed victuallers have been forced to close their premises through the employees of:{ all restaurants, cafes, bars and ca- barets suddenly proclaiming a strike, The Catalan Government is negotiating with the strikers and trying to persuade them to resume work but the strikers' attitude has
far prevented a settlement. ("Hong Kong Daily. Press" Special) Guests in hotels meanwhile are
Warsaw, May 18..
EARLIER MESSAGE
Friedrichshafen, May 17. The airship "Hindenburg" start- ed, on its second trip to the United States via the North Atlantic. It passed Dover at 9.50 yesterday. The
Washington, May 18. route will this time be somewhat Mr. Copeland, Chairman of the more southerly, coming within a Senate Commerce Committee, has close range of the Azores. It is announced the formation of a expected, that thereby the trip will committee to investigate the man- be a little longer. The airship has ning and conduct of the American forced to act as their own walters 40 passengers 130 kilo mail and Merchant Marine according to the and chambermaids-
reight on bourd.—
"New York Times Washington Transocean News Service: Transocean. News Service.
́correspondent,
Mr. Copeland said that the com- NEW CUNARD LINER mittee will be asked to recommend legislation to
INSPECTED ensure that the Merchant Fleet will have satisfac- tory and satiated personnel
(3) An increase in the gold and ministering the oath of office,be an immediate, convocation of foreign exchange portion of the met for the first time under the Parliament, delivery of a program- Chairmanship of Skladkowski on matic declaration by the Govern- Saturday. The session was strictment, and the demand that the ly secret, and a long address was empowering laws, which would delivered by the Inspector-General otherwise expire on June 1 be pro- of the Army, Rydz-Smigly. The longed.
Dr. Kung further announced the removal of the restriction which limited to thirty per cent, the fine- Dess of silver used in arts and in dustry.
result of this speech is belleved to' 7'ranioccan News Service..
Pontoons And Ambulance: Motor Car
Tribute By Opponent In War
London, May 1 The King of the Belgians has sent King Edward a message of condolence on the death of Field Marshal Lord Allenby. Other mes- sages include one from the Prime Minister of Austrália which recalls Lord Allenby's visit to Australia the Australians who served under where he renewed contact with
him in Palestine.
General Baron Kress Ton. Krez- senstein, one of his opponents in the war, describes Lord Allenby as a chivalrous soldier and one of Britain's greatest and most STIC... cessful generals.-- British Wireless. ..
*!
PEASANTS CLASH
IN CRETE Three Killed And Many Wounded
A gift of 12 pontoons will be made to the Polish army by a private firm which is anxious to emulate the patriotic example recently set by workers in other firms who com-
"Hong Kong Dally Press" Special) bined in order to present the army
Athens, May 18._** with 1,000 machine guns a Three peasants were killed and memoy of the late Marshal Plisud-seven others seriously injured dur
العام
London, May 18. The board has been formed following allegations made by sea was inspected on Baturday by has also decided to place a fully The Cunard liner Queen Mary The Union of Polish war invalids men that the ships operating on the Atlantic seaboard were 121-11ament and their friends,
members by both Houses of Par-equipped ambulance motor car and the gas masks for a regiment, at the manned and ill-equipped.
party numbering 750.-
disposal of the army- Reuter,
Transocean Nowa Bervice,
| British Wireless..
ing a sanguinary clash between the
villages on the island of Crete. The inhabitants of two neighbouring
nighting broke out as a result of a long standing feud caused by a dispute over grazing grounde Transocean News Service.