BRITAIN'S AIR PROGRAMME
EXPANSION DETAILS
REVEALED
New Factories Established
London, March. 5.
Britain's Air Force estimates issued to-day total £68,688,600 gross and £56.500,000 not. Allowance has been made for a special appropriation in aid of £26,000,000 in connection with defence loans. Otherwise the total would have been £82,560,000, compared with £50,700,000 in 1936, an Increase of £31,800,000.
By April 1 the Air Force will be composed of 100 squadroas stationed at Home, the equivalent of 20 squadrons serving with the Fleet Air Arm, and 26 squadrons overseas,
The personnel will have risen to 4,640 officers and 31.000 airmen.
During the summer the atrength of the Metropolitan Air Force will rise to 120 squadrons, including 20 squadrons auxiliary Air Force with first line strength of 1,500 aircraft.
These squadrops will be sub- sequently increased in size to give a total front line strength of 1,750 aircraft envisaged in the statement on defence in March last year..
GERMAN ECONOMIC
The
EXPANSION
Cannot Be Prevented By Force Of Arms
Berlin, Mar, 5.
German Press is strongly criticising the British icarament programme, one paper stating that
The difference of £32,088,600 be- tween the gross and net estimates of 1937 will be made up by the new war in Europe will do Ger- £28,000,000 from
joan and
many a large amount of damage
pire. Britain cannot prevent Ger- man economic expansion by means of arms-
HONG KONG DAILY PRESS, SATURDAY, MARCH 6, 1937.
U.S. JUDICIAL
REFORMS
Roosevelt Replies To Critics
The
C
Washington, March à United States to-day is facing a crisis fundamentally even more grave than that of four years 080, declared President F. D. Roosevelt, replying to critics of his judicial reform proposals, in a speech at the "Victory Dinner" of the Democratic Party to-night.
The success of democracy in the United States was endangered, he said, by the failure of the Supreme Court to pull together in the three-horse team of the American system of Government.”
The President maintained that the Supreme Court had created
PARIS TACKLES
FINANCIAL
IMPASSE
(Continued from Page 1)
LONDON EXCHANGE
London, Mar. 5. Yesterday's intënsive fight from the franc was resumed this morn- ing when dealings commenced on the London exchange in an atmos- phere of considerable nervousness.
Francs, were again heavily offer- ed and while active intervention by French Control was maintained, the spot rate and discounts on forward francs further slumped to 2.18 for one month and 3.62 for three months compared with 1.62 and 3.28 respectively at the close yesterday.
London exchange
circles are
"a no-man's-land of final futility." much exercised over the question He defled anyone to read the
of the correct interpretation by Supreme Court's decisions invall-Havas that the Stabilisation Fund dating the New Deal laws and carried out to-day won't be then say exactly what, if anything. effected below the present parity. they could do at this session of Congress for the agricultural and industrial workers, to control the flood and drought situations and generate cheap power with any reasonable certainty that what they did would not be nullined as unconstitutional.
President Roosevelt urged that they should remove these doubts and difficulties.
"Floods, droughts agricultural
surpluses, strikes and industrial
£6,083,600 from miscellaneous but would boycott the British Em-confusion and disorder cannot be sources, as for example receipts from State-owned civil airports and contributions from Dominion and Colonial Governments towards the Empire air services.
Six factories for the manufac- ture of engines are now in course of erection and most of them will be completed within a few months.
Work is now progressing on, two air-frame factories.
New factories are being estab- lished for the manufacture of air screws and bombs.
The vote for civil aviation stands at £2,315,000, an increase of £1,555,000 over 1936. largely due to development of Empire services.
The greatest portion of the ap- propriation, it is said, apart from the 26,000,000 from loans, is a grant from the Admiralty in respect of the Fleet Air Arm of €3,882,000— Reiter.
OVIEDO STILL HELD
Insurgent Commander's - Message
Paris, March 5. The tollowing, telegram was re- caived by General Queipo dei Lano, from the Commander-in-Chief of the Nationalist forces in Oviedo:
"I am slightly wounded. eldest son has fallen and my two other son's are also wounded. Oviedo remains in our hands." Transocean News Service.
My
TOLEDO RETAKEN
London, Mar. 5. Intense cold, heavy rain and fog prevent any spectacular change in the "Spanish war situation. A de- sultory bombardment la being
carried out on all fronts.
4
The Government claims to have succeeded in dislodging the insur- gents from Toledo,-
Reuter' Bulletin Service.
EXCHANGE OF HOSTAGES
Bilbao, March 4. " An exchange of hostages be- tween those held by the Basque Government here and the Na- tionalist Government, will pro- bably take place in the near future. according
official to an Btatement here, which declares that the agreement regulating the details of the exchange is expect- ed to be signed in the next few days.
Transocean News Service.
BY-ELECTION FOR UNIVERSITIES
London, Mar.. 5.
1
Sir Francis Lindley has been nominated as the National Con- servative
candidate at the by-
Reuter's Bulletin Service.
ย
MOROCCO FRONTIER
AGITATION
Nationalists Blame French Authorities
Salamanca. Mar. 4.
The Nationalist Government has addressed a note to the signatories of the Algericas Agreement, draw- ing attention to the sericus situa-
handled for ever on the catch-as- catch-can basis of the past. It we would make democracy succeed we must act now." the President maintained. Reuter.
01.
CHINESE LOANS POPULAR
Railways are also popular, parti- cularly Honan, Lunghal and Hy kuang, owing to the increasing re- turns they promise investors.
London, Mar. 5. The continuous and steady rise of Chinese loans attracts the at- tention of all financial writers.
Enquiries carried out by Reuter in the city shows that the 1912 loan is "the most favoured owing to Increased revenue of the Salt Gabelfo and the relatively small tion on the Franco-Spanish Moroc amount of the loans secured there- can frontier, owing to the fact that. agitation, is carried out on the Spanish side by foreign agitators. The note states that the obvious alm of the agitators is to stir up The popularity of the Chinese disorder among the natives, in or loans is attributed to the improved der to provide the authorities of political conditions in China and the French Zone with a pretext forley towards China will likely grow the belief that the Japanese po- an invasion, when it could be conclllatory argued that the French soldiers Reuter. were entering the Spanish zone merely in order to prevent spreading of disorders to the French zone.
The note states that the wea pone and ammunition came over French Morocco, and considers the attitude of the French authorities a flagrant violation of the Treaty
ANGLO-EGYPTIAN TREATY
Misunderstanding Cleared
London, March 5. The new Egyptian Minister to of 1912 which imposes on France London has declared to the press and Spain the duty to establish that the Anglo-Egyptian treaty has and maintain peace in Morocco.cleared half a century's unfortu- Transpera News/Nervsa
MORE POWER FOR CABALLERO
Paris. March 5. Premier Largo Caballero of the Valencia Government has de manded and received plenary powers from all parties affiliated to the Spanish Government, He ta thus empowered to shape the internal politics of Spain after his own desires. It is reported that Caballero demanded these powers as a condition for his continuance in cice.
It is believed that President Azana will make a statement de claring his unimpaired, confidence in Caballero.- Transocean News Service
Coronation Ceremony To Be Filmed
nate misunderstanding. It is of special importance as it has been drafted by two Governments on an equal footing and accepted by the peoples of their nations.
Discussing the question of cap! tulations, the Ambassador said that this question was to be settled shortly in Montreux and offered no irresistible obstacles Beveral fundamental questions had already been clarifed. Transocean News Servic
MOTOR STRIKE
SETTLEMENT
Many wonder whether the Goy- ernment will try to emulate the long before stabilising let it be late M. Poincare, who, it is recalled. understood that stabilisation will be effected at a higher level; thus inducing capitalists to repatriate very quickly.
While this parallel obtrudes It- self, London observers express doubts whether confidence in M.
POMMERY
POMMERY ET GRENO
CHAMPAGNE
THE WINE OF KINGS, THE KING OF WINES
SOLE AGENTS.-
CALDBECK, MACGREGOR & CO., LTD.
Leon Blum's ability to make good TIN PRODUCTION his word is sufficiently great to in- duce return of French capital.— Reuter.
LARGE DEFENCE LOAN
Paris, Mar. 5.
оп
It is understood that s large defence loan will be issued Monday-Reuter.
INTEREST AROUSED
London, March 5. The latest steps by the French Government to find a way out of the Anancial impasse has aroused considerable Interest in London foreign exchange circles. While it is too early to appraise the full implications of the proposed mea- Burea, doubt is expressed as regards the efficacy of the measures.
London, while wishing the French Government success, points out that a French capitalist who has been free to sell and exported gold to London at the true mar- ket price, then repatriating the
gold to Paris where it is true he proceeds, is unlikely to reship the
now obtains the full price, bus where the amount realised may be in danger of being subjected to future restrictive measures by
Government. It is believed that the smaller fry may choose to placate the Government by failing in with their wishes.
The composition of the commit- the administering the Equalisation Fund is favourably 'commented upon. Although market circles would have preferred to see these responsible position in connection men placed in a more directly
with the nation's finances, the hope is expressed that their advice on financial policy will ultimately be heeded by the Cabinet.
Pending clarification of the situation some reluctance is shown) to deal in foreign exchanges, but a small amount of bear covering of forward francs, especially for delivery at three months ahead, caused the discourt to narrow from 3.50 to 3.18.- Peuter.
LABOUR CONTROL THE L.C.C.
London, Mar. 5.
'Detroit, Mar. 4. The agreement with regard to
By capturing two seats in North working hours and wages and Kensington, the Labour Party 1s working conditions, left unsettled
assured of control of the londan
at the end of the recent General County Council for the next three Motors Corporation suite, may be signed Monday, according to of ficials of the company
years.
The earlier progress of the Meanwhile, work has been re-voting, with 94 seats declared out sumed at the Murray automobile of 14, was Labour 54. Municipal body factory and the Briggs Body Reformers '40.— Corporation works,---- Reuter...
ITALIAN ADVISER
London, Mar. 5- The Earl Marshal has given per mimion for the Coronation cere- mony at the Abbey to be almed, election of Combined Univeralties following a conference with the due to the death of Mr. Craddock. Archbishop of Canterbury. Per- Finance, Alberto
mission has already been given to been appointed two newsreel companies to take the necessary pictures. · · A special stand for cameramen wil
be erected.: Reuters Bulletin Service.
Other candidates are Sir Henry Brackerbury (Independent), Mr. Edmund Harvey (Ind-Progressive); The declaration will be made between March 20 and 22,- Reuter.
Reuter,
ROYALTY SEE NEW
·PLAY
TO CHINA
Rome, March 4.
London, Mar. 5. The former Italian Minister of
The King and Queen attended di Stefani, has the theatre last night when they extraordinary saw a new play called "Amazing financial Adviser by the Chinese Doctor Peterhouse. Government, and leaves for Nan- king on Saturday, sailing from Naples. Transocean News Service.
QUOTAS FIXED
February Reduction Factors
Paris, March 5. The International Tin Committes fixed the production quota for the second quarter of 1937 at 100 per cent of standard tonnages.
The Tin Committee desire to point out that reduction of visible due to
supply for February was two malu factors, firstly, occur-
rence of Chinese New Year, and secondly, the fact that one of the eastern smelters was shut down during
the greater part of the
...
month.
It is estimated that taking the probable consumption of tin at the rate of 170,000 tons annually, and allowing for'under-production, in certain countries of 100 per cent., the quota should result in addition of approximately 1,800 tons of tin to the monthly.stock.
There is substantial reserve pro- duction available if necessary at short notice if the above standard tonnage is fixed under the control Agreement.
THE
HONG KONG
PENINSULA HOTEL;
HONGKONG HOTEL; REPULSE HAY HOTEL;
&
SHANGHAI.
ASTOR HOUSE; PALACE HOTEL;:
HOTELS LIMITED.
In association with the Grand Hotel des Wagons Lits, Pektak
Japan As Pivot Of Far East
Dfficulties Discerned In Situation
Tokyo, March 5. The situation in the Far East does not give ground for optimism and much dimculty has to be overcome on the basis of Japan as
The commualque adds that Mr. John Hughes has been reappointed the pivot of the Far East. representative on
the committes
for tin consuming interests in the United States. ·
The next meeting has been fixed for June 11- Reuter.
famous
A. G. K. Brown, the English
who finished athlete, second in the World Olympic 400 metres in 1938, to-day broke the British 300 yards record time by returning 30.5/10 seconds.
This IS the opinion of Mr. Naotake Sato, the new Japanese Foreign Minister. He said that in diplomacy the Army and the political parties must have an understanding, hinting
that
unified foreign policy is necessary.
ANCIENT COLOURS
IN FASHION
Dye Secrets Revealed
Scientists have revealed the secrets of the vld dyes which gave vividness and galety to the page- antry of medieval functions.
A record of them has been made In a book to be issued by the Bri- tish Colour Cound in commemo- ration of the Coronatin.. It will contain an appreciate letter from King George VI, who has accepted a. copy de luxe bound in vellum and coronation blue leather,
The book, which will be publish- "We should have # powerful ed shortly at 3 guineas and at a NEW BRITISH
force to back OBX diplomacy," guineas, contain 51 traditonar RECORD
continued the Foreign Minister. colours taken from 13th-century
This is to lend weight to our
heraldry, the Orders of Knight- legitimate pursuits, and London, March 4
force is
hood, Scottish tartans, and the not to be used for foreign In- vasion"
buntings used by the Services.
Specimens in the book of the British-made velvets, for the robes of the Royal duchesses and the show the historical The ducesses' princely purple is a true amethyst, and the peeresses' crimson 15 distinctly richer and softer than the thea- trical crimson used at the last Coronation
Be accomplished this brillant performance at Cambridge.
The previous record, established by Guy M Butler, was 30.6/10 deconds.--- Reuter,
TRAMWAY STRIKE
SPREADS
Fitters And Cleaners Affected
Shanghal, Mar. 5.
Because Mr. Bato spent the last the last thirty years of his diplomatic work in Europe, some circles here believe that the new foreign minister possesses not only peeresses, a through knowledge of China but shades, that of his own country. He is chosen to head the Foreign Office because of his seniority in the diplomatic service Union News.
J
REVOLT LEADER
IN HIDING
Shanghai, Mar. 5.
RISE IN RICE PRICES
At the end of last year, there. message from Chengchow was a drop in the price of Blam states that Colonel Pal Feng-rice but, it did not appear to heang brigade. commander of
The tramway strike this morning | Chang Hsueh-llang's ‘army, who affect local prices to any great ex-
cleaners.
extended to about 700 fitters and The alt-down methods adopted yesterday have been abandoned.
Meanwhile a full street service is being maintained as the motor- men and conductors are still working.
The trouble arose owing to the dismissal of two employees, Kleuter.
·NOVELIST. DEAD.
London, March 5 Queen Mary and the Duke and It is learned that the well-known Duchess of Gloucester attended the novelist, Mr. Joseph Hocking, has performance the previous night-- | pased dway, Reuter's Bulletin Service.
•Reuter
was one of the leaders of the Feb.
2 counter-revolt at Blantu, ré- ported to have gone into hiding in Pelping- Reuter.
Returns To Post
tent,
During these few days, however, the local prices of rice have had an upward tendency, due It Is sald to the increase in freight rates. Again, the local stocks of rice have been greatly reduced through the export of over 3,000 tons to Peru. In the opinion of rice merchants, a alight increase in the freight rates cannot affect prices to any serious extent, the real danger be- ter, Public Relations Officer in the ing the diminishing of locaj stocks Fost Office, who was seconded tem- by wholesale export to other cou- porarily last summer to act as ad- tries ditional assistant Under-Secretary However it is believed that in the Dominions Office, has now when new shipments of rice ar returned to duty at the General rive, local prices w drop to their Post Office.
former level 200 Dritish Wirelem.
Chinese Evening Pra
London, Mar. 4.. Lieutenant Colonel E. T. Crutch-