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No.84620. 號拾弍佰陸仟肆萬弍第 日叁拾月隘年丑了 HONG KONG, TUESDAY, JULY 20, 1937. 式拜禮日拾弍月年卅佰玖仟查英I

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CHINA'S COURAGEOUS REPLY

FACTS

July(midnight)—A Battalion

of General Sung Chen-yuan's 29th Route Army clashed with a bat-. tallon of Japanese troops when manoeuvring in the neighbour- hood of Fengtal."

11 am. Armistice declared. 11.40 am. Armistice broken July 8 (7.30 p.m.)-Fighting re- sumed after the refusal of the

Chinese troops to evacuate from the Lukouchino district.

Martial law proclaimed in Pel- ping.

tal

Japanese troops rushed to Feng-

July 9-After a brief clash, at- tributed to another misunder- standing. Chinese troops complete- ly evacuated Wanping and Marco Polo Bridge and other points stipu- lated in the agreement. Majority of Japanese troops also withdrew. July 11-Renewal of hostilities broke-up Sino-Japanese peace conference in the house of General Chang Yun

Ying. commander of Hopei and Pacantul

Generalissimo Chiang Kai Shek issued orders for Chinese Air Force to be ready for mobilisation.

Sandbags and other barricades. erected at strategic points in the

- city of Pelping.

July 12 British troops ordered to remain in Tientsin. Japanese militarists assumed virtual control of the Shanhalkwari and Pelping sections of the Petplag-Mukden railway.

New agreement reached between Chinese and Japanese authorities and respective forces reported to be withdrawing from the disputed area.

Batch of questions on North China situation asked in House of Commons to which Mr. Anthony Eden, British Foreign Becretary, replied diplomatically.

July 13-Five Japanese aircraft bombed Chinese forces at Nan-

yuan,

In London. Mr. Quo Tai Chi, Chinese Ambassador, 'had interview with Mr. Eden.

Chinese authorities at Nanking issued general mobilisation order.

British Press gravely commented on North China warli

refrains

United States invoking Neutrality Law,

"TERRITORIAL SOVEREIGNTY

UNSACRIFICABLE!”

Chiang Kai-Shek Answers Japan

War Expected To-Day

KULING, JULY" 19..

GENERALISSIMO CHIANG KAI-SHEK MADE A STATEMENT THAT CHINA'S SOVEREIGN RIGHTS CANNOT BE SACRIFICED EVEN AT THE EXPENSE OF WAP AND THAT ONCE WAR WAS BEGUN THERE WOULD BE NO LOOKING BACK.

THE GENERALISSIMO ADDED, THAT, THE FOLLOWING FOUR POINTS SHOWS CHINA'S STAND. FIRSTLY, ANY KIND OF SETTLEMENT MUST NOT INFRINGE ON THE COUNTRY'S TERRITORIAL INTEGRITY AND SOVEREIGN RIGHTS: BECONDLY. THE STATUS OF THE HOPEZ-CHAHAR POLITICAL COUNCIL WAS FIXED BY THE CENTRAL GOVERNMENT AND· ILLEGAL ALTERATION SHOULD NOT BE ALLOWED; THIRDLY, "WE CANNOT AGREE TO THE REMOVAL, BY OUTSIDE PRESSURE OF THOSE LOČAL OFFICIALS APPOINTED BY THE CENTRAL GOVERNMENT SUCH AS THE CHAIRMAN OF THE HOPEI-CHAHAR POLITICAL COUNCIL;" AND FOURTHLY, "WE WON'T ALLOW ANY RESTRICTION BEING PLACED ON THE POSITIONS NOW HELD BY THE 29TH ARMY."

NANKING: `WHILE EMPHASISING THAT THEY ARE MAKING EVERY EFFORT TO SECURE A PEACEFUL SOLUTION THE CHINESE AUTHORITIES IN NAN.... KING ARE RUSHING PREPARATIONS FOR ALL EVENTUALITIES.

TOKYO, FROM TIENTSIN IT IS LEARNED THAT THE NEGOTIATIONS FUR SETTLEMENT WERE RUPTURED WHEN THE CHINESE TROOPS, ENTRENCH- ING THEMSELVES IN LUKUOCHAO, OPENED FIRE ON THE JAPANESE ADVANCE GUARD. THE OPINION IS EXPRESSED THAT NOTHING SHORT OF A MIRACLE CAN PREVENT A MAJOR STRUGGLE.

SHANGHAI ACCORDING TO A JAPANESE REPORT FROM TIENTSIN THE JAPANESE GARRISON in North CHINA MAY Be obliged to TAKE ACTION AT NOON TO MORROW (TUESDAY) UNLESS THE CHINESE TROOPS CEASE "THEIR ILLEGAL ACTIVITIES.”—REUTER.

from

"Prince Koneye, Premier of Japan

Japanese battalion with battery field guns moved inside the Great Wall from Kupeikow. 3,000 Japan- ese reinforcements arrived in Tientsin from Manchukuo.

July 14-8 Hugh - Knatchbull- Hugessen, British Ambassador to China, left Peitalbo for Nanking where on arrival he presented a note from the British Government | to the Chinese Government....

Spokesman of the Foreign Omce at Tokyo declaréd that it had long. been Japan's polley not to allow foreign intervention in the Sino- Japanese affair and asserted that future developmenta in North China depended entirely on the Chinese attitude.

General Taal Ting Kai reported to be leaving Manila for Nanking, July 15 The War Office at Tokyo officially announced that In view of the serious situation in

· Nórth China' It was decided to despatch troops from Japan to North China.

Mr. Hirota, Japanese Foreign ||

Minister.

NEWS INDEX

Japanese military authorities in ¦ Amusements Fengtai issued a proclamation in Cables the Chinese language to the ef-Finance fect that the purpose of the des- Leading Article patch of Japanese troops to North Local Diary..... China was to expel the 29th Route Mail Notices Army, opponents to law and Radio Programmes order,"

Shipping

Prince Konoye, Prime Minister of Sport Japan, voiced hope for peaceful The Services settlement.

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an

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10

July 16-Japanese nillltarista de Britain and America sent notes termined not to release their to Japan.

stranglehold in North China except

at the price of drastic reforma in The Hopel-Chaher administration,

Conditions in Peiping returning to normal.

July 15-Japan

to China, demandin

points r provocative acti tral Governmenti

CHINESE REPLY TO DEMANDS

Nanking: The Chinese reply to the Japanese demands was delivered to the Japanese Embassy. at 2 p.m. It is understood the tone is conciliatory.

A message from Shanghai, however, states that the Chinese "counter-proposals are totally un- acceptable to the Japanese-Reuter..

JAPANESE REINFORCEMENTS ARRIVE

Shanghai: The latest report shows thist Japanese troops are pouring steadily Into North China. It being estimated that 3,500 arrived in the last 24 hours via Shanhalkwan Meanwhile the preparations being made by the Japanese military authorities suggest impending arrival at Tangku of troop transports from Japan,

Japanese military officials in North China deny that General Katsuki is satisfied with the vertal recognition of the truce in the protocol of July 11, reported to have been given by General Sung Chih-yuan yesterday.-Reuter...

SHANSI

*FB*

CHAHAR

HONAN

(Continued on Back Paro).*

12TH

120*

JEHOL

WORDS

BRITAIN

It is the earnest desire of the British Government that there be a settlement not only of the pre- sent" dispute but of Sino-Japanese difficulties generally. Mr. Anthony Eden, Foreign Secretary,

BRITISH PRESS

A new Far Eastern war will be a major disaster-Daily Herald.”.

Japan la uncertain what ahe wants and how to get it. The Times"

China has been made a pawn in the Japanese political game -be- cause the soldiers are seeking to Impress the new Japanese Govern- ment." Daily Telegraph."

It is still possible for Great Britain, and the United States; seting together, to prevent Japan taking the last fatal step- “Birmingham Fast."

The situation is too grave to rely

on the hopes of a compromise or the comforting assurance that at the worst it will only be a minor operation in North China.--“ Man - chester Guardian."\"G

CHINA'S VOICE Unless the Powers can effect mediation there will be a major confict between China, and Japan. Dr. Wellington Koe, Chinese Ani-

NS APOLOGIA

I hope China will consider haz attitude promptly and give a guarantee against a repetition of her recent wanton actions-Prince Konoye, Premier of Japan,

It will be fortunate for Japan Manchukuo and China ir adequate guarantee is forthcoming for the maintenance of peace and order, in North China as a result of the negotiations at present taking place on the spot. Mr. Hirota, Japanese Foreign Minister.

SHANTUNG

CHIHLI

(Hopeh)

EBALKAYI

Generalissimo Chiang Kai-shek, Head of the Nanking Cintesi Governinani, - President of the Nanking Executive -Yuan and Chairman of the Military Affairs Commision.

General Sung Cheb man of the Hopel-Ch Council, and Comma 29th Route Army,

THE DOLLAR

T.T. ON LONDON: 15. 2.19/324. T.L. ON NEW YORK: 30-3/18.

London Silver Marker

(From Our Own. Correspondent)"

London, July 19, London silver prices down 1/16 for: changed for Vorw

LUST

The Editor's comments on the Sino-Japanese situation will be found in the leading article Page 8 under this heading.

MR. ANTHONY EDEN

Statement On The Situation

London, July 1970

In the House of Commons to- day, the Foreign Secretary, Mr. Anthony Eden, made the following statement regarding the Bino Japanese situation.

Mr. Eden said

"The situation in the Par continues to

be can

and dimcult to desc cise terms. The ponsibility for main uncertain

the negotiations,

Sreasing locally, ktown Nones the tions encourage us to present situation, passibilities undoubtedly are not deliberately provoked elther Government

Both the Chinese and Japanese Government assured us that they are anxious to avoid extenskn the trouble. We have both the earnest hope the should not be aggrava

a peaceful settle

We have

Chinese Benta

GULF OF CHIHLI

Spot Forward

-troop

July 19: 19-15/16

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