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FINAL EDITION

Hongkong Telegraph.

FOUNDED 1841

Na 14545

# #AZASE THURSDAY, MARCH 21, 1935.

HITLER MAY ASK FOR COLONIES

FRANCE INCREASES ARMED STRENGTH

REMINDS BERLIN ALLIES WON GREAT WAR

(By Telegraph. Copyright, Telegraphic Messages Ordinance, 1894. Received, March 21, 10.30 am)

Washington observers predict that Germany's next move in her struggle for equality will be a demand- for the return of the Colonies she surrendered after the War, which include islands now mandated by Japan.

In Paris, the Government has approved the noti- fication of the League of Nations of Germany's re- armament, M. Laval's visit to Moscow, and participa- tion in the conference with Britain and Italy to decide on polley. M. Flandin has reminded Germany that the Allies won the Great War.

At the same time, France is taking rapid measuresi to bring her Air Force and Army to a more formidable strength. Sir John Simon has told the House of Commons that no modification of the Treaty of Ver- sailles will be permitted without Parliament's full knowledge.

Washington, Mar. 20.

Some observers here predict that Germany's noxi move will be to demand the return of her Colonies lost in the War, which, if they included the mandated islands,

·would undoubtedly involve com- plications with Japan.

Diplomatic core, however, are convinced that Germany is out to regain her lost world position and the prestige and authority which went with it. For this reason return of hor Colonies might be the price of Germany's re-entry into the League of Nations.

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It is also suggested that Germany might demand plebiscitos in Austria and the Free Port of Danzig, and other European arcan, similar to that obtained in the Saar,-United Press.

INCREASE

IN FRENCH

AIR POWER

SUPPLEMENTARY SUM. SOUGHT

RENOVATING FORCES

日七十月二

Sir Malcolm Campbell yesterday carried out further speed, tests at Daytona Beach, shown in above picture, if the condition of the beach does not improve, he may pack his car to-day. Inset are

Sir Malcolm and Lady Campbell.

Peace Will Prevail

MAN'S MENTALITY CHANGING

JAPANESE OPINION

New York, March 20. The gradual shifting of man's mentality in favour of peace, was the subject of a speech by Mr. II. Salto, the Japanese Ambassador, at a banquet of the Japan Society to-night.

CAMPBELL MAY QUIT DAYTONA

UNLESS BEACH IMPROVES

MAKES TEST SPINS

Daytona, March 20.

Aur-

India's Problem Soluble

RIGHTS OF PRINCES RECOGNISED

SIR S. HOARE'S POLICY

London, Mar. 20.

The attitude of the Indian Princes towards the Government)

act out.

Sir Malcolm Campbell, al-of India Bill was discussed in the though determined to reach a House of Commons in the light of speed of 800 miles per hour, the White Paper published Tues- The reasons for this trend, he after a trial spin in the giant day last, in which the criticisms safe was the realisation of the racing car, Bluebird, to-day for India's comments thereon were of the Princes. and the Secretary futility of war, and the growing announced that unless the condi- prevalence of justice, in interna- tion of the beach showed signs tional affairs,

of improving he would crate the Formidable as those criticising Equestrian statues of great com-car for shipping to-morrt might look at first sight, said Sir manders had given way to monu- menta to unknown soldiers, and the ad mile, reaching 200 miles an

He twice traversed the n

Samuel Hoare, they were, he be- ieved, adjustable; and in support| slogan "My Country is right; yours hour on the northward run and this he cited the opinion ex- must be wrong," was no longer ac 110 miles an hour on the south-pressed in correspondence by the copted, at least not by self-respect- Ing minds.

The timing apparatus Princes themselves that "It is still | was not used, for his spins were not beyond the sphore of states- not attempts at a record but only manship to adjust our differences for the purpose of testing a new in such a manner as would lead carburetor and a setting to enable to a satisfactory and desired greater acceleration in second gear.

sult". Both experiments were satis. factory, he said after the run.

word run.

There seemed to be a race be tween pence and war. Ho had no doubts, he said, with regard to the outcome. He could see no danger either across the Atlantic or the Pacific.

In Asia, the time for a rap-Reuter The French Government is prochement between Japan and asking credits of 1,600,000,000 China had arrived, apparently francs for the renovation andJapan and China ought to be good A blunt Note has been pont to overhauling of the military air

BLUNT NOTE

Paris, Mar. 20.

Berlin atating that the French Cabinet has approved, firstly, the notification of the League of Nations as to Germany's re-arma- ment; secondly, M. Laval's visit to Moscow; and thirdly, French participation in preliminary con ferences with Britain and Italy.

M. Flandin, the Prime Minister, told the Senate to-day that the Army must be strengthened im- mediately. He said this would be only a temporary measure.

"We want to show the world that France remains ready to con- tinuo efforts towards disarmament within the limits

of security," he declared.

He added that Franco was un- able to accept a unilateral de- nunciation of the Treaty of Ver- sailles on the basis that other countries had failed to disarm.

arm.

Paris, March 20.

introduced immediately according It is necessary that the Bill be

a statement of the Air Minister, General Denain.

Special attention will be paid to bombing planes,

This new credit will be supple- montary to the normal budget re- quirements, voted last November, -Router.

JAPAN'S TRADE ENDANGERED

EFFECT OF LEAVING LEAGUE

their own best interests

NO CHALLENGER

friends, he went on. that they challenger In his particular sphere Sir Malcolm Campbell has no should be such. And it would be in of sport. He reigns supreme. A the Japanese could do anything to the interests of the whole world if few have tried to equal or better

tions in that country. aasist China to stabilise condi

not only benefit the Chinese people, The stabilisation of China would

but would facilitate and encourage American and European commercial and financial activities in China, which would be satisfactory to overseas investors and to Chinese alike-Reuter,

London Silver Trading

DEALINGS COMMENCE ON MAY 1

SIR WM. PEEL FUND

Donations Received To-day

The SC M. Post and the Hongkong Telegraph have received the following donations to the Sir William Peel Fund for the Protection of Children: -M. and Mmè, M. J.

in Our

ro-

AIR MAIL

STATIONERY WRITING PADS

100 SHEETS

Specially manufactured to mee

the demand

Smooth finish, each sheet water markad

New Exchange. Prica 75 cte.

SINGLE GOFF A DENTS | WHITEAWAY, LAIDLAW & CO., LTD.

$18.50-FER ANDERS

GOLD FOR SILVER

BARTER PLAN

OPPORTUNITY OPEN TO CHINA

SILVER'S PROSPECTS. STILL PROMISING

With President Roosevelt's approval, the Secre-

Washington, Mar. 20, tary of the Treasury, Mr. Henry Morgenthau, to-day issued a special licence to enable the Bank of Mexico to buy 32,000 ounces of gold from the United States at $35 per ounce, plus 14 per cent, handling charge.

The gold will be used to strengthen the Mexican monetary reserves. Members of the Treasury assert that this measure has no connection with the United States' purchases of Mexican silver.

It is also learned here that the United States Trea- sury sold Guatemala about 10,000 ounces of gold last year, which provoked speculation as to whether the United States was disposed to exchange gold for silver from China.

NANKING APPROVES BIG LOAN

MONEY TO ASSIST INDUSTRY

The to-day

EXPORT TRADE-

BURDENS

resolution

It is widely belleved that such n transaction would depend upon China's views and ultimate policy. -United Press,

BELGIUM'S PROBLEM

Brussels, March 20. King Leopold to-day, conferred with politicians and business leaders with the purpose of seek- Ing an economic basis for a new government.

The position of the belga ta getting worse through the agita- tion for devaluation increasing and businessmen apparently favouring devaluation.

M. Juissant, President of the Antwerp Chamber of Commerce Issued a statement to-day in which he urged devaluation.

He said that 'only considerable confusion had resulted from the operation of foreign exchange con- trol and the modified gold- em abroadUnited Presas. bargo, neither of which were able to stem the decline of the belga

OUTLOOK FOR SILVER

je Nanking, Mar. 20. Central Political Council approved a -resolution The documents reproduced in authorising the issue of a series of the White Paper showed there loan bonds to the total amount of were about thirty points upon $100,000,000. which the Princes felt doubt. Another important About, one-third were due simply adepted by the Council to-day was other two-thirds the great majority empowered to exercise its discretion to a misunderstanding. Of the that the Ministry of Finance be were either points where drafting in relieving the burden of taxation was not quite clear or where draft and customs rates imposed on Ing could be readjusted without exports. any sacrifice of any substantial In explaining the objects of the by Messrs. Samuel Montagu & Co., principle in the Bili. All except two resolutions adopted by the bankers and bullion merchants of two points ought to be capable of men, Dr. H. H. Kung. Finance done so much to remove the un-

Central Political Council to press- London: comparatively easy adjustment.

"Events of the past year have certainty which prevailed as to the trend of silver.

The following is an extract from the annual "Bullion Letter" issued ►

Y

"The legislation passed by the

Minister, declared that the ultimate He had always admitted that the object was to bring prosperity back accession of the Princes into the to trade and industry in China, Federation was difficult and com- He said that 65 per cent. of the pileated. His advisers, however, proceeds derived from the $100,- United States Government was, had been in close consultation with 000,000 loan would be placed at the of course, the outstanding factor. the legal advisers of Indian States. disposal of three leading Chinese and to this, directly and indirectly The views of all parties had been Banks, and would be apportioned the Improvement in prices, is discussed in detail and discussion as follows: had not revealed any differences

The Central Bank of Ching, "The fact that America have which appeared to be incapable of

$30,000,000;

atill over 1,160,000,000 ounces to adjustment.

The Bank of Communications, acquire if the provisions of the $10,000,000;

silver Purchase Act are to be

PARAMOUNTCY

Regarding misunderstanding on

attributable.

The Bank of China, $25,000,000. carried out, would appear to admit On securing such financial sup- of only one conclusion, but ob

the question of paramountcy, it port these three banks will be in viously much depends upon the was not the case that the Bill could a position to freely extend credit nanner in which the purchases are not be proceeded with until the alda to financially embarrassed effected. Princes claims on this subject

industries and businesses.

Taking a very long view, there The object of the second resoluis room for conjecture, as to the

M

"However, falling any fresh development and Judging from re- cont experiences there is every probability of at least a steady, if not a firm market for some time to

B. Montargis.. $100.00 -MUST HAVE CONSENT

Tokyo, Mar. 18.

Miss G. M. Cotton 50.00 It is learned that the French Japanese trading circles are

Further donations will be Note to

to the Visibly concerned over the prob Germany and

welcome and will

wore settled. The Princes were be League of Nations refuses to bla adverse effects which Japan's

acknowledged

not being asked here and now to tion, Dr. Kung continued, was to ultimate result of the accumula accept Germany's re-armament Withdrawal from the League of

London, Mar. 20,

columns. beyond Treaty limits without the Nations will have on her export

accode. Parliament was passing rapid growth of China's unfavour-ailver, always provided that in the encourage export trade, as the tion of such a vast amount of It is ometally announced that consent of other Versailles signa-business with mandated territories dealings in fine aliver will commence

the best Bill It could and was able trade balance, in addition to meantime systems of currency are torles, and thus forces a show-in Africa and Asia Minor, a sur on the Bletal Exchange on May 1.

taking into account as fully as matt possible, all the various interests policy, wore the main causes ac a circumstance which seems highly the American silver purchase not developed on bi-metallic lines, down with the League..

voy revealed to-day. Japan's The hours of trading, from Mon-

British and Indian, those of the M. Flandin, speaking in the relations with the

League will day to Friday, will be from 1.20 to his performance, but they have Indian states and those of Britain counting for the present economic improbable from what indications Senate, reminded Germany, that formally be severed March 27,

1.25 p.m. and from 3.45 to 416 ver approached. It. Most of and of Empire. The Princes had News.

depression In- China-Central there are at present. the Allies won the World War, and Affected by Japan's change in p.m.; and on Saturdays trading them have died in the attempt. always claimed they could give no they could win another.

status, from a League member to will be from 11.80 a.m. to 11.45 am, It was on March 7 that he shat- final answer as to their accession TRANSIT DUTY LIFTED

Dealings will be for prompt do- terod. his own records across the until the Bill was on the Statuto The Senate passed a vote of an outsider will be her trade re- confidence in the Government inations with the French mandates livery, up to three months, with Daytona sands. He travelled a Book. If they acceded there

Nanking, Mar. 21. raising the torm of military ner. of Syria, the Cameroons and daily clearings as for tin and cop-mile in 12.81 seconds, Twenty would be Federation. If not thore reduction or abolition of transit como,"

As a first step toward a general vico United Press.

Togoland, exporters - here...anid. | per."

years ago men marvelled to see a would be no Fodoration. Administrations of these French Warrants will be issued by car travel a mila in 60 seconds.

duties Imposed on native goods, the PLANS FOR CONFERENCE mandated territories impose disc Mesars N. M. Rothschild for lots He attained a top speed for the Princes position in regard to lasued an

So far from worsening the Chinese Ministry of Finance has criminatory tariff duties upon of 3,000 ounces at three per cent mile of 281.03 miles per hour. London, Mar. 20.

order exempting the Great Britain announced to-day Imports from non-member coun-more or less Router.

His average time for the south-would make it better, but that any such levy-Central Netos.

paramountcy, however, the Bill native made cords and ropes from that she accepted Signor Muasco-tries which, in the case of Syria,

ward and northern dashes over question was one that must be lini's invitation to a preliminary to League members, prog

aro double the rates granted

the measured mile was 276.810 dealt with in a normal way. In

NOT MUCH political conference in Paris on

HELP miles per hour, compared with India. It affected all the Princes, Saturday and also another, after Similarly, Iraq, although an Ta-

the record established by him two whether they federated or not, Authoritative circies here say

Shanghai, March 21, Sir John Simon returns from his dependent kingdom, after Britain

years previous in his old Blue and whether the Bill was passed they do not anticipate much effect visit to Berlin and Mr. Anthony Fave up her mandate in 1980,

bird, 272.108 miles per-hour. now and treats League members on the

Incidentally, over the measured or not. But if British India was from the $100,000,000 Govern- Warsaw,

During a speech to-day at the five miles of sandy track, Sir ever to achieve its full status in meat loan bond issue. It la belleved

exclusion of non-members.

This is due to the Impression Little Entonto

and the Soviet Union might also be in tories do not discriminate speci- plea for bi-metallism,

slowing down then,

Princes, for all time, having that provide any now money, which vited at fcally boliveon League members. He said proposed doubling It will be recalled that, he al share in the Government of a they believe to be the only remedy today hitam Kanias, yen

Simon assured the and oulaldera, Great Britain has the world's primary money, there most lost his life in these races continent to which they were for the existing situation.. Biraz Oklahoma, - Missouri; and portions House of Commons to-day that no already imposed restrictions on by doubling currency and creating with time when he drove into entitled. He believed the differ modifications of the Treaty of the Japanese imports of

At the same time. they consider of New Mexico and Colorada)) -> Versailles would be permitted cloth and rayon pood to post purchasing power where none loose sand, but with his usual fron oncos at issue could be honourably that the measure would prove to Thousands of font of top-coll exists, and I intend to do' it on a control de righted the big.car and adjusted in full harmony.--- (Continued on Page:7). •yika--Rango.

be an aid to the threa bank's wore carried into the air and the stable basis,United Press. escaped disaster,

British Wireless,

concerned,“United Presip S

| damage poi aropa: la reported to be Premendous mainad: Prag

NEW PLEA FOR BI-METALLISM

New York, March 20.

4

HEAVY CROP DAMAGE

DUST STORM · IN MID-WEST US.

Kansas City, Mar, 29. One of the worst dust storme

Eden returna from Moscow a most-favoured nation" basis to the Bryan Birthday" dinner, Senator Malcolm maintained a speed of the British Empire an All-India

While British mandated torri. Burton K. Wheeler renewed his 251.396 miles an hour. Bu he was Foderation was casential, with that, in their opinion, it does not the history of the Middle: Westt

"that"

the

Tangan-

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