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Lay, Supreme Court SHAKESPEARE'S
Hongkong Telegraph.
FOUNDED 1881 四拜禮 號十二月六英港香
No. 14608
ANGLO-JAPANESE Roosevelt
FRIENDSHIP
Opposed By
House Group
MUST BE SUSTAINED HOLDING COMPANIES
FOR SAKE OF PEACE
TROUBLESOME PROBLEMS
IN THE PACIFIC
London, June 19
The greatest importance is attached to a continued close friendship and understanding between Japan and the British Empire, according to the spokesmen of the two peoples who to-night touched upon the causes of possible friction in the Pacific against which they must guard.
Sir Samuel Hoare, Great Britain's new Foreign Minister, speaking at a dinner of the Japan Society in honour of Mr. and Mrs. Tsuneo Matsudaira said that when the Japanese Minister to Britain returned to Japan he wanted him to take back a message from the British people.
"I want you to say that we are conscious of the fact that we two peoples have many of things which matter most in the world in common. We are both great island powers and still possess the inestimable blessing of an hereditary monarchy. We are two very enter prising races and rightly determined to leave our marks in the history of the world.
"Sometimes dificulties may arise J- between us. Let us discuss them us friends, anxious to understand
each other's viewpoint. Anglo- Japanese relations have not been entirely free from disturbing fac tors in recent times. I will only mention the recent report we re- ceived from North China; I will only mention the difficulties that are bound to arise from thue to time between two powerful in-
BRITISH TREATY BREACH?
dustrial countries trading over the ALLEGED UNLAWFUL face of the yorld.
"I hope their excollencies will tell the Japanese people that there Are many men and women in Eng land who wish to see these diflculties removed, just as, we are sure, there are many men and women in Japan who wish to see them removed,
"We in England regard proper understanding and collabor. ation between our two countries as
essential not only to the stability of Asia but to the prosperity of the
whole world."
GERMAN PACT
'M. LAVAL'S PROTEST
DEFENDED
FIGHTING FOR EXISTENCE
Washington, June 19. Drastically modifying the Ad- ministration's proposals for the abolition of-unhecessary holding companies. the House Inter-State Commerce Sub-Committee to-day the House a Bill providing for the reported, to the full Committee of regulation of the holding com panies.
Almost simultaneously, Frost- dent Roosevelt at his usual news-
paper conference. reiterated that he was heartily in favour of the
companies, ns provided by; the
eventual elimination of holding recently passed Senate Bill.
יוין
ported
Under the amended Bill, as re- by the House sub- Committee, the Security Exchange Commission generally could quire ench holding company system to confine its operation to one intergraded atility system. mission finds such limitation un and if the Security Exchange Com- necessary in the publle interest, it is to require a limitation of opera- graded utility systems as it finds
tions to such a number of inter-
may be included in the holding company system conslatently with the public Interest.
COMPANY TAXES
Another variation proposed by the House sub-Committee was the provision that holding companies, all of which must register with the Security Exchange Com- mission, should have to pay after December 12, 1937, a corporation income tax of 15 per cent, on any dividends received from sub- sidiaries or other holding, com- panies or their subsidiaries.
Mr. Samuel Rayburn, chairman of the full Committee, hopes the Bill will be reported to the House by the end of the week where efforts will be made, undoubtedly, to restore the so-called "death sentence clause" which would mean the eventual dissolution of the corporations.
Paris, June 19.
The Chamber of Deputies is critical of the Anglo-German naval agreement, Disapproval Was The amendment also authorises voiced when M, Laval, the. Prime the Security Exchange Commission Minister, explained the European to require divestment of non- situation to the Foreign Affairs utility property only where it finds Committee of the Chamber and its retention would be inconsist discussed the possible effects of the London pact.
ent with the public interest, but may not compel the scrapping of
MINISTER'S REPLY Replying, Mr. Matsudaira said that the Anglo-Japanese friendship It was contended that the agree-foreign holdings.-Reuter,
had stood the test of time. It was ment firmly established tional.
now an tradi- Treaty.
violated the Versailles
most
THURSDAY, JUNE 20, 1935.
Commander Cheung Feng-yan, in charge of the cruiters Hai Chi and Hai Shen, now in Hongkong Harbour, after having escaped from Canton, Picture was taken aboard
Hai Chi yesterday. (Photo
Ming Yuen Studio).
the
MAN- MONSTER SEEN
AMOY DISTRICT TERRIFIED
CREATURE OF THE SEA?
Amoy, June 20.
A sea monster is reported to have been seen many
times by fishermen and peasants along the coast in the Chaoan District, near Amoy.
The monster is alleged to look like a man, having an almost human head, and is covered, body, legs and arms, with heavy black hair.
Ile has been seen frequently tanding from the water and shout ing at the top of his very human votce.
日十二月五
Trend Of
Silver Is
Examined
AMERICA REPORTED
BUYING AGAIN
SHANGHAI'S
PROPHETS
London, June 19.
India and China sold silver to day.
America and speculators bought at the decline. The market was quiet.
After the official fixing America was a good buyer at one-sixteenth over the fixed prices. Small busi- ness was reported at ont-eighth over the fixed prices.--Reuter.
Messrs. Samuel Montagn and Company in their report for the Indian Bazaars has been less in past week, say: Demand from the
evidence. Bombay being followed by con- weak advices from siderable re-selling, which responsible for the fall in prices to-day.
was
There have been further sales on Chinese account, but specula tors have bought and Amerien has given occasional support.
Conditions, however, an the whole, are rather quiet.
It appears that the market is somewhat undecided and, at present, the outlook seems to depend on the continuation of American support.
SHANGHAI OPINION
Shanghai, June 19. Finance and Commerce, In its weekly report for the period end- ing June 15, states:
"In the local exchange market wo have experienced a very quiet week, with rates displaying a re markably steady tendency, but very little business has transpired,
"In the London Silver market. quiet conditions have also prevail- ed and the net result during the period under review has been a gain in price of 3/16d.
BINGLE COPY 10 CENTE
125.00 PER ANNUM
POEMS
IN MINIATURE FORM COMPRISING 40' BOOKS
BLACK LEATHER BOUND
IN NEAT WOODEN BOOK CASE PRINTED AND PUBLISHED
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Price $10.50 set
WHITEAWAY, LAIDLAW & CO., LTD.
PLAN HIGH TAX ON
U.S. WEALTH
ROOSEVELT DEMAND OF CONGRESS
INHERITANCES TO BE FURTHER SLICED
(Bu Telegraph. Copyright, Telegraphic Messages Ordinance, 1894. revived, June 20, 8.30 a.m.)"
Washington, June 19. President Roosevelt, in a special message to. Congress to-day, asked for higher taxes, particularly, on the nation's bigger incomes, and also larger in- heritance, gift and corporate income taxes.
The message, which was a surprise to all but the Congressional leaders, proposed an increase in rates on very large personal incomes and also à graduated corporation income tax, starting at ten and three- quarters per cent. and rising to sixteen and three-quarters per cent., in lieu of the present flat rate of thirteen and three-quarters per cent.
In addition to the present estate taxes, President Roosevelt proposed levying an inheritance tax, a succession tax and a legacy tax, in respect to all very large amounts received by any one legatee or bene- ficiary.
IMPERIAL DEFENCE SCHEME
AUSTRALIA PUTS PROPOSAL
CO-OPERATIVE. OPERATIONS
To prevent as far as possible the evasion of this tax, he also recom- mended that gift taxes, suitable to this end, should be instituted.
President Roosevelt declared in favour of a definite increase in existing taxes upon very great individual net incomes as a means of coping with "the disturbing effects upon our national life that come from great inheritance wealth and power."
of
The President asserted that the present flat rate of corporation taxation created a disproportion- ate strain upon small enterprises.
"It therefore scents only equitable to adjust the tax system in accordance with economic capacity, advantage and fact.”
He also proposed a consti- tutional amendment "whereby the Federal Government shall be per- mitted to tax income
kub- sequently issued state and local securities, and likewise taxation by state and loen) governments of future issues of federal securities." Melbourne, June 20. A co-ordinated Imperial Defence continuation of the miscellaneous He concluded with a request for Scheme is foreshadowed by a
(By
"There has been no evidence of buying by the American Treasury
(Special to "Telegraph”) and there have been no Indications from America that the Treasury is
Telegraph, Copyright. Telegraphie koly to
Messages Ordinance, 1811." Received," Juna resume purchases of 10. m silver on any scale sufficient to bring about a further rise in prices.
110
Sometimes he allegedly hunts for beasts, and some say he preys upon men along the sea coast, ter-
"On the contrary, there are in- meeting of the Commonwealth emergency taxes recently voted by rorising the surrounding districts. dications that silver prices are Council of Defence to-day which is the House of Representatives.
The villagers are now. making likely to remain quietly steady, believed to have broached a plan Reuter Special. efforts to capture the ereature with the possibilty that the for new Australian defence when he appears on land again tendency will become weak as Central News.
holders grow tired of maintaining their long position."-Reuter.
Charhar Still A Problem
NO CONFIRMATION OF SETTLEMENT
measures.
4
SUMMARY OF MESSAGE
Washington, June 19.` The plan entails the closest co- A general Increase in taxes, operation with Great Britain and especially on the largest personal other dominions and colonies and incomes, imposte on larger in- includes a
and · gifts, and project for the exheritances
fence Council for each dominion. lieu of the present flat rate, were It is understood that the Aus requested. by President Roosevelt tralian focal defence plans would in a special surprise message to be closely linked with Singapore Congress to-day-Renter. on account of the latter's strategic Importance to Australia.-Reuter
|NOTED PERSONAGES tablishment of a permanent De- graduated tax on corporations, in
PASS AWAY
VISCOUNTESS AND TITLED CLERGYMAN
London, June 19. The death has occurred of two interesting personalities, Viscoun- tess Pirrie, and the Earl of Devon. Viscountess Pirrio was appoint-
HOLDERS OPTIMISTIC
New York, June 19. M. Laval was
guarded There had been several problems when speaking upon
the forth cheered
Holders of utility accurities are in the last few years, he admitted, coming visit of Mr. Anthony
by two developments- which had tended to produce mis- Eden, the British official spokes-first, the much softened House of understanding and mischief, but man on matters of foreign policy Representatives version of the there was no problem, however dif- and most able of the diplomats secondly, President Roosevelt's Holding Company Bill; and, Acult, which could not be solved working for Britain in the cause remarks at a press conference, in sooner or later with goodwill and of peace. candour on both sides.
which he appeared to regard the Under pressure, however, he Holding Company situation with "It le regrettable that unrest has admitted that the Anglo-German much less than his usual hostility,
Peiping, June 20. existed not only in the Far East
that wholly intra- Reports that the Charhar in- agreement but throughout the world,
had startled him and emphasising and seemed to infringe upon
cident has been entirely settled in the State holding companies, such as strong efforts are required more Anglo-French agreement of Febru. the Niagara Corporation, the
the negotiations held at Tientsin than ever to dispel the misunder-
between Mr. Chin Teh-chun, a Public Service of New Jersey and which forbade bilateral
the North American corporation Charhar delegate, and Major-Gen- the
are entirely exempt from the dis
oral Dothara, are not yet confirmed President of the woll-known solution provisions.
able, although official circles in-
firm of Belfast shipbuilders, Wall Street regards both these
dicate that a full settlement of the Messrs. Harland and Wolf, on the QUICK ACTION STOPS developments as meaning that
case is "In sight." London, June 19. most Holding Companies would be Mr. Matsudaira alluded to the
allowed to live, especially in view Germany's pocket battleships of the wide discretionary powers. Society of International Cultural will remain under the category of the Securities Exchange Com Relations which had arranged for of battleships proper unless any mission under the House Bill,
standings between nations. This recognition of breaches of
агу object is not obtainable by diploma- Versailles Treaty, Reuter Special. tic and official efforts only. The direct contact of nations la necessary," said the Japanese Minister.
IMPORTANT TO PEACE
AIRCRAFT CARRIERS
1
a professor to visit England and rearmament categories eventuate whilst most others might get by lecture on Japan.
from the coming naval conference with the dlaposal of only part of
This Important fact was their interests. established to-day during discuss- At any rate, observeru feel that He was convinced, he said, that ions of technical questions be the indications point to a modified a good understanding and friend-tween the Britlah and German compromise measure in the House ship between the two nations was delegates at their London
con- and Senate, hopes for which are most important to the peace of the versations, In which they
all the stronger as Congress le Far East.
settling Germany's future Fleet now, belloved to be in a mood, to "Therefore we must continue tonnage as compared with that of with a view to winding up the make considerable concessions our whole-hearted efforts to that Britain. - and,” he asserted.
session as speedily as possible.- The time limit for Germany's Reuter.
are
INDUSTRIES FAIR
London June 19.
Mr. Stanley Bruce, Australian rearmament programme and the High Commissioner in London, types and sizes of the vessels she said that probably the area of the proposes to build, were discussed. world in which the greatest in It appears that Germany con- ternational problems of the future templates building aircraft carri would arise bordered on the Pacific are, although Britain bad hoped-It has been "decided to hold the Ocean. It was Imperative that the that her concession of parity in London and Birmingham sections happiest understanding and most submarines would cordial relations should exist be quid pro quo from Germany in the Fair simultaneously, the period bring n of next year's British Industries tween Japan and the British Emmatter of aircraft carriera. It arranged being February 17 to 28. (Continued on Page 7).
British Wireless.
death of her husband at sea in
The Earl of Devon was Rector
Reuter,
Japanese Ship Takes Fire
SPREAD OF FLAMES
CHECKING SOCIAL UNREST
4
Washington, June 19. President Roosevelt, In message to Congress, urged higher. taxation of the wealthy in order to "encourage wider distribution of "wealth, and to check social unreat."
He said the United States should ultimately seek. through taxation, simplification of its corporate structure through tho elimination of unnecessary hold- ing companies in all lines of busi- ness, specifically indicating oppost. tion to utility holding companies
end.
A report from Tokyo states that 1924. an enquiry made at the Japanese of Honiton and the owner of 10,000 if it would consume the entire shin 48 merely the beginning to that
A fire which at first appeared as War Office also failed to obtain acres of land. He succeeded hila broko confirmation of the reported Betle brother, who was also a clergy-schooner Taici Maru while she out on the auxiliary
The President also urged a Con- mont. It is believed, however, that both sides are determined to man, only four months ago was moored off Wanchai this the Federal Government to tax atitutionul amendment permitting treat the case as a local issue.
morning.
future lasues of State and locat In regard to the Hopel situation,
About 9.16 a.m. the engines wore securities, and permitting States the appointment of a proper man
startod and flames commenced to to fill the chairmanship of the Hopel Provincial Government has not been settled. Some quarters believe that General Yen Shi- shan, Governor of Shansi, will likely be offered this post. Central News.
DOLLAR DROPS
HALFPENNY
shoot out of the exhaust. These Municipalities to tax future issues
of Federal securities. caught the roof of the bridge and noon the wheel house was envelop-i SENSE OF UNFAIRNESS ed in smoke and flames.
"Social unrest and a deepening Prompt action on the part of the sense of unfairness are," he said, crow, however, who were equipped "dangers which we must minimise with fire extinguishors, prevented by rigorous methods. The peoplo the fire from spreading further, know that vast personal Incomes. despite the fact that the vessel is grise not only through ability or The Hongkong dollar declined a of wood and the docks wero piled luck, but also because of the op- London, Juno 19. halfpenny this morning, the open-high with crates,
portunities to which the Govern
ROAD EXPANSION
MARKET QUIET AND UNCERTAIN
1
A programme for the improve-ing official rate being 28: 34d. By the time a naval tug and a ment contributos. Therefore it is ment of existing roads construc- The market is quiet, with the fire font arrived on the scene the the Government's duty to restrict tion of new and by-pass roads, and undertone uncertain. Business are was under control. The such incomes by vory high taxes." period of five years has been 28. 4.8/16d, buyers. reconstruction of bridges, over a rates are 28. 4.1/16d, sellers and damage was not very extensive Mr. Robert Doughton, De-- submitted to the Minister of In London, silver decimed a tons and one of a fleet of Japanese of Representatives, said the Presi
The Taleľ Maru is of about 100] mocratic spokesman in the House Transport by 52 counties, 56 halfpenny. India and China sold, trawlers operating from Hong-dent wants action this session, for county boroughs and nine large while America and speculators kong Most of her time is spent which reason the Ways and Means-- Scottish borough British Wire-bought at the decline. The market running perishable cargo hetween Committee will consider the pro-
was quiet.
Formaga and the Colony,
gramme to-morrow.—United Pride.