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NOTED CHINESE

LEADER PASSES

The late Mr. Hu Hav-mia is here shown coming ashore in Hongkong on his recent arrival in the Colony. Immediately behind him is Mr. R. H. Kotewall.

Statesman Gives Last Message To His People

THREE PRINCIPLES FOR SALVATION

HU HAN-MIN'S ADMONITION

10

for

Post, Eid, tongkong.

The

FINAL EDITION

You need.

Library, Supra Co SECURITY and

Hongkong Telegraph

CHEVROLET

FOUNDED 1881

No. 14803

BUDGET SECRETS GUARDED

三拜禮·號三十月五英浓香 WEDNESDAY, MAY 13, 1936, 日三廿月三閏

MINISTERS TAKE

NO NOTES

CONTINUED INQUIRY

London, May 12.

The investigation into the: alleged leakage in Budget in- formation was devoted mainly to-day to the statement of Sir Maurice Hankey, on Cabinet practice. He is Secretary to the Cabinet.

He sald Lho Cabinet normally received four or five days' notice of Budget decisions, but this year, in consequence of the Easier period, they were informed of the Budget proposals on April 9.

For reanonY

took po notes during the discussion of secrecy the members of Cabinet-

of such business.

Mr. J. 11. Thomas, Secretary of State for Colonies, whose name has been linked with the investigation because of the connection of his kon, Mr. Leslie Thomas, with ingur. ance transactions against losses re- Bulting from the Budget, will attend the tribunal Thursday.

Mr. Alfred Bater, another of those Involved in these transactions, gave evidence

this afternoon. He de- scribed himself as the founder of an old-established Fleet Street advertis- ing agency largely engaged in work for book-makers and race and declared he sold £75,000 worth of gilt-edged securities in the first quarter of 1936 in view of The internal and international outlook.

courses,

LOOKED FOR HIGHER TAXES

He had concluded that the cost of How armaments would involve an In- crease in taxation and consequently he took out

insurance.

Notwithstanding the advice of Mr. Leslie Thomas, on April 14, against selling more securities, Mr. Bates Insisted on selling and instructed Mr, Thomas to take out the insurance

sly mentioned.

previously

SINGLE COPY 10 CENTS $34.00 PER ANNUM

ITALY ABANDONING JAPAN'S

LEAGUE SEAT?

GRAVE

1

DEVELOPMENTS IN EUROPE ANTICIPATED

GENEVA AGAIN DELAYS ACTION

IN ETHIOPIAN IMBROGLIO

POLITICAL CIRCLES TO-DAY FORESAW GRAVE DEVELOPMENTS,

ROME, MAY 12. INCLUDING THE POSSIBILITY OF ITALY ENTIRELY THE LEAGUE OF NATIONS, AFTER SIGNOR BENITO MUSSOLINI HAD ABANDONING ORDERED HIS DELEGATION, HEADED BY BARON ALOISI, TO LEAVE GENEVA.

OFFICIALS DECLINED TO COMMENT ON BARON ALOISI'S DEPAR-

TURE.

HOWEVER, OBSERVERS PREDICTED THAT THE ITALIAN DIC- TATOR HAD INAUGURATED A NEW, DRASTIC ITALIAN FOREIGN PO- LICY WHEN HE INSISTED THAT THE LEAGUE KEEPS ITS HANDS OFF ETHIOPIA.

THERE IS SPECULATION AS TO WHETHER SIGNOR MUSSO- LINI WILL MAKE AN IMPORTANT ANNOUNCEMENT ON THURSDAY WHEN THE CHAMBER OF DEPUTIES MEETS TO RATIFY THE AN- NEXATION OF ETHIOPIA.—UNITED PRESS.

COUNCIL'S DECISION,

Geneva, May 12.

The League of Nations Council met privately at 5.10 p.m. to-day and publicly at 5.20 p.m. and at this accond session adopted a resolution that "in view of Italy's grave decision' the time would seem opportune

to abandon discussions for the present to permit the Council members to envisage the situation in all its aspects."

It is indicated that sanctions will continue un- changed until the Council's mid-June session.

Canton, May 13. Deploring the continued failure

resist increasing

The hearing was adjourned at this Japanese aggression, which stage and Mr. Hates will continue to aggravated.his prolonged illness, give evidence

to-morrow, after Sir Warren Fisher and Mr. Bates' women Mr. Hu Han-in's political will

secretary have been heard. states that he was associated

Earlier in the with Dr. Sun Yat-sen in revolu-Mr. Edmund Waterton, told how as diny. the financier, tionary work for over thirty

a result f

of a conversation with the years, and was firmly convinced cook-out insurance, on which he paid with reservations regarding the connexation of Ethiopia is concerned.

secretary of Mr.

The Argentine Government's repre- and is avoiding any final statement Bales! competentative-has accepted the resolution of policy, so far as the Italian that the Three People Principles

a premium of £500, represented the only hope for

Other cases

tinued deiny in dealing with the Italo- of insurance national salvation.

being Ethiopian situation. taken out to guard against increased

However, it 14 predicted that claims in Ethiopia, since she is America will not recognise Italian In the present circumstances, says

were mentioned by tho the will, only resistance to Japanese Attorney-General.-Renter.

following the Stimson Doctrine. overthrow of the

invasion,

the

dictatorship and the extermination of the Reds can be the principles of Ilvelihood, nationalism and demoerney to be carried out,

The city has been plunged into mourning by the death of Hu Han- Fing everywhere are flying at half-mast and all public amusements are stopped..

mini

lo

Hu Han-min's remains bave been conveyest

the Sun Yat-sen Memorial Hall, where they are lying in state. Thousands of members of the Kuomintang, wearing black arm- bands, are filing past to pay their last respects. The body, covered in national flags, is being placed in its colin at 4 p.m. to-day.

It now transpires that Hu Han-min was taken suddenly and gravely ill at the house of Mr. Chen Ying, Secre tary General of the South-West Poll- tical Council, to which he summoned Mr. Halao Fu-chan, General Chan Chat-long Mr. Chow Lu and other leaders, and dictated his will prior to passing away in the evening.

DEEP REGRET

taxtg

IRISH BUDGET SURPLUS

MCENTEE REDUCES

TAXATION

SOUNDS NOTE OF OPTIMISM

in a

Ecuador made reservations on the section of the resolution, in which it was stated there was no reason for modifying sanctions.

Chile abstained from voting.

1-

The Minister, Mr. Engert, will probably remain at Addis Ababa Indennitely.-United Press..

Orders From Rome

Ronie, May 12.

SANCTIONS WILL BE CONTINUED

LEAGUE COUNCIL

DECISION

EDEN'S PLAN ADOPTED

of

Geneva, May 12, Mr. Anthony Eden, the British Will Not Participate

Foreign Secretary, presided over the Italian circles hère say that hence-

public meeting of the League Notions Council to-day and submitted forth Italy will refrain from active.

the resolution proposing that the dis- It is learned in authoritative circles cussion of the Italo-Ethiopian dispute participation in League of Nations that the order for the Italian delega-be adjourned until June 15, but that affaire.

Confronted with Italy's refusal to Rome "in consequence of develop-tion of sanctions.

tion to leave Geneva was given from in the meantime there be no relaxa- co-operate in European affairs, Bri- tain, Franes and Belgium-the re- Geneva,”

ments of

the last few days at The maining Locarno powers have post-

resolution expresses the poned until June further consideration drawal undoubtedly had a high signi- created and the grave new steps taken It was admitted that the with-necessary to consider the situation Council's opinion that further time is of the Rhineland problem, which arose neance, but no Information over Germany's reoccupation with forthcoming with regard to its precise armed forces of the demilitarised zone.nature. -United Press.

Empire Proclaimed

Lonrion, May 12. Signor Dino Grandi, the Italian Ambassador, visited the Foreign Office to-day and formally notified Great Britain of Signor Mussolini's proclamation of a Roman Empire in Ethiopia.

lie handed the text of Italy's royal

to the assistant Under

Spear Sir Lancelot Oliphant.

Tho

was by the Italian Government

M. Wolde Marian, the Ethiopian re- The League Council's decision to presentative, asked the Council to allow sanctions to continue has the Italian Government.

condoma vigorously the new policy of citused much irritation here.-Reuter,

-Leave For Milan

Geneva, May, 12.

PERILOUS POLICY

LONDON "TIMES"

WARNING

DANGEROUS DEFIANCE

London, May 13. "Japan will do well to re- consider her instinctive policy of deflance in, the light not of 1904 but of 1940," says The Times in an editorial to-day, dealing with the War Minister's references to the Japanese flect and the Japanese Army's re- jection of a non-aggression pact with the Soviet.

DURABILITY

of

DUNLOP

FORT 90

HIGH HONOUR FOR EX-VICEROY.

The Times says that if General Terauchl's words are a fair reflection of the future policy of Japan, the outlook in the Pacific is dark Indeed. Afajraty the King has conferred

Lord Willingdon, on whom Ho no use for non-Marquitate on his relinquishing th"

If Japan has

aggression pacts she is committed to

an armament raco with Russin, in which her opponent has every advant age, the paper continues.

post of Viceroy of India.

In no important reapert can Jaan MONETARY

without resort to aggression, streng- then her military position 0:11 the Asiatic malalarki. The only scope for warlike preparations on an important scale is on the Russian side.

The

improvement of the railway system in Siberia is a vital factor in the situation, The Tinca still more important is the question believes, and of the Russian air arm. The num bera and the cruising range of the Soviet bombers will increase with time until at last Japan's vague fears | will be sprecife, immediate and acute, it warus-Renter.

JAPAN'S COMPLAINT General Teraucht, in a private re- port to the Diet on the tense Japanese- Soviet relations, yesterday, said the construction of forts on the Manchu kuo Soviet border by the Sovjet

ACCORD REACHED

SINO-AMERICAN UNDERSTANDING

TERMS KNOWN

TO-DAY? Washington, May 12. The disclosure of the terms of Government was regarded as excessive the Sino-American monetary from the Japanese point of view. The agreement may come to-morrow, Soviet's Far Eastern forces exceeded it was learned here to-day. 200,000 with the possibility of being

increased in the future. Simultane

there

were

But whether or not the complete 60 submarines atgreement will be published depends Vladivostock with an air fleet capable upon the attitude of the Chinese of raiding Japolis,

der

Morcover

Mongolia was un-

Government.

The Chinese delegation to Washing- perfect Soviet control, which was ton, headed by the Ambassador, Mr. tending to encirclement of the Man Alfred Sze, called chukua. The situation was therefore Morgenthau, Secretary of the on Mr. Henry such as compelled the stationing of Treasury this morning presumably to considerable military forces in Man- put the inishing touches to the agree- churia. General Terauch) added that ment. the army previously opposed the con- clusion of a non-aggression pect with be received by President Franklin This afternoon the delegates will the Soviet as it did not attach much Roosevelt. This formality is regard- value to Moscow's proposals.

CHARGES AROUSE PROTEST

NEGUS' REMARKS ANGER ITALY

5

BRITAIN HELD RESPONSIBLE

(Special To "Telegraph")

He appealed for the application of League sanctions in all their force so that all states, weak and, strong, might be reassured against the un- the Italian delegation to the League power.

Baron Aloisi and the members of scrupulous actions of a neighbour of Nations left for Milan this after- noon, cheered by a large crowd from Ethiopia," M. Mariam added.

This is

0 tragic moment for the Italian Colony and by Italian

Jerusalera, May 12. League officials, Reuter Bulletin the future of the League but its very against certain statements made by It is learned that the italian Con-. On the League's resolution not only

Bulate-General here ha protested existence depended, he declared.

The Chilean representative abstain sanctuary in Jerusalem after s Emperor Haile Selassie, who sought Ironi vating, because, he said he fight from Ethiopia, and who has tinulug to apply sanctions now that war. thought there was no object in con- since discussed the Italo-Ethiopian the war had finished, The represen

Unexpected Move

(Special To "Telograph")

-Dublin, May 12. Canton, May. 13.

It is understood Sir Lancelot mere Service. More joy would be found in the The death of Me. Hu Han-min,Book of Lamentations, than

ly noted the Italian communication, noted Chinese democrat, is deeply Minister, Mr. Sean McEntee, in in- implicitly withholding recognition of Budget. declared the Finance reserving the British attitude, and regretted in Kuomintang circles, which placed great hope in his ability troducing the Free Stato Budget in Italy's annexation of

Ethiopia. United Press. to restore the Kuomintang's domin- the Dall. ance over the country's military and political affairs.

will.

Most morning papers issued special editions. giving particular prominence to his

The official Min Kuo Pao, in an editorial tribute, declares in Mr. Hu's passing the Kuomintang has suffered a loss next only to that of Dr. Sun

Yat-sen.

Other papers deplore his death at this time, when China needs leaders of honesty and sterling character, who have the interests of their country at heart.

Nevertheless, the Minister struck a note of distinct optimism. Ho re- provement in Ireland and said there ferred

to the general economic im had been no drying up of revenue, no fallure of the income tax, and no im- provident borrowing.

30

Announcing a surplus of over would there be no new taxation, but £300,000, Mr. McEntee said not only

various directions. These would in romissions would be given in various cludo a farthing a pound off sugar reduction of the tax on lower priced cinema seats, the abolition of the cattle and sheop levios, as well as of

At the Sun Yat-sen memorial, the tax on wool and wool waste, and where the body lies, crowds continue increased allowances for children in to throng. Armed guards are posted respect outside, and patrol the entire vicinity. Special of incomo tax Reuter admitting only those persons wearing identification badges. Heuteṛ.

On charge or soliciting for immoral purposes at Gloucester Road near Luard Road yesterday, Cheung Kam, 32, unemployed, was sentenced to three months' hard labour when he pleaded guilty before Mr. Balfour at the Central Police Court this morning. Inspector Stewart Logan prosecuted.

PLANES FOR NETHERLANDS.

Baltimore, May 12 construction for the

It is learned on good authority that Government

Netherlands planes, costing £300,000, has been of thiricon bombing commenced at the Glenn L. Martin factory hore-Bouler.

cd

ed as an indication that negotiations have definitely been concluded. Reuter.

END OF NEGOTIATIONS

Washington, May 12. Climaxing weeks of negotiations between Chinese and American in- ancial heads, President Roosevelt to. day received the representative of the Bank of China, Mr. K. P. Chen, and his party, together with) Mr. Henry. Morgenthau and Mr. Alfred Sze, the Chinese Ambassador.

The visit is described as purely social, and designed to show the President'e personal good-will to. wards the Cirinese. But it does not affect the monetary *discussions which are now virtually concluded.

*Officials continuo to proservo secret of

these negotiations. United Press,

EXPLOITATION PLANNED

MUSSOLINI LOSES

NO TIME

the

Italy, particularly objects to tho

Rome, May 12, to Negus "accusations of Italian mas- Signor Benito Mussolint is taking

acres and atrocities,"

Morcover, the Consulate-General ally: the Ethiopian empire.

Immediate steps to develop economic points out that the Emperor is In

With these reservations the resolu. was tion was adopted-Reuter.

Geneva, May 12, It was hot expected that Italy would leave the League of Nations, Text of Decree

as Baron Aloisi did not mention such tative of Ecuador Intimated that his a possibility when tre called on M.Government had already decided London, May 12. handed to the Foreign Office the text merely annoanood Signor Grandl, Italian Ambassador, General, at I

Joseph Avenot, the Secretary raise sanctions.

p.m. to-day...Ile of the law announced by Signor instructed to leave Geneva with his

that ho Mussolini Saturday, stating that the entire delegation-Reuter. of Abyssinia had been placed under territories

Italy, and that the title of Emperor Satisfaction at

and people of the Empire

Negus Gratified the sovereignty of the Kingdom of his successors by the King of Italy that Baron Alolai could represent had been assumed for himself and Nations Council's refusal to admit

Jerusalem, May 12,

Router Special

the League of

Ethiopia on the Council, was expressed by the Negus today.

*Notified of Annexation Washington, May 12

POPE PIUS PLEADS FOR CONTINUED PEACE

(SPECIAL TO “TELEGRAPH”)

Rome, May 12. ".

Yesterday he instructed Count Volpi

| Misurata, President of the Con- federation of Industries, to open in- vestigations to ascertain the country's natural resources.

·

The development of Ethiopia's agricultural and.mineral wealth will be conaldered-Renter Special,

au-

Jerusalem with British permission,

British and Implies that the thorities are therefore responsible for [his utterances.

The Emperor added that to have acted otherwise yould have been to The Italian Ambassador, Signor absolve the violator of international Augusto Rosso, called on the Secretary undertakinga. of State, Mr. Cordell Hull, to-day, and 1 He repeated that he had left his formally nolined the United States country to end the massacro of his Government of Italy's annemilon of people and the useless destruction of to-day, speaking at the opening of the world exhibition of .. A message of peace was delivered by His Holiness the Popi Ethiopia,

www their property. Hla futuro plans.

Emperor Selassie is actually III ant forced 16, remain in his suite in the It is understood that he malther were not yet ixed and would not be Catholic Press here. requested nor received an expression published before they were put into exhibition by causing it to coincide and Germany were not represented

He said God had visibly blessed the His Holiness regretted that Russia Coptic monastery.

King David Hotel, abandoning his customary morning prayers in the operation.

Emperan

spent a couple of with the triumphal joy of a great and at the exhibition. Watchful Waiting

hours this afternoon motoring and good people for the peace It had re

The British High Commissioner, He denounced communism, which,

General Sir Arthur Wauchope, visited Washington, May 12 abopping with her children, who, pur- would

"sight-soeing, while the Empress Went | gained.. It was his hope that this ko said, threatened the security of the Negus"" to-day. Later the Em

the prelude to truo The State Department is maintain chased modera Paris hate-Router European and world peace, which civilised life, and above all religion, Colson, visited the royal apartment.

peror's American adviser, Mr E, A, ing an attitude of wachful waiting, | Special,

was' the' axhibition's, aim.

especially the Catholic churches. United Prest. Reuter Special,

attitude.—Reuter. of the United States Government's

The

be

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