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No. 15270

二拜禮 號七十月七英港香

TUESDAY, JULY

27, 1937.

日十二月六

ULTIMATUM

SINGLE COPY 19 CENTS

$30.00 PER ANNUM

ALL EYES ARE

on

WHITEAWAY'S

CLEARANCE SALE

Soe Page 3

EXPIRED AT NOON

China Must Fight Or Surrender To Japan's Evacuation Demands

NEGOTIATIONS FOR SETTLING LANFANG INCIDENT MAKING NO APPARENT PROGRESS

Japanese Called to Embassy For Safety in Peiping

THE JAPANESE ULTIMATUM TO CHINA EXPIRED WITHOUT ANY ACTION BY EITHER SIDE TO ALLEVIATE THE SITUATION AT NOON TO- DAY, AS FAR AS NEWS FROM THE NORTH INDICATES. SIDENTS AT PEIPING HAVE TAKEN REFUGE AT THEIR VIEW OF THE THREATENING SITUATION,

JAPANESE RE- EMBASSY, IN

Shanghai, July 27 (9.06 a.m.).

Final choice between submission and resistance cannot long be deferred by China, if events in the northern provinces continue on the present trend.

-The immediate future hinges upon the 37th Division's reply to the Japanese challenge for General Kayoshi Katsuki, commander- in-chief of the Japanese Army in North China, has delivered an ultimatum, significantly in the name of the Imperial Japanese Army, which is interpreted to mean that compromise is out of the question. General Katsuki insists that the Lukouchiao before noon to-day.

Chinese

evacuate

All telegraph wires from Peiping are cut, with one exception, a single line to Tientsin. Telephone communication has also been interrupted and martial law has been enforced again throughout the city.-Reuter

NEGOTIATIONS NOT PROGRESSING

Peiping, July 27 (10.45 a.m.).

No progress has been made thus far in negotiations for the settlement of the Lanfang affair, which are supposedly being conducted by Colonel Matsui, Chief of the Japanese Special Service Section in Peiping and General Chang Tsu-chung, Chinese representative.

Further Japanese troops have been sent to Lanfang from Tientsin, bringing the total to more than 2,000.

Although the attitude of the northern Chinese has undoubtedly stiffened during the past few days, it is believed that the "Peace Party" is still in the ascendant. It is pointed out that the logic of events is possibly forcing Japan step by step towards military occupation of North China, as in the case of Manchuria in 1931.

Meanwhile, all Japanese have been summoned to their Embassy here before noon.-Reuter..

Volunteers

Reported

Arriving

Gibraltar, July 26.

It is learned in reliable quar- ters that 3,000 Italian volunteers for the Insurgent army landed at Cadiz on Sunday.

It is further beloved that a German expert and four Spanish officers were killed and 14 soldiers wounded in an explosion at San Itoque Barracks. Baturday, dur- ing the charging of bomb. United Press.

NANKING REJECTS China Claims

HIS ULTIMATUM

China Claims SERIOUS CLASH

Japan Being Deliberately Provocative

Spurious Incidents

Used To Force

Nanking To Terms Quo Tai-Chi's Allegations

London, July 26. China's Ambassador, Mr. Quo Tai-chi, called on Mr. Anthony Eden, British Foreign Secretary to-day, to discuss the increasing- ly difficult Sino-Japanese situa- tion.

General Kayoshi Katsuki, Com- The Ambassador, in an mangler-in-Chief of the Japanese statement, declares the Chinese Gov-

official forces in North China, who has sent ernment, in effect, consented for the an ultimation to General Sung Chek- sake of peace to sunction the yung giring him until noon to-day to | extremely provocative terms agreed withdraw all Chinese troops from to by General Sung Chch-yuan, Peiping and its welgħhourhand. ¡Hopel-Charhar military chief, and Nanking has rejected the ultimatum. | the Japanese Army chiefs at Tien- tsin, even though it had seemed to

Kent

Duke of

Plans Visit

IN SHADOW

OF

PEIPING'S WALLS

Four-Hour Battle When Japanese Embassy's Guard Challenged

Shanghai, July 27 (9.06 a.m.).

Fighting occurred last evening at a suburban railway station, just outside the West Wall of Peiping. Japanese troops attempted to occupy this station but were repulsed by the Chinese guards. Contrary to earlier reports there has been no fighting at Wanping, apart from sniping.

9.15 A.M.

reach the very verge of compromis- killed between the inner and outer gate, Changyimen, in Twenty Japanese troops are reported to have been

ing China's sovereignty.

week-end, however, that Japan was with Chinese troops.

It had become apparent during the the West Wall of the Chinese city last night in a clash

not seeking settlement but was fur-

ther promoting the policy of dis-

The encounter started as 300 Japanese attached to memberment of China, and was bent the Embassy Guards in Peiping were entering the city

from the Wanping area through Changyimen.

upon separating Hopel and Charhar, Me. Quo declared.

With Brother Japan

London, July 27.

It is learned that the Duke and Duchess of Kent will probably visit the Duke and Duchess of Windsor shortly.

The Duke and Duchess of Kent are leaving for a holiday four of the Continent Wednesday and In their Hinerary will include Ger- many and Jugo-Slavla, and may make an opportunity of calling on le Royal Highness and the Duchess #! Windsor,-United

Press.

Britishers Caught In Death Trap

Franco Drawing Net Around Quijorna

was contemplating even more grievous demands, His Excel- lency believed,

The recent large Japanese reli- forcements sent to North Chies showed the intention of the Japan- ese to coerce Chlas into accepting these further inadmissible terms by the usual machinery of spurious in- cidents, 50 often employed. Mr. Que was referring in this connection to "the mysteriously missing Japan- ese salfor in Shanghai,'

He added significantly: ***The Chinese Government can only hold itself in readiness for eventualities." -Reuter,

CHINA'S ACCUSATION

London, July 28, Mr. Quo Tai-cli), Chinese Ambassa-i dor, issued a statement to-day accus- Ing the Japanese of furthering the plan for separation of the Ave North China provinces and visited Mr. Anthony Eden, Foreign Secretary; to acquaint him with the gravity of the situation.—United Press.

WORLD

LOOKS ON

London, July 27. The Dally Herald, official Labour

to journal. referring to-day

the Madrid. July 27.

Japanese demand for the withdrawal of Chinese troops of the 37th Division More than 3,000 of the from Hopef, says it is one more step Loyalists' finest troops, including towards the thinly veiled annexation Americans and Canadians, face

two more Chinese provinces. denth

The conquest of Manchuria General

has to-day while Francisco Franco draws a death tions of the Japanese, the newspaper

stimulated and not satisfied the ambi

trap around Quijorna.

believes. China must yield or put up The Insurgents are repeatedly |§ hopeless fight, for which she is alt hammering and slowly melting the too unprepared. And the world looks solient held by these defenders of a on, the paper observes with bitter- forlorn hope, preparing to capture theness-Reuter.

town of Villanueva de la Canada. After such an operation the Insur- gents could cut off the retreat from Quijorna.

CS-

More than 500,000 weapons, from tanks to clubs, are being used in this death struggle. Some sources timate that Loyalists and Insurgents have lost in the past six days 00,000 casualties-United Press.

INSURGENT LOSSES

London, July 27. Insurgent casualties in the recent fighting to the west or Madrid have totalled about 23,000 men, according to the Madrid correspondent of the Spanish Press Agency in London,

A Sulamanca communique states the advance of the Insurgent troops in the Brunete area continues and nli objectives

have

been attained, while desperate Government counter-attacks One have been repulsed.

Over 50 Government tanks have been destroyed in the recent fighting and the number of Government dead, which are scattered in the battlefield at Brunete amounts to several thou- sand.-Reuter.

outer gates when three lorries were

Chinese policeman wKA killed one wounded,

CHINESE DISARM OWN noted, they will control all railroads blown up by hand grenades.

TROOPS

leading to Pelping.-United Press.

AUTHENTIC CLASH

STORY

And

was com-

The Japanese immediately sentter- Shanghai, July 27 (11.26 a.m.)

ed and took refuge in buildings inside Domel News Service reports from Tunzehow state that Chinese l'exce

and outside the city and Peiping. July 27 (10.32 a.m.)

brisi Preservation Corps men disarmed

The report that Japanese have exchange of rifle and machine-gun 800 troops of the 29th Army under entered Peiping in a military sense fire with the Chinese the surveillance of Japanese soldiers is untrue.

menced. The Chinese troops then due to the alleged refuant of the Chinese to withdraw from their The authentic story of last night's brought trench mortars into action and after four hours the fighting clash is that as Japanese troops attached to the Embassy Guard were ceased, when the Chinese promised Meanwhile, 200 Japanese troops entering Changyimen, on their way Japanese beleaguered within the have arrived at Chongping, a short to their Embassy, a fight started wells a sate conduct from Pelping. distanca north of Felplog on the no-one knows just how.

Each side' accuses the other of Pelping-Suiyuan Raliway. If the Twenty Japanese are reported to responsibility for incident Japanese occupy this point, it...[#] have been slain between Inner and Reuter.

positions,

the

Bilbao Myth Exploded

No British Guns Sent To Spain

Each side accuses the other of responsibility. The Chinese declare the Japanese opened fire without provoca- tion; the Japanese insisting that Chinese troops in the guard house above the gates dropped hand grenades on them.-Reuter,

Duchess And

Children In Motor Crash

London, July 27, The Duchess of Kent and her two children

were slightly shaken to-day when the automo- bile in which they were riding collided with another machine in Wrotham Hill, Kent.

The windows of the Royal car were shattered but lis occupants were not cut,-United Press.

FOLLOWING ADVICE OF BRITAIN

Non-Intervention Body Agrees To Questionnaire

London, July 26. The Non-Intervention Com- mittee,

after B four-hour session, agreed to-night that the British questionnaire was tho best method of securing action with respect to the Spanish situation, and decided that re- London, July 26, Stating that it was recently brought plica should be asked by to the notice of the Government that Thursday from the Governments there existed a belief in the territory

VIEWS SOUGHT

London, July 26.

under the control of General Franco, concerned.--Reuter, as well as elsewhere, that gunn of recent British manufacture were captured from the Basques at Bilbao, the Foreign Secretary told the House of Commons to-day that instructions The Non-Intervention Sub-Com- had accordingly been sent lo Imittee has decided to send to the Majesty's Ambassador at Hendaye to Governments

represented In the categorically that no Inform General Franco's Government Committee a White Paper containing war material the British proposals, together with find been exported under licence from a covering note asking for each Great Britain to Spain by her, Government's views, in the briefest directly or indirectly, since the civil

war began.

at the same

manner, on the nine points contained

in the British plan.

Sir Henry Chilton,

The replies will be received not EARTHQUAKE TOLL

time, had Informed General Franco's later than Thursday, and this will Government that if they were able enable the Sub-Committee to meet on Mexico City, July 26. to give markings or dates of any Friday. quake in Maltrato, State of Vera appeared to have been manufactured Newspapers here report an earth- British guns found in Bilbao which

The Italian and German Ambas- Cruz, killed 12 and injured 60 and it since the clvil

that their war began His endors have declared in belleved to have been, the same | Majesty's Government would be very | Governments are willing to accept quake felt in Mexico City last night, willing to endeavour to investigate the entire British proposals, provided

United Press.

the circumstances—British "Wireless,

(Continued on Page 7.)

A Japanese spolceaman, according to the United Press, states that the casualties at Changyimen were one killed and three wounded, including a Japanese adviser to the 29th Army and two Domet News Service cor- respondents.

ORDERED TO LEGATION

Peiping, July 27 (8.25 a.m.) The Japanese Embassy has order- ed all Japanese nationals inside the Legation quarters before noon to- day, the time of the expiration of the ultimatum to General Sung Chen- yuan-United Press,

MARTIAL LAW IN

TIENTSIN

Tientsin, July 27, (1.48 a.m.). Martial law was declared in the native city at 1 a.m. to-day-United Press.

LANFANG BLASTED

Shanghal, July 26. According to the Central News Agency it is officially admitted that heavy damage has been inflicted on the Chinese Barracks at Lanfang, (Continued on Page 7)

STOP PRESS

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