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IODINE PRODUCTS
eri,taneme Coby SIMPSON (The lodine Specialist)
Hongkong Telegraph.
FAR EAST MOTORS – 59101
FOUNDED 1881
No. 13100
四拜禮 【辦六月正英港香
THURSDAY,
JANUARY
6, 1938.
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RELENTLESS DRIVE FOR STRATEGIC CITY
TIDE OF BATTLE Suetsugu's Views Clash With Avowed Policy
NOW FOLLOWING
RAILWAY LINES
Hsuchow Objective Of
Invaders
After
Pengpu Is Captured
Shanghai, Jan. 6.
Driving from north and south along the Tientsin- Pukow Railway, the Japanese forces at both ends of the line are continuing their relentless attacks in an attempt to force Chinese troops out of their strong defence positions in the vicinity of Hsuchów, strategie railway junction city, where the Lunghai line meets the Tientsin- Pukow system.
Two Japanese columns, according to Chinese reports, are driving from the bank of the Yangtzs into the north in an endeavour to occupy the southern portion of the Tientsin-Pakow railway.
The objective of these units is Pengpu, in northern making a Anhwel, against which the attackers are determined march.
3
The Japanese claim their troops have send Kantoi, 90 kilometres north-w、:1 ut Yangchow. As result of this success the Jagane are said to be withm 100 kilometres of Pengpu-Reuter.
Lunghai Line Objective
Hanko, Jan. 6.
to
Indications are mounting that the Lunghai Hailway is the next objec
will who tive of the Japanese,
drive probably simultaneously Hsuchow from both the south and north and also attempt a landing at Halchow to bring the Peiping- Hangchow front closer to Chengchow. The Chinese line south of Shan- tung at present stretches to Szeschul, Ninkyand
Urges Japan To Spiritual Mobilisation
Finance Minister Asks Public To Support Army
Tokyo, Jan. 5.
Stronger support from the whole and Wenshang. Fightingnation for the Government's financial
TROOPS TRAPPED BY FIRE
ROOSEVELT OUTLINES
ECONOMY
BUDGET
Wants Billion For
Relief Work
Warns Against
Obstruction
one of the Japanese troops, building a bridge across innumerable creeks in the vicinity of Nanking, were trapped when
Chinese acroplanes set the surrounding bush afire with incendiary bombs. This remarkable photograph, exclusive to. the Telegraph, shows the Japanese fleeing from the onrushing flames.
GO AHEAD EXPECT
SIGNAL IN AMERICAN NAVAL RE-ARMAMENT
Washington, Jan. 5.
White House officials indicated to-day that President Franklin Roosevelt is about to give the "Go Ahead" signal
is ut present going on between the policy in order to achieve the objec-| Chinese ceatre and a Japanese uve of the current hostilities, was column advancing down the Tientsin- urged by the Finance Minister to-day Pukow railway, south of Yenchow.--
a message to the prople of Japan,
In his annual Budget message for the expanded naval construction programme. uns should United Press,
"The notion benind the leave nothing undone to rupe with today,
Washington, Jan. 5.
President Roosevelt
for another
They stated that the President called to the White
the situation arising from prolonge asked Congress hostilities, especially in giving strong! Chinese planes raided Wulu yes-support to the Government's policies $1,000,000,000 for Rellef pur-House congressional leaders, Mr. Charles Edison of the
from lur financing our military operations," poses during the fiscal year 1939, N.R.A., and Admiral Leahy.-Reuter.
Successful Raids
Hankow, Jan. 6.
according to reports
terday Chinese sources which state that on (Continued on Page 4.)
STOP PRESS
and at the same time warned; he said.
legislators nguinst Pointing to the various problems rebellious
FAITH IN INDUSTRY
Washington, Jan. 5. economy pro- at home and abroad with which Japan opposing his
Prezident Roosevelt's massage to is confronted, the Finance Minister
gramme.
Congress, veering away from public Civilian Conservation emphasised the necessity for "spiritual
He said that the combined works and mobilisation" to bring about a satis factory solution. He then voiced the deficits for the fiscal years 1938 Corporations as methods of solving the unemployment problem, is re- hope that the military operations of and 1939 total $2,037,735,600 garded in political circles as affirm- Industry the Japanese forces would be crowned and renewed his demands for ing the hope that private "with success in glorious victory."—
widespread economies to hold may take up the stack in employment. measures With additional relief Reuter.
the 1939 deficit at 8949,606,000)
possible, the re-armament programme which is $10.288,129,600 under is seemingly held in reserve in case the estimated 1938 deficit.
recession becomes worse. While the President does not specifically link the re-armament programme possible with re-employment measures, well- He said that the businers recession informed circles Interpret this phase had reacted on the Administration's of the budgetary position as follows:
of u
MARGIN FOR ARMS finanetul house, and instead
MARYSE HILSE RESCUED
Arrives At Jask With Bedouins
Plane. Wrecked In Desert
He estimated that the gross public debt, on June, 30, 1039 would, be $38,528,252,910.
than
SHAKE BRITAIN'S CONFIDENCE IN TOKYO ASSURANCES
Anti-British Sentiments Unlikely To Change With Elevation To Ministry
London, Jan. 5.
The Scotsman, in an editorial, says it is uncertain how much importance should be attached to the Japanese Minister Admiral Nobumasa Suetsugu's bellicose state- ments. The fact that he was appointed Minister of the Interior shows that his views are not unacceptable in Tokyo official circles. It is unlikely that ministerial responsibility will modify his anti-British sentiments.
Certainly, says the paper, it is disconcerting to find one of the most influential Japanese politicians express- ing views so much at variance with the repeated assurances of other Japanese Ministers that Japanese action in China is not motivated by antagonism to the foreign Powers, and that there is no intention of interfering with their interests. Still less confidence can be placed on these assurances after the Japanese demands to the Shanghai Municipal Council.
CHINESE LODGE PROTEST
Object To Giving Over Prisoners To Japanese
Innkow, Jan. 6.
The paper
Admiral regards Suelsugu's insistence yesterday, that -in-was-speaking-us-u-private lo- dividual and not us Minister of the Stats, as a maive distinction which is
Admiral meaningless,
Sucisugu
the Indiscreet
utterances
recall Tanaka Memorial Plan of 1927, whose authenticity Japan denied, but which, although i sermed extremely ouda- clous at the time, has been largely carried out.-Router.
Early Press Comments
London, Jan. 6. Reactions to the interview with Admiral Suetsugu and the Japanese demands in Shanghai mutually' com- The pete for general attention here. Shanghai demands especially are The Chinese Foreign Office has given prominence in papers of every requested the British, French and complexion, including the popular
governments to American
take ones, accompanied by notes on the prompt mensures to prevent enforce-efficiency of the Counell administra- ment of the Shanghai Municipal tion and the Follce and the appail- Council's proclamation of January 1, ing problem presented by millions of Igiving the police emergency powers refugees in Shanghai and Japanese as a sequel to bomb-throwing inci- inability to prevent outrages in the dents in the Settlernent,
areas they themselves control,
that
AMERICA PAYING
The Foreign Office strongly objects to the provision for making offenders ATTENTION
against armed forces in the Settle- ment able to be handed over to the forces concerned, and states that Studying Japan's
the Chinese Government reserves all S'hai Demands rights possessed within the Settle- mment, and would regard as illegal the Washington, Jan. 5. delivery to non-Chinese armed forces The Japanese claims within the of anyone over whom the Chinese
Settlement law courts exercise jurisdiction. ure engaging the closest attention of
China has also sent a note to Tokyo Shanghal International
he State Department, Mr. Cordell Hull, Secretary of State, told a press protesting against the alleged intimi
dation of Chinese Consular officials, conference to-day.
Nevertheless Mr. Hull declined to in Korea who refused to acknowledge comm't himself to a statement until the so-called Provisional Government been assembled. Pelping-Reuter. ali dain
FORCED RECOGNITION
Hankow, Jan. 6. Reuter
It is officially announced that in
regimo.
The Daily Express declares the Japanese say they will take over
Continued on Page 4.)
Businessmen
In Shanghai Still Hopeful
But There Must Bo Lossos
Shanghai, Jan. 0. Prerequisites for the restoration of
balanced budget which he predicted I, through Government co-opera- for the year ending June 30, 1938.
tion with business, joint measures to he was forced to report a nett dencis hall recession are successful, sellef
had of $1.088,129,800 us a likelihood. expenditure can be further cut, leav
Likewise, he said, Instead of a
SUPPORTS JAPANESE completely balanced budget for 1938-ing the margin available for arms expenditure should the international to permit 21 40 which he forecast
Pelping, Jan. 0, situation, especially in the Far East, gradual reduction of the
Writing in the Japanese-dominated national debt, he was compelled to
estimate show no improvement. Should re- the probable net defelt for that year cession become worse, however, in Peiping Chronicle, Captain 1. V. the course of the past week Japanese normal trading conditions in Shanghal Gensan and Fusan, the establishing of free markets and at $949,009,080 which would be $130, creased expenditure on defence would Gills, retired U.S. Navy ofleer and gendarmes and police ralded Chinese are the re-opening of communications,
former naval ntlache, supports the Consulates in
This still be a better investment 523,800 under the current dedelt.
flag of the Peiping belief was expressed by Mr. Calder The President's merende showed public works, since the construction stand that all foreigners in Japanese Korea, and forced them to hoist the continuing financial support.
Marshall, Chairman of the British Basra, Jan. 5.
reached their Bmit of Japanese martial law,
Chamber of Commerce, when Inter- Mlle. Maryse Hilsz arrived at Josk steady gains in revenue collections of roads, pubile buildings and dams sccupied territory are subject to brand
"In such occupied territory all All Chinese Consuls in Formosa after a two-days trek across the receipts, which for the 1937 Ascal have about
Hence, whatever the coming year extraterritorial rights, via-q-vis the
He said there were no glowing- desert on camel back, accompanied year amounted to $5,283,840,237 which present usefulness.
has in store, authoritative circles Chinese, cease to exist and are tem and Korea have been forced to be viewed
optimistle prospects in the forth- by a par y of Bedouins. Her aero-in $54,000,000 under the estimates,
regime. plane, slightly damaged, was left in although a gain of $1,170,000,000 believe expenditure on defence is porily suspended," he holds-United come representatives of the Pelping
Jover the 1036 fiscal year.
The Chinese Ambassador to Tokyo Crming year. "That would not be
Incing revenues certain to show a continued, upward | Preas.
realilles, and that is what we face He said that the total
Thus, if the new programme is yesterday lodged a strong protest Brilons must do. We must Mile. iz stated that when she all sources for the current fiscal curve-Router.
will with the Foreign Office against these realities and face the fact that there United States adopted, the left Saigon in her attempt to establish
year reach $0,320,513,000 which
are going to be losses. The position follow the lead of other nations and unlawful activities—United Press.
is not hopeless. That would be abandon the yardstick limitation sys-
swinging to the other extreme. tem laid down by the treaties.
"Shanghai businessmen, and Although it is stated that no deel-
think I speak for all nationalities, have guis enough to silck it out in slon has been reached on the types or
this city. Most of them would say numbers of additional vessis, Admiral
'It's going to cost something, but Leahy, chief of Naval Operations, indicated that the navy favoured one
maskee! we'll stick It They have or more battleships beyond the four at prosent being bullt or projected, Bernhard returned to as well as two additional aircraft-from hospital to-day by road, passing confidence in the inherent resiliency
to most trouble:brávely."===R€UESTA. Reuter Bulletin. carriers and many small cruisers the scene of his motor accident of the Chinese people and their ability.
the desert.
n
0
in
a second record, she knew the engine $972,100 under the estimates, and he was not in condition to face bad forecast a drop of $80,439,000 weather, but she was determined to miscellaneous internal revenue
record. beat the
Violent storms collections.
The President said that the recess forced her to abandon the altempt Across the Persian Gulf, and when ion had forced revision of the she decided to fly northwards along earlier and more rosy estimates, and the coast, she met thunderstorms and expressed the hope that the calendar
rain.
year would bring an improvement in Suddenly her engine falled and she business and a resultant rise in tax contemplated jumping with a para- receipta. chute, but finally made a forced land- However, he warned: "The Trea- ing between Jask and Bandar Abbas.sury is leaning to the conservative
(Continued on Page 12.) Reuter.
heavy
NEW BUILDING PLAN PREDICTED
Washington, Jan. 5. Hinta given by congressional leaders and naval oficials, who inter- viewed President Roosevelt to-day, indicate that the message, which it is understood the President will shortly send to Congress, will ask for a basic new warship building programme for Vinson Traramell Act, in which the years to come, le replace the 1934 programme laid down was based on the Washington and London naval treaties.
Reuter,
PRINCE BERNHARD. LEAVES HOSPITAL
Amsterdam, Jan. 0. Accompanied by a doctor, Prince the Palace
ly