THE FLYING „CONSUMPTIONAL

Fat 30 mph

40.m.ph..ke

#80 m.ph

Average ou long run

Oll

XE TWELVE"

81-m.p.4. -20-m.p.st.-

12 m.p.. 2.000 m.p.E.

FAR EAST MOTORS

THE FAR EAST AVIATION COMPANY, LIMITED. 26, Nathan Rd.,. Kowloon,

High Wa

Low Wate

The

SECOND EDITION

Hongkong Telegraph.

FOUNDED 1001

Telephone 59101.

No. 16767

二拜禮 號七月三英港香

BALANCE ANARCHY

SWAYS

TUESDAY, MARCH 17, 1939. 日七十月正

BETWEEN

Two Sides May Reach

AND SURRENDER

Agreement

PARIS, Mar. 6. between the Spanish

No Communists In New Madrid A. Republicans and General Franco was given by Senor Barrie,

Defence Council: War To Go On?

PARIS, Mar. 6. ORDER REPORTS STATE THAT GENERAL CASADO HAS RADIOED

BORGENERAL FRANCO OFFERING AS A PEACE BASIS, CONCILIA-

TION, INDEPENDENCE, AND LIBERTY.

He invited the Burgos Government to make an honourable peace, promising Spanish liberation from foreign influence.-United Press. New Defence Council

Madrid, Mar. 6.

Speaker of the Spanish Cortos who is now Franco.

Senor Barrio said that General Miaja is a man who can agree with General Franco in bringing poaco back to Spain.

Referring to the now Defence Council, Sonar Barrio said: "We are in complete agreement over the desire to end the war." Senor Barrio revealed that the permanent committee of the Cortes mot three days ago and sent Dr. Juan Nogrin a note saying that it was prepared to collaborate with kim on the condition that he aimed at windingup the civil war with the least possible damage and the fewest sacrifices.

Sanor Barrio added: "Our attitude was quite clear, and possibly the knowledge of this to Dr. Negrin resulted-in the coup d'Etat which will lead to peace.”—Reiter,

Chiefs of the Madrid front army arrived at general head- House Of Commons quarters all the morning to support the National Council for Defence.

General Casado telephonically received the approval of all the

army corps, all civil governors, and all political sections except the Communists.

or

Now that the Negrin Cabinet has resigned, some ex-Ministers are coming to Madrid to support the Council if their collaboration is needed accepted.

All civil governors reported that all was quiet within their respective provinces.

|COMMUNISTS ISOLATED

Silkylight Dies At Valley

SILKYLIGHT, Mr. Eric Mol-

A cordon of soldiers has been thrown around the Communist centres in Madrid to prevent unauthorised persons approaching or entering.

Closure of Pearl River Among China Questions

LONDON, Mar. 6, REPLYING IN the House of Commons to-day to Sir Percy Harris, Mr. R. A. Butler said that as he stated on February 13,representations had been made to the Japanese Government about the closure of the Pearl

River.

No representations had been made about the occupation of the Canton delta.

six-Chamber of Commerce, and was fully

aware

The new Council has been favourably received by the general population of Madrid.

a precaution, The city is very quiet, though as ler's champion griffin of 1933, inch light guns and machine guns have been strategically which commenced its racing posted at street corners, and troops are confined to career in Hongkong last year in barracks. However, there are no signs of revolt, every race in which it started at disorder, or disapproval of any kind, and public services the annual carnival, is dead.

are all normal.

a blaze of glory by winning

It died, this morning from colic, the

complaint which kept it out of the PEACE-LESS REMOTE. Champion Stakes last Wednesday.

The pony's last race in Hongkong was in the Peking Plate last Tuesday when it won fairly comfortably from King's Warden and Wild Life.

The people are wondering what will be the next step,

as the probabilities of a bloodless termination to the civil

In 1938, Silkylight won for Mr.war is much less remote than when Dr. Negrin was Moller the Hongkong Derby and the Champion Stakes. In the latter race, ruling.

he best the then unbeaten Liberty

Boy in a dramatic race in which he

According to

a

Burgos

caine up in the lost furlong lo puss message, the significance of the

the champion,

Italian Naval

Officer Dies

dramatic developments in the MAHATMA

Republican zone is considered to be extremely difficult to asse9s. While the nature of the new Defence Council indicates that

the Communist elements have

WEAKER

Viscount Halifax was being kept informed of the view of the Cantaa

of the effect Brillsh interests generally of maintenance of the present. restriction. The Gov- ernment would, through its Ambas

on

sader in Tokyo, and through the local continue to press for an early re sumption of traffic.

authorities in Canton and Hongkong.

LOAN TO CHINA

SINGLE COPY. 10 CENTS

$36.00 PER ANNUKI

War In China

off chil

SIMPSON'S IODINE. PRODUCTS

'Iodine Lockets

.$1.75 Ch.

Jodino Lozenges

1.25 box

Iodine Socks

1.50 pr

Iodine Blood Cleanser

3.25 bot.

Iodine Ointment

Iodine Bath Cubes

25 ca

2.05 jar

WHITEAWAY'S

CLA

JAPANESE

PAOYING CAPTURE

Foreigners Told To Seek Safety From Mass Air Raids

HSUCHOW, Mar. 7. VIGOROUS FIGHTING continues to rage in northern Kiangsu as Japanese forces drove in various directions to tighten their cordon around the Chinese forces following the fall of Haichow.

A COMMUNIQUE THIS MORNING CLAIMS THAT PAO- YING HAS BEEN CAPTURED.—DOMEI. FOREIGNERS WARNED

SHANGHAI, Mar. 6. THE JAPANESE military authorities,

through the Japanese Consulate, have informed

foreign Consulates in Shanghai, of Japanese preparations for ridding the whole of northern

Kiangsu, particularly the areas around Hwaiyin,

of Chinese guerillas.

The communication asks foreigners to seck safety in other places, and moreover, to designate distinctly. foreign property in order to avoid the bombing of such property by aeroplanes.

Meanwhile, the Japanese

operations in north Kiangsu GUAM NAVAL BASE continue, and 1,000 Chinese soldiers are reported to have been dispersed near Tienkatsi, which is 70 miles south-west of the Lunghai railway terminus of Haichow.

Hongkong & S'hai bring the vast territory cast of Kai-

Bank Participates

LONDON, Mar. 6. Sir Percy Harris: Does Mr. Butler that Britain has decided to IT IS OFFICIALLY confirmed appreciate the urgency of the matter-and-the-effect-it--having-favour-a-loan-to-China-of-be-

on Lancashire?

Mr. Hutler: Yes. That is why I sald we are continuing to press for an early resumption of traffic- Reuter.

CURRENCY WARFARE

London, Mar. 6,

Since operations in north Kiangsu teng occupied by the Japanées, closer to the territories controlled by the Peiping and Nanking governments, the Japanese expect intensification of their relations with both govern-

ments.

CAPTURE_OF HAICHOW

of

Proposal Revived

By Senate

WASHINGTON, Mar. 6. ADMIRAL· WILLIAM LEAHY, Chief

Naval of Operations, appeared-before-the- tween £3,000,000 and £5,000,000 The Japanese are of the opinion Senate Naval Committee to-day for the

purpose of saving that the capture of Halchow, and

of Taiyuan,

to renew the Navy's effort to Chinese currency from collapse. Tainglo, north-west

It will serve firstly, as a special capital of Shansi, will greatly con- obtain congressional authority fund for backing the gesture of tribute towards the pacification of for the Guam plan.

Admiral Leahy declared that the Anglo-United States solidarity in the North China, since no important con- Far East, because it makes the all centrations of Chinese troops are re-island's strategie position made it of extended to China by

estimable value as a possible defence to ported in that area.

claim to control all base which would act as The Japanese

strong approximately the sarne

that of the North China railway lines, deterrent "to any foreign Power con- granted by the United States.

Secondly, IL marks the rellex including the Pelping-Hankow, Tien- templating a hostile move towards following the recent worsening of tsin-Pakow, and the Tatung-Fuchow the Hawaiian Islands or the continent Anglo-Japanese relations, and denotes railways. Moreover, the capture of of the United States."

Halchow is sald to render feasible Admiral Leahy contended that an attempt to induce the Japanese to moduly their Pacido beremony immediate operation of the Lunghal Guam was of great importance us o subraerine huse railway between the eastern terminus possible air and drive.

and the ciptal of the Honan province,"from which to protect our overseas commerce from the Dutch East Kalleng,

Indies."

Britain

Gandhi Spends A counteruet this discrimination, he The loan will be granied by

In the House of Commons to-day, Mr. A. C. Morcing asked Mr. R. A. Butter whether his attention had been drawn to on official announce ment that after March 10, all busi ness transactions in North China must be financed in Federal Reserve Bank notes, and whether, in order to

been thrown out, the broadenst

would take steps to prohibit all ex- group of British Banks, headed by Execution As Traitor statements of its leaders are

ports from North China Into British the Hongkong and Shanghai Bank, and crown colony ports, unless which will receive a full guarantee regarded as indicating deter-

accompanied by a Consular certi-which will replace the usual Chinese To His Country

BOMBAY, Mar. G. Imination to continue to fight,

Acate that they had been financed

Recurity. ROME, Mar, 6.

Delish, American,... or the Nationalists give HEART SPECIALISTS are through unless THE EXECUTION took place conditions for surrender, which flying to Gandhi at Rajkot. His French bank. in Fort Bravetta to-day of they have hitherto refused. Antonio Scarpa, art Italian naval officer.

BALANCE SWAYING

Restless Night

"RED ROUTE"

The Japanese declare that the only remaining line of resistance is the "Red Route" from Sian to Lanchow. According to the Japanese, the capture of Taingle in Shunal, despite still prevailing snowy weather, con- stitutes the most important event in.

large number of small operations

A special Bij will be introduced Into Parliament la authorise the loan. heart is weakening and blood Action, not consIDERATION It is emphasised, however that this pressure is increasing.

meaning move la separate from the Mr. Butler said that Viscount additional exports credit which Briisin The British Resident at Rajkot to- Halifax had been informed of the is preparing to rive to China, which carried out mainly in central and

As But as General Casado and General day interviewed Gandhi for half an announcement.

regards A special tribunal for the Defence

the involves roughly a ten-fold enlarge- | western Shunst-Trans-Ocean, of the State had found him guilty of Minja are both military men with hour in an effort to and a settlement, second part of the question, the ment of the £500,000 export credit the betrayal of military secrets, and full appreciation that their defence so as to enable the Mahatre to break Government would cons Crane Camarantee lately granted to permit Ruthenian Minister must collapse before the Nationalist his fast on Tuesday.-Unlied Press. tical measures for the defence of China to purchase lorries, rails, passed sentence of death upon him.

British interests involved.

machine tools and Scarpa was born in Trieste, and offensive, it is thought here that the formed as an

RESTLESS NIGHT' had served in the Austro-Hungarian Council has been

Mr. Morcing! It le not consi-machinery.—United Press. organising body for ultimate navy.

New Delhi, Mar. 4. deration, but action that is wanted. A Bulletin issued this evening Mr. Butler: I would certainly Gandhi was becoming Rot.minimise the need for taking The general feeling in Burgos is stated that

any action which might be neces- that the balance is swaying between more exhausted, and that nausea and

restlessness had made their ap- Kary-Reuter.. (Continued on Page 4.)

pearance.

Four other persons were charged surrender. with the same offence. Two were sentenced to panal servitude for life, and two were given 30 years im- prisonment.Trans-Ocean.

EMPRESS OF BRITAIN

:

DUE HERE TO-MORROW

SHANGHAI CO-OPERATION Mr. E. C. Gibson, Crown represen-

London, Mar. 0. tative at Rajkot called on Gandhi to- night and was closeted with him for

Making a statement in the House half an hour, after which Gandhi was of Commons to-day, Mr. R. A. Butler busy dictating to his secretary, said that a working arrangement for

NOTHING KNOWN

papermili

An official of the Hongkong & Shanghal Banking Corporation told the "Telegraph": "We know nothing about the report that the Hongkong and Shanghai Bank is participating in the proposed loan."

Mrs. Gandhi has been released co-operation between the Shanghal Germany Read More

within the limits of the State of Municipal Council and the Japanese Gandhi. authorities had been reached, which

HONGKONG will meet to-morrow gan at New York and will make Rajkot," and is now with

The Viceroy spent to-day receiving Viscount Halifax thought did not

New Testaments

Relieved Of Post

Progue, Mar. 6.- The President of Czecho-Slovakin has unexpectedly relieved the Ruthenian Minister, M. Julian Revay of his post.

He will be succeeded by the Pre- sident of the Board of Agriculture in Ruthenia, M. Klocurak, whose ap- pointment is expected on Tuesday, Trans-Ocean.'

ASIATIC FLEET BASE He also claimed that Guam was valuable as a possible naval station

(Continued on Page 4)

LATEST

Ses Back Page. For Further Late News

TENSION IN SHANGHAI Gendarmes Invade Settlement

Shanghal, Mar, 7; TENSENESS provailed in the International Settlement to- day when Japanese gendarmes and marines surrounded a Municipal council police station in Yangtazepoo in the eastern sector, demanding the release of alleged terrorists who led into the premises of the police station..

that special class of tourist who Hongkong and Manila the most!

Berun, Mar. .. travels by the best that money can easterly port. Then the liner will members of the Executive Council impair the authority of the Municipal

The printing and sale of Bibles and get and sees everything mentioned turn round and return to New York individually, as well as Bhulabhat Council.

Desal, Congress leader (12 the Asked if he could assume that the Now Testaments In the German In the guide books. They are the vin the Cape of Good Hope, passengers of the Empress of Britain, Some 100 to 000 passengers are Assembly regarding the impasse British Government would continue language have greatly Increased in to give full support to the Shanghai Germany since 1932, according to a 42,000-ton Canadian Pacific Iner generally carried in her on such Reuter.

Municipal authorities in negotiations statement issued here by the Prussian making her eighth world cruise, cruises, and when they havo invaded MARTIAL LAW IN RASHID

with

the Japanese, Mr. Butler Bible Society, which states that 830,- The Empress, both because of her the Hongkong shops in search of

000 Bibles and New Testaments were Baghdad, Mar, 0. replied Yes-Router. size and beauty, has been Hong-Eastern curio, one may rub should-

printed. In 1932, and in 1933 this in- kong's favourite visitor in the annual ers with princesses, dukes and mil- Martial law has been proclaimed

WARSHIP IN ICHANG ·

creased to over 800,000, while in. by the army headquarters at Rashid, cruise season which is always during lionaires without knowing it.

London, Mar. 6.1037, the total of 927,000 were printe The Empress of Britain is the first six miles from Baghdad, and in the the European spring; and every year

Commander A. Marsden asked in cd and sold, key face. few privileged Hongkong people cruise ship to call. The 20,000-surrounding districts.

A report that no Bibles had been

Japanese gendarmes raided with passes enjoy anew visit to ton Franconia, of the Cunard White number of suspects have been the House of Commons today, whe printed in Germany since 1982 was

thor a British. Consul was at Ichang

shelfer of terrorists in Yangtzepoo this floating grand hotel," for Star line, will call on Mar. 24" with arrested. though the always has her Fall Mall 200 passengers and the Norwegian

under Japanese con bi and rounded pect over toythen A laconie statement on behalf of at present, and if not, would he not true-Trans-Ocean,"

up Ave inmates Led by one of them, shops her Pompelas swimming pool motor yacht Stella Polaris may call the Government ascribes the trouble British Government and one Im

mediately for the maintenance of an and other luxurica, the interior de sometime next month with 130 to mischief-makers-Reuter

cruise.

ANDHI IN PARKING British rights, in view of the Japan-relled upon to take necessary Japanese gendarmes proceeded to

precautions for the protection of arrest the ringlender corations are ever changing and passengers on a South

esa drive against change British life and property, many: Innovations greet the Visitor The German Liners Columbus and

The ringioader named-Wang, hours London, Mar 6 Mr. T A Butler replied that no Nevertheless, should circumstances over led into the premises, bt, the But the Empress is not going fight Rellance are not making world

world this time. The cruises this year, owing to poor tour A statement was made in the Consul Was there, but pBritish war- appear to demand the presenIDO OK A Yulin Station of the funicipal Coun round the

Apanese Hostilities have result ist trame in these parla sinne the out- House of Commons by the Undership was at present alichang and courular officer one could be set af eil pallées PRINC CANDY

(Continued on Part) at the commanding oncertcould be short notice from Chunkking genter darmest rated in pole k karimar changed itinerary, which-be-break of the Sino-Japanse war.

BOWWHY GANDHI IS FASTING":

Baked chief officers to hand the

N

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