Friday,

'HONGKONG TELEGRAPH

March 8, 1940.

DRASTIC 24-HOUR ULTIMATUM

FINLAND BY SOVIET UNION

SPECIAL TO THE “TELEGRAPH❞

PARIS, MARCH 8 (UP).—THE STOCKHOLM. CORRESPON-

DENT OF THE PARIS - "SOIR” REPORTS THAT THE SOVIET UNION

HAS DELIVERED AN ULTIMATUM TO HELSINGFORS.

The ultimatum demands:

1.-Cession to Russia of the entire Karelian Isthmus area, which would include

the Mannerheim Line of fortifications;

2.-Cession of all territory east of the western shores of Lake Ladoga;

3.--Cession of northern Lapland.

The ultimatum expires at midnight on Friday.

OFFICIAL STATEMENT

Confirmation of this report comes from the Finnish Government itself.

An official statement has been issued in Helsingfors. It says:

"According to information in possession of the Finnish Government, the Soviet Government is believed to have planned to present demands on Finland more far-reaching in character than those presented last autumn.

"Details of the demands are so far lacking."

It is presumed that the new Russian demands would be in addition to those made last November.

DESTRUCTION OF DEFENCES

The Paris "Soir" states that the demands, if conceded, will end in the destruc- tion of Finland's eastern defences.

The Russian claims include cession of Viborg, Submarine

Finland's second city, and the entire Lake Ladoga area and its countless islands. The Mannerheim Line stretches from Viborg in the south to the western shores of Lake Ladoga and this entire area would be lost.

In the far north, the Russians are demanding the entire Arctic coastal area.

DANGER TO NORWAY

The effect of this would be that, in addition to Finland's loss of the Petsamo region and her only port in the Arctic, Russia would, for the first time since it became sovietized, have a common frontier with Norway.

Highway

Japanese Tunnel To Open This Year

Tokyo, Mar. 7. Initiating EL revolution in the transport system throughout Japan, the submarine tunnel linking the and the western tip of Honshu northern end of Kyushu will be opened to railway traffic this year, Construction work on the tunnel boring

the sea bottom was through started on September 1, 1936. Com- hazardous engineering work,

after over four years of Bie

In addition the claims for territorial cession on the mainland, Russia has reiterated its demand for the

tunnel will not only greatly improve the railway system in Japan but also Hangoe group of islands and Hangoe peninsula.

have far-reaching effects on the between . Japan, The Hangoe group is at the mouth of the Gulf of communications

Manchukuo and China,

Mr. Nishio, chief of the Passenger Finland. Russia has already forced Estonia, on the other

Tokyo of Railways, is leaving side of the Gulf, to cede strategical positions, so that Service Department of the Ministry cession of Hangoe will permit her to bottle the Gulf of March 11 to make arrangements with Manchukuo and Chinese au- Finland from either side at

Masonic Service will.

At Union Church

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Scale of Miles

Secret Air Estimates Introduced

R.

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THE HONG KONG SOCIETY FOR THE PROTECTION OF CHILDREN The Society asks for

$35,000

In 1940 to meet the increasing needs of sick and destitute children in Hong Kong, against which the Income to date is $12,000 only. In order to continue its work, the Society appeals for the balance of $23,000 before the close of the financial year on 31st October, A copy of the Annual Report for 1939 may be

Mr. A. MORELLAR, CA.

LONDON, Mar. 7 (Reuter).In the House of Com-obtained from: thorities regarding the proposed re-mons to-day, Sir Kingsley Wood, speaking on the Air vision of transport plans between Japan, Manchuria, North and Central Estimates, said that for reasons of security the amount

China in consequence of the opening

of the submarine passage.--Domel.

Efforts For Peace

London, Mar. 7.

cannot

The "Soir," which quotes a reliable Finnish source, states that M. Vaino Tanner, the THE Right Worshipful Dis- Finnish Foreign Minister, re-trict Grand Master and the Office to Helsingfors from Bearers of the District Grand turned Stockholm on February 29, Lodge of Scottish Freemasonry accompanied by an envoy from in Hongkong and South China King Gustav.

will attend Divince Service at the This envoy is stated to have Union Church, Kennedy Road, personally transmitted the Russian ultimatum to a plenary session of the on Sunday next at 6 pm.

The District Grand Master has re-ending the China incident The Paris Soir" correspondent quested the support of members of wholly be dissociated from the recent the Hongkong and moves in Tokyo, aimed at improving states that the Finnish Cabinet split the Lodges in

South China District by their at relations between Japan and the on the subsequent discussions,

tendance.

Allies, says the News Chronicle in an Nazis Mediating

Cordial invitations are issued to editorial to-day,

would be SPECIAL TO THE "TELEGRAPH"

Members of other Scottish Lodges The people of Britain'

ended COPENHAGEN, Mar. 7 (UP).—

reports that and Members of other Constitutions glad to see the China war

China's sufferings. What The "Ekstra Bladet"

and with Germany is playing the biggest role to attend the Service.

Masonic Regalia will be worn, and they are not prepared to do is to the air."

R.A.F. Doing Great Work as mediator In the Russo-Finnish

Brethren will robe in the hall ad-stage a Far Eastern "Munich" to

and condone Japan's

zell War.

Sir Kingsley mentioned that aircraft Egresion jacent to the Church at 5.45 p.m.

China in return for Japan's friend- bomber commands and the British ship. While the effect of any retreat air forces in France had, carried out

of the Estimates would not be disclosed.

Sir Kingsley added: "I can state that our Air Estimates this year are of an unprecedented character and involve by for. the greatest efforts and expenditure ever made by this country- in any year in relation to our air defences.

"I should like to say that these new plant was coming into operation. Estimates represent only part of Many more factories were coming into production and still more were --------The-growing Japaneso- desire for further action.we are taking.being-bullon, he said, had

and propose to take in conjune- Future tion with our Empire overseas been planned on a scale which should and with our Allies.

enable us to attain our objective with something in hand.

Finnish Cabinet.

Sweden feels that she is unable to mediate alone, the newspaper declares.

"Our expenditure and efforis can- not be limited to this year, but they must be continued and intensified un- we have achieved our fixed resolve the establishment of our mastery in

Famous New York will be bad enough to Britain it will night and day over 1,000 sorties well

Editor Dies

in

Plans for production in the Do- minions were beginning to bear fruit and the first aircraft made in Canada had already been town.

Large additional orders had been placed in America and Canada.

It declares that the recent trip to Berlin of Sven Hedin, Sweden's famous explorer, was for the purpose of insisting to his friends, Hitler and Ribbentrop. that it was vitally NEW YORK, Mar. 7 (UP)-Dr. necessary for Germany to effect a John Finley, 76, Editor Emeritus of prompt settlement of the Finish the "New York Times", died here War.

to-day. Hedin is believed to have warned

to be acting as the Hitler that the Scandinavian countries ported would become Involved in the mediator, will neither confrm European War If the Allies Intervened deny the reports. in Finland.

that Hitler Germany's part in the negotiations to China by making peace on terms more enemy planes had been forced Increased H.A.F, output, Sir Kingsley The report states

the which will satisfy Chiang Kai-shek, down in neutral territory or in the said it could safely be estimated negotiations. is apparently being played by initiated promptly These are still in their early stage Nazi Press. Chief, Dr. Dietrich, who-Reuter,

of success, flew hern for a secret one-day visit, and are not yet assured the report adds,

Referring to civil aviation, the Air Binister declared that in con- Junction with Australia and New Zealand it had been decided to link up New Zealand with Empire sir routes and to start a weekly be even worse to America. Nothing into German territory.

A

fighter

service across the Tasman Sea in will do more harm to Anglo-Ameri-

a great many France, can relations

of acceptance

April. of whom are being used in action over

He said he hoped that difficulties of the Siegfried Line, had taken off on Japan's claims and the betrayal

pure it and combat, he and our preventing a regular service to Lis

said. Our bon

shortly be overcome. the Chinese people.

There is something to be said for pursuit and combat, he

To safeguard the position of civil Britain and France in offering timely fighters had amply proved their

aviation after the war a strong civil mediation between Tokyo and worth.

Already, he said, without a single aviation advisory committee was to chief Chungking in an effort to bring about

pet nor a settlement in the China war, but loss on our side they had brought be only if Japan is ready to repair some down some 40 German aircraft round of the grievous wrong she has done our coasts and we knew that many

It is also believed here that Berlin

Germany's Part

According to one version, the pre-

Passikivi in Stockholm

sca

that Agure.

up,

100% Increase In Strength Giving on outline of the greatly

of

the

He confidently believed that even

e/o Mackinnon Mackenzie & Co.

P. & O. Building

Mr. KWOK CHAN

c/o The Banque de L'Indo-Chine,

Hong Kong Hon, Treasurers,

THE SHOES FOR STARTING SPRING SEASON ALREADY ON STOCK IN ALL OUR BRANCHES

Bata

Estimates Passed

COETI

Sir Kingsley was very disappointed that the war had dealt such a great blow to the carefully prepared pre- war plan regarding civil aviation.

"Anxious as I am as regards the position at the end of the war, I feel we should put every ounce we can into our milltary effort," he said. The Air Force votes were fagreed without further discussion

STOCK MARKET REPORT

that the fighting strength As an illustration of the RAF RAF, had increased of least by 100 progress, Sir Kingsley said that when per cent. during the last 12 months. RUMANIA: TO STAY introducing last year's Estimates bo

In addition, he said, we had been Lendon Reports

sent negotiations are being conducted

had stated that the total strength of able to give substantial help to on the basis of the Russian demands

NEUTRAL

the RAF, was approaching 100,000, friends overseas. SPECIAL TO THE "TELEGRAPH"

ono R.A.F. (UP)-Diploma for the cession of the Karellan

To-day the strength of LONDON. Mar.

command alone had nearly reached on a numerical basis the output of tie quarters state that they have Isthmus, Lake Ladoga and the terri

·FROM PAGE ONE

and obviously no air defence system could sald Sir Kingsley replying to heard that Russla has served new detary to the north, a section of Lap manda on Finland, including the land, including Fetsame, and the port

between the Allies and Units of the Coastal Command aircraft accruing to Britain

was a fact regarding general opera-purison dismissal of Baron Mannerheim and of Hangos.

gives us the impression of a deep had flown more than 5,000,000 miles: France was to-day in excess of that be an impenetrable barrier. If that question whether his earlier

of Germany. and sincere relationship."

since the outbreak of the war. They General Wallenius as well as many

Sir Kingsley concluded:-"If and tions it was still more difficult during Germany had regard to the type and STOCKHOLM, Mar. 7 (Reuter). Referring to King Carol's brief had sighted submarines on more than when serious attacks are made on the night to intercept every hit and quality of machines. other military and political leaders.

The demands are believed to be so it is confirmed that M. Passikivi,

this country, considerable damage run raid in ones and twos on a 700

mile coast-line. far-reaching that they will be un- who led the Finnish Mission to Mos-review of Rumania's foreign rela-100 occasions and delivered more than

will be caused but we need not Conditions were worse in winter, acceptable to the Finns. In view of cow in an effort to avert war, hasons, some foreign diplomats here 60 attacks. More than 700 convoys expressed the opinion at the Crown had been successfully escorted by

doubt that our people will endure the fact that the previous demand for now arrived here.

Council at the Royal Palace last aircraft, he said.

it with the same high courage as he said, and it was to the credit of the air force that they had brought Rumours that he was in Stockholm night that the Foreign Minister has Intimate Co-operation

other peoples recently have shown. cession of the Hangee Peninsula the wrecked the autumn talka.

to take part in peace negotiations are received full Royal approval for his

Referring to our co-operation with

"Moreover we can be sure that the down so many enemy aircraft and confirmed.

policy.

France, Sir Kingsley said that this powerful and efficient air defence or-driven off many more. Official Announcement

Increasing Efficiency is encouraging Stockholm to do its

was of a most intimate character. ganization which we have built up utmost to mediate in the Finnish HELSINGFORS, Mar. 7 (Reuter).

There was a comprehensive scheme will take a heavy toll of the enemy "Our fighter defence is increasing conflict,

of pooling Information and the pro-and that our bomber force will be in efficiency daily. Our airforce and The Russian terms as reported hereThe radio here has issued an off- announcement that the Soviets

ex often and to keep on hitting," ly, and I believe with much success," ore the same as those outlined in the have presented Finland with new and King Carol in the new session of duction of problems were studied to both ready and able to hit hard, hit navy are tackling the problem joint

Parliament ré-affirmed Itumanla'sgether, secret equipment was

he said, developments(Cheers). more far-reaching demands. The peace offer confronts the

Further detalls were promised to intention to follow a polley of nou changed and new

Moral Effect On Germans Sir Kingsley gave unqualified as- robe given later.

trality 40 her own interests and shared, British with the necessity

training Speaking

In closing the debate on Air. Es-surance that all plans were ready in those of peace. viewing the possibility of much Three-Power Mediation

organisation overseas, Bir Kingsley King Carol added that the rules

mild that when in full operation the timates in the House of Commons, the event of it being decided that had British bomber forces should engage more active intervention.

LONDON, Mar. 7 (Reuler)-Asof neutrality had been and would cording to the Rome radio, which re- be followed also in the sphere of schools in Canada, Australls and Sir Kingsley Wood said they

New Zealand would produce 25,000 evidence that recent flights over in major operations,

Germany

had not been without effect The air force would be only too STOCKHOLM, Mar: 7 (Router)parts considerable diplomatic activity Rumania's exports trade.

willing to undertake any commission pilots and 20,000 air crews every Rumania's military preparations Though official confrmation is lack in Stockholm and Helsingfors, it is

n' the morale of Germany evidence with ing, reports frmi a usually rollable belleved that Russia, Sweden and and strengthening morale in order to

Additionally. the South African

There ore Germany are workinalata War

ere was no holding back as for that the leaflets dropped from planes plans for guarantee the defence of national source insist that negotiations

for an armistice between mediation in the

patrimony remained the pre-occupa Government bad moet helpfully offer had been read by a very large num-as they were concerned.

Replying to a question raised abolit prog, Swedish, German and Rus- Finnialt,

The delegates of the three coun- ton of the entire nation, the King ed to train pilots for the RAF and ber of people who were apparently tries are expected to be joined by mid, the reg

there would also be air schools in glad to read them, notwithstanding long-range Aghters, Sir Kingsley said sion delegatco.

Rhodesia and Kenya.

the severe penalties with which they that there were a number of new an Baron Carl Mannerheim, and, General The preliminary talks for

and more powerful types of aircraft were threatened. armistice are believed to have been Blucher, the commanders of the Fin

Replying to criticism concerning now in production, R going on for some days, although the nish and Russian armies.respectively,

altoastal attacks, Sir Kingsley said that "Certainly. I had regard to that," Bwedish Foreign Office, which is re-it was added.

Paris "Solr."

Negotiations In Prograte

dal

Affirms Neutrality BUCHAREST, Mar. 7 (Router)

LONDON, Mar. 47 (Reuter)-The Cotton Industry Bill has passed both Houses.

YORK...

New Production Plant Dealing with production: Sir Kingsley said that every month

Hongkong Stock Exchange Official Summary issued yesterday says: O

The market has become Ustless: having drified into backwater. Con-- sequently. prices remain on the easy 'skie,

Buyers Bales

Union Inst

--- H.K.” Steambosta

H.H. Electrica.... Dairy Farms (Old) Watson

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