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Lighting-Up Timb{22X199%m Telegraph" fellets WiBomb-185fas Morning Post, Lid. Tontowickim Street, Hongkung i

The

FIRST EDITION

Court

Hongkong Telegraph.

No. 10111

YOUNDED 1881 三拜腿號三月四英港香

WEDNESDAY, APRIL 3, 1940.

日六廿月二

SINGLE COPY 23 CENTS

$3000 PER ANNUM

WHY GET WET?,

IT'S CHEAPER TO OWN

A MINX !.

SEE-

GILMAN'S

—the car

people

THOUSANDS WATCH AIR BATTLE BETWEEN NAZI AND R.A.F. PLANES

JAPANESE LEVER: S'HAI COMMENT

SPECIAL TO THE "TELEGRAPH"

SHANGHAI, April 2 (UP)Informed quarters, commenting on the report in the "Hongkong Telegraph" that Japan may utilise the Chinese Maritime Customs revenue as a lever in an attempt to force recognition of Wang Ching-wei, draw attention to yesterday's report

from Nanking.

NAZIS ALSO

This report (also quoted by the "Telegraph" yesterday) quoted Chou Fo-bai, Wang's

HAVE PLAN Finance Minister, as stating that

Meeting The Allied

Blockade Throat

·SPECIAL TO THE "TELEGRAPH"

the new Nanking regime would recognise foreign debts, but would "determine payment ne- cording to the nature of the debts."

A large proportion of third Power STOCKHOLM, April 2 (UP).) -A possible German plan to lebts are secured by C.M.C. revenue. Informed quarters in Shanghai counteract any future decrease in agree that Wang Ching-wel is hope- iron ore shipments from Narvikful that the offer of payment on loans will Induce third Powers in aécord

No Compromise

is seen in the announcement recognition to his government. to-day that two German shipping companies are resuming trade in the Gulf of Bothnia and the Baltic.

Belligerent Powers

STOCKHOLM, Apr. 2 (Reuter).- "If our territory is attacked we must repel the aggressors with all the forces at our command," declared M. Skoeld, the Minister of Defence, when speaking at Upsala to-day,

He added that should anyone threaten their independence they would take up

and defend themselves to the best of their abilly.

armx

Fate Always Uncertain

It is doubtful, however, that any of the mujor Powers, particularly the United States, will compromise on this basis.

It is pointed out that the United States has continued to loan money to the Chungking Government, despite defaults on earlier loans,

It appears, therefore, that Washing- ton is either confident of Chung- king's eventual ability to meet old obligations, or the For Eastern! situation is more vital from a strategie. viewpoint than from a monetary viewpoint.

The offer of repayments on out-

ALLIED THREATEN TRADE ROUTE

KEY

Corridor For German Ships Through Norwegian Waters.

Naval Bases.

SERTLAND,

ENGLAND

Stockholm

British Blockadel

FRANCE

@Paris

Barlin

GERMANY

INLAND

ATVIA

LITHI

Kamas

SOVIET

THROUGH THIS LONG corrid wrong pouy, anzi Mujuặc Suęddjys rams have been successfully routingor in Norwegian waters, the Ger- de. It is this corridor the Allies are determined to block, A

EXTENSION OF THE

ALLIED BLOCKADE

SPECIAL TO THE "TELEGRAPH" LONDON, April 2 (UP).—Mr. Chamberlain has standing loans is only one of the warned Europe's neutral Powers that the Allies have engaged in a struggle to the death, will secks third Power recognition, decided to go the limit in the economic warfare against

As long as great Powers were methods by which Wang Ching-wei

he said, Sweden's fate remained according to well informed quarters. uncertain.

the

#rens

In

Other methods will include reguin- At any moment new and serioustion of trade, residence and travel dangers might arise and they must whereby nations of third Powers will controlled by Nanking, always be ready.

Sweden was a small country, he be forced to seek visnes and permits said, and the means at their disposal through the Wang Ching-wel al- did not permit them to indulge in ministrative offices, Nanking, it is threats, Consequently they must seek believed, will, otherwise refuse 10

s and goods. their Independence in

Many local business-men neutrality which was based upon the respect of Sweden's legal rights which major efforts by Nanking on these treat belligerents in an impartial lines, whereby Wang Ching-wei will gradually increase the problems be-.| setting third Power nationals.

manner.

policy of admit foreign nationals and cipale

More Taxation

Anglo-French Policy

Observers, commenting

on

The

MAP CAUSES

A FURORE

Italian Press Becomes Very Indignant

Germany.

The

practical steps," he said.

NEUTRAL

MACHINES PROTECT FRONTIER

AMSTERDAM, April 2 (Reuter).—Behind a brief communique issued by the British Air Ministry to-day lies a thrilling story of violent air duels over the North Sea, witnessed by thousands of spectators in neutral Holland.

The communique said:

"R.A.F. aircraft of the Bomber Command were actively engaged in reconnaissance over the North Sea during the day. Enemy patrol vessels were attacked with bonibs and one enemy aircraft of the Junkers type was engaged and damaged in combat.

ship.

"The wreckage of this aircraft was subsequently observed by a war-

"One of our aircraft is missing,"

The violent air battles were watched by thousands of spectators at points along the Dutch frontier yesterday even- ing.

Dutch air patrols were sent up to protect Dutch neutrality.

People in many places in eastern and central Holland ran out of doors to see what was happening.

ECONOMIC WARFARE

No Cotton Re-Exports To Germany

SPECIAL TO THE "TELEGRAPH"

The rival planes-tiny black specks wheeling and, manoeuvring in a clear sky-were clearly visible.

Anti-aircraft fire was heard from the German side of Exports from the United States the frontier.

важ

five

JAP VERSUS ZEESEN

LONDON, Apr. 2 (UP) —

to Europe and neutral countries were featured at question time to-day when Parliament resumed following the ten days Easter

recess,

The Minister for Economic Warfare

Netherlands' imports of cotton from

said that while it is true that the

the United States during the three

months. September to November 1930, ***** ¦ and United States exports to countries

near Germany were larger than dur Ing the same period in 1938, he could not accept the suggestion that this indicated re-exports to Germany.

GOEBBELS is having some difliculty in making his pro- paganda broadcasts from Zccsen heard in the Far East.

Zeesen is being drowned by n "revving" morse station.

But the Allies are not causing the trouble. Everyone in Hong- kong is free to listen to the Nazi propagunda-if they can hear

SMOKE-SCREENS ACROSS FRONTIER Great smoke-screens drifted across the frontier particularly in the neighbourhood of Zutphen.

Reports that the combatants flew over Dutch territory lack-confirmation but_the_roar_of_the aircraft engines He also warned that any aid | continued well into the *** they might be extending to

night. Germany might render the

The watchers neutrals "inule to the hideous fate" of past victim of Hitler's enormous scarchlights being foreign policy.

brought into action in the neigh- Regardless of the neutrals suffer-bourhood of Borken (just over ings or protests, Britain will do the frontier from. Arnhem) everything possible to stop the ship-which swept the sky unceasingly. PARIS, Apr. 2 (Reuter).ments of Scandinavian ore to Ger- The Foreign Office has issued a inany, presumably by Intercepting At one moment observers saw a off the Norwegla plane caught in the beam and escape communique regarding "the un- German ships

again after a serious of breathtaking warranted excitement" caused const.

Navy ราย nlready taken manoeuvres. "Telegraph's report, refuse to pre- abroad by a map of Europe which

Fight Over West Front dict the future course of British and figured in the background of a French policy towards Wang Ching-photograph taken at the Ministry Bidding For Balkan Products

LONDON, Apr. 2 (Reuter)~~A wel in view of the Aliles pre-occup of Finance during the recent

Secondly, Britain will take suitable bulletin issued by the Headquarters tion in Europe. Middle Classes Likely

between M. meeting

Paul measures, believed to include high of the British Air Forces in France The consensus of opinton Is

bids for the purchase of Balkan pro- stotes that yesterday three fighter air- Britain and France will refrain from Reynaud and Mr. Sumner Welles. ducts, and otherwise do their utmost craft of the R.A.F. attacked and broke To Be Affected

fallowing a policy untagonistic to that

This map has been represented as to halt supplies reaching Germany up a formation of nine Messerschmilts adopted by United States.

showing how the Allies intend to overland, including routes from of the 110 type on the Western Front LONDON, Apr. 2 (Reuter}.— Financial quarters point out that hape the future of Europe" by Russia and south eastern Europe. near Melz. The London press is chiefly con-even if Nanking pays China's Joan carving up Europe and reconstituting Thirdly, neutral Powers cerned with the new Budget in small instalments, it will be many an enlarged Czecho-Slovakia, Puland denied Empire products unless they guarantee to limit their trade with which most of them feel will years before Britain is able to re- and Austria.

cover the amount equivalent to the Frontiers "Touched Up" Germany. make further demands on classes total she has put into the Anglo-

Fourthly, "the double standard ut The French communique points out carning from £5 to £12 a week. Chinese Stabilisation Fund to support the map is merely one showing neutrality, crented by Germany to If The Budget is to be raised proper-China's national currency in the past Europe's frontiers as they were "be- give the Reich all the advantages of ly by loans and taxes n very large two years,

They doubt, therefore, whetherfure Germany's repeated aggressions the neutral bloc and to impose all

the disadvantages on the sum will have to be raised from n

Allies, certain atratum

even the baft of repayment of loans during the past few years." of people.

In the reproduction of the map the cannot be tolerated and, will not photographer touched Other sections are already taxed, from the accumulated revenues of

divert the Allies from their course. certain

Firthly squelching the papers point out, and further the Chinese Maritime Customs, at taxation of these sections would not present held in the Yokohama Specie frontler lines, thus leading to mis-

the Italian press, moves, the Premier announced that Bank, will be sumelent to induce apprehension In Ho very far towards meeting the bill. But to reverse her pailey towards which is agluated at the apparent in the Allies have agreed to make peace only by common 'consent-including Poland-and to stond together in the reconstruction of Europe.

Indicated

A man earning £30,000 a year now pays 178. In the pound in taxes.

Can't Tako From Very Poor.

Not much more can be taken from the very poor classes. The wor therefore cannot be paid for without further, taxation of a large growing section carning from £5 to E12 a week.

China,

the

that

·

Munitions Explosion

Three Lose Lives In' Scottish Factory

up

clusion of Trieste in Austria.

A message from Ilame states that the photograph was reproduced prominently to-day in most of the newspapers with bitter, anti-French and' anti-British comments.

JOHN L. LEWIS TAKES OVER

any

wil

be

peace

All our aircraft returned safely.

Perhaps It Was Meant As A Joke

But London Newspaper Thunders Reproof

it.

A Japanese station is the offender. It is utilising a fre- quency that blankels out the German station.

The call-sign of the morse station is, appropriately enough, JAP.

Nazi Terror In Poland

Prisoners Subjected

No Raw Cotton Re-Exports According to offelal Netherlands statistics, he announced, no raw cotton was re-exported to Germany during the four months September to Decem- ber 1939. He added that during the same period re-exports of cotton in other forms were very small.

He stated that imports of eatton from all sources Into the Netherlands for the whole of 1939 totalled 62,250 'ons compared with 02,850 in 1037.

LATEST

NAZIS SINK OUR NAVY (AGAIN)

Big Raids On Scapa In Progress

ол

To Torture

LONDON, April 3 (Reuter)-Fur- ther large-scale Nazi air raids PARIS, Apr. 2 (Reuter)-Further Scapa Flow are apparently in pro- reports of alleged German methods gress. LONDON, Apr. 2 (Reuter).---Some of terror and extermination appear According to the Nart claims the

Navy has.

again bcon kindly person in the United States in the official Polish journal publish- British Appeal To Neutrals

Stamp.

annihilated Ghief ed in Paris. Mr.. Following

Chamberlain's has sent Sir Joshua

Hero is the Naxi version of the raid, statement Mr. Clement' Attlee the Economic Adviser to the Governmeni, Labour Leader appealed to

It is stated that this terror attain an issued by D.N.B._ the parcel of tinned sardines, cheese,

ed its maximum intensity in the "Some hours ago Heinkel bombers neitral Powers to recognise that chocolate, honey and butter.

leading

article to this provinces "incorporated" Into the once again paid a memorable visit to Devoting its Britain must make economie warfare

"Dally

the British Naval Base at Scapa Flow. Telegraph com-German Reich, effective, for which purpose they

lo-day, the

"The first planes have already re- must stop the lenks in the blockade, ments that it is appalling that some

The average daily killings taking turned and are over Hellgoland, NEW YORK. Apr. 2 (Router), "We wish to see no extension of people should think that the people

"According to radio reports.so far Mr. John L. Lewis, tho Labour the war-but we want to bring it to in Britain are suffering privations se place in Warsaw during March were Leader, has arrived to take charge of an end as soon as possible," he said, severe that even the Chief Economie estimated at from 10 to 16. People received, reveral English wantips LONDON, Apr. 2 negotiations to prevent the under- We can do that by gettting all Adviser would welcome sardines, found in the streets of Warnow later were attacked with heavy bombs.

though

hethan 0 p.m. are shot.

"Some ships sustained direct hits. that cheese or chocolates aa ground railway strike,

neutral nations to understand

Others have been damaged by ex- (Reuter).The Minister of

Mr Lewis declared that he had the war concerns them, because we was unaccustomed to these luxuries.

fantastic to imagina Mado To Lick Motor Cars plosions in their Iminediate vicinity. It is last ure Aghting for their lives as yell Supply announces that an settled the whole controversy

"One ship developed a'that and from such credulity could exist outside of

It is declared that torture in the another dense smoke and flames, ap- explosion occurred in a Mayor La Guardia, but the settle- Mr. Attice said he was convinced Germany, the paper continues. GERMANS DENY munitions factory in Scotment had since been nullified by Mr. that the overwhelming opinion of all The "Daily Telegraph" saye that at order of the day in the prisons and peared."

It is alleged that Mayor Bydgosez (The Britishi-Admiralty John L. Delancy, Chairman of the democracies was on Britain's side. least one neutral country in Europe was ordered to clean motor-cars be-nounced that no ship has been hit or land this evening. SINKING

Transport Board.

"They know perfectly well we are is less well off than Britain.

longing to the Gestapo by licking damaged.) It is feared that three liveg

fighting their battle, and they know

them. When he protested he was shot. BERLIN, Apr. 2 (Reuter) have been lost. Four men were

qulle well there, will be no more International law if we don't win. Authoritative circles here, comment- injured.

enforced

The press. feel that if every one could save 10 per cent, of their food consumption it would be a great help in providing exchange and shipping space. It would therefore, be a most valuable addition to our fighting power.

ing on the belief that the El Clervo) A Court of Inquiry has been was sunk by a U-boat, state that no set up to investigate the acti- German U-boat has been in that dent.

arco.

Wednesday at conference with as our own."

Promisos, No Striko

NEW YORK, Apr. 2 (Router), Mr. John L. Lowls announces that the labour situation on the New York underground rallways and transit, Hines is satisfactorily settled and that the strike will not oventuote.'

ather

by the Nazis" he asserted.

LONDON, Apr. 2 (Reuter)-The 1 will only be the law of the jungle acting rank of Air Vice-Marshal has been granted to Air Commodores K. He emphasised the necessity for R. Park and N. II. Bottomley, states

PLEASE Tum To Pago 7. The London "Gazette,”

It is stated that the Nazis are es- pecially implacable against religious orders and congregnilons and that Poles are not permitted to marry.

basan-

Sen. Back Pago, For Further Late. Nows

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