'Be the "Pressistor ef
HONGKONG TELEGRAPH.
For and on behalf of
SOUTH CHINA MORNING POST, L'TEL/
The
''Today's weather: Light or moderate
Boutheast winds,
Fair
Noon Observations: Barometrie premuro, 1010.1 mbs.. 29.83 in. Temperature, 88 deg. F. Dow point, 77 deg. F. Relative humidity, 71 %, Wind directlon, E by S. Wind force, 7. knate.
Low water: 1 ft. 1 in, at 0.15 p.m.
Hongkong Telegraph
VOL. IV NO. 201
NATIONALISTS FEAR INVASION OF FORMOSA
Seen
Major Battles Looming Near Amoy
Canton, Aug. 25.-The Chinese Nationalist Government is seriously concerned about the possibility of a Communist invasion of Formosa island across the strait separating it from the main- land, the Nationalist Central News Agency indicated today. Maritime quarters in Formosa were reported in a dispatch by Central News to have warned the Nationalist Covernment that thousands of small boats plying along the coast of Fukion Pro- vinco might fall into Communist hands and become an invasion fleet.
Yugoslav Challenge To Russia
Belgrade, Aug. 25. The Yugoslav press today at tacked Russia with renewed fury for trying to meddle in Yugoslavia's internal affairs and for secking the over throw of Marshal Tito's government.
A
be
Press dispatches from the tonalist forces in that area.--
United Press. mainingd said that Amoy
RED THRUSTS would become defenceless and serve as a possible munists were
Conton, Aug. 25.-The Com-
reported to Communist springboard to threatening points within 140 to- Formosa if battles at pre-miles northeast of Canton Hent shaping up in its night, but a Chinese Nationalist spokesman said they would not vicinity went against the dare to go for because of the Nationalists.
Government gains on the Wes- Nationalist dispatches
fern flank. from Unofficial reports said Amoy reported that major bat-Reds, led by-one-eyed General the ties are expected northeast and Liu Po-cheng, were northwest of the part, which at Kiennan (Chiennan), Lung- thrusting lies directly across the straitan and Tingnan, all within 140 from Formosa,
miles, of Canton on a 35-mile
war,
pro-
I
urc
that
FRIDAY, AUGUST 26, 1949.
BOBBING
ABOUT
BRAVELY IN
Halfway across the Atlantic: the 20-foot home-made yacht, Novo Espero (New Hope) salls towards England from Canada with the Smith brothers (Stanley, 30, and Colin, 29) of Yarmouth, Isle of Wight. This picture was taken from the steamér Cranford, which met the. Smiths 1,200 miles out on their journey, and radioed to London. They were given a great welcome on their arrival at Dartmouth.
(London Express Service).
GOVERNMENT MAY GREATLY STEP UP ECONOMY DRIVE
CHIANC'S TRIP...
There
was speculation Meanwhile,.. Generalisslino the Communists were aiming at Chiang Kai-shek, who
Kukong, on the Hankow-Can- leonton Railway 125 miles north of tour of China's Western vinces, has arrived in Chung the reported Red positions. This Canton and 60 miles west of
London, Aug. 25. Belief that the British king, onetime Nationalist capi-
would force tal In Szechuan province, for
the Nationalist It also challenged Russia to
Government's "economy drive" might eventually urmles farther north to retreat be raised to 10 percent by pruning administrative the first time since VJ-Day. let the Soviet people know the
"After an eight-year clay dur.or risk encirclement. Yugoslav side of the dispute. Ing the anti-Japanese
General Teng Wen YI, the expenditure in spending departments was ex- By denying them that right. have returned to Chungking this National'st Army spokesman, Yugoslav newspapers said, the time as to my home village," declared the Communists could pressed in some financial quarters here tonight. Soviet Union placed itself on Chiang was quoted by Central not risk further advances as jong Economies of five percent. which the departments the level of "Franco Spain and becomes an unll-invasion and Vince
News. "Chungking today again as the situation in Hunan pro- were today told by the Treasury they must make in 250-miles northwest next year's budget, will not affect "welfare" benefits, monarcho-Fascist Greece.".
anti-Communist centre. I earn favours the Government. The The artly hope that the residents of Nationalists
lists announced the re-authoritative quarters said.
It was thought that the departments should not Szechuan will exert their best occupation of Siangsiung, 35 opulest the Communists as they miles southwest of Changsha, find it too hard to make the five percent cuts,, did against the Japanese for ut and of Anhua, 90 miles west of carly completion of the nationai Changsha. revolutionary task,"
newspaper, uttack with a
The Communist Borbu, led tho warning that Russia had the ***wrong conception of vereignty" when it tried to deal smoll countries with and orders. United
with
threats Prz
EDITORIAL
50-
Recovery. of
these towns
It was generally believed here west of the railway strengthen- that Chiang Kai-shek went to ext the left
flank of. armies Chungking to strengthen the Na. † (Continued on Page 5)
Washington Dollar Talks
THERE is as yet no hint of what
proposals Britain will make for the solution of the sterling aren's economic problems at next month's Anglo-American- Canadian financial talks in Washington, With Sir Stafford Cripps and Mr Bevin preparing to leave London for Washington next week, it must be assumed that some sort of plan has by now been formulated by the British Government. One report from London suggests that Britain will divert the discussions into political, rather than merely economie, flelds. · There is no doubt that the Washington talks will rank among the most important meetings between Britain and the United States since the war, and their outcome, one way or the other, is bound to have a long- renching effect on the world political situation. But even So, it is highly unlikely that Britain will make a mere hot-in-hand appeal to American charity. Sir Stafford and Air Bevin must be aware that there has recently been a hardening of the American attitude towards Europe, not only among frresponsible sections of the Press, but among
Influential and friendly statesmen. The tone of some recent remarks by Mr Hoffman, the head· of the Economic Co-operation Adminis- . tration, ilustrates this trend. Mr Hoffman warned that the time in hand for the bridging of Europe's dollar gap was very short, and said bluntly that the only way to close the dollar deficit was to earn a dollar income. In the face of this, and other less friendly pronouncements on tho dollar problem, Sir Stafford and Mr Bevin would hardly, dare to attend the talka without some well-defined proposals for n concrete course of action. Chief among these will probably be same suggestion for Increasing British exports to dollar
Arenu. There is no alternative for this, British Industry, which has already made great strides, must produce much more, and at lower prices. This is not a new solution; it is not one, which is easy to face. But it is unavoidable. The British delegation to the talks will probably out- line what steps Britain is taking to make this increase in exports possible: such steps, for instance, as the modernisation of plant, elimination of waste, and harder work all round. It is not unlikely that America, on her part, will be asked to import more British goods than she has in the past. It has often been suggested that, apart from British prices, the factor holding down British exports lo America has been the refusal of British exporters to study the transatlantic market. This is not the complete picture. Two other factors work against. British sales in America. One Is the tariff. wall which British goods have to jump: many British exporters have found it Impossible to compete with American. prices after paying the tariffs on their goods. The other factor is a natural reluctance on the part of seme buyers to. deal with firms thousands of miles away when they can get their requirements from "the Grm next door", so to speak. Thoro is sure to be opposition in America to any form of tariff reduction, but if there Is a genuine desire to co-operate with Britain this is one obvious way to do it, America has a direct interest in tho recovery of Britain, and Indeed the rest. of Europe. She has in the past been generous with her old. But anything' which would enable Britain to earn her dollars, rather than to accept them as
hand-outs", is to be encouraged.Bu
"Miracle" Stirs All
Warsaw
financial
Some
circles thought the Ministry of Health might be pressed to stop free health treatment for foreign visitors to Bri- tain, but that pressure was more likely to come from the public than from the Government.
One source esilmated that Government expenditure in the current financial year might be estimate of £3,000,000,000.
£100,000,000 above the budget
CHANGED VIEWS
Warsaw, Aug. 25.-The Greek Orthodox Church in the Praga working class suburb of Warsaw was shut
If the proposed economies do by police today as great amount to a five percent saving crowds gathered to Bee a on the budget estimate, this "miracle."
where last
ABDULLAH
TO VISIT
BALMORAL
London, Aug. 23-King Abdullah of Transjordan will leave for Scolland to- night to visit the Royal Family at Balmoral. The king and his second son, Prince Nair, will be given a civil reception In Edin- burgh tomorrow and will
the spend
nicht at Gleneagles before going to Balmoral on Saturday for lunch with King George and Queen Elizabeth, ---Tonight - King --Abdullah - was the guest of honour at a reception given by the Defence Minister, Mr A. V. Alexander. His call on the Royal Family will end his official visit in Britain, which began an August 18. He will remain in London privateir until he September 3, when leaves for an official visit In Spain United Press,
B-36 Probe
Collapses
Dramatically
Washington, Aug. 26.-
would give a saving of £50,000, The Houso Armed Services 000.in
the 1950-51.. financial Committee voted unanimous. People had lined up since ny early morning to get into the ear, compared with actual ex-ly today to clear Defence
penditure this year. church,
Department and Air Force night un elderly woman reported she had made, there would be a saving itics" in the B-36 proeure- If a 10 percent cut could be officials of any "irregular- seen the hands and eyes of u Madonna portrait moving."
£200,000,000. Presumably, taxation could then be cut by a
alment programme. She
the church like amount. ran
from crying.
"Cud, cud" (miracle), and people who flocked in later said that they saw the eyes and hands-moving.
The story spread like wild- and fire throughout Warsaw thousands of workers from factories, omces and shops quit their jobs to hold a vigil outside the church.
•
of
This is not a very large figure
The
voto CAMO after the viewed against total expenditure, Committed chairman, Chri but it does show that the Gov-Vinson, said there had not been ipta" of evidence of ernment has, to a cer.ain extent."onu. changed its views in the post-fraud, collusion, corruption or the Air few weeks.
political influence in
make the have Force decision to Rightwing economists urged for some time that such 15-30 Its main striking arm), economies could be made with- out the social services suffering In any way.
TRAMPLED TO DEATH Today the crowd was like a) parade, kept moving by squads for
NOT JUST CESTURE Sir Stafford Cripps, Chancel of the Exchequer, has main
ment
1
Dine
At the
For
P.G.
Reservations
Price 20. Cents
Tel: 27880
MID-ATLANTIC
Manstein Defence Springs Surprise
Hamburg, Aug. 25.-The dofonce in the von Manstein war crimes trial sprang a surprise hero late today by demanding that four Nazi "oxterminators" now under sentence of death, should appear to give evidence. Ona of the four, detained in Landsberg Prison, Bavaria, is Otto Ohlendorf, former commander of the dread "Task Force D" which is alleged to have carried out mass killings of Soviet citizens.
Mr S. C. Silkin, British world to lie and blame their own
crines on somebody else." lawyer defending the '61-
There is no year-old former Field Marsin said,
reason," Mr "Why these wit- shal Fritz Erich Von Mans-nesses, who are alive today, tein, made the demand after should not be produced, if the the chief prosecuting coun- prosecution wishes to base its that type, so sel, Sir Arthur Comyns Carr, case on men of
that the court can see them in had told the court Ohlendorf had refused to give evidence for or against Manstein.
the witness box and judge from their demeanour and that of the accused which of them is telling. the truth"
Sir Arthur said that three former oficer colleagues
IN AMERICAN HANDS of Ohlendorf - Schubert, Braune and Selbert bad given After the defence demand for evidence by deposition, and the the four witnesses, Sir Arthur relevant paris would be read | suid that they were all in Ameri-
to the court as it was not con- can custody. He was instructed sidered proper that these men #t was highly improbable that should give evidence personal- the United States. would
agreo ly.
to send them to Hamburg.
The four men had been kept This was contested late today alive until their sentences were by Mr Silkin who said that confirmed and all four had sent their evidence, taken on competitions for habens corp
beng corpus to mission, should not be heard on the American Supreme Court. the ground that they were self- As Sir Arthur had earlier in confessed murderers, alleged the day, completed his outing accomplices of Manstein and, of the 17 charges against being under sentence of death, Manstein, the ex-Field Marshal.
(Continued on `Page 5)
"had every
Interest in
the
PLYMOUT
COATES & C
Mr Vinson made the, state- atter tho Committee heard the testimony of the B-38 and a suspended Navy official, manufacturer, Floyd Odlun. Cedric Worth, who bad con tested to drafting an anonymous document attacking
PrograNuno,
tha 13-35
RECALLED TO STAND
of special polico to prevent attained that it would be impos- cidents.
This was the second alleged ble. He has on several occa
sions said that ho would cut manifestation of a religious nu-
expenditure anyone could tell ture in Poland within six weeks. him how to do it. Now he has
A famous picture of the Virgin
apparently Instructed Governi In the Cathedral at Lublin was
ment departments to and
During his testimony, Worth reported early hist month to be
repudiated virtually every state- sitedding tears of blood. One
Small though the proposed ment he had written in the un- to death woman wuz and several
cuts may be, it is not unreason signed document. In sub-able to take them as an earnest
sequent dem
for themselves.
p!
out
After Odlum had testifled, as to come, and not just Large-numbers of security
mada to placate Worth was recalled to the bolice and armed mileary Washington. ་ ་
stand. In reply to questions by still os guard in Lublin to pre
Government departments have the special, counsel, Joseph vent further violent deinon-
onun unhappy knack of over. Keenan, Worth said he no strations there among spending their budget estimates longer
the
thought Odlum was thousands of peasants who and so far, since the end of unscrupulous" as he had tes travelled from nil: parts of the war, their supplementary Uned earlier. He and he, re- Poland to see the tears of estimates have been passed by grotted writing blood-though church authori-Farilament, without rauch ob- paper and felt ho had done the the unsigned Hes have repudiated that Jection, by: Labour Party back country n "rairacks Reuter.
berseber-Reuter, de
Unlied Pressreal disservice."
AMOUTH CIN
DRY
IGIN
TRAD
ERIZE
TEITION LEGES
CALDBECK