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The
Today's weather:" Moderate Noribesatorly, wind. Cloudy with intermittent rain at first and improving later.
Noon Observations: Barometrio premure, 1015.8 : mbe, 27.94 in. Temperature, 81 deg. F. Dew point, 75 der. F. Bela- tive humidity, 84%. Wind direction, ENE Wind force, 7 knots. High water: 4 ft. 8. In. nt 4.10 p.m. Low waler: 4 ft. 3 in. at 7.02 p.m.
Dino
At the
Hongkong Telegraph.G
VOL. IV NO. 229
WEDNESDAY, SEPTEMBER 28, 1949.
DEVALUATION MOVE CALLED DANGEROUS
Financial Measure Criticised
By Opposition In Commons Debate
Expert Gives Evidence
Mr Cyril Rogers, financial expert, called as a witness for the defence, was cross- | examined by the Hon. Leo d'Almada, KC. when henr
ing of the $900,000 Shang- hai exchange transactions action continued before Mr Justice Williams ut the Supreme Court this marn- ing.
Mr Rogers,
his opinion,
af
one
black market
London, Sept. 27.—Speaking in the House of Commons in the devaluation debate opened by the Prime Minister, Mr Clement Attlee, today, Mr Oliver Stanley (Conservative) said that the Opposition had no confidence in the Government. It would be dishonest to pass the Government's motion, he said.
BITTER TASTE
This motion asks, in out as in the previous devalua- unique step forward in econo- effect, for a vote of con- tion by the exchange equalisa-mic co-operation.
The French Firiance Minister tion fund, he sald. Slight varia. timfidence in the Government's tions in a higher rate of exchange had said it was a declaration of Financial Adviser to the Chinese ceonomic policy. National
walid be less unpalatable than economie war, Mr Eccles said, Government, Käve evidence yesterday an foreign Mr Stanley said that the Op-complete stability at the rute adding that it was quite likely
posillon would, at an appro- now selected. exchange control and said that.priate moment in the three- day debate, move ant amend- dealings outside the appointed ment to the Government's mu- hanks in
were illegal.
lion on which there could be is appearing vote. d'Almada Mr with Mr D. A. L. Wright (In- structed by Mr M. A da Silva), for the Platutir, Á. V. White, of 3. College Road, Kowloon, while the defendant, F. C. Roberts, of 90, Robinson Road, is repre- sented by Mr H. G. Sheldon. KC. and Mr A. J. Clifford, in-
He said that the Opposition stucted by Sir Man-kam Lo.
MF d'Almada this morning objected to what he called the dangerous" at- asked Rogers: When diu ex-ishonest and in China first
made to show that tempt being change control begin, before the war or after the alternative to devaluation | servative) accused the Chancel-
liberation?
The
to bring the French Government down so delicate was the rela-. tion between wages and prices Mr D, N., Prill, one of the la France. ve members expelled from the The debate
then was
ad- Labour Party, säld that a rex-Journed until tomorrow when Devaluation was one
remedy, which thethe President of more tonable
the Board of expedient to be added to those Government would not look at. Trade. Mr Harold Wilson, and to a series of crisis was to trade with the USSR Mr Winston Churchill, leader of leading
cul defence the Opposition, are expected to had distinguished the nnd China and vilch
speak.-Router. Government's handling of the expenditure.
He thought that wholeśnio Country's economic affairs, Mr Stanley continued.
American Investment in the Brilish colonies would mean the United States taking over British Empire......
the
Mr Leonard Cammans (Con-
SECRET CAUCUS
London, Sept. 27-Labour; Members of Parliament were reported to have agreed today to support the Government in the devaluation crisis.
Reliable informants said that a to support in its fight taken at a frendly secret caucus this morn- He had left a very bittering. taste behind him", Mr Cammans usserted.
Was muss unemployment and lor of the Exchequer of making general agreement cuts in social services, and to an "absolute mockery of Euro-the Attlee Cabinet dale male
vut that devaluation pean co-operation" by the way for survival was would be
a safeguard against] he sunounced devaluation, either.
Witness:
exact escapes me but it was in 1940 after the end of the Pacific War NO RESTRICTIONS Mr d'Almada: Before then, of course, there was no restriction upon dealings in foreign change? How far back would you go?
ux-
FREE EXCHANGE Mr Stanley tid not "layouc free exchange.
lost
Mr David Eccles, winding up the first day's debate for
the "A Government which tus
Opposition,
Go- said that the confidence at over the vernment should have consult. Shall we take August 18, world abviously cannot afforded the Dominions and Euro- 1943, as the date of the end of to free exchange," he said.
pean countries in n joint study the Pacifle War? Between then But he wondered whether of what rule gave the best pros- and-the-first-control-being there was-not-a-half-way-house pect of earning most dollars. brought in there were no re-th
"iloating rate", come sirleilons at all? No. There freedom in the actual rate with gentlemen's agreement the maintenance of some part was a
Instead, unilateral devalua almong the banks concern of exchango control.
tion had been "fung in the face ed that they. would only Surely, to some extent, ductun- of Western Europe just when
tions in the rate could be ironed it wa prepared to take
(Continued on Page 5)
EDITORIAL
LAST
Atomic
by
week's › announcement President Truman and Mr Attlee that there had been an "atomic explosion" In Russia began a wave of speculation which has since almost monopolised the front pages of the world's newspapers.
So the
itle concrele information about explosion was contained in the announce- ment that much of what has been written since can be regarded as unnecessarily alarmist From the phrasing of the official announcement, for instance, it is nut even clear whether or not Russia does at this monient possess an atomic bomb. Some observers have suggested that the explosion may
have been an accident at some research station. That is perhaps wishful thinking, but there remains the chance that it was only the beginning of the Russians' knowledge of atomic Bission. The Russian claim to
have had the secret of the atomic bomb Kince 1947
be discounted con
裁时
propaganda, and it seems certain that Russin is still behind Britain and Amerien In her knowledge and production of atomic bombs. This is no
renson for complacency: no matter how obsolescent an atomic bomb is, it can still do terrible damage. But it need not be the cause of unnecessary alarm, Ever since the first atom bombs were dropped on Japan it has been obvious that no one nation could maintain a monopoly in their production. Russia has perhaps discovered the secret earlier than the experts' thought possible, but Allled plans must have been formulated on the
premise that the advantage of atomic knowledge would not always remain with one side. A popular argument which atomic warfare is dis- cussed is that, just na gas was not used In the last war, atomic bombs would not. be used in another. But this is a dangerous argument,” Gas is at best an unreliable weapon-especially when used In conjunction with ground forces.The
ADJOURNMENT
Bombshell
Sense
atom bomb is ruthlessly effective, and whichever side used it first in a future war would have an immense material and psychological advantage. It thus becomes more than ever necessary for the West to co-ordinato effective defence plans. President Truman's announcement might remove much of the reluctance Congress has hitherto displayed when considering aid
to Europe; it will certainly add strength to a popular American argument: that the chief factor determining - whether or not there will be a new war is the relative military strengths of Russia and the Western world. A more encouraging result of the announcement is the effect it seems to have had on the United Nations' General Assembly. Correspondents have reported that there is n new atmosphere at Flushing Meadows, a growing
of the Importance of international agreement. Russia's possession of the atomic bomb could have two possible results in the. United Nations: it might remove the fear which has been sometimes said to explain her intransigence or It might increase her confidence and her willingness to risk a show-down with the West. Russia has hitherto opposed American proposals for. international control of the atom bomb. It is just possible that she adopted this attitude because she did not have the atom bomb, and did not wish to give up her chances of making it. Now that sho has the secret, she will be all the more aware of the terrible polentialities of atomic weapons. The greatest hope for the world is that this knowledge will 'cause her to think, again about the valuo of International control. This possibility may seem, remote, but It must be vigorously explored in the United Nations. Russia's possession of the atom bomb may, paradoxically, provide the Impelus, for peace in the world.
11
the
"There wer? no fireworks,” the Informants said.
This suggested that left wing legislators had changed their minds
about attacking Government's policy.
Labour MPS met in caucus Just before Parilament was due to convene at 1.30p.m.) GMT. to debute n. motion on which the Attlee Cabinet will stand or fall.
The report of a qulet cau- cus thus indicated
that
Mr Attlee has ensured Labour's survival without
an enforced early general election.
LIBERAL STAND
The small Liberat Party holding 10 of the 840 Commons sents, announced today that it against the Govern-
will vate ment.
"Liberals think devaluution was an inevitable result of the Government's policy, but that it itself will not solve the economic problem," д Party statement said.
in
"Liberals think Government expenditure must come down and that the whole system of income tax should be reviewed with the object of increasing Incentive and greater enter- prise."
Price 20 Cents
Tal: 27880
THOROUGHLY ABSORBED FORMAL CHARGES
What are these interested youngsters studying? The answer is provided in the lower picture. It shows a 6 ft 2 ins model luxury yacht, electrically powered and controlled, which Commander Basil W. H. Youlten, a veteran of the 1914-1918 war, is planning to sall across the English Channel Ho will steer the model by radio from a launch three miles away. (London Express Service).
America Backing Yugoslavia For
U.N. Council Seat
Lake Success, Sopt. 27.-The United States has decided to support Yugoslavia as a candidate for a seat on the Security Council in opposition to Czechoslovakia, sponsored by the Soviet Union, an authoritative American delegation source disclosed today.
Buyer Sought
The source said that the United States delegation were much impressed by the speech made before the
FILED BY CHINA TO U.N. ASSEMBLY
Lake Success, Sept. 27. Nationalist China raade a formal complaint to the United Nations General Assembly today, charging that Russia is backing the Chinese Communist war to overthrow the Kuomintang government in Canton.
The charges were made by the chief Chinese delegate, Dr T. F. Talang, who asked urgent, Assembly action against the Chinese Communists.
Dr Tsiang presented the case in two letters, one addressed to the Assembly President, General Carlos P.. Romulo, outspoken foo of Communism, and the other to the Secretary General, Mr Trygve Lie.
the
French Cabinet Crisis
1
Dr Talang charged the Soviet Union with threaten- ing the independence and territory of China and the peace of the whole Orlent.
Ho called for a moral judg- ment by the United Nations Assembly against the Russians. He also charged that Russin violated the 1945 treaty of friendship and alliance with the Kuomintang Government.
The 1-nation Steering Com- mittee meets this afternoon. A Paris, Sept. 27.-Organis-battle between Dr Talang and ed labour's revolt against the Soviet Foreign Minister, Mr Government's wage-Andrel Y. Vyshinsky, is assured threatened freezing policy tonight at that time. The Commitee must recommend whether or Dr Henri not the Assembly should take Queuille's Cabinet with the up the case. gravest crisia of its year-old Most malor delegations show- ed no signs of openly sup- Cabinet Ministers late tonight porting the Nationalist Govern- resumed an earlier three-bourment. Many had hoped
esting to break the deadlocks would not come up. Now between
that it has, none would predict Ministers favouring higher wages and those favour the result. The only thing they
"resistance Ing
to inflationary for a long and tough fight.
would Is that they
вау pressure". advocated in Paris Today
career.
.
From the Soviet bloc
slightly
by the Marshall Ald Ambassador. Mr Averell Harri-little
17.
tho
Bre in
come scornful
smiles
but comment. Mr Vladimir Clementis, Foreign Minister of
Falling agreement, the French Czechoslovakia, Jaughed and Cabluct may resign tomorrow,
The President of the Ro-
told a reporter:
public, M. Vincent Auriol, reWhite Paper,
turned froITE his country
zidence tonight and whil
Ministers tomorrow.
pre-
"Let everyone read the U.S. Then they will find out about China."
Dr Telang told a press con- sitle at the weekly Council of ference that his Government It is believed in Parliamen-wanted the Assembly to take
up the case tary circles that if the Ministers fused to say how he would-
case quickly. Ho re- fall to agree tonight the Pre-prosecute his charges. He would cident of the Republic will endeavour to find a compromise Assembly to do. He did say not say what he wanted the
tomorrow.
MONETARY WAR The Finance, Minister, Maurice
Pelsche. lokd French Cabinet today Sterling devaluation declaration
WOR
the moral and political judg- ment of the world is the most M. important factor of the moment the in bottling the question of tho that Far East."
the He said he felt the judgment "genuine of the Assembly would carry
more weight among nations.-Associated Press,
usually reliable source stated. monetary war" by Britain, s
M. Petsche, opposed to a wago bonus, laid speelal stress on the rivalry France would have to Luce
world from Britain in markets as a result of devalun-
tion, it was understood.
the
TWICE TRIED Supported TO COMMIT
M Daniel Mayer, Socialist Minister of Labour, the demand, backed by all the mal trade union bedles (Com- for an immediate bonus of 3,600 to 5,000 francs-Router.
For Precious Assembly yesterday by Mr munist, Socialist and Christian)
Tea Service
on the
Grenade Kills Guardsmen
Singapore, Sept. 27-An om
and a private of the Scots Guards were killed
SUICIDE
Quebec City, Sept. 27- Mrs Marguerite Pitre, 41,
who admitted placing
time-bomb aboard a Cana- dian airliner that killed her lover's unwanted wife and 22 other persons, was today charged with attempted sul- cide..
Mrz Pitre, who said she did
sho
Edward Kardelj, the Yugo slay Foreign Minister:
There was also a feeling that,} given the alternative of these Iwo Communist states, Yugo- INCREASED TAX
London, Sept. 27. The lavla would be more likely to
independently London, Sept. 27.The in- British Government is trynet creased profits lax onnounced ing"to find a buyer for the Security Council than Czecho- today by the Chancellor of the gold
slovakin. cups,
and saucers Exchequer, Sir Stafford Cripps, can be levied only on companies spoons, worth more than was stated, would not cum- The United States delegation, whose head offices are in Britain, £3,000, which were con-paign on Yugoslavia's behalf or cer, a sergeant
It may thus be an inducement fiscated following to investors to put their money day's prosecution of Dak- yet decided whether or not
yester sollell votes.
The British delegation has not when a grenade was thrown at not know the parcel contained In such things ns South African
Ranjau... Banerjee, support, Yugoslavia.
to them by n survivor of a gang mines, Immune from British shing
which
n bornb when she delivered it they had Euccessfully [4. budgets.
former general manager of
ambushed. SUPPORT FOR INDIA
to the plane, was released from The
will new tax
affeer
the Taj Mahal Hotel, Boni-
place at hospital, where she had been The Incident look It was also learned authorita- dividends on American
held capitol
under bay.
guard sinco invested in British companies
tvcly that the United States will Kuola Kubu, 20 miles north of mitted to the pollco that she Lumpur last support India as a candidate for equally with any other capital.
afternoon.
been the unwitting tool of Fined £300 or three months' the Security Council in place of London financial quarters feol that his could hardly fail to be imprisonment
The Guardsmen, who had her lover. for fraudulently Canada, whose term is due to
waited in hiding ent this year.
Web Immediately Ar+ by a known rented and charged with twice additional
to attempting to avold export res deterrent apantional
bandit American
camp, opend fire when capital Investment, trletions, Bannerjee Indicated
The election of three
new bandils approached
and killed trying to commit suicide, once Already in Britain it faces many that he would pay the fluc. members of the Council
will three of a ganz.
by gas in her apartment and a deterrents which it does not £240, a cup
Six teacups and saucers, al take pinee in the General As-
While the bodies six sembly probably not before the collected another bandli threw lablets.
Line with were being second and saucer,
sleeping experience at home.
coffee cups and saucers; a dozen end of this week. It is cenera grenade, killing all three overseas shares are among those pastry forks, teaspoons, coffee ally felt that India will easily
Gardemen-Reuter. which benefited mest directly 18 carat gold, were taken from majority for election.
spoons and other articles, all In obtain the necessary two-thirds from devaluation, they may now the Court to the King's Ware- benefit doubly.
The Indian delegation Sir
house in the City of London and pressed Stafford's announcement locked up.
the gratification at nows.
Middle East delegations said Bannerjee, who had been that with the possible exception: to, a maximum fine of of Syria, the Middle East group
India. These · delegallons -sald
a.n
Sinco
mining
+
and
similar
means that in future the tax collector will take 128 3d (US$1,72) of every Pound pro-liable
22
CX-
Kunla
Sunday
hod
Sho
lew awhile, J. Albert Guay, 91,
salesman
who police sald
had a lova nest in every town along his route, went to saurt for the completion of the
"Bulldog" Ends formal fling of a murder charge
Draw
In
a new test
accusing him of killing his wife Rits-United Press
COMMUNIST HỌ
··· DISCOVERED
at paid out in dividends instead £10,000 or two years' imprison of seven vetes would be cast for a Bulldog of 11. Dd., leaving the share ment, was released
"Exercise Bulldog." holder
now only 7s. 8d..
London newspapers comment that India: might expect to get of modem air. defences, ended The profits tax itself goes uped that part of "the finest gold more than 40 votes out of the today in a draw five
percent,
but the effective in and, dinner service over 59 members of the General of the tactics which the atlack- There is no doubt that some increase is less than a suling in made in Britain" was threatened Assembly. Reuter.
Rangoon, Sept. 27.-A secret ing forces adopted proved suc-Cominunist headquarters, plan- the Found because profits tax is with the melting pot "unless a lavied on what la loft after pay-way is found to get them to the
cessful," senior BAF -omeer
ning to participate in uprisings ment of 45 percent income tax.man who ordered them--an. In-
sald. "Some attacks got away at key Beirut, Sept 27-The former with it and some did not."
paints in the city to Total lax on profils ploughed alan Maharajah.
President of the Lebanon, back Into business Instead of
overthrow Thakin Nu'r govern- Ont definite result, he said, ment, has been discovered by At the Customs and Exclas Emile Edda, died of a heart was the perfect co-operation the police, it was deially, saich being paid out in dividends re Department, however, Router attack tokley at the immer between planes and ground staffs hore today. Three mon i moins at just over 50 per cent was informed that an attempt resort of Sowtar. Ha was aged of:
have five nailona.--Associated con Press,
brrested, Assorinted
Reuter,
(Continued on Pare 6) 85-United Press.