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Ningpo.

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The most noteworthy event of the quarter was the unexpected resignation of the Civil Governor of the province, Ch'i Yao-shen, in the middle of June, following impeachment in the Provincial Assembly. A difference of opinion between Ch'i and the Military Governor, Lu Yung-hsiang, as to the appointment of the provincial treasurer seems to have been the direct cause of the former's resignation, which has Meanwhile a party has come forward resulted in a number of officials following suit.

to urge Peking to appoint Lu Yung-hsiang concurrently Civil Governor; in view of Lu's already powerful position, however, it is hardly likely that, the Central Government will give him the two posts.

Thanks to the activities of the Students' Association the Japanese boycott is stil! enforced, and occasional raids are made on shops suspected of selling Japanese goods.

It is hoped to continue the construction of the Shanghai-Hangchow-Niugpo Railway. Two engineering difficulties have to be overcome, namely, the bridging of the Chien Tang and the Tsao Ngo rivers. As regards the former, a ferry service will be instituted to connect the two lines, while the bridging of the Tsao Ngo is held up for lack of material, of which the large quantities stored for the purpose at Tsingtao were used during the war,

Chunkiang.

On four occasions during the quarter public warnings were issued against the activities of "extremists," who, to quote a police circular, had been secretly hatching plots to subvert the Government." That painphlets of extremist origin were circulated amongst the students of the district there can be no doubt; but as the cause of the nurest seems to be rather a sense of the instability of the Central Government than the hostility of labour to the ruling classes, it is difficult to believe that the movement is more than an effort, failing an appeal to the electorate, to turn the Government out of office.

The anniversary of Japan's twenty-one demands (9th May) was commemorated by the boys and girls of the various schools, who paraded the city, carrying flags with "Down with the patriotic and in some cases aggressive inscriptions, as for instance, dwarf devils!" and Servile traitors are below the level of horses and dogs." Pamphlets, describing the unprepared condition of the country in the face of Japanese aggression were distributed in the streets.

As a result of the appointment of Hsiung Kai-hsien as head of police, the force has been reorganised, and considerably reduced. The old uniforms were withdrawn and new ones issued, and 120 men were dismissed from the service as physically unfit. Furthermore, the pay of all ranks has been increased as from the 1st May last, the expenses being met by a loan of 4,000 dollars from the Bank of Communications.

Semi-military organisations such as boy scouts are developing in the Chinese schools, where physical drill and gymnastics receive official encouragement. One school possesses a corps of eighty boys from 8 to 17 years of age, whose drill and general appearance are creditable.

Tengyueh.

In the preceding summary a brief account was given of the unrest on the Burma frontier, which culminated at the beginning of March in the attack on a detachment of Since that outbreak there has British military police in the northern Shan States.

Only one been no further attack reported, and all is now quiet on the frontier. of the ringleaders, however, was taken, namely, Tsai Hsueh-Ch'ang, whose capture, it noted, took place on the Burma side of the frontier.

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On the Chinese side there is no system of military police, and there will be none until the frontier posts are manned by adequate garrisons in accordance with the Manai Agreement. This is a reform which the Yunnan Government might be expected to undertake.

On the 10th June a proclamation was posted outside the south gate of Tengyueh announcing the abolition of the Tuchunship, and the assumption by the self-deposed Tuchun, Tang Chi-yao, of the supreme command over all troops in his province. The proclamation summarises in brief the story of misgovernment since the revolution of 1911. Tangis most careful to emphasise the unselfish part that he has played, through- out the war of North and South, and particularly in the Peace Conference at Shanghai, which might have been brought to a successful issue, declares the Tuchun, had his aspirations been carried into effect.

Everywhere there is unrest, which may any time break out into civil war; the In the abolition of the country must be saved at once if she is to be saved at all. Tuchunship, which, in Tang Chi-yao's opinion, is the primary source of all the trouble, lies China's salvation. Yunnan, sets the example, and calls upon the other provinces to (follow suit. Beyond a certain amount of speculation among the merchants the posting

of the proclamation produced little effect in Tengyueh.

In spite of the urgent representations made by His Majesty's consul to the Taoyin, nothing has been done to put a stop to the cultivation of opium in this district, with the result that a record harvest has been reaped, and raw opium is now selling at

year before. 30 cents per ounce as against 1 dol. 50 c. last year and 3 dollars the

The attitude of the Taoyin in this matter, as in that of the frontier trouble, appears to be most reprehensible. He is quite content to issue orders and proclamations, which are treated by local officials as so much waste paper. Though aware of the opium-dealing activities of several merchants, he is neither able nor disposed to take proceedings against them. There is little hope of the evil being checked so long as this man with his shiftings, his promises and his assurances remains in office; meanwhile, the opium trade grows steadily on the main road between Tengyueh and the frontier.

Yumman-fu.

The South-Western Confederacy has been considerably weakened, if it has not come to an end, during the quarter. This is an immediate consequence of the activity of the Cheng Hsueh Hui, of which all the chief men of the Kwangsi Party were members. Attempts have been made to embroil Yunnan and Kwangsi, but always without success. Marshal Tang Chi-yao, Tuchun of Yunnan and leader of the South- West Confederacy, broke finally with Li Ken-yuan, one of the Yuunanese commanders, over these intrigues of the Cheng Hsueh Hui, and this split marks the beginning of a more definite policy on Tang's part.

On the 1st June the latter promulgated his decision to abolish the Tuchunship. His proclamation (summarised in the report on Tengyueh) gives no true indication of the feelings which actuated him in this step, which was in effect the second move in a project to seize Szechuan, or, at any rate, the financial resources of that province. Marshal Tang's first move had been to secure in April his election as Commander-in-chief of the united armies of Yunnan, Szechuan and Kweichow, with Liu Hsien-Shih as Vice-Commander-in-chief. The war with Szechuan, which broke out in May, has strengthened Tang's position still further. Although at the end of June Tuchun Hsiung Ko-wu was fighting hard, his ultimate defeat seems certain unless he can obtain assistance, for the Yunnanese are more than a match for their luxury-loving neighbours.

When Hsiung Tuchun has been overthrown, the Tuchunship in Szechuan will be abolished, and according to the Yunnan plan, the provincials are to be allowed to select their own Governor. Liu Hsien-shih of Kweichow abolished the Tuchunship on the 21st June. The day is perhaps not far distant when Marshal Tang Chi-yao will have brought the three provinces under his sway.

Since the break up of the Canton Military Government, General Li Lieh-Chun, Chief of Staff, has arrived in Yuunan, bringing with him twenty-seven senators and representatives.

Yang Tieu-Fu, the brigand chief, is still at large, although in May he might have been taken had a determined effort been made, for his fortunes at that time were at a low ehb. He is now us strong as ever, and commands a following of2,000 min, all well equipped.

Early in July a couple of villages in the Yunnan-fu plain, some 8 miles north of the town, were attacked by robber bands. This is the first time that they have ventured so close to the capital.

There seems to have been a considerable amount of internal discord amongst the forces of the South-West Confederacy in the Shih-nan region; telegrams have appeared Marshal San Tien-wei was in the local press referring to the murders of officers. appointed in April to the post of General Officer Commanding the 1st Hupeh Army in the place of General Po Wen-wei, whose period in office is considered to have been a failure.

Chungking.

Throughout the quarter interest has centred in the political and military struggle between the Szechuanese and Yuunanese factious. Yu Chi-t'ang, military commissioner

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