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arily in regard to labour so as to avoid immediate trouble. This is undoubtedly a concession to labour, but it is only a temporary one. Another reason why Li Chai-sum did not fight Chang Fat-fui was that he did not wish to have his own strength diminished for fighting the Reds who again are putting up their heads.

As regards General Li's intention to disband the Hong Kong strikers on the 10th October, the labour guilds petitioned him for an extension of two months, and he granted their request; but in any case the disbandment will take place, and he hopes that it will be in December next. It is a matter of regret to him not to have carried out ir this intention on the date he

gave to His Excellency the Governor of Hong Kong, but the changed circumstance was somewhat too strong for him.

ir. Fung Tsuk-man secretly went to Shiuhing a few days ago to arrange for the disposition of the troops in order to pre- vent the return of Wong Ching-wei, should he attempt to come back. Before his departure from Canton, Fung gave out that he was paying a visit to Ting Wu Mountain which is near Shiuhing, for rest. Then asked by me why he did not leave when he was ousted from the Finance Bureau and the Agriculture and Labour Bureau, Fung said that he would not leave as long as Li Chai-

sum was in Canton.

Fung was not actually driven out of the Finance Bureau. General Wong Ki-cheung, who was his subordinate some years ago, went to him and suggested that someone under Chang should have charge of finance. As he did not wish to hand over to a nominee of Chang, he recommended that Chau Kan-

cho, who is more or less a neutral, should succeed him. Chau happened to be acceptable to Chang Fat-fui because he recently gave Chang $100,000. Fung still retains the post of chief of

staff to Li Chai-sum.

Chang Fat-fui is in Hong Kong now. He was greatly dis- appointed over the defeat of 1p Ting and lio Lung, and never expected such an easy walk-over by Wong Shiu-hung. He did not

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