1940-05-06 — Page 1

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OLDEST NEWSPAPER IN THE FAR EAST. ESTABLISHED 1845

No. 310,22

MONDAY, MAY 6, 1940

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BUTTER

Allied Fleet Movements Held "Provocative"

ITALY

BEING LED

INTO NAZI CAMP?

SHANGHAI DOLLAR APPREHENSION

(SPECIAL TO "CHINA MAIL")

Shanghai, To-day. Uneasiness continues to pre- vall in local financial circles over the fate of the Chinese dollar.

Main factor causing apprchen- sion is heavy withdrawals from native banks.

Alarming rumours are circulat- ing constantly, and many busi- ness man expect the Chinese Gov- ernment to impose new stringent restrictions on the withdrawal of funds from native banks,

These rumours explain the heavy withdrawals which took place on Saturday-Havas.

SITUATION BECOMING CLEARER

(SPECIAL TO "CHINA MAIL")

(SPECIAL TO "CHINA MAIL ")

Paris, To-day.

TURKISH

THE ALLIED FLEET MOVEMENTS in the Mediter- TROOPS

ranean are provocative and mysterious, says

".

Signor Gayda in the “Giornale d'Italia.” ON BULGAR

If the Allied naval forces are there to take an offen-

sive in order to recover from the Norwegian FRONTIER

check, he says, this will come against a rapid and energetic Italian repulse. Italy is ready to re- pulse aggression from whatever quarter it comes.

Commenting on Signor Gayda's statement, semi-official quarters in Paris say that there is nothing "my- sterious" about the Allied naval move-

ments, in view of the well-publicised German efforts to drag Italy into the war and in view of the recent declara- tions by responsible. Italian statesmen. It is simply a precautionary measure. -Havas.

Too Late To Try And Reach Understanding

(SPECIAL TO "CHINA MAIL")

Rome, To-day.

An odd comment, in view of the spirit of the Italian press generally, appears in "Giornale d'Italia.'

"The Allies," its says, "have suffer- ed a severe defeat in Norway, but their troops fought heroically against su- perior forces and effected a masterly and speedy withdrawal without suf- fering substantial losses."

Meanwhile, very violent attacks on the Allies appear in other Italian journals.

London, To-day. Recent events in Norway have been taken here and in Paris with much more pes- simism than the circum stances warranted and the retreat from temporary southern Norway will not try and reach an understanding have major consequences, Italy as Italy's stake in the present political circles declare, as the conflict involves not only, her Inter- situation gradually becomes for her word. She la pledged to Ger clearer.

Certain observers had feared that neutral countries might be "induced to change radically their policy, but. the reactions received from abroad over the week-end clearly demon- strate that the neutrals understand that the Allied retreat in the face of better equipped and more numerous forces was the only logical decision, and the temporary setback does not alter the Allied determination to sup- port Norway throughout the war, just as they supported-Belgium in the last war

The visit to London of Dr. Koht, gian Foreign Minister, de- ĕt that Norwegians them- and Al-

loudy.

ation will be

Havas.

་:

"Regime Fascista," for instance de- clares It is too late for the Allies

to

with

ests But also her honour and respect

many,Havaa.

Significant Visit (SPECIAL to "CHINA, MAIL") Rome To-day! Commenting on the visit of Prince Umberto to the Pope, observers here believe that conversation which will take place will have an Important bearing on the Italion attitude.

Mussolini," although again assert. Ing Italjan, tics with the Reloh, does not wish to..compromiss Italy's gopd relations wh the United States and Germany is progs- more-definite at-

the Ing

the beginning of the Mutolidi þelieved would not last and Italy would of simbire between

In this poli

"Ini could

At present;

oderation: Musso-

Italy'la tak·

ing more and more a stand which is leading her into the German camp. It is believed, that Pope will point out to Prince Umberto that Germany is allied with Russia and has constantly taken a stand against Roman Catholi- cism, which is the main strength of the Italian people.........

The Pope is also expected to em- phasise that the Catholic world, com- bined with the United States, favours a resumption of the policy Mussolini adopted at the beginning of the war- that is an attitude which would allow him to seize upon peace possibilities when such appear.--Havas.

Athens Report On Dodecanese Discounted (SPECIAL TO “CHINA MAIL"

Istanbul, To-day." There is no truth in reports that 50,-

(Continued on Page 20.).

[SPECIAL TO “CHINA MAIL"]

Paris, To-day Reports showing the great tension prevailing throughout the Balkans are reaching here from every Balkan capital.

New control measures have been taken in Rumania; while navigation on the Danube is prohibited at night, the has been harbour of Constanza closed to foreigners."-

Vessels entering Rumanian ports will be compelled to give a complete account of the reason for entering Rumanian waters and full" details of the crew, cargo and final destination.

'Meanwhile alarm is felt in Sofia in connexion with rumours of strong concentrations of Turkish troops in European Turkey directly opposite the Bulgarian border. Bulgaria's attitude on Norway justi- fles Turkey's precautionary measures. officials declare, while certain poli- tical circles, think Turkey is probably. acting on Britain's instigation. Havas.

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