1948-10-05 — Page 1

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RUSSIA TRIES TO

Lifting Of Blockade Seen As Unlikely

[]

Derlin, October 4.

Informed sources here belleve Rusula will not lift the blockade of Gerlin in exchange for a new Big Four Foreign Ministers' meeting.

Official circles paid. Rumla's bid for a new Foreign Ministers' meeting on Darlin was timed and worded to weaken the case of the Western powers before the United Nationa

It was suggested that the Russian proposal for submitting the German problems tu the Ministers may have been Intend- ed to complicate the procedures of the Western Powers in the United Nations.

One source said "If the Bertin crisis la taken out of the hands of the United Nations for discussion by the Foraign Ministers and no agreement reached it would conɛiderably com- plicate the problem of again placing the fave before the United Nations."

The texts of the Boviet's latest note requesting a meeting wore received early today at the officers of the thres Western Military Governors.

They refused to comment.--United Press.

Business Slump Feared In US

Washington, October 3.

There may be heavy business failures in the United States if inflation ends and pricos stand still or decline for "a few months,” said Mr. Maple T. Harl, chairman of the Federal Deposit In- surance Corporation, today.

Mr. Harl asked American banks to reduce credit to firms which ore surviving only on the strength of inflation.

Denial On US-Spanish Agreement

Madrid, October 3

ESTABLISHED FOR MORE THAN 100 YEARS

HONG KONG, TUESDAY, OCTOBER 5, 1948.

Price: 20 Cents.

HEAD OFF DEBATE Plot Bared

Suggests Berlin Issue Be Referred To Big-4

DELAY TACTICS SEEN

Paris, October 4.

Russia tried to head off the debate on the Berlin blockade in the United Nations Security Council today by demanding that the three Western powers send the whole Gorman issue back to the Big Four Council of Foreign Ministers.

The Russian proposal was contained in an answer to the Western powers' note of September 26 informing the Soviet Government that they were breaking off negotiations on Berlin and taking the issue to the Security Council.

The Soviet answar broadcast was beamed by Moscow only a fow hours

before the Security Council was to convene at 3 p.m.

Authoritative sources

ון

But there in

peeled Ever rince

said

needed to insure the Soviet zone ¡queakton of Berlin and all Ger- against economic damage as a re- many in accordance with the sult of the 'eurrency reform by Potsdam four-power agreement. the Western powta in their zones of Germany.

Germany.

or of

UN Security Council Meets

Russian Demand

In Korea

Seoul, October 4.

A plot to overthrow the Infant Korcan Republic - was disclosed today. Scout Police Chief 'Kim Tai Sun sold 20 persons have been arrested.

Chai Neung Jin, former chief of detectives for the. national police under the American Military Gov ernment in South Korea, was among those arrested.

Home Minister T. Y. Yoon said An unnamed anti-administration group

the of

--not Communist-plan- ned to tako over Redgling Government President Syngman Rhoe by force after the United Nations General Assembly had considered the Korean Inter question, possibly this -month. Associated Prose.

Sokolovsky Accused Of Distorting

British

ta-

All Kinds of Portable

TYPEWRITERS

AT REASONABLE PRIČE.

HONG KONG TYPEWRITER EXCHANGE

9. D'Aguilar

Tel. 21433

Soong Stresses Progress Made In Kwangtung

Canton, October 4. Governor T. V. Soong said in a radio address lost night that progress has been achieved toward crushing the Communist bandits, that flood and famine had been avorted and that pro- vincial production in cemont, sugar and textiles had boon boosted.

!

.

It was a round up of Dr. Soong's first year as ad-'

ministrator of Kwangtung province.

the magistracies, has been {"erental problem in Cantan. Dür-

the past year, many magis- rates have been replaced by now, more energstio,men, and I, for ne, believe the general quality of im- the magistrate is steadily saving

Here Is summary of the broad- cast:

"When I arrived here a year ngo. Kwangting was in the grip of deep disquiet, Among the many causes of unrest and worry on the art of the people of Kwangtung, he, following were probably the most important, and they poseri The fundamental basis for im- Tutations which required improvement lies, however, in the med late answers:

Institution of a civil service sys-

candidates have been taken into the government under civil ser- vice protection,

"1. During the summer prior to tem. To that end, last summer my arrival in Kwangtung, unpre-we held on examination for col

edented,

disastrous floods had tege graduates. The breached numerous dykes CAN"

ng great damage to the harvest. So the first question was, will the lykes be repaired in time to This examination will be held early, and new blood will be Drevent a recurrence in 18487

+ Kwangtung,

& normally

introduced and gradually the old food scarce arch, experienced system of patronage will go the Rovere hardships in the spring of way of all outmoded and inem- 1048 and 1947. The flood disaster sient systems.

Reorganisation

economic

the three Western Allies will agree at once to a Big Four Council of Foreign Ministers' meeting suggested by the

Busala sart the Western cur- Soviet Union if the Russians will lift the blockade of Berty reform was but

many far-reaching measures taken by the Western powers inent version of the breakdown of The Russian note gave a differ- no question of establishing a separate West Deriin negotiations then that

of 1947 further cut down produc- postponing or withdrawing the German state in violation of the

American Security Council case until and if Potsdam agreement for n unifled given by the

tion. Thereby arose the question; White

"Economic reconstruction and Paper.

Will there be a famine in 10487 American The

inflation are currency

almost without the blockade is lifted

report

In alleged that Marshal qualification, and the Russians

Vassily

Owing to severe fighting Berlin, October 3.

mutually contradictory. Neverthe Sokolovsky acknowledge

repudiated the

North China with official circles

Communist the rights of the

Western West to remain in Berlin.

successfully reorganised and im- agreement Generalissimo

with night accused Marshal Sokolov-1rmles National troops and cost less, In spite of tndation, we have Stalin The Western powers have LX-

and

gradually withdrawn until the proved the Kwangtung Industrial blocky, Soviet Military Governor veteran 60th Division was left. Corporation with its coment, tex- Berlin the Berlin

fused to lift,

the

that division be

with-tile, sugar and other mill, until situation besame critical that the

kade, demanding instead addi-of distorting the truth in his Would Russians would call for a new

tional controls over Western oir press conference statement last drawn? If so, will the provincial they are on a sound

basis Counell of Foreign Ministers

trafe to Berlin. It cald that Pre-night, blaming the Western troops be able to handle the al- was the

mler Stalln agreed to four-power Military Governors for the ready-mounting Communist in-he development of Whampao the pet Mr. Harl's remarks cane as meeting, but the note Best formal word on it.

control over the Soviet mark if breakdown of the Berlin crisis pired brigand uprisings?

as a port was one of Use Commerce Department - A, Western spokesman kald:

"And so, we set about to ans- projects of Dr. Bun Yat-sen. The estabilahed as the sole currency talks.

wer these questions. ported public and private debt "We have always been willing to

end of the war left us with only for Berlin, in the US reached a new re-

The fluestan talk regarding the future of Ger-

reply made a

onc Commenting on the Marshal's

whart in Whampao. All cord of US$410,000,000,000 at many." and added that the West

fine distinction on this point, relieration of the accusation that "With loans and contributions other facilities were destroyed. The Russian nola and it was the Western. Powers aimed at dia, and American the start of

was never willing, and is not now

ald, GY0,000,000 We are now building godown and this year. This represented a US$17,000,000,- willing, to talk while the Berlin

agreed a four power financial ruption of normal life in the worth of rice was expended in other facilities.ne. fast, armour-re lockade exists. 900 increase in a year.

commission should be set up to Soviet Zone. British quarters work relief, and many dykes were sources allow"-Associated Press. ensure control over penetian pointed out that the Ruslans repaired, and strengthened. Dit fulfilment of financial measures thunilghout had refused to treating the high water 'season this connected with the Introduction Dermany as an economie whole ear, we were thus spared from and clroulation of # single our. as agreed at Potsdam. rency in Berlin. id the West-Reparations taken from

The rallon's banks had loan for me. at more than

J

US$40,000,000,000 No More Talking'

the winet of September, ́ ́ ́an-" Spanish papers today stronn-oiltor record. Mr. Hari's message

ly denied that uny military or to bankers wald: diplomatic agreement or ALF

which

મ

The spokesman added: "Our "Now is the time to complete atitude to the new Russian pro- the

of doubtful risks. posal most certainly would be- writing off rangement had been reached at Without disturbing efficiently no more talking until the bloc- last Thursday's meeting be-managed enterprise, it should be teade is unconditionally lifted."

Francuso possible to rediter tween General

the lino

High American sources sald Franeo and Senator Chua Gur-Fcredit extended to firms

"our" position ney, Chairman of the Senate have been surviving only on the that we would never turn down always has beer Armed Services Committer strength of Inflation.

Long time experience of United CFM meeting on Germany-f and members of the American

We forces.

States business shows no period the blockade were lifted.

milar to the present in which won't negotiate under duress and until now the Soviets have never credit loses and inventory losses formally asked for a new Coun have been so low.

cil meeting. The continued rise of the value of inventories has concealed the weakness of many fans, Be- of this undi closed tun- #ton 11

is possible that exception. paper, Yo, referred to the

ally large numbers of failures uggerated excl'ement which the news produerch" and declarest may occur after a few months' of "No agreement concerning military stallonary or declining prices."- base lu, the Spanish pentasila Associated Press,

The Spanish pres In general, complamed of the interpretationy alven in the yin; du "unine tors abroad",

B

i

The Maritt Catholie Bits. cauze

was discussed at all."

објежа

The paper added that the fact that the visitors "Hieure, ainor (2)

Labour Calls

those who favour a goed unde For Strike

atanding with Spam would not justly the assumption that the Visit was of an important militar.

or diplomatic nature.

"Let it be clearly

understood

that nothing-ubmlutely nothing

has been agreed or even

ranged," The Falangiel

}}

In Rome

The Western Powere expect

a

Paris, October 4. The United Nations Security Council convened today to debatu Western charges that Ausula is threatening world prace by her blockade of Berlin

U.S. delegate, Mr. Warren Austin, gavelled the meeting to order at 3,11. p.m. as Chairs men for October.

The Western Power Bri tain, France and the United Btates-pressed the charges before the Counc!) In spite of a fast minute Bovlat effort to transfer the, dispute to the Big Four Council of Foreign Ministers.

The great hall in the bare. ment of the Palais de Chalilot was packed with the biggest Growd ever to attend a meeti Ing of the Becurity Council, -Associated Press.

The Russian

nole

make

Loan Help

flood disasters.

thecously, the provincial

Investigation Of Air Crash

bought rice from ern power tried to twist this Eastern Zone had been estimated Kwangel, Human and Siam. With

Soviet these Fico purchuses

together agreement to include four-power at £1,750,000,000, and

Oslo, October .3: control over currency creation propaganda looked Like __an, at- with American old and Ministry

An official investigation com- in the Soviet 2900

the Western of Food grants, the and thereby tompt to

threatened

was mission was today at the scene impose their control

the Powers the scapegoat for the con- tamine in the late spring Over entire economic lite of the Soviet sequent deterioration of Eastern averted- and a successful ration-of yesterday's flying boat dis- zone to which the representatives Zone conditions.

ing system inaugurated in Canton aster in Trondheim flord. of the Soviet Union could not

High seas prevented the raising Swalow. agrec,

"New provincial troops were of the aircraft, which is lying at a The note confirmed that

recruited

and equipmert pur-depth of about 60 feet, and the Russian commander in Berlin de- It was pointed out that Mur-chased, until as of today the search for bodica has so far been manded control over Westem air- İshal Sokolovsky's accounting of strength of urovincial forces nas unsuccessful. ilft which, it said, was only neces-events leading up to the blockade trebled over the strength of ne

the

und

Fact Omitted.

·

All nineteen v'c'lms of the dik to prevent blackmarket omitted the fact that the Western var ago. The withdrawal of the star were Norwegians, It was money deals between the Western Allies did not introduce Western fath Division In the summer learned here. zones and the Soviet zone.

was

force a delay if that is what is Vermany and not subject, to sub-powers, through their demand for tho Berlin discussions were ended the magistracies, and funds and hy a gu't of wind'on landing, Hu

The rate added: "The problemsary a change in Soviet tactics at of the Berlin situation is closely the Security Counell meeting connected with that of Germany

marks into their sector until the found provincial troops ready to The aircraft-n Norwegian Sy. today. They believe the Sovietas n whole, with dismemberment It added: "The negotiations tell Soviet authorities had already in- All the gap. Although as of this ing boat of the Sandringham type may ask for a delay in putting of Germany aid with the crea through despite the insignificance tendaced Eastern marks and had date, we have not been entirely was carrying 33 passengers and the Berlin question ́formally of lion of a separate Government of of the remaining disagreements refused a four-power agreement, successful in urushing Communista crew of eight on a regaine fight the agende urt the Western West Germany. It is a subject, in nasmuch as the Governments of British quarters also maintained bandits, in general, substantial from Oslo to northern Norway. Powers heye

with Article 107 of the United States. chance to accordance

Bertrand Russell, the 76-years the United Nations Charter, to be France

Britain and that the first stages of the block-progress has been achieved. examine the wote.

reffisant to full

"Under the protection of pro-akt the ade were imposed long before

British philosopher, The note was well timed to settled by the Governments rea- (Moscow) directive."

vincial

troope, it is now possible among those who escape

escaped after reform was Introduced. ponsible for the occupation of It alleged

currency that the Western

British oficials sald that when to reorganize the local militia In the machine had been o mission to the Security Council.nvoice in how much currency the

arms are being given to streng- swam for some time in the lev was apparent The Russian note ended by Russians would print, were trying in September, It demanding that the Foreign to put in a lost analysis to dig that no agreement would be pos- then them in their great task water before a bon picked his "I la well known that enrrun-1 The aircraft sank in about two Ministers Council be called into lodge the USSR from the Soviet sible on Berlin unless the Soviet of clearing the Real banditey.

It plain to session consider both the zone of Germany United Press. Marshal Sokolovsky that

Government made-

there en ameng officials, especially in minutes-Reuter, were to be no restrictions on air

the

pro- communications, that posed four-power Finance Com- mitice must control the Berlin activides of the German Bank of

and Issue of the Soviet Zone,

day

wished. The hem texts started arriving at the Western delega tion's headquarters before mid-

The French

reaction was the kame--the Glockede is the key question

the and as long na blockade exists the present, very Rome, October 3. critical International crisis will Communist labour leaders to exist. organ, day called ΟΠ Rome's entire

French officinin Lald the note labour force to stage a 15-minute would not change the Wearr sympathy wolkout tomorrow in Powers' case befme the Council support of 14,000 city employees because it does not agree to lift, who have been on strike for 10 the blockade. days...

The note ins:s.ed that the Ber Sinco all shops and offices close in blockade ha been settled in of the French Communist Party, criticising the new five-power at the usual time for the dally the Moscow regoliations Western Union defence organis- siesta, the walkout will not greatly means of a direct to the pur afton in a speech at Bourg, Eng- effect the city's

but military governors in Berlin, and commerce, tern France, said: "It must be bus transport will be interrupted said all that is necessary was for made known that the people of Labour leaders announced

Arriba, Reuter.

Parls. October, 13.

M. Maurice Thorez the letter

France will never fight against for a "sympathy demonstrate the threo Western powers to abide i

Soviet Russia "—Router.

The Weather

by the Moscow decisions and re-

and at the same time the Com-frain from tym, to extend them

A

to

LEFT-WING 'SOLUTION'

OF BERLIN DISPUTE

munist newspaper announced that in such a manner as to infringe The farm workers would hold a prot upon Russian rights in the Soviet cat meeting to back up their de-zɔno of Germany,

mands for increased wages.

Emergency street

leaner Infringes Rights

joperated with increasing officiency

in Rome, removing heaps of reel. refund from the city streets.

Ing

At 0100 hour GMT is. All city ofces have been opera the governors to establish the

Rizsain sald Moscow directed all

com-Soviet mark as the sole currency

}

•

'Gorman

to

that trade between Berlin and the rest of the world must also be under full four-power control.

-Reuter.

SED Member Says West To Leave Soon

Haltwhistle, Northumberland, October 3. four-point compromise settlement of the East- West dispute over Berlin was proposed by Mr. Konni Zilliacus, loft wing Lábour Member of Parliament and opponent of Mr. Ernest Bevin, the Foreign Secratary's policies, tonight. Government's espousal of his programme would "lead to the resumption of land communica- tions with Berlin and open the door to a gen- eral settlement," Mr. Zilliacus predicted in a

Vienna; October 4. speech here.

Tho Western powers will His four points were:

Industrial production leave Berlin sooner "The nationalisation of has reached 70 per cent of the Franz Dahlem. member of the or later, the typhoon was centred about wating with skeleton staffs,

per cent should be allocated for munist dominated posed principally of non-striking in Berlin only as a condition for basic industries, transport and pre-war total after which 16 Central Committee of the Com- Socialist diapartment heads, since the strike ifting the blockade. The note saldance, with trade union par-10 or 15 years for repurations.

thelr manage-Including ten days ago United the hitch camo when the Western ticipation in

roimbursement of the Unity Party, SED, of Germany to making Western Allise for the help given said in Vienna yesterday, powers insisted on having a voicement, is essential in the control of the issuance of Germany safe for peace and to. Geranny.”—Reutor. the Govlet mark, which must be democracy. used "also in the Soviet zone. 2.The Western powers and "The Soviet note sald this in the USSR should share in the in- fringed upon Russian rights international control of the Ruhr the Soviet zone.

und of the railways and water- The note was expected to set ways, and coal and steel produc the tenor of the Boviet delegate, tion throughout Germany Mr. Andral Vinbinaky's · battle to keep the Berlin driels from the ra hơn ớt. The Sourity The Berlin crisis, and the major

NW of Okinawa moving N ve NW

6. 10 10 knots. A errand typhoon was

centred shout 900 miles 35 of Toka

moving Wat. 10 knots. Pretire began tinued high over China and over the Press. Palia NE of Jayme, with relativa lov

pressure over the 8. China Beat and Bim.

Today's Forecast Moderate 168

'Sealated showers.

winda backing NE later,

Youfarday's Weatheri

Maxbhumi 89,1 dem. Fab.

2]nimum: 77.4 deg. Fah. »

Sunshine: 2 hours.

-Kalafalli Nit, · Total' alnor (Jaki

#rage of 1973.6. am-77.70 in

Readings, t

Barp, så mach, 1012.1 1011.1 m.b.

with!

Equals

Net. Hamidiy

De Palas

TS 14 dep..

“Wind” Direction.

Calm

10 haste

Tiaom

H

1:20

dan

URGES TREATY..

FOR AUSTRIA

Vienna, 'October · 3. Doclor Alfred Migsch, Austrian Minister for. Power, today - urged | the speedy conclusión of an Aus- triun late treaty as a contribu fun to the peace of the world,

Addressing Socialist Party meeting at Inneruck lit the

Counell

3.The Westem Allles should grea on cessing to obstruct the unity of oction between German

working class parties and, to drop the discrimination against the Communist and Sociallat Unity parties, in exchange for, the Rus

lang allowing the Social De-

On Other Pages

"Dahlem, 'attending a congress of the Union of anti-Fascista in Vienna, expressed the conviction that the Berlin crisis" would not 'cause another, war and said, “The Western imperialista" are far too weak to realise their threats."..

the West- While asserting that the ♥ Page 2 Ma

win powers were, already prepar Signing Of Chart On British their departure from Berlin,

Waters

PWD Larceny Dase Hearing

Dablam said that the city would - Page - 8 10.

Boog be the capital of a peace. ful and progressive Germany and Page 5 km

the centre for the libération of Now Claime On Finland the other Germany from-trunc=

Fourage ***

Honary forces and foreiga "sup-

Black Outlook in China.

19.31 10.84 Inches. French occupation zone of Aus battle it has engendered over 等着 -78% irin, Migach said that "an agree-shadowed another East-West bat

ment on the Austria question tle on atomic energy control, will mocrats to operate; in the Boyles

the Monday Zone would beyond doubt have good | becoistinuled · · 10 ·

and agreeing to Joint infjuence on the present trend of morning meeting of the General measures for guaranteeing fee world politics and restore confid Assembly's political committee. ): dom, and justice, to all anti-kár ence" in the ability of the big naj

Tha Russian úpla relesed Bet cift political parties.

Hi Bàn, How UB Would Fight tions to preserve: pesco,"Asso-viat arguments that the Berlin

Paga-10: A *** There should be a mor- clated Press

blockade was a protective device abortum, os reparationauti Economia Coandal In

Delegates from Poland, Czecho |slovakia, Hungary, and the Boylef Jones of Germany attended the congress,... Yuzoslavia wad ̈KOTTO". ian. "presented.—Associated Prom,

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