1949-06-13 — Page 1

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HONG KONG, MONDAY, JUNE 13, 1949.

END OF BIG FOUR MEET NEAR West Prepared To Admit Failure Of Discussions TO PUSH OWN PLANS

Paris, June 11.

The Wastorn Powars tonight prepared to write off the Big Four For- eign Ministers Council session some time next week as another total failure to come to terms with Russia on the future of Germany.

At the same time, they prepared to push ahead at full speed with their own organisation of a strong democratic Western German state in full conviction that the East-West division of Germany now will be a long- term affair.

U.S. Envoy Leaves Nanking

Nanking, June 12.

United States Ambassador J. Leighton Stuart of Nan- xing Baturday night for Shanghai for a three day visit, becoming the firet diplomat to travel to Shanghal ainet 11.0 occupation of Nanking ou MAY PA

Mr. Stuart, who is expected to leave China for Washing. ton before the end of July, was accompanied to Shanghai Frank by Embassy Attache Kierman

Chinese Auto-

and

bi

personal secretary,

ciated Press.

At the request of the Soviet Foreign Minister, Mr. Androi Vyshinsky, the Council did not sit today. The next meeting was to have taken place on Sunday afternoon when Mr. Vyshin- sky was to reply to the Western Ministers' rejection of the surprise Soviet proposal for the conclusion of an early peace treaty with Germany and' withdrawal of Allied occupa- tion forcos.

The Three Western Minis- ters again met privately at the French Office this afternoon to for Mr. Vyshinsky's prepare rebuttal and discuss ways and means of ending the Council session next week.

The U.S. Secretary of State. Mr. Dean Acheson announces on Friday that he must he back in New York by next Saturday the latest.

1

Mr. Vyshinsky presumably was using a free day to get together necessary documents for a reply and possibly on additional in- structions from Moscow.

Daring. Train Nothing New

Robbery Near Canton

The dinner was in the Russian Embassy. A week ngo Mr. Vyshin- tky was Mr. Acheson's guest at a small dinner party.

WOR

Negotiations On Release Of Amethyst

Paris, June 13.

veteran William Green,

D

At Mr. Vyshinaky's request the Foreign

Ministers Council aking a recess untli today, Muse British diplomat who was until officials bellevod the recently Consul in Tientsin,

awaiting has contacted

Chinese Com

Western Soviet diplomat

1in

With

wax

Ministers the Foreign conference still in deadlock, there was a growing belief by many of the Western power delegates that Germany can be unilled only by the Germans themselves.

Price: 20 Cents.

Haile Selassie Starts Oil Probe

Emperor Haile Selassie put is the lever to start drilling operations in search of olfat he Gumdora Hills in Ethiopia's Ogaden Desert. The site is that of the Sinclair Petroleum Company of America, operating under ☐ 50-year monopoly concesion. The ceremony was also attended by the Duke of Harar. second son of the Negue and ruler of the vast territory of Eastern Ethiopie, and by Donald Bigelow, United States Photo shows Emperor Charge d'Affaires at Addis Ababa. Halle Belassie pulling the lever to start delling at the in- clair site. John Palka (right) the company treasurer, looks- on (AP Photo).

•

Orient Lags Far Behind Europe

In Recovery Try

Washington, June 12. Office of International Trade of the U.S. Do- partment of Commerce reported today econo. mic conditions in the Orient remain dislocat- od at low levels-in sharp contrast to gen- oral economic improvement in the West.

tresh instructions from the Krem-munists to negotiate the re- lease of the sloop Amethyat still trapped in the Yangise with most of her crew.

said British sources in Paris that Britain wants the Chinees Communists to give her safe pass- In the Friday session of the old age back to her Hong Kong base. conference. M. Vyshinsky dusted The Communists are unwilling to off his old proposal that the do so unions for

unul Britain promisos, to on-a-German pily powers get busy

reparations

damage treaty and pull their troops out caused in its rece

recent gun duel with at Germany within a year after Communist shore batteries. However, the Western Minis-

is also discussing Green ters were now convinced that it was signed.

The Western powers said talk trade relations between British Mr. Vyshinsky had nothing new

of a treaty at this time was futile commercial interests the

and

Com- 10 offer that could maka An

muniste in

the immediate future. Germany post-in view of their inability to agree com agreement on

either on unification of Germany At the insistence of these com- An article appearing in the Foreign Commerce ble at the present time.

orcial interests the British moreinl

Gov- his reply. In his

he is expected to or of Berlin.

Mr. Acheron proposed Instead

"oking business reia. to arrange for put the binme on the West for

crnment that they discuss Austrian

the

normal and breaking up the Council peeing

treaty and some provisional ar-

to continuo -especially in by refusing to conclude a German rea peace treaty and desiring to per- rangements for Germany. Durins North Chins, where British in-

vestments are extremely large. Mail" learned yesterday.

petuate the division of Germany, the coming three days, he said

That this is the line that Mr. would be possible for deputies to hopt o' examine whether any take

treaty Some 30 armed bandits, dis-Vyshinsky probably wou

agreement on a German

He said he was "h remained. guised as passengers, boarded the was indicated by the Frenen Party -afternoon Communist Canton-bound train at Tongmi

the ally willing to remain beyond the end slation, robbed the passengers and Paper, "Ce Soir" which

thinking of of the coming week. faithfully reflects

It seemed to put a seal on the ransacked the freight cars.

the Soviet delegation.

The Western Powers will make prospect of any real East-West last minute effort next week to agreement at this meeting of the cet a limited working agreement big four. with Russia on the establishment

A during train robbery took place only 32 miles from Can- ton on Saturday, the "China

The only casualty reported was 1 postal worker who, mistaken for the chief guard on the train, was shot in the thigh by an im- patient handit.

the

would

usually

of trade between Eastern and Step By Step

Western Germany.

Kast-West differences

British businessmen In Com- muntiat-ruled China are ahead of their government in coming to terms with the Communists,

1n. sources

Maid,

*rea

munist

Tho

they

are with

***

Weekly said continuing civil strife and in- tensified political conflict have not only im peded recovery in the Orient, but have con- tributed to further economic deterioration of much of the area.

+

4

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Efforts To Clear

Up Yangtse Mining Mystery

Shanghai, June 12. Shanghai's part, now sealed "off" from the outside, has entered its fourth day of presumptive blockade by the ousted Nationalist Navy as shippers and the population anxiously awaited the results

•of official offorts to clear up the Yang- tse mine-laying mystery this morning. An inspection team, acting under orders of the Communist Military Control Commission; was reliably reported to be going today to the Yangtse channel danger zone, 40 miles down river from Woosung, to determine whether, the Nationalist LSM and gunboat seen manoeuvring there on Thursday by harbour pilots had actually carried out mine-sowing operations.

These suspicions have re- sulted in the closing of the port of Shanghai during the all past four days, tied up coastal and foreign shipping and brought the diversion of here duc dozen vessels

11

tier

themselves

20-

JMP notes and the East Chin People Headquarters of the Liberation Army issued new re gulations forbidding gold deals,

The Shanghai Stock Exchang Market-the, nerve centre of th rity's frances--remained closel guarded this morning as the a thorities continued their, proky shortly.

While the Communist author- Into the activities of unscrupulot

spoculators in a determined bid. made

establish economie, order, Reute nouncement to the press their adds.

Telophone contact with plans to investigate the Yangtse danger zone or mine-sweep the building is not possible and ne channel. It was reliably reported body allowed to enter witho that shallow draft vessels were

permission.

Stockbrokers leaving the Mar going today to the area off Tung- Aha banit in an attempt to delect ket described the People's Libers

the mines.

under the floor.

The report said that if it is extion officers as polite and reason tablished that mines have been able in conducting their invest

gations.

Cheap food is being supplied" inid. efforts to clear the channel would have to be made later as those who remain, in the bulldli the party today was not taking for further Inquiries Residen mine-sweeping equipment.

ilving in the neighbourhood bay There were conflicting reports, Reen soldiers buying food an about the Communists' possession bringing water to merchants in of mine-woepers, some claiming der detention. com, ibat there was none while other-In the course of a search quân say the Reds have one or more titles of gold-bars, American cu

Pendant rency and silver dollára ara* in Nanking

One report said that the Comported to have been discovered munists were bringing a gunboat) oficials in, wall cavities and down from Nanking for the Burome

19 Casey pree of protecting mino-sweeping efforts which, it was generally U.S. Radio Station

to believed, will be necessary

all to the prove once and for

The new station's operator Katisfaction of the shippers that an American, Mr. Bill Crum, wi the waters are safe for navigation, has been permitted to broadca It was not certain whether the over the former XMHA at 8:

st!!! Nationalist gunboat was

kiloycycles. Turking along the mouth of the He has rechristened the sta Yangiso. If it is there it could tononce known as the Arme shell any mine-sweepers trying to Forces Hadla the Shangheed Broad clear the channel and if the Com-casting Comparos SBC, the "Vol minists send one of their cap of the Orient,

Mr. Crum was operating Statio tured or surrendered gunboats to

a naval engagement BEB-3 when the city fell and.

had to close down... might.ensus., the scene,

time

Inflation Down

than Mora

100 big market operators and overal hundred silver dollar peddlers were rounded up in a series of ralde during the part two days which Communist soldiers took part

The Commerce Weekly's ar- of rubber exports last year will many ticle includes the following approximate $550,000,000, or about actively

co countries in its coverage of the 15 per cent above 1037. operating Morities.

Coora trade amounted to about local Cam Far East: Burma, China, Indo-

China, Hong Kong, Indonesia, 40,000 metrie tons last year com- sources elted a recent in Japan, South Korea, Malaya, pared with 870,000 tons in 1937. whon

Rice exports last year totalled the Communist au- stance

the the Philippines 'and Slam.

about

2,282,000 metric tons, com- tharities alashed taxation on

In addition to the depressing pated with 7,500,000 tons in 1937, returns of the British American Tobacco Company operating in effect of civil and political write it explained this decline resulted

from primarily

greatly reduced The West fully) expects that

Tientsin-after the company tele on business generally, most coun. According to reports from Can-

graphed

an appeal personally to tries of the Far East have bean ton the train from Kowloon stop-such an agreement - if ranched

Communist unable to lacrosse agricultural and agricultural production In Burma,

Indo-China and

At the same time, the Bank of now so, frozen that the beiler Mao Tse-tung, the

induszkal production ta pre-war

Total value of exports from the China announced the first official pud at 9.30 a.m. on Saturday at would be temporary and win

no leader. there will bo is growing miles not be murprised if Russia gradu-

Orient last year was about rate for the silver dollar at 1,200| Tongumi station, some 22

relmposes on Berlin the ally

formal peace treaty, on Germany! Representatives of the Belgian levels," says the article. East of Canton.

It said that other factors con-

with compared blockade which was dramatically by the big four. A gradual re: Government are also said to be

slowness of econo.

1037. Thare,

the gang of bandits lifted one month ago tonight at turn of Germany to the family in contact with the Chinese Com-tributing to the

o'the. Orient' approxim- | of nations

envisaged in a munists on trade and economic mic recovery are: boarded the train and stripped midnight.

"Acceleration of budgetary dated $3,283,086,000. The article step by step process. The West will not accept any-

far as can be established, ficits, increased tempo of infla thing but what amounted to an the United States Government has tion, over-evaluation and incon-added:

so far kept out of this jockeying verability of domestle currencies, In unconditional political surrender

And Russia is not for economie and commercial tits rising pressure of population ou the from Russia. Mistaking a poslal worker for Russians might wish to keep the willing to make such a surrender. with the new malers in China. [the 'means of subsletence, disrup.. Eastern countries in trade with |

Fest belleve Germany will be Associated Press.

partitioned or de-

and valuables. One passenger was said to have lost HK$20,000 in

the passengers of all their money The conservative Paris afici- noon paper, "Le Monde", which has close contacts with the French Foreign Office and often reflects 115 views, explained

cash.

the chief guard, an impatient bandit shot him in the thigh be- cause he could not produce the keys to the strongroom.

A considerable

amount

freight was also removed from the train by the bandits, sold the reports,

of

present session alive.

why

vital

Police Deny Gun Duel With Pirates

Lon of world trade channels and the universal shortage of hard aurrències,"

Drop To Half

The article connues that, in 1937, the foreign trade of the Orient amounted to $7,002,000,000 or more than 18 per cent of the total global trade. In 1040, thle 1037:

It said, "As long as the Foreign permanently Ministers Council, is sitting in prived of the effects of a peace Paris, Mr. Achosan and his prin- treaty. They believe the force of cipal aides are having to neglect events will bring about both. Just certain problems of

Im-as I brought about the West Ger- The reasoning gues portance, such as the ratification men state. of the Atlantic pact, discussion of like this

atate will This West German Marshall Plan eredit by the The Chinese authorities have no and military lend lease,

Senate Appropriations Committee serve as a magnet for Eastern while Germans to unite with it, first

A reported gun duel between dropped to loss than half that of garrison at Tongml.

they are led with the intermin-economically through trade agros-

The publication noted, however, rble haggling over the German ments, later by the solving of the Marine Police and suspect-

ed pirates yesterday off. Wang that in 1947 the figure rone to question.

mutual political problems.

It will be a central government Lau Island was dented by the $5,807,000,000 and that in 1948, dollar. trade volume was $7,106,- by evolution rather than by sud- Marine Police.

600,000. den diplomatic birth.

is misleading. Once the West German state is Potter auch, which could not "The 19ds to al

Police

since-present prices of all commodities are coll more and more to assume control outside the Harbour when she

The Weather

Contact Needed

"In 1948, the Philippines as- sumed the lending role among Far

WAS

the U. S. sccdunting for 31.4 per cent of the total Japan eccond with 178 per cent; China third, with 16.4 per cent; Malaya fourth with 16.8 per eunt.---Asso- clated Press..

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