1950-07-28 — Page 1

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watches

ERNEST BOREL

CHINA MAIL

No. 34651.

ESTABLISHED FOR MORE THAN 100 YEARS

HONG KONG, FRIDAY, JULY 28, 1950.

NORTH KOREANS START NEW DRIVE

Wild scramble for DOWN VITAL CORRIDOR

U.S. dollars, gold

Thore was a wild scramble for U.S. dollars and Industrial gold yesterday, sending prices up in one of the most spectacular climbs since the end of the war.

Both had been on the up-grade for the past few days, reflecting the tension in local financial circles as a result of the war situation.

U.S. dollars, after a quiet opening at HK$6.241⁄4, jumped immediately alter the lunch interval to HK$6.37. It gained another point before the market closed.

Sales for TT, which opened at HK$6.311⁄41⁄2, closed at $6.42 111⁄2-point spurt.

Industrial gold opened at HK$314 a taol, and in an almost one-way, пrovement reached $325.50 in the afternoon. It closed at $324,

Inefficiency and sabotage wreck China's recovery

Inefficient management, stupidity and corruption

have joined forces with enemy sabotage in wrecking many of the now industrial develop- ment programmos launched by China's Com- munist regime, according to newspaper re- ports reaching hero, says United Press. Reports from Soviet Russia of builders putting

windows in the wrong places and installing showers without drains are being paralleled in Communist China, though in different forms.

thousands of

01.

MacArthur visits front,

confers with commanders SUCCESSES IN THE AIR

•

Tokyo, July 27.

Korean Communists started a new drive down the vital Allied supply corridor East of Yongdong today and ran into a curtain of fire from United States artillery and aircraft.

General Douglas MacArthur was at the front as the Korean war's big-

gest battle appeared to be developing.

Three North Korean columns, backed by a Red manpower reservoir of two divisions, pushed toward the now defence positions taken by the United States First Cavalry Division. The First Cavalry was forced to pull out two days ago from Yongdong, a key point on the main highway and rail lines running to the front from the main United Nations supply port of Pusan, 95 air miles South East.

hurled American artillery murderous fire at the advane- ing Reds, and United States Shooting Star jets and Mus-- tang fighters raked the columns with rockets ard machine-guns.

was the deepsal Eastward pene. tration of the Red scythe awson, down the Yellow Bea coast and Across Bouth Western Korea,

At the other acute Red pres- sure point-near Hamchang, 35

He gave

no estimate of what he thought the North Koreans had originally in the way of aircraft, and did not give the total number of American" plones lost for ob- vious reasons.

miles North and East of Yonge Enemy losses

the

case of

saved.

Mr. Clement Attlee

All kinds of

Portable TYPEWRITERS

CALCULATORS

AT REASONABLE PRICE Hong Kong Typewriter Exchange, Tel. 21433,

Price: 20 Cents.

9, D'Agullar BL

Attlee on

way to keep peace

BRITAIN WILL SEND BRIGADE

TO S.

S. KOREA

Melbourne, July 27.

A British Commonwealth division, compris- ing one brigade ca ch from Britain, Aus- tralia and, New Zealand, ∙ is expected to be the outcome of this week's decisions by the three count ries to send token help- to Korea, it was a uthoritatively learned here today.

(The average size of a three-battalion British in- fantry brigade in the last war was about 3,000 men).

Recruiting for the Australian force starts today,

the Army Minister, Mr. Josiah Francis, an-, nounced here. A rush of application is ox- pected.

Since the start of the Korean Parliament

would have to be

war there has been a sharp recalled it such an action were rise In enlistments for the Re- | taken.

Three Canadian destroyers and gular Army, more than 40 per six transport planes are now on

their way to Koren.

London, July 20, The Prime Minister, Mr. Cle-cent of them from men cager ment Attlee, declared tonight to go there.

Mr. Trygve Lie, the Secretary- that the best way to preserve

Six pificera and 250 other ranks General, told Reuter at Lake the peace of the world was to custed for New Zealand's force Success that he was very satia- take definite action against ag- within a few hours of the aned with the response of Britain,

nouncement. One man said that Australia and New Zealand. gression and by showing that he would rather night the Com-

This proves that meinbers of aggression has not succeeded. munists in Korea than battle with the United Nations who are in a

them

In Auckland.

It was said that the Australian position to give effective assist- force would be recruited mainly once in Korca are doing so. from trained velerans of the expect more replies In the same 1939-1945 war plus a percentage direction she

shortly of troops already in the perman- though the United Nations stood Mr. Lle also declared that al- ent Arriv

for the preservation of peace by

Australian

troops would

Addressing a meeting jof the Defence Supply Planning Com mittes in Melbourne today, the Supply Minister, Me., Howard

Beate, said that Australia mizut- -prepare quickly for total ‚ward)

No time for delay

He was speaking at the end of the first day of a two-day House of Commons debate on defence.

"Where we have had the chai- lenge of aggression the challenge has been taken up," the Prime Minister declared,

Explaining why Britain, could' not be fully equipped for an mainly infantry. It was believed. conciliation if possible, it will do However, he said that in air emergency. Mr. Attlee sold that Members of the British Com-to by force if necessary.

"If the United Nations succeeds maintain a monwealth Occupation Force in to air combats, UN pliets had Britain has had to

which comprises only in these efforts there will be no knocked down 42 North Korean carciul balance between hier de-Japan,

and her economic planes while only one Ameri-fences

re- Australian troops, would be al-third world war," he said.

lowed to volunteer for the Korean can plane was downed, in the covers.

Told in advance the single American

After declaring that Britain's force.

Mr. Rosa Acheson, the 'U 8. downed plane, the pilot Was plans were based on building up

of State, said In Becretary collective security forces Mr.

Washington today that he was. Attice sald: "I think the Western

told in advance of Britain's ‚de. On the ground and in the air Union is moving better now."

élefon: to sand, ground troops to -"But, 1. sliould be the last-to a total of 80 North Korean planes

Keres had been destroyed. The Amer-think that we have not been- dli-

Although at his Press confer- ente he said he would withhold cans lost the B-29 in the air. appointed at the slow progress

comméht until the bmelal London The spokesman said it was down made. Everyone must realise that ed by....... anti-aircraft fire, The Britain could not stand alone in

announcement is made, he show- Americans also lost one -26, this matter," he added,

was forced which

down in Mr. Attier, who was replying: "Events around as indicate there ed obvious pleasure.

In Paris, French Forelim to points raised in the debate, saldis no time for delay," he declar- friendly territory.

Ofcc spokesinan sold that' that rather more than half tho ca

"The Committee's job was to France's attitude remained The spokesman pointed out extra £100,000,000 to be spent

tion of key industries, he added.

changed.

The Melbourne "Herald" wrote today: "Australia is acting I harmony with Britain und New Zealand, and in recognition of the great possibility that the Korean Indo-China, he stated, war may only be the prelude to Lieutenant-General SF. Rowell,

the Chief of the Australian Gen a wider confilet."

Canado, meanwhile, has con-eral Staff, sold in Melbourne to- ferred with Washington on the night that no difficulty was ex- question

Caria-llan Bending

pested in equipping; the Austro-u, troops to Korea, Tround

It fan force to fight in Korea. understood in Ottawa.?

Reuter. Following the announcements that Britain, Australia and New. Zealand will send land....... forces, Canada was considering revergla

General MacArthur, fn a sur-dong-South Korean forces were prise visit from Tokyo to the reported to be pushing the Com- United States Eighth Army Head-munists back North of the town. quarters, warned that the war They olso got close air support, would be a long struggle, but reclared. "I was never more con-

The Yongdong, Hndong and vic- Hamchang actions were first re- fident of victory-ultimate tury -in my life than I am right ported in fleld dispatches, Mas- now,"

Arthur's Headquartors summary apparently The United Nations command-early this afternoon Communist newspaper re- returned to the factory for re-er said he was "completely con- was behind the front reporta ports complained that tons of processing because it did not frmed" in his last week's pro-

This communique said there valuable raw materials were conform to the required standard.

nouncement that the North Ko-

on the lost because they were negli-

reans had lost their chances of had been little change 5. Steel plates. produced by the

from around 100-mile front victory. gently left in the open to rot. Anshan, Steel Works in Man- Hundreds

That we will, have new heart-Yongdong to the East coast near of churla. were found to be neither aches and new setbacks I Inner Yongdok in the past 24 hours. It dollars worth of machinery at nor of equal thickness, en- ent in the situation," he said, reported; production were Junked betaling event losses for the Works. but I nvas never more confident

withdrawals by Slight cause careless workers had in-

victory-ultimate victory-In serted some serows or bolts in

The North West. China my Me than I

First Cavalry to effect a better I am right now." Highway Bureau devoted four!

of Yongdong, the wrong places.

With the battle setting the cen- alignment East months and expended JMP$30,- trai front aflame again, General frontal and flanking pressure' by Entire production programmet 600,000 in building railless troms, MacArthur made his necond by the Reds in the Hamchang sector, these small American losses do on defence would go to the Al plan for the immediate mobilien- were abandoned due to the mis- | hut later found they had no uso ing visit of the war to Koren. As 115rward movements by small Red not include a number of Amari- Force. calculations of Inexperienced man- for the vehicles. "This is what on the first-June 20-he was agements, Machinery in some we mean by blind production and accompanied by key Staff officers. factories was so ruined by wor- the substitution of technical plan- He conferred with General Wal- kera racing to win production ning by day-dreaming,” the ton H. Walker, commander of the competitions or to meet produc- "People's" Daily" commented.

U.S. Eighth Army, and other top Lion norms. Dat the factories had

men

action directing the

ta to suspend operations (for weeks

Korea. 11e returned to Tokyo in in effect repairs.

Some factories failed to utilise Expicions, accidente-and

the evening.

pt for the fresit eruption. Except their production capacity to the destruction of machinery through on the central front, North Ko full. Others are producing blind-negligence and carelessnese hap-reati pushes were slą od or ly, with no relation between In-nen frequently in mines and the-blunted along the 200-mile front. take and outprt.

United More than 6.800 such This area protects the The People's Dally" in Peking cases were registered during the Nations beachhead that has been -China's "Pravda" - attributed course of fine year in Manchuria. whittled down to a perimeter of the "many grave and wasteful North Chinn.

and 70 to 95 miles outward from Pu- Fast China phenomena" in industrial materi- Central South China. The most san on the peninsuld's South al. mannower and production colous acclient took place in Eastern tip.

Inefficient and Inexperl- the Yi Lah Coal Mine in Hono enced management and the "cur-

February

7, resulting in runtion. degeneration and ex- loss of properly and machinery travagance of certain civil seruivalent in value to 700 tons of vants and economic workers, who wheat and taking a toll of 174 klit have falled to cultivate "a love ed and 26 Injured. for State property."

hours to

The "Dail" listed some of the

tories.

On

Mine disaster

8. Most of the machine-tooly

more serious "wasteful pheno-produced by the Kwang Ho Mo- 'mena" as follows.

Power shortage

1. Power plants in North China are utilising only 28.4 per cent of their generating capacity, result.

hine Works in Port Arthur and Uniren in November and Decem- ber. 1049, were either junked or returned to the factorier for re- tooling because of faulty manu- facture.

fun in a shortage of power supply 4. Programmes for production to the factories.

of rix-inch tin cans by a factory

Hadong re-taken

American troops,

alded

the close support hammaring

units in the South West with one reaching 10 miles South East of Sunchon and another 15 miles West of Hamyang.

Strategic flight

can losses on the ground or operational lossen.

Pointing to a slight example of what the air force is doing, he noted

fuel supply of the

the North Koreans is being destroy. ed. He pointed out the air strike on Kwanglu, in the South West

· General--MacArthur's - spokes- | corner-of-Korea-where-the Reds. man, meanwhile, sald UN land had been driving almost unop- based

based posed, and said the advance con- and carrier

and fighters today Riderably lessened when 10,000 bombers were

carrying out the Aith gallons of fuck were blasted, strategio flight

of "Inter day programme" designed

diction

battle Communit

cates the Reds

Of the rest the Army would get a rather larger share than the Navy. Anti-aircraft units were being built up-Reuter.

Reds try to invade Taitan I.

Taipeh, July 27.

of

at this stage.

The spokesman said F-80's are to Isolate the North Korean alding the ground troops which

-A Chinese Red attempt to us-her stant, against sending troops have been attacking the Reds' flold from the main

sault a small Nationalist held

Key Cabinet Ministers were of up. spearhead at Hadong. He said he sources plies, according to United Press had little additional information on island outpost between Kinmen expected to confer today.

Informed quarters expected night air attacks against the Com and Amoy was beaten olf by The spokesman announced for munists but pointed out they were combined naval and ground Canada to see the situation in a new light now that three Com- the first time B-29's were operat-initiated because less and less Red force action early today. bying from Japanese airfields.

movement in the daytime Ind!- The office of the government monwealth countries, plus Tur He said good weather follow-move at night to escape punish- nese

were trying to apokesman revealed that a Chi-key and Thailand, have declded

Communist force, under to send troops.. covery of heavy artillery fire, sought to get n toehold. on Taitan Island, two miles off the South Eastern tip of Amoy about three miles from Kiamen the neares

at The spokesman revealed that point.

announcement zald the yesterday

The three groups of Far Communists opened up artillery seven marshalling yards. He list-East Air Force bombers carried

fire at 11.p.m..yesterday and con-

of fighter planee, were reported

to have recaptured Hadong, 70ing a typhoon, which cleared thement from the air. miles West of Pusan. Hadeng ukios enabled American and

Typhoon not to affect HK

lowerca

Australian planes to hit 60 in dividual targets during the firs four days of the big alr drive, Hr fuld these include. 22, railroad bridges, 31 highway bridges

Bridges hit

ed inany bridges as unusable, out successful attacks in a ptinued nearly three and a half saying this means one or more gramme to halt the moveinon hours, breaking off at 2.40 a.m. spans were destroyed."

of eupplies by the Communists to Red batterlos af Falshill, South- their front line troops. One group

tura

•

2. A check at the end of last Mukden for the Brut quarter year showed a loss of $27,400.-of the year went completely on

on, Woo The all-out ak effort to choke it bridges, in the Seoul area, one, in tip of Amøy, and 000.000 (Manchurian currency) of the rocks, because of irrespon

off supplies from tho North raw materials, labour and pro-sible management and lax labour

Korean forces at the front. finds hit bridges. farther, North white Island off Amoy Bay sent over heavy barrages at intervals of 30 com-mliutes. ductior. In the 21 State-owned discipline." factories in Täitsibor, Manchuria,

munications targets. Hong Kong relaxed a little planes hitting three main rail-another concentrated on. 10. A loss of 12 days produe-

During the shelling, the spokes- due to mismanagement.

tion and 1.500 tons of steel rail when No. 1 Typhoon Siguit was roads running into Seoul,

man sald, a fleet of Red Junks Just

"American before noon, major railroads running out and

and Australian plangs 3. Many bicycles, produced by { was recorded in the Talyuan faetorics throughout Cliina, were | Steel Works in Shansi because yesterday after reports reached four major highways leading Into destroyed 13 Communist tanks tried to put troops ashore...

The Nationalist simbools Helen- and damaged * 14 others, thening and Yungteng moved in. Junked because of faulty manu- the workers had ruined the mathe Colony that the tropical do- the battle area.

The spokesman said 800 tona spokesman aald. He sold carrier carried out intense shelling, and chinery and bad discarded quality pression, centred about 100 miles 4. Six thousand tons of cement, for quantity in their race to win South South West of Hong Kong of bomb were dropped during planes actually blew up a town Taltan's ground forces, Alghting

was stationary and filling up." produced by a State-owned faca production competition.

Except for the expected showers the first four days by B-29's and what an annunition dump at the water's edge, drove off the

ut Hwachon-ni, which is Just tory in Tainan, Shantung, were

B-20's, which are continuing the above the 88th Parallel and 50 morning and fresh Easteri interdiction programme, The winds, the Colony has säili

miles due West Inland from Yang to feel the first whipping of a

yang. Navy planes Include Cor

· thin ·

sairs and Hellcats. A Royal Observatory stalement Raid that there is little further

facture...

4

The weather

Stenullying,

| Today's - Forecast!--Fresh = aqually | E winde, Continalne sloudy and until

-with- Intormilient - rain. - father, sool

^^Yesterday's, Weather ado, H. Maxļmum: 88.6 deg. Pahuljahr k Minimum 70.0 den. Take the Sup Aurishindi.0.2/hour,”.

RAF RAID ON

JUNGLE AREAS

wach

today,

Singapore, July - 27.

storm

year.***

No opposition

were

!

invaders...

So far, there has been no at- tempt to hit Kinmen itself with an attacking force, - United Prets.

United Press adds that Gon. oral MacArthur obviously came: to Korea for à fent hand took. at the Allied "position" in Koron and a personal appraisal of new!! Ways to stop the advancing Reds and mount a counter Page 2 offensiva deligned, to throw the Invaders "out of the Southern Page 3 maande Prépúbila. His trip probably will;

result in another personal-re- Pageidauja, da port to. President: Truman and | "Barclay on

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