1953-08-14 — Page 1

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COMMENT OF

THE DAY

Economic Trends

Nsignature of the Korean

pretends that the

armistice has itself opened

EL

CHINA MAIL

No. 35588

Established 1845.

FRIDAY, AUGUST 14, 1953.

French Crisis: Meeting

Of Inner Cabinet

Civil War Danger In

Morocco

new chapter...ia. Inter- national relations, and no one can have expected it to produce any impressive movement Iri commodity markets. The opening of the conflict three years ago precipitated a boom in commodities and metals, enused not only by the anticipation of immediate shortages but also by the fear that the fighting would ilure up into a third world

Paris, Aug, 13. war. Thesa conditions

General Alphonse Guil- reversed, have now been

French at Jaume, for the cease-fire wil

Resident leust reduce immediate General in Morocco, return- demands for gooda anded to Rabat today with in services, und holds out the structions from the French possibility that the political Government to do all in his talks now in prospect will power to prevent civil war ultimately lead to a com- prehensive settlement

of

in Morocco.

between

El Glaoul, was still a threat

today.

international differencas. The prospect of hostilities But, for several

the Sultan arid the reasons,

of Marrakesh, the mere cessation of fight-powerful Pasha ing his failed to induce any substantial downward movement in commodity markets, which would have been the converse of the former boom. In the first place, the future course of events in Koren is still too much in doubt to provide a basis for y widespread and drastic price changes.

more

NE of the most important ONE

influences in economic future will be the course of business in the United States. Superficially, American business pointers are favourable, with indus- trial production at a record high level and profita making a remarkably good showing against last year's figures. Even assuming a cut in defence expenditure, which, after all, absorbs no than about 15 por cent of the value of the national output, the presont activity could be carried forward by its Own momentuun for a time. But there are aspects of the United States economy which suggest that good business will not last in- definitely. Production is being sustained by various Government measures to stimulate industrial capital for defenco expenditure purposes, and some of these will soon be nearing end of their term. Stocks of manufactured gooda are reported to be relatively high, and tho popular demand for consumer durable goods, such motor cars and household

|

CONSIDER NEW

EMERGENCY MEASURES Strike Situation

Paris, Aug. 13.

The French "Inner Cabinet" met under Pre- mier Joseph Laniel today to consider further emergency measures to ward off national paralysis as the general strike continued to spread.

With the aid of hundreds of army lorries and private vehicles of every description, Paris and the big provincial cities have kept the public moving.

3

Soldiers, policemen and volunteers helped to collect and deliver letters: convicts were brought from their cells to remove the garbage rotting in the hot sun.

The Fasha, who has assembled 3,000 armed horsemen near Red Cross workers,were burying the dead: shop- Fez in order to march on the keepers and cafe proprietors were washing their own Sultan's capital at Rabat and pavements: air line administration staff were handling deposo

said Jast night;

1:] baggage at the airports.

him,

"It is too late. I can no longer halt events. I am a sortier. 1 am proud of it and I shall not retreat whatever happens.”

The

Sultan's appeal for French ald reached Parls yes- terday and has been sympatheti cally considered. But it is also being borne in mind here that the Sultan, who now appeals

Franco-Moroccan ship, has often been unfriendly

to

to France since the war.

The strike, which is now supported even by the Christian Trade Union Federation (Catholic), aims at higher wages, an end to the present Government's economic measures and a new left-wing administration.

The unions had discovered a unions claimed 50 per cent loophole In the legislation successful. which has allowed the Govern ment to summon men back to work under threat of suspen-

Requisition

Metal workers (24 hours)— Total strike.

Garment workers-(24 hours) -60 per cent successful they Engineers and Workshop fore.

friend-ston and legal oflicable for men unlimited strike call.

found, were not

The French are anxious to The daily prevent my hasty action by the have now, halted Paris public Pasha but they are not prepared transport for two days, might to help the Sulian unconditional-well be extended Indefinitely,

and without consideration of

Pasha.

REFORMS IMPEDED

The

strikers out for only 24 hours. Ordnance and Army clothing stoppages, which factory personnel - 24-hour

strike tomorrow.

Builders stopped work early today to consider striking tomorrow. same calen which has tite long and reliable friendship marked this reatest of all Printers, Teletype operators they have enjoyed with the French

since 1930 and typesetters-24-hour strike strikes prevailed again today.

starting 1800 GMT on Sunday. Router. Large forces of armed Re- publican Security Guards stood

GIFT TO STRIKERS

London, Aug. 13. Britain's Electrical Trades announced tonight that Union the Executive Counell had de

£1,000 to the cided to send French" strikers."

Mr Wally Stevens, General tion would be made to the Bank

A big meeting of local Calds by in Paris but were not call-

00. Pasha was due to be held this or leaders sympathising with the ed

Security services maintaining evening in Marrakesh with the esential electricity, gas and object of declaring a new Sultan water supplies were undisturb but the arrival of Generaled. Gullloume may have succeeded in holding up this step,

on

General Guillaume said arrival at Casablanca that re- forms must be hurried up.

It is there reforma for the democratisation the

18

appliances, is stimulated by instalmont buying and tho Government's farm support programme.

UP

to a certain point, British economic policy appears to fit the obscure world prospect. Our policy is at least anti-deflationary, and the means adopted to in- crease the gold and dollar reserves of the Sterling Area at all costs are shown

да

LATEST SITUATION This was the strike situation this evening.

of an estimated 350,000 workers Railways The vast majority

out (unlimited duration).

Post Offices--Between 00 to Morocco 70 per of 220,000 workers peding while at the same ume

Mines Almost total stoppage encouraging extremist demands, with over 150,000 of 250,000 claimed by France to be en- miners out (unlimited). couraged by American commer- cial Interests in Morocco, for total independence from France an impossible condition for Frenchmen live there, many of France, since half a million

them born in the country.

which the Sultan has been im- out (smile)

The Sultan has now declared

cons

Ho

Gas and Light (umilimited). Almost all 133,000 workers out.

Public Transport-Parle bus and underground men out for the vincial cities affected (48 hours). second day running. Many pro-

Alr-All 4,000 Air France around staff out (v limited).

affected.

of

hours)-Once

but

-

.

Secretary, said that an applica-

10

of England for permission

Reuter, send the money to France.-

Duties

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Off For New Heavy Loss Of Life

And Devastation Caused By Quakes On Greek Islands

Miss Janet Grant, 30-year-old Red Cross nurse, who two years ago` ran a mobile, clinfe for refugees from terrorists in Malaya, leaves London. Airport for Northern Nigeria, for new duties. Her father. Is Major-General Inn Grant, commander of the Cairo Infantry Brigade just before the war, and ADC to King George VI in 1944-London Expresa.

No United Front

Agreement Reached By 16 Nations

Athens, Aug. 13.

At least 400 people have died in the Greek islands in the Ionian Sea and the total injured rose today to more than 2,000 while over 8,000 are without a roof over, their heads, following one of the greatest carthquakes of modern times,

Fires in the ruins, whipped up by the winds, in- creased the terror and many of the population were auffering from lack of food or water.

Last night and early today 28 shocks wero registered at Athens Observatory, one of them very

violent.

A village on the biggest isle, Cephalonia, dis- appeared. Cracks and crevasses appeared along the shore of the island.

Many of the islanders threw "Everything is in confusion, themselves into the sen and Water is needed desperately." swam out to meet the rescue ships

Admiral Earl Mountbatten British Mediterranean Com mander, flew to the islands with Lady Mountbatten today.

The 20,000-ton heavy cruiser Salem, commanded by Captain Brooke Schumm, is standing off Argostoli.

At the request of Captain Schumm, two navy torpedo bombers took off earlier today from Naples with supplies of plasma and serum.

Six big fires encircled Koldin thos (Zante), capital of Zante Island, where the British cru- ser Gumblo help Greek troops to fight the Bames. Such in- hobitants as remain in or near ties had been organised for

an

Eight others were ready to leave, as soon as landing facili-

At least one

the ruined town “are living in Į them.

Inferno, "the Athens DOWS agency said tonight. Eighty bodies were recovered from the ruins.

bezata

and

cargo,

.

aircraft carrier, the Coral Sea, and perhaps an- other were due to join the Salem.

It was hoped that the Greece not only sent its navy aircraft might land on them so to succour the islanders but that their supplies could bo orderød * numerous

flown by helicopter to the islands ferry and passenger ships to that need them.-Reuter. interrupt their. runs and rush help to the devastated regions. MOUNTBATTEN REPORTS

Ten, Greeks Air Force planes

London, Aug. 14. early this morning drop-

the A message received at ping

supplies of food and bed-Admiralty in London Just before ding by parachute to isolated midnight from Admiral Earl villages.

Mountbatten, Commander-in- King Paul

Queen | Chief Mediterranean, sald there Frederika of Grocco mailed for was not a single house loft the. Ionian Islands this after- habitable in Argostoil, one of noon in the crevette Pirpolitis, the severest hit centres in the Mar Constantina Adam quake stricken Greek Islands in

Grock Minister of the Ionian Sea, Opalotes, Health and Social

Welfare, Arst

Local authorities, he added, official on the scene of devasta-ay that the devastation is tion, returned from Cephalonia

equally great throughout to Patram on the mainland to. day and declared the island's Cephalonia, Zante and Thaca,

Admiral Eart Mourvatten, situation was "desperate."

who Bow to the Islands yester day to direct relief work, told the Admiralty: "Medical rescue and relief scenes of horror

teams from on Ithaca, home of the Daring

destroyer), (British Salem (American cruiser) legendary hero, Ulysses.

Alrcraft carriers and other Laruell-frigates are working side ships of the United States Sixth by side with those of the Greek Flest ordered to break off large Navy" scale fleet exercises with British

Admiral Earl Mountbatten forces

at Malta,

were tonight caid his wife was, working trying to organise helicopter ashore with Greek women reller delivery of plasma and other workers and trained nurses. vital medical supplies to

"Great as the disaster 19, it is stricken Islands.

being dealt with realistically by Mr John Asher of the Mutual enthusiastic International agreement on anything."

Agency (o Marshall Plan body)- operation, and two Greek off-

tonight among forthcoming Far Eastern Poll broadcasting

from cers of my Allied staff are prov- The chief difference

had tical Conference on Korea.

Argostoli harbour, sald: "Toning of the utmost value," the delegates previously

"As a member of the United minutes ago we had a terrible Admiral added. understood 30 concern

a mountain aliding A later menge, received at India's participation in the Far Nations India has but one pur- shock. I saw

the Admiralty from the Daring Eastern

conference, pose "to make a peaceful settle into the son," political

He said: "From Argostbit and said that slight - earth tremors scheduled to start by October 27. ment. I am sure we will find the

Britain and the Common- way to a solution," he said. Lixouri alone, 400 dead have were continuing in the earth- wealth countries want India in

been counted,

quake area-China Mail Special. the parley. The United States opposes this.

United Nations, Aug. 13.

The 16 nations who fought Communism in Korea-met-for the second time today but reached no agreement on a united front for the United Nations "peace Assembly" starting next week.

Delegates of the 16 countries met for two hours at the United States delegation headquarters in New York and decided to meet again on Saturday morning.

Mr Henry Cabot Lodge, chief of the United States

Cairo Talks delegation, told newsmen after the session, "There is no

Not

Broken Off

Washington, Aug. 18. The Egyptian Embassy

Sig. Pella Agrees To Try To Form

.

་

the been

3. Together, these two groups of representatives should select the site for the conference--and set its dato and presumably agenda. As

Mr Menon who piloted the Korcan resolution through the General Assembly of the United Nallons

December Last

to confer with Mr

in

talks

in avour of French and Moroni de hench here said today its Govern Wower fuller insight into expected

Pubile and Her & Services

However, Mr Lodge gave living together. The cities Pasha was unconvinced.

Civil Servants (ant day of breaking off formal talks US policy after today's con- Selwyn Lloyd, British Minister

Britain said yesterday: "Even if the 48-hour strikes)-Largely fol- with Britain on the Suez ference, when he said the Gen- of Siale. Mr Lloyd is repesent

in small branches ad Canal problem.

eral Assembly should only select

to a full con- Sultan signs the reform decrees lowed he will say later he did

the UN representatives 10

10 attend preliminary 50ministration (town halls, but

A spokesman for Ambassa- under duress,"

largely ignored in Ministries. dor. Ahmed Hussein

said he the conference and these repreference of the 10 nations whose

from troops fought in Korea. sentatives

picked from be BANKS CARRY ON

should

Mr Nehru hall asked his Am- had been authorised deny

troops French supporters of the Sultan

Banks and Stock Exchange despatches from Cairo which the countries whose

order to be able to a press conference in Parle

night condemning the (24 hours) Carried on normally reported that the Egyptians and fought the Communists in Korea.bassador in Peking to make in-

In brief, Mr Lodge outlined quiries in partial stoppages decided to break off talks.

work out some sort of procedure Pasha's activides. Gaullist Deputy in spite

the US

position this way! Egyptian officials, to have been well planned. Pierre Closterman, wartime air (unions claimed 50 per cent for

by Jed

The United Nations should on the setting up of the political the Assembly, Having evidently made a ho, warned that any action exchange employees, 60 per Deputy Premier Gomel Abdel

the select its own representatives conference in Basser, planned to meet

which would be.acceptable to correct assessment of world against the Sultan might result cent for bank clerks).

for the For Fact parley from the conference. Shop attendants(24 hours) British delegation on Monday. economic trends, the Chan- in the Sultan Asking refuge in

The Embassy spokesman said among the 10 fighting countries. The representatives of Bri- cellor of the Exchequer has Spanish Marocco, wine sovereign-Chain stores said no response

unlons the Ambassador was sald

2. The Communists should workers

tals, to

the United States and have ordered the denial 10 be select the countries to represent France are due to meet here produced Budgets designed be equally was, and that this among

therm,

today for the preliminary talks. to stimulate Industry and might lead to international con- claimed 20 per cent.

plications between France and Insurance

(24 issued after telephoning Cairo. companies

Mr Lloyd has already seen Mir deflation. fend of

But

but-Reuter. Spain-Reuter.

'manned

Lesile Munro, the New Zealand there is as yet no sign that

Ambassador and chief New Zea- price and wage inflation in

land delegate to the United No- coming to an end. Wages

tions,Reuter.. and the are still rising, trend of retail prices le upward, on balance, while the noto circulation..has been setting up now records since the beginning of July. While these conditions per- sist, Britain is running some risk of being caught with high prices and an inflationary economy at time

when the world at largo is deflating. terms of trade have been more favourablo, to us. recent months, but that will ultimately involve a decilus in the power of primary producing co tries to purchase British exports, even if no further decline occurs in prices for their own producte....

A "Business Gout" For Italy

Rome, Aug. 13.

outlined by Mr Lodge, this would take away from the As-

sembly, most of the chief tasks Vietnam Request

for

which most delegates ant observers thought it was being recovened next Monday-United

Saigon, Aug. 18. Vietnam has formally asked Franco to surrender its control of the Vietnamese foreign - MAY HAVE ANSWERS

military command, legal New York, Aug 13,

Judaictions and other govern A source close to the Indian mental powers, informed sources delegation said today that Mr said today."

Presa. Signor Giuseppe Pella, 51-year-old economic expert, tonight agreed to try to form a "business government to put an to Italy's two-month-old political crisis.

the task after the failure in the Tho

end

The President of the Republic, minimise the political asperts of it was also announced tonight

thrac Prezident Inmid has V. Krishna Menon, Indian They said the Vietnamese Luigi Einaudi, charged him with his new Cabin

Its first urgent business would arranged, another meeting with member of the Korean Repatria- Premier, Nguyen Van Tam, has might be delivered a note to the French past month of two attempts to be to pilot through Parliament Stenor Pella for Saturday, by ilon Commission,

General, Georges set up a normal political govern the tong delayed ministerial which time the Premier-designate bringing with him the answers Governor

budgets! In ment..RE

expected to be able to 427 glych by Mr Chou E-la, the Cautler, requesting France to A little earlier the Executive Since most of these were definitely whether he ran form a Chinese Prime Minister, to the give up its direction of Viet- of"

Christian Democrat drawn up by

the Christian government or stof

Inquiries mado by Mr Nehru on namese affairs, Party

to which Signor Fella Democrat ministers of the

the viewpoints held by the The demands, similar to a belongs, decided to support the Cabinet which

resigned im

Signor Pella later toló reporters Communists in relation to the series made

by Cambodia, thus attempt to form a business mediately after the elections, it that he hoped to form a tempore forthcoming organisation of the tomalleod Vietnam's position government.

appeared-likely that almost all ary ministry fey order to give time political conference in the forthcoming talks with Signor Fells, Finance or the ministers. In any government to the political parties to noelt: a Mr Mason arrived here by air | France on greater, Indo-Chiness Budget Minister for the last six formed by Signor Pella would means of giving the country a from London today to urge Independenes within the French

to niso be Christian Dembernis, staklo govoromoot--Router, India's claim: for's seat in the| Union-Under Prous, years, was expected to seek

the

too

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