1954-03-25 — Page 1

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PEN

GILMANS GLOUCESTER ARCADE

COMMENT OF THE DAY

Dipping Into Our Reserves

THE Financial Secretary

Tand

his other official

a

colleagues yesterday offered suave but not wholly con vincing replies to the numerous points raised week ago in the Budget debate, and they only par tially succeeded in justl- fying Government's policies relating to financing, education, housing, Public Works development pro- jects and such like. The Hon. Arthur Clarke dealt ruthlessly with the contro- versial subject of floating a public loan to Anance capital expenditure and left nobody in two minds as to Government's convictions about this proposal. There will be no loan. But logical though Mr Clarke might

be about the financial drawbacks of floating loans at five or six per cent, few will be impressed by him somewhat alry dismissal of the argument that projects such as the Tal Lam Chung reservoir, the Kai Tak air- port extension and the new Kowloon Hospital are As much for the benefit of posterity SEN

to they are meet present-day demands. NONE of these schemes can be placed in the category of short-term expediencies, notwithstanding the Finan- cla Secretary's vision of

of distillation

HOW easy

through water

atomic

power;

they will

permanent features

remain of the and

Colony's amenities, their value to future generations must be assess ed accordingly. But if Gov- ernment is determined that posterity shall not have to these pay anything for benefits

(other than

-04

and

current expenditure} that the necessary capital shall be raised by the tax- payers of today, then it in with some relief that We find the Financial Secret- ury putting forward the suggestion that recourse

war Colony has

un our

re-

CHINA

No. -36774

Established: 1845

THURSDAY, MARCH 25, 1954,

THE WEATHER). Fresh “ensterly" winda, baoking to North-

becoming fate, ister.

MAIL

Price 20 Cents

IGINAL-ODENER Calculators Mode 107

HONGKONG 9. D'Aguilar -St

H-Bomb Explosion

Napalm Bombs Rained Down 379 Persons

On Rebel Forces

The West Decides JUNGLE SET

No Rearming ABLAZE NEAR

Of West Germany Yet

Paris, Mar, 24.

The Western High Com- missioners In Germany have decided not to approve for the time being £1 West German constitutional amendment, permitting the Federal Republic to rearm, the French Foreign Minis- try stated today.

A statement issued by the Nu-

tional Assembly's Foreign

Affaris Committee wald a note, to this effect had been received from the Foreign Ministry to- day.

לארוני

assembly

the

DIEN BIEN PHU

New Air Technique

Hanoi, Mar. 24.

French planes loosed the war's biggest fire- bomb attack against Communist reinforcements rushing to the encircled French stronghold of Dien Bien Phu, the French Command announced. tonight.

Huge stretches of jungle were set ablaze and rebel losses were believed high.

The Vietminh rebels, meanwhile, struck back committee's in the Red River delta around Hanoi with a series of ambushes and raids in a bold attempt to isolate the Tonkin capital and cripple the supply channel feeding Dien Bien Phu.

con-

im-

statement summarising Foreign Office's note said:

"Tite effect of the amendment to article 73 of the Fundamental Law (the West German stitution) would have been to give the Federal Republic its

Bovereignty military mediately.

"Such on amendment could the only be accepted when treaty setting up a European defence community enters into force and within the treaty's framework,

"The French vicw having pr

Com- not accepi

valled, the Allied High the

mission will amendment."

FRENCH FEAR

Some 185 Reds were killed when they launched a wave of surprise attacks against highways, the railway and outposts.

Another move in the action-packed day saw a large French amphibious Deet leap-frog further up the coast in Central Vietnam to cut off the Communist-held provincial capital of Binh Dinh. Two landings were made further south

carller as part of Operation Atlante.

French Headquarters here said Word spread in Hanoi mean-

An entirely new technique was while that the Red general, Vo used to launch heavy blows in Nguyen Glap,, had bearted he the dir: strikes concentrated 蟲 was willing to mass '100,000, The French stand is motivated fow miles north and northwest men If secessary to crush Dien cluster of foria by the fear that the amendment of Dien Bien Phu. Thousands Blen Phu, the

to repeated: could be used to rearm Western of gallons of anpaim jellied that has stood up

since the the European gasoline bombs were poured on human wave attacks Germany cutside

the Reds along the Pavi road [major battle started 12 days ago. British leading to the isolated fortress,...

urmy.

and

re-

The American figh Commissioners were ported here to have been willing to accept the amendment.

Diplomatic

is

be made to some

uf the the reserves which

post- built up who for itself. As Mr Clarke so trenchantly expressed it: "We have no real shortage of liquid reserves. Why should we not simply draw

reserves, the serves which we have ac- cumulated, and leave posterity to rebuild them or not as they wish?" In- deed, why not? Except that it is rather startling change to the oft-repeated official theme that reserves are there for the future and must remain untouch- ed,

Bro

quarters

to

BRITAIN AND

THE EDC

grcoment reached".

London, Mar, 24.

Tear doors,

Then

two

ANNAM LANDING

near

HAPPY PRINCESS

Princess Margarethe, heiress to the Danish throne, enjoys herself ski-ing in Norway, where, with her sisters, Princesses Benedikte and Anne Marie they are spending a winter holiday in the Norwegian mountains.

London Express..

Probe Into Handing Over Of Royal Navy Funds To Japanese Bank

(OUR OWN CORRESPONDENT)

London, Mar. 24. The British Treasury said today that active inquiries are being made in London and Tokyo to ascertain why certain Royal Navy funds had been removed from the custody of the Hongkong and Shanghai Banking Corporation and entrusted to the Shinwa Bank in Japan.

The Treasury said it had no direct say in the matter and hinted that it would like to see the account said to involve some £80,000 a month returned to the Hongkong Bank. ...,

The news surprised London handia Royal Navy funda financial circles. It is pointed because being the largest bank the drst time in in Nogasaki, and having "In- out that this history a British bank has lost timate relations with the near- control and the handling of by naval base of Sasebo, it was sterling funds for the Royal fully competent to deal with Navy

waters to such mattera, in foreign compating native bank,

The London Evening

The British Treasury issued Standard's diarist comments: the following statement tonight:

The Annsfer of Royal Navy finances is a blow to British "Attention has been drawn to prestige."

a report from Tokyo alleging that funds of the Royal Navy In so far as they are needed, for payment of naval expenses in Japanese waters are being handled by a Japanese bank rather than the Tokyo branch of the Hongkong and Shanghai Banking Corporation, Sk

Known To Be Affected

·Only $550

X

EXCHANCE Tel. 21433.

WHY

WENT BERSERK

MAN

Chicago, Mar: 24. Too much vanilla extract was blamed today for the Pearl Harbour, Mar. 24.

berserk actions of Paul J. Persons known to have Pauling, who tried to kill been accidentally exposed to two policemen with a rifle atomic radiation in the and bayonet

massive March 1 Bikini

and then fought a gun battle with hydrogen explosion totalled 75 other officers. at least 379 today, with possibly others still to be discovered.

A Navy announcement dis- closed that the United States. tanker Patapsco with 80 men and ax officers aboard had been contaminated by radio-active "fallouts" of the ashes from the Blicint blast.

The announcement said that the men

aboard the Patapsco were not dangerously exposed, but they were only the latest

Pauling, wounded eight timos in the wild fight, gold, "I don't know why I did this.......I had no reason."

Doctors at St James Hospital that Pauling, 35, had been drinking vanilla extract.

Things started when Pauling hailed a Police way. When

car on a high- It stopped he shoved a bayonet-equipped 22 calibre rifle through the window and shouted, "I'm going to kil

you.

six

suburban

He wounded one of the two known to have been affected by policemen as they jumped from the unexpectedly massive blast the car. They chased him inte whose "hot" ashes in one case a field where Sheriff's deputies, were sald to have fallen 1,200 State Police and officers from miles away.

communities joined in an attempt to capture Meanwhile there were these him. other developments:

Pauling was subdued after họ 1-Senator John W. Bricker made one "last bayonet charge" (Republican, Ohio) and three in the glare of Police search- unidentified Congressmen pre lights. At least 500 shots were In the battle.-United

pared to leave for Eniwetok atoll fred in the Marshall Islands in-Press.

dicating that still other tests are

United States and Japanese į

specialists met at the Japanese Flood Threat

Foreign Office in Tokyo for a joint study of the case in which 23 Japanese fishermen aboard the fliking vessel Fukuryu Maru were burned by the radio-active ash some 80 miles from Bikini. Japanese political groups de- manded an end to hydrogen ex-

To Baghdad

Baghdad, Mar. 24.

The Iraqi authorities have in the mid-Pacific. decided to binst the dykes pro- The Guam authorities re-tecting the banks of the Tigris ported that 28 American Air River upstream from Baghdad Force, weather bbservers on l'in order to save the capital. Rongerik Island, some 150 miles from inundation, it was learned east of Bikini had been found there tonight.

unharmed after being 101

to In view of this measure. hospital at "Kwajalein.

which

tho

the

will be taken tomorrow 4)—Native inhabitante of Ujac at dawn, thousands of residents Island 180 miles south of Bikini, living in mud huts In had been removed from the immediate vicinity of the dykes island and will not be allowed have been evacuated with to return until heavy rains, wash help of the Police and armed away the radio-active particles forces. left by Press

the "Fallout."United

*

21

-the

The present floods are worst since 1941, the Chairman of the Waler Board said here tonight. Thousands of neres of cultivated land are DOW

of Baghi-

He Agrees With under water as the river broke

Eisenhower

Washington, Mar. 24. Senator Joseph sadd that he was in complete

Its dykes south-west dad.--France-Presse.

McCarthy Lyttelton Turns

with President Down Suggestion

A

Dwight Eisenhower who carlier could had declared that one

London, Mar. 24. not

be both a participant and a Mr Oliver Lyttelton, British

Colonial Secretary, rejected judge at the same Ume.

He declared that he did not suggestion from à Labour mem- or to cast ber in the House of Commons intend to be a

for a conference a vote in the committes hear- todis

Chinese, Indians, ing. However, he maintained Malays his right to question witnesses Eurasians and Europeans to help during the bearing which is to bring about a united, de- open next week. France-momatically controlled Malaga. Presse.

Router.

“THE PRESIDENT”

The operation included

While massive waves of planes, it said.

redoubled patrola watched the outskirts of Hanoi here First Fairchild C-119 planes against new hit-run rale and dived low sabotage, the High Command feared this latest development with French crews

the Rods, then abruptly gave details of the French land- would not help a rapid settle en

upwards a8 cons ofing in Annam, more than 500 ment of the Saar question which roomed

prerequisite for French napalm sild out through gaping miles to the South.

ΟΙ dozens

Embarking st’Quinhon, occu- raufication of the EDC treaty.

West German political parties Dakota transport bombers swept pied as a bridgehead of Opera- the over. Crewmem shoved outtion Atlante on March 13, sea- hostilo

the Suar, scores of cans, of napalm fused borne commandos were fried Europeanisation of were expected to stiffen their to explode 20 yards above the up the coast 15 miles to land on

whole France's ground, scattering the attitude following

Dren with

a curtain of

Mountain, fiery section of coast

Swarming fellure to agree to the con-

death.

ashore from

ngreement alligator vehicles stitutional amendment,

An evening

three. arc

kilometres and amphibious arabs, they Independent The

kilometre wide seized several villages en route Monde today long and one Lo newspaper

to the provincial centre of published the latest reports in was "completely saturated" each

Họ Bình Dình. Franco-German friction under time, a spekenmanı claimedi

must Some 30 Reds were killed and the headline of "Franco-German said Vietminh casualties

have been high.

28 taken prisoner in several Tension."-Reuter,

sharp clashes along tracks liber- EVERY SPLIT SECOND ally

with mines 60wn

and A new device helped swift boobytraps.

Further south, Vietminh re- Follow- launching of the cans.

made their first op- ing the 'suggestion of a French gulara

Phuyen Province Air Force sergeant, racks were pearance in

length in-west of Tuyhor, where Opera- installed the whole The government leader in the side each plane, allowing the tion Atlante started in January. House of Lords, the Marquess of napalm containers to be dis- Three Red companies attacked succession Vietminh units. Hand to hand FOR our part we welcome Salisbury, told the House that charged in rapid

lighting prevented French tanics negotiations about the form of every split second. the suggestion. Applied British association with the Similar strikes were aimed at and planes from intervening.

defence judiciously it is a policy European

The High Command said 184 community Provincial Highway 41, which that can do no harm to the had been

with progress

the Reds are using to pour men rebels were killed and 85 taken Colony's future financial France and other EDC countries and materials into their slege of prisoner. in Red River Delta and "a very large measure of Dien Bien Phu over a short-cut aghting against an estimated 20 position, and at the same

has already ben from the direction of the Red Red battalions ordered in time it possesses the attri-

China border.

harassing action against the bute of allowing the com-

He added that the key to Returning pilots sald rebel French supply line.--United The decision to transfer the munity to share some of

further progress now lies in the anti-aircraft fire was strong but Press.

account to the Shinwa Bank was the profits which it has carly

establishment of the EDC they could see Vietminh soldiers

apparently made by a repre- which would provide a German scrambling to escape the dames

sentative at the helped to create. The Fin-

Australian more than a square mile of deplores contribution. ancial Secretary

Treasury who has been respon The Berlin Conference, he forest land was turned into an

Hanol, Mar. 24, 2 the prospect of additionnl

sible for the financing of all Bri- A French helicopter, carrying it forces in Japan. The ac taxation because

sukk, had shown quite, definitely Inferno. "I am a

In the camp itself, Rod flak battle casualties, crashed in that the Soviet poalition on Ger

count was removed from Hong and tax taxpayer myself,

many had not changed and that downed a helicopter in famesdames while taking of AS Increases hurt me just

no early agreement on German as it took off from the isolated Dien Bien Phu, French fortress kong some months ago but came

In Northern Indo-China,

to light following signing of the much as they hurt anybody re-unification could be expected. South outpost after landing a

UN forces agreement. killed all en beard-Reuter. France-Presse,

cargo of ammunition. elso." But this question of

NO CONSULTATIONS.. further taxation goes deep- mattor er than that. No

One of the most surprising aspects of the situation is that how it is applied-direct or indirect-it must have Impact on tho living standards of the people. It is agreed that compared with other parts of the world taxation, is not high, yet

"Forget me and find another. the prospects of hanging appeal | " the The inquest-virtually

to me still lese? evalued in relation to the trial of a dead man was on You must be happy.

ΠΙΟΓΟ "As I die I love you party-loving wife, services, which the public Chesney's

He also wanted Sonia to get the carpets, silver arti chest of receiver for its money. Isobel, 43, and her mother, the than ever.".

drawers in the old folks home, self-styled "Lady"

The Coroner was told that just where the two What it is necessary to excentrie

before he Committed suicide murdered, emphasise is that taxation Mary Menzies, 73. increases should be treated Erwin Kuhn, a German police Cheaney wible letters. - to hla・・ Mrs Chesney was as a last resort. If, by dips official from Cologne, fold the solicitors making them to make drowned in her ping to current reserves the Coroner that after Chesney shot une at Santa inherited a for- Lady Menzies was battered last

and strangled to death Financial Secretary can himself in a wood in Germany tune.

Sola Winnickers

Pleading his innocence of the Chesney was even dishonest to coope render now, taxation, un-

German double murder, Chay said: Chesnay's "beautiful.

Lletresa, who, had botu" for 11/ 41 realise that though - In nocent I have not the chance of

finalicing her penniiew Lover the proverbial"; snowball G, Min getting out of the most

Scotland Yard, mid that Cheesey :41. have seeno, MUCH son that I hav#FOOTWI

that too

must

an

bo

HELICOPTER ORASIÍES

Suicide Found Guilty Of Murder

London, Mar. 24.

from

and

An inquest jury claimed tonight that Ronald Chesney, 45, bearded inter- national smuggler, murdered his wife and mother-in-law in an old folks home here.

ho

necessary, and at the same, mistress.

time not gravely imperishe gave him Chesney's last the Colony financial letter to her g state, then he should be on it he said: "I want you to encouraged to pursue that look into your eyes::: once again method of financing?, longinna hold you close, in You know: „terin development, projects: 1:34 am not guilty.

2

Gwere

"In fact, the Royal Navy has so reduced its establishment that at present. It keeps no ac- count at all® ín' that country. Should the need to do so arime at a later date suitable arrange

the change-over was made ments will be made in co- between the Australian Tren operation with other Common sury representative and the wealth forces in the area Japanese Ministry of Finance. "Discussions on these, arrange without prior consultation, with ments, have been in hand for

3 elther, the Royal Hongkong

Bank, or the some time past:"",

Treasury

Now the British admila that it hadn't requested.

transfer of the account which ATTACKED BY A

TERRORIST

suggests, it was not consulted eithaf

mblanca Mar.

Moro

official of the Hongkong and Sharghat Banding Corporis A focal plana dator found|tion "wald; "We contested this Mohamed, bac Ai dous decision from August to October

serichasly". Wycinded year, but were unable to can”: terrorist aarchabambet, dia police The don't know the

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