CO129-497 - Public Offices - 1926 — Page 220

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merchants (who are also losing by the strike) to end the dispute might achieve considerable success, in which case the position of the Russians would become perilous,

6. No one has yet been selected to succeed Dr. Sun Yat Sen as leader of the Kuo Min Tang. This organisation in fact is now divided into two functions, and it is not yet clear which will acquire political ascendency. In the North is the Right wing which aims at the evolution of a The bulk of Chinese Republic unassisted by Red Russia.

the Chinese overseas are believed to be loyal to the

The Left wing, Northern section of the Kuo Min Tang.

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its headquarters at Canton, favours a close alliance with the Reds. It is closely identified with the present Cantonese Goverment and is busily engaged in spreading propaganda through the medium of the "Canton Gazette". At the New Year Conference just held at Canton it passed several extreme resolutions which will probably have the effect of permanently alienating the Right wing. The number of delegates present on this occasion was only 189, consisting doubtless mainly of Cantonese extremists.

7. The demand for arms in China is insatiable. Formerly Hong Kong was a regular dumping ground for arme and ammunition, but the discovery of an important Amsterdam gun-running conspiracy in 1924 and preventive measures adopted by the authorities in Canada and the United States have reduced the traffic to negligible proportions. Where there is a brisk demand and a ready sale for firearms there will always be men ready to run the risk of detection, so that the smuggling of isolated weapons or small consignments cannot be expected to cease entirely. The only safeguard is the imposition of deterrent penalties on all who break the law.

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