1931-06-22 — Page 9

HONG KONG DAILY PRESS, MONDAY JUNE 22, 1931.

AMERICA AND WORLD ECONOMIC

CRISIS.

MORATORIUM OF WAR DEBTS PROPOSED BY U.S.A.

"PRESIDENT HOOVER DISCUSSES PLANS

WITH BRITISH AMBASSADOR.

WILL PRESENT PROPOSALS LEAD TO CANCELLATION OF REPARATIONS?

[REUTER'S AMERICAN SERVICE.)

WASHINGTON, June 21.- Fresident Hoover has announced an offer to the world of one- year's suspension of all Government debts.

It is officially stated that "subject to confirmation by Congress, the American Government will postpone all payments on debts of foreign Governments to the American Government, payable during the fiscal year beginning July 1, conditional upon a like postpone- ment, of one year, of all payments of inter-governmental debts owing to important creditor powers,”

President Hoover in making the announcement says: "The essence of the proposition is to give time to permit debtor, govern- I am suggesting to ments to recover their national prosperity. the American people they should be wise creditors in their own interests and also be good neighbours,"!

The postponement includes all governmental debts, reparations and relief debts, but does not include obligations of governments held by private parties.

TWENTY-ONE SENATORS AGREE.

LATER.

President Hoover in making the announcement gives a list of twenty-one Senators who have approved of his action including Senators Borah, Glass, Dwight Morrow, Moses, Davis and Reed. The President said that the plan had also been approved by General Dawes and Mr. Owen Young.

LATER.

ECONOMIC RECOVERY OF THE WORLD. President Hoover aid that the purpose of his action was to give the forthcoming year to the economic recovery of the world, and to help to free, the recuperating forces already in motion in the United States, and from retarding the influences from abroad and declared: "I do not approve, in any remote sense, the can- cellation of debts due to the United States, and a world confidence would not be enhanced by such an action, and not one of the debtor nations has ever suggested it, but, as the basis of settlement of these debts was the capacity under normal conditions of the debtor to pay, we should be consistent with our own policies and principles it we take into account the abnormal situation now existing throughout the world."

LATER,

President Hoover also said: "While the aetion has no henr ing on the Conference of Limitation of Land Armaments, which is being hold in February, inasmuch as the burden of armamenta contributed to bring about a depression, we trust by this evidence of our desire to assist we shall have contributed to the goodwill which is so necessary to the sclution this major question."

PERIOD OF SUSPENSION OF PAYMENTS.

WASHINGTON, June 21.

One year is being mentioned as the possible period during which war debt, and reparation payments might be suspended.

President Hoover continued conversations with the political leaders to-day and also saw the British Ambassador and it is believed that he is continuing these conversations over the week-- end, foregoing his usual trip to the country. It is understood that President Hoover has received general approval of his proposal to introduce a moratorium. from the members of Congress, with whom he talked directly or by telephone. The fact that Mr. Mellon is at present abroad should, it is thought, make it easier for President Hoover to communicate rapidly with foreign Governments.

DEMOCRAT LEADER'S OPINION.

LATED.

The next meeting of Congress at which the approval of the moratorium will be sought is December next, while the war debt. payment is duo on December 15.

LITTLE ROCK, Arkaness, June 21.

The Democrat leader, Mr. Robinson, is of the opinion that Congress is not inclined to consent to a modification of the debt settlement unless simultaneous arrangements are assured of the readjustment of reparations and a reduction in armaments.

MIXED RECEPTION BY FRENCH PRESS.

Paris, June-21. President Hoover's proposal has received a mixed reception from the PreBE.

It is a sign that America is deserting her standpoint of splandid faciation '"' exclaims "L'Excelsior:"

Le Matin concludes that Germany will still have to pay the so-called unconditional reparations and annuities under the terms of the Young Plan, as the proposal does not apply to non-commer- cialised debts.

Both "Lo Journal" and the Echo de Paris" consider the proposal was made at an inopportune moment and the latter adde ihat Germany does not deserve any favour as she precipitated her: self into the present depression.

L'Œuvra betrays suspicion but says it would applaud the proposal if it led to the general cancellation of debts.

HIGHER PRICE OF SILVER ANTICIPATED.

Shanghai, June 21. Banking circles.confidently anticipate higher silver prices T result of President Hoover's proposal, and it is generally thought- that even temporary relief of debt payments must lead to trade re- vival, in which China must share, with a consequent greater de mand for allvar..

The proposal was warmly welcomed and hope is expressed that will become effective,

Continued on Page 6.)

AMERICAN OIL COMPANIES SUED.

CLAIM BY RUSSIAN FIRMS

FOR $105,000,000.

(LEUTER'S AMERICAN SERVICE]

ANOTHER GLIDER RECORD.

CHIANG OFF KIANGSI,

TO

AUSTRIAN AIRMAN'S

TRIUMPH,

(THROUGH REUTER'S AGENCY.]

LONDON, June 21.

THE REDS” DİSMAYED.

(THROUGH REUTER'S AGENOT.]

NAXXINO, June 20. President Chiang Kai Shek is" proposing to leave for Kiukiang by gubbont on Sunday and from Kia- kiang he will proceed immediately by railway to Nanchang, which will be bis headquarters during the campaign against the Reds in Kiangai.

Another gliding record was estab. lished by the Austrian airman, Robert Kronfield, by crossing the English Channel both ways in one day, thus winning the £1,000 prize New Yonk, June 21.

offered by the Daily Mail...

Kronfeld, in a Weim glider, took The Standard Oil Company of

Latest reports declare that the New York, and the Vacuum Oil off from St. Inglovert, near Cainis, Reds are awed by the strength of Company are defendants in suits in at 6 p.m. Inst evening, being tow the Government forces concentrat the Supreme Court demanding ed to a suitable altitude by an ing ja Kiangsi and are falling back

to Fukien.

NANKING, June 21. $105,000,000 in connection with the aeroplane, then the lider was alleged purchase of 35,000,000 bar. released and landed at Swingate Chiang Kai Shek left for Kiu- rels of oil from the Soviets in the aerodrome, near Dover, at 8 p.m. tiang by gunhont early this morn past six years.

1

ho took off again at 9 pm, in

#

The plaintiffs are Salimoff and the gathering darkness and landed Company and twenty-five other at St. Inglevert at 10.39 p.m. Russian oil companies, whoso con-

An Earlier Record.. cessions were confiscated by the Soviets, They contend that the defendants bought the oil knowing it was wrongfully seized by the Soviets,

LIMITATION OF DRUGS.

FRANCO-JAPANESE PRO- -

POSALS ACCEPTED.

(THROUGH REUTER'S'ADEHOY.]

The

GENEVA, June 20. committee of the world

conference on the limitation of the manufacture of narcotics finally adopted by 14 votes to 2 with six abstentions, the Franco-Japanese proposal as a basis of discussion,

ing.

T. V. SOONG IN CHARGE OF EXECUTIVE TUAN.

THE ANTI-CHIANG KAT SHEK MOVEMENT.

STATEMENT BY VICE-MINISTER OF FOREIGN AFFAIRS IN CANTON.

DETERMINATION TO SAVE NATION FROM DESPOTIC RULE.

(From Our Own Correspondent.)

CANTON; June 21. Mr. Fu Ping Sheung, Vice-Minis. ter of Foreign Affairs of the National Government in Canton, in an interview with the representa. tive of the Daily Press yesterday in the Foreign Office here, declared that the present anti-Chiang group in Canton was not composed of incongruous elements with divergent interests. He stated:

the unificator of China; If on the other hand, his sole object was self- aggrandizement, then like Yuan Sma Kai, he would only work for his own downfall. Thus for three years many of the leaders of the Kuomintang have tolerated his im- pudence, in the eager hope that he might in the end use his power and position to the advantage of the country as a whole.

A. Second Yuan Shin Kail If you study closely the history of the Party up to 1024 you will'

"But instead of a Kemal Pasehn, find no trace of dissension what we find in him a second Yuan Shih ever among the followers of Dr. Kai in all his cunning and untrapu- Sun Yat Sen. In fact all those who lousness. He has grossly abused have recently gathered at Canton his power and position, and com in support of the anti-Chiang move pletely betrayed the confidence ment have always held identical which the Farty and the people LONDON, June 20.

NANKING, June 21.

views as to the object and pro-placed in him. Two things may be During the absence of Chiang gramme of the Chinese revolution. mentioned by way of illustration. The Canadian airman and opera Kai Shek the Senior Presidents of The first occasion for any disagree The affairs of the Kuomintang he singer Lissant Beardmore establish

the various Yuan will preside' at ed a new air record to-day, making the meetings of the National Gov merely over a question of expedi of his underlings, Chen Li Fu and ment arose in 1923, and this was placed entirely in the bands of two arament Council, while the Exceuency and not over any fundamental Chen Kuo Fu, to the exclusion of across Channel flight in an en-

tive Yuan affairs will be in charge principle. At that time, the Party many veteran leaders who had for gineless planeglider fitted with a

of T. V. Soong, who concurrently. was faced with three enemies, Wu several decades helped to foster the special detachable undercarriage will be Vice-President of the Execu-Pei Fu in the north, Chen King growth of the Party. The two towed into the air by a light 'plano tive Yuan.

The Chief of Staff will attend to Ming in the south and the forces Chen brothers were until recent

of imperialism from without. ́. As a at Lympne Aerodrome, Kent,

years not in the least known in- The plane and glider, rose to routine matters at Military Hend-matter of expediency, some mem Party circles. But through the

berk of the Kuomintang were in

caprice of Chiang Kai Shek, they favour of co-operating with the

are now raised to positions of re Communist Party in the common sponsibility to which they are not endeavour to eradicate militarism equal. One of their many mis- doings was to incite immatured jected this scheme as a hazardous adventure. This controversy led to the formation of the so-called West

quarters.

12,000 feet and the glider, en be ing released, made a 60 mile an hour swoop across the Channel and fanded perfectly at St. Inglevert AUSTRIAN POLITICS. and imperialism, while others re-

aerodrome, near Calais.

[BRITISH WIRELESS SERVICE]

Ruary, June 20.· The English Channel WAS crossed for the first time I glider yesterday by a London en- gineer named Lissant Benrmore. With a wire hawser and a tele- phone cable attaching him to his aeroplane he was towed into the Sir Malcolm Delevingne, (Great air from Lympho Aerodrome and at Britain) in opposing the proposal 14,000 feet Beardmore roleased as inadequate, said that the pro- the hawser, headed for the sea, posal lays down certain annual and made a smooth crossing, land tatals of drugs which no manufacing in France at St. Inglevert

miles inland. ing domestic and export require- turing, country must exceed, includ- Aerodrome, three mile meats based on orders received.

Full Session Approves.

At a fall session of the confer- enco for the limitations of drugs the Franco-Japanese proposals were adopted by a majority of 27 to 3, there being six abstentions from voting.

Mr. Woo Kai Seng anproved of the proposal on behalf of China, as embodying the principles of a free market and the limitation of manu- facture by a system of: permits.

CASE AGAINST LORD

KYLSANT.

EMPHATIC PROTEST BY DEFENDING COUNSEL.

(THROUGH REUTER'S AGENCY.]'

LONDON, June 20. After several hearings at the Guildhall before the Lord Mayor, the Crown to-day closed its case SUGGESTED TARIFF TRUCE. against Lord Kylsant and Mr. H. J. Morland, a former R.M.S.P. Co. auditor.

LEAGUE THINKS "TIME NOT YET RIPE."

(THROUGH REUTER'S AGENCY.]

youths to meddle with local poli- tics, leading to many outrages of a grave nature. The abusing of Party

DR. BURESCH FORMS NEW Hill group. But never for authority by these had elements

CABINET.

[THEOUGH BEUTER'S AGENOT.]

VIENKA, June 20. Doctor Buresch, the Governor of lower Austria, has formed a Cabi net, including Herr Schober as Vice Chancellor and Minister of Affairs, Herr Vaugoin Foreign Minister of the Army, Herr Winck ler Minister of the Interior, Doctor Joseph Redlich Minister of Finance, and Doctor Behuerff Minister of Justice.

moment has the Kuomintang identi- had the direct result of alienating fed itself with the Communitt the support of the local populace, movement, nor has it ever failed particularly in the northern pro to recognise in the Communists the vinces, and making the Party the powerful enemies of national peace. target of bitter criticism. In many Obstacles of National Unification, respects, the Party organ had been used to camouflage and hide the "When the Northern expedition evil designs of a tyrannical régime was nearing its goal of complete. The managemdpt of finance in the victory in 1027, there was soon to hands of T. V Soong is anothtr appear a new enemy, who has since instance of mal administration of proved to be more obstinate and the Nanking Gowrament. The more dangerous than all his pre- Legislative Yuan, under the leader decessors. This enemy was Chiang ship of Mr. Hu Hao Min, had re Kai Shok. From the first, his self-peatedly urged that in order to seeking ambition and unscrupulous effect any financial reform, the con- ness had been a cause for anxiety ditions of the national revenue and to the real supporters of the Party, expenditure must be rade known With the growing Communist to the nation. But with the con- menace on the other hand, the nivance of Chiang Kai Shek, the Kuomintang was literally between Finance Minister had been able to the, dovil and the deep sea. Was openly defy public will and con- its first task to suppress the Com- tinue to run the nation's finance as munists or to eliminate Chiang Kai the private interests of the Boong months? Shek, the potential enemy The ménage. The many Hankow group represented by labour of the Kemerer Commission Mosara, Sun Fo, Tan Yen Kal, was cleverly employed as a micahs Eugene Chon, Wang Ching Wei of diverting the nation's clamour and others maintained that Chiang for immediate reform and the much. BRITISH WIRELESS SERVICE} Kai Shek must be removed before advertised efforts at introducing a it was too late. The Nanking budget system have so far pro- Ruasy, June 19.

group including Mesars, Hu Han duged nothing but litious and dis The Prime Minister hopes to pro-Min and C. C. Wu held the optarted figures. cred to Berlin by air when he goes posite view; the Communists, in cn July 17 to return the

recent their visit to London of the German

PREMIER TO FLY TO

GERMANY.

TO RETURN VISIT OF GERMAN MINISTERS,

Three Pledges Conveniently-

Ignored.

opinion, constituted the In the course of the hearings Chancellor and the Foreign Minis greater menace, and must be sup-

"During the campaign last year Sir John Simon and Sir Patrick ter. Subject to weather conditions pressed at all costs. But one point

was clear. They all agreed that agninat Yen Hei Sham and Feng Yu Hastings, leading Counsel for the Mr. MacDonald will also fly back defence, withdrew from the case to London, probably on July 20.

the Communiste and Chiang Kai Hsiang, Chiank Kai Sher had, in She wore equally obstacles of his moment of distress made turee owing to the Lord Mayor declining to admit that the balance sheets of

national unification and must be pledges to the nation, They were the Companies were not concerned }"

eliminated sooner or later. Thus, (1) reorganization of the Party; in the case as evidence, or that the

ac documentary evidence of that (2) reform of finance, and (3) the RMS.P. nocduntancy methods did

time reveals, the Hankow group suppression of the Communists. not differ from the common prac

singled out. Chiang Kai Shek for But as soon as the military crisis: tico.

attack and the Nanking attitude was over, he had his own reasons.

these Conveniently was equally vehement towards the to

ignore

The chief allegation has been

DEATH OF MR. S: A. -HARDOON.

Geneva, June 20. The League Economie Committee has studiedag resolution adopted by the Committes of Enquiry that

meeting should be summoned as that the R.M.B.P.'s balance sheets SHANGHAI MILLIONAIRE AND Communists. But there was no pledges. For, in the case of re- soon as the time was opportune to urge the application of the prin ciples of the 1030. Tariff / Truce Convention...

over several years have not been disclosed.AMAN AN

·PHILANTHROPIST,

(THROUGH REUTER'S AGENCY.]

sign of hostility between the lead- organization of the Party, it must ers on the one side and those on be done at the sacrifice of Chen the other. The breach between Li Fu and Chen Kuo Fu. Any Nanking and Hankow was at once measure of financial reform would hoaled as soon as Chiang Kai Shek necessarily affect the position of was forced to resign and the Com- his brother-in-law as well as bis munists were expelled from the own interests. Finally, the sup Party at the end of the same year, pression of Communists would

mean the elimination of such in Cunning Mind of Dictator.

timate adherents as Shao. 11 Tzi eighty-three and had lived sixty- "It was in an unguarded moment, and others who had once prided three years in Shanghai, is reputed in the midst of military operations themselves in their Communistic

million Laels to have left a fortune of a hundred which had depleted Nanking of its notoriety. It was, then, no cause

The Company suffered heavy trad ing losses and it is alleged that the The Committee has agreed in profts shown were made up trans- principle to draw up the resoluters from hidden reserves: An ad-

SHANGHAI, Juné 20. fion, declaring that the time is not ditional summons instigated against The death is announced of Mr. yet ripe to convoke a conference Lord Kyliant was that he issued n Silas Aaron Hardoon, from heart to put into force a convention like the Tariff Trace Convention, but if prospectra in 1928, which he knew trouble giving rise to other com was false in material particulars,plications. Mr. Hardson, who was the negotiations which Britain is with intent to induce the public to conducting with certain countries subscribe to the issue of capital. with a view to lowering the Cus- toms tariffs, achieve a tangible re sult, new situation would be created which would make it pos sible to reconsider the question of a commercial convention.

MORE TROUBLE ON "POLAR" SUBMARINE.

{REUTER'S 'AMERICAN SERVIOR.]

The Lord Mavor postponed his decision on the Crown's application for a committal of the defendants until June 22, 2

A

forces, that Chiang Kai Shek was for surprise that these underlinge Mr. Hardson joined the firm of able to force himself again on the of Chiang Kai Shek should conspire E, D. Sassoon & Co. in 1873. His scene. A series of subsequent together to undermine the position It is a most unusual thing for great business ability made him a events rendered the situation of Hu. Han Min whose outspoken- defending counsel to withdraw as

notable figure in the Far East, and favourable to his return to power. nces had been the only check to protest against a ruling from the he was well-known also for his By this time, the nation had grown their aclfish ambitions and corrup- Beach. Sir John Simon, E. active share in public life as a

tired of further strife, and the tions, NAUTILUS BREAKS DOWN, M.P., is the most sought-after coun-member of the Shanghat Municipal Tainan incident had the effect of

Arch Enemy Found!" sal at the Bar and an ex-Attorney Council, and for his interest in uniting the different groups against General Sir Patrick Hastings, charitable and educational work, foreign aggressions, tirus relagatingFrom the above sketch, it may KC.. has also held the post of especially among the Chinese,

to the background the grievances be gathered that no line of demar-. Attorney-General-in Mr. Ramsay

against any one person. When ention in truth exista among the MacDonald's first Cabinct.]

Mr. Hu Han Min and Mr. Sun Fo Kuomintang leaders. From begin returned from abroad in 1929, they ning to end, they had recognized RADIO POPULAR AT HOME. found Chiang Kai Bhek installed in their common enemies Chiang Kai Nanking as the lead of the Nation Shel no less than the Communists. alist Government. The cunning If they differed at all, the difference mind of the dictator was only too was in regard to the rsethod nud apparent to these leaders, but, it order of dealing with such enemies. was thought by them, the passion Now that we have found our arch for power, could be utilinod to enemy in the person of Chiang Kai serve a good purpose. If, as dicta-Shek, the whole Party has risen as tor. Chiang Kai Shok would exer one man in its determination to aise his centralized authority for save the Party, and the Nation the welfare of the Party and the from despotic rule. The allega Nation, an Kemal Taseba had done tion of a split inside the antic for his country there was no reason Chiang group is essentially a why Chiang abould not be given fabrication emanating from a hos the opportunity to prove himself tile source"

WASHINGTON, Juno. 20. The battleship Wyoming de spatched a wireless message to the Navy Department last night stating that the submarine Nauti lus-had halted since moon in lati tudo 40/35, leugitude 14/40," owing to trouble to the fuel, oil and air. compressors The starboard on gine and port motor and periscope were damaged irreparably and the how towing ring gone. The crew were working to start the port en- gine, but the sea was rought

AMERICA-DENMARK FLIGHT.

[EEUTER'S AMERICAN SERVICE}

HASBROUCE HEIGHT, N.J.,

June 201 The Danish airmen, Captain algor Horis and Otto Hillig took off for Harbour Grace to-day on the first lap of their flight to Denmark

INCREASE OF 38,000

LICENCES.S":

[REITISH WIRELESS SERVICE]

RUGBY, June 10. The number of wireless liocnes ised by the Post Office has in crossed by over 38,000 in the last 1 month the present total being 3,711,000. These include 23,000 issued free to blind persons,