962
CANTON
and Japan and a general strike proclaimed, all Chinese leaving Slameen. On the 23rd June a monster procession moved slowly past the barricaded bridges of Shameen, shout- ing threats and defiance at the sailors and marines who had been landed from British and French gunboats to prevent a threatened entry on to the two Concessions. At the end of the procession several hundred of Chiang Kai-shek's victorious Whampoa Cadets appeared and, to the horror of eyewitnesses, shots suddenly rang out. Instantly pandemonium reigned. Thousands of shots were exchanged. A French merchant, M. Pasquier, was killed and several foreigners, among them the Commissioner of Customs, wounded. On the Chinese side of the Creek the casualties under the fire of the French and British sailors were more severe. Fifty eight were killed and a hundred wounded. All intercourse between the settlement and city now ceased. The local Government lodged bitter protests with the British and French Consulates-General and set forth five demands which included the rendition to the Kwangtung Govern- ment of the Foreign Concessions on Shameen, the punishment of the naval officers concerned and the dismissal of the British Consul-General. The threats of sections on the Chinese side appeared to warrant the island assuming an attitude of defence, and, with sandbags and barbed wire and with volunteers and Indian troops landed from Hongkong, Shameen became, and for some four months remained, a fortified camp dependent entirely on itself for all essential services and on Hongkong by means of naval craft for all supplies. On July 1st a new Government, the "Nationalist Gov- ernment" formed on the Bolshevist system of Committees, entered office. The Political Council consisted of 16 leading members of the Kuomintang with Wang Ching-wei as Chairman. On August 20th Liao Chung-kai, Minister of Finance, was assassinated at the entrance of the Kuomintang Headquarters. Various suspects were arrested including Liang Hung-kai, an important Cantonese Commander and substantial rewards offered for the capture of Ngai Bong-ping, ex-Commissioner of Police and others. General Chen Chiung-ming again rose and capturing Swatow and Waichow, which were lightly defended commenced an advance towards Canton down the East River. He was, however, again crushed by General Chiang Kai-shek's superiority in foreign-trained troops early in November. During this month the sorely-tried residents of Shameen, after a twenty weeks' 'siege' began to find some relief in the gradual return of a few of their servants and a general improvement in feeling generally. No further incident had occurred and the bridges were partially opened and defence precautions somewhat relaxed. Negotiations were tentatively opened between Hongkong and Canton merchants aiming at an end of the strike- boycott and of a situation in which both sides were suffering but they proved abortive. The boycott was maintained, with the help of labour pickets until October 1926 when it was declared terminated by the Kuomintang Government. Although the suppres- sion of the pickets gave greater freedom to trade, business generally suffered throughout the year owing to constant labour disputes and the heavy burden of taxation imposed in order to provide financial support for the expedition which General Chiang Kai-shek led against the North. With the establishment of the Kuomintang headquarters at Wuhan the Yangtsze became the centre of political and military activity of the nationalists. Compared with 1925 and 1926 the year 1927 was comparatively peaceful and except for political tension and increasing taxation trade continued unhampered. General Li Tsai-hsin, who was in charge of affairs, was driven from office by General Chang Fat-fui in November, but the coup was effected in a day with comparatively little fighting and the change did not adversely influence the ordinary business routine. In December there was a rising of the Red elements. They captured the city and held it for three days, but were then driven out by the Government troops. The city for a short period was given over to wholesale looting, over 5,000 lives were lost and millions of dollars worth of property destroyed. Fires were purposely started by the Reds in more than ten places and blocks and blocks of buildings were razed to the ground. During 1928 political conditions became much more settled, and there were no really serious disturbances to check the steady march of progress and reform in Canton. The present year opened much more hopefully than for some time past, and there was general confidence that trade and industry would show great develop- ment during 1929. At the moment of writing, plans are being made to establish a regular air service between Canton and Shanghai, calling at Swatow, Amoy and Foochow en route.
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