1935-02-05 — Page 1

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The

Hongkong Telegraph.

· FOUNDED 1881.

•No. 14558.

㟖體 號五月二英港香

TUESDAY, FEBRUARY 5, 1935.

日二初月正

·BINCHW COFPE 19 CENTS

EUROPEAN PLAN

FOR PEACE

COLLABORATION OF NATIONS

ANGLO-FRENCH SCHEME WELL RECEIVED

(SPECIAL TO “TELEGRAPH")

London, Feb. 3.

A joint Anglo-French communique has announced the readiness of both countries to grant Germany equality and to abolish Part V of the Versailles Treaty if Germany rejoins the League and joins in a general Armaments Convention.

Britain and France have accordingly invited Italy, Germany and Belgium to negotiate a mutual aerial as- sistance pact. It is stressed that the purpose of the Anglo-French conversations is to remove tendencies "leading to an armaments race and increased war dangers."

The Anglo-French communique reaffirms the de- claration of December, 1932, in favour of equality of rights within a system of security; proclaims Britain's readiness to join the Franco-Italian agreement reached

in July 1 to safeguard the independence of Austria;

states that Britain adheres to the Franco-Italian de- claration of the same date refusing to admit unilateral modification of the Versailles armaments provisions; and adds that France and Britain have agreed to at- tempt "a general settlement of freely negotiated issues between Germany and the other Powers.

The communique also discloses a determination on the part of Britain and France to avoid dictating terms to Germany-United Pre 88.

London, Feb. 3.

An early development, follow- of On ing the announcement

here; Anglo-French agreement

morning when occurred this Signor Grandi, the Italian Ambas- sador called upon M. Laval, the visiting French Foreign Minister, at 11.30 a.m, and had an hour's conversation with him. The na- turo of their talk

nut Wie ivulged, but the visit is con- sidered a logical sequel to the agreement reportedly reached Inst night, when it was stated that the concerned various Governments would be informed at once.

Without doubt, say close to both sides; the interview was devoted, at least in part, to the proposed air pact; and prob- ably the bearing of the Anglo-French conversations to the Rome Paet was also investigated. DECLARATION EXPECTED After a full meeting of the Anglo-French delegations at 4.30

observers

GERMANY WILLING

TO TREAT

LONDON TALKS AS BASIS

PLEASED BY AIR PROPOSAL

(Special to "Telegraph”)

Some of the school childrm who were aboard the 2.1. Tungchow when she was pirated. The group was taken at the Repulse Bay 11otel, where 1 hey were entertained to tea by Maxırs. Dukturfiald

and Swire. (Photo: Ming Yuen Studio).

W. Neusel

Thrashes

Petersen

ENGLISHMAN'S GAMENESS

SECONDS.

SURRENDER

Wembley, Feb. 4.

In a hurricane fight here to-

CHINA'S FINANCIAL CRISIS

FORCED DOSE OF INFLATION

BUSINESS PARALYSIS

London, Feb. 4. The current issue of the

India's

Reforms

Debated

NO EXCITEMENT IN ASSEMBLY

IMPERIALIST. DOMINATION

New Dell, Feb. 4.·** The galleries of the Legislative

opening of the debate on the new Indian reforms, but there was an absence of excitement.

SEASON'S

DEPARTMENTS

AT NEW EXCHANGE PRICES

OT

WHITEAWAY'S

PREPARING FOR

ELECTION

"NATIONAL" FORCES

REORGANISING

LLOYD GEORGE WON'T BE APPROACHED

London, Feb. 4

The Daily Telegraph, which is usually in close touch with Government opinion, says it is accepted in Cabinet circles that there will be a reconstruction of the Govern ment in the autumn, as a prelude to an appeal to the country, on a "National platform."

1-བད

The election will probably take place in January or February of next year. The Government's political organisers deprecate a post-Budget election, recalling the Conservatives' disastrous experiences in 1929.

The Daily Telegraph declares that the rumours that Mr. Lloyd George will be approached to join the National Government are entirely without foundation. -Reuter.

RUSSIA'S FIGHTING MACHINE

Ever since Mr. Lloyd Georgs launched his "Now Deal" program- me, there have been repeated suga gestions that he might be induced to throw in his lot with the Nation- al Government, especially since he has indicated that he puts for ward his proposals on a non-party basle,

Cortain members of the Cabinet. are known to favour Mr. Lloyd

CAUSE OF WORRY Gorgo's inclusion, but it has been

IN EUROPE

JAPAN AND

S. CHINA

London, Feb. 4. The Manchester Guardian, in: commenting on the diserma- ment outlook, says it would be idle to blame Russia for rearm ing when everyone is doing so.

indicated that they are most un- likely to be able to impose their wishes on their colleagues. Moreover, It is known that Mr. Lloyd George is disinclined to Join any Government which in- eludos Mr. Ramsay MacDonald, Mr. Noville Chamberlain or Mr Walter Runciman,

THE RIGHT MOMENT The National Government has for some time been considering when would be the most ap-

night, Walter Neusel, the GerFinancial News-in-an-editorial Assembly were crowded for the The enormous development andpropriate moment to appeal to the

man heavyweight, beat Jack Petersen, the British champion, in the eleventh round of a scheduled 15-round battle.

Petersen's seconds threw in his towel.

says: "China is having a most virulent dose of deflation forced upon her by the silver policy of the United States.

domination; and recommends the ceived in a spirit of Imperialist Governor-General to advise His Government not to Majesty's

A motion tabled by Bulabhal Desat, Leader of the Opposition, states that the proposed scheme "As long as the local paper cur:for the Constitution has been con- roney is convertible into silver and It was a terrific struggle from as long as silver circulates freely, start to finish. Only Petersen's the link between the metal and the Rumeness allowed him to carry on monetary position in China cannot through the eleventh round as long be completely severed. us he did, after having been dropped ;

"Unfortunately there appears by a short right hook.

little hope of an early change in the He had had his face hammered United States policy. On the other

heavily and was taking punch after fly Telegraph, Copyright. Telegraphie Mpunch on the jaw when his seconda sages Ordinance, 1111. Recrived, February surrendered. He would not. The 5, a.m.)

tchwel saved him from further Berlin, Feb. 4.

punishment. It is learned in reliable sources

Petereen was floored for a mo-

Neusel fought like a tiger- Reuter.

LIGHT-HEAVIES

o'clock this afternoon, it is ex-that Herr Hitler has told the pected that a declaration will be British Ambassador, Sir Erlement in the third and tenth rounds. Issued on last night's discussions, Phipps, that Germany is willing outlining the agreement reached at to enter into discussions on the that time.

It is farther believed that this basis of the London proposals.

It is understood thal Sir Eric has is to be a three-page document, in which the proposed Air Con-intimated that a British delegation, vention is the most important possibly headed by Sir John Simon item. The declaration is also or Capt. Anthony Eden, will soon expected to inelude reaffirmation visit Berlin to inaugurate conversa.

tlons. of the Geneva Declaration of

It is stated, too, that Herr Hitler 1932, and a statement relating to indicated to Sir Erie that Germany the abrogation of the military clauses of the Versailles Treaty would accept in principle the air defence proposals. wel

of

Berlin, Feb. 4.

Mountain Ash, Feb. 4. Eddie Phillips, of London, out- pointed the Welsh fighter, Tommy the light-heavyweight championship Farr, in a fifteen round right for

of Britain to-night-Reuter.

(omitting the demilitarised zones), cofed by many because the STOP PRESS

Further, the declaration will embody recognition of Germany's probably include a statement re-air fleet-United Press..

co-ordination garding the Anglo-French activities in various A definite statement that Ger- existing pacts and projected pacts. many will regard the London pro- posals as the basis for negotiation, INFORMAL TALKS

was made by a Government spokes-

man-to-night-Reuter.

comment

EARLY REPORT

Berlin, Feb. 4.

LONDON SILVER PRICES

Slight Advance · Reported

London, Feb. 4. Silver prices to-day were 1/8 up as follow:

·Feb. 2. Feb. 4.

-Spot 24:5/16 24,7/16 Forward 24.7/16 24.9/16 London on New York cross rate at 2 p.m. to-day was 4.8718 compared with 4.8712 at closing on Satur day.Our

GOTTES- Own pondent,

country.

Somo-members-think-

high offciency of the Ituasian Army in the Far East has caused the that it would be wise to allow Mr. danger to Russia in that quarter Neville Chamberlain to present

two more Budgets before deciding ⠀ perceptibly to recede.

on a General Election; others are of the opinion that an appeal should be made either in the autumn or early in 10

The Japanese, says the journal, are beginning to pay less attention to Northern China and more to the promise well for British and Ameri- South, in a manner which does not can interests there."

But, says the Guardian, Russian proceed with legislation based on armament must react unfavourably on Poland, and specially Germany. the scheme.

Nripendra Nath Sircar, Law All-round limitation of armamente, Member, sald if the Governerds the journal, seems now less

likely than ever-Reuter.

General and the Governors used their special powers, the Consti tution would not function, but they must assume that the Gover- nor-General and the Governors would be men of common-sense. While he did not suggest that the safeguards would not be effective, reasonable people would not find them harmful.—Reuter.

THREAT OF STRIKE

WORKERS FIGHT MOTOR CODE ·

When the Conservatives were. last in office, Mr. Baldwin, Tearing an adverse vote in the House of Commons, went to the country in May, 1929, after the presentation of the Budget. The move was dis astrous, as the Labourites gained a

sweeping victory, pooling 287 seats against the Conversatives' 260, the Liberals having only 60 seats and

Inflation Of the Independents 3. Labour thus

Bonds

GREAT DANGER TO AMERICA

(Special to "Telegraph")

Washington, Feb. 2. Representative John A. Martin, Democrat of Colorado, to-day said: "The remonetisation of silver la the best solution to the nation's financial problem."

went into office for the second time, being the largest single party, but with a majority not sufficient against the other parties combined:

Labour remained in power until the crisis of 1931, when the National Government secured a sweeping majority,

HAUPTMANN DEFENCE

REILLY'S LATEST

CONTENTION

return with

He said, further, that the bond (5pacial to “Talograph”)

law just passed, permitting the national debt to reach the sum of Washington, Feb. 2.

(õpedal in "Telegraph”) Following the Tungchow piracy, hand there is every Indication, that

It was learned here to-day that $45,000,000,000, "permits the in- it is gaining new momentum, there the Automobile Workers' Union flation of bonde which is more dangerous than monetary infla- seek salvation | had ́ ́demanded ** tho American

Flemington, Feb. I. tion." In the meantime, M. Flandin,

there is a possibility of a reward fore Chins must

with herself.

In Monday's cross-examination, Federation of Labour's sanction to

Also, ho said that he could not the State will attack the claim the French Prime Minister, has

being offered for the capture of

Wall Street "She may, therefore, be forced to strike within a month as reprisal motored into the country where!

can look at this inflation of bil: advanced by Mr. Peter Sommer .he is the guest of Sir Gomer

the gang, or members of the gang, gradually shall her local silver against the extension of the Auto-comprehend how Berry. Ho left London early this

"on" a ferry-bosti. It is reported that the executives llons of bonds without batting that he saw the kidnappers with

a living child While officialdom declines to responsible for the affair. It is currency and establish an incon-moblie Code. morning, and will remain in the

vertibla paper currency."

of the American Federation of an eye, and yet be aroused when on the proposals understood that Naval authorities An editorial lu the current issue labour are considering the demand, it is proposed to convert silver in- contending that they would not country until afternoon.

corpse to the neigh“ London, sug-

to money." Mr. Neville Chamberlain, the emanating from

Representative Martin added bourhood of the Lindbergh home. Chancellor of the Exchequer, gesting a European agreement are, at present discussing the of the Financial Times says: "The but express their doubts that, contraction of credit in China has even if they approve, they fear

Mr. Edward Reilly, defence at and Mr. Walter Runciman, Pre- for the security of peace, at matter with Messrs. Butterfold almost paralysed business and con; that the strike will fail,United that the people want the expan-

sion of currency, which is torney, is expocdd to Introduce twa sequently the country is facing a Press.

erroneously classified as inflation. Federal Department of Justice? most critical situation."

He said: "We have got to chea. exhibits Bratly, a phonograph pen money, because, money is recording of "Jafsio. Imit still over-valued."-United Press. the kidnapper's voice; and, (Special to "Telegraph”).

Ty, Jafate plaster cast. Batavia, Fab. 5.

footprints found in the com an unfortunate mis My Reilly Piszconvinë is based on silver, and now the re- The Government has authorised There was

print in the Pepys article on neither the affect upon nations whose money

matches HauĎURI Laxation in the silver operations Civil Service officials to prepare for Baturday. The reference to H Holly expects has come too late to prevent a dan- the enforcement of rubber produc captain of the Mohawk, should-havd gorous financial situation in China.. tion restriction in the Dutch East reads "Ho at Tustiseems to have this evidence, and to

Jury on Thursday - United United Press.

Indies on April 1-Router Special. been a glit to his service

sident of the Board of Trade, and least pending a fuller study of probably the Prime Minister, Mr. the suggestions, it scoms safe and Swire. MacDonald, will join M. Flandin to predict that unconditional for luncheon, at which the talks acceptance by Germany of an will be continued informally. Eastern Locarno Pact or an

London, Feb. 4.

At the moment there is no In-

The anticipated communique on Austrian Pact is unlikely. And formation avaliablo regarding the the Anglo-French talks was issued if adherence to these pacts is possibility of joint Anglo-Chinese made 'a first condition before here early to-day,

The communique states that the armament negotiations are un-action in the Blag Bay region. first proposal is for an aerial con-dertaken, Germany will not wel-

(Continued on Page 7)

(Continued on Page 7.)

"When the United States-Included silver in their monetary reserves, they firstly completely disregarded

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