1936-08-25 — Page 1

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The

FIRST EDITION

Library, Supreme Court

Hongkong Telegraph.

CHEVROLET

FOUNDED 1681

Nu. 14

二拜 號五廿八英港香

TUESDAY,

AUGUST 25, 1936.

日九月七

GERMANY MILITARY

EXTENDS

SERVICE

FRANK MOVE AGAINST THREAT FROM SOVIET

FRANCE FEARS RELATIONS MAY

FURTHER STRAINED

BE

Berlin, Aug. 24.

Germany has extended the period of military service to two

years.

A communique signed by Herr Adolf Hitler and General Blom- berg states that the Chancellor has decreed the period of active military service in the three branches of the armed forces to be fixed forthwith, uniformly, at two years.

The official comment of the new military and naval service decree speaks of a world trembling "from the horrors of bloody civil war and. fierce economic troubles."

It says: "History has taught us it is better to make great sacrifices, if necessary, for peace, than to sink into Bolshevist chaos.

France.

"Against Soviet imperialism and its military threats, Nazi Germany, as the trustee of its own peace and defender of its culture, will take any measure necessary to guarantee the freedom and independence of the nation in all circumstances."-Reuter.

FRANCE SHOCKED

Paris, Aug. 24.

Chancellor Adolf Hitler's army service decree has shocked

It has ended the jubilation over Germany's adherence to the non-intervention agreement with respect to the Spanish civil

war.

Is

While it is the general desire to avoid premature judgment, it anticipated that Germany's decree will further strain German-Sovlet relations.Reuter,

ARMY OF MILLION

Berlin, Aug. 24,

It is estimated that the German

RECRUITS

OFFERED

BOUNTIES

urmy will be increased to at least ITALY WANTS MEN

1,000,000 men within a year by the decree which was signed by Reichs- and which fuchrer Hitler to-day, increases the period of active milit ary service for all arms by one year. lo two years.

The oftial comment states that measure Germany will take any necessary to guarantee the freedom

FOR AFRICA

Rome, Aug. 24.

GERMANY

SUPPORTS EMBARGO

RUSSIA ALSO IN AGREEMENT

NO ARMS FOR SPAIN

London, Aug. 24. - Optimism now prevails here with regard to the progress of the plan for non-lutervention in the Spanish civil war as a result of Germany's adherence to the French scheme,

An appeal for volunteers for the which means that Franer, Britain and Colonial Army in Ethiopia, Eritrea Germany are now actively engaged and Somaliland has been issued by in putting an embargo into operation. The next step, it is expected, will the miltary authorities.

|be a French request to Italy, Portugal

Immediately, and thereafter any out-

presumably.

diplomatic

to Enrolment is open

non-com-

and independence of the nation missioned officers und men of all and Russia to enforce an embargo against the milltary threats of Soviet arms of the service who have been standing points will be dealt with,

unperialism.

The decice will throw still heavier burden of organisation on the Reichswehr hard-worked already

New barracks will have to generals. be built throughout the country and bus will have to be found to trim Die extra conscripts.

POWERFUL

FORCE

After October of this year, when The 1010 cinss of conscripts is called to the colours, Germany will have u standing army of 200,000 men serving, for twelve years, and the 1015 and 1016 classes, each of 350,000 men.

Later, when the post-war classes are called up, Germany will probably increase the drafls, and the army will muster a total of 1,000,000 men. Reuter Special.

OGPU PLEDGE BROKEN?

TROTSKY'S PUNGENT

COMMENT

discharged or

manent leave.

through

who are on per channels.--Reuter,

The period of service is for not less thin two years. Volunteers will receive bounties on enrolment and at

SOVIET SUPPORT

Moscow, Aug. 24.

M. Moxim Lilvinoft has informed the French Ambassador that the the beginning of active service, and Soviet agrees to the embargo on arms, of pay.-Reuter jammunition and acroplanes to Spaln. also higher rates Special.

The Soviet also forbids the fum ment, of

enntracts already placed, provided Germany and Italy Land Portugal adhere to the same

BRUTAL ASSAULT Reuter,

ON EUROPEANS

SOLDIERS DISMISSED

FROM ARMY Two privates of the 2nd Battalion, East Lancashire Regiment, have been sentenced to 18 months' imprison-

week.

to the

BRITISH OPTIMISM

London, Aug. 24.

negotiations for a non-intervention agreement have given much gratin- cation in authoritative Brialah circles, where there is evident optimism that the wider dangers inherent in the situation arising from the Spanish conflict will now be abviated.

Warm tributes are paid to the

SINGLE COPX 10 CENTS $10.00 NEIL ANNUM

IF WAR COMES TO ENGLAND

Well Worth A Visit !

LAST

WEEK OF SUMMER

SALE

AT WHITEAWAY'S

The Government's new mobile gas chambers are travelling about England giving demonstrationa. If uur planer over bombard the British Isles, with gas bombs thrae emergency unita may be the means of saving many lives. The chambers are simply motor vans with specially-constructed gas-proof bodies, and in the illustration newzpa permen have just had ten minutes' "experience of their interiors at the Metropolitan Police College, London,

Soong Sketches

Great Kwangtung

Reform Scheme

PRODIGIOUS

BEFORE

PROGRAMME GOVERNMENT

MADRID'S BOMBING ADMITTED

BUT DAMAGE ONLY SLIGHT

REBELS GATHER

STRENGTH

Rabat, Aug. 24. Twenty-one rebel planes have bombed Madrid's principal aero- drome. Canton, Aug. 25. Scientific methods, expert accountants, experienced public. ministrators and an eminently successful banker are gradually bringing order out of the chaos which was Kwangtung's provincial treasury.

י

The banker-Mr. T. L. Soong, Kwangtung's new Finance Commissioner and also. Deputy Minister of Finance for China since July 23-took more than an hour from a busy day to explain to the- United Press the present situation.

Aided by his direct, business-like manner of answering his interviewer's questions, it quickly became clear that the new Com- missioner has a fairly accurate estimate of the finance department he took over from the Chan Chai-tong regime, that national, as distinguished from provincial and other taxes, are being dealt with separately for the first time in a decade, that the six outstanding problems under the purview of the Finance Department are al- ready well on the way to solution, but that the Finance Commission-. er, as well as those about him, are well aware of the enormous task remaining before them.

The six problems whose practical solutions are believed to be in sight. were not separated into a list by the Commissioner himself, but arranged themselves during his exposition of the complicated duties which are keeping him at his desk, or in the conterence room for hours longer daily than bankers are supposed to toil. The list cumprised the follow- ing problems:

1. Reduction and abolition exorbitant or illegal taxes: STABILISATION

reserve.

ul

Nanking Army Withdrawing

From Kwangsi

slop 10

CHIANG KAI-SHEK

CONCILIATORY

They dropped 400 explosive bombs, according to a despatch from Jerez de la Frontera. Reuter.

Bombing Admitted

London, Aug. 24. The insurgentselain to having bombed Madrid from the air, which wus at first denied by the Govern- ment, is now officially admitted.

only

•

EXCEPTIONAL

REDUCTIONS I

NEW PLAN TO REPAY RAIL LOAN

CHINESE OFFER TO BOND-HOLDERS

MUST LOSE INTEREST

Shanghai, Aug. 25.

The Ministries of Finance and Railways have announced an offer for the resumption of finaricial service on the under- mentioned loans of the Lung Tsing U-Hai Railway; namely; the £4,000,000 per cent. loan of 1913; the 30,750,000 guilders 8 per cent. short term treasury bonds of 1920 and 1923: the 137,743,000 Belgian franca 8 per cent, short term treasury bonds of 1920, 1921 and 1923; the $5,000,000 (Chinese) 8 per cent. short term reasury bonds of 1924; the 21,260,000 French. francs 8 par cent, short term treasury bonds of 1925 issue to refund the 1919 loan.

The offer is as follows:

+

Firstly, that interest be paid at the rate of 1% per cent. per annum for the year commencing July 1, 1935, the annual rate to increase by a half per cent. yearly up to four per cent, in 1941-42, and to be four per cent. thereafter until the bonds are fully redeemed.

The first years the interest will be paid annually at the end of each flscal year and thereafter semi- annually, two per cent, on January 1 and two per cent, on July 1.

and

then

Secondly, payment of interest and repayment of principal will be made In equal instalments beginning July 1, 1947, and to be completed in a maximum period of 35 years from that date. Interest will be

be paid first out of the annual remittance, the principal. The principal is to be paid by drawing the bonds at or above par and by purchase in the open market the consultation with representatives of the Chinese Government if the bonds are quoted below par. If the bonds of any loan are unobtainable in the open market, the fiscal agents shall advertise for tenders, the lowest of which will be accepted.

MAY INCREASE PAYMENTS The part of any annuity applicable But a Madrid despatch says that to repayment of principal shall be the military nerodrome at wholly expended in each yearly Getafe, ten miles from Madrid pro- perlod either on drawn or purchased. per, was bombarded and that little bonds. The Government shall be en- titled, upon reasonable notice, to in- damage was done.

crease the amount of principal retired on any payment date pro rata for all five loans.

The comparative stalemate in the civil war appears likely to be broken shortly. A number of Moorish troops have been brought from Morocco by air and are now at the Insurgent Junta's headquarters ut Burgos. They are taking the field to-morrow, and will probably fight on Guadarraina front-Reuler.

the

Thirdly, the service of the afore- mentioned loans shall be a prior charge upon the net earnings of the railway from Slan to Loyang and Any surplus of Kifeng to the sea. railway earnings between Kifeng and Incident Closed

Loyang, known as the Pien-lo Rail- way, shall be devoted towards the London, Aug. 24. As a result of the apology tendered said loan service as soon as the 1903 by the Commander of the Spanish loan and the advances due by the

and cruiser Miguel de Cervantes, it is said railway, shall be paid off, understood that the British Govern-railway incorporated In Lunghal.

the ment considers the incident of stopping of the British steamer Gibel Zerion, on the high seas, closed. Reuter Bulletin Service.

Goes to Gib.

the

TO LOSE INTEREST Fourthly, all arrears of Interest up

to July 1, 1936, are to be cancelled.

Fifthly, holders accepting this

London, Aug. 24. offer shall hand their bonds to scal Latest reports indicate that the agents for stamping and the attach- British cargo steamer, Gibel Zerjon.ment of a new coupon sheet. All The Central News, semi-ullicial which ws previously stated to have foreign taxes on coupons and prin-

Shanghal, Aug, 23.

which

Chile Grateful

London, Aug. 24, The Chilean Government has ex- thanks for assistance

The Ministry of Railways has also announced that the authorities are taking steps to improve conditions on the railway, and iis administration, according to the principles quliined in the loan agreements, for the bericht of

both the Government and the bond-

heldera--Reuter. Prime Minister, M. Leon Blum. No tical to that towards gambling. It General Pei Chung-hal-United British. Wireless.

been evacuated

British ships.—

2. Stabilisation of the Kwangtung dollar and the national yuan ex- change rate. (It will be observed that the notes issued by the previous news service, reports from Canton gone to Melilla, made for Gibraltar cipal nre to be borne by bond-holders. The offer is the outcome of pro- regime were not secured by an that Marshal Chiang Kai-shek has after the Incident in

Through adequate.

the ordered his troops to withdrawpology was made to the British tracted consideration of the subject 'To-day's developments in the active assistance of the Central

atral from the Kwangsi border in order naval authorities, following their and discussion between the Chinese Government, the large inadequacy to avoid the possibility of clashes protest against the attempted inter- Government and the representatives will be made up. In addition, finan-

Spanish cruiser Miguel de Cervantes. cial and monetary experts have been which might precipitate a wide-ference with the Cibel Zerjon by the of the bond-holder

-British Wireless. sent from Shunghal and Nanking spread action.

This new conciliatory gesture la and have been tackling successfully other phases of this problem); not explained.

Eradication of gambling, 3.

it is understood Meanwhile, 4. Instituting reforms

ar- pressed its mont with hard labour and dis- pallent and far-seeing statesmanship oplum smoking. (The Commissioner's that General Chen Chien la charged with ignominy from His shown throughout the long and attitude, towards the problem of ranging for a personal conference rendered to Chilean nationals wish Majesty's forces, according

dimet negotiations by the French opium, and its ramifications, is iden- with General LI Chung-Jen and ing to leave Spain, all of whom have promulgated decisions to-day of n

secret has been made by the French

the must be suppressed in shortest Press. District Court Martial which sat.last Government of the valuable and possible period. His ambition is to timely support which M. Blum's The men ore Private It. Sullivan Initiative has had throughout from completely eradicate the health- Almost drug within three years, Į and Private T.C.K. Masters and they the British Government. On several were found guilty of common assault occasions the British have seconded Canton was to

a petition to M. Trotsky has commented pung-on Mr. G. Bond and Mr. E. L. Curtis, the French representations in other the Central Government to instruct was the Central Oplum Suppression ently on the death sentences passed both of No. 002, Nathan Road, on capitals, when such assistance

desired, and Britain's unliaterai and on M. Zinovicir, M. the night of July 25.

last organisation to send a corps of ex- assumption In Moscow

perts to organise control and oven- During the Court Martial, evidence unconditional Kemenelt and fourteen others accused:

EGYPT SEEKING tually finalise the work); of plotting the murder of M. Stalin was brought to show that Mr. Bond Wednesday of the obligations pro

wided for in the French plan and the overthrowing of the present heard the horn of his car being too much to strengthen confidence in an

ENTRANCE

Soviet regime.

ed and got out of bed to investigate.

Coiro, Aug. 24. smuggling Apparently they were sentenced to The two soldiers were in the car and ultimate general agreement.-British

5. Suppression Wireless. with them

Immediate steps are being taken which was rampant in Kwangtung death despite a promise which they when he remonstrated wit

under the former regime. (The Com-with a view to securing Egypt's ad got from the Ogpu that their lives they set upon him. He summoned the assistance of his friend, Mr. would be saved if they pleaded guilly, Curtis, who discharged a firearm in

missioner gave assurance. that the mission to the League of Nations.

The Regents have requested the KING GEORGE FUND

will be most stringent mensures the hope of frightening off the men.

adopted to stop smuggling, which not Premier, Nahas Pasha, to request, the Trotsky suggests that unknown Both the civilluns, however, receivell

London, Aug. 24. only will increase the much-needed League to admit Egypt as a member, woman having spics, like M. Bernman, M. Oldberga severe battering from the soldiers

George National national and provincial revenue, but and it is understood that after the Jows. This is the first time a a signing of the Anglo-Egyptian Treaty Jewish settlement has been fined since and M. David, may not be executed, and Mrs. Bond was also struck by

will also imbue the people with but that they will be released under them before the pollee arrived and Memorial Fund has now reached a

greater sense of morni responsibili-in London, Nahas Pasha will go to the beginning of the disturbances. to Shamshulpo total of £210.323-Brillih Wireless.

Reuter's Bulletin Service. other names and possibly receive took the assailants

Geneva for this purpose-Router, (Continued on Pajo 12.) promotion-Reuter,

said Trotsky.

Oslo, Aug, 24.

Police Station.

The King

his first

on

+

in arriving RECRUIT FOR

LEAGUE

CURBING 9MUGGLING

of

VILLAGERS FINED

JEWS RESPONSIBLE FOR WOMAN'S DEATH

Halfo, Aug. 24. The first collective find imposed on any Jewish settlement has been levied on a village named after Sir Herbert Sumuel on Mount Carmel, which has been fined £250.

The he was due to on Arab been killed by

ECONOMIC PARLEY

DR. SCHACHT VISITS BANK OF FRANCE

Paris, Aug. 24.

Dr. Hjalmar Schacht, Governor of the Reichsbank, is on a visit to the Bank of France. It is understood that important economie and unan- cial questions will be discussed during the visit.

This is the first time that an active. Minister of the Nazi Government has vielled Paris,Neuter's Bulletin Ser- vice..