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The
FINAL EDITION
Lavery, Sunrome Coet
Hongkong Telegraph
FAR EAST MOTORS – 59101
No. 13390
WHITEAWAY'S
FOR
XMAS GIFTS
AT
MODERATE PRICES THE FINEST SELECTION IN TOWN
Soo Page 5
TOUNDED 1001 二拜禮 號一卝月二十英港香 TUESDAY, DECEMBER 21, 1937. BA→GIA CORY DOCENTS Whiteaway, Laidlaw & Co. Ltd.
PER ANNUM
JAPANESE DENY MACHINE-GUNNING PANAY REPORTS ON Suspect Army Radicals Causing Japan Trouble
INCIDENT CONFLICTING
*
OFFICERS DOUBT"
IF
U. S., SHIP ACTUALLY FIRED ON TROOPS
Shanghai, Dec. 21.
Retraction of one of the main findings of the Panay investigation was made by Major-General Harada at a press conference, when he said that he had now established that the Panay did not fire cannon shots at the Japanese army units, but he reiterated that the Japanese army boats did not fire on the gunboat.
Major-General Harada's statement was based on the investigation of Lieut-Colonel Nishi, War Office staff officer, who explained that the commander of a small Japanese unit heard the sounds of what appeared to be shells, but the commander of a larger unit said he considered this was not the case since the shells had not exploded in the vicinity.
Major-General Harada and Lieut-Col. Nishi both said that personally they doubted the report that the Panay fired shots.-Reuter.
Doubtful Reports
Shanghai, Dec. 21.
At the press conference in Shang- hal to-day at which newspaper cor respondents Interviewed Major-Gen- eral Harada, the Japanese spokesman said it was "doubtful" whether Pansy fired on the Japanese army unit which was ashore.
the
-Ile-introduced Lieut-Colonel Nishi, who was sent to the scene of the in- eldent by the War Once to invest!- gate. Col. Nishi said the Japanest army commander thought he heard three shells whistling overhead while the Panay was firing at the Japanese planes, although he did not hear the shells explode.
Col. Night sald: "I believe the im- pression gained by the Commander was inaccurate."
"There Was No Firing"
Regarding the machine-gunning of the Panay, Colonel Nishi said he had parti- investigated that report very cularly and he was convinced theref
under
the was no firing, and that situation it was impossible any firing could have occurred."
Major-General Horada did not re- port to the conference concerning the Ladybird ineldent, ny he said he had been instructed by Tokyo to sus pend an announcement of the Wulu affair pending conclusions of negotin- tions in Tokyo,
More Queries
On Prison Food Supply
Sir Henry Pollock
Still Inquisitive
1
The Hon. Sir Henry Edward Pol- lockt, pursuant to notice, will ask the following questions In Legislative| Council to-morrow:
With reference to the report of the Prisons Committee (published os Sessional Paper No. 7 of 1937) will the Government state-
(1) On what date was that report sent in by that Committee to the Government?
(2) Is the Government, in regard; to the supply of food to prisoners! during the year 1938, following the recommendations of that Committee?!
not will the Government state in what respects it is not following the recommendations of tast Committee and for what reasons?
(3) What Olcer of the Gaol is responsible for recommending to the Tender Board the acceptance of aj particular tender for the supply of food to prisoners? Barrage Of Questions
(4) Who is the proprietor of or correspondents ques- Newspaper tloned Major-General 1lorada on his who are the partners in the Hop Keel statement for an hour without gain-which is referred to in that part of ing elucidation on points which con- tradicted everything known before
his investigation.
The General said he had not inter viewed unyone personally involved in the affair. When it wus pointed out that the Japanese originally stated they did not know about the Panay incident until 10 am. on December 13, the General changed the Arst sen- tence of the statement to indicate that the Panay went in the direction of Nanking which was still fh Chinese hands, in order to vestigate Ladybird bombings.
tho
Asked whether the Japanese Army's own Investigation had not
the said Committee's report which:
CANTON RUSHING
TO MEET ATTACKS
Preparations For Emergency Speed Up in South
Tsingtao New Danger Spot
Canton, Dec. 21. Although Canton has resigned
itself to the prospects of hostili- ties in South Chim, and feverish military activities are reported Įto be taking place, including the! arrival of several thousands of
Kwangsi troops to Kwangtung, usually well informed Chinese and foreign sources hestitate in give full cretience to the recent rumours that a Japanese inva sion is likely, at least present.
for the
Admittedly the time is ripe for Canton to share the fate of the offer big cities in Ching, but the likelihood
of trouble at Tinglao, where
outlook bus suddenly become omin-
ous, may temporarily direct the direc- tion of the war from South China, where all sources agree the Japan- ese campaign will prove very CX- pensive, necessitating Japan's best men power,
The
he Chinese
still are
crowding Hongkong steamers fearing that op portunities for evacuation will not be available later. Student bodies which have been quiet for this part of China, are now coming to the fore- front, and the vernacular papers re- part anti-Japanese demonstrailuns and mass meetings_can_be_expected} in the near future-Reuter.
PUNISHMENT DEMANDED
Tokyo, Dec. 21. Drastic punishment of the Chinese who set fire to Japanese cotton mills (Continued on Pope 1.}
TENSE MOMENT IN JERUSALEM
This British policeman in Jerusalem's old quarter is arresting an Arab, dressed in European clothing, said to have slain a Jewish youth during an outbreak of terrorism over racial differences. Disorders continue in Palestine, and British troops are frequently involved.
Britain Orders More Cruisers
London, Dec. 20.
Financial
Mr. Geoffrey Shakespeare, Parliamentary and Secretary to the Admiralty, stated in the House of Commons
OBSTRUCTION IN PANAY ENQUIRY NOW SUGGESTED
JAPANESE VERSION OF ATTACK NOW DIFFERS WIDELY FROM ORIGINAL
(Special to "Telegraph")
Shanghai, Dec. 20. Foreign military circles are closely watching the apparent split between conservative and radical factions in the Japanese Army. Victory for the latter in the Panay and Ladybird cases might mean the constant infringements of the rights of third powers, in China, resulting from the insurgence of the younger officers.
The split, according to well-informed circles, dates from the February, 1936, revolt in Tokyo and has become wider on the battlefields of China where often the younger groups of officers have followed their own ideas because their superiors' orders "were not proper thoughts," it is said.
HOOVER'S BACK IS BROKEN
Dismal-Outlook-For $8,000,000 Ship Helplessly Pounding
in- From such incidents as that volving the Panay, when naval planes went up-river with orders to find an alleged convoy of retreating Chinese reported 30 miles from Nanking, and that involving H.M.S. Ladybird, on which the Japanese fred because of orders to sink anything in the Yang- tse, it is apparent that the younger radicals are in the saddle. Since these incidents, it is believed, much hus-been-done-to-impede-the-proper Investigation by Japanse
higher officers, and thus the length of time required to produce an oilleial state- ment is explained. The conflict in important parliculars with previous tesimony bears out the idea of rndl- cals' obstruction.
According to word received in Fear Further Complications Hongkong this morning the j Conservative. drmy and
navy
STOP PRESS for that an order for four 8,000ton cruisers was being placed position of the Dollar Line's officers for the split is also reported
TRANSPORTS
IN BIAS BAY Unimpeachable authorities
relates to food? Are not the Hop in Hongkong have learned
Kee also the present contractors for the supply of tool to the Queen that two Japanese transports Mary Hospital?
are at present in Bias Bay.
It appears probable, al- though the military and the police cannot confirm this, that the Japanese have al. ready landed some troops in this vicinity.
REMOVING TRADE
BARRIERS
tended to "whitewash" the army and Van Zeeland's Report
be re
to pin the sale guilt on the navy, General Haradn replied: "That is something which cannot be deier- mined or given here by a General." He pointed out that "It
must membered that an officer in the field is always thinking of the enemy-he thinks everything he sees pertains to the enemy,"
re-
Ready Soon
London, Dec. 20. It is understood that M. Paul Van Zeeland, former Belglun Fremler, has made considerable progress with his report on the mission entrusted to him by the British and French govern- Panay Painted White
ments, of enquiry into the possibility Asked whether the Japanese were of improving International trade by unaware that all Chinese gunboats the reduction of trade barriers, and were painted grey and the Panay it is expected the report will be In was painted while, General Harada the hands of the British Government ald that under-officers cannot be before Christmas. The report will expected to possess naval knowledge. receive immediate consideration, but Asked why the unit which pro- there is no confirmation in London ceeded to-Pukow had not reported of the press statement that M. Van that a foreign warship was firing on Zeeland will himself vialt London
(Continued on Paga 4.3 | aliortly-British Wireless.
(Further Stop Press News on Page 14.)
with shipbuilders at Wallsend-on-Tyne, Clydebank, Govan and High Walker yards.
These vessels were part of the conclusion of the existing 1937 programme.
Mr. Winston Churchill asked if they were equal to contem- porary vessels being built in other countries, and Mr. Shake- speare said they certainly were as regards the ships of signatories to the London Naval Treaty-Reuter's Special.
High Speed Vessels
London, Dec. 21. The four new cruisers just ordered by Great Britain will cost £7,250,000. speed craft, They will be high equipped with heavy armament, six guns Inch.
The only warships under the 1937 estimates not yet contracted for are
eight destroyers of 1,050 tons each. when these contracts are awarded the total construction in the United Kingdom yaris will exceed 500,000 wns. Unlied Press.
have
Enormous Expansion
occurred
London, Dec. 21. Jane's Fighting Ships reveals that huge increases in naval armaments since last year. Britain's net gain is 73 shilps of all classes, Germany's 05, Italy's 127,
submarines, Russia's mostly
B9, monce's four, the United States' two.
of
CONTINUED MURDER HEARING
Effects Of Poison On Three Victims Described
eight million dollar liner Presi- to exist in the naval branch of the service in a much lesser degree-fear dent Hoover is growing increas continuation of insurgence may mean. ingly grave. The liner's back repented complications, endangering is now broken and the sea re- Japan's entire expansion programme mains so rough that the ship is powers becoming involved in the because of the possiblity of third being pounded helplessly on the China war. reef onto which she ran last It is belleved that political pressure week at Hoishoto Island while from certain powerful quarters in the two tug boats in attendance Tokyo is working on the side of the issue is are unable to lend any assistance; younger radicals. But the to the stricken liner.·
by no means decided, particularly since foreign nations continue stead- fast in their demands that those dirgetly guilty of nitricks on neutral ships shall be punished.
A further difficulty has now arisen. No lighters are available at any con- venient port and co even if the weather breaks and conditions would permit
of cargo and
effects being transferred to lighters, or possibly a small ship chartered for the pur pose, this wilt not be possible,
The Yusho Maru, which went from Hongkong, and the Milo Maru, sent to the ship from Moji, are still in attendance but it is expected that the Yusho Maru will return to Hong- kong this week and should arrive here on Friday. Mr. T. B. Wilson, local agent for the Dollar Line, Is expected back here that day.
Medical and other technical evid- It has been announced here that ence was heard at the Criminal the President Tali will take over the Sessions this morning, when the trial President Hoover's schedule and, the Li Fuk-yue, 35. unemployed smaller ship is expected to sail from villager of Toishan, on a charge of San Francisco on January 8, arrive murder of a woman, Tang Kam, 40, Ing here on January 28. Whether in Mongkok on October 5, was con- the President Taft will be able to tinued before Chief Justice Sir Atholl maintain the fast schedule of the MacGregor and a Jury. and
and speedier President Taft
It is indicated that Japan has lost alx warships.
For the first time Jane's reveals much information on Russian German warships and very little on Japan's.
Accused was alleged to have caused
Correspondents' Difficulties
days have been consistently unable Correspondents during the past few to obtain satisfaction respecting ques tons on the whereabouts of Colonel Hashimoto, who is reported to have red on H.M.S. Ladybird. They want to know whether he was actually authorised to fire on anything in the Yangtse and whether he was con- cerned in the Panay affair.
The answer they usually receive- as was the case this afternoon-to that unite at the front in war-time cannot be produced as they would be in pence-time—United Press,
Attack Versions Differ
Slianghai, Dec. 21. The Japanese inquiry findings in more modent yet known and tha
the Panay incident, announced by Harada, Japanese Major-General This extra day Military Attache, Indicate variance
Hoover is
the death of Tang Kam, her husband, may leave America n day or two
old man of 10, and another (ahend of schedule, woman
in the introduction the publication says: "The flood of new orders for
by administering arsenic together with the ume gained by not with the accounts given by the naval inixed in food to them. In the warships is not abaling.
The three calling at Shanghai, will probably be and elvillan survivors of the bombing. whole world there 1s scarcely a
vletima died after eating a inorning numetent for her to arrive at other The Bodings were read by Major- a naval
mcal.
according to General Harada to a press conferener power of any importance that has
For Eastern, ports not received the common impulse to
A police Interpreter gave evidence schedule.
The statement was vaguely worded, bring its fleet up to date. But for
and the main conclusions were that regarding the statement made by ne- CONFLICTING report
three-Japanese acroplanes the shortage of skilled Inbour and
San Francisco, Dec. 20.
bombed cused in answer to the charge, und materials, naval construction would
he was followed by Lam Fan, who Captain Yardley of the Liner Pre- be still greater.--United Press. Identified the body of Chan Kwai, one aldent Hoover has sent a radio mes- of the victims, on a fellow tenant. sage that the ship is not breaking the Leung Lam, of-20 Apliu Street.up but is working higher ground floor, and accused resided rocks.
Salvage vessola and the destroyer The Portuguese gunboat Bartolo- with him during the end of August, meu Dias is expected in harbour this and said the last time he saw accused Aiden are standing by awaiting an
to reflont the liner [afternoon from Mneno.. It will salute was on the day of his arrest. He opportunity
Unlied PreÉR. the flag of the Commander-in-Chief.
GUNBOAT TO VISIT
(Continued on Page 4.)
on
the Panay, that the gunboat fred three gun shots at Japanese army units, and that the latter did not fire on the Panay.
Major-General Harada denied that on the Japanese army boats fired Panay, and asserted that the Ameri (Continued on Page 4.)
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