1938-08-06 — Page 1

WANTED

PROSPECTIVE

PURCHASERS

FOR NEW & USED CANADIAN

CHEVROLETS

Five to Seven Passengers.

Write for details or

Call for demonstration.

FAR EAST MOTORS

THE FAR EAST AVIATION COMPANY, LIMITED.

26, Nathan Rd., Kowloon. Telephone 59101,

Hongkong Telegraph"

for The South Chiun Morsång Pos, Lid,

19, Wyndham Street, Hongkong.

The

Dollar T.T.1-15, 2.7/8d. T.T. New York:-30%; Lighting-Up Timo:-2.02' p.m. High Water:-—06,23,,|| Low Water:-13.09.

Library, Saumau Court

Hongkong Telegraph.

FOUNDED 1851 No. 15500

六拜禮 號六月八英港香

SATURDAY, AUGUST 6, 1938.

日一十月七

SINGLE COPY 10 CENTS $30.00 PER ANNUM”

WHITEAWAY'S

GREAT SUMMER SALE

Commences on Monday See Pages 3 & 5

for details

CHANGKUFENG SETTLEMENT EXPECTED

JAPAN PINS Japanese Need Huge Force for Hankow Drive

HOPES TO

PEACE PLAN

Russian Reply to New Overtures Received But Not Made Public

Tokyo, Aug. 6.

The well-known newspaper, Hochi Shimbun indicates that the Japanese Cabinet is optimistic regarding M. Maxim Litvinoff's reply to the Japanese proposals regarding the Changkufeng incident, and expects early negotiations to be opened.

The Foreign Office spent the night decoding Mr. Shigemitsu's despatch containing the Soviet reply, but they declined to reveal its contents.

A spokesman said that the Japanese would not retaliate at Changkufeng pending a diplomatic settlement, the possibilities of which are regarded as favourable.-United Press. Japan's Next Move Awaited

Moscow, Aug. 5.

After M. Mcxin Litvinofl's state- ment regarding the Soviet attitude to the Soviet-Manchukun border Incl- dent, the Russian Government Is waiting for Japan to make the next

move.

So far as is known Japan has not yet replied to the note, but the

tension which was acute yesterday, relaxed somewhat to-day.

express the

Informed observers opinion that the Soviets are anxious to avoid war and are ready to con- sider any reasonable proposal pro- vided the Japanese troops withdrawn from what is regarded as Soviel territory.

аге

frat

A Tokyo message says that the Soviet reply to Mr. Shigeonitsu's i proposals are being considered In ocial quarters, and it is believed they

are "roughly acceptable.”— Reuter.

Paris Conversations

Paris, Aug. 5.

M. Georges Bonnet, French For- eign Minister, told the press in an interview lo-day that there was "nu (Continued on Page 4.)}

FORMER COLONIAL TREASURER

PASSES ON

U.S.S.R

BLAGOY

MANCHUKU

MUIRHOR

HARBIN

OUTER

MONGOLIA

PEKING

CHINA

MUKDEN

KIRIN

JODAIRENADA

·PORT BRTHUR

TIENTSI

KHABAROVSK

HARMA

SEA

COF

HUNCHU

TAPAN

"NAGASAKI

Накопле

HIROŠOKI

SAKA

VITALLY AFFECTED AREAS, which, if Russians and Japanese fight at Changkufeng and the hostilities spread along

The distances between Vladivostok and Japan and Khabarovsk

ARDUOUS CAMPAIGN

FACING INVADERS ALONG ALL ROUTES

Topography Hinders Cavalry On Flanking Operations

Telegraphic Alestugjca Ortinance, 1894. Copyright by United Prass. Recolved, by Radio, Aught 6, 2.02 3. Published August J. 20.15 0.

Nanchang, Aug. 6. Small units of Japanese cavalry are at present trying to outflank the Chinese positions twelve miles north- east of Tehan, near Teichiayao, and south of Kiukiang, which is said to be a most difficult task because the country is very hilly and the paddy-fields and narrow paths make it impossible for cavalry to operate

successfully.

The strongest Chinese positions around Hsingtze have not been attacked.

It is believed to be the Japanese intention to drive on to Nanchang, which is a grave undertaking because of the powerful Chinese defences confronting them. These were prepared months ago.

Peak Murderthe frontier, will be within the range of war, are here depicted.

Culprit May and Japanese strategic points are small hops for big bombers. Britain Sends

Japanese Guns Hang Monday

Drive Off

Soviet Planes

Tokya, Aug. 5. Russian planes appeared over Changkufeng about noon yester- day and were driven eff by Japanese gunfire, says a

Office communique.

War

Xuns

It adds that the Soviet sporadically shelled Changkufeng and also Kojo village in North Korea all day long-Reuter,

CHINA TO RESTRICT EXCHANGE

ALLOCATION

Reliable Reports From Shanghai

Shanghai, Aug. 6.

It is reliably reported that the allocation of foreign

IL IN understood tha! Lam Chan, the house-boy who mur-

dered Mrs. Challinor, wife of Mr. R. II. Challinor, at their residence, 499 The leak, and was convicted and sentenced to death at the Criminal Sessions last month, will probably be hanged on Monday morning.

CORRIGAN WILDLY

OVER 900 PLANES IN

MOCK WARFARE OVER CLOUD-DIM BRITAIN

London, Aug. 6.

The biggest mock air war ever staged in England began yesterday morning at 10 o'clock when it was publicly announced that "London will be attacked to-night by hostile bomber squadrons."

Over 900 aircraft are taking part, more than twice

WELCOMED the number participating in the exercises a year ago.

Manhattan Goes Mad Over Flier

New York, Aug. 5. To-day was a great day for the Irish, who laughed and yelled like mad to give Douglas Corrigan, the young Irish-American aviator, who recently flew the Atlantic solo in a "crate", the biggest reception in the history of Manliation.

Corrigan, In acknowledging the reception said: "Lindbergh & not enly the greatest flier, but greatest man in the world, and wouldn't be here, and this wouldn't be happening, if it were not for him. If all my mistakes turn out like this: I'll be a lucky guy."

the I

"Eastland" is the territory of the imaginary attacking power and its forces are now attacking "West- land" on a front extending from Folkestone to the mouth of the Humber.

GOVERNMENT TURNS DOWN

LIDO SCHEME

No Permit For Big Shek-O Project

The $250,000 scheme to create

Franco Second Urgent Note

London, Aug. 5. Great Britain is reminding General Franco for the second time that he has not replied to the Non-Intervention Com- mittee's plan for the withdrawal of volunteers from Spain.

Sir R. Hodgson, British Agent at Salamanca, has been Instructed to request General Franco 10 give the matter liis argont at- teatlon-Renter.

GUERILLAS FIGHTING CLOSE TO PEIPING

It is said the Japanese preference is to make for Changshu on the Canton-Hankow Railway; and that thele second preference is a direct, threat upon Hankow from Yungsiu, 40 miles north of

Nanchang,

through

invernre the invade the depths the

march it is felt fighting ati present proceeding on the north bank Yangtse near Hwangmel is most

of

important, for unless the Japanese

are able

on the north

to progress bank they will not be able to ad- vance on the south bank, because the Chinese would be able to outflank them and cut their communications. It will be a dangerous adventure to attempt an overland drive from Nanchang to Changsha, too, for the Japanese would have to fight through strange, billy country, like the Ozar kiau and Suiping districts, where Chinese moblie units could easily (Continued on Page 4.)

STOP PRESS

CHANGKUFENG FIGHT AGAIN THREATENING

There was

n thick for over the North Sea when hostilities"

com- menced and low-lying clouds in the coastal areas delayed the start of operations. The weather conditions

15,000 Japan-Trained provided a severe test for the de- fending forces which consist of 23 Chinese Desert lighter and 14 bomber squadrons, comprising 470 aircraft, as well as And Join Raiders part of the 1st Anti-Aircraft: Division and the 32nd Anti-Aircraft Group, comprising

17,000

Peiping, Aug. 6. Territorials.

A battle with guerilla troops, The Observer Corps, now number-in which the Japanese used six Ing some 10,000 fully qualifed tanks and several field-guns,tion of hostilities Jupanese troops in members, is taking part.

some

Tokyo, Aug... 6.

In view of the Japanese for cesaα+

stricted by the Chinese Govern- mes as noisy as at the receptiona super-Lido at Island Bay) created during the carrying out of Peiping, according to a foreign ing to dispatches belleved

The hostile bombing squadrons of was fought yesterday east of the Changiüfeng area are refraining Eastland are of the latest type. Tungchow, 20 miles cast of from replying to Soviet Are, accord- to bo officially Inspired. into

These messages state "The Rys

ment.

the new armament programme, motorist, who nearly ran

Shortly after the outbreak of the

The police estimated that a crowd, exchange will be further roof about 750,000 welcomed Corrigan, which was twice as big, and three

given recently to Howard Hughes after his recording-breaking flight beach, Shek-O has fallen through at least for the time-being. around the worldUnited Pres

The project, formulated by Mr. "hostilica" the defending planes the battlefeld while attempting sinns are apparently planning to re-

Changkufeng before A. Landau, proprietor of the were taken out of their hangars and to reach Tientsin by road, and capture

reached well-known "Jimmy's Kitchen" their engines started up in readiness found himself near the tanks diplomatic settlement

for any emergency has been rejected by the Govern-

and guns which were firing on They assert the Japanese are con

keeping a vigilant, watche sequently

comparatively optimistic view ment, which has refused to were at their posts on the look-out the guerilla positions across the grant a permit.

| Peiping-Tientsin highway. of the situation is now taken here

News has reached the Hongkong, Under the new ruling, which Telegraph from London that Mr. becomes effective on Monday Mcilvaine Messer. 0.B.E., former Colonial Treasurer in Hongkong, next, foreign exchange will only died at Lentholme, Iffley, Oxford on be extended to importers to July 20.

cover their foreign goods order- ed Inst year.

Mr. Mosser left the Colony in 1031 after 34 years of servicc.

He was appointed a Cadet after a brilliant university career at Cam- bridge in 1897,

and

No foreign credit will be given to cover commodities ordered this year | unless special permission is obtained from the Government for such ordern beforehand.

of

14 Killed In

Explosion In Italian Ship

Rome, Aug. 5.

IL

Call

Everywhere anti-aircraft gun crews

for hostile raiders.

A

border to other points

of the

on the

It is believed Japan will agree to demarcation of the frontier. In the

It is pointed out that the purpose The express reasons for this refusal

The motorist reports that much of however, as illustrated by a remark have not been given, but, it is under- of this exercise is not to test the the low-lying country in that region of the Foreign Office spokesman

"There's no of modern is flooded, apparently as a result of

sign comparative efciency

trouble stood, the site may be needed by the bombers and fighter planes but to guerilla troops cutting the dykes of In 1901 he was appointed Acting

Applleations for foreign exchange

milltary authorities, Colonial

credits to defray the

Tungchow Treasurer

expenses

understood that Mr. Landau train the components of the air and the Grand Canni pear

It was reported In the even made Chinese students abroad and for the

It is officially reported that 14 may seelt further explanation from ground forces to work together,- member of the Executive and Legis support of Chinese familles overseas sailors were killed and 20 injured na Government for its refusal to grant Trans-Occan.

that the guerillas had withdrawn. lative Councils. In 1902 he was will be considered once a month a result of a boiler explosion aboard a permit, as no objection to the given the post of what now is Secretary for Chinese Affairs, and in

cruiser Quarto Agusto, off scheme has been raised by the Shek- 1907 was Postmaster General and,

Majoren-United Press.

O Trustees which administer the for brief periods was also Acting

CRUISER NOT BADLY

adjolning golf course. Colonial Treasurer.

DAMAGED

the building of a restaurant, ballroom

Reuter.

GIRDLES GLOBE

the

July

to

It is confirmed that guerilis troops, Changkufeng area on the basis of EXTENSIVE BLACK-OUT which have infested the hills 15 the Sino-Russian treaty of 1986;

miles from Pelping for the past which would provide a good breath London, Aug. §. The most extensive black-out year, had their number Increased by ing-space, while the inevitable cont

15,000 Japanese-trained Chinese troversy rages on interpretation Mr. Landau envispgèd in his plan hitherto held in Britain, covering alllers who were sent at the end of Reuter. Roma, Aug. 5,

(Continued on Page 4)

engago the guerillas. They Five were killed immediately and and 150

descried after killing some of their Berlin, Aug. 5,

ten died later, with 20 others serious-paru de-luxe cabins for bathing!

Mr. Landau will take over the officers. Captain Hans Bertram, in the ly injured, in a boiler room exposto, is popularly known in Hongkong, is they will be adapted for the provision Hopes, plus the Manchukuo border

In the meantime, "Jimmy," as he premises as from September 1, and

Increasing querilla nclivity her to-day, on the Italian cruiser Quarto Agusto, He will be remembered in long- thereby completing n girdling of the which was anchored off Majorca.

extending bla Interests

a of high class meals. The place may affair is creating an optimism among kong as a keen osraman and yachts- globe's commercial air lines in 20 Apart from the effects of the actuat | restauranteur, nrid 10 acquiring to Talown as the Parislan Gelli, the focal Chinese man and a keen supporter of the days 21 hours, 35 minutca.-United explosion, the cruiser was not badly Frascati's Restaurant in the Wang although the actual name has not been easily prove

which might Royal longkong Yacht Club.

Prces.

dangerour... damaged.-Reuter.

Hing Bullding, Queen's Road Control, finally settled.

Reuter,

Then, for over twelve years he wan Colonial Treasurer, and Custodian of

Enemy Property.

Nordwind, arrived

to be

in

(Further Stop Press News on

Paga 16.)