1938-09-01 — Page 1

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The

FIRST EDITION

Hongkong Telegraph

FOUNDED 100

No. 13612

四拜望 號一月九英港香 THURSDAY,

SEPTEMBER 1, 1938. 日八初月七潤

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WHITEAWAY'S

TENSION

TO FIND Japanese Seek to Lift Hwangmei Siege

STRIVES COMPROMISE PLAN TO COOL CRISIS

Settlement Short of German-

Czech

Anschluss"

Feared

Remedy

Only Temporary

Berlin, Aug. 31.

-The belief that Great Britain is prepared to bring still greater pressure to bear on Czecho-Slovakia to compromise with the Sudetens at all costs, contributed to-day to a tangible lessening of the tension. German circles believe that the British Ambassador, Sir Nevile

for word

the London to-day Henderson, has brought from Wilhelmstrasse that London, realising the danger in the equally stiff- would throw all possible necked Sudeten and Czech attitudes, influence into the scales for added concessions.

Sir Nevile is expected to inform Herr Hitler personally on Friday to this effect. Herr Hitler is expected to return to the German capital before his departure for the Nazi rally at Nuremberg.

Some neutral observers suggest that unless things again become involved in a hopeless tangle, there will be a marked toning down of the speeches of Nazi orators at the Nuremberg rally which, it has been expected, would be used to re-affirm to the massed Nazis Germany's

OPTIMISM PREVAILS

determination to see that the Sudetens realise their IN PRAGUE

demands.

Wilhelmstrasse circles, admitting the lessening of tension, hoped that "Prague would finally yield to

reason.'

Neutral sources, however, believe that any settlement short

of an Anschluss will be only temporary and will only stave off

HITLER

the crisis during the winter. TO REVEAL

Many thoughtful observers be- Ilove that the Anschluss is still Germany's final goal.

French Sense Compromisc

French quarters

have sensed the

are thought to somewhat better chances of a compromise, postponing until the spring, a show-down although it is recognised that no com- promise is likely to work out satis- factorily from the German point of wiew.

POLICY SEPT. 12

At Conclusion Of

Nuremberg Rally

Berlin, Aug. 31.

Czech Government

Will Offer New Compromise Scheme "Recognition And Equality"

Prague, Aug. 31.

UFS

TRYING. TO COMPROMISE with the exacting demands of the Sudeten Germans M. Edouard Bencs, President of the Czecho- Slovakian republic, and Dr. Milan Hodza, the Prime Minister, They have decided upon a are in carnest conversation here.

new set of proposals which they hope will satisfy Sudeten de- mands for "equality," which some see as virtual independence.

Anglo-AmericanFRANCE

Trade Pact Now Certainty

Washington, Aug. 31. Only three products re- main to be regulated and the Anglo-American Trade

COUNTS

ASSETS FOR WAR

Pails, Aug. 31.

At a meeting of the Army Com- commission his afternoon the Premier, M. Edouard Daladier, reported that situation was International the "serious."

Lord Runciman, the British Agreement will be mediator, had a further meeting with Herr Kundt, the Sudeten pleted. deputy, this morning, while Mr. The formal signing will be Ashton Gwatkin, Lord Runci-

matter of only a few to a man's secretary,

went Marienbad to see Herr Konrad weeks' delay, as all general Henlein, the Sudeten leader..

The political committee of the clauses already have been Sudeten-German Party has call-fagreed to.-Reuter.

It is anticipated that Herred a meeting for to-morrow.

The Government's new proposals "They believe that the Czech Gov Adolf Hitler will make an im- are expected to be published on ernment must accept Lord Runciman's proposal, however unpalatable, if and portant announcement regarding Friday. when it is made, since a refusal to Germany's foreign policy on do so would place them in a weak September 12, at the close of Prevalled here this evening as it was position and would possibly the loss of Britain's and France's aid the Nazi Party rally at Nurem-strong turn for the balter. if Germany should then move.

Loru

involve

Seck Middle Ground

basis for

vice

negotiations.

A general feeling of

felt that the situation had

optimism

taken

TERRIFIC TYPHOON

A

IN JAPAN

the

Effects Approach

He gave a comparative table of European armaments, showing the effectives now under arms and the effectives available on mobilisation

1

TWO COLUMNS RUSH CHINESE UNITS ON OUTSKIRTS OF CITY

Central Government Army Denies Tushancheng Taken

Hankow, Sept. 1.

Fighting is stated to be in progress at Hwangmei where the Japanese, advancing in two columns, launched a sudden attack yesterday against Chinese besieging the

city.

The Japanese occupation of Tushanchang, near Hoshan, is denied by the Chinese military authorities, who state that the Chinese are still holding a line east of Tushancheng and Heishihtu.-Reuter.

Hitler Keeps Million Men Under Arms

Berlin, Aug. 31. Miltary sources indicate that Herr Iller, has decided to keep a millon troops engaged in "manoeuvres" pending a solution of the crisis.

Manoeuvres will continue on a wer footing until the end of October.

----The fecllug in Berlin is that some sort of a settlement of the Czech problem must be forth- games coming before the war are terminated. If, by the end still at of October, Europe s peace, Berlin feels that all danger ll be past, at least for the rest

of this year. United Press.

Chinese Gains On Yangtae

Mahwelling, Klangsi, Sept. 1.

The Chinese are counter-attacking the Japanese at Julchang, important town 22 miles west of Klükiang, with JUCCESS..

Several points in the hilly districts sub-west and south-east of the city were recaptured by the Chinese yes- These Include terday.

Loshan, Yangkuniping and Chilitsung. Over 400 Japanese were slain.

The Chinese also defeated the Japanese at Ox Head Hill, east of the Nanchang Kuklang Railway, after extremely heavy fighting yesterday morning and the night before. Un der heavy serial and artillery bum- burdinent, 3,000 Japanese infantry- racn attacked the Chinese positions. Units of Chinese troops lay in am- i bush

They points. at vantage emerged and surrounded the Japan-

-(Continued on Page 7.)

STOP PRESS

JAPANESE Bombs Rained

JUSTIFY

ATTACK

ON PLANE

On Chuchow

Chuchow, Sept. 1. Death

and destruction again descended on Chuchow, $1 kilometres south-east of Changsha in Hunen on the Canton-Hankow Railway, yester- day when 18 Japonese planes sub- jected the town to a severe bombard-

Tokyo, Aug. 31. in the cases of Italy, Germany and

The Japanese Note rejecting the ment.

C.N.A.C. at the

Altogether over 100 explosive and American protest Hungary, and the total forces which could be put into the Beld by France,

reat Britain, So Great

and

Japanese incendiary bombs were rained all Soviet Russia

slates that the outrage Government believes that the cir-over the town, killing over 30 civilians and wounding 40. No fewer than Czecho-Slovakia in case of attack.

with the manufacture of cumstances justified the attack,

2. Daladier said that,

A detailed report, reviewing the 1200 houses were demolished or burn- thanks to the new decrees, the pro- Japanese version of the incident ed.

A whole row of houses near the station Rallway duction

of factories engaged in

be (which differs from the American

the Nate. Canton-Hankow national defence work would

version) is appended to point approaching The report states that the Japanese collapsed like a pack of cards as a speeded up to that of neighbouring countries planes ceased machine-gunning the result of concussion, while the south Reuter Special.

Kwellin after the plane was identi-station and buildings in the adjoin- fled. Until then, it had been con- ing streets were levelled to

ground.. aldered an enemy craft.

KING BORIS DRIVES OWN LOCOMOTIVE

Milan, Aug. 31.

the

A direct bit was made on a cluster

The report adds that the C.N.A.C. of eight sampans in the river, blow- machine was within the Japanese

Reld of operations and acted in such ing them to bits-Central News,

a manner za to invite suspicion that

It was a Chinese military craft. Con- equently it was pursued and attack-

ed by planes in the belief that it was' an enemy plane.

DOWNEY WINS

NOMINATION

Senator

the

It is understood that the President, berg.

On September 5 Herr Hider will Dr. Edouard Benes, will make make a speech at his reception by proclamation, probably to-morrow. the basic features of the the Burgomastor at the Nuremberg setti The optimism engendered by Sir Town Hall, but this will probably Government's new proposals, dealing John Simon's speech last Saturday in deal mainly with domestic policy and with the nationalities problem which still apparent in Czech circles in is not likely to disturb the Czech- has been elaborated between himself

National Disaster and the Premier, Dr. Milam Hodza. the Sudeten Berlin, which re-emphasise

The inner political Cabinet mel Government's desire to find a middle

The Fuehrer is also expected to

Tokyo, Aug. 31.

Washington, Aug. 31.. they

William G. MacAdoo, ground, and express the opinion that

detalls of the proposals after

it is to be regretted that Runciman would hardly subfait speak almost daily during the Con-this afternoon and agreed on

which will open on Tuesday gress,

The worst typhoon since 1905 by the Premier,

he result endangered the life of an President Roosevelt's choice in the which the Czech Gov-with speeches by Herr Hiller and Dr. had been explained

Democratic nominating King Boris of Bulgaria arrived in ernment cannot accept.

was also fully approved. In the Czech conception, Sir John Rosenberg, Cultural Leader of the whose report on the general alluation struck Tokyo, Yokohama and

Nazi Party, and Dr. Goebbels.

the pilot, as well as the death and convention, has conceded victory to These developments, together with other parts of eastern Japan Milun to-day, personally driving the American citizen who happened to be California Simon must have known of the new

September 7 will be Labour Ser-

locomotive of hila special train from of non-combatants, the his opponent. Mr. Sheridan Downey, Government holds to the who backs the Old Age Pensions Czech proposals for a

Day. September 8 will be Lord Runciman's talks and yester-early this morning..

The wind reached a velocity Leghorn, covering 10 miles in 23

view that the action on the part of plan-Renter. before he negotiation

made his devoted to Nazi sports. September a day's meeting between Herr Kundt

Before leaving the locomotive at their planes was not unwarranted speech.

will be reserved for speeches by and Dr. Benes, all point to the same

in the light of the above-mentioned Meanwhile, German men of mobi-

be taken up by the Hiller Youth ment on the question of principle damage to crops and probably the station here, he shook hands with

circumstatices. lisable age continue to receive cards political lenders, September 10 will direction, namely, towards an agree-of-70 m.ph., causing extensive minutes. Carlsbad, telling them when and where to Movement, and September 11 by the underlying Here Henlein's speech at reaching the proportions of a the engineer and four mechanics.

The King then proceeded to King for national disaster.

"In the opinion of the Japanese report in case of necessity. Similar Brown Shirts, while on September

the Yokohama and other towns have Victor Emmanuel's summer residence Government the Company to which the aircraft in question belonged be- cards have been issued for several 12 there will be an imposing display "recognition and equality" for months past.

by the Army and Air Force, after Suditens.

It is believed that Dr. Benes pro- been plunged into complete darkness at San Rossore-United Press.

ing a Chinese juridical person, the incident is not one which involves Several foreign familes which Herr Hitler will make his clamation will urge that the problem and all street lights in Tokyo are out

directly with Japan

any third over the continued tension, havo

bo attacked in two stages, involving of action.

Many houses collapsed and either left or are preparing to leave eagerly awaited speech-Reuter.

Power," Immediate and later programmes.— England. Berlin for France and

rools of others were ripped off. Unted Press.

Railway and other traffic services, Czocha New Offer ara threatened as the rivers are

stendily rising-Reuter. Progue, Sopt. 1. The Immediate compromise pro- - TOKYQ IN DISORDER gramme comprises the following:

Tokyo, Sept. i. even points:

1pThat national groups should be "At daybreak the streets of Tokyo given specialed proportions of were littered with glass and debris

Continued on Page 7.) (Continued on Page 7.)-

Diplomats Active

London, Aug. 31.

Diplomalle activity in London con- tinued throughout to-day, V MA

AMBASSADOR LEFT Reuter.

HUGE ESTATE

Pittsburgh, Aug. 31. The late Mr. Andrew Mellon, *In Erdantion to conversations be- former U. S. Ambassador to Britain, ween the Prime Minister and Sir is estimated to have left an estatú Nevila Henderson, before the Am⚫ valued at U.S.$35,000,000.-Reuter Sales Coomaaed on Page 7) Special.

with its -demand

the

SHIPS. IN RADIO COMMUNICATION

The following ships are expected "Due to the wide discrepancies in to be in wireless communication with the accounts tendered by the Japan- ese naval pilots and the US. Govern- the Hongkong Radio Office to-day:

Santhia; Ningpo; Hartlepool; Chak-ment, a further investigation was sang; Yasukuni Mani; Shanghai held. The new report substantially Maru; Hupeh; Corfu; Aramis; Hang- confirms what Mr. Horinouch! told sang: Eldeveld; President Coolidgo; Your Excellency on the occasion of

26. United Press. Empress of Japan; Yuensang: Sul-Your Excellency's visit on August sangi President Cleveland.