1939-03-10 — Page 19

RECORD

Friday,

HONGKONG TELEGRAPH

R.A.F. ESTIMATES

INTRODUCED: £250,000 A DAY Aircraft Production Shows 400 Per Cent. Increase Since 1938

LONDON, MAR. 9.

INTRODUCING THE AIR ESTIMATES, TOTALLING £205,000,000 IN THE HOuse of comMONS TO-DAY, SIR KINGSLEY WOOD, THE AIR MINISTER, GRAPHICALLY ILLUSTRATED THE GROWTH OF THE AIR FORCE,

He disclosed that the present figure was twelve times greater than in any year from 1929 to 1934, and double the aggregate expenditure on the three defence services for the financial year 1932-33.

of

of

4)

MADRID BOMBED BY LOYALIST PLANES!

(Continued from Page 1)

This year's increase of | Mr. Hugh Dalton, nur Sir Hugh who followed Sir Kingsley in

Seely £74,000,000 the air

Wood,

objected to his estimate estimates equals the total behalf of the Labour and Liberal they criticised his defence estimates for 1913. parties, though

statement in detail. The biggest single item is

expressed They both £93,000,000 for aircraft and whether the rate of expansion of balloons.

vice for formed,

INCREASED PERSONNEL

J

concern

in face of Germany's rate of expin-in order to intercept these reinforce-

Ing.

March 10, 1939.)

HINT OF NEW TAX

Bond Restrictions In England

THE

LONDON, Mar. 9. NEWS that official

U.S. Credits notices have been sent to im

For Brazil

Close Economie Collaboration

WASHINGTON, Mar. 9.---

porters restricting withdrawals of ex-bond ton, augar and tobac co, is regarded in City circles as a pre-Budget measure, but pro- of the minent interests are opinion that the notices do not necessarily anticipate increased taxation.

AN EXCHANGE of notes or other of these commodities coming On the contrary, possibility of one calling for close economic colla-in for increased taxation is in no way boration has been made between ruled out. the United States and Brazil. It is also possible that the restric- signed by Mr. Cordell Hull and ton may have been imposed as

precautionary measure to safeguard Senor Aranha,

against unwarranted

The two countries agree in freeing consumers

speculation in connection with the

the Brazilian exchange market for commerce from the United States, Budget, the establishment of a Brazilian National Bank, and the resumption of the Exchequer, realising the bur- It is held ilkely that the Chancellor of payments on Brazil's dollar debis.

The United States Exports and Im- den of armaments are so far borne

exclusively

Income by the higher Bank will extend credits not ports

xceeding $10,200,000 to the Bank of groups, may consider the time has Brazil to enable the Brazilian Gov- should be made to share the cost of come when the population large oMelal ernment to discontinue control

ver foreign exchange operations. At the country's defences.

Consideration of this kind may cause Sir John Simon to tax some of announced that President

the sarne time, the State Depatek!

ditles.

place at Brazil's disposal gold up to Tea circles are not unduly per $60,000,000 to serve as assets for the turbed, expressing confidence that Central Reserve Bank which Brazil tea will not be chosen for additional was creating. The amount drawn taxation. was upon would be from Brazil's future production of gold,

that

Senor Aranha announced

Nevertheless, "Reuter" understands that a deputation from the Tra Buyers Association is at present en- deavouring to clarify the position at a conference with the authorities.

Reuter.

British nir power was yet suillcient i and erceled barricades near Canillejus ould recommend that Congress the more widely consumed commo- Thirty-five R.A.F. companies, Mr. Dalton also doubted if the men

Other troops of General Miaja are and an auxiliary territorial ser- taxpayers were getting full value for said to be marching on Madrid from Valencia, Some of the troops are women were being their muncy, and spoke of profiteer-

"In this connection the Secretary reported to be already in fring dis- tance of the capital, and to be for Air had announced in the course bombarding the Cominunists positions It was expected that the air force of his speech that In view of the in the immediate vicinity of the city. Another report says that General a results of a special Investigation, it necessitate

hasten his further 20,000 in personnel this year, appeared desirable to modify in some Franco has decided to

the respects the terms of the present offensive against Madrid in view of It was proposed to increase

agreements with aircraft manufac- the growing chaos there--Trans- total personnel to 102,000,

Greater progress than anticipated turers, and the aircraft industry had Occas

BLOCKADE OF COAST had been made in the deliveries of air invited a well-known accountant, Sir force engines, the construction stations and factories, and extension immediate review of the operation of:

the agreement-British Wireless.

programme

would

of William McClintock to undertake an

of the balloon barrage scheme.

The appeal in

June for 31,000 pilots, observers, airmen and boys during the present financial year hud been excellent, and the figure was passed inst week (Cheers),

The quality of the recruits W:5 excellent.

RESERVE FORCES

London, Mar, 0. The British Government's attitude to General Franco's blockade of the Spanish coast on the Mediterrançan Wis outlined to-day by Viscount;

CURRENCY Halifax when replying to the debute

RESTRICTION

The estimates included provision Last-Minute Change

for reserve flying and auxiliary forces., Thirty-three ezrilres had been formed in urban areas, and it was hoped to

organise 20 more in the coming year.i

In Japanese Plan

PEIPING, Mar. 9.

A LAST-MINUTE change in

It was decided to extend the reserve flying and training organi- sation overseas, and he hoped it the plan to make the old national would be possible to form sections, currency illegal in North China and East Africa to enable local us from March 11 was made to- residents to quality for the volun- day. Leer reserve,

for example in Malaya. Hongkong.

be how

Honan, in-

on Spain in the House of Lords.

He said that the text of the note ouncing the blockade, of which the Government had advised all Bri- tish shipping, contolned no indication of any action against shipping out- side territorial Waters, ΠΗΓΗ (2 the Government assumed that such nction was not contemplated.

He wished to make it plain that if action was taken outside of terrl- torial waters, His Majesty's Govern- ment woukt be obliged to resist such? action as had been done in the past.

SERIOUS MATTER

within territorial

Brazil intended to resume payments on her dollar debis starting in July 1.--Reuter.

Boxer Indemnity

74 CONTRACTS FOR BRITISH MATERIAL

LONDON, Mar. 9.

THE ANNUAL MEETING of the Chinese Government Purchasing Commission was held this afternoon in the Chinese Embassy, when the Chinese Ambassador, Mr. Quo Tai-chi presided in the presence of Sir Ralph Wedgwood, Mr. A. R. Guinness, Mr. C. A. McEuen, Lord Riverdale, and C. C. Wang.

A happy spirit of optimism prevailed at the meeting, and

the Ambassador was warmly British Trade.

£182,034.

These were mostly of an interest- ing nature, such as £25,000 worth of telegraph and telephone equip- ment for development in South-West

Delegation Resumption Of

"LONDON," "Mar. 9. DESPITE AN authoritative

He must also make perfectly congratulated on the completion clear that the Government would re- of the currency stabilisation The "Provisional Government" gard us a very serious matter the fund. Referring to the balloon defence has announced that from March inking of a British merchantman Although the Commission's pur- scheme, the Minister said that the 11, North China would be divided even

waters, chases In the past your were much barrage in London could operated should the occasion demand. into two zones for currency pur-pecially if due warning had not curtalled by the war. 74 contracts

been given and adequate steps taken

were pinced to the total value of Relations In Spain lle hoped that all other

zone for the safety of the crew, barrages

ilis Majesty's ships had been in- throughout the country would be poscs, u Federal Reserve

and a "Bandit" zone. completed by the end of the year.

Reserve The Federal

zone is structed-to-give-all necessary-protec The divil air guard had over 1,400

in lopel, ton to vessels which might be the objects of such attacks and to re- members possessing flying licences, limited to cleven towns

tullate even inside territorial waters: and 3,600 undergoing flying training. Shantung, Shansi, und The standard of airmanship was cluding Peiping. Tientsin, Tsingtao, higher than ever before. By April 1, and Chetoo, in which people found the number first-line aircraft at carrying old currency would be liable defensible action-Reuter.

to a fine and property confiscation Home would reach 1,750,

after March 11. 30 SQUADRONS OVERSEAS The order says that circulation of There were now thirty squadrons the Federal Reserve currency would established overseas, and seven more be extended to other places as the were to be formed in accordance with Japanese military operations extend.

the-Reuter. the programme to increase

500 Orst-line overseas strength lo aircraft.

Referring to new aircraft, Sir that the Wood sald Kingsley British bomber and Oghter forces -were the best in the world.

They had not abandoned tradition- al reliance on the value of counter- offensive as an essential element of strategy.

A powerful striking force was not only a strong deterrent to attack, but vital component in any sound system of air defence.

of

The

developments

of recent

years had reduced the aupremacy

of the offensive, and had added to

Appropriation Of Oil Wells

Negotiations In Mexico City

MEXICO CITY,

Mar. 9.

vear a £30.000 order was placed for British Government's intention against any submarine taking such an Chin, and in the latter half of the denial recently given of the railway equipment, and negotiations! TO WRITE MEMOIRS

opened for rails and material for the to send a trade delegation to During Yunnan railway. San Sebastian, Mar. 9.

Spain, the foundation announced According to a Burgos report, ex-

TOTAL $5,266,783

here to-day of an Anglo-Spanish Since considerable amount of

the Commission began Committee of Commerce President Manuel Azana succeeded in documentary material out of Spain, operations in 1931, its purchases in taking a which will be used as an illuminating Britain tolal £5,260,783, Administra regarded in British business background to the former President's live expenses amounting to £48,439, circles as evidence that a de- memoirs.

or 189, 9d. for every £100. These expenses were covered nearly four termined effort will shortly be made to consolidate British times by Investment profits.

It is said that much of the material is compromising evidence against the former Fremler, Dr. Negrin und his elose friends.-Trans-Ocean.

ULTIMATUM

ís

At the close of the year the total sum of £78,003 stood to the credit economic influence in the penin- of the Commission's current account sula. and fixed deposits.

The Commission was instrumentul

London, Mar. 9. The Exchange Lisbon correspon-

The new committee consists of dent reports from Burgos that during the past year in placing 43 representatives of the Federation of General Franco haa noi received any Chinese students with British British Industries, and of the British offers of peace negotiations front engineering and shipbuilding Arms Chamber of Commerce in Spain.

Madrid.

He is resolved, therefore, to order 300 Nationalist planes to fly over the elty and drop ulilmatum leaflets de-

MR. RICHBERG, represen-laring that if Madrid is not surren- the strength of the defensive in the tative of foreign oil concerns in dered immediately violent bombard-

air, but that did not mean that they could rely for defence on fighter, negotiations

with

Presidentments of all places where Republican

forces

concentrated Aro

will

FRENCH REACTION

be

hours

for practical training-Reuter.

German Reaction To Speech

Berlin, Mar. 0.

Its first objects will be to examine the question of the Spanish commer- clal debts in Great Britain, and to study the possibiles of developing future economic relations between the two countries.

aircraft and ground defences alone. Cardenas regarding compensa-carried out within 24

An inspired statement regarding British industry in particularly All the eleven factories established tion. for the expropriation of United Prest.

Mr. Here Belism's speech yesterday, anxious to send finished goods such under the shadow scheme were now foreign oil property, made

declares that Germany is less in-as locomotives, toxtile machinery and operating,

statement to-day after a second

ferested in the facts of British re- Sir Kingsley Wood announced a

Paris, Mar. D

armament than in the mentality railway accessories, motor lorries and new development in the organisation conference with President Car-

Since France has recognised or denas.

which appears to express itself by motor cars to Spain. aircraft production. Three

Nationalist Government in Spain it is the speech. four firms would be formed into a The statement reveals that

An increase in British coal exports the felt at the Qual d'Orsay that there_la It is regarded as peculiar that Bri- group and orders placed for onc

ajnothing. be said against the block-tain announces preparations for the is also envisaged. type of alteraft to be distributed different methods of arriving at

solution of the expropriated all lade of the Republican Spanish coast transport of 19 divisions to France, among this group, which facilitated neids in dispute were discussed.

It is stated that the new commitice within Spanish waters by the Franco seeing that Germany does not enter- largo-scale planning and ordering, Mr. Richberg will meet Pres.dent warships.

tain aggressive intentions towards will shortly present to the British and would also reduce dislocation:

However, there is cautious expres-France noe i France known to have Government certain proposals in the the manufacturers was unable to meeting Senor Majera, the Mexican [sion of opinion about such cases in any aggrassive' intentions fowards interest of the furtherance of Brith that might result in a war if one of Cardenas at 8 pm, to-morrow, after

to Washington to which vessels sailing under foreign continue production. It would also Ambassador

Maga, for example French merchant

trade with Spain.-Trans-Orcan, reduce the number of designe.

moorow morning.

attempt to reach To-day's discussion was continued steamers, which In the same amicable spirit, said Mr. Republican ports and are sunk will

"I feel that out warning by the Nationaust fleet. Richberg, adding:

A report was circulated to-day that further progress was made."—Reuter,

a French mèrchant steamer, loaded with foodstuffs had been sunk on

#

INCREASED PRODUCTION Production was proceeding on rapidly increasing basis. Britain was now spending £250,000 daily on the production of aircraft alone, and that igure would rise "sill further, added Sir Kingsley Wood

Oxford Sets New

Trial Record

Landon, Mar. 9. The Oxford boat-race crew

1973-

Yugo-Slav Tribute the Republican Spanish Coast by hanced their prospects of beating

To Britain

The Air Minister recalled that in November he, eslimated 'that by next year alrèraït output would

Belgrade, Mar. D. show a 400 per cent, increase over M. Cinearmarkovich, the Yugo-: May, 1938. He was now hopeful Slavlan Foreign Minister, pola that the increase would be achieved remarkable tribule to Britain in the by the end of the present year. course of a debate in Parliament to In conclusion, he emphasised that day, when he said:

Nationalist Warships, but officials Cambridge again this year, when to- circles, could not confirm this day they set a now record in a trini Trans-Ocean.

row from Chiswick Steps to Barnes Bridge, which is one mile and 822 BRITISH SHIP RUNS BLOCKADE yards in distance.

0

..

the estimates were unprecedented, The magnificent efforts of the but necessary, as they believed them British Government, made with such to be one of the best means of pro- perseverance in the cause of general re, followed venting war. They looked-forward peace and appeasement to, tha: Uma when reasonable and by our Government and the whole Enner courses would prevail through natlon. Our sincero and earnest de- bout the world, Kruter, t

sire is that these noble efforts in the NO LIBERAL-LABOUR a future, as in the will be crown="

past, OPPOSITION Aed with success." Bareng London, Mar. 9 The statement was loudly cheered In the House of Commons, neither by all sections of the House,

Reuter Special, Kodgyde

-London, Mar, D.“ They did the row in three minutes The Spanish Rellef Committee re-

40 seconds, beating the previous_best ports that the British ship Stangate, by no less than four minutes---Reu- with a cargo of foodstuffs, suoccas- 19

fully ran die Franco blockade, and overthrow General Mlaja, not only is now unloading in Valencia harbour in Madrid and Valencia, but in other

It is stated that a British warship titles Intercepted the voyage to warn the Blangate's captain of the blockades Reuter Spectat..

REBELLION SPREADS.

are

Murcia, Jnen and Cludadreal mentioned, but it is reported that the Miata funta holds the upperhand in theda cities.

Chaos is apparently reigning In It seems clear from messages Madeld, and 1 la belleved here t that reaching here that the Communists the Nationalat offensive on the are making a determined a bid to capital is now not likely to be long.

Burgo, Mar. 9...

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