1947-03-28 — Page 1

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VOL. II NO. 150

The

HONGKONG TELECHATH“ For and on behalf of

SOUTH TUIYA MORNING POST, LIM.

if haul

Hongkong Telegraph.

FRIDAY, MARCH 28, 1947.

Higher Taxation For Hongkong Necessary Says Bank Manager

SNOOPING

BY MI-5

Stop Promotion Of

Civil Servants

London, Mar, 27. Three scientist civil servants, it was disclosed to-day, have hnd promotion countermanded. on the instructions of MI-5-the security branch of the British War Office military intelligence.

Is

One, a temporary employee, lad lila recommendation for vermanent employment cancelled and the promotion of two others to higher pald duties was stopped.

the

It is strongly suspected that it colour of their polities that is regarded as non-acceptable," said an of the Institute of Profesional official of Civil Servants Router.

The civil servant scientist who was doing temporary work qualified for employment on a permanent basla..

was notified that this was so and He

No Hope For PROTESTS AGAINST POSSIBLE

78 Miners

Centralia, Illinois, Mar. 27.

Seventy-eight miners are still trapped in the Centralia coal mine where an CX- plosion on Tuesday entomb- ed over 100 men under- ground. The men were stated by a rescue squad leader to-day to have "no chance at all."

The number of known dead was increased to 33 to-day when the bodies of 16 more miners were brought to the surface.- Reuter.

MORATORIUM LEGISLATION

Speaking at the 130th annual meeting of the Hongkong and Shanghai Banking Corporation this morning, the Hon Mr A. Morse, CBE, Chairman and Chief manager, said they must face the fact that higher taxation in Hongkong is necessary and that it can well be afforded by the colony, provided that persons on the lower scale of salaries and wages do not have their standard of living reduced as a result.

Mr Morse said he would not make comment on the proposed Inland Revenue Ordinance apart from expressing the opinion that some form of taxation is obviously necessary.

Mr Morse called attention to the, main effort must of course come the Balance from her Government and her own following points in

Dine At the

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NEW BRITISH INVENTION

Cleaning the outside of windows has always been a problem for the housewife, but a British designer has solved this difficulty, by inventing a new form of window which is hinged so as to enable the cleaning of the outside to be done from the inside. Picture shows a model of the new window.

Sheet which was, he said, once more nationals, but outside financial help ORGANISING ECONOMIC RECOVERY on the same lines as before the out will undoubtedly be valuable, if not break of the war

with Japan, essential when the right moment

only although even now it was

MORE BEVIN possible to estimate the total extent

then it was revoked without any SPECULATION

reason being given. He is known member of the Communist

2

to be Parly.

We could not get any satisfaction from the Government, so ferred the matter to a negotiating who are taking the whole thing body up," the official said. "The question arises whether the action of MI-5 is not an Interference with the personal liberty of a subject."

of the losses incurred, and in this connection a sum of £1,125,000 had been transferred from the Reserve Fund to add to the Provisions for Contingencies.

Mr Morse colled attention to the Increase of 34% in the total of the Next Prime Minister? Balance Sheet from £94,500,000 to

London, Mar. 27.

£120,000,000. The main factors attributing to this increase were De- Speculation about the future of the posita and Note Issue which were Foreign Secretary. Mr Ernest Bevin, higher by £28,000,000 and £9,500,- is now acquiring a curious urgency side Cash in Hand had increased by 000 respectively. On the Assets suggesting that very important per- ATOMIC ENERGY WORKERS sons are very busy. A few days ago, £7 million, Securities by £12 £2 million, the News Chronicle exclusively pre-million, Advances by According to reports in a London dicted that Mr Bevin would give up Certificates of Indebtedness by £814

to-day evening newspaper

some the Foreign Mee to become the million, Bills Receivable by £3 workers are connected with the de- velopment of atomic energy research. dynamie head of Britain's production million, while Money The reports followed the publien drive, while to-night's Evening Stan- down by £3 million. tion in the Communist Daily Workers dard exclusively predicted that he I would become Prime Minister, that MI-5 had forced the dismissal changing places with Mr Attice. of Communists from the civil service. The Daily Worker quoted Mr Len White, Secretary of the Civil Service Clerical Association, as the source of Ita repo

Acorting to Mr White six Com- munista have been flscharged and five others prevented from obtaining permanent employment in the civil service.

The General Secretary of the Insti- tution of Professional Civil Sorvants - went this afternoon to the office of the. British Treasury to discuss the question of suspension. Both he and Mr White could not be reached this afternoon and would make go state- ments.

POLLITT'S PROMISE

טנן

EDITORIAL

at "Call" was

£3 DIVIDEND Mr Morse said that it would be observed that the Profit and Loss Account showed a proßt arising from: current transactions during the year of H.K.$9,802,703 after making cer- more transfers to Provisions for

Once again, 'Britain's press is full of Bevin.

This becomes perhaps mate signi- ground, the big rash of articles about Devin, articles copious and friendly regardless whether they appear in the Conservative, Liberal or Labour press, which broke out here just be- fore the Moscow conference.

STRANCE "BUILD UP"

Minister.

Lukewarm Criticism

*

tingencies. The Directors had there-

fore decided that the present position justified a dividend of £3 per share which ht 1/2.27/32 amounts to

2.1.$7,700.842 and leaves the sum

of H.K.$1,841,881 to be carried for- ward.

the

visit of the Governor of the

the new

comes,"

Mr Morse then emphasised the Importance of the export trade and he gave a cheerful picture of how of Manchuria and the exporta Formosa might progress once satis- factory conditions were restored In those territories.

British Govt. Appoints

A Super-Planner

London, Mar. 27.

The Prime Minister, Mr Clement Attlee, to-day ap- pointed a super-planner to organise Britain's economic re- covery and announced that the Government would fur- ther curtail export of coal and, for the first time in 21 years, probably even import coal.

Britsih South

Dealing with the Chinese Govern- ment Loans, Mr Morse sald-"There fa, I am afraid, little hope of any action being taken to deal effective- ly with this debl until the political and currency situation in China has ben,cleared up. For the time bc-

Mr Atilee also announced new was transferred to the Ministry of ing Chine's foreign exchange re- sources have to be conserved to meet restrictions on domestic use of gas Aircraft Production. He went back urgent current requirements. How and electricity in an attempt to save into private business after the war, but fate became a director of the ever there would ho general antis-un additional 2,500,000 tons of cost

during the summer.

Government-owned "faction if the Chintro, Governmüht

were to give some public assurance The Premier disclosed in

the American Airways. to bondholders that the latter's House of Commons the appointment Mr Attlee sald Sir Robert Sinclair,

Edwin Plowden, rights,

wartime chairman of the Board of Directors thích executive officer in the

of the Imperial Tobacco Company Ministry of Aircraft Production, as and wartime chief executive at the Government's chief planning officer Production Ministry, would act as to co-ordinate the nation's efforts to industrial consultant to Sir Edwin in overcome the worst economic crisis the initial stages. In its history..

The Prime Minister emphasised. Mr Attlee made his announcement however, that all decisions on plan while the Trades Union Congress,

Cabinet.

of Sir established in the bonds they hold, will be maintained and will not be vitiated by the various Governmental or semi-Governmental loans and credits which have been concluded in the past year."

of

power.

Mr accounts, referred to

manpower and

re-

the summer.

Dre-

Dissidents To Fight New Lab. Rebels

London, Mar. 27. The spearhead members of the recent British Parliamen- tary Labour party revoit on foreign policy-including its | leader, burly; fair-haired R. H.

Crossman will launch counter-attack on the Govern- ment's behalf against the new rebels on peacetime conscription, who are threatening to vote against the administration in the National Service Bill debate next week.

Major Woodrow Wyatt, Mr. Cross. man and other Labour members, who were identifled with the original re- volt against the Foreign Secretary, **** on Mr. Ernest Bevin's pokey, will be ed against the fresh rebel band

NEW REBELS SPLIT. The new rebels are divided into several scettons and the total la estimated at from 80 to 100.

Some of the rebels are led by tho, Welshman Rhys Davies, and others

by O. K. Zilacus, former British Intelligence officer in the war. This group is not against the principle of peacetime conscription but thinks that Britain's stand it longer tower

eight months as a period of service, compared with

propused. Tho

cannot

The Government further proposes the 16ment is expected to

to publish in the near future," stated the Premier, "certain targets which tales a

Is achieved."

It

CHINESE INDEBTEDNESS

which is resisting the peacetime con- Mention was then made of the fact chief Snancial prop of the Labouring polley would be made by the that the International group of Banks Party, was criticising the Cabinet's

scription and demanding Service re- NEW RESTRICTIONS

forms, when the priva known as the China Consortion of already announced economic targets

private meeting

or 1920 had been Gnolly dissolved dur- | for 1947 as fandequate,

He also announced in the Commons 400 Labour members of Parlament ing the year.

TUC DEMANDS

that Government had decided on new takes place next Monday. Mr Morse then drew, attention.to

The Chairman of the Bank also

restrictions for The standpoint of Mr. Crossman. The TUC urged Government to gas and electricity -the opening of now Branches of the. referred to the indebtedness of the rutse Its 1947 coal production target 2,500,000 tons of coal in domestic resist the peacetime conscription bill. the summer in on effort to save. and his friends is-that for them to Bank at Teluk Anson, Jesselton, Chinese Government in respect of of 200,000,000 tons to 220,000,000 tons Sandakan and Brunel and he said the liabilities of the former Inter- and demanded an increase in the and non-industrini supplies during would be to make nonsense of their It was this unexpected "build-up" that afflated Trustee Companies of national Settlements and British

original revolt: which aroused the wonder of Pat- the Hongkong & Shanghal Bank Concessions. He drew attention to capacity of railways trd cportation Rejecting all methods of rationing liamentary circles and led to the were formed In Hongkong and the fact that when His Majesty's supply industries for transportation speciile speculations which are being Singapore during 1946 to undertake Government agreed to the transfer and conversion of coul into electric electricity and gas as too compli cated and difficult to enforce, Mr uired to-day.

* all kinde of executorships and of the assets of the Settlements and

It sald Government's statement Attlee said: Mr Hurry Pollitt, Secretary of the Why should Conservative papers trustee business.

Concessions they must surely have

1. Use of gas and electricity for In speaking of conditions in Hong-recognised their own liability as far that the nation could not afford Communist Party of Great Britain, devote columns to a description of

In residential said: "1 have

evidence that Bevin?

as British Nationals were concerned shorter hours of work unless there healing rooms Apart from Mr Bevin's kong the Chairman expressed him-

were a corresponding increase in the mises would be restricted during the military intelligence has dismissed value, which of course is very great, self as well satisfled with the pro- to ensure the prompt payment them because they are members of

output per man year was ambiguous, summer. must be regarded as only prudent Eress made in 1940. He mentioned the debts secured thereon.

the 2. Existing prohibitions on the the Communist Party.

most cases, shortening of MR ŠLOSS ON TAXATION **If we find that this la so you can to familiarise the Conservative rank Central Bank of Ching in December

work week from

to 10 hours

44 hours use of electricity for cooking and meant increases in and Ale with the possibility of Bri- belleve me that We should take n

shall 'get crack- tair having for the first time in its and hoped that the exchange of such

would be maintained with some said. a regular visits would become ing to stop it.

Mr D. J. Sloss, CDE, reconding the a period, the reproduction aver water heating during five hours daily

Attlee sald Sir poor view of such blas taking place history a Trade Unionist as Prime routine. The importance of a clear report and

Edwin variation" and the ban would be ex- understanding between the Colony taxation in the following terms: Plowden would in Socialist Britain."

head Government's tended to gus. the undercover pr-

WOS Alternatively, if Mr Bevin is being and the Chinese Government MI-5 is

"We all hate to be taxed and we inter-departmental planning star. all want Hongkong to be better run ganisation responsible in wartime even considered as a dynamo uf Bel-emphasised.

which will be charged with develop

strong stand against the re- with education, housing, medical ing a "long-term plan for use of each individual house bels, whose proposals, it TAXATION NECESSARY and peacetime for counter-espionage tain's urgent production drive, an all-

considers," and for the preservation of all State Party build-up might well be con-

Mr Morse then dealt with various care, policing. We want to see war the country's

holder and non-industrial establish are impracticable in view of Britain's (Continued on Page 4)

sidered essential.-United Press.

current topics in Hongkong. He damage made good. Our sentiments sources."

we want 1 He sald Sir Edwin would work ment the scale of total savings which world commitments and obligations. referred

higher are contradictory. If

rovolt to the need for

betler Hongkong wo have to pay for directly under the Lord President of

to make during the they will be expected to laxation

the and expressed general

Government the it and I would assert approval of some form of taxation deduction from the experience of the and would

as a clear the Council, Mr Herbert Morrison i by other voluntary means should Cabinet may have to consider afresh the summer, both by restrictions and vote against goes to the length of a have access to such as that proposed in

these measures prove insufficient, the question of influencing the re- Inland Reventie Ördinance. In dis most progressive States that direcl† Ministers concerned with production ach others will have to be taken to imposition of Parliamentary party

Mr Attlee said the planning com- cussing the Moratorium and the taxation can be more fairly adjusted

control that was talked about a year Debtor/Creditor problem

resulting to capacity to pay than indirect, and mittee would correiate the activities insure the target

that of the forms of direct taxation, of all Government departments in United Press.

ogo-ikuler. Japanese from the action of the

Mr Morse Income tax has proved itself. the following through the "implications" during the occupation,

most equitable.

of the Cabinet's economic survey. protested against any legislation

"Every country has started by which would have the effect

baving to deal with serious evasion. PRACTICAL APPROACH' relation- adjusting debtor-creditor

We have to look ho farther away

"The approach must essentially be ships by the validation

than Ceylon and India to learn how a practical one," Mr Attice said. arbitrary basis of payments made in

effectively evasion

can be dealt "Both sides of industry will be kept occupation currency to the so-called liquidators." This he declared would with.. be

In contact with the progress of the "We hate Laxation and quilo be without Justincation either in law rightly: but the way of social wis-plan through the planning or in equity in its wider sense.

dom la to grin and bear it even if board." In turning to current conditions

planning officer, we know that for a year or two,our elsewhere Mr Morse referred to the neighbour evades 1. They will get Edwin will become commander-in-

donc satisfactory businesa

by the him Remember the fate of the chief in Government's battle to-over- Bank In Malaya, the Philippine

worst economie great Ai. Cupone. He defeated the come. Britain's Islands and in India. In regard to police and the law but the income crisis situation that threatens to China he said thus internal political un-

developments had been a great dis- Tax got him. Think on his fate and it worse before it gets better.

be, wike in time!"

Sir Edwin, who is in his carly appointment although he echoed In the course of his speech, Bir forties, "was in private business be- General Marshall's, hope that a com Sloss suggested the Hongkong Bank fore the war, He went to the bination of the liberals In the should establish

un economic In-Economie Warfare. Mistry of the Chinese Government and in the quiries branch where properly co-cutbreaks of hostilitia and in 1940 minority parties might, under Pre ordinated and digested statisiles of sident Chiang Kai-shek lead to unity the agelculture, industries and com- through ESE CURRENCY

good government.

piled and made, avalia a As to the Chinese currency situa He added that the Bank has its tion, Mr Morse said that recent hap home in all the countries of fils peninga had led him to decide that area, it stands outside of political no good purpose would be served by or personal interests, and it has a roviewing this matter, but he said: | call upon men of high-trained abill- "I do feel however that as the fin-ty. The Bank, he said, could erect ances of so many countries through lighthouse, guiding men to the out the world are in a parlous state, shores of social and economie every effort should be made to pro-sanity, vent the situation getting worno by (The text of the Hon. Mr. Morse's the spread of further adverse Anan-speech will bo' published," together cial developments in so large a sec-with other business transacted at the for of the world, area. The problem | meeting, .... In than “South China is primarily one for China and the Morning Post” to-morrow).

THE

say on the

conmuilly's selected

their spokesmen have bad

1947-8 budget, and although between them they covered a wide field, only very occasionally did their comments amount to outright criticism. The -pubile, surely, are entitled to have their feelings expressed rather more forcibly? A general com. plaint was that the esilmates' were presented in too generalised a form to permilt detalled analyals; that capital expenditure was in- cluded in general headings, mak Ing It Impossible, until the Select Committee meets, to determine Just how it is intended to ma of revenue. All that can be said Is, if the Unofficials have found themselves in this position at a the when they are expected valce public reaction to the bud- sch, li calls for a protest mucă stronger than the lukewarm ob- jections uttered in the

Council Chamber yesterday. Our spokes- men jshould not merely, suggest a revised' method of presenting the estimates: they should insist apon' If the figures are in- ́damprehensible to them. how much more so to the rank and. SlotIn their capacity as unoffi slal members of tho· Legislativo |

Take Me

can

не

Council they are expected to be even closer guardians of public Government. interest than the

the A As selected representatives community they are entitled to the fullest and most detailed in-

they formaston before expected to assent to propriations bill involving $109- Press, 000,000.

The

undoubtedly, would have drawn attention to the inadequacy of sub-headings been given In lie Estimates

had it qmary opportunity of so the customLKY doing. But, for reasons explained by Government, coples of the Estimates have sill to be made available to the newspapers. the budget

of

Press appraisal debate la, in consequence,, ren- dered all the more difficult. One feature of yesterday's debate was the tentative stabs made by most Unometals at the proposed income lux proposals.

Presumably they withholding their principal ar- Arements until the draft bill comes before them. Nevertheless,

will

be interesting to see if they are. willing this afternoon to give a determined indication of their feelings by moving an amendment to the Appropriations Bill for the 'elimination of the loken provision of $16,000,000 as revenue from direct taxes.

of

iri

As

chief

Sir

NO KNOWLEDGE OF CHIANG TRIP

Sabotage Rife In British- Occupied Germany

Dusseldorf, Mar. 27.

Food trains have been disappearing on their way from North Germany to the Ruhr, a senior British official said tonight when he disclosed that the British authorities are.. investigating possible sabotage in the biggest food crisis the Ruhr has yet experienced.

"Farmers have been falling to col-, právement in the next few weeks. Leet crops and millers and bakers were not at all optimistic.

It is the most serious crisis we have been fulling to report the stocks they hold, he said. "All these fac have had so far," he added.

"Some weeks ago certain towns tors tend to make the British in. eline towards the suggestion that were getting only just above 1,000 there may be deliberate sabotage." calories dally in place of the normal The crisis was partly due to the 1,566, and the wallion has worsened winter-conditions which bumper supervision in the last quarter of 1946.

pince then. While under

Just distribution and partly to bad" or-

farmers collected

ted 312,000, tots of in- ... Washington, Mar. 28. ganiantion and disobedience to 'in-

digenous grala crops out

out of the tar- Whitehouse and, the Chinese Em-structions by Germans.

get of 317,000 at a time when there bassy said to-day that they bad no

The niicial said: "We already was plenty of other work to be done Information regarding Generalissimo, have evidence to believe that the in the fields. The responsibility for Chiang Kai-shek's purported plans to

food demonstrations and strikes that collection phased to the German visit: Washington and London as res

have been taking plate in the Rubr.authorities of January 1 and from ported In Nanking's Hain Min: Pao cities this week ore political and that date until March 10 only 102,

Presidential. Press Becretary Charles Ross told the rows conference organised." that the report, was "nows to me." Associated Pres.

000 tona were collected out of a lar- en get of 107,000 and during those The Ruhr was down to a few days - months there was nothing olio tho food supply and the prospects of Im- farmors could bo deing-Reuler.

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