1948-06-29 — Page 1

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VOL. HI NO. 151-

For the Proprietor of

HONGKONG TELEGRAPIL For and in Tehalf of

SOUTH CHINA MORNING POST, LTD./

thành

Prizler and Puliher

TODAY'S WEATHER: Moderate Soulb-westerly windol partly cloudy, will n ́few isolated' showers.

1005.5 mb or

Øressure. 1 pm. Observations: Marometrio 29.00 in. Temperature, 88.7 dog. F. Dw point, 81 deg. F. Relative humidity. BO. Wind direction, Bout Wind force, 7 knots.

Low water: it, 8 in. at 10.27 p.m. - High!" Water:

The Theor

5. in. at 4.31 mm. (Wednesday).

Dine

At the

hongkong Telegraph. P.G

TUESDAY, JUNE 29, 1948.

Plane Crash STALIN BREAKS WITH

Kills 43

to

The top pleture shows the Lype of Douglas DC-6 which crashed into a hill- side at Mt Carmel, Pa.,

persons carrying 43 their death. Immediately above shows the swath which the airliner cut when It crashed into a high ten- sion line and then disinte- grated. Passengers included Earl Carroll und the former Mrs Oakie. Other pictures on back page-AP Photos.

Soviets Lift Travel Ban

Rus-

Berlin, June 28,--The sians lifted their ban on inter- zonal travel by Germans early today but announced that rail trame to blockaded Berlin could "for Home not he resumed time."

The Soviet licensed nows agency ADN, which

reported

the Russing

repairs on the

announcement, suld

Helmstedt to Berlin line which

brought vital supplies from

Wert "will take some time."

The Russians

suspended

the

rail

trafle from Helmstedt to the German capital-eight-days go for "technicul. Teasoris."

The United States and Britain tried on Monday to work an aviation miracle by flying food to 2,500,000 Berliners

the Russlan over blockade-Associated Press.

EDITORIAL

BRIT

land

Terrorists Attack Police

Station In Malaya

Kuala Lumpur, June 28.-A gang of 40 terrorists ralded Kuala Karau Police Station in Pahang State on Sunday night and fought gun battle with the police.

Deflation In Britain

QRITISH Industrial production reached a new postwar peak in April and at last the stage is being reached where some of the most urgent demands have been," or are almost, met. At the end of the war it was computed that some 750.000 new homes would be needed to meet the mort pressing problems which were rehousing of bombed-out families, relief of over

of overcrowding and the vision of homes

for people married during the war. Up to the end of April last no less than 680,000 familles bad been haused, this being achieved by building 269,000 new permanent houses, areeting 149,060 prefabricated temporary dwellings and by the conversion and requisitioning of big and empty houses.

Demonstrate figures adequately that the permanent building pre-

although severely. grammes, restricted during the early peace days by shortages of materials and labour and the pressing of Industry and public works, have recently been run-

needs

ning at a very

These

eratifying rate.

One desirable effect has been a distinct tendency for prices of prewar houses to fall. As more

houses 110W

are bullt, it is belleved this fall will continue and so bring the prices of old value. houses nearer to their real In fact, many economie experts lo incline to the are beginning view that the fall in property values presages a general decline In prices sharper perhaps than is desirablo. But there

Are

of

plenty of factors to prevent this. The

quantities need for great caplial goods is na urgent ever, no also is the need for the productive switching of more

18

capaclly from Home, to export work. The Government, through Its various centrols and Ita co

hati,

In

operation with labour and in- dustry, can help swich produc- plentiful tion from goods In supply to those with continuing shortages. Moreover, Britain has very powerful reserves of buying

counter-slump and

power Extra spending can very quickly be put into clrculation by means of the "budget weapon"-

le- by reducing or eliminating operating direct taxes now help the deflationary battle, and of reducing income taxes. Also in hand are the £750,000,000 of Income tax postwar credits which represent compulsory Savings

to

can

made during the war with the sloring up dellite object of

spending postwar anti-slump money. Pari or all of these credits could be released at fairly millions short notice to the many of holders. In addition to these

Government reserves the

threatened rapidly take up any slack by a number of powerful means. Through the nationalisa tion of the key industries of coal, transport, gas and electricity it has a potent Influence in Industry: the stimulating of Apart from production, all these industries

arrears have enormous

modernisation and placements

sil to

out anil carry could be stepped

up and

become labour aterial increasingly avaliable. And last of all, supervision of the capital Issues market has given the Government a useful position in financing new projects, for it in very definite polley that finance should always be at the most reasonable : rate for desirable schemes. All the evidence tends to show that Britain's deflation can and will be directed gently along the right lines and there need be little fear of a general slump.

projects

of

TITO

Branded A Traitor

SENSATIONAL

RUPTURE

London, June 28. The Soviet Union's Communist front in Eastern Europe broka. wide open today with the sen sational news that Stalin's former partner-Marshal Tito has been accused of Trot- akyism.

An announcement in Prague of the recent Cominform meet- ing which Yugoslaviu refused to attend read that the Yugoslav Communist Party is out of the Cominform and has electrified the western capitals of Europe who are waiting in a tense an- xiety for the outcome of the Berlin crisis..

It was the Arst major favourablo break for the west in months of the old cold war. It confirmed the pre- dictions of some of the west's best affalra experts on East European that Russia was having plenty of trouble with some of her satellites.

MARSHAL TITO

SHOCKING

QUAKE DISASTER

| 30,000

Estimated

To Be Dead

For

Reservations

Tol: 27880

Price 20 Cents

State Of National Emergency Proclaimed

SERIOUS DEVELOPMENTS IN BRITAIN'S DOCK STRIKE

OF

LONDON, JUNE 28. — THE KING TO- NIGHT SIGNED A PROCLAMATION NATIONAL EMERGENCY TO DEAL WITH THE DOCK STRIKE. ·

The Prime Minister, Mr Clement Attlee, in a broadcast address shortly afterwards, declared that the Government "must see the people are fed.".

He addressed himself directly to the workers and

began described the unofficial work stoppage, which two weeks ago, as “a strike against your mates, a atrike against the housewives and a strike against the ordinary common people.".

He said that "full use would be made of further service personnel to maintain the economie life of the people."

"I am sure the people of this of the workers was infileting grave country will support the Govern-injury on the nation." ment in the steps they have taken and are taking," Mr Attice de- clared.

The Royal proclamation was signed at a hurriedly, summoned al Counell session of the Privy Holyrood Palace in Edinburgh.

When published in the Royal Gazette on Tuesday, I will enable the Labour Government to Invoke the national emergency act of 1920 -last used in the 1920 general striko.

WIDE POWERS Under this act the Government, subject to the approval of Parlia- extraordinary Assutne ment, may Tokyo, June 29.-Five towns

powers to safeguard the life and were destroyed in the earth health of the country.

central quake which hit the

Among other things, it may re section of the main Japanese quisition buildings, take over trans- Western diplomats were jubliant, island of Honshu late yesterday, port and require billeting of troops or voluntary workers who perform United States essential work.. especially so because Marshal Tito's according officials at Lernational conferences Army sources.

The act does not, however, permit had been of most servile to the Fukul, а slik centre of 85,000 conscription of industry or workers. Soviet dictator and most obnoxious people on the west coast, south-Neither does it provide any penalty In what the west considered unrea-west of Tokyo, was in flames and for continuing a strike.

demands. Nothing

to

to

stantiing.

told the

which up to The Government, today had used not more than 300 troops to move perishable food cup- plies from the strike bound ships, had 6,000 servicemen on call today; 1,100 of them were assigned to car- go handing on London's waterfront.

The strike, threatening as it does the national drive for economic re- covery by delaying shipment of vital exports, caused widespread losses on the London Stock Exchange.

malilon Ten

Inhabitants already feeling the effects of

Their work stoppage.

are the

mengre ration of 10d. worth per week of fresh meat has already been cut to will bo dd. worth. The deficiency, the Food Ministry has announced, made up with corned beef.

BACK TO WAR DAYS.

The emergency regulations asked for by the Government today, hark

It will permit the Government to conscript and direct labour at will.

But in order to do so, the Govern- ment must proclaim that a state of emergency exists.

Mr Attlee com-reports from Japanese police officer-

striking to this has happened in the said that only the concrete prefec-lockers that their unofficial walkout back to the war days. Soviet

Union's

postwar era of Com-tural ofice was left

២. "punishing Innocent people and munist domination of the eastern

Fires there were reported visible injuring your country," He asked: European countries.

Western

United States who advised you to do this?" for 10 miles.

the diplomats hopefully looked forward Army officer reported that

"No people of great influence, but it would the possibilly that

towns of Mikuni, Matsuoka, Kanaba only a small nucleus instructed for strengthen the suppressed resistance and Maruoka-all within 19 miles

reasons to take advantage political to Sovietism in other eastern nations. of the shock centre near Fukul- of any situation for the disruption

were also destroyed.

of the

the British economy and the LEADERS GUILTY

undermining of the Government."

Declaration of a state of emer- It is necessary to go back to the P.m. (local time) yesterday.

Japanese were already

expected almost im- juself in the purges inside Russia

mediately. work trying to reopen communica-ency wat mid-thirties to find anything

ions blocked by collapsed bridges IRRESPONSIBLE MINORITY parable in importance,

vehicles and tunnels, and guiding slowly moving-in-to-evacuate the Injured.

com-

The communique disclosing the development named all of Yuga- stavia's top Communist leaders as gullty and "threw the book" at the Yugoslav Communist Party.

M

The first shock occurred at 5.12

At hard

CASUALTIES HIGH

Appeals for help were broadcast last night from Fukul, the silk city of 85,000 inhabitants, which was de vastated as earthquakes, followed by fire and huge tidal waves, rocked Central Japan.

told

The Cominform-created only The ralders, believed to be Com- munists, are officially described to last fall to fight the Marshall Plan have suffered some casualties. Police had its headquarters in Belgrade,

Early unconfirmed reports gave pursuing them found blood stains. capital of the country whose Com

First reports from the scene sald munist Party has now been elected 30,000 killed, injured and missing from the "family of brotherly and 500,000 left homeless, although that the raiders shot dead the wife Communist parties" and from the General Crawford Same, the Allied

a Malay policeman. The dis-

Control Public Health chlaf, patches gave no further details, but Cominform itself. it is believed here that there are Marshal Tito has long been the Reuter at midnight (local time) that symbol of puppet Sovietism outside it was apparent the earthquake was other casualties.

ruthless His Red The raiders

with Russia.

cam- not nearly as serious as at first be- were armed

against paign in Yugoslavia

the lieved, zutomalle weapons,

medal Governor Obata of Fukui declared so-called Rightists and his

become aver the radio: "At 8

all the p.m., bespangled cheat, bad

strutting houses collapsed in the city and typical trade-mark of

fires dictators in the postwar era.

In many places were spread- ing" He

appeated for immediate Yugoslavie had been Russia's aid from neighbouring Governors.

link In the Communist First reports described Dalshojo, strongest

Today

a town 25 miles north of Fukul, as front of Eastern Europe.

sald Late messages

the rolders this starting development make it "obliterated," whereas later official the weakest with the disclosure that reports gave 17 dead, 74 injured, carried off their wounded comrades.

and is opposed to Russian 500 domes destroyed

nearly Yugoslavia Messages from Ipoh sald the poller cold war tactics and wanted to come 300 partially arrested three men

men during widespread raids on suspected Com- plan of the west.

hidcouts. British and munist Japanese military equipment was confiscated. Associated Press.

It was the boldest raid yet in Malnya's two-month old terrorist wave which Briush officials blame on the Communists.

A curfew hos been ordered throughout the Kuala Karau arce.

Polico and military reinforcements

have been rushed there.

GENT TO REPORT

to an agreement with the Marshall and its surrence in the town

REFUSES TO TALK

The Yugoslavia Foreign Minister, London, June 28-Sir Edward Stanoje Simic today refused to talk Gent, British High Commissioner of to the foreign press.

ם

The Tokyo Metropolitan Police urgent Headquarters, holding an session, decided not to declare stalo

but to concen- emergency relief work. No rioting trate on

been reported. Early this morning, 95,000 people

in burning Fukul were still cut off

relief teams by from rescue

D

the Federation of Malaya, is re- When the United Press in Prague Belgrado turning to Britain for consultations telephoned him of the with the Colonial Secretary, Mr Foreign Office for his comment on from Arthur Creech Jones, on the pre-the Cominform action against Yugo-wrecked railway bridge, according sent situation in Malaya, was slavin, ho declared:, oficially announced tonight.

it

news

He refused to hear any questions and hung up.-United Press.

to a Ministry of Communications

I have not authorised anyone to broadcast." Ho is expected to arrive within connect me with a foreiga

agency," the next few days.

Last week, Sir Edward Gent an- nounced in Singapore that a large- scale offensive had been ordered against "cold-blooded assassins and wreckers now trying to break down

and Malaya's economic

political organisation."---Router.

Helicopter Record sponsored

The broadcast sald all Fukui was cora burning, except the concrete

American- of the buildings. An Japanese relief train, which was due at Fukui at dawn, will not now be able to go beyond the railway bridge south of the town.

Little hope was scan" of rescue relief work being undertaken until after the fires burned out.

UNDER ARREST? Washington, June 28-There is speculation in some quarters that Marshall Tito might be under arrest

TOWN "SPINS ROUND" in Yugoslavia. These sources specu-- lated that the Prague announcement Fukul, a silk city on the coast of might mean that a new Soviet- Honahit, had 37,000 homes and a leader has taken over population of 05,000. Fires swept at wooden torrific speed through the Tito's job. Maidenhead, Berkshire, June 20.-

Other pointed out, however, that houses which had sprung up after A new helicopter speed record of Tito alone of all Soviet satellite the Allied air raids to create a vast 124.3 miles per hour was claimed leaders has been in a position to "hanty town".

An earthquake, believed to be here today by Squadron Leader set Independently of the Kremlin. Basil Arkell in a Fairey Gyrodine, Tito was not regarded here as the severest in Hawaiian blatory,

machine of entirely British design puppet but rather as the only ratelshook Oahu Island, two-thirds and construction. The new record 11te leader who has pulled himself the way Boross the Pacifle from à Reuter despatch Is subject to official confirmation up by his own bootstraps-United Japan today, and check-Reuter,

*

Preds.

(Continued on Page 5)

Mr Attlee told the Commons that "the irresponsible"action" of "a"section"

For

Under the regulations all regis- tared workers are subject to emer- geney regulation.

The Labour Government his several times before used troops to But move strike bound supplies. never before, since it came to power in 1943, has it asked for emergency powers to deal with a labour" dis- pute.

(Continued-on-Page 5)

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