1948-08-25 — Page 1

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VOL. III NO. 200

Arab Warning

Amman, Transjordan, Aug. 24.-The Arab Legion Commander in Jerusalem, Lieut-Colonel Abdullah Tel today sent a memorandum to the United Nations Truco observers warning that if the

Jews continued to vioate the truce, Arabs might "sco cause" to res- pond by clearing "100,000 Jews out of Jerusalem."

The Colonel added, "The United Nations observers cannot have cause to accuse the Arabs of aggression." -Associated Press.

MURDER IN

A PLANE

Seven Bulgarians On Trial

Istanbul, Aug. 24-The mur-, der trial began today of seven: Bulgarians accused of killing a Bulgarian pilot and radio opern- tor on a Sofla to Varna trans- port plane on June 13 and

For the Proprietor of

HONGKONG TELEGRAPH For and on behalf of

SOUTH CHINA MORNING POST, ETIL

Thanh

Extring and Publlaber

The

TODAY'S WEATHER: Light variable winda;' weather rather londs, with Isolated showers, chiefly during night and early morning.

1 p.m. Observallons: Baromoirfo pressure, 1093.0 mba, 20.83 In. Temperature, 85.7 deg. F. Dew point, 10 der. P. Relative humidity, 74. Wind direction, West by North, Wind force, 2 knots.

Low water: 2 ft. 8 in. at 7.38 p.m. High water: 5 ft 7 in. at 1.41 a.m. (Thursday).

Hongkong Telegraph.

WEDNESDAY, AUGUST 25, 1948.

MOSCOW TALKS TO CONTINUE

Stalin Arouses A New

Wave Of Optimism

Washington, Aug. 24.-The State Department confirmed here today that the four power talks in Moscow on Germany "will continue." Mr Michael Mc- Dermott, the State Department spokesman, said that a full account of last night's session at the Kremlin had been received, and added: "No date has been set for another meeting so far." He would give no further, comment.

Both the press and official reaction to the Kremlin talks took a sharp swing towards optimism here today. This was a result of reports from official sources in London that Generalissimo Stalin, at last night's five-hour conference with the Western, envoys, had introduced "certain new ideas."

These were said to have cleared the way for the continuance of

the talks, Officials which some had expected to end abruptly by this week.

declined to say. what the "new ideas" might be, but they emphasised that the fundamental question was the unequivocal recognition by Soviet Russia of the rights of the Western powers to be in Berlin as joint administrators of that international area and the implied principles:

1. That the Western Allies

Western

forcing the remainder of the have the right to use the rais

CHANGED PICTURE Moscow, Aug. 21--The crew to land the plane at Istun-

envoys' long talk with Marshal Stalin bul. throwing themselves at the and highways into Berlin.

last night was believed here today to 2. That the four mercy of the Turks as politica!!

powers have completely changed the picture refugees.

control any ", should

currency | in the great powers' negotiations over the cur-Germany. Begining the trial, the prosecutor selected by them as

It was thought that the Western charged that a retired Colonel, Crency of Bern.

Governments would take several days Mihalef, shot the flier and he said

Diplomatic sources here expected to consider Marshal Stalin's com- the others were accomplices.

that new instructions would be sent munication and co-ordinate a reply Beginning his Own defence, to the representatives Mihalet said he wanted to tell the Western powers in Moscow and that approach.

of the three which will form the basis of the next

background to the story, but the

When it is fully ready they would thers discuss a detalled

and has Judge ordered him to tell only about interpretation of these proposals with been discussed by the envoys here. the shooting, whereupon Mihalef the Soviet Foreign. Minister, AT. they may be expected to ask for said he had important information

Innother appointment with the Sovie! of a secret mature and asked for

Foreign Minister, M. Vyacheslav secret Court session.

Molotov, or with Marshal Stalin. The next day or two will therefore be a waiting period here, it is thought.

Malutoy.

This would then be followed by another conference with Marshal The Judge agreed to this, ex- Stalln

to clear up any differences pelling. nong others, the Bul- between M. Molotov and the three galan Connut who had previously envoys over the interpretation of together with the Bulgarian Am-Marshal Stalin's proposals. bassador-sharply requested that al defendants be turned over Bulgarian goverment.

to the

The request was refused.-Volled Press.

U.S. BUYS MORE BRITISH CARS

London, Aut. 24.-Dritain shipped more than 2,700 cars to the United States in July, bringing in more than US$3,500,000, the Motor Industry of Great Britain announced today.

IMPORTANT DIFFERENCES

the

GREAT SECRECY

they went to bed at dawn, the envoys, who seemed cheerful, ralloed to Parks, London tund Warhington their reports on their meeting with Marshal

Stalin and M. Molotov.

Neither Mr Frank Roberts, Britain's special envoy, nor AL. Yves Chataigneau, the French Ambassador, had so far commented on last night's talk, bu! the United Stater Ambassador, General Walter Bedell (Continued on Page 5)

ECA Aid May Help

Yuan To Prop Gold

said

Washington, Aug. 24.-Informed sources today that the ECA aid could be used indirectly to help prop up China's now gold yuan currency. both the United States and International leading agen- But cies denied knowledge of any move on the part of the Nationalist Government to get direct backing for the

new currency.

Total British ear exports for July negotiate on these lines without the But Marshal Stalin's Intervention. clrible for fund which is a sister renses will be cancelled if they

to all countries were 20,000, valued at nearly US$22,000,000,-Associated Presi

EDITORIAL

United Nations Discord

MR Trave

annual

Lic's report to the General As- sembly of the United Nations is thly year inevitably rallier cheerless document. For the record of the inst twelve shows how, at every turn and

no

SINGAPORE SLAYING

was

History

made at Canterbury Cathedral re cently when the Archbishop: of Canterbury" consecrated the first coloured Bishop ever to be installed in the Mother Church of the An- glican Commuaien. He is the Reverend Percy John Jones, a West African who is the Assistant Bishon of Sierra Leone. The Arch- bishop of Canterbury taking the newly consecrated Bishop by the hand and leading him from the Cathedral after the cere- mony.

Dine

At the

For

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Reservations

Heavy Fighting

In, Indo-China

forces wore

to me to control

lurge

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Families Escape In Houseboat

LATEST SITUATION

IN BURMA

Rangoon, Aug. 24.-British women and children escaped in a houseboat under sail from the Irrawaddy river town of Thayetmyo-now occupied by Burmese Army desertore, and arrived safely at the British oilfields to the north, it was learned here today. The men, who remained-behind,~~werò--- reported to be in no dangor and the situation in the town was quiet.

The deserters made an unsuccess- ful attempt to march on Rangoon, 185 miles to the south, then returned to Thayalmyo.

In Central Burma, Government successes against the insurgents, and the surrender of a number of the deserters were reported in tonight's Army com

communiqué.

Two townlets, which had been in rebel hands for some days, were Government in recaptured by the

the Yennng Yaung district, west of the Communist-controlled Yamethin

area.

Near Rangoon, the Communists attacked the transport depot at Insein, carrying off vehicles, orma and other supplies.

IN LOW SPIRITS

Deserters, said to be "sick and in low spirits," surrendered to Govern- inent forces at Toungou, an overnight halt for the Rangoon-Mandalay mali train, at Mamyo Hill, a resort near Mandalay, and at Mingaindon, miles from Rangoon,

12

Military observers believe that the Government's strategy in the pre- sent disjointed campaign is;

1-To clear the Rangoon area; 2. TO TROBpture the important rall terminus and Inland river port off Prome, 150 miles northwest of Rangoon, which has been in insurgent hands since early August;

3. To keep open the railway be- tween Rangoon and Mandalay the Inst capital of the Burmese kings- to enable it to carry reinforce- ments to

to the various bring food to Rangoon,

Д

fronts and

The situation is difficult_as_the_ Yomethin district, Communist stronghold, is straddled across tho centre of the Rangoon-Mandalay source railway. A usually reliable

disturbances reported tonight that had broken out at Mawachi, a well- known tin and wolfram centre in Karenn State, 145 miles northeast of Rangoon. British Arms with con- nections there could not confirm this, however,---Reuter.

NEW JET FIGHTER ·

The Western representatives were understood to be extremely satisfied with the nature of the com. munication Marshal Stalin made to them. Its nature was not disclosed. These diplomatic sources said that hut it will certainly need the this was the familiar pattern of highest lovel attention by the negotiation with Soviet leaders, Western Governments. but there were now two impurtant differences.

All reports relating to last night's Firstly, the Western diplomats talks should be treated with some were now familiar with the Soviet technique--and were presumably reserve for the greatest secrecy is

Despite similar denials by Nan- which perged prices to those ruling s being maintained. Observers to adapt themselves to it to ready negotiate n settlement of the Berlin think that the Western envoys, In-king, such rumours continue to reach on August 19. situation.

hna the United States. The fact is that structed by their Governments.

Meanwhile, Mr Wu Kai-shien, Secondly, airlift operations clrcumventing the

the been told clearly the final position since the International Monetary Commissioner success of

of the Bureau of the Western powers, beyond Fund has not officially approved the Sociai Russian blockade of Western Berlin which it is believed they would not new exchange rate of four yuan to sible oficials of the pork, fish, soya

Affairs, summoned respon the US dollar, China is simply not bean gave the Western Allies time to badge.

curd and cabbage dealers assistance.

guild to warn Russians forcing them to reach an nimed at smoothing over some of

The World Bank,

them that their agreement within a specifled period, the differences which had

does not make slabi- arisen, organisation,

fail to observe the official ruling. Heuter.

of such an important

lisation loan

Joans but only loans for nature พร

Chinese reports this morning kald that the envoys had to communicate specific development projects. And chicken and meat vendors have an- Salgon, Aug. 24.-Fighting be- immediately with their capitols.

In any event the Bank follows the nounced they will not accept official tween French troops and Viet Minh with the result, that negotiations and, Fund policy. Hence the Bank ceiling prices and will refuse to guerillas has increased to the prich diplomatic exchanges continue.

ould not make a loan tan

e govern-

sell unless the price limit is relaxed.of a full-scale war in ceriain dis- Marshal Stalin is believed to have rate is not approved by the Fund whose currency exchange

-Reuter.

tricts of north Indo-China during the stressed Russia's desire for a peaceful The United States Import Export

past few days.

Langley, Buckingham, Aug. 24.- Minh regulation of the differences between Bank likewise makes no stabilisa

Britain's latest jet fighter, the tonight Hawker N7/46 had its first public the Soviet and the Western powers tion loans and a Treasury spokes-

all except the test at Langley at well over regarding Berlin and Germany as a

600 towns in Tonkin Province. whole.

Some French Army posts are re- miles man has previously said that

per hour. This would be in line with the present chance exists that the Trea-

porled to have been overwhelmed Details of the speed and range of proclaimed Soviet foreign policy sury would do so.

and the Hanoi-Haiphong railway

the aircraft are still socret. It is and all the published

has been frequently

by believed that it can fly faster and | saboteurs.

farther

jot of Marshal Stalin, especially

MONEY FROM SALES

than any comparable famous letter to Mr Henry Wallace Under the terms

aircraft. It is designed primarily Singapore, Aug. 24.---Mr John and his wartime statements that agreement, experts sald, it is pos- Becker, a 48-year-old British ter.

as a carrier-borne fighter and has there is no reason why two different sible to use

| folding wings-Reuter. some Chinese money systems-capitalist and nocialist accumulated through the sale of merchant, was shot dead here cannot peacefully exist tovether. ECA goods to stabilise the currency. today by a Chinese. Police sald this would be done by said that there was no political SPEAKING SAME LANGUAGE fusterilising" come accumulated motive and they believed the the publication in the Soviet journal,means in effect that it would simply

sald money. They

this

attacker Was New Times, tonight of an article by casin

mentally un- the woman journalist, Natalie Serie-tionally

be taken out of circulation. Addi-balanced.

some of this accumulated A Reuter despatch from Kuala veva (a specialist in foreign affairs)ocal currency fund" could be used (Lumpur cald reviewing the book by

Edgar Snow- "Satin Must Have Pence

to pay governmental expenses to a fugitiven shot dead by Gurkhas neur Taking Snow to task for the cup-

limited

extent if the ECA approver the Maloya-Stam border today, car- gestion that lack of mutual under- The experts explained that both ried Slamese travel permits and standing between the Russians and measures

would help reduce the Communist. subscription lista. the Americans was understandable deficit which is the basic cause for Twer

for Twenty-two people were arrested and natural owing to their different the Chinese Inflation. ECA sources near the order. psychology and different opproach said, however, that there are no In Bangkok, a high official of to may matters, Sergeyeva declared present plans to use ECA dollars Slumese Ministry of the Interior fo- that the late President Roosevelt directly ns

backing for the day

discounted Singapore reports "found a common tongue with the currency.

that

Chinese armed

Communists leaders of Soviet polley."

While

it is possible that dollars were threatening Malaya from with- Western observers in Moscow obtained by Nanking through loans in Slam and said that every precau were tonight hopint that Marshal

tlon had been taken, to prevent present lonn for reconstruction Siamese frontier.-Kleuter. no Indication to projects. The backing Includes ite The contrary,

China Textile Corporation Rumours of another Kremlin other enterprises meeting tonight were not confirmed ECA aid. Thus, to

which will get

Its fellow members of the Coun- ell was inevitably affected by the fact of having been arraigned before it as a disturber of good relationu. Yet the development probalily

which months

In every direction, the Work of UNO was hampered and even crippled by a deep riti the "two

camin"

This

Bomething entircir unforeseen

when the Charter Wan drafted. The whole baals of the Charter, the whole basis of the Orenala- tion which it created, was that there should be

unison

There

a real spirit of coral be

that.

fold

came. Was

unavoidable. It is an axiom of Soviel thought that the world Is necessarily divided into two conflicting "camps," and it runs through all WJ9

the canonical ex- positions of Leudaism,

Andlus even a place in the first ent Liitution of the Soviet Union. Moreover. It is a Soviet doctrine as Mr. Vyshinsky frankly the Danube Conference the sther

law is an Instrument of politics and the reverse theory la unirice,

The words of the Charter about the principles of International law' and Justice mediately

10 have meaning it Law is simply "Instrument of nollica" To the co-operation becomes a practical proposition only if

with

tween member Liates. might, from time to time, have been an occasion to deat some unruly and turbulen! state which refused to abide by th decisions of the Becurity Connell, and for that purpose the Councit Was

equipped with u better means of enforcing the will of

than s the community decessor, The Council of League,

possessed.

pre-

the

But

nobody doubted that the Connell itself would act as a world body,

exercising Ils

authority impartial-

ly for the general good,

Ironfoilly enough thero

cheerful bosumption

day,

Conse

Burglars, therefore

fore. If the Foviel Where-

were to

Aud

nt

Was that

д

the

of their

Connell and the other "organ would derivo

much

authority from the co-operation

of the Great Powers. Yet from the very beginning timt operation did not extat.

Sharp

differences; fast already shown

themselves before the first

nicelines of the Security Council and Amembly, and it was a disaster that, the very first state to bo the subject of a complalut to the Council wa

Great Power, The whole, attitude of the Soviet to the Council, and to

-

such co-operation serves the policy and needs of the Soviet Union. Soviet policy is entirely self-regarding

Government decide was It lias done past periods that the Interests of the Soviet Union

in the

exktins

circum- stances, co-operation rather than open confilet, then the aliuation will become

easter

and the UN will be able, at any mife in some measure, fo

to function. But

st tho Soviet continues la consider, as

done for the

past t

two year. that conflict in tactically advantageous at the moment, as well as "historically inevitable" in the long run, then the fourth year of the Called Nations Or- Zanisation is likely to be ne troubled and as full of frustra- tion as its third year.

it

utterances his

Observers considered significant

zome

of the ECA

that two

Chinese

the

¡Stalin Inst night spoke a langungo be used in turn for backing."undesirable" elements crossing the

understood by the West

verta. There was

ECA anid that .all. and vice applications are

and

in circles close to the envoys. The these are, helped, the currency will

the extent that RECORD EXPORT general impression here was that be given support-United Press. this would be a quiet evening and it

OF COAL was thought that the only possibility of another Kremlin meeting for an-

RETAIL PRICES UP Shanghal, Auc. 25-Retail prices other 48 hours could be on Soviet of all commodities registered in- Initiative.

Observers considered there might creates yesterday the second day of even be another seven-day gap bangures available this morning.

the gold yuan debut-according to fore the next meeting but, assuming the initiative will

Quotations for cotton and cotton come from the yarn, flour and miscellaneous cereal, West, the answer is In London. cigarettes and other daily necessi Washington and Paris, not inties, were all up compared to the bunker depots abroad, were

London, Aug 24-Britain's cool exports during the 32 weeks up to August 14 exceeded those of any completo year since 1946 and were valued at about seven times as much as those for the whole of 1947, it was announced tonight,

Over 6,100,000 tons, exclusive of moro, ilian half a million tons for Moscow.

rent The Western envoys were back at

previous day.

oversons. Altogether –0,000,000 tons work carly

Police arrested more today after

than 100 of coal have so far left Britain this having vegetable and meat peddlers yesteryear as bunkering cont and-direct snatchait a few hours of sleep. Defore (day for violating price ceilings exports-Router.

cut

French troops have been launch- ing vigoroun counter-attacks.-Reu-

LONDON DRY WHITE SATIN-OLD TOM

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BY

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