CHINESE TROUBLE.

Hokitika Guardian, 8 March 1927, Page 2

CHINESE TROUBLE.

[BY TELEGRAPH —rER TRESS ASSOCIATION.] FIGHT FOR SHANGHAI. SHANGHAI, March 7. As the military situation develops, both sides arc hurrying forward their reserves. Reinforcements from the north continue to pour into Nanking. Yesterday six thousand reinforcements crossed the A'mu"ls° River, on route to various points of the Nanking railway against the Cantonese. It is stated that a Japanese resident of Shanghai has offered to supply the northerners with ten thousand modern pattern Japanese rifles with a thousand rounds each at a low price. The Labour Organisations are working feverishly in their efforts to assist Xationali-ts to gain control of the city of Shanghai, and they are raising funds to supply them with arms. The General Labour Fnioii is instructing the Unions to be ready to rise upon deiinite news of the next Nationalist military success. KU’KIA.NG SETTLEMENT. SHANGHAI. March 7. Mr Eugene Chen (Canton Foreign Minister) has handed to Air O’Malley (British Envoy) a cheque lor forty thousand dollars, this coveting the damage .sustained hy the British subjects at Kiukiang. Notes were exchanged between Ah' Chen and Air O’Malley nn .March 2nd. in which the British Government agreed to cancel the British Alunioipal Regulations, anil to hand over unconditionally the administration of the area at Kiukiang to the Canton National Government as from March loth. 'lhg National Government agrees to eonlirm the existing Bund frontage line uses. which were issued hy the British authorities, and which will ho cur-

rent for ten years. The distribution of the forty thousand dollars is left entirely to the Britisli Government. M 1! O’MALLEY PESSIMISTIC. SHANGHAI, Feh. 25. It is stated that Air Owen. O’Alalley. the British diplomat, has warned the Government to the agreement just concluded at Hankow, because the “tortuous negotiations” of Air Eugene Chen, Nationalist Foreign Minister, had convinced him that Bolshevik influence

was predominant. Also, said Air O’Malley, when the Cantonese take Shanghai, they will refuse to be satisfied with anything less th'an a complete (surrender by tine British Government of all treaty “rights." It has become known here that the Japanese Go-vermnenl has re! used to promise that Japanese troops will defend other than the Japanese concession itself in the event of danger to the foreign settlement at Shanghai.