The sun., 1919-07-21
TERROR TROOPS
RULE BUDAPEST
Arms Distributed to dragged
Proletariat," Then City
Is Raided.
KUN ROUTED BY REBELS
Lack of Food Acute and One
Vessel of Danube Flotilla
Flees to Serbs.
KUN ROUTED BY REBELS
BIZ the Associated Press.

BERLIN, July 2o.-A new reign Of
terror exists in Budapest, according
TO a despatch from the Hungarian
capital to the Taoebidtt, and RED
terror" in it's worst form is antic!-
pated.
The despatch says so-called terror
troops" are now masters of the capital
and that they have stormed the garri-
son, disarmed the troops of the Bella
Kun Government and distributed arms
to "the ragged proletariat."
The leader of the terror troops,
who was Bella Kun's personal guard OF
honor publishes an appeal for volun-
teers, and the Peoples Commissaries
Varga and Szamuely and Nice-Com-
missary of Foreign Affairs Mosesal-
parry, the new leaders in control, have
sent an ultimatum to the moderate
city commander OF Budapest, Habrich
ordering him to give up office and
turn over the city to them.
The despatch says the Council of Gov
ernment is still convinced that the En-.
tente is too weak or unwilling for armed
Intervention. 1t says also the Red army
OF Bella Kun continues to disintegrate
Food conditions in Budapest are inde'
scribable and money is declared to De
rapidly falling in value.
Monitor surrenders to Serbs.
! During the launching of the new Hun
! garian monitor Marx on Friday, the las
unit OF the Danube flotilla. the monitor
SEsmos. which had remained loyal u
Bella Kun. fed down the Danube AM
: surrendered to the Serb!ans. The Of
/ icers and men of the crew requested
! permission to fight against the Hunga
/ rlan Soviet Government, and the Ser
I hian Government transported them T.
Of Budapest. where they were placed
the disposal of the Karolyi forces.
The despatch adds that the Entent
apparently will not proceed against Bell
Kun, but that 1t has given permission
TO Karolyi, who has not resigned
has been reported. TO open an offensive
The Budapest correspondent OF tn
TdCoblnu has been enabled to smusgi
oIt of the Hungarian capital an eNcerp
of a recent speech Of Kun before III
/ Executive Council of the Soviet.
In the speech Kun made the sensa
tional assertion that Hungary was fac
ing a triple crisis-in power. economic
and morale. The crisis In power n
said. was evidenced by the counte
revolution that in economies in III
unbelievable prices of food, and tina
in morale in corruption which ha
reached such undreamed OF limits.
All the officials in Hungary, accord
ing TO Bella Kun, were susceptible
bribery; they were making out passe
for persons TO fee from Hungary, chars
ing for them from $4,000 to 10000
crowns and also were buying Illicit
In the provinces. Every one. he as
serted, was swindlng and willing I
take any criminal steps to live well.
The KaroIyi referred to in the abov
despatch probably Is Count Jules Karol
vi nephew OF Count Michael Karoiy'
former Provisional President OF Hun
gary. In May last Count Jules was re
ported TO have set up a Government a
Arad in opposition to the Bolsheviki an
TO have issued a manifesto declaring
10 be his first duty TO restore law an
order and then to transfer the admins
tration to a government possessing IN
confidence of all parties.
Szegedn, where the officers and cre'
OF the monitor Szamos are said to hav
been transported. is about fifty mile
west OF Arad.
despatch from Berlin dated Thur:
day any Count Michael Karolyi Wt
reported to have succeeded in escapin
from Hungary and had arrived in Ital
and that he would proceed from Ital
I ,n the I-pitAd States