The Waterbury Democrat., 1932-02-03

This last point provides for tho settlement of all Japancse- Chinese issues in the spirit of the Kellogg pact and the league of nations reso- lution of December ', providing for q neutral investigation of cOndi- tionD in Mnnchuria.
 | Failure of Japan to accept the firth point. 1t was believed, will not wreck the peace program. AL though neutral officials are eager to zee IL complete settlement Of all | JapaneBc- Chinese troubles, their | nrBt concern is to mitigate the pcrilouB situation at Shanghai, now | threatening thousands of foreign ciB.
 The four points which Japan is reported willing to accept affect | the Shanghai situation. They pro- vide for fl cessation of hostilitieh, no more reinfOrccmcnts and the establishment of neutral zones, po- Heed by neutraIs in the intcrna- tionnl settlement.
 officials said before any causa- tive reaction to the Japhnesc re- spopsc could be stated, there must be consultatoin between British and American statesmen.
 While studying the Chinese an- nwcr and awaiting the JapancHc re- 1 ply officials gave close attention 10 the statement to tho United 1 press of Premier Inukni of Japan in which he nct forth the JaDancsc pogition and blamed the ChlneEe for pcrcipitating the Shanghai bou- blcs.
 A report 10 the ncvy depart | f ' commanding the American marines Ut Shanghai. revealed that the Jhp- nncae notified the American con eulnts and the American naval forces nt Shanghai before firing on the WOoBunR fort.
 In addition to guarded optimism over the British American peace propognIn, several other factors tended to cnse the strain nt ShanS- hal. They were:
 1. Replacement of the Japanese ndmirnI nt Shanghai.
 2. Appointment of Prince Flu rhitni, prince of the Imperial blood, 10 the navy general stan.
 s. Belief that Premier Inukni if bnsicaIly Il liberal and friend oi China.
 1. Increased ccoonmic strain or Japan due to the Chinese boycott and the decline in JaphneHc stock money hnd commodity markets.
 |. Ambosbndor Dcbuchi's ns' surancc that no rcsnf0rcemehtb hrt being sent to Shanghai.
 American officials are greatly encouraged by the change of Jap nncae naval commanders.
 The new commander. Adnira Kichisnburo Nomurn. is personally known here. American 0filcialt tregnrd him as Il man of great dls' cretlon and judgment and are counting on him to refrain from further aggrnvntlng the tense sltu' htion. Privately some officials are high IIy critical of the conduct of tht previous commander in permitting inc bombing of Chapel. and were relieved at news he was bclnf ransfcrred back to TOkio.
 Admiral Nomurn is q broad, shouldered man, six feet tall. nnt does not resemble the typical Jap anese ns his friends hero describe him. He speaks excellent English served as military attaehe iron l1D16 to 1918. attended tho Phri' peace conference md the Washing ton naval conference.
 Eomura makes friends will IAmericans quickly. Ono still re. calls q geisha party the ndmira gave in his honor ns one of ths high spots of his Japanese tour oi duty.
 Another change regarded her' ns m encouraging sign was thu appointment of Prince Fushimi tt be chief of the navy general stan Being n Prince of tbe imperial blood. his prcsiige and authority. | 1s thought. probably will more