The Waterbury Democrat., 1932-02-01

| csc and Japanese, more honored in
| the breach than in the observance.
| was still functioning technically to-
| day, and the British and America n
authorities were striving to poach
| it up into a forceful instrument.
| However, there appeared little
| chance Of success, and there were
reports 1t had been definitely shat
| tered.
American Consul Cunningham
and others involved refused to
comment on the reports that the
truce was definitely cancelled and
that Japanese marines tonight
were attacking positions and bonn
harding kiangwan and other Chin
csc troops concentrations. Kiang-
wan is Shanghai suburb within
the limits Of the native city.
The arrival on Friday OF che
United States Infantry will mark
the first landing of American
troops-other than marines-in
Shanghai since 1900. When Rear
Admiral Montgomery M. Taylor
arrives on his flagship Houston,
he will be the ranking foreign ad-
miral and will assume control of
the port.
The position of the foreigners
may be such by that time that the
combined American and British
forces may have to demand that
Japanese leave the settlement or
face forceful election, the conse-
quences Of which would be far
reaching.
would take to regain the neutral
~, aft,t af q
keen. Chinese-Japanese hOsitilities
on large scale appear inevitable.
While this dispatch was being
written, rifle and machine gun bull
lets ratified around the building
housing the United Press Offices.
Just across the Garden bridge over
the creek, Japcnese marines were
in control of Hongkew.
An American girl tried to cross
the bridge but was halted by a
japanese marine and was refused
passage even with an escort of
settlement police. The girl wanted
to reach her baby in an apartment
house in the French concession,
where 1t had been taken for safety.
The Japanese marines had left
the postofficc, which they had oc-
cupied, and 1t was guarded by q
Russian detachment of the Shang-
hal volunteer corps. The Russians,
however, were isolated, with Jap
ancse marines patrolling the area
about them.
The present foreign defense
corps Is barely sufficient to hold
their settlement lines. Until the
arrival Of the Argyll and Suther-
land Highlanders to reinforce the
British and Admiral Taylor with
his forces Wednesday, the situa-
ton Of the settlement will be most
precariOus. 1t was feared the
Japanese would decide to take over
the entire settlement, on the plea
Of silencIng snipers, or might
launch their threatened offensive
against the Chinese positions,
either Of which developments
would potentially endanger the
lives of million people In the
settlement.
There was little doubt that the
Japanese had rejected the proposal
to esta blish neutral zone around
the settlement. Foreigners believ-
ed that by the end OF the week,
with achievements of United
States troops and the "Iadies from
hell" as the Highlanders are
known, would bring about a show
down between Admirals Taylor
and ShiOsaWa.
Preparations were started for
housing the influx Of foreign
troops in the crowded settlement.
The editor of the China Clipper,
only insurance journal In the Far
East, said to-day that the fire loss
In Chapel was estimated at 10000
COO taels( about $16.500,000) of
which only a negligible amount
was covered by insurance against
the risk Of war.
Local underwriters, rejecting the
nervousness of the business com
munity. refused to issue war risk
leverage on the plant of the Com
mercial Press two days before the
bonn bling, although the owners Of
fered the incredible rate OF az
per cent Of the sum insured per
,nnnth