Evening star., 1937-12-28
AMERICANS FLEE
TS|NCTAO, CUT Off
BY jAPAN'S ARMY
U. S. Gunboat Sacramento
Is Due Thursday at
Shanghai.
SHANTUNG SEAPORT'S
CAPTURE is IMMINENT
Deal Between Nipponese and Gen.
Han Fu.Chu Hinted After
Fall of Tsinan.
BACKGROUND

Fall of Tsinan.
BACKGROUND
After conQuering Shanghai and
Ydngtze Valley as far 1cest as Man.
king japanese legionS hare turned
to clean up remaining areas in
north still under Chinese control.
Drive launched in Shantung Prou-
jnce resulted in capture of Tsindn,
provincial CAPITAL. while nauy de-
cldred blockade of Shantung coast.
Three American udrships sped to
Shuntung to protect. Americans
there.
D. the Associated Press
SHANGHAI, Dec. 2S.-The United
States gunboat Sacramento steamed
out OF Tsingtao Harbor today. carrying
American refugees from that rich
6hantung Province seaport isolated by
advancing Japanese armies.
Dispatches from the threatened city
said 280 Americans had evacuated
many OF them on the Sacramento
which was due in Shanghai, some 400
miles to the south, on Thursday
Earlier this week Tsingtao advices
were that there were 800 Americans
there. with the Sacramento, the de-
stroyer Pope and the cruiser Marble
head standing by to aid them.
CReports from Tsingtao said
Americans were leaving on the ad-
vice of the United States Consul
late. There was strict Chinese
censorship on all outgoing mes
sages. Although close to the scene
OF Shantung Province fighting,
Tsingtao received no news of it ex-
cept from Chinese, who reported
that all bridges on the railway to
the interior had been destroyed.)
May "Repudiate' Government.
Gen. 1wane Matsui, commander of
Nippon forces in the Shanghai-Nan-
king area. told japanese newspaper
men today that Japan may repudiate
the national government of China" if
China continues "anti-Japanese pol
icies'
There is no hurry about future
military operations so soon after cap
ture of Marking" the general said.
"Our troops, after more than four
months Of hostilities need a rest. We
simultaneously will give Chinese time
to reconsider, but If they persist in
anti-Japanese policies We will be
forced to act"
Fall OF Tsingtao to japanese swarm
Ing southwark into Shantung Prov
1nce seemed imminent Tsinan, pro-
vincial capital 200 miles to the west,
was IN japanese hands. Other Jap
anese columns raised the Rising Sun
flag over Weihsien. railway point less
than 100 miles west of Tsingtao.
Provincial forces of Shantung War
Lord Han Fu-chu took up positions on
nearby White Horse Mountain after
their feeble resistance at Tsinan. In
Shanghai observer raised the ques-
ton of whether Gen. Han had made
q deal with the japanese.
Chinese here were quick to point
out that only provincial Chinese
troops were defeated at Tsinan. They
said strong central army forces oc-
cupied positions at Taian, 80 miles to
the south, and Lincheng, another IS
miles along the route to Kiangsu
Province.
The United State gunboat Oahu
sailed up the Yangtze River to start
salvage operations on her tragic sister
ship, the Panay, sunk by Japanese
December H.
Two United States Consuls, John M.
Allison and James Espy, and Code
Clerk A. A. McFayden were on board,
bound for Nanking to reopen the
United States Embassy as soon as
conditions permit. They were expect
ed to proceed to Hoshien, near the
scene Of the Panay attack, and await
instructions from Washington. since
Japan had asked foreign nations to
withhold reopening of Nanking diplo-
matte quarters temporarily.
New Shanghai Crisis Looms.
While Nippon's warriors invading
sacred Shantung Province apparently
were bent on carrying out the Japa-
nese threat Of drastic punitive action
for Chinese destruction of 100000. 900
worth of Japanese property at Tsing-
tao, possibility of further friction
between civilian officials and Japa-
nese military authorities arose at
Shanghai.
The spokesman of the Japanese
Army, which yesterday proclaimed a
decree making Americans and other
foreigners subject to military law
death penalty for crimes against
Japan's armed forces. said the army
was not satisfied with the municipal
councils efforts to rid the Interna-
tional Settlement Of arms caches.
He declared that definite, effective
action must be taken before Shan
ghai could return to normally.
Bands Of Chinese Army stragglers
still were rowing about the countryside,
the spokesman said, delaying reopening
Of Japanese occupied areas surround
ing the Settlement.
For the second time in as many days
. grenade was thrown at q Soochow
Creek tugboat laden with Japanese
troops. There were no casualties in
the attack near Chekiang Road Bridge.
One Chinese suspect was arrested.
Rising Sun warplanes, meanwhile,
ranged over Central and Southern
China.
The japanese Army spokesman an
nounced that japanese troops would
stage q formal triumphal entry into
TsinAn this afternoon.
Portuguese Isle Shelled.
HONG KONG, Dec. 20 @.-Re-
ports from Macao, Portuguese colony
OF the South China coast, said today
. japanese cruiser had shelled Wong
kan Island, over which Portugal
claims jurisdiction. Several huts were
set on fire.
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