Evening star., 1949-07-17
Chang Bid for Power
Seen as Effort 10 Block
Se||outs 10 Red Front
By Albert RovenhoIt
Foreign Correspondent OF The Stor ond
the chieoae Daily News

: HONG KONG, July 16.-Chiang
Kai-shek's new bid for power in
the Nationalist camp is seen here
at least in part. as an attempt
to halt recent secret peace nego-
tiations with Chinese Communist
representatives.
While officially vigorously deny
ing all reports Of peace overtures,
Acting President Ii Tsung-jen and
his closest colleagues in the last
six weeks have been engaged in
highly secret peace talks with
Communist front men.
Successful peace talks would
probably have swung the prov
inces of Kwangsi, Human, Kwei-
chow and Yunnan into alliance
with the Communists. A Commu-
Nationalist agreement would
also have left the Communists
relatively free to concentrate Red
attacks against Chiang's Formosa
Island and the South China
coastal defenses from which the
Nationalist blockade attempts
have been mounted.
AS a countermove, Chang is
now seeking to re-establish his
authority over the remnants OF
the Nationalist regime. If the
generalissimo succeeds in par
TALLY bolstering Nationalist main
land resistance, he will have en-
, barrassed Communist plans for a
stepped-up offensive against For
moSa,
Liu Fei Hides in Hong Kong.
Key man in this underworld
of Chinese politics is Gen. Liu
Fei, who is hiding out in Hong
Kong. Liu Fei formerly was ma
tionalist vice minister of defense
and vice chief of staff. Last
April Ii Tsung-jen dispatched
Iiu Fei-a longtime Kwangsi
Province colleague-to Peiping as
Nationalist Delegate to the Abor-
tive Communist Nationalist peace
negotiations. When the negotia-
tions failed Liu Fei remained in
$Peiping and eventually was ap-
pointed q member of the Com
munist military advisory council.
Six, weeks ago he quietly arrived
here in Hong Kong on a ship
from Tientsin. He carried letter
to Kuomintang leaders from
former nationalist elder statesman
sShao L-tze-another peace dele
gate who also remained in Peiping.
:Liu Fei also brought detailed
Communist proposals for a new
settlement with nationalist main
land leaders from which Chang
Kai-Shek had been barred.
Frowned on Peace Talks.
Gen. Liu Fei made three secret
trips to the Nationalist Capital of
Canton, to talk peace with Act
ing President Ii Tsung-Jen and
other leaders. Ii publicly an
nounced he was not interested in
peace negotiations. But report
edly the real trouble was failure
to reach agreement on terms.
Liu Fei, after returning to Hong
Kong. is said to have transmitted
the acting presidents real re-
sponse to the Communist Peiping
headquarters. Apparently when
Chang became convinced that the
Communists might offer Ii ac-
ceptable terms the generalissimo
decided to reassert the authority
he himself holds as head of the
Kuomintang Party
The projected emergency COM
mittee" to direct Nationalist af-
fairs which Chang has estab-
lished will give the right-wing
clique based at FormoSa greater
authority over mainland Nation
alist affairs.
AS Chairman Chang can be-
come actual ruler while permit
ting Ii to retain the title Of presi-
dent. Eight of the IL leaders
slated for appointment to the
committee or "supergovernment"
are "Chiang Kai-shek's men,