SHARP CONFLICT.

Auckland Star, Volume LXIII, Issue 26, 1 February 1932, Page 7

SHARP CONFLICT.

ASSAULT AT CHAPEI.

Japanese Allege Breach of Truce. CHINESE GAIN GROUND. (United P.A.—Electric Telegraph— Copyright) SHANGHAI, January 31. Charging the Chinese with failure to observe the truce the Japanese yesterday commenced another determined assault on Cliapei, but met with strong opposition. Eventually they retired to a line along the boundary, the Chinese gaining much of tlie ground they liad lost ill the iirst assault—Thursday's midnight attack. The Chinese brought liekl artillery into action and shells dropped around the Japanese naval headquarters. Reports from the Japanese headquarters state that the offensive yesterday morning was necessary to retain the position already occupied. Armoured cars led the attack, but failed to penetrate the Chinese defences and retired to the boundaries extending from a road within the settlement proper to a point adjoining the Japanese headquarters, a distance of a mile and a half along the extra-settlement road. Every shop and house frontage was destroyed by Japanese bombs and wrecking parties. A large section was deliberately set on fire and burned fiercely. Motor trucks were loaded with timber and kerosene and set on lire for the purpose of removing cover for snipers and to hold off any Chinese advance which might immediately threaten the settlement. Unconfirmed reports state that the Chinese captured three Japanese armoured cars which had been used in the attack on the station. British. Troops Against Japs. An important meeting of the Defence Committee in the International Settlement yesterday morning decided that the situation in the Hongkew district, which previously had been left to the Japanese to defend, required the presence of British troops to prevent further encroachment by Japanese forces and danger to tho lives of residents from cross-fire from the Chinese. It is expected that the Royal Scots will be sent to this area at any moment. The Shanghai correspondent of the British United Press reports that Chinese shells have fallen in tho International Settlement. Snipers wounded two men of the Royal Scots Fusiliers, who were guarding the gates to the north Honan road. All telegrams for China are being subjected to censorship there. A battalion of the "Wiltshire's arrived yesterday morning and will disembark to-day. One thousand Japanese reinforcements also arrived yesterday. According to Admiral Shiozawa there are 20 Japanese naval vessels in the harbour, including two of the largest aircraft-carriers, also 5000 bluejackets and marines. The admiral announced that in the event of further attacks on the Japanese positions he will bring his fleet of 20 aeroplanes into operation and bomb the Chinese positions. Hotel Set on Fire. ' The Japanese yesterday morning sent up 20 aeroplanes to demonstrate over Chapei and the hinterland without bombing.

Alleging that the Hongkew Hotel, within the northern area of the International Settlement, housed' Chinese snipers, the Japanese entered at 8 o'clock yesterday morning and cleared the guests out. They then sprinkled the place with paraffin and set it on lire. This is the first action taken -vyithin the settlement against the Chinese. It seriously challenges the authority of the municipal council. The three days of lighting in Chapei and its environs have resulted in enormous damage. As regards casualties it is believed that the Japanese have lost 500 killed and the Chinese many times more.