DESPONDENT.

Auckland Star, Volume LXVI, Issue 306, 27 December 1935, Page 7

DESPONDENT.

POSITION REVIEWED. Italian Writer Puts Hope In Laval. WORRIED ABOUT MR. EDEN. United Press Association. —Copyright. (Received 1.30 p.m.) LONDON, December 26. The Rome correspondent of "The Times" says that in a lengthy examination of the Ethiopian situation an "Osservatore Romano" writer laments the absence of a single word of conciliation, but contends that the Paris proposals are still alive, both for the League and for France.

He expresses the view that the League has only put the plan into cold storage and that M. Laval will continue his efforts, trying everything possible within the League, since sanctions do not exclude negotiations.

Meanwhile developments depend upon the stability of the Laval Cabinet, the outcome of British soundings in the Mediterranean, and tlie appointment of Mr. Eden, whose diplomatic steps are worrying the writer, as also is the French naval cruise in African waters.

Re-examining Sir Samuel Hoare's speech, the writer says that the Paris proposals go less far than the treaties arranged between 1891 and 1925, which ho declares retain their full validity as between Britain and Italy. It would bo interesting, he says, to know whether they are now regarded as scraps of paper.

The British United Press special representative at Massawa says that sanctions have not affected great quantities of materials which are daily being unloaded at Massawa, but the character of the goods is changing. A month ago many American cars were landed; today all are Italian.

Independent business men say that sanctions have not lessened sea traffic but have increased the volume of Italian commerce. Italy has been forced to manufacture articles, such as machinery and pottery, which she formerly obtained from abroad.

'PLANE SHOT DOWN. Success and Defeat for the Abyssinians. BRITISH ARMS IMPORTED. (Received 2 p.m.) LONDON, December 26. Abyssinian forccs, says a Harrar dispatch, shot down an Italian 'plane at Dagabur. Tl<e Abyssinians, hiding in a pit, were not seen by the occupants of the machine, which swooped low, bringing it within the range of rifle fire. Two of the crew escaped, but the third was reported to have been captured and decapitated.

An Asmara message states that Italian forces are reported to have defeated a band of 150 armed Abyssinians who were crossing the Danakil desert to obtain supplies of salt.

The "Daily Mail's" special correspondent at Hargeisa says 11 lorries passed there en route to Abyssinia, containing the first consignment of 500 tons of arms and ammunition reported to have been landed at Berbera from British steamers.

The consignment consists of 15,000,000 rounds of ammunition, 4000 rifles and 36 anti-tank guns.

A ship's steward, an ex-Austrian officer, is proceeding inland to instruct the Ethiopians in the use of the anti-tank guns.

GOLD STOCKS LOW. Italy May be Forced to End War. WHEN RUMANIA SAID NO. (Received 2 p.m.) LONDON, December 26. The "Daily Telegraph's" Paris correspondent says the rapidity of the exhaustion of Italy's gold reserve is indicated by the Bank of France's return showing its gold stock to have increased by over £5,000,000, the bulk of which came from Italy, during the week ended December 20.

Italy's straits are proved by a recent attempt to arrange a large oil contract with Rumania, for which she offered payment of one-third in gold, one-third in goods and the remainder after the war. Rumania, however, insisted on cash down.

French Opposition newspapers declare that financial difficulties will soon force Italy to cease war.

REPORTS DENIED. Refuelling British Fleet at Corsica. NOT CEDING CYPRUS. NEW YORK, December 26. The Paris correspondent of the "New York Times" says that the French Ministry of Marine denies a report that the British Fleet in the Mediterranean would be refuelled at Corsica. The Ministry says: "The public should be warned against the frequent mendacious news reports which for the most part come from the foreign Press."

From Athens comes a denial of a persistent rumour that Britain intends to cede Cyprus to Greece. It is emphasised that the Sykes-Picot Treaty stipulates that French consent would be necessary for such a step, the stipulation having been inserted as a measure for the defence of the Syrian coast against a possib'i un<r»andly Vower.

TO BE SHOT IN BACK. THREE ERITREAN SPIES. IxOME, December 26. Three Eritrean spies, charged by the Italian military police with giving information to the Abyssinian Government concerning the location of troops in the Italian colonies, were sentenced yesterday to be shot in the back. Nine others received sentences varying from one to W years' imprisonment.