OFFER OF MEDIATION.

New Zealand Herald, Volume LXIX, Issue 21098, 4 February 1932, Page 9

OFFER OF MEDIATION.

BRITAIN AND AMERICA.

PROPOSALS IN DETAIL.

CESSATION OF HOSTILITIES.

FRANCO-ITALIAN SUPPORT.

By Telescraph—Press Association—Copyright. smifalSsLlg- 2.

The United Press Association says TE" learns that Britain and the United States have sent a message to China and Japan proferring their good offices in the settlement ct the dispute in China, and urging the two nations to cease warfare. The proposals submitted are:— (1) Cessation of all acts of violence by both sides. (2) No further mobilisation or preparations for hostilities. (3) Withdrawal of Chinese and Japanese combatants at all points of mutual contact in Shanghai. (4) Protection of the International Settlement by the establishment of a neutral zone to be policed by neutrals. (5) Prompt advances to be made for negotiations to settle the outstanding controversies between the two nations in the spirit of the Pact of Paris and the resolution of the League of Nations of December 9 without prior demand or reservations, and with the aid of neutral observers or participants. France and Italy, it is understood, have made the same proposals.

BEFUSAL TO RETIRE.

DECISION OF JAPANESE.

TRUCE CONSIDERED ENDED

SHANGHAI. Feb. 2. The intervention negotiations by representatives of the foreign Powers definitely failed to-day. It was announced by the local Japanese officials to the Mayor of Shanghai, Dr. Wu, that Japan could not accept the suggestion of retirement to the previous positions held. The truce is now regarded as definitely ended, and fighting on a large scale is expected to be resumed at any moment.

SCENE IN COMMONS.

LABOUR LEADER REBUKED.

REFERENCE TO JAPANESE.

LONDON, Feb. '2. Mr. George Lansbury, Leader of the Labour party in the House of Commons, speaking after the statement on the situation at Shanghai made by Sir John Simon, roused many protests and demands of withdrawal when he declared that " the country and the world ought to recognise that Japan to date has engaged in a piece of international piracy." Mr. Speaker: The hon. member ought to remember that he is referring ,to a friendly Power. The Prime Minister, Mr. Mac Donald. in answer to Mr. Lansbury, said that until replies had been received from the Powers, it would be inopportune to have a general debate on the trouble in the Far East, which would only do harm.

EXPOKT OF AKMS.

PROPOSED AMERICAN BAN.

MOTION BEFORE CONGRESS

(Received February 3, 7.5 p.m.) WASHINGTON, Feb. 2.

In the House o[ Representatives to-day Mr. H. Fish (Republican—New York) introduced a motion to empower the President or Congress to ban the shipment of arms or munitions to warring countries. Foodstuffs and other commodities wculd be exempted from the embargo.

JAPANESE STOCKS.

DECLINE AT NEW YORK.

NEW YORK. Feb. 2,

Japanese bonds of all kinds dropped one to seven points on the New York market to-day. Most of them reached new low levels.