As reporied in yesterday's [China Daily News," there were no further resignations among Nationalist offals. Contrary to current rumours, Dr. C. C. -Wu, Minister of Foreign Affairs, and. Mr. Quo. T chi, "Commissioner of Foreign Affairs, continued at their desks.
The future prospects of General JYang Hu, Garrison Commissioner, jand Mr. Chen Chun; in charge of the Political Department here, are still uncertain, It is believed' that Mr. Chen will resign but no state ment is forthcoming as to General Yang's intentions, 'A report was circulated yesterday' that General Yang Hu had 4,61 {troops und that he intended to mak stand at Lunghua on. behalf of general Chiang Kai-shek. A reporter of the "North-China Daily News," investigated that report esterday and he can state" unofficially but quite authoritatively that there is no truth in it, Gen-
Jeral Yang only has 700 troops, while JGeneral, Pei Chung-hsi and General Ho Yinjg-ching had large numbers Jof their army between here and Soochow. It was suggested in Nationalist circles that the report originated in Communist: circles, the Communists being busily engaged Int the present time attempting to start trouble.
The major political effort of the' moment is to find a device for} leombining the two Governments, without either recognizing the! superiority of the other. It is becoming increasingly evident that the original Nationalist military men will work out their union first Jand that as their armies combine, the civilian Governments will Jcombine.
Text read from the printed page and cleaned; old type leaves the occasional error.