Hankow, Jan. 17.
H. H. Kung, President of the Executive Yuan and Minister of Finance, had to reply to a barrage of question concerning Japan's rumoured peace terms and the Japanese Government's declaration repudiating the Chinese Government when he gave a tea reception to-day to foreign correspondents at the Central Bank.
Dr. Kung declined to make an official statement, and said that all "interpretations and inferences" from his answers must be on the responsibility of the correspondents themselves.
Much significance was attached to Dr. Kung's reply that "if the Japanese "News-Chronicle to-day on Government continually talks about peace terms, it must have statement issued by Japan terday revealing her definite sent some." policy towards China.
Asked if the Chinese Government had rejected Japan's peace Henceforth, it says, the word terms, he replied: "It is very difficult to define rejection. Whether will mean something other a request for elucidation om certain important points, or whether than the armed invasion and devastation of China. some but not all of the terms are found to be acceptable, can be The territorial integrity of China" called rejection is open to discussion." mean its occupation by Japanese troops.
Text read from the printed page and cleaned; old type leaves the occasional error.