Mr. Labatt, wealthy brewer of this town, "has been released and is now with his family," it was announced to-day by Mr. Claude Savage, torney for the kidnapped victim.
Mr. Savage refused to elucidate hhis brief statement regarding payment of the ransom and it was not Known whether the money was paid or whether Mr. Labatt was released by, police.
"A'man believed to be Mr. Labatt was smuggled into the Royal York Hotel this evening.
Bundled up in an automobile robe and apparently ina weakened con~ dition, the man was taken into the hotel through a back entrance with every effort at secrecy.
'Royal York Hotel beilboys_ identi-fed the man as Mr. Labatt, but the police resolutely rebuffed all in [quiries, refusing either to confirm or deny that Mr. Labatt had been' rescued or ransomed.
The hotel became a veritable madhouse as word of the appearance became known. The management state flatly that the mysterious Guest was not Mr. Labatt but refused, however, to say who he wa: Despite this denial, hotel employees Jswore that it was' the kidnapped victim. They said he had a long growth of beard and Kept asking "Where's Hugh?" "Hugh is the first name of Mr. John Labatt's brother.
The guest was taken to a hotel room and 2 heavy guard was placed Outside his door. The guards fused to comment and kept news paper men at a distance, Franco-Soviet Pact May be Concluded London, Aug. 15.
A. Franco-Soviet treaty creating defensive military alliance may be oneludea next month, it was reported here to-day.
The alliance," euphemistically termed a "pact for mutual assistance", is expected to be reached during fairs, and M. Louis Barthou, French Foreign Minister, at Geneva, according to these reports.
The agreement, it is reported, will serve as the accompaniment to the Prospective entry of the Soviet Union into the League of Nations.
'This information, reaching responsible diplomats in' London, received widespread credence. was understood, however, that the hi-lateral alliance will be signed only in case Germany and Poland maintain their refusal to join the proposed. Seven-Power Eastern European Pact, commonly referred to as the Eastern Locarno Pact was learned reallably that M. Litvinoff is now spending a vaca tion in France and that he will go to Paris before the September meet ing of the Disarmament Conference Bureau to discuss the situation with French ofeials.
Litvinofi' woul be prepared to announce the Soviet Union's ac-
Police Ald Negotiations The disappearance from his hotel here this morning of Mr. Hugh Labatt led to the belief to-day that solution of the Kidnapping of his brother was near.
was presumed that Mr. Hugh Labatt had gone to get into' contact with the kidnappers and, possibly, to the $150,000 ransom, which' he had been carrying in his pocket in leash for 48 hours.
It became apparent to-day that the police were facilitating the family s Regoliations with the kidnappers since newspaper reporters were iven confusing information by. the police and sent off on a false scent.
The attitude of the police, been expected that the authori-thes would oppose the payment of Fansom as likely to encourage fur~ ther abductions of wealthy persons.
Tt was reported earlier to-day that the Labatt family was deceiving both police and newspapers in an effort fo ransom the brewer secretly, but later developments indicated that the police were ce-operating in furnish ing false information to the press For the first time in the history. of Canada, ati the forces of law and order had' been mobilized in a mi hunt, Royal "Mounted Police, provineial troopers and local police' all were engaged in the search—United Press.
One Arrest So Far
Text read from the printed page and cleaned; old type leaves the occasional error.