Nanking, May 20.
The most critical stage in the Szechuen situation has passed, according, arrivals from Chengtu and Chungking. They admit, however, that the position was precarious about 15, when it was just "touch and 50" whether there would be fighting.
After the interview between General Chiang Kai-shek and General Liu Han-shen, personal representa tive of General Liu Hsiang, much of the misunderstanding between the Central Government and the provincial authorities was cleared up, and beth parties are now trying to reach on amicable solution of their dificul~ ties.
On May 15 the vanguards of the Central Government troops marching. towards Chungking were only a mile away from a line held by Szechuen provincial troops. A single—shot would have started a ball Chengtu_the situation was no less serious. The Gzechuen general in commond of the Chengtu garrison was in favour of disarming the Nanking cadets of the Chengtu branch of the Central Military Academy, and only the timely inter~ vention by General Liu Hsiang! prevented this move, which would Inevitably "have resitled in hes! ties.
Both General Chiang Kai-shek. and) General Liu Hsiang—are understood to have issued strict orders to the commanding officers in Szechuen to refrain from _taking any action which may precipitate Following the announcement of a desire by both the Generalissimo! and the Szechuen leader to avoid civil war in Szechuen, the situation is definitely easing.
The main questions to be settled are the division of power between the Central Government and the provincial authorities and the reorganization of over 200,000 Szechuen troops.
It is believed in Nanking that a formula will be found satisfactory to all parties concerned.—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.