Reports of rice riots in the Fre Concession yesterday, were discounted by the French Police last night, the "North-China Daily News" informed t although "a pushing" might have been noticed Outside one or two rice hongs when patrons grew impatient. there w definitely nothing which might be called a riot. A number of hongs hich have been closed owing to a lock of supplies opened their doors again in the morning, and in order te maintain peace and order. police trols were slightly strengthened; no riot squads were needed. however land none were standing by last nigh News that fresh supplies of rice Lad been received by the bonus caused some excitement among the many Chinese in the Concession who have been on "short rations" and ly large crowds gathered outside hones when they opened. Bus s was brisk, and here and there crowds outside grew patient at what they assumed was mere tard e part of the more f side. and started to China to end the current hostilities."
Gen. Ugaki said Japan did no desire the Generalissimo's downfall and the principle of "China for the Chinese" will be followed even if Gen. Chiang disappeared from the political scene.
Japan, he said, still desires China to reconsider her anti-Japanese attitude to establish peace in East Asia and ensure the economic development of the Far East, "thereby contributing to the welfare of humanity in general, and of Japan and China in particular."
If the hostilities are further prolonged he emphasized, "Japan will be called to make greater sacrifices and efforts, while national desires and demands correspondingly increase. Some change is already noticeable in the nation's desires and demands on the outcome.
Direct Parleys Required ked why Japan insisted on direct negotiations with China, he replied that "heart-to-heart talks are regarded by Japan as the best method for settling the controversy."
Quarreling neighbours." he said.
snaily become better friends ough direct pourparlers."
In the Manchurian incident of 1931, Gen, Ugaki continued. Japan anted to hold direct negotiations with China at the time and repeatedly urged Nanking to open direct conversations.
"If China had done so. say in the autumn or winter of that year. the Manchurian incident might possibly have been settled to mutual satisfac-ton. But China refused and the stablishment of Manchoukuo was the result, Returning to ut hostility ship may take desired neither by Japan or by China if the latter refuses to enter into direct negotiations and tead engages in hostilities War Declaration Unnecessary Asked why Japan does not declare war on China, the statesman declared Japan's action in China aims at the suppression of anti-Japanese and Communist elements in China and 1 antagonizing the whole of the Chinese people. Therefore a declara-tien of war may be unnecessary."
Asked if Japan desired the tion of North China, Gen. Ugak Japan believes that China must be governed by the Chinese for inese." If the Chinese themselves This naturally caused a certain amount of distri " the near vicinity of the shops. but the strength-ered police patrols, on the watch for any seafüing which might lead o riots. quickly restored order each time. As the morning wore on. crowds slowly diminished in s and by 11 am. the situate Concession was quite normal. ae ording to the French Police.
A tour of the Concession early yes terday afternoon. and more part in the vicinity of rice hongs in Route Frelupt. Rue Wagner. and Route de Zikawei, showed that matters had soon adjusted themselves and all was quiet. Little crowds, numbering from ten to twenty people in some cases and up to fifty in others.
ere waiting patiently outside most the shops, being chiefly composed according to the French Police. of people who impatiently left the ming throngs and returned later in the day.
No special riot squad precautions z adopted, it is understood, beyond the patrolling of strengthened police squads in the vicinity of the Tice hongs. These patrols will be maintained for the next few days. re a separation of north and other ts ai China from mother-country there can be no help." He.
said he understood that the want national unification and better administration.
Asked if Japan was ready to assume responsibility for the rehabilitation of China after hostilities end. he Japan is "prepared to do her in the task of rehabilitating country." Such action. he emphas-will benefit not only China and n but other nations as well believed it should not It to achieve rapprochement between Japan and China afier the conflict ended. Possible proof of this. Gen. Ugaki saw in the relations between Prussia and Aus trio, who fought wars in 1864 and 1868. tut Austria. which was defeated, maintained strict neutrality in the Franco-Prussian war of 1871
After the Great War. he pointed out. Austria shared the fate of Germany.
Asked if Japan is "going Fascis: Gen. Ugaki replied in the negative.
Japan. he declared, will be admintered under a parliamentary Government, with the Emperor as the central figure. in pursuance of popular opinion.—Domei.
Text read from the printed page and cleaned; old type leaves the occasional error.