The new agreement between the United States and China for the United States to purchase additional silver from China was reached in April and it stipulated that the new shipments must be, completed by July 15, the Department of Treasury revealed today, Without disclosing amounts of the shipments, Treasury officials admitted that. China had purchased some gold with the silver, Most of the gold China buys, it was learned, remains earmarked in the United States for credits in arrears On behalf of China in other countries.
The new agreement was the fourth such contract made in. the last two in reducing the town, bombing Chi-Army aircraft took an acting part neše troops and batteries in and near Kihsien. The fall of the town, staff officers here. claimed, had completely nullified the efforts of the Chinese high command to encircle Japanese troops in this area in a ring-0f fortified, towns.
The ring was said to have comprised Yehchikang, south-east of Lanfeng on the Lunghai Railway, Lungtangkang, south of Yehchikang; Suihsien, Taikang and Kihsien. Sui-hsien and Kihsien have already been taken by the Japanese units.
The. Sü-kilometre north-to-south road between Kihsien and Taikang was said to have been converted by the Chinese into a powerfully fortified line, protected by trench mortars and field guns.
Three divisions of picked Chinese troops were reported to have been massed north of Suihsien.
Meanwhile, another Japanese column driving southward from Kweiteh, yesterday continued itscadvance from Liulin, 20 kims. south of the important Lunghai town.
Intelligence received here from. various quarters indicated that) the Soviet Aid to China to Be Increased?
London, June 2.
The "Daily Mail" correspondent at Riga today reported that as the result of a Sino-Soviet pact just signed in Moscow Russia will increase her aid to China in exchange for exclusive privileges there. The correspondent quoted reports asserting that Russia would send two motorized divisions and 72 aeroplanes to China United Press.
Text read from the printed page and cleaned; old type leaves the occasional error.