"The year again passed without further hostilities in' the Shanghai ares. There still remained the im= pediments to normality alteibutable fo the Sino-Japanese hostilities, but nevertheless Shanghai continued, 0 evince 1 vitality that surmounted the political disabilities, Lawlessness ud. terrorism were rife, and. their suppression was amongst the major problems with which the Council was confronted. Early in January an Unsuccessful attempt was made in daylight on the life of Mr, G. Godfrey Phillips, Secretary and Com: missioner General of the Council, farmed desperadoes on an extra-Seltlement road and despite subsequent police activities the criminals have not yet_been apprehended, sular Body expressed the view that! the best way to serve the purpose would be for all police " organs enforcing law and order' inthe} Shanghai area to arrange for, the extension and elaboration of equal and mutual collaboration and operation, Following. upon this change of correspontience the Chait-man of Council Invited the Japanese Consul-General, the French Consul-General and President of the French Municipal Administration, "and. the late Mayor Fu Slaoven to meet him order to discuss how best to give effect to the Fecommendations the Consular Bod) French Consul-Generat was unable aliend the conference but sent a high police oticer as an observer, At the conference It was agreed between the Japanese Consul-Ceneral, the late Mayor Fu Siao-en. and the Chairman of Council to. endeavour arrange for the holding of regular Meetings between the heads of their Fespective Police Forces operating the Shanghai area, Tt was hoped that at such meetings it would prove practicable to devise means of Speration for" preventing terrorism, Th co-operation of the authorities of the French Concession was.assured. Meetings of the heads of the Police Forces continue to be held.
"With the withdrawal of the British Military Forces from the Shani hal area the problem of the realloes tion of the Defence Sectors of the Soitlement arose, At meeting of the Defence Force Commanders. on August 15 it was decided, by a majority vote and with a Japanese reservation, to recommend to the Governments concerned and the Council that the Japanese be allotted that portion "of "the "D" " Sector formerly allotted 10 the British Forces and that the American Fores bbe allotted the "B" Sector formerly occupied by the British Forces. The portion of "D" may be described as the Western Extra-Settlement area while "B" Sector ig situated in the Central District "of the Settlement, " The Japanese member of the Defence] Committee voted against the abo Yecommendation" and reserved the right to submit alternative plans, The Couneit in adopting the recommendation reserved the Tight consider any counter proposal should it be communicated to the Council by the "Defence Committee in time fo enable arrangements to be made store the withdrawal" of " the British Forces, Tt was finally decided that the American Forces should postpone occupying the "BY Sector ending the outcome of negotiations fon the subject between the American and Japanese Governments, the Sec-question being occupied in the meantime by units of the Shang-hal Volunteer Corps.
"the murder, on October, 11, of Mayor Fu Siao-en of the Shanghai Munfeipal Government at his resi dence in the extra-Settlement area Scott Road aroused horror] throughout Shanghai. The murderer fg believed to have been 2 house servant Ju the late Mayor's employ.
expressing its deep regret at the assassination of Mayor Fu Siao-en the Council afforded every co-operdtion in an endeavour to bring the! murderer to justice.
"During the year the Council found it necessary to suspend the] Pidblleation of certain. Newspapers Which disseminated propaganda calculated to aggravate the situation in Shanghai, In other cases warnings]
similar action were given.
Pending completion of the negotia-fons for the amplifying and implementing of the modus vivendi on Policing in the Western Extra-Settlement Roads Area, signed on
Text read from the printed page and cleaned; old type leaves the occasional error.