17 DECEMBER 1927, Page 2

When recently the more powerful military leaders of the Chinese

Nationalists grew tired of Bolshevism and Chiang Kai-shek established a " moderate " Nationalist Government at Nanking, it was hoped that there. would be a general improvement. Unfortunately, all that territory, reaching up to Shanghai, over which the Red Nationalists of the South had .marched so quickly, soon fell into chaos. The removal of Russian inspiration and capacity for organization may have been one of the immediate causes of the chaos, but in a wider sense it was brought about by Bolshevist principles themselves. The "moderate " Government at Nanking has applied itself to raising as much money as possible by preposterous taxes which violate Treaties and act in restraint of trade. -If it be true that Chiang Kai-shek is to be. restored as Generalissimo of the Nationalist armies, he has a fresh chance, but his past record is not encouraging. In the meantime the Chinese agents of Moscow have got to work again. in Canton. Li Chai-sum, a colleague of Chiang Kai-shek; who for some time had been controlling Canton, was driven out. The Labour unions joined local troops under the red flag, and a Soviet was set up. This revolution was accompanied by the burning and looting of many buildings. The Soviet fell, however, as quickly as it -had arisen, and many of the ." Reds." have been executed. It is feared that fresh Bolshevist attempti will be made elsewhere, and Shanghai is full of rumours. - * * * *