asked the Prime Minister whether he can make a statement as to the present position in Inner Mongolia; and, according to the information in his possession, will be state approximately the number of Japanese troops reported to be in that district?

The present form of government in Inner Mongolia consists of a loose federation known as the Mongolian Frontier Joint Commission, composed of the Autonomous Government of the United Leagues of Mongolia and the two smaller autonomous governments of South Chahar and North Shansi. The former controls the greater part of the area in question and maintains its own army. These governments have not yet been formally recognised by the Japanese Government. Japanese troops are reported to be stationed at various points along the Peking-Suiyuan railway, but my Noble Friend has no accurate information as to the actual numbers in question.

How does the occupation of this territory by Japanese troops affect the pledge given by them in the Nine-Power Treaty?

I should have to have that investigated.

asked the Prime Minister particulars of any settlement and/or payment that has been arrived at between the Japanese Government and the British authorities in respect of compensation or damages for loss of life and/or property caused by the Japanese aeroplane raid carried out over the border of British-leased territory near Shamchun in the Hong Kong territory?

Yes, Sir. The sum of $20,000 has been paid by the Japanese authorities to the Government of Hong Kong to cover all these claims, the exact amount of which is not yet known.

Can the Minister say how many British subjects were wounded in addition to those killed?

I was asked a question about the amount of the compensation for damage. If the hon. Member will put down a question about the number of wounded, I will answer it.