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Eleven Moslems Killed.

Machine-guns Guard Streets.


The acute tension existing between Hindoos and Moslems at Hiwwar, a city in the Punjab, for several months had a dramatic sequel yesterday, when a Hindoo ran amok armed with a gun, killing 11 and wounding four Moslema. The Hindoo rushed into the butchers' quarters and shot at every Moslem he saw, killing nine. Then he left the city, killing two more. He is still at large, and the Government has offered a large reward for his capture.

Theie is a grave situation at Sukkur, in the Sind Province, following the Hindoo Moslem liots-. Machine guns are guarding the main stree-tt- and public buildings, and detachments ot regular and auxiliaiy forces ami armed police and Europeans are patrolling the rity. Two companies of Imlian infantiy are proceeding to the city fi'oni Hyderabad. liiotitig again bloke out yesterday, hut it was quelled by the police tiring on the mnb. Up to the present more than 200 persons have been arie.sted.

In addition to the general riotiug in Sukkur, theie have been many cases of lobbcry willi violence in secluded parts of the city, the majority of the victims being pet eons n ho have been driven from the countrywide by doods-, and i»ho are now living in the .streets and open spaces. It i.= feared that the disturbance«! may spread to other pints of the Sind.

Many persons were injured in a battle between Moslems and Hindoos at Tand lianwala, in the Lyallpur disti iet of Funjab.

Action for Settlement.

Gandhi Interviewed in Gaol.

The Viceroy (Lord Irwin) has given per-   mission to Pandits Motilal Nehru mid Jahawarlal Nehru to meet Gandhi in the Yeravada gaol, to discuss a settlement of the political situation.

It is emphasised that the calling off of the "civil disobedience" and "no tax" cam- paigns is a specific condition precedent to consideration by the Government of India of any suggestion that the three Congress (Nationalist) loaders may make after the discussion in the gaol.

The Viceroy is underntood to be deter- mined not to allow any more vacillation on the part of the Congress to accept the Go-

vernment's terms.

Bombay Mills Close.

Many Thousands Unemployed.

CUritish Official Wireless.)

LONDON, Aug. 5.

The Government of India's appreciation of the situatiou iu India up to last Satur- day stales that subject to comments given below there has been no chango during the week, while the improvement winch has been manifest during the last fc»v weeks is maintained.

In Wnziristan (North-West Frontier Province) a settlement with the various Mahstid sections of tribesmen is proceed- ing vciy satisfactorily. In the northern

border of Peshavvur district the situation has remained somewhat obscure through- out the week, but there has been no other act of hostility. There is no change in tho situation in Bannu, a city in the North- west Frontier Province. The process of disarming tho disaffected portions of the rural area, has continued throughout the week. r

It lias Been necessary lo nppl.v the Pre- vention of Intimidation'Ordinance to the Central Provinces, where picketing has be- come moro intensive and methods more forcible. The Unlawful Instigation Ordi- nance, which makes instigation to non-pay- ment of land revenue and certain other dues penal,- has been applied to the United Provinces, where Congressional propaganda has been carried on in some xdllages.

The economic position in Bombay city l8 deteriorating. On August 1 six cotton mills closed, involving 13,000 operatives, and it is expected that moro will close in the early future, owing to inability to finance further production. ? In Amritsar, which is an important centre of the piece goods trade, the ban. on foreign goods has resulted in the locking up of a x-cry large amount oi"capital, with the inevitable con- sequence that trade finance is seriously affected.