JAPAN WON'T ACCEPT PROPOSAL OF LEAGUE; PLANS MUKDEN DEAL; Cabinet Decides Not to Alter Policy Against Withdrawing Troops by Nov. 16. SEEKS DIRECT NEGOTIATION Settlement With Independent Groups in Manchuria Is Seen as Way Out. YOSHIZAWA IS CRITICIZED Geneva Delegate Blamed for Not Clarifying Stand--Shanghai Hears of New Troop Clash. Manchurian Developments. Government to Issue Statement. The Points at Issue. JAPAN TO OPPOSE LEAGUE'S PROPOSAL Japan Will Not Yield.
Japan refuses to accept League proposal; Govt prepares statement of position; reiterates 5 demands; to seek direct negotiations with Nanking Govt and independent groups in Manchuria; Brit reptd backing Japanese view; shops selling Japanese goods in Peiping closed