Personal news. Asks Crewe for more details about South African politics. Condemns the British government for its ineptitude.

Trouble on the Natal coal mines has been fermented from the Rand. The natives are being subjected to agitation coo. Smuts fears a crisis resulting from a general strike.

Smuts has spoken to Stockenstrom about young Murray.

Describes trip to Egypt and Sudan. Is pleased at Crewe's prediction of Sauer's downfall. Kipling foresees a period of reaction in England, where the Dutch will have fewer supporters.

Welcomes Crewe back. Accuses Hertzog of attempting to break up the government merely because he has been expelled from his job. Labour restless and the natives are watching the labour unrest. Defence is satisfactory, apart from some grumbles from the Free State. The Military School a great success.

In Britain, the passing of the Amending Bill will lead to trouble in Ulster. Long hopes it will cause the downfall of the government. Long can understand Crewe's approval of the deportations, even though these were unconstitutional, as Civil War was the alternative. Long condemns the Labour Party as being purely destructive and agrees that if white workmen rebel they should be replaced by "black labour".

Long agrees that Britain has erred in accepting "undesirables from all countries" as refugees. Condemns the anarchists and suffragettes and their method of hunger strikes to gain their own ends.

Lukin is to command a force of about 3 000 men to proceed via Port Nolloth to the North. Maritz has a force of 1 000 mounted men at Kakamas and Upington. Duncan Mackenzie's force to attempt the occupation of Luderitzbucht and Swakopmund. No volunteer regiment has been organised.

Crewe's report in capacity of Director of War Recruiting. Report covers recruitment measures for new units and reinforcements for units already in the field when Crewe commenced work.

The rebellion against Botha would have been completely crushed but for the escape of Kemp with 600 men to German South West Africa. The rebels will attempt to return.

Smuts outlines to Crewe military preparations which he has made for the military campaign in German South West Africa.

Personal.

Smuts pessimistic as regards the duration of the war as the Germans seem to be a match for the Russians, French and English. Smuts very pleased with Van Deventer's action at Upington. Railway construction is being given priority in South West Africa. Smuts is seeking the help of the financial experts. Only Smartt is helpful. Smuts finds the others too narrow in their demands for economy and retrenchment. He is anxious to pursue the conquest of South West Africa and considers this a priority over financial questions.