In response, the Communist Party only agreed to move the New Fourth Army troops in Southern Anhui (Wannan) to the northern shore of the Yangtze River.

On 4 January, the 9000-strong force started to move from Yunling Township in Jing County towards Jiangsu, planning to cross the river along three routes.

On January 13, Ye Ting, wanting to save his men, went to Shangguan Yunxiang's headquarters to negotiate terms.

The New Fourth Army's political commissar Xiang Ying was killed, and only 2,000 people, led by Huang Huoxing and Fu Qiutao, were able to break out.

Chiang Kai-shek ordered the New Fourth Army disbanded on January 17, and sent Ye Ting to a military tribunal.