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About Capital journal. (Salem, Or.) 1919-1980 | View Entire Issue (Oct. 21, 1942)
4 fefe, ft w Buy War Bonds Keep 'Em Flying 54th Year, No. 251 .."eXToS Salem, Oregon B Wednesdt??Ocrober21, 1942 Price Five Cents myts oes u m -m 11 Says A ueaciy hot poo w No Further Tax Increases Until Next Session President to Sign Biggest Revenue Bill Before Midnight Washington, Oct. 21 WV-Congressional leaders turned an un official but emphatic thumbs down today on any further ma jor tax legislation until after the first of the year. With the biggest of all rev enue bills on President Roose velt's desk for his signature to day, after Its final approval by both houses yesterday, chairmen of the two tax-framing commit tees let it be known that they and their aides felt they had done enough for a while. Chairman George (D., Ga.), of the senate finance committee told reporters that while Secre-. tary of the Treasury Morgen thau might carry out his an nounced intention of requesting $6,000,000,000 more in direct revenue, he, George, thought nothing concrete would be done about it by congress until after- January 1.- Moreover, George made it plain that he believed the tax load contained In the new bill already approached the maxi mum. - - "Of course," George said, "we are going to have to go into the question of compulsory savings to help in fih'arieihg'the war."'lt may be . that. Mr. Morgenthau will bring back from London some ideas of what the British have accomplished in obtaining such forced loans and they may be useful to us." Major Provisions J President Roosevelt told his press conference yesterday that he would sign the new measure before midnight tonight, thus breathing life into the second of two pieces of legislation he told congress on September 7 he must have quickly to prevent furth er increases In the cost of liv ing. The first of these, which congress gave him speedily, was firmer control over prices, wages and salaries.' As the tax measure stands, it contained these major provisions: A 5 per cent victory tax on individual income over $12 a week, with post-war credits. This I was combined with stiff increases Pin the normal and surtax rates on net income and a broadening of the base of the income tax by a cut in exemptions. A 9 percentage point increase in corporation taxes on normal and surtax income and an eleva tion of the sliding scale of excess profits to a flat 90 per cent rate Battle Raging In Yugoslavia - London, Oct. 21 (U.R) Private . advices from the headquarters of Gen. Draja Mikhaliovich, Jugo slav guerrilla leader, reported to. day that a large scale battle was raging in southern Bosnia be tween his Chetnik forces and axis troops. The reports indicated the bat tle was one of the biggest yet waged In Yugoslavia. First reports said the towns of Kupres and Foca on the south bank of the Drina river had been heavily bombarded by artillery irom Dom sides and that the towns had changed hands. At the same time, private ad vices revealed that one of Mik- hailovich's best officers. Mai. VJadimir Todorvoich, had been killed by an Independent band of "foreign" guerrillas which in filtrated into Yugoslavia and op posed both Mikhailovich and the axis forces. Losses were reported heavy on joth sides in the battle of Kupres nd Foca. Mikhailovich, reports showed, suffered casualties estimated be tween 600 and 900. Field Marshal Jan C. Smuts, prime minister of South Af rica, who told the British parliament that a great al lied offensive looms. Quake Rocks Los Angeles Los Angeles, Oct. 21 (U.R) A moderate to strong earthquake was felt in southern California today, and reports indicated it was most severe in the Imperial valley near the Mexican border. Taller buildings in Los Angeles and San Diego swayed to the east, and west with the motion of the tremblor, which lasted about 30 seconds in Los An geles and approximately three minutes in El Centro, Imperial valley city. The seismological laboratory at California Institute of Tech nology in Pasadena reported the quake "was a good sized one at some distance.",' Attendants, said it was impossible immediately to locate the epicenter. . Reports from areas in which the quake was most severe in dicated little if any damage had been done. Plaster was cracked and knocked from the ceiling of some buildings at 1 Centro, In Brawley, 10 miles to the north of El Centro, the motion was des cribed as vertical. No damage was reported in that city. Virtually every community in southern California, from down town Los Angeles to the Mexi can border, reported feeling the quake in varying degrees. Red Star Says America Ready Moscow, Oct. 21 VP) Red Star, official organ of the soviet army. asserted today that the United States is ready now in men and equipment to open active mili tary operations. (The Russian press' has ex pressed the view with increasing frequency recently that Russia's allies have the strength to un dertake second front operations at once to relieve German pres sure on the soviet forces.) "Successful fulfillment of war industry problems, growth of the army and airforce and acceler ated naval . construction create all the necessary conditions for active operations by the United States," Red Star said. "They have enough men and machines. As to the training and operative ability of the army, this can be determined only in armed struggle." Crisis in France Over Deportations Bern, Switzerland, Oct. 21 VP) All Serbia was reported under martial law today as a tide of unrest and uncertainty continued to sweep occupied Europe from Norway to France and the Balkans. Private advices from: France pictured that unhappy land as entering upon her most critical period since the 1940 ar mistice. With 11 days remaining to chief of government Pierre Laval before he is expected to try compulsion to meet Adolf Hitler's demands for French workers. Martial law was decreed by the puppet Serbian government at Belgrade, said a Budapest dis patch to the Basler Nachrichten. after the nazl military command er in Serbia, Gen. Bader, an nounced numerous arrests had Allied Airmen Rule the Skies On Pacific Front Bombing of Enemy Troops and Bases Continues in Solomons By John H. Wiggins Washington, Oct. 21 VP) Al lied domination of the skies in the vast Pacific battle front ap peared growing mightier today as American bombers slugged Japanese invasion bases from the Aleutians to the Solomons. The fury of the allied bomb ing of enemy troops and supply concentrations in the Solomons seemed thus far to have stalled, at least temporarily, the full force of a Japanese thrust to re take the American-held Guad alcanal airbase and win control of the Southwest Pacific. Airdrome Bombed . While a large force of Jap anese warships and auxiliary vessel in the Solomons and re inforced enemy troops on north western Guadalcanal still held an expected attack in leash, United States bombers dropped explosives on the embattled is land's invaders on October 18 and 19, and started fires at the Japanese Rekata bay base on Santa Isabel island, 150 miles to the northwest. At the same time, Gen. Doug las MacArthur's Australian com mand reported J.tst night, allied'-bombers werfei believed to have inflicted extensive damage on the Japanese airdrome and shipping at Buin, Bougainville island, about 315 miles north west of Guadalcanal. Offensive Expected All allied planes, meeting no attempts at interception, re turned safely from the Buin night raid, the communique said. The navy's report yesterday of the latest American assaults in the Solomons and Aleutians made no mention of any enemy planes rising to counterattack. Possibility that the South western Pacific skies may soon become a horn it's nest of al lied planes was seen yesterday in an assertion by Secretary of the Navy Knox that the num ber of navy land-based planes was steadily increasing." In the North Pacific, the navy announced that on Oct. 18 the army's heavy four-motored Lib erator Domoers smashed again at the island of Kiska, the last of three Aleutian bases once held by the Japanese. Bomb Explosion in Gestapo Offices London, Oct. 21 VP) Several Germans were killed by a bomb explosion in Gestapo headquar ters at Cherleroi, Belgium, Bel gian sources in London said to day. Another bomb exploded on the same day in a German police headquarters at Mareinelle, the Belgians said, but they had no report on casualties. A 9 p.m. curfew has been im posed on the area, it was said. been made because insurgents had attempted to organize a re volt against occupation authori ties. The Basel socialist newspaper, Arbeiter Zeitung, recently re ported that the gestapo had put to death 500 to 600 Serbs who plotted a revolt. Swedish newspaper correspon dents reported from Norway, according to the Swiss Telegraph agency, that Vidkun Quisling had ordered 25 more clergymen to leave their homes as a result of (Concluded on paie 10, column 7) Marines Move Up to Attack Japs on Guadalcanal United States marines move through the tropical jungle of Guadalcanal island to get into position to attack Jap forces en trenched on the Matanikou river. This picture was radioed from Honolulu to San Fran cisco. (Associated Press photo.) Yank Bombers Raid Axis Bases Cairo, Oct. 21 (IP) American medium bombers participated yesterday, in the broad allied attacks on, airfields, shippihg;fcrid axis, arjies in Npth jAfriCaj' Eleven ;enemyplaries jwsre.downed, Sweeping deep into enemy territory, the American task force scored direct hits on grounded planes, protective revetments and tent areas of the desert .war Kiska Strafed By Bombers Alaska Defense Command Headquarters, Oct. 21 VP) The latest group of Liberator bomb ers which are daily attacking Japanese attempting to reinforce their garrison at Kiska reported enemy positions unchanged on the island, the army announced today. ' The group, one of several con ducting the army's raid-a-day tests against the invaders, was led by Capt. Lynn R. Moore. The flight noted hits in the camp area and one especially heavy explo sion which may have been a gasoline dump. . The Moore flight, like all since Oct. 3, met no aerial opposition while dropping its "; 12 tons of bombs on the Japanese. The latest attack was (concen trated on Trout Lagoon ancfthe main Kiska camp. A" number of cargo ships already are beached in the lagoon. The Japanese positions at Ger trude Cove where the reinforce ment attempts are being concen trated are also unchanged, the fliers reported. The raiders met continuing anti-aircraft fire, but,most of the Japanese scurried for cover and froze to the ground when they saw the American planes. Strafing by raiders early this month taught them to find pro tection when the U.S. army fliers the pilots believe. The Japanese are even using bomb craters for shelters, some times putting up tents in such improvised protection. 4 Axis Ships Sunk In Mediterranean London, Oct. 21 (P) The sink ing of four axis supply ships in the Mediterranean by British submarines was announced today m an admiralty communique. Two of the sinkings were credited to one submarine. They were a small axis supply vessel which went down off the Italian coast and a medium size ship which burst into flame and sank after a torpedo hit amidships. The other two were a large supply ship, hit three times from close range and sunk within two minutes despite extremely bad weather and destroyer protec tion, and a smaller ship sunk off the Libyan coast. ' theatre. All the American planes re turned safely, although a British communique said 12 aircraft were lost. The operations in cluded long-range fighter as saults on transport moving along the coastal road. Although ' the Americans lost no planes, they reported that they demolished by direct hits three enemy fighters about to take off from one airfield, des troyed a bomber on another landing ground and shot down two other fighters from a group of 22 in dogfights. At the same time torpedo planes and bombers were cre dited with hits upon a tanker and two other vessels in a raid Monday night on enemy shipping near Lampedusa, Italy. "Enemy air attacks on Malta were on a reduced scale," the headquarters communique an nounced. "Only fighter-bombers and fighters were employed in a series of abortive raids." At least two of the pilots of the 12 missing planes were re ported safe.. 5 Years' Prison Terms for Bundisfs New York, Oct. 21 (P) Twen ty-four former German Ameri can Bund leaders, including Ger hard Wilhelm Kunze, national leader, were sentenced today to five years in prison each for con spiring to counsel bund members to evade the draft law. Federal Judge Alfred D. Barksdale said that in his-opinion all of the defendants were guilty of "far worse than any tactical violation of the selec tive service law" and said that he would not impose fines be cause that might have the effect of causing their families to lose their homes. Under the conviction, each de fendant could have been subject to a $10,000 fine. Temporary Court Order Extended Portland, Ore., Oct. 21 U The OPA had another 10-day ex tension of temporary restrain ing orders against four Oregon meat packers today. The packers, accused by the OPA of "upgrading" beef and veal, reportedly were about to reach a settlement whereby gov ernment inspectors , grade the meats. Trial of Hess Awaits War End London, Oct. 21 (U.R) Foreign Secretary Anthony Eden told the house of common; today, that the- government, .presently treated Rudolf Hess, former No. 3 nazi, as a prisoner of war but saw no reason why he shouldn't be dealt with like other war criminals, after the war. - He said no request for Hess' immediate trial had been receiv ed from Russia, where agitation that he be tried without waiting for the end of the war was grow ing. An official Russian state ment to' the refugee governments in London had suggested an im mediate trial, and the newspa pers Pravda and Red Star echo ed the demand yesterday. "In our judgment," Eden said, "there's no cause to apply to Hess treatment other than is being elaborated by the united nations for dealing with war criminals. Hess is treated as a prisoner of war. There never has been or can be a question of treating him as an envoy or giving him any form of diplomatic privileg ed status." Russian newspaper editorials had asked sarcastically whether Hess was "a war prisoner or an envoy plenipotentiary." The allied governments are planning an international tribunal to try war criminals after the war. Gihralter Raid Warning Gibraltar, Oct. 21 VP) An air raid warning sounded in this British stronghold last night, but several Italian bombers which flew over the Gibraltar area dropped all their bombs in ad jacent Spanish territory. Only Essential War Projects Get Priorities Washington, Oct. 21 VP) Chairman Donald M. Nelson of the war production board announced today he would limit government construction to projects "directly essential" to the war effort. Nelson notified the heads of eight governmental agencies that! u- , t -! t i I lie iitiu Kivcii msirutuons xo re- voke priority assistance to a large part of non-military con struction for the federal govern ment, and said a review now was under way of all military pro jects of the army, navy and maritime commission, with the same end in view. "As things now stand," Nelson said, "facilities and construction. Including many projects hot re lated to the war effort, programs for 1943, with the carryover of uncompleted 1942 projects will absorb between one-fifth and one-fourth of the total war ef fort." He added that the aggregate demand for these projects for Russians Drive Nazis Back in Drenching Rain Red Army Seizes Initia tive South of Stalingrad; All Attacks Smashed By Henry Shapiro Moscow, Oct. 21 (U.ft Front dispatches said today that the Russians seized the initiative south of Stalingrad and drove the Germans back across sev eral miles of open country amid drenching rains that bogged the enemy's communications. (The German high command admitted significantly that Mar shal Semyon Timoshenko has sent fresh reinforcements into his drive from the north between the Don and the Volga rivers. Radio Berlin had reported yes terday that there were prepara tions for a big attack northwest of Stalingrad.) Battle at Steppes Some of the biggest battles of the campaign in the Stalingrad area were being fought in the barren and unfortified steppes for possession of isolated water wells, the main objective of both sides. Domination of a single well often moans control of an area of hundreds of square miles, dispatches said. The wells are a necessity for the opposing tank, cavalry and motor patrols. South of Stalingrad, an enemy -village manned by a Rumanian garrison fell easily before the Russians, experienced in steppe fighting. In Stalingrad itself, the Ger mans were throwing 30,000 storm troops and 60 tanks into a narrow sector in a frantic ef fort to take the city before win ter settled. The red army was smashing every attack, Food Situation Severe The communist newspaper Pravda reported that the food situation among the German as sault troops had become severe while heavy rains that had fall en unabated for three days threatened to bog down their drive. The conclusion was Implicit though not stated in the com munist party organ Pravda's documented description of hun ger among the German hordes at Stalingrad, that the nazis' 1,900- mile-long communications, which had for weeks supported one of the greatest battles in history were at last faltering. There also was a possibility that the heroic Russian resist ance had forced such an expen diture of munitions that the Ger mans were now being compelled to transport more munitions and less food for their troops. Loricnt Bombed by RAF London, Oct. 21 VP) A Vichy broadcast heard by Routers said RAF planes bombed port instal lations at Loricnt today, killing 100 persons and injuring 350. Loricnt is on the south coast of France's Brittany peninsula. materials, labor, transportation, i manpower ann iccnnicai ana en- gmccring services, is so great as to not only jeopardize the var ious military and essential civil ian programs in general, but to force the most essential war pro jects dangerously behind sched ule." Nelson was represented as having told legislators that the nation's production schedule for 1943 was becoming too big to be met with the materials that were likely to be availaablc. It was his intention, he was quoted as saying, to see to it that the vital parts of the war mach ine the tanks, planes, guns, ship and other equipment came al- ong as fast as humanly possible, South African Urges Second Front on Nazis German Army Being Bled To Death by Russians; Time Near to Strike London, Oct. 21 VP) In a broadcast address, breaking par liament's traditional ban of the radio from its chambers, Field Marshal Jan Christian Smuts, prime minister of the Union of South Africa, told a joint meet ing of the house of commons and lords today that the allies have arrived at "the offensive phase of the war." The German army Is "bleeding to death" in Russia, and "the stage is set for the last, the of fensive phase of the war for the united nations," Smuts declar ed. He said the "appalling blood lotting which is necessary for Hitler's ultimate defeat is being administered by the Russians." Although he said "they alone can do it," he urged "whatever help ... we can give to Russia . . . in the fullest measure and with the utmost speed." Russia, Smuts said, Is "bear ing more than her share of the common burden" and he urged that "whatever help in whatever form' we can give to Russia to sustain her in her colossal ef fort should be given In fullest measure and with "utmost speed;" Defense Phase Ended t In reference to the second front, Smuts said the defense phase of the war for the unit ed nations has ended. "The final alignments both of the allies and of our enemies have been made," he said. "Re sources have been developed and mobilized on a very large scale. Ours are still on the in crease, those of the enemy are on the decline. Our manpower is still growing, that of the ene my is getting depleted, while he makes ever heavier drafts on his suffering vassal peoples. "The spectre of want, hunger and starvation are beginning to stalk through the subject coun tries and the spirit of unrest is heaving and rising. The explo sive limits of endurance are near ing. We are approaching the point when both on the war fronts and on the home fronts in the enemy countries, the sit uation is ripening for far-reaching developments." ' (Concluded on page 10, column T) Big Naval Bill Back in House Washington, Oct. 21 VP) The house completed its work today on a supplemental appropriation bill authorizing expenditure of another $15,000,000,000 to build a greater navy, and senate ap proval later in the week was ex pected to send the measure to the white house. Washington, Oct. 21 VP) A bill authorizing the expenditure of $15,841,106,997 for war pur poses, $15,099,000,000 of it by the navy, was returned to the house today for action on senate amendments. This supplemental appropria tion bill came back with $104, 240,266 added by the senate to the amount passed by the house on Oct. 8, including $100,000,000 for war housing and $1,000,000 for a farm labor survey by the war manpower commission. As passed by the senate, the bill appropriates $6,341,196,887 outright, including $5,599,000,- 000 for the maintenance and ex pansion of the navy. In addi tion, the navy would be authoriz ed to begin letting contracts on $9,500,000,000 construction program aimed at adding 2,101, 000 tons of floating craft 500,. 000 tons of new aircraft carriers, 500,000 tons of cruisers, 900,000 tons of destroyers and escort ves sels and 200,000 tons of auxiliary ships.