rull U.S. Waath
r Burwti report
Forecast
rlr tonight and Saturday,
little chine In trmperaturt.
Temperature
LoH this iwtiiny tf
Thirty-fifth Year
THE
CAPITAL
PARADE
Br JOSEPH ALSOP. and
ROBERT KINTNER
Released by the
North American Newspaper
AUlanca. Inc.
Washington, Aug. 8. One of
the really remarkable untold
stories of the fall of France is
that of the French gold. To tell
the point before the story, the
German general staff entering
Paris still hoped that the gold
bullion remaining in the Banque
de France would be a major
item of loot, vastly strengthen
ing German ability to buy in
the world market. They found,
however, that virtually all of
the gold had escaped them.
Some had been hastily ship
ped to London in the desperate
days between the Battle of
Flanders and the break-through
on the Somrr.e. Some, which
had been taken to Brest, had
been sent on to Dakar, where
it still is, out of German reach.
And a huge quantity 353 tons
of gold had been hurriedly
taken to the United States.
THIS was arranged by
Am
1
bassador to France William
Christian Bullitt, in the time
Just before the French govern
ment abandoned Paris. The gold
was then at Casablanca, where
It had been sent for safekeep
ing. Bullitt suggested to the
French officials that they might
prefer to deposit the treasure in
this country. They pleaded that
no transportation was available.
Making rapid arrangements
with Washington, Bullitt had
the Vincennes, two destroyers,
and another American naval
vessel sent to Casablanca to
pick the treasure up. The Vin
cennes brought over $268,000,
000 worth of it, and $85,000,
000 more came In the other
ships, and thus this gold is now
part of the huge pool of Euro
pean assets, French, Belgian,
Dutch, Danish and Norwegian,
which the treasury has im
pounded and frozen to keep
them out of German hands. Be
fore long, the question may soon
present itself, whether to turn
this loot of Europe over to a
victorious Germany.
TNTIl th French surrender, no
J Important objection wai raised
to the treasury's procedure. The rep
resentatives or Norway. Denmark.
Holland and Belgium all took the
position that their countries vera
at star with Germany, and) gladly
(Continued on Page Ten.)
2ND LIEUTENANCY
Camp Murray, Wash.. Aug. 9
(U.rV Six officers of the 249th
coast artillery and four non
commissioned officers received
notices today of advancement.
The list included Benjamin
H. Goldy, Ashland, named sec
ond lieutenant, Battery B.
SIDE GLANCES
br
TRIEUNE REPORTERS
Friends of
lng he looks
Al Stoehr think
very handsome
since he let his brownette locks
grow out.
Weather
mMm
Loc vni e nonev ininKingi ... ., . - M
seriously about installing a cou-1, ,,mfn" .E'Hi'-SS'
pie of unique feature services
for his tenants.
Mike Gibbons being one of!
the few Medfordites not com -
plaining about the torrid
.-.thr h in tr litirnllv lan.
ninff it uo in Bobs.
Aileen Peterson
blonde feminine color
C-C directors luncheon.
lending
to the
MED
WILL BE PAVED
AS WPAPROJEGT
Additional 1400 Feet to Be
! Graveled- Widened Plan
Early Start On Work
Official approval of a $120.
000 WPA projret for improve
ment of the Mcdford munici
pal airport was announced by
Mayor C. C. Furnas at a public
luncheon-meeting of the direc
tors . of the Jackson County
Chamber of Commerce in the
Hotel Medford this .afternoon.
Engineers of the Oregon state
WPA office in Portland are
now here preparing detailed
plans and specifications.
The project is for the paving
of the main 4.000-foot runway,
graveling of an additional 1,400
feet of the 'unway, widening
the runway lay 100 feet and
installing the flush type of
runway lights. The additional
width, 50 feet on each side of
the runway, will be gravelled
under specifications of the proj
ect. The runway now is 200
feet wide.
Plan Early Start
These improvements are all
considered of major impor
tance. City and chamber of
commerce officials said that the
contemplated imrovements as
sure Mcdford of an airport that
can be used for all present
commercial and military pur
poses.-
The officials said preparation
of the detailed plans and speci
fications was being expedited
In order to procure early final
approval so that work might
be started In tne near future.
The city's application for the
improvement was , approved by
the war department under the
national defense program which
permits the WPA to finance
projects for defense purposes,
city officials explained. Under
the defense program, it was
pointed out, the WPA waives
its strict requirements for a
contribution of 25 per cent of
the project's cost by the spon
soring agency. In addition to
the war department, WPA
Washington, D. C, headquar
ters approved the airport proj
ect, officials stated.
Spokesmen said the city ad
ministration and the chamber
of commerce were highly
pleased to know that the mu
nicipal airport had been desig
nated as part of the national
defense system. Both the city
and the chamber of commerce
had been working for some
time to procure approval of the
airport improvement project.
City officials expressed their
appreciation of the help of
U. S. Senator Rufus Holman
who they said has been active
in helping the local men in
presenting the proposition
to
the proper authorities in Washington.
Ambassador Cudahy Censured
For Interview on Occupation
Washington, Aug. 9. OP)
John Cudahy, American ambas
sador to Belgium, was repri
manded publicly by the state de
partment today for his press in
terview in London on Belgian
food conditions and other aspects
of the German occupation of that'
countrv.
tary of state, reading a formal;
statement at nis press ronier-
ence. said that Cudahv. bv di-
section oi r-resmem nooseveu
! hd een requested to return to
the United States immediately
i for consultation.
Cudahy
the statement said.
had given the interview "in vio -
1 lation of standing instructions of
the department of state and cer-
tain of the views expressed by
FORD
Full A hoc la tad Praaa
A .
British,
It's a Laugh.
It's a Joke and contribution to Britain's paper salvage
campaign was the British reaction according to the censor
approved caption, to Germany's leaflet raid over southern and
outhweitern England the night of August 1. 'Here is how
the leaflet, containing extracts of Hitler's "appeal to reason"
speech to the reichsiag, struck
BASEBALL
American
Score: R. H. E.
Philadelphia 0 2 2
New York 2 8 0
Babich, Heusser, and Hayes;
Ruffing, Sundra and Rosar,
Score
Boston
R.
5
H. E.
11 1
Washington 6 9 2
Ostermueller, Heving, and
Foxx; Leonard, Krakauskas,
Bagby, Carrasquel, and Ferrell.
National
Score: R. H. E.
Brooklyn 18 0
Boston -. 0 4 3
Wyatt and Phelps; Erickson
and Berrcs, Masl.
Guardsmen Fight
Louisiana Flood
Camp Beauregard, La., Aug
9. (Pi Feeding and safeguard
ing the health of an army of
national guardsmen in rain
swept forests became a major
problem today as torrential
rains continued.
Flash floods. Inundating long
stretches of highway, sweeping
away bridges and making quag
mires of dirt roads, came in the
wake of downpours ranging
from x to 10 inches. Rain has
fallen 33 of the last 38 days.
the ambassador are pot to be
construed as representing the
itiAine nf tints Bnvarnrnfinf
views oi mis guvci ii.iii:iiv.
ine inciufiu, wie buiiciiiciii
continued, "illustrates once again
the importance which must be
attributed by American repre-
in,ln.ctions to refrain
sen la lives auruau kj mc utu'
UuT. " .... .-. .n...'
1,1,3 "' ,c " ..."...,,
P""'6 '"" 'h" th!ln
this critical time from making,
tho5e rnde , ,ccordance w,thi
t .. ..n
London. Aug. 9. lP John
Cudahy, United States ambas -
sador to Belgium, who has been
here in conference with Ambas -
1 sador Joseph P. Kennedy, is fly
: in earlv tomorrow for Lisbon
to take a clipper for home, it
'was announced tonight
MEDFORD, OREGON, FRIDAY, AUGUST 9, 1940.
lojfolfnUo)
Italian Planes Battle Over
Say Britons
the milkman.
OF VITAL PATENTS
PERILS REARMING
New York. Aug. 9. (IP)
Thurman Arnold, assistant U. S.
attorney general, today declared
a special federal grand jury had
uncovered considerable evidence
tending to show that patents
vital to the United Status war
industries are German -controlled.
Arnold made this statement in
discussing the grand Jury's in
vestigation of charges that pro
duction is restricted and prices
fixed in some of the country's
war industries.
Government investigators are
seeking to determine whether a
production "bottle neck" is
threatening to retard the defense
program.
Arnold, who came from Wash
ington to take temporary com
mand of the probe being con
ducted by his assistant, Samuel
S. Isscks, said that eight federal
grand juries now sitting in Los
Angeles, San Francisco, Seattle,
Chicago, St. Louis and other key
cities were prepared to investi
gate any anti-trust law viola
tions occurring In the food, fuel,
housing, drug or other vital war
industries.
He said the Juries are being
utilized as a "fluid system" to
handle what he termed the emer
gency. Arnold attributed German
control of vital war industry
; norma, businc8, trends
I r
j i maift
It is an economic 'fifth col-
.nd ha ma I ii 'fifth
, . and must , bo at.
trjbuted , OTr,iona(fe.
at'rism tin tdipc CTrtl CM
rimu mu i nwt o i wi-u.s
... cirr
COCA COLA PLANT SAFE
No trace has been found of
i the safe containing between
S300 and $400 stolen from the
i Coco Cols plant. Deputy Sheriff
j Grenbremer reported today. He
figures, if it is ever located. It
1 will be by accident, in some
- 1 stream or in the tmibcr, by
fisherman or huntrr. There are
no clues to identity of the
j thieves.
M
HOLWIAN REVEALSIONLY 33 PLANES
INVASION THREAT
i
IN DRAFTDEBATE
Oregon Senator Claims In-
vasion of Alaska Imminent
Dangering Entire Coast
Washington, Aug. 9 (IP)
Senator Holman (R-Ore) said
during opening debate on mili
tary conscription today that he
had "learned from authoritative
military sources of imminent
peril of the invasion of Alaska
from the Pacific and the endan
gering of the Pacific slope."
Holman interjected his state
ment without amplification
while Chairman Sheppard (D-
Tcx) of the senate military com
mute and others were discussing
the Burke-Wadsworth compul
sory military service bill, enact
ment of which Sheppard said is
"a tragic necessity" because re
armament must be accomplished
speedily. " '
Says Recruits Declined
Taking issue, Senator Vanden
berg (R-Mlch) declared he could
show "innumerable recruiting
stations that have declined to
take recruits because their
quotas have been filled."
"If they haven't got more
men, isn't it because they
haven't set their quotas high
enough?"
Sheppard contended that war
department experience showed
that there was no possibility of
obtaining the 400,000 new en
rol Ices sought by the army by
October through voluntary en
listments. The Michigan senator replied
that army officials had testified
before congressional committees
that complete equipment for an
army of 750,000 men would not
be available until 1942. He said
that the possible addition of
398,000 national guardsmen and
reserves to the 273,000 now in
the regular army would give
this country an armed force ap
proaching that figure.
Menace Grows
"The doctrines and aggres
sions of certain dictator-controlled
nations become every day
more menacing toward the free
and Independent democratic
countries," Sheppard asserted in
urging adoption of the measure
which would require an est!
mated 12.000,000 men from 21
through 30 years of age to regis
ter. 'The time element is a tragic
necessity, because the voluntary
system cannot accomplish the
emergency work absolutely
needed, he said.
WINDSORS WILL VISIT
UNITED STATES
IS
Hamilton, Bermuda,
Aug. 0.
) The Duke of
Windsor
I said today he and his American-
1 i , ..
born duchess would visit the
United States "soon."
"The duchess hasn't been
there for eight years and I
haven't been for 18 years, so
It's certainly time we went,"
the duke said in his first Inter
view since arriving yesterday
en route to his post as governor
of the Bahamas.
"When I was last In the
United States the Woolworth
building was the highest in New
Vork that rather dates me,"
th duke commented.
The duchess said she was "ex
cited" at being as close to home
as Bermuda and P'lded "You
jean
is."
imagine how thrilling
nmiBUWE
Full United Pim
NO ONEAT FAULT
Stimson Says Uncertainties
of Tax Legislation Hold
ing Up Defense Effort
Washington, Aug. 9. (IP)
Secretary Stimson reported to
day that the army had been
able to sign contracts for only
33 of 4,000 planes appropriated
for during June, "chiefly" be
cause of uncertainties over tax
legislation.
The war department chief
told a congregational tax hear
ing that "the fault" for such
a limited number of plane con
tracts was not with the army
and that "so far as I am aware"
there had been no undue delay
in the preparation of the army's
specifications and designs.
Cooperation Desired
The fault has not been with
the defense advisory commis
sion, he said, and "the represen
tatives of industry have been
earnest" in a desire to cooperate
with defense agencies.
"The fact Is," Stimson said,
we have all been facing dif
ficult problem with an earnest
effort to cooperate.
"That problem arises In a
large part from the fact that
the entire program of airplane
construction is so large that it
necessarily involves great ex
pansion of existing plant facili
ties and the construction of new
ones to meet the requirements
of our army in the present
emergency."
He went on to say that risks
were "inherent" in any business
enterprise and that industry
might be expected to undertake
"normal risks."
Risk Too Creat
"But the risk to industry of
undertaking at the request of
the government to expand at
its own expense its plant capac
ity, and then being left, upon
a sudden cessation of the emer
gency with these expanded fac
ilities useless," Stimson contin
ued, "is one that is entitled to
special consideration.
"Under these circumstances,
the uncertainty of future taxa
tion affected by this expanded
construction not only fails to
give the special consideration
above mentioned but penalizes
the situation.
To Run For Senate
Everett, Wash., Aug. 9. (IP)
-Congressman Mon Wallgren
announced today that he will
run for the United States sen-
on the Democratic ticket.
will file for the office late
this afternoon, he declared.
Rum Traffic Worst Fifth Column
Declares President of W. C. T. U.
Chicago, Aug. 9 (IP) The
liquor traffic was described to
day by Mrs. Ida B. Wise Smith,
national president of the Wom
en's Christian Temperance un
ion, as "a most dangerous fifth
column" menacing the nation's
welfare.
"It Is not totalitarian foe
from the outside, but one en
trenched behind millions of In
vested capital and behind fed
eral and state laws written un
der its political pressure," she
said In a prepared address at the
opening of the 66th annual W.
C. T. U. convention.
She termed saloons "breeding
centers for lawlessness" and as
serted they were plying youth
and adults throughout the na
il-tlon with the "virus of anarchy
land disorder."
. . - a
New President
Mark A. Goldy (above) Is the
new president oi the Oregon
Insurance ..Agents., association.
elected last Tuesday ai the 12th
annual convention in Portland.
Mr. Goldy heads the real estate
and Insurance agency bearing
his name. He is vice president
oi the Jackson County Chamber
of Commerce, former chairman
of the Medford Traffic Safety
Council and a past presldoni of
the Medford Rotary club.
EXCESS PROFITS TAX
AS 5
T
Washington, Aug. 9. (JP)
Secretary Morgenthau on fore
casting a $5,700, 000 000 federal
deficit this year, urged congress
today to open another source of
government revenue and pro
vide a "better distribution" of
defense costs by enacting an ex
cess profits tax.
Appearing before a Joint meet
ing of the house ways and means
committee and the senate II
nance committee, the treasury
chief also proposed prompt
action on pending tax legislation
because he said it would facili
tate execution of defense con
tracts.
"The national defense pro
gram," Morgenthau said, "places
upon us the duty of reconsider
ing certain features of the tax
structure now, in order to ob
tain a rapid expansion of produc
tion for defense and a better dis
tribution of its coat to the tax
payer."
The excess profits tax has
been estimated by experts to
yield $300,000,000 to $500,000,
000 a year.
Mrs. Smith expressed the
opinion that wartime prohibi
tion probably would be enacted
If the nation went to war.
"The first thing you need In
war la food," she said. "And
grain is used in the manufacture
of drink. Then you have to pre
serve the efficiency of men
and a drinking man is not effici
ent." Asserting that the liquor traf
fic was threatening Industrial
prosperity, and menacing "our
very rights as free people," Mrs.
Smith said statistics showed:
One saloon for every 71 fam
ilies in the United SUtes; two
saloons for every church; five
saloons for evry three public
schools; three dollars spent for
liquor for every two dollars ex
I pended for education.
i : '
?
DIAL
2141
for Southern
Oregon's Leading
Newspaper
The MAIL TRIBUNE
No. 120.
Desert
i
REPORTS DIFFER
OF
F
Each Side Claims Victory
Over Superior Force; Afri
can Situation Menacing)
By the Associated Press
The biggest air battle ever
fought in Africa a furious com
bat waged by British and Italian
planes high over the burning
Libyan-Egyptian desert was re
ported today in communlquea
from Rome and Cairo. Each
claimed the victory against a
larger force of planes.
The African combat followed
closely upon yesterday's greatest
air fight of the battle for Bri
tain, concerning which both the
British and Germans published
new and differing versions to
day, each side increasing the
number of enemy planes claim
ed destroyed.
The British said they de
stroyed 60 Nazi planes and dam
aged many others in a swarm of
400 which attacked a food con
voy off the southeastern coast.
The earlier London figure waa
53 Germans shot down, 10 mora
believed downed, and British)
losses of 16.
. Naals Up Figures
The new Berlin version lipped
the British losses from 84 to 49
and admitted the loss of 10
planes, while repeating that th
attack cost British shipping 12
merchant ships totaling 85,000
tons and seven mora badly dam
aged. In the African action the Ital -ians
said 16 of their planea
fought 27 British craft with a
loss of 0 to the British, 3 for tha
Italians.
But tha British communique
said the Italians outnumberd
the RAF 2 to 1, in spite of which
the British "pressed home their
attack with such determination
that 15 Italian aircraft were de
stroyed." It admitted tha lost of
two British planes.
Meanwhile, as tha 'African
situation became more menacing
to the British lifeline, the Cairo
police commandant cancelled all
leaves of officers and men "as a
precautionary measure against
emergencies."
Egypt Confident .
The government of Egypt, de
termined to keep out of the war
if possible remained outwardly
confident that the British could
handle the situation.
In the Far East the British
announced they were withdraw
ing 70 officers and 1,500 men
from Shanghai, leaving about
10,000 British subjects and Brit
ish Investments estimated to be
worth $800,000,000 under the
protection of British navy units.
German air raiders also roar
ed inland over Britain last night
and today in attacks that follow
ed almost without letup tha day
long raids yesterday.
The Germans bombed towns
along the east, south and west
coasts, and in the Midlands.
The British government said
"some" persons were killed,
although casualties were said to
be few.
Neutral military observers In
London speculated that long
threatened German Invasion of
Britain might be timed with
Italian thrusts now under way
in Africa.
Approve Hop Quota
Salem, Aug. 9. (IP) Hop
growers approved today tha hop
control board's decision fixing
the salable quantity of 1940
crops In the three coast state
at 4,000 bales mora than tha
expected harvest, witnesses
testifying at a U. S. department
of agriculture hearing that tha
policy would taka care of
possible surplus.