V ,6uu Susaumiu (23,000 READERS) DAILY Only Circulation in 8aVm Gaar anteed by the Audit Burets ef Circulations FULL LEASED WIRE DISPATCHES SPECIAL WILLAMETTE VAL-" LEI' NEWS BEBVICB FORTY-FIRST' YEAR- 1 ri Jjan i$ ALLIED CiVILlANS GEHING OUT OF LILLE IS GREAT GERMAN STRONGHOLD ST. QUENTIN IN HANDS OF FKENCH IN NAVE TAKEN DAMASCUS HRG SVSTH4 HIVE" Utter Demoralization Of Germany's fixed Defenses Is In Sight-Open Warfare May Be Forced On Germans Unless Belgium And France Are Abandoned. Germans Applied Torch To St Quentin Before Leaving It. Interestisg De- - velopments Promised, By Lowell MeHett (United Press Staff Correspondent) ' " With The British Arm es In France, Oct. 2. The sup porting trench' system behind the Hindenburg defenses, known as the Beaurevoir line, has been broken. The British Ninth corps, operating in connection with Australian troops, has captured the village of Beaurevoir : forming the north end of the defenses, as well as Bran court (eight miles northeast of St. Quentin and six miles . east and south of LaCatelet). . .! The French have-thus been enabled to push eastward and above St. Quentin, cutting the latter off and compel- : ling its evacuation. - - - Utter demolition of Germany's fixed defenses seems to be in sight. The Hindenburg system has become a sieve, soon to be a memory. Open warfare, on a scale similar to the days when the Germans first reached France Las been made possible. Think Cambrai Taken London, Oct. 2. (4.10 p. m.) Cant or ai was partially occupied this morn ing, it was stated In battle front dis patches received tills afternoon. The city is now believed to hare fallen. Took 2000 Piisoners London. Seat, 2. (4:35 p. m.) Be tween the Veslo and the Aisne where the French are pushing forward, in the ' vaucircling movement against St. Go- ' bafn massif, 2000 additional German; prisoners ware take)! today, battle i ront dispatches announced. German Line Broken London, Oct. 2. (1:60 P. m.) The German line through Beutevolr nd Fonsomme, northeast of St. Quentin baa fcoen broken, according to battle ABE MARTIN 9 TmV. After a wife coaxes a dollar from a average husband it'g more like a ouvemrg man anytmng eise. woiuiu ... . i - i .t - jollies an ole scout like askm' him if th' draft got him. JOIN THE nrt li J& 3i , KM NO. 234. A front dispatches received here this af ternoon. Thig threatens the enemy's lnie of retreat from the 01 se valley and St. Goabin massif, if he is forced to withdraw in that region. Damascus Surrenders London, Oct. 2. Damascus was oc cupied by British forces at six o clock yesterday morning, it was only an nounced in the Palestine communique received today. There wei)j no partic ulars. With Damascus in the hands of the British and French approaching Bed rut, the way is practically open to a march on Aleppo, 200 miles north of Damascus, where the railways from Damascus and Bagdad to Constantino ple converge. Aleppo is about 500 miles southeast of Constantinople. Lille is Menaced Paris, Oct. 2. The city of Lille is being evacuated by its civilian popnia- lion, accunung tu auvict rouuvea w day- I Lille, one of tho chfcf cities of north ern t rance and one of the German strongholds, is seriously menaced by the vrtish advance at Cambrai and tile Belgian gains in Flanders, which are putting it in a pockst. Americans Brk Secords With the American Army- in France, Oct. 2. Daring the month of Septem ber the first American pursuit group of airplanes won more than seventy victories, averaging two boches for ev ery tb4 pilots in the squadron. On ly four pilots were lost. This is world record. . Meti Bombed Again London, Oct. 2. Mets-Sablona has again been bombed by the British in dependent air force in conjunction with the American operations, it was an nounced today. Burbach was also at taed. One British machine failed to return. , Germans Apply Torch Paris. Oct. 2. German troops set firo to St. Quentin as the French en- I. ...j -a. ..... i.MnM.A.11 fnav in- iieieu n, x-icunci vumiuw.. (Continued on page three) 55 i Imft w r i ! ! In r ffi 1 r V it Ji , WM- wiMa w g i s-is-aMs-.-.-.-.-.i-.-.-.-.i'''s'.'.''''s''''''' STATES TO BE FORMED IN MLE EUROPE Would Include 60,000,000 Of People Between Baltic And Black Sea. - By Raymond Clapper. (United Press Staff .Correspondent.) Washington, Oct. 2. Formation of a mid-European federation to consist of a chain of small states extending from the Baltic to th0. Black sea is under way here, it was learned today. The United States, semiofficially, will spon sor the movement Headquarters o. the committer for a mid-European federation are to he open-ed-lere thig week. Representatives Of the pcople3 will Cohfvr over the innum erable problems . presented by the scheme. This federation, to fight on a reconstructed eastern front, is being organized as g step in fulfillment of P.vsidnt. Wilson's program of libera tion for all oppressed peoples. It is expected to block Germany's ambitions in tho-oast during the war and will be incorporated into, the world league of natioug at. the peace table, according to thv present program. - Of Many Races. Jugo Slavs, ' Czecho slovaks, Italian irredentists, Polos, Ukrainians and Ru manians in America are uniting in the move. They hope to induce their coun trymen in Europe to join them. Later Finns, Lithuians, Esthonians, Greeks and won the Bulgar peoples may join in tho movement its Iedcrs say. Sixty million people fn Europe are dffeeted. Ten million of their country men in the United States are beihg ivs Jioa on to start formation of the feder ation. Military participation in tho war ag ainst Germany is essential to the sue cess of the scheme. Ewry nationality joining the federation must recruit its legion to fieht the central powers, ac cording to plans now in contemplation. (Continued on page two) I GRAVE CHARGES MADE AGAINST THE AMERICANS IN CENTRAL AMERICA Consuls Accused Of Giving Germans Access To Am erican Records. By L. C. Martin. (United Press Staff Correspondent.) Washington, Oct. 2. Charges involv ing the loyalty of an American minister and several consular officers accredited to a Central American republic were refen-id to the stato department today through the senate foreign relations committee. The charges, if true, so connect the, American diplomats with Gorman inter ests as to make probable thv filing of tho gravest accusations in the federal courts against at least two men. Disclosures of the ramifications of German propaganda operating chiefly through a business house of tremendou influence and power, may also cause a Ceutral American eruption which will oust German influence for good. Accusations against the American diplomats may, of course, be wholly unfounded. They were made to mem bers of the foreign relations committee from four independent and wholly trustworthy sources. One was the sec ret service of an independent govern ment; another a branch of the military r v. -H SALEM, OREGON, WEDNESDAY, OCTOBER 2, 1918. GERMANS PREPARETO . EVACUATE BELGIUM ON SHORTKT NOTICE """" . Holland Strengthens Garri sons 0a Border To Pro tect Neutrality. "Amsterdam, Oct. 2. Plans for tho evacuation of Belgium, if necessary, have already beeu prepa'red, according to Baron Von Falkenhausen, military governor of Belgium, press dispatches received here today reported. In con versation with a leading Dutchman at The Hague, Yon Falkenhausen was quoted as saying: "Plans are, ready for early evacua tion of Belgium if necessary. The Ger man army ean return to its own fron tier in order to show tho world we real ly want to defend Germany." The Dutch are said to be strength ening thoir froutier garrisons to pre vent violations of their neutrality by the retreating Germans A correspondent on the frontier stat es that Falkenhausen secretly instruct cd the provincial government in Bel gium to rush their archives to Ger many, Several hundred luggage vans arrived in Brussels from Germany to send back the German officers' fur niture. German soldiers are quoted as hav ing said "we wont be here more than six weeks lonner. " Tn?e days ago allied airmen le over Brussels, dropping thousands 01 proclamations saying: 'Have patience. The hour of liberty is in sight." The Germans did not turn anti-aircraft guns on these aviators. U-BOAT CBEWS MUTINY FOUR BOATS ABE SUNK lOopenhagen, Oct. 2. Four German torpedo boats whose crews mutined and attempted to take them out of the harbor during August, were pursued by cruisers and sunk according to information here today. The . occurrence is said to have been confirmed by the washing ashore of lfiu' bodies. ' Thirty sixi German sailors were executed at Kiel recent- ly as tho result of a mutiny against submarine duty,- it is reported. Several mutinies oc- currcd among German and Aus- trian soldieirs in the Ukraine during Hoptember. At Kherot six thousand Austrian are re- ported to have refused to go to the west front. service and the others quite as respon sible. According to these charges, tho ac cused officials have: Accorded a German banking house fullest acevss to American records and papers in war time. Sold confidential government infor mation to the German banker propagan j dists. Accepted "loans" from the bankers in the form of "overdrafts" on per sonal accounts, in return for commer cial information wanted by tbv Ger mans. In addition, the Germans are said to have seriously compromised one of the officals in a way reflecting on his mor ality, so that his further usefulness in the country is ended. Further, the charge is that one of the officials involved was responsible for suppresion of strongly pro-ally newspaper which had made vigorous at tacks on the Gvrman banking house. The German banking house mention ed is known all over Central America. Through correspondents and branches it reaches into every country there. It is under suspicion as the head and center of the German spy propaganda system on the American eontinent.' The charges will be discussed by the foreign relations committee at a meet ing this week. It was said at the state department nil mi f ill BELGlUM-EiNGLISH DRIVEEfiDANGERS SUBMAR1NEBA8ES King Albert And General nusuner Threaten Ostend AndZebrugge LtT)El)ORFF ROBS LINE ' TO HELP STOP ADVANCE Foch Stabbing Persistently Into German Lines At Fifteen Points. By Webb Miller. (United Press Staff Correspondent.) Paris, Oct. 2. Using ton armies as great crowbars, Marshal Foch is relent lessly prying off the pillars on the Ger man front. , , At fifteen distinct points the crow bars have stabbed deop into tlw vita plvces in the enemy liacs and are being shoved home. At least four of the pillars Boulers, Menin, Cambrai and St. Quontitt are tottering, whilv) menace to the others U louunng '.arger every hour. The points of Foch crowbars are ton to fifteen miles in width at some points and at others they are only a few thousand yards. Among the most importum nw.t of the advances in the north aio the men aces to concentration centers and disor ganizatiou of the German lateral com munication lines. Po:aibly the most interesting move ment undor vniy is between tlw North sea and lalle, where King Albert and General Plummer are pushing on with wonderful succoss, which is highly dan gerous to the Gorman a because unless it tend and Zcbruggc. is stopped it will mean the fall of Os Beth the gravity with which tho Ger- niai.'S regard this contingency and tho state of General Von liuTlendorif g re serves are shown by the appearance of divisions on the Belgian trout which have been rushed from points a hund red miles down tho line. l'lummer and the Belgian monarch are nc.eompliBhing a doublo purpose by sim ultaneously edging around to the north of Lille, while Goneral Home, further 8'iittli, lis striking between Cambrai and liouai, thug drawing a big half circle around tho important city of Lille and the giwat industrial and coal basin. Meanwhile, Generals Home, Byng, Rawlinson, and Derby are tightening l.icir grip upon Cambrai and St. Quen tin by driving crowbars in oi. i nicr sidt. and between each town. Further south, General Mangin is rol ling ahead, shoving the Germans off tho Chciiiin-Drs-Damos heights. Uenerai Berthelot," smashing them on Mangin 's light as far cast as Kheims, is hasten iuir t'ieir withdrawal heiv. On the extreme south of the great batttle front, General Pershing is slow ly pushing ahead against the most bit tcr resistance and Is overcoming the difficulty of natural obstacle in the Ar goimc forest. Genvral Gouard's new attacks, on Pershing's left have won considerable success. THE RAISES SCARED. Amsterdam, Oct. 1. Tho kaiser has sent the following message to the members of tho fatherland party: ''I confidently hoie that the German people, in these earnest times, will resolutely gather around me and give their blood and wealth, to tho last breath, in defense of the fatherland." BACKS DRIED FBUITS Oklahoma, yesterday eharged that the quartermaster's department of the army deserved a rebuke for it failure to utilise dried fruits and vegetable to a greater extent in preparing army rations, at a meeting of the senato commerce committee. that the whole subject had been eallcd frt Kwrfftrirv T.H rminff 'i. attention and that tho department would undertake a thorough investigation, in tne mean time comment was withheld. . wwmi PRICE TWO CFTT? . 0S TRAINS AND M EW9 ITXU.Uj AVVU VNld '.STANDS -FIVE CENTO GERMANY PREPARING PEACE OFFENSIVE AS HER J0BF0R WINTER At The Same Time It Is Be lieved She Is Preparing To Withdraw From Belgium By Carl D. Groat (United Press staff corresponlent) Washington, Oct. . 2. State depart ment advices this afternoon indicated that Germany is preparing to evacuate ihe Belgian submarine bases and per haps to make a more extensive evacu ation of Belgium generally. The messages came from a secret source. Incidentallq, the department has been indirectly approached about the matter of sending Germany an ultima tum against destruction of Belgian cit ies when the evacuation docs come. Tho department 's information said that rolling stock, hospitals and storehouses are boing transferred from the fourth army district to a general government. The meaninig of this was not entirely clear, though the remainder of the message indicated it was part of an evacuation scheme. Civilian authorities generally are be ing recalled and regulations regarding the maritime district aro being made more severe, which the department said seems to indicate measures for the evacuation of the U-boat bases. Beservits in Belgium have been sent to the front. At Antwerp, the naval base staff under Admiral Von Qohon sun is preparing to quit the oity. .With Titrkey reported maneuvering for an armistice on the beet available tetms, Gormany is evidently preparing two extensive moves one a peace of fensive, the other a grand s.-ale retire ment in the west. The peace offensive is deemed only part of a scheme, known to this gov ernment, to lay down a pacifist bar rago through the fall and winter, re gardless of how much refusal to accept comes from the cntento and America. Austria'apparontly will be uned again as a catspaw. But it is noted that in her latest felers, as reportod in cables, she admits being linked completely to Germany. There is no sign thus far that cither nation is anywhere near the mood to accept the broad gauge, altru istic program President Wilson has de clared a permanent peace basis. As for the west front military situation, Ger many's problem grows more disastrous constantly. A retirement is destined to come be fore long. It will probably bo for a considerable distance HUNS PILE RESERVES ON AMERICAN FRONT r BUT DO NOTSTOPTHEM Dogged Determination Over coming All Resistance Boches Can Make By Fred S. Ferguson. (United Press Staff Correspondent.) With Tho Americans West Of Verdun Oct. 2. While activity in the remaind er of the lino is confined to repulsing bitter counter attacks and consolidating m.'wly won positions, the Americans in tho depth of the Argnnno forest are shoving forward somewhat today. Overcoming almost ' insurmountable obstacles, they are rectifying, their line. The density of the forest renders liaison most difficult, but each group goes forward as rapidly as pos&iblc, maintaining communications with the aid of runners. Tho Americans arc continuing to beat the bochn reserves. The fact that they have not made any great strides for ward in tho past few days does not In dlivnu that the Americans ar through. On the contrary, they have just begun and from now on th6 nrst army ean do ounted on to make a steady, though not spectacular advance. Evidences are accumulating that tiro Germans aro preparing to withdraw from their advanced positions opposite the Americans. Coupled with the Fivnch advances on our left, this will bring the 'pinching out of the famous forest that much iifjOT; American patrols have already pein'trated Montrelieau wooa. - - . Continuous counter attacks in Uio rc Uinn nf ADremont resulted In vtttmri I territory changing hands four or five Oregon: Toaiglit od Thursday generally fair; light sicls, mostlr siut'awfst- PEACE DEMANDS ' MADE BY SERBIA ALSO BY GREECE Outline Of What They Will In sist On Upon Final Settlement MUST REPAY DAMAGES INFLICTED ON EACH Bulgaria Disbands Armies Allies Take Charge Of ; Railroads. Washington, Oct. 2. Serbia ami Greece today announced their peace demands on Bulgaria. They are: 1. Reparation for all damages in occupied territory 2. Abandonment of all plans for . domination of the Balkans. 3. Guarantees that Greeks living on Bulgarian territory shall not be exter minated. . . ; . The terms outlined in an official statement issued at the Qreek legation by Minister Boussos, apply to the condi tions of the peace settlement to be in sisted upon at the general peace table. , Bulgaria,. Minister . Boussos said, speaking for both governments, shall be prevented from designs looking to supremacy in the Balkans. ' ' In th0 opinion of tho Greek and ' Serbian governments, the armistice up on Bulgaria ilws not constitute a final settlement of tho differences between Greece, Berbia' and Bulgaria," Minis ter fioussog stated.. . . , , "Ag Germany, tho accomplice of Bul garia must repair all ruins sha hag ac cumulated and give guarantees thttt la the futnre sho will not be a danger for the peace of tho world, so Bulgaria must repay all the damage caused the Serbians and to thv Greeks. "HHe must bo prevented from form ing new dreams of hegomony in the Balkans and preparing a new aggres sion as in 1913 and 1014. She must also give terious guarantees that the Grcvks still living on her territory may not (Continued on page two) times. At the- end of the whirlwind fighting the Americans had won a slight advantage. Ins noetic, it is established, suffered heavy losses, pris om rs saying that some companios lost fully 30" per cent of the effectives. Heavy counter attacks north of Nan tdloe also wer repulsed. The Germans in4 irmii ti ruirifni-OA 4lli.il lillPtl Willi fresh troops. Troops ordinarily used ex clusiv. ly for road building aro Brao,.4 the prisoners, as well as'sonra from the crack divisions. Wire bridges, upon which American soldiers walked over the deepest net works of barbed wiro in the Argonne forc;'t, are among tW unique features Of tne recent iigimng. ?i. .nuin nine.... the hnpltA wires were interwoven in the underbrush to the depth of a hundred yards. They were practU'ally impassible and held up our advance mor(. than the enemy reslg tniicp. until Ciilonel Shcrrill of the en gineers, almost famous as the author of several army tvxtbooks on engineer- lug, UCV1SOU 8 SCJieme iu oitrevura them. Rolls of chicken wire wore rein- H.UU l.nn 1-ta.a anil atrift. tit steel. They were thrown over the en- tnnalementi. The Americans walked across the chicken wire easily and rapidly. The colonel told me he knew the bridges were "od because he had walked on them himself. . The taking of Montfrueon deprived iho bocho of a position dominating ev erything from south of the old line to north of Vonzicrcs. So long as the Americans threaten a'fnrther advance, the Germans' ultimate retirement on (Continued es page two) .