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THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LIL, NO. 7828. ~ MEMBER ASSOCIATED PRESS PRICE TEN CENTS il ENDS QUICKLY . NEW WAR ORDER IN JAPAN WILL BE NAZI-LIKE Drastic Retrenchment Made by Tokyo Officials to :F ’ Speed Battle CHINESE MAKE GAINS | IN SHANSI PROVINCE e | Dragon Forces Gathering| for Fresh Attacks on Invaders | TOKYO, June 23—Reflecting the stringency of Japan’s economic po-| sition, the Japanese government to- | day announced a drastic new re-| trenchment program which is ex- pected to begin functioning July 15 The order is to be implanted by the application of those portions of the Nazi-model national mobiliza- tion law applying to economic ac- tivities entitled “mobilization of ma- terials.” The new law will affect produc- tion, distribution and consumption within Japan and gives priority to materials intended to supply arms and ammunition export materials. Chinese To Attack PEIPING, June 23. — Japum‘a(“ army officials today predicted large | scale campaigns would be renewed in Shansi Province to clear out an estimated number of 26 Chinese di- visions. The officials said the Chinese were massing there for a counter offen- sive, emphasizing the strategic im- portance of the northwestern pro- vince. { The Japanese spokesman said the Chinese have made a sweeping at- tack on a small Japanese garrison in the Interior, taking the fort by storm before reinforcements could arrive. Dorothy Bertahl Leading in Race For F_Ilyjth Honor Chamber of Commerce Contest to Determine Goddess of Liberty Dorothy Berthall is leading today in the Chamber of Commerce God- dess of Liberty contest, the com- mittee announced this afternoon. The standings are: Dorothy Berthall Edith Lindegard Corrine Duncan Luella Tucker 950 941 937 100 Only thirteen votes separate the three top leaglers so it looks any- boy's race yet. There are six more days before the final count. The winner will receive a trip to Skagway as a guest of the Alaska Steamship Company as well as other presents given by the Capitol Theatre, Harry Race Drug Store and Percy’s Cafe. e e—— Queen's Mother Dies in London LONDON, June 23.—Countess of Strathmore, 76, mother of Queen Elizabeth, died here early today. She was the wife of a BScottish Earl. FRENCH VISIT DELAYED LONDON, June 23.—The State visit of King George and Queen Elizabeth to France has been post- poned until July 19 because of the death of the Queen’s mother. The visit was scheduled for June 28. The King has decreed family mourning only. CANNERY TENDER IN FROM TYEE; LUMBER‘ The cannery tender Buddy is in port today from Tyee, taking ! aboard lumber ‘and general supD- plies. Capt. Jack Ederworth will take the Buddy to Tyee at midnight to- | military aviation within a month | washed out, highways, | with a total of 17 deaths. night. ALASKAN GIVEN HONORS BY" MASONS Rainy Day Float Will Be Feature 0f Fug@h Parade Prize of $20 Hung Up for Car of Float Most Depect- ive of Wet Weather Feature of the Fourth of July | parade this year will be the ‘“best rainy day float” for which a prize of $20 has been hung up by the par- ade committee, headed by the Rev. O. L. Kendall. A rainy day float Chairman Kendall emphasized, ap- peared to the committee to be apro- pos of the 56 days of overcast wea- | ther Juneau has recently “enjoyed” and at the Chamber of Commerce | luncheon this noon he urged the business men to get out and compete for the prize both as a novelty and as a bit of civic enterprise. “The parade this year is going| to be a dandy if the community | will get into the spirit of the thing| and get some entries into the col- umn,” the Chairman said. “The| Goddess of Liberty contest, the| | Chamber is conducting, is going over in a big way and if every one else| will show the kind of enthusiasm | these girls are showing we’ll have a real Fourth of July parade.” | Program Chairman John E. Pe- gues reported that the Elks aiready | | had plans under way for a float and the Moose and several other or- ganizations and business houses ex- | pect to be in line. He said indica- | tions were the parade would be Lhi'i best seen in Juneau in many years. | ‘The prizes were announced today | Charles P. Kirtland (above) of Ancherage, Alaska, is the first Alaskan to held an elective of- fice in the Masonic Grand Lodge and Alaska. y, in Walla Walla, Wash., Kirtland was chosen Deputy Grand Master at the Eighty-First annual meeting. He is in line for Grand Master next year. W. Gale Matthews, of Ephra- ta, Wash, was elected Grand Master at the meeting yester- day, succeeding Frank L. Poole of Tacoma, Wash. INSIDE STORY OF ESPIONAGE CASE HELD UP . & Boys: first $2, second $1. Govt. Seeks Order to Re-| “Best rourth of July costume— strain Newspaper from |Giris: first 82, second 1. ‘ Pu})llshlng Scl'l(’s | Awards For July 4th Parade | | Best Organization Float—$20. | | ‘Best Individual or Business Float —$20. Best Rainy Day Float—$30. Best Sustained Character—Boys: first $2, second $1 Best Sustained Character—Girls: first $2, second $1 Best Fourth of July Costume— | Best Decorated Bieycle—Boys: fihst $2, second $1. first $2, second $1 first $2, second $1. Best Decorated first $2, second $1. Best Decorated Doll Buggy—Girls: first $2, second $1. Best Group Turnout—Boys, $10.! (Must be eight or more in group.) Best Group Turnout—Girls, $10. | (Must be eight or more in group.) - eee —— | NEW YORK, June 23. — Federal Judge Murray Huldbert has re-| served his decision on the Govern- ment’s application for an order re- straining the New York Post from publishing the inside story of the espionage investigation A temporary restraining order was issued yesterday. Continued articles, which were started today, were written by Leon Turrou, former special agent of the Wagon—Boys SALMON SEEN ON JAP BOAT, BRISTOL BAY Vessel Surrounded by Ten| Tenders—Fishing Sud- denly Stops WARREN, Alaska, June 23.—Capt. Emil Jackson, of the motorship Clevedon, reported that his ship, entering Bristol Bay, passed within | 500 feet of a Japanese crab fishing | el and salmon were seen hang- | ing on the vessel's riggings to dry.| sSalmon nets were also hanging from | the ship. | Capt. Jackson said the vessel, also | the ten large tenders, manned by | eleven men each, stopped discharg- | ing on the approach of the Cleve- don. | Capt. Jackson placed the ship’s| position as 28 miles off shore from | Bear River. The motorship Clevedon was for- merly the Italian motorship Fletre and is carrying workers and sup- plies to PAF canneries in the Bris- tol Bay area. - e — Whereabouts of | Sunken Plane’s cre!, Mystery Conflicting Reports Still oming in from Snow Pass Wreck i The pilot and two passengers of | the four-place Standard wheel plane | which crashed day before yesterday in Snow Pass, are still unheard from. | They were reported to have been ! rescued from their sinking plane by the fishing boat Virginia. Pilot Herb Munter, who was in Juneau today from Ketchikan; said it was understood in the First City that “one, or two” boats had left for Juneau before the plane, with intentions to aid the plane should | any mishap befall it. Because the Virginia, which is| said to have picked the men up, has been unreported at either Ket- chikan, Wrangell or Petersburg, it is believed that the boat is on its| way to Juneau. Pilot Arch Chamberlain, 22, was | flying the plane, and L. A. Prosser, new owner of the plane, and an unidentified man were with him at the time of the accident. \ Joe Louis, who scered such a sen tains his heavyweight crown. SHEEP REPORTED ONINCREASEIN Commissioner Stewart Re- ports Seeing Large Bands on Trip Mountain sheep in Mount McKin- ley National Park appear to be def- initely on the increase, according to B. D. Stewart, Commissionér of Mines, who spoke before the Juneau Chamber, of Commerce at its lunch- eon meeting in Percy's Cafe. The Commissioner said he saw numbering up to a hundred at c]me! range on his recent trip through the area and was able to gel one| closeup picture by stepping out of bands|” Department of Justice, chief inves- SCHMELINGIS INJURED WHEN tigator, The case argument deals prin- cipally on the question of wheth the Post, under the free press pro- visions of the constitution, can pub- lish the series while the investiga- Hal Stonebecker, 36, and Tom Beels, 37, both from the States, and who flew to Ketchikan with Chamberlain, had preceded Cham- berlain on his northbound trip out i i i i | “I got what i i ational knockout last night over his German challenger and former victor, Max Schmeling, still re- SHARP ADVANCE, STOCK PRICES M'KINLEY PARK TRADING TODAY Leading Shares Go Up from $1 to $5—Big Vol- ume of Business NEW YORK, June {N.—The heavi- est days trading since the market turned precipitately downward last October took place today on the New York Stock Exchange. Stocks rose sharply again for the fourth consecutive day. Advance in prices of leading is- sues were from $1 to $5 a share or higher. The volume of business is around 2,500,000 shares. The ticker tape, at the height of He I Still Champion of World (jof | pyiS KNOGKS SCHMELING don’t come back, eh,| RO i SCHMELING IS ~ INJURED WHEN LUUIS LANDED Schmeling insisted afterwards that he was partly paralyzed by the left | which Louis hit him over the left | kidney after about a minute elapsed Transverse Processes of but the paralyzing effect of Joe's g | punches to Schmeling’s jaw was Verte!)rae Injured by | far more obvious. ‘Ilf;: undaunted Tellmg Body Blow | German went so far as to suggest, CEREAN, |in effect, that he was the victim of NEW YORK, June 23.—From a & bad break and insisted he would cot in the Polyclinic Hospital, Max | like a third crack at Louis. ¥ ! | 5 Brown Bomber, Like of Old, Turns Loose Such a Sud- Spectacular Rush—Fight Lasted Just Two Minutes and Four Seconds Before Towel Thrown Into Ring | | back—all the way back—with an EN E | explosion that electrified the fight | world and smashed Germany's Max round in a title bout for the world's championship. ' fessional career but it took little | ltrr—Return Match: | more than two minutes to achieve . " What For? | {in pugilistic history to a world mirer shouted in his dressing rrmm‘was knocked out in the same ring Jost? Last night he turned loose an at- Louis laughed and then said: tack with such suddenness and feros three good punches to get him. | first punch by the Bomber's snake “I shook him up with a left then| ke left | Schmeling downhill. Then a right| handiers threw the towel into the to the jaw did the work. | ring as a token of defeat. | was backing away.” | A | When told that Max claimed the | the negros spectacular rush to tri- umph. That crowd witnessed the low. It was a good punch though.” % Asked if he would give Schmeling | 1932. Dempsey’s memorable conquest his victory in 2 minutes and 4 sec- | onds after the opening of the first a single damaging punch. Only once | did he connect with his right which den Attack that Challenger Not Given Any Chance —Crowd of Eighty Thousand Thrilled at Negro’s ' 1 Lnuls LAUGHS | NEW YORK, June 23.—Joe Louls, }the Brown Bomber, last night came Schmeling into a helpless, sprawling IN TITLE BUUT figure, to defeat in less than one e | Louis waited two years to avengs 5 .y his one and only defeat in his pro- Champion Tells How He Did | | this avenge with a devastating blast that produced the quickest ending NEW YORK, June 23.—Joe Louis|heavyweight championship match. laughed long and loud when an ad-| The 24-year-old Alabama negrg last night: in 12 rounds by Schmeling in 1936, “So they Unleashes Attack the folks call re-/city that the German never had venge and how. I had to throw only|a chance. Max was beaten to the hard right but the body punch right| gchmeling was downed three times afterwards was the one that started| .ndq was so badly battered that his “Max hit me only one good punch. | | That punch was a right when I Crowh FigAnd i | A crowd of 80,000 was thrilled by }body punch was low, Joe said: | “Shucks, that body lick was not|MOst sensational title finish since Jack Dempsey flattened Firpo in another fight, Joe said: | came after 57 seconds of fighting in “What for?" | the second round but Louis scored | round. Schmeling last night did not land spelled defeat for Louis two years ago. Max's Claims Schmeling today testified to the ‘The gate receipts last night totaled }the car. Wolves which for a couple | of years were preying on the sheep| the morning rally was six minutes behind. For three days reports of a bet- | ter business outlook have been re- ceived and added to this is the es- timated increase in carloadings for | power of the fists of Joe Louis who|about $800,000. knocked him out last night in two Louis On Offensive minutes and f_uur seconds. ‘ As the gong sounded, both, men Schmeling is under obscrvfluon‘wem to the middle of the ring. for a severe back injury suffered|Louis took the offensive. He missed have been driven out in large num- | bers, he reported. | Commenting on his field mining trip, Mr. Stewart said the season of Ketchikan, aboard the gashoat | jooked especially bright in the West- tion is still in progress. United States Attorney Hardy contends the publication of the ar- ticles will hamper the investiga- tion VOTE DEATH TO YOUTH SLAYER Doris. It is believed that the rescued men have possibly been transferred ~ LOUIS LANDED Transverse Processes of cory. Vertebrae Injured by Pilot Tony Schwamm, of Peters- burg, in Juneau last night, said |he had made a search for the boat Telling Body Blow |at Wrangell and nearby waters out ABERDEEN, Wash,, June 23.—All |to where the plane had sunk off along the Pacific Coast, wives wait|zarembo Island, but saw no boats for husbands who are at sea in|named “Doris” or “Virginia.” \ | | A ALPINE, Texas, June 23—A shirt-| When Mr. Gifford decided to g0 sleeved grand jury has voted death| to Francis Black, Jr., confessed to toppling Marvin Noblitt, aged 13, over a mountain bluff in an insu ance death plot. The jury deliberat- ed less than 30 minutes. R SEVEN FRENCH ARMY FLIERS DIE IN CRASH Plane Explodes at Low Alti- tude, Then Bursts Into Flames PARIS, June 23.—Seven French Army fliers perished in the crash of a twin-motored plane last night on a training flight in Central Prance according to advices re- ceived by the Air Ministry. Farmers in the vicinity said the plane seemed to have exploded.at a low altitude, ‘then fell in flames. ‘The tragedy is the fifth in French J crops are damaged, | fishing boats—but not Mrs. M. W. ifford. 0 T I |to Alaska fishing this year rather | mgfl“ uwn s |than to work in a mill, Mrs. Gif- | F d Wiecked, Floo |ford went along. Today, she is| | somewhere off Alaska, a full-fledged member of the crew of a 32-foot trolling boat. | | PILOT ROCK, Oregon, June 23. |—A racing flood sweeping off the |rolling wheatlands in the wake of | torrential rains aided by a clou.l- | —_— o ! | burst, poured over this little town | lof 300 population yesterday after- | Fl-onnEn M inoon, smashing homes and bridges | L) ‘and causing a loss estimated at $100,000. A telephone warning by |Hans Nielson, a rancher, cleared the village of the residents and | | prevented loss of life. | 1 B S | |Northern Montana Low-| THOMPSON GOINE | lands Inundated—Much ‘y TO WESTWARD ON !. Damage Is Reported WEATHER MISSION | g — Fred! U. 8. Meteorologist Howard J. | Tillghmann, 60, was drowned when Thompson of the Weather Bureau | water surged down,a creek and sur- |18 sailing for the Westward on the | rounded his farm home during a|Mt. McKinley Saturday, going to | cloudburst. Anchorage on instructions from | Northern Montana lowlands are|Washington to arrange for quarters | fiooded on account of heavy rains.|for the new weather station which | Sections of railroad tracks are|is being installed there. He expects homes and|to be gone about 10 days or two weeks, | HAVRE, Mont., June 23. this week over previous weeks. An increase in the price of lead rubber, cooper, ward and Interior regions with pros- pect for output up with last year, if | | not better. One of the outstanding|and advances of to the Doris and will be in Juneau | pieces of mining equipment in Al-|and hide futures contributed to the| aska this season is the immense | optimistic view of the traders. | dragline being placed in operation by the United States Smelting and TODAY’S QUOTATIONS Refining in the Esther Dome area| NEW YORK, June 23. — Closing near Fairbanks, which is the latest|quotation of Alaska Juneau mine in placer equipment development.| stock today is 9%, American Can A great deal of other new eqmpmonc; 967%, American Light and Power 6, is going in, he reported, forecastingi Anaconda 29, Bethlehem Steel 53, |even greater activity as the season|Commonwealth and Southern 1%, | progresses. | Curtiss Wright 4%, General Motors | Building is lively at both Anchor-| 35, International Harvester 59, Ken- age and Fairbanks, he said, and Lh(“;m'rfou 35%, New York Central 14%, five-story structure being complet-| Southern Pacific 14, United States ed by Capt. A. E. Lathrop at Fair-| Steel 50%, Cities Service 9%, Pound banks will be without doubt the $4.957%. most modern building block in Al-| | secretary of Interior Secretary Har-|Jones averages: industrials 12740, partment, and Earl D. McGinty, fairs, were guests of the Chamber | Mr. Cubberly is With the reindeer A RE lIABLE investigating party which passed ] re joining the party. Mr. McGinty \Hol-nEN TAKES | Men, Women of All Pro- aska up to_this time. DOW, JONES AVERAG old L. Ickes and now with the So- | rails 24.60, utilities 20.1. | new supervising construction en- | through here yesterday. He is stay-| STATE LABUR |is a recent arrival from the States FOUR Tn SITKA‘ fessions and Trades Leon H. Cubberly, former private; The following are today’s Dow, licitor's division of the Interior De- PR e gineer for the Office of Indian A(—}ALL GERMANS ing here a week on business before| e S | Decree Issued—Applies to | BERLIN, June 23—FPield Marshal Goering, Chief Executive of the Alex Holden took the Marine Air- Nation’s four-year program of eco- ways Fairchild 71 to Sitka this| nomic independence, has ordered |afternoon with four passengers. that from July 1, all German men Included in the four making the and women of any profession or |trip were Ken Edwards and Dave | trade, are liable for temporary labor | Fenton. |in the service of the state. i in the opening minute of the fight-| two short lefts, Schmeling crouched ing last night when Louis landed | cautiously. Louis nailed Schmeling a smashing hit above the kidney. against the ropes and smashed Max After a thorough examination, Dr.| with a right and vicious lefts. Max Robert Brennan, Professor of Sur-|shot over a short right which for gery at the clinic, confirmed the | a second halted Joe’s whirlwind | earlier diagnosis that Max suffered | drive. Louis smashed over a short a fracture of one or more transverse | right that made Max grunt. A hard processes of the vertebrae. This is| right staggered Schmeling. Louls described as fractures of the pro-|piled in as Max went against the jections from the vertebrae on the|ropes. A hard right knocked Schmel- right side just below the kidney|ing down for the count of three. Up level. An injury of this sort gen-|he got and down he went again for |erally requires the patient to re-| the count of one. Schmeling got up, | main in bed for two or three months. It was the first smashing right, a Louis followed and measured him and Schmeling went down and at | body punch, that Louis landed that really settled the fight. The German screamed with pain | when he received it. (Continued on Page Six) pEBERIED 5 LTl e GERMANS GET SEVERE SHOCK AS MAX LOSES Gay Parties Dampened— Hitler Hears Sad News at Mountain Home BERLIN, June 23—All Germany | clustered about. its short wave radip |sets in the early morning hours and was thunderstruck, almost un- believing at the unexpected news |that Max Schmeling failed in his | ACTRESS WIFE COMING | BERLIN, June 23.—Andri Ondra, Schmeling’s wife, a movie actress, | | said this afternoon she intended to| | go to her husband’s bedside in New | York City. | “It is terrible that such punches as he received are permitted,” she said | |Gross Receipts {And Division To Fighters NEW YORK, June 23. — Thanks to the movie and radio contracts, the gross receipts of the Louis-Schmeling fight to- talled $1,015,000. The crowd numbered 72,000 of whom 66,000 | fight with Joe Louis. paid, contributing $803,000. | The high hopes of the Germans Louis receives 40 percent or |were dashed so suddenly that $321,000. parties in cafes and other gal | Schmeling receives 20 per- |ings were quickly dampened. cent or $160,000. Adolf Hitler was among those The Federal State tax took |who heard the disheartening news $137,000, at his Bavarian mountain resort.