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THE DAILY ALASKA EMPIRE “ALL THE, NEWS ALL THE TIME” NO. 8751. VOL. LVII MEMBER ASSOCIATED PRESS PRICE TEN CENTS JUNEAU, ALASKA, SATURDAY, JUNE 14, 1941. GERMANY MAKES TH EATS AGAINST U.b. Stalin Envisions FLAG IS 164 YEARS OLDTHIS DAY BIG STAKES FOUGHT FOR BY GERMANY Russian Premier Playing Waiting Game in De- mands by Hitler SOVIETS MAY GIVE IN WITHOUT FIGHT Aftermath o—f—GreaI Con- lict, However, s Upris- ing by Communists Vive N — BERN, Switzerland, June 14— High stakes in the international game of bluff with Hitler, who is demanding economic benefits in the Ukraine, Josef Stalin, Premier of Soviet Russia, is playing a waiting game, unwilling to fight. The situation is described by Swiss sources and underlying persistent reports of the serious situation in the present Soviet-Nazi tension. The journal De Geneve, which has authoritative international contacts, today declared Germany wants ac- c o the Ukraine and the right to direct wartime production of the great bread basket of southwest Russia, and the grain and cattle producing steppes, twice as large as Texas, a state of the United States of America. Stalin is trying to dodge the de- mands, the journal de Geneve says, and freely predicts that Stalin will give in, if necessary, to avert a break with Germany. The journal says Stalin still en- visions “a general Communist revo- lution in Europe which is prostrat- ed by the horrors of bombardments and famine.” ————————— FREIGHTER TANANA HERE FROM SOUTH | =i <rcse Alaska Steamship freighter Tan- ana, Capt. Westerholm and purser W. Hubbell, docked in Juneau from the south at 11 o'clock last night with cargo for the Alaska Juneau Gold Mining Company, and | is scheduled to sail for the West-| ward this evening after loading| lumber. CThe WASHINGTON. — As previously pointed out in this column, one of the significant differences between the War and Navy Departments is the hostility of Navy brasshats to civilian scrutiny and control of their operations. There are some Army chiefs who, hold similar views, but they usually | are circumspect about airing them. Secretary Henry Stimson and Under Secretary Robert Patterson are sin- cere believers in democracy and they rule their generals with a firm hand. In the Navy it is largely the other way around. A striking illustration is the sharp 3 contrast in the attitude of the two Departments on he quesion of an Assisant Secretary for Air. Deciding that the vastly expand- ed Army Air Corps needed a central directing head, Stimson and Pat- terson selected Robert Lovett, New York banker and World War ace, for the job and had the President appoint him. There was no inter- ference from the generals, and Air Corps chiefs are working harmoni- Revolution In Europe | | | H & | & One hundred sixty-four years ago today—June 14, 1777—the Con- tinental Congress passed the reso- lution that gave birth to the Am- | erican flag. That's why today is observed as Flag Day. | The firsv flag had 13 stripes. Until 1818, a stripe and a star iwere added for each new state. , That year, however, Congress de- creed the stripes should represent only original states, but that each new state should receive a star. | The first widespread celebration of a “flag day” was the centennial .observance in 1877, ‘with several cities - participating. = There were {then 38 stars. ' The filag has been unchanged since 1912, when the last two states —Arizona and New Mexico—were admitted. It is the longest period I the flag has gone without new ! stars. Puerto Rico, Hawaii and Al- aska all have been mentioned as possibilities for the 49th state. " The encyclopedia says regular ob- 13 stars and servance of Flag Day is less than a | half-century old. It was started in 1896 by the American Flag-Day As- German, _Ilalian Assels In United States Frozen; —Order Is Issued by FDR " Navy Takes Ship Capt. Giles C. Stedman Capt. Giles C. Stedman enters the last notes on a pad as the luxury liner America arrives at New York, its Caribbean cruise cut short by three days when it was uisi- ously and effectively with their new! tioned by the navy. Although no civilian boss. k. Navy brasshats, on the other hand, official statement has been issued, are fighting tooth and nail to block a similar civilian intrusion into their gold-braided realm. Through high- powered lobbying operations in the House, the admirals wormed into (Continued on Page Four) Capt: Stedman, a commander in the naval reserve, may remain in com- mand of the ship. The levee system of the Mis- sissippi is some 500 miles longer than the Great Wall of WASHINGTON, June 14.— President Roosevelt today order- ed the immediate freezing of all German and Italian assets in the United States. At the same time, President Roosevelt ordered the freezing of assets of all invaded or occu- pied European countries not previously covered by such ord- ers. The Executive order said the action was taken in view of the unlimited national emergency he declared recently. Control measures will be ad- ministered by the Treasury De- partment, whose machinery, the statement made by the White House said, is already in action. The White House statement further said, “these measures, in effect, will bring all financial transactions in which German and Italian interests are involv- ed, under control of the Govern- ment and is designed to prevent the use of financial facilities to be used in the United States that may be ul to National Defense and othef American in- terests.” Heavy. crimjpal penalties will be imposed upon persons failing to comply with the Executive Order. It is also said the move will curb subversive activities in the United States. The -President has also ap- proved of regulations ordering & census of all foreign-owned property in this country. ——o MRS. HURLEY RESIGNS Mrs. Dorothy Hurley has resigned ;irom the Office of Indian Affairs office staff here after service of five'$600,000,000 a year for dry clean-|relatives and friends of the num- China, years, ‘BR"ISH pUSH E.D.R. Warning to Axis: Stay Away From Azqrcs | 'FRENCH BACK AT DAMASCUS Sec. Hull Issues Stafement Threatening Action - Against France (By Associated Press) British Imperial and Free-French | forces have closed in on 4,000-year- old Damascus at the end of the |first week in a campaign to take Syria and Lebanon out of Vichy's control. 3 | Authoritative sources in London said the Vichy defenders of the Syrian capital have abandoned the town of Kissque ten miles away and |are falling back close to the walls | of the unfortified city. | Secretary of State Cordell Hull | today stingingly mccused Vichy of | doing Germany'’s fighting in Levant, |and by the sharpness of his words | raised the possibility that the United [Shtes might act soon to back up | the warnings against French collab- oration with Berlin, | Among the possibilities of U. S. action are the refusal to allow furth- er funds to reach the Vichy govern- ment from approximately a half billion dollars in French assets froz- enin the U. S, or a breach of diplo- | matic relations as an opening in ‘the way to recognize General De- | Gaulle’s Free-French Commitiee. 1~ French Ambassador Gastor H Haye voiced “surprising disap - | ment” over Hull's statement. i A B b ALASKA AR { { | | | | ’ CORPS UNIT FOR GUARD ‘Major General Williams i and Staff Make Inspec- | tion Trip to Fairbanks FAIRBANKS, Alaska, June 14— Major General J. F. Williams, Chief of the National Guard Bureau at Washington, D. C.,, and his staff larrived here on an inspection trip in connection with the expansion |of the Alaska National Guard in- | cluding probably the establishment 1of an Alaska Air Corps as a Guard unit. Maj. Gen. Williams and his staff !left by Army plane for Anchorage | from where they will proceed south. PASS THROUGH JUNEAU Major General Williams and staff arrived in Juneau on three B-18 |Army bombers last night and left for the ‘States on the Army Engi- View of Portugal. I Japanese sinations. The Marines sank more eraft which serve as homes In his radio address in Washington, islands of the Atlantic, including specifically the Portuguese-own The Azores are a series of islands in the north Atlantic ocean, The Azores are of volcanic origin and present the islands are covered with vineyards, cornfields and groves. terminal far Clinner flights from America to Seeking Chinese Terr: Marines make a thorough search of sampans in Shanghai, looking for Chinese terrorists blamed for a series of attempted assas- HAT THIS COUNTRY NEEDS NOW IS MORE Horta, capital of island of Fayal, the Azores President Roosevelt warns the Axis powers to stay away from the ed Azores and the Cape Verde group. about 800 miles from the coast of a very rugged appearance from the sea. But Horta, the capital of Fayal, is the air LowerHarbor At New York To Be Mined Operafions_io_Be Carried| Ouf This Summer, Navy | Dept. Announces WASHINGTON, June 14.—Prep- | arations to sow mines in the lower bay of New York harbor is disclosed | by the Navy Department today. The operations will be carried out | this summer. Shipping will be warned the same as was done last week when ‘“un- | | specified” operations in the Los An- | geles and San Diego harbors were | also announced. ' BRITISH SUBS SINK SEVEN ENEMY SHIPS \English Ca—rFy— Undersea| War Info Axis Waters orists i than a hundred of the picturesquej for many 'Chinese families. BLUSTER OF NALIS IS NOT FEARED NOW Declaration_tlgl Ships Car- rying Contraband Be Sunk, Gets Rise 'WELLES DECLARES NO THREATE_RE(OGIIIIED American Action on Sink- ng of Robin Moor Ex- pected Taken Soon WASHINGTON, June 14.—Threats made by the German spokesman that any ships believed to be car- rying contraband of war, no matter which nation’s flag the craft is flying, will be “shoot at’ got a raise out of Acting Secretary of State | Sumner Welles today. The German spokesman made the threat when he declared that the Reich will not be “buffaloed” by any reaction of the United States in the torpedoing of the American freighter Robin Moor in the South Atlantic. In a reply to queries made by the newsmen this forenoon, Welles de- clared “Americans have never been impressed by what they reswid as bluster or threats.” The queries were in general con~ cerning the attitude of this govern- ment on the German spokesman’s threat that any ship carrying con- traband to England will be sunk. The Acting Secretary of State said he would make no final statement until the full facts regarding the sinking of the Robin Moor have beer received from American officials in Brazil who have reports from the eleven survivors picked up by a Brazilian steamer. Welles did say that the American merchant ship, in accordance with the traditional historical policy of this country on the high seas, was engaged in peaceful commerce at the time but was sunk in the middie of the Atlantic and far from any combat area. AGGRESSION BY AMERICA NOT ALLOWED Japs Re-affirm Promise fo Protect ‘Axis from United States | neers’ vessel Cavanaugh early this | morning. i The General flew yesterday from | Fairbanks to Anchorage, where two other bombers joined his party for the flight to Juneau. During several hours spent here, By JACK STINNETT WASHINGTON, June 14— Visi- SPACE IN WASHINGTON . ness men here to confer on defense | contracts; soldiers and sailors from nearby stations. and Mediterranean ROME, June 14.—It was announc- i LONDON, June 14.—The British | o4 here today that Japanese Foreign Admiralty announced today that|minister Matsuoka has telegraphed British submarines in the Mediter- | Premier Mussolini endorsing his | ranean have sunk seven enemy | declaration that Japan “would not | General Willlams conferred with | Major Jesse E. Graham, Warrant Of- ficer H. H. Bond, Major W. R. Mul- vihill and Major Charles G. Bur- dick, of the Alaska National Guard. The bomber flight, commanded by Major W. O. Eareckson, was to return to Anchorage today. |NATIVES CHARGED WITH THEFT OF SUBMARIME CABLE Charged with stealing 80 feet of valuable submarine cable from the Thane property of the Alaska Ju- neau Gold Mining Company, Paul Joseph, Paul Harris and Bob Willis, natives, were arrested yesterday by Deputy' Marshal Walter Hellan at Hoonah and returned here, Arraigned today, they waved pre- liminary hearing, were bound over to the Grand Jury and were released on their own recognizance. ———— Americans spend more than ing. tors to Washington-under-unlimit- ed-emergency almost invariably mutter “All is confusion.” I have written about the growth {of the capital city under national defense before, but it is a continu- ing story, becoming more amazing each day and month. It is something Washingtonians eat and sleep. It is a more general topic of corversation than the war or weather. And it is not surpris- ing that this is true or that the | casual visitor thinks this a city of | vessels and torpedoed three others | | in far-reaching forays which carried the undersea craft even into Ger- man-Italian controlled harbors. Vessels sunk included an Ttalian | armed trawler and the two schoon- ers it was escorting. clt}j's 28 first-class hotels unless he:woA ;:e?wzu;):;fi;;:’l; (;rn:b:ul:r,;e has made reservations a week O | qupply lighter were torpedoed in an more in advance. If he is out from| | Ag Sea harbor, the Admiralt; | 7:30 to 9:30 in the morning or 3:3D<Sahe:n 3 e o ROOMS HARD TO FIND ‘What any visitor is likely to dxs-, cover first is that even if it is an| | off-week, he may have trouble get- | ting accommodations at any of the remain different in the face of Am- erican aggression against the Axis.” Political circles in Rome also said Croatia will sign a three-power pact joining the other southeastern Euro- pean nations which have lined up with the Italian-German-Japanese treaty. [to 6 in the afternoon, he’ll buck the push of Federal worker traffic | that reaches its peak in those hours| | utter: confusion. (staggered hours seem only to have, Since the census was taken last|spread congestion over longer per-| year, it is estimated that Washing- | iods). | [ton has increased its population| At times when he is likely to| 10 percent or almost 70,000 per-|be in the mood for eating or| sons, This does not take into con-| drinking, hell find the restau- sideration the thousands who have rants and bars filled to capacity— | settled in the suburban towns in|and probably lines of waiting cus- ;Maryla.nd and Virginia—Alexan- | tomers in the former. | | dria, Arlington, Chevy Chase, Beth-| If he wants a taxi, hell find ]em,'sflver Spring and others, It there are periods of the day and | doesw’t take into consideration the'night or anytime during a storm | ;Ithwunds of new visitors—persons| when it is practically impossible| | who have discovered a new inter-\ to get one. A taxi company officiaiy est in government and want to see| tells me that a year ago v.here“ how the whole shebang works;! were 5000 cabs on the streets of ‘(Continued on Page Seven) berless new defense workers; bu.sl-l Other vessels torpedoed included an 8,000-ton tanker which was al- most certainly sunk; a 5200-ton Strombo which was reported to have reached Istanbul seriously damaged, and an armed merchan cruiser lying in the harbor at Bengazi. HUGH J. WADE IS Schmeling Promoled Parachutist Also Awarded Iron Cross for Brav- ADMITTED TO BAR! ery in Crefe Hugh J. Wde today was admitted! BpRIIN, June 14—Max Schmel- to the practice of law in the Terri-|ing former heavyweight champion tory. Wade, Director of the Social of the world, and parachutist with Security Board here, formerly was the German forces, has been pro- admitted to the Iowa bar. moted to sergeant and also awarded S iSO the Iron Cross, second class, for BUY DEFENSE STAMPS bravery in the battle of Crete,