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a THE DAILY ALASKA EMPIRE “ALL THE NEWS ALL THE TIME” VOL. LIX., NO. 9095. 'MEMBE R AS ED PRESS OCIAT ~ PRICE TEN CENTS U.S. BOMBERS POUNDING NAZIS IN RUSSIA Smash Attacks Are ALLIES HIT NEW NIPPON BASES AGAIN Aerial Bombardment Causes Great Damage AtGona, New Guinea GENERAL MacARTHUR'S HEADQUARTERS IN AUSTRALIA, July 25.—Allied bombers struck at the Japanese land forces near Gona on the northern New Guinea coast with 45,000 pounds of bombs yester- day, causing fires, General Mac- Arthur’s headqyarters announced today. Enemy barges, stores and installa- tions were attacked with demolition and incendiary bombs and direct hits were scored. An anti-aircraft battery was also put out of action. Allied aerial activity was so in- tense that an unspecifed number of enemy cargo vessels offshore were unable to unload and were forced to withdraw northward toward the Japanese base at Salamaua. The Washingtun Merry - Go- Round By DREW PEARSON I (Major Robert 5. Allen on active duty.) WASHINGTON—A lot of people have been cussing congress these days. But. if they have the idea | that a dictatorship is better they should take a look at the rubber sit- uation. For if it had not been for the consistent fighting and ham-| mering by a watchful congress and a free press—the instruments of our democratic processes it i‘“i doubtful that the rubber situation would be on the road to real im- provement today. i Behind the scenes, certain hard- hitting senators—Gillette of Towa, | Thomas of Oklahoma, Truman of | Missouri, Norris of Nebraska, Kil-| gore of West Virginia, Brewster of Main, Wheeler of Montana, and many others have done a great} service to the nation. I As a result of their tireless| bludgeoning, both backstage and in the full glare of the footlights, a real drive to make synthetic rub- ber and make it fast, i now under way—seven precious months after Peral Harbor. Most of the congressmen couldn’'t even spell the word “butadiene.” But they have definitely proved | g that the experts were wrong. To illustrate the doubtful bless- ings of supreme authority, no one in the government had more dicta- torial power regarding rubber than | Jesse Jones. Congress granted him almost limitless funds and the Pres- ident gave him limitless power to produce rubber. He could hire the best experts in the world, consult the best scientists, sign contracts with anyone. BUSINESS BEFORE WAR But for some reason the experts | he chose put all the rubber eggs in one basket—the manufacture of rubber from petroleum, and by a lengthy process. At one hearing Senator Wheeler asked Jesse Jones: “Have you investigated to see whether or not it (the alcohol process) is good?” To which Jones’' rubber brain- truster, Stanley Crossland, replied: “It has been investigated, but it has not gone beyond the de- velopment stage by which we can tell whether or not it is operable on a commercial scale.” But the senate agriculture sub- committee, probing the matter, re- ported: | “The only known and commer- cially tested processes for the pro-| duction of synthetic rubber, devel- oped principally in continental Eu- rope by Germans, Poles and Rus- slans, were from alcohol produced from grain and potatoes.” The senate committee went fur- ther saying: “There is no explanation by any responsible official of why this country, in setting up a program for the production of synthetic rub- ber, gave consideration only to un- (Continued on l;;se “Four) —— a For his part in the trapping of three of the eight Nazi saboteurs now on trial before a military commission in Washington, Coast Guardsman John C, Cullen, 21, of Bayside, Long Island, has been promoted by Vice Admirel R. R. Waesche, right, guard command- ant. Cullen, who has been a seaman, second class, now is coxswain. Cullen, according to the official Coast Guard story of the amazing nocturnal Long Island meeting with the submarine-borne sahoteurs, pretended to accept the saboteurs’ bribe of $300 (in paying which the Germans short-changed him $40) and later spread the alarm which finally resulted in their capture and also that of four others who had landed by Nazi U-boat off the Florida coast. (L I.-N.-Phonephoto) NNOVES __ THREE NAIZI SABOTEURS ARE HUNTED ). Edgar Hoover Asks Na- tion to Watch for Any Other Spies WASHINGTON, July 25 — FBI head J. Edgar Hoover has asked the nation to be on the lookout for three men identified as expert German saboteurs who might have come to the United States trained in a German sabotage school and with orders to destroy vital War industries here, Rosemary LaPlanche (above), who won the “Miss America” ‘ title at last summier's beauty contest in Atlantic City, was signed to play a featured role jin “Prairie Chicken” at the Hal Roach Studio in Hollywood. 1t will be her first film part. PRINCE RUPERT HALIBUT PRICES PRINCE RUPERT, B. C., July 25 —One hundred and forty four thousand pounds of halibut were sold here yesterday at 15 to 16 cents a pound, § 37 | British planes wer Hoover’s statement identified the men as Walter Kappe, alias Kappel, Joseph Schmidt, alias Paul Schmidt, alias Perry Swenson, and Rheinhold Barth, 35, all natives of Germany. ITALY SAYS | BIGTROOP ~ SHIP SUNK Fascist Communique Claims Torpedoing in Mediterranean Sea ROME, July 25. — Ttalian sub- marines have sunk a troop laden | transport ship, a 5,000-ton mer- { chantman in the Mediterranean, the Hizh Command has reported. | The communique says that in Egyptian fighting, desert troops have repulsed British tank attacks | in the southern sector and that 12 shot down. ———————— BETTS LEAVE TONIGHT Mr. and Mrs. Archie Betts are leaving tonight for Skagway where they will take charge of the res- taurant and cocktail lounge they recently acquired. — e, Because the French used to throw their wooden shoes, “sabots,” into machinery, the word { came into being. ‘Ontario Premier Predicts | New Attack on Dutch Harbor, U. S. | TORONTO, July 25. — Premier Mitchell Hepburn, of Ontario, today predicted that Japan’s next major move will be a new Dutch Harbor, from which their long range bombers could attack the Pacific Coast and a considerable | distance inland. “Of course I'm a pessimist, but I say we are living in a fool’s paradise | and it is only absolute fear that | will waken people to a realization | of what they must face in the im- mediate future. The situation in Canada today is a perfect parallel | to France in 1940, when the people did not awaken to danger until the Germans crossed the Meuse.” S Taft Says Tax Bill Would impose Undue Bur- { dens on Low Income | Individuals WASHINGTON, July 25—Senator Robert Taft asserted today at the Senate Finance Committee hearings lon the $6.271,000,000 revenue bill that the imposition of the Treasury ! approved payroll collection levy will {have the effect of requiring 24 pe; cent tax payments from ordinary | citizens in 1943. | Randolph Paul, Assistant Secre- tary of Treasury, told the com- | mittee that the collection source 'would be a 5 percent advance tax | payments in ways in which divid- iends and interest would be consid- |ered “definitely important” by the | Treasury’s anti-inflation measure, | Taft contended that the provi- |sions of the bill which require em- | ployers to withhold 5 percent of the pay of a single person making |less than $11 a week and married [persons without children receiving ‘!as little as $26 a week would impose {undue burdens on low income in- | dividuals. { Committee members said they |could forsee Federal taxes ap- | proaching 40 billion dollars yearly 1should Congress adopt the recom- | mendation of Morgenthau and lift |the levies eventually to the British Elevel. HOUSE 0.K.'S NEW RUBBER - AGENCY BILL Disregards Profests of War | Deparfment - Presi- | dent May Veto | WASHINGTON, July 25 The |House has passed by a vote of 104 to 18, and sent to the White Houst |the Administration-opposed bill create an independent agency supervise productéon of synthetic rubber from grain alcohol | The Senate passed the meusui¢ earlier in the week. The House disregarded protest of the War Department and War Production Board. Predictions by Administration will veto the bill. Made On Jap Beauties Ai ;w Bond Drive Promoted for Saboteur Catch 1( AN ADIANS 5 SAYS HEAD | attack on | United States production centers on | “sabotage” spokesmen are that the President Attrac Angeles’ Pershing Square corsages were (1. to r.): Strock. TRANSFER y storm ri WITH JAPS American Diplomats Board Swedish Liner in Afri- LOURENCO MARQUES, Port guese East Africa, July 25—The fir: diplomatic transfer of nationals be- iween the U. S. and Japan since the start of the war was completed here when more than 1100 North and South Americans boarded the Swedish liner Gripsholm to take the places of the evacuated Jap diplomats and their families brought from America. The Americans the liners Conterverde Maru. The exchanges were supervised by the Portuguese Foreign Office Some returning Americans ported that certain prisoners w threatened with the guillotine Jap authorities secking to admissions of guilt from charged with espionage. Trere were no known cases in Japan of physical abuse of women or children among the prisoners but some men were told that their wives and - children would be made to suffer if they did not confess to espionage reports made by individ- uals not yet brought to the official attention of the U. S. Government.| ARMY GIVES CASUALTIES FOR ALASKA Mo & Otticors. 380 listed Men Killed at Dutch Harbor WASHINGTON, July 25. — The arrived here on and Asama o by obtain men 1o Army issued today the first casualty list for the Alaskan area, announc- ing for publication the names of 41 American soldiers killed June 3 in the raid o Dutch Harbor and sub- sequent operations in the Aleutians. Among those killed were six of- ficers and 35 enlisted men coming from 18 States. Three of them were from Washington. | BUY UEFENSE BONDS p retail volunteer workers One girl alone has sold $7 Forces n red, white and blue pimes, Beverly Dunkin, Mollie de ( )0 worth of bonds and stamps in : {ommander Rewarded | Is Unfair - PRISONERS ~ - % 0 n the Victory Rally of downtown retail stores. AMERICAN PLANES IN BIGFIGHT Are Manned by Soviet Air- men-Germans Driving New Wedges in Line MOSCOW, July 25—United States bombers are taking part in the des- | perate Russian defense of the Cau- | casus as the Germans drove dan- |gerous wedges into forts guarding ;mmuv and struck nearer the vital city of Stalingrad | Swift twin-motored Douglases, | flying wing to wing with Russian | planes are fiercely pounding Ger- man tanks and other motorized col- umns. Presumably the American planes |are flown by Russians. ‘! The Germans, according to offi- cial reports, have established a haz- ardous bridgehead across the lower Don, up the river 125 miles from o e | Rostov which is still reported in costumes recently took Vietory puse in Los Russian hands. Out to sell war stamp | Last night a broadcast from | Vichy was picked up here reporting tremendous explositions in which | whole blocks were being blown mp by delayed action bomhs hindering German occupation of Rostov. - Vancouver ~ Isle Ready, Emfrgency VICTORIA, B. C,, July 25.—A civ- ilian automobile reserve of nearly 500 vehicles and power boat squad- | rons of some 400 craft stand ready for any emergency on Vancouver Island, whether it be a sudden troop | movement or the evacuation of civ- |lians. | Harold Husband, of Victoria, re- :cenuy appointed by Transit Con- | troller George 8. Gray to survey and organize all emergency transport facilities on the island, has indexed | every motor vehicle on the records | of provincial police. His staff has arranged to fit drivers into an emer- gency plan and organized a civilian sea force of ferries, tugs, barges and smaller power boats, The island has beea zoned and district controllers for the emer- ‘astro, Mary Ranelletti and Doris two days. rubber floor mats onto the reclama- Admiral Chedler W. Nimitz (center), Commander-in-Chief of the Pa- cific Fleet, stocd before Admiral Ernest J. King, Commander-in-Chief of the United States Fleet, while Admiral King (right), read a Presi- de itation awarding Nimitz the distinguished service medal for cnally meritorious service."— (Official U. S. Navy photo from the Asscelated Press.) Rubber Salvage Drive Had Bouncing Time in U.S. Naljonal (apilal WASHINGTON, July I don't know about the rest of the country, but the rubber salvage drive in Washington bounced all over the place. Star Rubber Conservator Har- bld L. Ickes got into a typical Tckes- ian squabble when he demanded all governmeént buildings toss their TWO YANKEE BABES BORN tion stockpile. The Public Building Administration declared that was stretching things too far. | NEW YORK, July 25—An eight Not only government employes pound, six ounce son has been bor but government visitors, saild PBA, to Mrs. Joe rdon, wife of might fall and break their backs any rainy day if the buildings didn't have their rubber mats. “In- vestigators” dashed over to the OPA offices in the LaSalle building to find out what Leon Henderson was | New York Yankee their second child Mrs. Buddy Rosar, wife of Yankee catcher, gave birth to a on Monday. - doing about it all. They came away| The United States produces al-| (Continued on Page Five) 1:']“"“ twice % - 4 e rest of the world THIS WEEK the second baseman, the | much petroleum as gency service appointed in some cases. Car owners have equipped their vans and trucks with remov- able seats so the vehicles could be transformed into evacuee carriers at a moment’s notice. KENNETH MacCORMAC . ARC REPRESENTATIVE . GOES TO KETCHIKAN | Kenneth MacCormac, Alaska | Representative of the American Red Cross left yesterday for | Ketchikan in connection with ARC |work in that city. Mr. MacCormac expects raway for about two weeks befora | returning to his 3uneeu headquart« ers. to be ,, n | | | flag to beat the Japs but | think he'd be satisfied if we shoved it down their throats.