New Britain Herald Newspaper, July 31, 1914, Page 1

JEST OF ALL EWSPAPERS NEW BRITAIN HERALD HERALD “ADS” MEAN | BETTER BUSINESS | RICE THREE CENTS. NEY' BRITAIN, CONNECTICUT. FRIDAY, JULY 31, 1914—SIXTEEN PAGES. STABLISHF" 1876 World Awaits Declaration of General War While European Powers Prepare For Conflict “Germany Proclaims Martial Law and Prohibits Publication of News of Movements of Forcesand War Material. Telegraphic Communication Be- tween France and Germany Interrupted London, July 381.—Official an- nouncement of the resumption of the *‘conversations” at St. Petersburg and Vienna came at the moment when pessimism had taken possession. of the whole of Europe, and the hope i, that it might lead to a peaceable solu- tion was grasped with desperation, ‘but the news was offset later in the day by the proclamation of martial law in Germany, which was regarded " as a preliminary to the mobilization of the German forces for war. Everybody then seemed to settle down to await the news that the great Huropean powers had decided to en- gage in a struggle for supremacy. There was nothing to give the public hope that a general war might we averted. ) Stock* Exchainges Close. The stock exchanges in i.ondon and the big provincial cities ‘as well as those on the continent were closed owing to the breakdown of the credit system, which was made complete by the postponement of the Paris settle- ment. This, it was pointed out, ‘would necessarily be followed by the failure ‘of ‘#ome fifty members of the London Stock 'Exchange. Measures Almost Completed. The précautionary military and naval measures taken by the British government are almost completed. Thé great weight of publc opinion here is that England must observe her unwritten obligatiort, to assist France in her difficulties with Ger- many, but a small body of radicals continue to utter objections to Eng- land involving herself in the quarrels of the continental powers. Thé house of commons met at noon to clear’ up the belated business 'be- fore it, and the king gave his assent 1o the bills already passed, including the finance bill, so that should the necessity arise the members of the ! house will be free to deal with any proposals or extraordinary measures, ” ‘financial or otherwise. A i3 Tell of Encounters. Despatches from Nish, in Servia, and from Vienna tell of encounters i between Austrian and Servian troops onithe frontiers, but authentic details | of the fighting were lacking. Mili- tary men here point out that stories of fighting With heavy losses such as that said to have occurred at Fetcha are absurd, as it would be impossibl= for the'Servians in the time at their | have crossed the Drina 4nd - advance twenty < miles within Austrian territory. It is argued also that announcement that 500,000 Aus- trian soldiers are on the march into Servia is practically impossible ana it .is said that Austria cannot have that many in motion in less than six ‘weeks, Americans visiting here Teceived a shock today when it was announced that sailing of the Imperator from -disposal to Hamburg for New York had been! | Servians have sustalned hea mobilization of forces would follow. A Central News Paris says telephonic communication between France and Germany has keen interrupted since 4 o’clock this afternoon. “Conversations’ Germany's despatch from Resumed. It was officialiy announced here to- day that “‘Conversations” had been resumed between the Russian and Austro-Hungarian governments, These “conversations” are being carried om in St. Petersburg and Vienna simultaneously, and the fact aroused another flicker of hope in London that the opportunity for mut- ual explanation may form a start- ing point toward an improvement in the situation. A report stating that Prince Henry of Prussia had gone to St. Peters- burg was regarded as a strongly fa- vorable sign, as Emperor William’s brother is believed to have more in- fluence over the emperor of Russia that any one else. State of War Proclaimed. A despatch from Berlin to Reuter's Telegram company says that a state of war has been”proclaimed in Ger- many. The ‘‘state of war” proclaimed in Germany means, in other words, mar- tial law under which the military au- thorities take charge of the situation in conformity with paragraph 68 of the constitution of the German em- pire. The kingdom of Bavaria, how- ever, is excluded from the operation of today’'s proclamation and will have to issue a similar decree, if it desires to do so, as it is an independent king~ dom. Today's proclamation was signed by the German emperor as King of Prus- sia. Servians Defend Pass. An Excbange Telegraph ‘company’s despatch from Nish, Servia via Sa- loniki says that up till last night the Austrian invaders at Semendria had not succeeded in forcing the pass held by, the Servian troops, possession of which would give them access to the Morava river valley and thus open up a'direct road to Nish. Another dispatch from Nish to the Exchange Telegraph company says desperate fighting continues along the river Drina. Both Austrians and The Austrian divisions after fighting fiercely all day failed to force the defile leading to Plevlie and Priepolie. Decides to Return. Dowager Empréss Maria Feodor- owna of Russia, who has come to Eng- land intending to pass some weeks with her sister, Queen Mother Alex- andra, has decided to return direct to Russia tomorrow, cancelling her usual visit to Denmark. Relief to Situation. Berlin, July 31L.—The morning cancelled owing to the unsettled sit- | passed without the heavy cloud over vation. There was a rush to steam- - ship offices to endeavor to book pas- sages, but few or none were to be had, as all the ships were filled to capacity until the middle of Septem- ber. imperatively 4o America offered premiums ‘perths, but without, avail. : . Steamers Raise Prices. e stgamship “companies which rday were booking passages for isteamers sailing before the annual ‘exégus &t minimum rates today ruised their prices to the maximum. ~In contrast to this rush for berths i a lot of Americans applied at the " Unitea States embassy for passports | so that they might visit continental countries. Over fifty applications were made, including many from girls o declined to listen to the advice of 3 fi embassy officials and were given L itheir passports under the direction of § Secretary of State Bryan, who had jven instructions that all Americans Wishing to visit the continent should pe supplied with them, i © * Proclaims General Mobilization. L The momentous announcement was ade by Premier Asquith . in the Buse of commons today that Russia 4 proclaimed the general mobiliza~, on of her army and fleet and injcon- ence martial law had beenspPo® ed in Germany and a general necessary to get back for ‘Busjness men to whom it was | j macy had been exhausted. the European horizon breaking and there was no relief to the almost de- spairing uncertainty existing in the German capital where the excitement continued to increase. It had been generally expected that today would bring the decision for peace or war and when a decree was promulgated proclaiming martial law and consequent military government all began to think that armed con- flict could be the only outcome. Government officials, however, . re- frained from making any definite de claration, saying they preferred to wait till all the resources of diplo- It was well understood that the issue of an order for the mobilization of the Ger- man forces would be tantamount to a declaration’ of war and it was de- cided to postpone this action until the last ray of hope for peace shall have faded. Situation Becomes Worse. It is admitted that the situation had become worse during the twenty-four hours but the fact that both Germany and France issued of- ficial denials of Lheir intention to mobilize was regarded as indicating that everything possible wus being done to prevent a clash. It was evident everywhere tod that the military authorities were pr paring for the speedy movement of losses. | - By Russia and Austria-Hungary. 1-GERMAN SOLDIERS ON THE MARCH Z-KAISER WILHELM —— troops in case thé order tofi mobiliza- tion should be given. Officers Making Preparations. At many of the banks in Berlin army officers were seen making finan- cial preparations for their separation from their families while many wom- en were there to deposit their valua- bles in the safety vaults. - Members of the various royal fam- ilies of Germany spending their va- cations away from their homes hur- ried back today. The crown prin- cesses returned from Mecklenburg and the King of Saxony came back to Dresden from Switzerland. Martial Law Proclaimed. A decree proclaiming martial law and the prohibition of publication of news of the movements of German troops and war material was issued today. The Proclamation announces mili- tary measures on the frontiers, the armed protection of the railroads, and the restriction of telegraphic, postal and railrd8d services except for mili- tary purposes. Crown Prince Frederick William of Germany was today appointed to the command of the t Division of the Imperial Guards Army Corps. Ban on Exports. The German federal council today issued a decree prohibiting exports of grain, flour, foodstuffs, meats, animal products, automobile trucks, motor- cycles, petroleum, coal tar and coal oils. This goes into effect imme- diately. The step taken by the federal coun- cil. whose members represent the rulers of the federated states compos- ing the German empire, was said to have been necessitated by the heavy { exports of the past few days reported by the chamber of commerce. It was semi-officially announced {that the mAtters dealt with by the federal council were of “secondary importance.” No Mobilization Order. The German foreign office gave as- surances this morning that no mobili- zation order would be issued in Ger- | many today. Offictals admitted, how- ever, that the situation had not im- proved but had become rather aggra- | vated since the issue of the Russian mobilization order. J (Continued on Elzvcnth‘:}am.) | 1t had been . generally expected {that an order for the mobilization of !the German army and navy would be jissued last night. The government's | postponement of this drastic actlon | gave rise today tu hopes that some- might happen to avert the ty of doing so. ne- last | Anxiously Await Developnients. ‘The general feeling | GGermany was, however. that only a I miracle could prevent war, and an- other anxious day of waiting for a | definite solution of the existg doubts ias to whether the result throughout many. Situation In Europe Takes Graver Aspect “Conversations” were resumed today by the Rus- sian and Austrian governments. Martial law was proclaimed throughout Ger- Stock exchanges were closed everywhere. Several encounters between Austrian and Ser- vian troops resulted in the Servians successfully re- sisting the invaders’ advance. The great German Liners Imperator and Vater- land were taken off the trans-Atlantic service. EUROPEAN WAR WILL BENEFIT NEW BRITAIN Prices for Crops in West Will Stimulate Building, Thinks Ex- Big Senator Andrew J. Sloper. If there is a big war in Europe it will help New Britain to some extent, ex-Senator Andrew J. Sloper believes. The benefit will be indirect but it will come just the same. I can't believe that there ing to be a big war,” said ex Sloper to a Herald reporter. there is it will mean that there is go- WEATHER. Hartford. July cloudy tonight day. e e and Partly Satur- be a big demand for agricultural pro- ducts and the western farmers will get high prices for their grain. Hav- ing plenty of money, the farmers will spend it in building and of course there will be a demand for buflders’ hardware. That is where New Brit- ain will benefit.” Mr. Sloper is of the opinion that the powers in Europe will not go to war with each other and that the difficulty may blow over. NEPHEW IN WAR, Constable Fred Winkle is somewhat worried over the safety of his nephew, Spec Ren, who is a member of a crack Austrian cavalry troop now at the front. Mr. Winkle has not heard from his nephew in some time and now that war is imminent he fears that he may never hear from him asain. Terrance Riley and James J. Nee- nan have returned from a vacation trip to Cld Town, Maine, “Conversations” Resumed EUROPEAN SITUATION CAUSES ! STOCK EXCHANGES TO CLOSE All Deliveries Suspended Till Further Notice ;“' First Suspension of Business Since 1873; Security Transactions Halt. Practical Breakdown of Sys- tem of Credit Causes Failure of Big Concerns. New York, July 31.—The New York Stock Exchange was closed today on account of the Buropean situation. The Consolidated Stock Exchange and the New York curb market ceased business, This was followed immediately by announcements of the closing of exchanges in the other chief cities throughout the country. This official announcement was made by the secretary of the Stock Exchange: ““The governing committee decided that the exchange be closed until fur- ther notice, and that all deliveries be suspended until further notice.” Security Transactions Halt. With the suspension of business here transactions in securities the world over came virtually to a hait. New York for the last few days had been the only great market of th» world to carry on business as usual. The decision to close came unexpect- edly a short time before the usual hour for opening. Up to that time, although the street was in a state of great excitement, the general impres- sion was that the exchange would open. It was at a meeting of bankers at the offices of J. P, Morgan & company that the decision was reached. The meeting was attended by Mr. Morgan and H. P. Davison, his partner; Frank A, Vanderlip, president of the Na- tional City Bank; A. B. Hepburn, chairman of the Chase National Bank, and Francis L. Hine, president of the First National Bank. These men were in close communication with the governors of the Stock Echange, and after a long discussion it was declded that the strain upon credits might reach the danger point if the ex- changes were open. No Definite Period. No definite period for the closing of the exchange has been set, Stock exchange houses have notified their offices not to make deliveries or re- ceive stock until further notice. Members of the board of governors of the Stock Exchange said that the board would probably ask the banks not to call any loans due today or at any time while the Stock Exchange remained closed. The banks, it was believed, would agree to such an ar- rangement. The board of governors is in favor of restricting all outside or private purchases or sales of securities by any of the members of the exchange on the ground that such transactions would be detrimental not only to the interests of the exchange, but to the financial community as a whole. First Time Since 1873. William C. Van Antwerp, a gov- ernor of the exchange ,sald that it was the first time since 1873 that business has been suspended for a full day. At that time a large stock exchange house falled and there were threats of dangerous European com- plications. The only other occasion in the his- tory of the Stock Exchange when sim- ilar action has been taken was in 1869, on the famous “Black Friday.” The movement of gold to Europe, which has reached unprecedented proportions during the last few days, was continued Two engagements were made amounting to $2,500,000. The steamship St. Louis, which led for Burope today, carried the est amount of gold ever taken any port of the world on a single vessel. The total value of the cargo was $11,025,000. The total on this mavement of gold in five days aggre- gates $45,435,000. The amount of also the outflow of the metal since Jang uary 1, is $123,835,000, Hepburn Issues Statem “at. ! A. B. Hepburn issued the following statement: “With exchanges closed all over thef world, there was no course open the New York Stock Exchange but t fcllow suit—otherwise we would b keeping open market where all th world could sell and utilize the re sulting credit in taking our gold. = Forj fustance, Canadian Pacific. sald tol have 67,000 stockholders and to ,hel owned mainly on the continent o Burope, has been selling by the rea here for many da: Although it has|, suffered a shrinkage In value, 1t nevertheless sells now for good pric: about 160. There certainly is no reason why the ownership of Cana dian Pacific should be transferr fiom the continent of Europe to Ni York at this time. We cannot fer«| nish a market for international se-| curities and should not at a time lkef this. The closing of the exchange, under the circumstances, was wise,” Governors of the New York stoc Exchange appointed a committee «{ five members to consider and settle al questions which might arise as a re-* sult of the closing. The committes| was headed by President Noble. Reassuring Statement Issued. A reassuring statement by the| bankers of New York, through . representatives of the clearing hoase committee was issued today. | “It was the opinion of the commits( tee,” the statement says, “that the business and financial condition (¥ New York and the entire country sas sound but that the situation in Euroje justified extreme prudence and welf control on the part of the United States; that the closing of the Stoc! Exchange was a precaution by pes= son of the disposition of all Burope to make it the market for whateves it wished to sell; that in this couni ™ there was no occasion for any seriovs( interruption of the regular course Y| business, either financial or mercans( tile.” Coffee Exchange Closes. The New York Coffee Exchange fol- lowed the lead of the Stock Exchange and suspended business. The Cot- ton and Produce Exchanges wthal open. i A special meeting of the Cotton Ex-f change managers was called at eleve o'clock to determine whether the u’j change should remain open for the| remainder of today’'s session | The suspension of the cotton broks erage firms of F. J. Frederickson Co., and Homer Howe & Co, bol small concerns, was announced market was not affected by the a nouncement 1 Votes to Close. The Cotton Exchange after an how of trading today voted to close until 10 o'clock Tuesday. London Market Closes. & London, July 31.—The LondoR Stock Exchange has heen cipsed until further notice. 2 The decision to close the exchange was taken by the committee at @ meeting held this morning. The committee also announced that the gettlement due August 13 has been postponed until August 27 and that the consols settlement due August 8 has been put over until September.of! Stocks which have yet to he des livered for the account just closed must, however, be paid for Credit Broken Down. The chief reason for the unpres cedented action of the London Stoek Exchange committee was the faet (he system of credit had prace - broken down and it was ims< to carry on business in_thy ordinary way. This situation dia rise through over speculation, but because bankers could not collect margins which had been rapidly shrinking while at the same time (Continued on Kleventh m " b