iiritnin, Russia, China.

MAXIMG

OIL

MERE MAN

_-_-___

tie that thinks money will - think’ 5K3; everything for money.

Ioiiatolvl Guardian. Two Coal; 1mm Guardian. Iouaiiad ill!

may well be suspected of

do

Plastics open- llp new vistas if air specili

OTTAWA, Alli’. 7 -—(CP) —- rhatlos are opening up new vim; of speed in the air on 1h; basis cf teats canted out pm, Royal Canadian Air poi-cc officials told The Can- uilan Press today.

Hints who have flown the first piano assembled in Can- |da with an ail-plastic fuselage have reported an addition u! from 15 to as high as 50 miles per hour to its cruising speed.

The plane, an Avro-Anson, is gquipped with one of two fuse- lages sent here from Bendix Field, N. J., wherc they were manufactured by the aircraft research corporation under the process invented by E. L. Vidal

The Dominion Government last year obtained exclusive rights to the use of the pm- ress lir Canada. A government- iiimcd plant in the Bellevilie, 0nt., area is expected to go into production on plastic plane parts latcr in tlie year. it was learned from the munitions lrrl supply department.

increased“ speed of the spec- iallr-cqulppcd plane ls attribut- td by tlio air force to its light- ness anil reduced wind resis- tance. The ordinary fuselage of the eirtsmt is of metal tubing covered with fabric,

lxiswPowers Try diversion in loutli America

Plotting; prop- aganda intended to disturb U. S. aid t0

Milka. Associated t i BEGG . Colombia. effing. 7_ “Pl-Uh initic sources licre ex. . . on tc:lny' that the ‘itarian manifesta- cnd of South linked

_ one America i1 the other was

“FAIRY

FF-"TPQRT

with an Axis iiltffiion during

effort to create a ‘I the ‘my, a crucial period

They .~.ud that the combined cf- ml 0: ill ‘c manifestations. which ulurtil alcizvd plotting against

i. 501i‘ in Bolivia and Argentina "i" "i W“! n propaganda drive itlhttolomlifn. was intended to dis. n American assistance t0 Tf“ if: I1 rinrl Chino.

‘[19 dilhriiiinis with whom this

11.61‘ has dncusscd discovery of ‘ iucnis appeared in com- cnmuf- that Axis agents _ n hemisphere iverc lmder ormrs to cause the stir =31:

(Cuiitiiuicrl on

“Protection” for French Colonies?

i l i i

page 3. Col 2)

“VICKY. Aug. el-llavlcliy- prnconsui. Gen Max- lnd vie-Rand. from North Africa mm cc Premier Admiral Jean all from Paris was awaited m ‘l’ b1 the Vichy Government m lgimrtant. consultations with "H" 0n focusing on France's "n possessions. welEand and Dorian arfex- mild here tomorrow or Satur-

ught Paris press demanded that: remainder of the French Ern- m Elf?- outside "protection" as ‘m: Indo-China did in the "lent with Japan.

Coming Events

h“ for Notices in this column 3 cents per word.

"Tented u» buv Chickené

so l lime Cold Storage L-ai Ji-li-‘lvf. ‘I

hmiuimfii 18th. Tea Party at West

WMI. L-IBG-B-B-F-IZ-ll-IC. “l” Cream and Dance in. ions Till. Friday. L-liit-B-fl-U.

{August 19th Tea Party st Brae.

"ill flue following day,

innit

‘L-IBB-B-B-fl-ll-it-ld. firlottetown Girls Band Cake

"J1me i-f “""""°t.r%3!ifl‘.“il:

a ‘iwflnied ro-BT-aoi — ogna Cattle Eml ind Veal alvcs. all grades

cc

'l—rAPi-Arrlval '

Threaten action If Nationals Are expelled

London sources decline to comment on report Britain urges expulsion.

NEW YORK, Aug. 7 —(APl Representatives crf both the NBC and CBS in Ankara. Turkey, re- ported tonight that Germany has threatened to sever diplomatic re- lations with Iran if the 2.500 Ger- man nationals in that country are expelled, a course which Britain has recommended.

The CBS representative. Farris- worth Bowie, said in s. broadcast that some German business men already are sending their wives and children out of Iran.

Martin Agronsky. NBC represen- tative, said reliable diplomatic mur- ces in ‘Iurkcy informed him that the British minister in Iran, in conjunction with the Russian gov- ernment, has informed Iran that Britain must insist on the expul- sion of Germans.

Authoritative sources in London sa'd they had no confirmation of

..a German note to Iran and de- __

clined to comment on the report that Britain is insisting on expul- sion of the Germans.

Oanailian Army Rcclaims used oil

OTTAWA, Aug. 7 -(CP)- Oil used in army trucks and tanks at the larger military camps in Can- ada lsbelng reclaimed for use over again, Francis Forweil, assistant master-general of the ordnance, srild today.

Mr. Farivell gave evidence before a sub-committee of the spccal parliamentary committee on war expenditures and sairl the iivniy is using the same reclaninlicit meth- orls used by firms which operac large fleets of trucks and buses.

On every 1.000 gallons of new oil used by the army, $200 coubi be sired by reclamation of used oil. In iidziitlnu to reclaiming its own used oil the army was also rc- cloiining oil SlilYfiiifld to it by the sir force and l “g the reclaimed product in its motors.

Cost - of - living Index expected To show increase

OTTAWA, Aug. 7 ~10?) -_Gov- criirncnt officials, keeping anxious \\".1if‘il on the course of prices in Cuuurlo in relation to inflationary tcndcnclcs offered tonight the pre- diction ilint another compnrativ'e- iy sharp rise in the dominion bur- eau of statgstlcs ccst-of-llvlng in- ciex may appear WITH the figure for July 1 is calculated.

New figures are due in llze next few days and the bureau's montn- ly cosi-of-living index is of great import. to Canadians because i116 government's principic of cost-oi- iiv iig bonuses is anchored to it.

Where employees are dissatisfied with wages in relation to living costs they may ask the labor da- partment for a board of concilia- tion to investigate their dispute The hoard decides whether or not a cost-of-llving bonus is warrant- ed, payment by employers being at the rate of 25 cents n week Der worker for every point the bonus rises above 100.

On June 1 the index was 110.5 on the basis of the 1035-39 equalling 100. The rise of 1.1 points from May 1 was described as an “un- usual increase."

government statisticians hesitated

would be as great. but the eonsen sus was that. ll wpuld be "compar- able." The increase from June 1 to July 1, i040 was .'l Point.

VICTORIA. Aug. Duke of Kent reached the farth- est west point of his Canadian tour late today, 211.9991"! "m" 3" airplane at the Patricia Bay land. ing field near here late this after- noon.

Previously twin-engined Lo craft carrying the tour oi schools 6119"!!!‘ British Commonwealth Air Train. m“ p1“ landed n‘, the civic Iii’-

at Vancouver the

d under the

"w. wrim g _. Om fiction. Island C-iéi

m. after it. iiiiZilt over the Roc- from Calgary-

Wlth only partial data available,

to suggest that the July l increase

Duke reaches Victoria

'1~— f OP) -—'I‘he

ckhecd 12 air- Duke on his

Covers Prince Edward island Like the Dew

MAXIMS

07A

MERE MAN

An honest man will receive nti- ‘tllae: money nor praise that is not i115.

CHARLOTTETOWN, CANADA, FRIDAY, AUGUST 8f 1341

July shipping Losses lowest In past year

NEWCASTLE, Aug. ‘T—(CP)_ A. V. Alexander. First Lord of the Admiralty, disclosed tonight that convnfl. planes and patrols in the North Atlantic have cut Britain's July shipping losses to the lowest in more than a year.

Although Mr. Alexander are not give specific figures, he said that “the month of July is the best we have had since I have been at the Admiralty," and he has been at the Admiralty since May 12, 1940 when he joined the Churchill government,

Prevously the lowetit month under the Frat Lord was Jan- "IFY. 1941. when 306.002 tons of BritLsh. Allied and neutral ship- Ping were sunil. June, 1941, W3] the next lowest with 329.196.

"But. that does not mean we can relax our efforts," itlr. Al. cxnnrier told an audience during a political speech. "w; want, more fast destroyers and cor- veites and quicker delivery." '

ilc dlsclwed that the ship. building yards of the Tyne and Tees have produced and deliv. cred at least 750.000 tons of new ships since war began.

Two Airmen Killed in Moncton crash’

MONCTON, N. 13., Aug. '1 —(OPI —One student pilot virus instantly killed and another died of injuries

Cflllndlnn Air crce Avro Anson training planes from N0. 8 service firing rriiniiig sclisol here collided and craJ ed over the Moncton alr- port.

Lac. E. J. Stanley, whose next of k'n is J. I-l. Stanley (75 Cownn Avc) Toronto, was killed instantly Lac. F. D. Gcidard, whose next of kin is F. qeldard, (4 Goodwcod Ave.) Toronto, died after being ad- mitted to hospital here.

The planes were approaching the airport from the nort-h when ire collslon occurred and both ships crashed to the ground a short dis- tance from the runway. The planes were flying at. an altitude of about 250 feet and dropped 5o swiftly that neither pilot had an opportunity 2o cscapfl by parachute.

One of the pilots riled instantly in the crash arid the other was taken from the wreckage of his plane and rushed to hospital here where he died three hours later.

Nazis claim

BERLIN, Aug. '1 -(AP) - The German radio tonight. broadcast an unofficial chim from the Rus- sian front that Nazi troops had en- circled Kiev. the industrial capital of the rich Soviet Ukraine.

The dispatch, from s propaganda company of journalist reporters which travels in the front lines, claimed infantry units had reach- ed the most advanced lines of mechanized forces, which were said to have approached within 12 miles of Kiev some time ago.

The German high command con- tended yesterday that the Gel‘- miins had driven a wedge to the gates of Kiev.

Germany's high command rc- counted at. length today phases of the battle of Smolensk and again listed Russian manpower losses in seven figures but maintained sil- ence on what the reported victory cost the Germans or nmirlr 11°" it will weigh in the scales of this bloodiest of all Nazi campaigns.

"Our loses were moderate. those of the opponent extraordinarily high," was all the communique said of the price the Germans paid.

The stubbomnesa of Russian -e- slstancc was repeatedly referred to and the communique acknowledged that the Germans in winning their success had met "the moot difficult supply problems which were of moat declsive importance for the [continuance of our operations."

d

received tonight when two Royal i

squall.

i l

MILMNOCKEI‘, 110., Aug, y _. (AP)- A forest fire ate through dry timber at. Togue Pond north or here tonight with such fierceneeu that fire fighters conceded only rain could check its spread,

Chief fire warden Harry G. Ting.

flame from land and air, said it was "humanly impossible to stop it." Willie 200 men {Ought the Togug Pond fire. which had seared the 90D 0f Trout Mountain and was "@1113 toward a set of sporting camps on Millinocket Lake, a new fire broke out. at Chesuncool: and started advancing toward Rlpogcn.

us.

A girl scout camp in the vicinity of Togue Pond was guarded by a dozen men with puynp; 5nd me 130 girh were ordered to pack for possible evacuation,

The fire ln the area. became so intense, a search for the body of Mrs. Meredith Wiiterdink of Hart- ford, Conn., had to be temporarily abandoned. Wilterdlnk walked out oi’ the wilderness yesterday to re- port that hls wife. Ruth. drowned in lake Caucomgomcc Monday sf- ter their canoe capsized in a wind

itiovenantcr is ‘New British tank

LONDON. Aug. 7—(CP)—The latest British tank to be taken off the secret list, a 15-to iii-ton sis- tcr of the slightly heavier Crus. acler, has gone into mass produc- L011 and has been named the Covenanter by Minister of supply Lord Bcavcrbrook, it. was an- nounced tonight.

The Covenanter speed or‘ 30 miles an hour with remarkable manoeuvrabillty, ex- cellent armor and formidable fire. power, the announcement said.

combines a

German Raiders

l Over _ Britain

Kiev encircleil ~-

LONDON. Aug. t-(Prldayl- tAPl-Getman raiders bombed a northeast Scottish town early to. day, causing a number of casual- ties. Bombers also were reported oier East Anglia and the coast icgiohs of eastern England.

Full service honors

lAccordcd pilot

WINNXPEG, Aug. ‘T —(CP) Full service honors today were ac- corded Capt. Alfred James Williams. 38, Atlantic ferry pilot killed 105i Sunday when the Hudson bomber be was flying crashed near the alr- port, at Moncton, NB. Sqdn. Ldl‘. H- l-l. McFarlane, of No. 2 training command of the Royal Canadian Air Force. con- ducted the funeral service.

Officers from no. a Wireless Training school here were honor- ary pallbearers to the airman vitvile 40 airmen and a. firing Pa"? °i 1° from the school were in attendance-

Capt. Williams. who learned i0 fly in Winnipeg, went to Toronto about nine years ago and l0in¢d the Toronto Flying Club. Two W"! ago he became an instructor at Melton Air school. and recently he ma been rerrylns bombs" w "t! united Kingdom from this coun- try.

llalns improve Prairie crops

-

MONTREAL. Aus- ‘I --(CP) Light t0 heavy rains over mm! dil- tricts of the Prairie Provinces have proved beneficial to late sown crops and pastures, the Bank of Mon- treal reported today in its periodic summary of crop conditions.

In uic Maritime Provinces, weath- er conditions continue favorable and vmils are making good pro- gress. In British Columbia, thresh- ing of wheat has started and an average yield of grain crops is ex- pected. Roots continue to make lilt- lsfactory promos. _

ley, after inspecting the wall of

Protestant chaplain ,‘

1o PAGES’

Annual lubscriptiou Delivered, l6.00 By Mull: P. I. L. H.001 Canada and IJ. B. 86.0!

ll. S. Senate gives Approval to longer Active Service Bill

Fate of hotly dis- puted measure uncertain in House of Representatives.

By Richard L. ‘nu-nor Associa‘ ‘ Press stsrr Writer

WASHINGTON. A118. ’f —(Al>l-- The United states Senate tonight approved legislation prolonging the active service cf draftees. militia- men. reservists and army enlisted men by 18 months with a pay raise of $10 s month for all men after they have completed one year in the army.

The bill, hotly disputed for more than a week, went through by a vote of 45 to 30, and now goes to the House of Representatives where its fate is uncertain. Many House members are reported to favor a less drastic extension cf service

the senate measure.

Until the last minute. admlniir _ tratlon forces were in secure com- mand of the situation. After de-

and a 12-month extension, they ob- tained approval today of the 18- month period by a vole of 44 to 28

But then, just before the fina‘ ballot. the Senate disregarded the desires of the democratic leadership and wrote in an amendment pro- viding for the $10 monthly pay rflse after s year of service. (The present basic pay is $30.)

The amendment was adopted 39 to 34. Just previously an amend- ment calllng for a 25-per cent psv increase was rejected 37 t0 36-

There were some questions as to the effect of the amendment which was approved. Some war depart» merit attorneys expressed the op-

(Contiriued on page 3, Col 4)

Nouse to house Bread delivery To be continued

OTTAWA. Aug. ‘l-(CI-‘i-The Wartime Prices and Trade Board today assured bakers throughout Canada there would be no order for the discontinuance of house to house delivery of bread in the immediate future and if it - came necessary no steps would be. taken without giving the bakers ample notice.

The Canadian Press last night carried an Ottawa dispatch stat.- ing a board member said it might become necessary tc 500p house to house delivery cf bread in order to keep down the price to con- sumers as had been suggested in communications to the board. The official today emphasized that so far the situation had not developed which would require such action and that. no one could foresee whether it. would be ne-

06558.11.

lii-tcrpreting

(By Kirlre L. Simpson, Assoc- iated Press Staff Writer) The latest chapter in Hit.

let's amazing story of Russian

armies destroyed falls to fur- nish convincing evidence of smashing German victories but it may explain why the main Nazi attack has shifted southward toward the Ukraine.

It is not yet clear whether the Russians still hold the great. bend of the Dni r-the Or- sha-smolensk-Mog lev triangle.

If they do. the Germans’

chances of pressing on toward

Moscow are not bright. 1t may

have been tough going there

that led the Germans to make

a radical change in their plLns

and strike southward below

Kiev at Red armies holding the

Black Bea flank. .

The German radio has broadcast a claim that Kiev is already encircled. intimation: from Berlin that Hitler has gone to the Ukraine front. southwest of Kiev. belu- out his declaration that a turning movement via Bel Tserkov in an attempt tc sweep the rel- ion between the Dnieper and the Dnieater to the Block Bea is in progress. It also serves to throw light on the Nazis‘ fail- ure to widen their boasted gains in the Smolensk area.

The most. recent Hitler but. ietin told of German advances

than the 1B months provided in -

testing proposals for a six-month .

Nigh Flyer Style

‘S;

30,000 feet over enemy objectives.

Nazi Airdromc, Ships bombed‘

i German night fighter shot down; Industrial

towns bombed.

By Pat Ussher Canadian Press Staff Writer

LONDON. Aug. 7——(OP)--'I‘he Royal Air Force bombed a German alixlrome at st. Omer, German- held France. German shipping and other targets near Gravclines to- day in two dayiigfat offensive sweeps that cost Britain 10 fighter planes and the Nazis four, the Air Minis- try announced tionight, No bombers were 10st.

The day's assaults followed Wed- nesday night's storm-defying r on northwestern German indu=-’ trial centres during which an R.A. ‘ F‘. bomber s 0t. dcwn a Junkers B8 officially described as a Nazi night fighter. The twin-engined Junkers 88 originally was designed as a1 dive bomber, but the Germans‘. seem to have converted it- to night fighter similar to the British. Havoc. also originally a btmber.

(Continued on page 3, Col 4

International At A Glance

(By the Canadian Press)

MOSCOW- Russians say their

lines holding. call German triumph communlques “Arabian Fairy Tales."

BERLIN- Germans repeat stor- ies of past victories, saying nothini! of present or prospective operations.

LONDON ~Brltaiii's military aid to Thailand in case of Japanese attack will be determined by ev- tent of Iinitcd States willingness tn aid with action stronger than bloc- Ikade, London hears.

LONDON—- Commons recesses for month; R. A. F. pounds invasion coast, German cities.

NEWCASTLE - Shipping losses lowest in year in July first lord of admiralty A. V. Alexander says.

N. B. cans jam For overseas

SAINT JOHN. N, 8.. Aug. 7-- (CP)- In canning 12.288 pound of strawberry jam in New Brunswick to be shipped to the troops over- seas, the provincial Red Cross ex- ceeded its quota 8.000 pounds by over 50 percent, it was announced by Allan McBcath, chairman of the provincial jam committee. The Red Cross is going to continue to make more jarn this year. he said. and plans are now well underway for the making of apple jelly in the fall.

The strawberry jam was made at three centres in the province. saint John-Rothesay, Moncton and Back- vlile. The Saint John-Rothesny r'.'=- trlct. produced 6.424 pounds, the Moncton area packed 4.476 pounds and the snckvilie centre with the smallest D0pllil\"o‘1l1, totalled 1.388 pounds of jam. Each district ex~

‘i

ceeded its quota.

kThis attire adorns RAF flyers to . eep them in OXYEHI when soar- ‘ wo mj T“ - in: in a Boeing Flylng Fortress? u ed iv ie termed

Jln day raids”

Parliament

iniiis". soviiarsiiit [iEllMAN ctiuivis N__AZIS WARN IRAN

Believe Only Rain Can Halt Fierce Maine Fire

Fire ¥flrden said humanly impossible to stop it. reatens set of sporting camps 0n Millinocket Lake.

Reds Savagely

Holding On All Ba ttlefronts"

Moscow lists material losses for both sides; Says Berlin claims only to bolster

failing German morale.

MOSCOW, Aug. 8—(Friday)—(AP) - The German army that overrun most of Europe before tackling hug‘ Soviet forces now has lost more than 1,500,000 men to Russizes ti0tl,00tl, and the Red army still is savagely hold- mg its own on all battlefronts, Soviet authorities art- 1 nounced today.