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Mason City Globe-Gazette (Newspaper) - August 5, 1941, Mason City, Iowa HOME EDITION MASON CITY NORTH IOWAS DAILY PAPER EDITED FOR THE HOME DRIVE BETWEEN LENINGRAD AND MOSCOW MADE Germans Say Encircling of Russian Forces Near Kiev Is Under Way BY THE ASSOCIATED PRESS Oerman panzer forces hav driven a new 70 mile dpep into the heart of Ihe soviet de fense system between Moscow an Leningrad the Russians acknowl edged Tuesday and Berlin reoorl ed that the 45 day old contlict had developed into two vast bat ties annihilation Nazi military dispatches said ihc encirclement and tfestructiot of large red army forces south o Kiev the Ukraine capital wa well under way and indicalec that a cleanup in the bloody Smo iensk sector 230 miles west o Moscow was in its final stages Adolf Hitlers field headquar ters reported that red army units attempting to smash their way nut of a trap in Die Ukraine had been annihilated The communique also declared m a widening break through the region 100 kilometers 60 miles southeast of Smolensk new enemy power group was partly annihilated and partly destroyed agency reported that 6000 Kussian f prisonersWere captured Jn the Ukraine along with 50 can non and 368 trucks The gravity the red army suuation south of Kiev was indi cated in a DNB dispatch asserting mat German troops had captured 43 soviet defense bunkers On the central front DNB said Oerman troops had repulsed des perate counterattacks by tank ed soviet forces in the Smolensk Kettle The new German thrust knifed to the vicinity of Kholm in thc marshlands 70 miles east of iasl weeks battlefield at Novorzhev a red army bulletin admitted Kholm lies 180 miles south of Leningrad and 250 miles northwest of Moscow Authoritative quarters in Lon don asserted that fierce soviet resistance had compelled the Ger mans to abandon frontal attacks in the Smolensk sector and to di rect their fury in drives south of Leningrad and on the grainriD cnmg fields of the Ukraine Nazi reports from the fron indicated the Germans might b planning to bypass Kiev an drive on to the Russian inriustria center of Dnepropetrovsk 1J miles southeast of Kiev on th Dnieper river Dnepropetrovsk Ine site of heavy armament work and the center of a huge coal iro and manganese producing region A soviet communique agai spoke of heavy allnight fightin in the Bel Tserkov sector 50 mile south of Kiev in the Koroste sector 80 miles northwest o and m fhe Smolensk sector The tmited States meanwhile cast the weight of all economi assistance practicable in suppor of Russias lifeanddeath struggle against tlie nazis Thc assistance pieced by the United Stales would he in mili tary supplies ami implements of defense on a cash raiher than a lendlease basis Russia has the money to pay Russian Ambassador Constnn tine Oumansky was informed Monday night at Washington that thc bmtcd States also was ex ploring the possibility of using American ships to transport some of the supplies Such supplies would go by way of Siberian port of Vladivostok Japan however has hinted broadly she might not look with favor on any war supply shipping to that port Moscow had its I2th air attack Monday night but reported only a few raiders broke through and dropped incendiaries Max Bruns 31 wellknown Norm Iowa flyer and coowner of the North Iowa Flying service died at a local hospital about o clock Tuesday morning follow ing an illness He had been at the hospital since June 2S Mr Bruns was born in Mason City Nov 30 1909 He was grad uated from thc Mason City high schoo and attended junior college and an aeronautic school in Des Moines He began his Hying career in 1939 and barnstormed for several years For a time he U A A inspector and since he had operated the Midway Airport With Ray Brainer as partner he started the North Iowa fty Service with Iowas first Sea plane Miss North Iowa O1 erated at Clear Lake as one of ts clnef ventures Many Mason Cityans had re ceived civilian flight training un der Bruns when the civilian pilot course was offered at the airport ig the past two summers Mr Bruns also conducted pilot train ng courses at Ellsworth junior college in Iowa Falls Mr Bruns was married to Mis June Ell March 16 1930 at Albert Lea Minn Surviving Mr Bruns are his vife Mrs Max Bruns Clear Lake mother Mrs Helene Bruns Rock veil and four brothers Herman Fred and William Mason City nd Carl of San Antonio Tex ind eigh t ni eees a nd nephews mernbef of he Mason City Junior ChambVr of Commerce Funeral services will be heldat he chapel of the McAuley and funeral home at Friday fternoon with the Rev Walter i Kampen of ihe Central Lutli ran church in charge A service Iso will be held at 4 oclock Fri ay ariernoon at St Peters Luth ian church at Rockwell with ie Hev Fred Lanndeck in charge urial will be at the Rockwell emelery The McAuley and Son meral home in charge y HOUSE PASSES HUGE TAX BILL CHANGE LIKELY Senate Discussion Indicates Revisions May Be of Major Type WASHINGTON Ini 53206200000 defense tax bitf which would give the government s biggest cut of the national in come went lo the senate Tuesday bearing a thumping house approv al but almost immediately there was talk that it might yet undergo major revisions U passed the house by the top sided vote of 369 to 30 late Mon day after t had first been stripped of a provision for requiring all married persons to file joint in come tax returns This provision had been counted on to raise about 5323000000 in additional revenue by compelling many married per sons to pay higher surtaxes The defeat of the joint return by a 242 to 160 vole was attributed to a great extent to the criticism voiced by Pres ident Roosevelt wantcd it modified to exempt the income actually earned by either hus nands or wives Members of the ways and means committee who balked at rccom mending the presidents proposal were joined by otherlegislators In nrea fr individual income taxes would be make UP the lost Girl Suffers Cramps Drowns Near Cherokee CHEROKEE with an attack of cramps while swim ming Mary Lou Day H drowned Monday in nearby Spring Lake She is survived by her mother Mrs Mary Day a brother and sjs At the other end of the capitol DGa of the finance committee ev pressed belief the senate would pf H to the contro veited provtsion but would try to hUPhhe elsewhere afb y yt Ot the tax brackets to broaden the base He said his committee would hear an explanation of the bill bv reasury experts Wednesday public h George expressed doubt that the the f any n the fundamentals of the excess house taX Pla the The basebroadening mentioned by George would be in line with President Roosevelts views or the chief executive fold the and meals commiUeo h fhe exemptions for p P Cruise TSn SaO and those for married per sons from to SI 500 M Roosevelt asserted that persons n hose income groups were ea4 MAX BRUNS dies Kensett Boys Threatened Man Hunted dav h Tv th lhe bill Aiould virtu npte the taxes of person i rmilidlc income graduated s mended that only the latter meth od be authorized Besides the direct on and corpora would impose al most 40newor higher excise taxes on commodities and ser raise abou 5880100 These levies included a S3 annual use tax n all passenger automobiles a five pcr ent tav on everyones monthly telephone bill and 10 per cent excises on a host of things such as lue pce jewelry furs cosmetics business machines and musical instruments Responsible officials expect the nations total revenue thisfVcaM year to approximate S nS 1C lo be in excess of ot early Senate Rejects JtoiitDraft to 18 Months Taft s Substitute MRSi MOODY 81 Churchill May Confer With F R JAPAN ADMITS FIGHTING REDS INMANCHOUKUO LONDON Minister Winston Churchill and Harry L Hopkins President Roosevelts leaselend aid are together at some unrevealed point British I quarters said Tuesday i Churchill and Hopkins may be B THE ASSOCIATED PRESS enrotile by air for a conference Manila Hears British Prepare for Possible Swift Move Into Siam WASHINGTON MVThc sen a e rejected Tuesday a proposal U limit the service period of army selectees to a maximum of six months beyond the originalIv set oneyear term The proposal was offered bv Senator Taft R Ohio aw k substitute for pending adminis tration legislation which would permit draftees o heia in service for a maximum of one and a half years after romplei IHR the oneyear training pc V the story tdld by two kenseU arm boys that a stranger ap rarcntly demented had threat ened them then thrown a knife at them on the Roy Clagctt farm wo miles south of KcnscltMon nay afternoon The incident occurred on 110 KoyUagett farm two miles south of Kensett about Monday af rnoon Darrell Claggett 10 and playmate a neighbor boy homas Peterson about the same ge were in the yard in front of he Clagett home when the ganger emerged from a corn o the boys and when they re used to come to him threw a nife at them The boys screamed their cries were heard by an cene The dlsap eared into the cornfield Sheriff Sheimo was called and emediately formed a he fallenlC1 i Rsr These surtaxes would hr in end of the fiscal year In the first 19 days of the fiscal ai Ihe treasury said govern spendmg was 51018509 650 roughly onethird of the annual revenue expected to be addad bv the new or increased levies set up in the pending measure Weather Report FORECAST MASON CITY Partly luesday night Wednesday fair with highest temperature be tween BO and 85 I01VAFair to partly cloudy Tuesday night and Wednesday a lew scattered thundershowers northwest Wednesday afternoon or at night warmer east Wed nesday last were scheduled to one year The army MINNESOTA Partly cloudy Tuesday night and Wednesday scattered thundershowers Wed nesday and west Tucsdav night KarTCr cast cooler northwest by Wednesday afternoon injlc cw yield from individual ncome taxes was expected to mothe neighborhood of 5329000 i year set guardsmen only ilK armv high command recently urged in definite extension of that period TafTs proposal which gave a clear test of opposition strenth for modification ot the pending administration plan would have permitted the army to retain na tional guardsmen and reservists for not more than one extra year Regularly enlisted men could not have been retained beyond the termination of their enlistments raft s plan also would have au Ihpnzed a regular standing army of 800000 men He said these plus selectees national guards men and reservists would pro vide for a total force of i000OOD The house agreed meanwhile o compromise legislation lo defer from military training any selectees who were 28 years or older July i or who become 28 years old or older by any subsequent July 1 without hav ing been inducted AH men now in training who are 23 or older would be released as soon as possible and trans ILLNESS VICTIM Prominent Pioneer of Nora Springs to Be Buried Friday NORA SPRINGSFuncjal serv ices for Mrs Luella A Moodv 81 who died here Monday afternoon following a three months hefal the Burial will be in herformer home at Waucoma The body will lie in state at the Sheckler funeral home from 10 to 12 Friday morning Mis Moody was a pioneer dent having come to Nora Springs it with her husband in lano ifn sources said with her husband in 1899 He n T sources founded the First State bank thnt absence was due lo r oniic utinh inai ence with President Rousesoil It was possible that they already have aiTjvcd on this side of the At lantic Mr Roosevelt is aboard his yacht Potomac off the east ern const An official announcement was made thai Churchill would mil it convenient ti attend lie important war progress de bate in the house of commons and it was that only a mailer of extreme urgency in connection with the war would eanse him to be absent The London Daily Mail said that a very high personage either Churchill or Lord Bca verbrooh would fly United States to confer with Mr Roosevelt f Hopkins whereabouts since his urn from Moscow whore he conferred Josef Stalin on Sussian war needs has been a nystery Tuesday however British quar ers m a position to know said find Hopkins where Churchill is The British sources declined to hint where Churchill might he The official statement of the U S embassy merely was that Hop Kins is resting somewhere in Kins is resting Britain Churchills absence war progress debate from was the an United Slates warships have ar rived in Australia on a training cruise the navy department an nounced Tuesday even as tension in the orient heightened over Ihe reported massing of Japanese troops at Russias back door and the continuance of Japanese pres sure on little Thailand Without reference to the far east crisis die navy said the U S heavy cruisers Northampton and Salt Lake City had arrived at Bris bane for refueling and several days recreation for the ships crews oil a cruise to thc south Pa cific ocean Reports frnm Bangkok Thai land said Thai officials woud not deny that Japan was auply pressure for the granting of certain demands and that Thai land was facinR a momentous decision in her relations with Japan Britain and the United States London reports have said the Japanese were demanding air bases in Thailand within 400 miles striking distance of Britains great citadel of Singapore The Jnpaiiese newspaper Ko uumm by contrast asserted that ihailand was under merciless pressure by the United States and Britain Belief grew jn informed circles in Manila that Britain was making preparations for swift moves to fontrol the key points of Thailand now reported under heavy Jap pressure These circles declared thai tlin nounced by Moj Clement Altlee who speaks for the prime minister in lhe house of commons in Churchill s absence The slalement by Attlee mem nnri M ClurehillX declared thai tlir In the lolmernmSlerS deputy micllt Evc ove in the house followed closely a had arlunllv Daiyi tCrm States to see President Roosevelt Only a matter of HIE hiRhesl Import it was apparenl would and Kra isliimiis nnrls The RAF already reinforced us Burma bases for flank protec tion asainst any airport Japan minht establish in Thailand and picked Australians and the cream of the India regiments have been jllifted by the thousands to the ThailandMalayan border Dispatches from Saigon Freiwh the liouse in place of ported massed on lhe Burma bor prevent Churchill from being present in Ifie house for a full dress debate of the rondui1 of Hie war Attlee said that Churchill had asked him lo make a statement ae an year She was prominent in tr liiough surtaxes stiffer profits taxes and a drastically re vised method of computing them Surtaxes would start at five per cent on profits up to and to six per ccnt on ariv amount excess of that Excess raes which now range n ta to 50 per ccnt would be tcd to run from 35 to 60 per cnt Corporations would be quired to compute their profits before deductin their normal taxes reversing existing aw Despite President Roosevelts contention that many firms mak fflg up to 50 per ccnt profit in heir invested capital vouH be able to escape making an in creased contribution to the de fcnse program the bill would mit corporations to compute their excess profits by either the aver age earnings or invested camta methods The president Maximum Monday Minimum Monday night Bf At B a m Tucsdav 73 Rain Monday A M YEAR AGO Maximum R Minimum Precipitation u EXTENDED FORECAST CHICAGO fore cast for period from 6W p m Aug 5 to p m Aug 9 Upper Mississippi valley Iowa and Illinois Wisconsin and Min nesota except those portions that dram into the Great Lakes The temperature will avcrace above normal much above some southern and western sections Mather warm Iowa Minnesota be ginning of period overspreading remainder district Friday Cooler and Wisconsin Thurs night or Friday Rainfall light Illinois and Indiana derate elsewhere with thunder owe rs beginning Minnesota sPrcadrS remainder Thursday and Friday The j me compromise must yet be approved by tiie senate ft con tained no reference to labor or industry though the original senate proposal provided for seiz ure of plants where stoppages in terrupted defense production The senates overwhelming re jection of thc Taft proposal ap parently paved the way for a vote later in the day on final passage Senator Thomas D Utah called up thc committeespon sored legislation which would ex tend thc service of selectees na tional guardsmen reserves and enlisted men for a maximum of IB months However Senator Burton R Ohio moved to cut the maximum extension to 12 months Speaker Rayburn told the press conference he had changed his mind and now favored legislation to keep drafted men in service for o preoccupation with urgent mat nit AJUA iijti rjoi der ready to cross at a moments notice to join British sumably against any Japanese a lack against British Burma oi lers connected with the war The Daily Mail report was at vi tributed to official circles and i Houriv it appeared that an o sad a very hish personage ffe f a r east j collaboration it was said 3 IN BANK HOLDUP Messengers Robbed in Strousburg Street Loot Is in Old Bills frontier while auUiritaHvc qun leis in London reported tliat Ta pan had substantially reinforced Her Manchoiikuo garrison of a quHiler million men Dispatches from Shanghai said lhe Yellow sea port nf Daircn point of entry to Manchoukun was swarming with Japanese roops horses and artillery anrf that larsrc quantities of muni tions and other supplies werc movine through the MRS MOODV Rivals Aid Shops Shut Down by Tool Thefts DETROIT tool and Sunday ot worth of over the more than one year He said that on account of n o world conditions it would bo un fortunate lo have these selectee discharged upon completion of months of service approximately S500D precision instruments over the weekend resumed full production Tuesday with instruments con tributed by their business rivals Majestic Tool and Manufac turing corporation and the Cen Mnnllacrinc COmPaTy shut down Monday for what appeared to be an indefinite time because their stock of vitally needed micro meters and other precision instru ments had been stolen by thieves uno may nave been saboteurs The money was being laken from the bonk to the postofficc yarns away for return to the reserve bank in Philadcl m exchange for new cur rency As Lewis He in y and Ralph Rheinfels the bank messengers hurried along the street the mese ships hadleft U S Pacifir oits Tuesday and reports from n5 O more flying the flag of he rising vould bo Keen in American Ports for some time Premier Prince Vumimaro Ko fiovcrnmcnt announced warrisk rates rsnemrels the bank messengers wr announced a hurried along the street the gunouollnK of Present warrisk rates men drew up alongside in the se L n1annc insurance effective AUE nan jumped out menaced the I mcreasinijr dangers to messengers with submachine A J police said had dlffcrcn the the car i ter gap into New Jersey hc s KILLED BY CAR BURLINGTON Holverson 6 only il fiicrt Monday night shortly after he was shuck by an automobile In Sccrclarv of Male Corikll Hull said Mon day thai immediate considera tion would be given to flic prob lem of removal of Americans from Ilic orient More than 600 slramled in whcn me Tokm covernmcnl sudden ly cancelled the departure of Japanese vessels for thc United TitutCnl rficiil sno Akiyama note forces in China deprecated Kunio an fn
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