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Mason City Globe-Gazette (Newspaper) - January 7, 1942, Mason City, Iowa NORTH IOWAS DAILY PAPER EDITED FOR THE HOME COUP DEPARTMENT Of HISTORY AND ASCHJVES fo 01 Nt S I A HOME EDITION VOL XLVIII ASSOCIATED PRESS AND UNITED PRESS FUtX LEASED WIRES FIVE CENTS A COPY THE NEWSPAPER THAT MAKES ALL NORTH IOWANS NEIGHBORS MASON CITY IOWA WEDNESDAY JANUARY 71942 THIS 1APER CONSISTS OF TWO SECTIONS SECTJON ONE ASK CRUSHING ARMS SUPERIORITY Drive at East Indies Summary of Budget POWERFUL SEA POWERFUL SEA FORCE MASSES AT DAVAO BAY Rome Radio Report Indicates Thrust May Have Already Started By THE ASSOCIATED PRESS Japans next goal is the Dutch East Indies This appeared evident Thurs day from aU S war department communique reporting that the mikados seaborne invasion arm ies in the Philippines have massed a powerful striking force at Davao bay only 600 miles from Dutch Borneo and 400 miles from the Dutch Celebes A Rome radio report heard in London indicated that the thrust niay already have started de claring that strong farces of Jap anese parachute troops had landed on the east coast of Dutch Borneo W Simultaneously Dutch East In dies headquarters at Batavia re ported that a formation of eight Japanese flying boats attacked military objectives during the night on the island of Ambon site of a major Dutch naval iiase 800 miles south of Da vao The enemy dropped 20 bombs and machinegunned the island the communique said reporting thai three civilians were killed and fourpersons wounded iiIhebulletin also noted lively aeriai reconnaissance Qviathe far JJung the tip off of an impending withthe announcement that en emy planes were observed over various parts the outer posses sions1 Tokio imperial headquarters said Japanese troops who landed several days ago at Bru nei in British North Borneo ad joining Dutch Borneo were ex tendingtheir field of opera tions No details were given In smashing at Amboina the Japanese were seeking to knock out one of the Indies bases from which U S army bombers may have been flying to attack Japa nese warships in the Philippines For the Indies with their treasuretrove of such vital war supplies as rubber tin and oil would be one of the richest prizes in the Far East A U S war department com munique disclosed that Japanese naval units massed in Davao bay included a battleship five cruisers six destroyers 12 submarines and 12 a great er force than would be needed merely to support new landing operations in the Philippines Davao at the southern tip of the Philippines lies 600 miles below the Manila fighting sector where Gen Douglas MacArthurs heroic defenders were reported still hold ing the Japanese at bay on the approaches to Batan peninsula WITHSTAND HEAVY ATTACKS IN PHILIPPINES Wednesdays war department bulletin said General MacArthurs troops were withstanding continu ous bombing and machinegunning attacks on their tight front north west of Manila with the Japan ese increasing their pressure amid heavy fighting The bulletin said al least 45 Japanese bombers ajrain rained explosives on the U S island foriress of Corregidor and on defenses in nearby Batan prov ince attacking for several hours U S antiaircraft gunners were credited with several hits in pep pering the raiders Washington military observers said Mondays assault by U S army bombers on Japanese war ships at Davao probably signalled ths opening of a systematic allied bombing campaign to prevent Ja pan from using Davao as a base for an attack on the Indies Further supporting the beliet that Japans war lords planned an attack on the Dutch possibly as a steppingstone to the report that Gen Sir Archibald P Wave newlyappointed allied comman der in chief in the far east would make hi headquarters in Java where tht Indies capital Batavia is situated At the same time LieutGov H J Van Mook disclosed that the Dutch have long been preparing a scorched earth plan to prevent he Indies oil fields and industries from falling into Japanese hands With a tiny but highly active fighting force the Indies Dutch iFERNANDm An AmericanPhilippine counterdrive white arrow 2 killed at least 700 Japanese northwest of Manila Black ar rows mark the general direction of the Jap offensive on American forces based in the Batan peninsula Broken arrow is the route of possible Japanese landing attack into Subic bay region At Corregidor United States gun ners shot down four bombers Not Quite So Cold Is Iowa Forecast DES weath er mail oflered lowans in the western and northern portions of the slate a measure of hope Wed nesday with a forecast of not quite so cold Wednesday night He must have had his tongue in his cheek uiiiit aiaiu For he promptly listed the cxl axis Russia STEINHARDT1S ENVOY TO TURKS Nominated by Roosevelt in Move to Strengthen U S in Neutral State WASHINGTON Roosevelt moved Wednesday to strengthen U S diplomatic repre sentation in the key neutral state of Turkey and in Americas asso ciate state in the war against the JAPS PUSH ON IN MALAYA BUT PAY BIG PRICE British Struggle to Delay Enemy Exact Heaviest Possible Toll SINGAPORE UR Japanese armored forces pushed forward on the west Malayan front at a ter rible price in casualties war dis patches said Wednesday night in reporting a bitter British battle against fivetoonc odds The British defense forces are puttinc up a successful and heroic struggle designed lo de lay the enemy and exact the highest possible toll for every yard sained by the Japanese the correspondent of the Straits Times reported from the front There is dogged resistance and successful rear guard action which compelled the enemy to pay a ter rible price the dispatch said in reference to the lower Perclc front A general headquarters com munique said the Japanese made some penetration at one point and that their air activity was There was nothing further lo re port from the Sclangor area the communique said and in Pahang state the withdrawal of our forces coninues according to plan Tile British announced Tues day that their forces had with drawn the Kuantan area in Pabanc slate some 170 miles northeast of Singapore and it was presumed that the wilh 1 RECEIPTS Estimated Fiscal Year 1943 I Internal 17261307000 peeled low temperatures as 30 be low zero in the northwest and 15 below in Ihe southern half or the state And that was not much relief for weather tired 1 o w a n s who were having their sixth con secutive day of extreme s u b zero temperatures The mercury sank down almost out of sight again early Wednes day morning with readings of more than 20 below common in the northern part ofIowa What the weather bureau de scribed as a reliable thermom eter on the outskirts ot Dubuque registered 30 below although the official minimum in the city was only 17 Eikader had an unof ficial reading of 28 below Mason City had a low of 27 Charles City 25 Cedar Eapids 22 Other minima recorded by the weather bureau up to a m included Fort Dodge 24 Ames 21 Sioux City 21 Story City 18 Iowa City 24 Council Bluffs 8 DCS Moines 12 Dav enport 11 and Burlington 9 Tuesdays state high was 14 above at Burlington Skies were clear Wednesday He nominated Laurence A Steinhardt now U S ambassador to Moscow to become ambassador to Turkey And lie was expected shortly to name Maj Gsn James H Burns lo the important Mos cow post Burns accompanied Harry L Hopkins to Moscow last autumn to participate in the AngloAmeri canRussian supply and military conferences and is regarded as one of President Roosevelts closest military advisers He has been attached to the lendlease admin istration after several years ser vice as chief liaison officer be tween tho army and the office of the secretary of war Steinhardls replacement as am bassador to Russia had been an ticipated ever since he returned late in November at about the time lo the tan air base in enemy hands Enemy bombers were reported to have atacked Klang on the west coast 00 miles above Singa pore Tuesday but there were no casualties and no damage was caused Singapore had an alert Tuesday evening but no bombs were dropped The Japanese were iol expected to continue their advances long without meeting formidable oppo sition perhaps a twofront war with allied forces striking at their Thai bases from Burma A large and fully equipped force of Chinese had joined British and Indian troops in Burma Informed sources believed they were there for an offensive and it was con sidered likely that the British also would simultaneously open a strong air offensive Wellinformed sources ij recognized the present critical dif ficulties in Malaya but were in creasingly confident that air and land reinforcements would arrive soon enough to check the offen sive before it reached Singapore 2 Railroad unemployment insurance act 3 Customs 4 Return of surplus funds from gov corps 5 Other Gross receipts Deduct net appropriation for federal oldage and survivors insurance trust fund i jm Kju uuu Net receipts 18487200000 II EXPENDITURES 1 Legislative judicial and executive 2 Civil departments and agencies Postoffice department deficiency 3 General public works program 4 National defense 5 Veterans pensions and benefits G Aids to agriculture Gross cxp Return of surplus funds from gov corps 7 Aids lo youth R Social security 9 Work relief Gross exp Return of surplus funtls from gov corps 10 Refunds 11 Interest on Ihc public debt 12 Retirement funds 13 Supplemental Total exp excluding debt retirement HI BUDGET DEFICIT Under present tax legislation 42440792300 IV RECEIPTS B rom proposed lax legislation a7000000000 V BUDGET DEFICIT Under proposed tax legislation 35440732300 T VIDEBT Debt retirement 100000000 r VII GROSS DEFICIT Gross defct 35340782300 9500000 297000000 284223000 17852OSO000 1364890000 43487800 707443700 578231000 52786186000 590087000 854050000 100000000 537825000 480075000 87005000 1750000000 293599800 25000000 58927992300 Estimated Fiscal Year 1942 8500000 308000000 240915000 12816080000 872087001 11843993000 41329300 844470700 14000000 713523500 23996525400 578116001 1117082000 235095000 4t2045000 942430000 89002000 1250000000 207177202 25000000 305757BG1G2 Actual Fiscal Year 1911 G814717 391870013 319207200 188945072 8208512535 861300733 7607211852 38487649 782450994 30130553 573050675 li301043105 559255646 1094203130 444446546 1451910183 x 14000000 89GG729l 1110092811 217065000 12710G29823 5103417971 i EFFECT OF OPEUAtlONS ON PUBLIC DEBT 18631603162 100000000 13731803162 35440792300 4368000000 Public debt at beginning of year schedule No4 Increase in Public Debt During Year To meet budget deficit above To purchase obligations of govmtal corps Increase in working balance Gen and spec accounts schedule No Net Increase in Public Debt During Year 39 808 79inn Public Debt at End of Year deduct 706I22466U7 5 48961443535 3019000000 21650803162 70612246697 5103417971 G42GO50Q 51G7G78471 5 42967531037 5103417971 890494520 5993912498 48961443535 52000000000 LINN TO SEEK FARM POSITION Is Candidate for GOP Nomination as State Agriculture Secretary PICTURE OX PAGE 10 DES MOINES D Linn assislanl state secretary of agriculture since Jan I 1939 Wednesday announced his candi dacy for the republican nomination for the secretarys post held now fully by Mark G Thornburg Thornbnrg iasl October an nounced he would seek the nom ination for United States senator Linn is the only announced can didate for the secretaryship so far on cither ticket West Okoboji Country Club Offered to US have already destroyeda total of two Japanese cruisers two destroyers nine transports two merchant ships and 15 planes in the monthold Pacific conflict it was officially announced In addition two Japanese cruis ers two destroyers four trans ports and nine planes have been damaged Imperial Tokio headquarters whose acknowledgement of losses incidentally has been admitted Wednesday that another Japanese submarine has been sunk in the Pacific and a cruiser dam aged in an attack by allied air craft on Jan 4 In central China Generalissimo Chiang KaiSheks hardfighting Chinese troops reported they had slain 7000 moreJapanese in the muddy Changsha Hunan province trap Chinese also reported they had cut the ChangshaHankow rail line running through Yochow 500 miles northeast of Changsha in a raid on Japanese positions Japanese were using the line to pull back their beaten forces which had slipped out ot the trap Chungking reported Defense Savings Stamps for sale nov to be ambassador United States Observers feel that the axis next military move might well be tor Irainmo Rasp I UP through Turkey in a drive to Ihe HdUUHg UdSB USC Mosul oil fields and against Ihc supply route to Russia In Ankara Steinhardt will match wits with one of the reichs top diplomats Franze von Papen who was sent by Hitler as a trouble shooter with the task of weaning Turkey away from Britain and her allies LAURENCE A STEINHARDT to Russia BAN CHAIN LETTERS DES MOINES C Cic carelli United States postal in spector said here that persons re ceiving defense stamp chaffi let ters should turn them over to postal authorities He explained any form of chain letter is a vio lation of postal laws and thai i aiun in jusiai laws and at GlobeGazette business office violatorswill be prosecuted 1 SPIRIT LAKE 120 acre West Okoboji Country club has been offered to the federal government with the proposal the lake it borders be used as an in land naval or army training base The offer was made by D M Sterns of Okoboji through Sen ator Clyde L Herring it was announced by H E Narey chairman of the Dickinson county defense council Narcy said the Club property and the surrounding area can accom modate up to 1000 men now Think Jap Painted Self Green as Disguise to Aid Raid in Hawaii DES MOINES elderly Japanese brought to Queens hos pital Honolulu after the Dec 7 attack was painted green from head to foot Miss Elsie Nutt 24 Des Moines nurse related Wednes day Hospital attendants guessed he had camouflaged himself o he could hide in the foliage and aid attacking Japanese said Miss Nutt just returned home Seeks Burlinjflon Building DES MOINES H Blank of Des Moines president of the TriStates Theaters corp said he is negotiating for purchase of the five story Tama building in Burlington Iowa He said he in tended lo acquire the property as an investment and did not intend to remodel it and construct a thea ter In addition lo servingas as sistant secretary under Thnrn burg Linn has been secretary of Hit slate soil conservation com mittee set up under an act of the 1919 legislature Prior to becoming assistant to Thornburg Linn was field secre tary of the Iowa Horse and Mule Breeders association 12 years and he has served as judge at many of Ihe nations leading livestock shows including the Chicago In ternational He is a member of the American Legion Born on a farm in Shelby county Iowa Linn attended coun try school and then was graduated from the Shelby high school He worked his way through Iowa State college and upon graduation from there he was awarded n fellowship to Colorado State col lege to study animal nutrition He fanned in Shelby county with his falher ranched in South Dakota and served as a county agent in Wyoming As preparedness must be the watchword of the present na tional emergency he said in a statement accompanying his an nouncement so it must be Ihe watchword in every governing office On such a basis 1 submit to the voters of Iowa my qualifi cations as republican candidate for the post of secretary of agri culture With a background of actual farm and ranch operation the statement continued I am also 3 graduate in animal husbandry from Iowa State college have served as a county agricultural agent and during the past 15 years have been closely associated with many farm and other agricultural groups through my connections with the livestock organizations affiliated with the department ot agriculture Axis Quarters Skeptical of U S Arms Plan Realization Headline in London Yanks Are Coming Typical in Britain By THE ASSOCIATED PRESS Italian authorities Wednesday called President Roosevelts pro gram for 185000 planes and 120 000 tanks in 1942 and 1043 sen sational spectacular of a typical North American brand but ex pressed unbelief in its realization and carefully kept the figures out of he controlled press German commentators vaguely referred to it as a fairly substan tial speech but said in general it was merely a warmedup ver sion of old Roosevelt speeches Germans top were not allowed to know American production plans In London one headline was typical in its jubilance The Yanks arc coming1 These in brief typified the worldwide reaction to the presi dents war program laid before the 77th congress Tuesday in a speech in which he predicted a Will Organize Eastern Fleet Defense Savings Stamps for sale at GlobcGarntlc business office lolal victory over the axis Axis quarters were cautious skeptical of the programs reali zation Ihc united nations and their friends showed a lift in morale V At Washington white house of ficials said the telegraphic re sponse to the speed attained an alltime reflecting fvaor ablc acceptance by Americans This is a work and fight speech was the succinct remark of Prime Minister John Curtin of Australia A German radio commentator said Roosevelt had enriched his arsenal of phrases by the quota tion Tiie world is too small to provide sufficient livimroom for Hitler and God Obviously lioosc vclt believes there is sufficient space for him to rule a Gods governor with the universe as his final goal Another German commentator heard by NBC in New York said that about the only thins Franklin D Roosevelt was able to describe in some detail was an armaments program which he is tryingr to realize in the rears lo come He too failed to give his listen ers the details of the figures but he assured them the United States would be unable to carry out the program and would only suffer disorganization of its economic system The Spanish press gave the ad dress front page headlines The only paper commenting ABC I questioned why such vast arma ments were being built so late in the war and said they were insuf ficient to overcome the spirit which animates poorer countries SINGAPORE T Ad miral Sir Geoffrey Lay fun com mander in chief of Britain far eastern fleet has left Singapore to organize the eastern fleet so that the allies may Rain sea supremacy in the far cast as soon as possible it uas offi cially announced Wednesday Weather Report F R BUDGET OF 56 BILLION SETS WORLD RECORD Roosevelt Declares Heavy New Taxes Must Be Levied on Americans WASHINGTON UPj Bespeak nig the nations determination to pay whatever price we must to preserve our way of life Presi dent Roosevelt called Wednesday for a war budget of 556000000000 for the next fiscal year S9000 000000 of new taxes on top of all existing taxes and unprecedented borrowing that would send the federal debt above 3110000000 000 This is i war budecl he said in his annual budget mes sage lo conercss Its magnitude and composition depend on events a the baUlcfronls of the world Nothing short of a maxi mum will suffice t cannot pre dict ultimate costs because I cannot predict the changing for tunes of war I cau say only that we arc determined to nay whatever uricc we must to pre serve our way of life He added at a press conference that H was Die biggest budget in the history of the world Govern ment estimates indicated it was nearly double Germanys annual war expenditures it called the president said for a stepup in the rate of war spending from the current 52000000000 a month to 55000000000 a month To the United Slates armed forces and their allies thS presi dent promised that the budget meant a crushing superiority of equipment To the public he said that it meant heavy new taxes because a fair distribution of the war bur den is necessary tor national unity It also meant lie declared that the people would have to do without many conveniences and luxuries so that he nation may shift labor materials and facilities from the producton of civilian articles to the produc tion of weapons and other war supplies Technically the budget con cerned only money to be paid out ot the treasury However in sct ing up the 850000000000 war program the president said that beside an estimated 552780186000 out of the treasury he believed that an additional would be spent out of the purses of the Reconstruction finance corporation and other nonbudget ary agencies for war purposes The treasury budget called for total expenditures of 300 in Hie fiscal year beginning next July 1 This included the huge war item plus 31750000000 for interest on the public debt and reduced allotments for work relief taim aid governmental running expenses and other nonmilitary costs To pay for this President liooscvclt estimated there would be S1MB7200000 of taxes from existing tax laws asked 57000 000000 of new general taxes not counting increased social security axes which do not count as revenues and pro posed borrowing ot 000 from social security and oth er government trust funds and from the public In the current fiscal year he figured treasury expenses would total S30G75796162 including 523395525400 for defense and calculated that taxes would yield 511943993000 leaving a deficit of 518731162 to be covered by borrowing This meant that the World war spending peak of 518522000000 will be passed this fiscal ycajand FORKCAST MASOX CITY Fair and continued cold Wednesday night and ui mi Thursday Lowest temperature aliioximatcly tripled next year Wednesday night in illason City j nn 2o below j GOO000000 lo get the huge new I O W A Clear Wednesday alteri vai way and said noon and Wednesday nigh not j amount af the quite EO cold west and north j toward maximum war production In his tax program the presi dent asked for approximately S2000000000 of added social portions Wednesday night MINNESOTA Fair south partly cloudy north portion Wednesday sccuriiy taxes plus S7OOoTodo7 aflei noon and Wednesday night excess profils not so cold Wednesday night and norlhwest portion Wednesday afternoon IN MASON CITY GlobeGazette weather statistics Maximum Tuesday a Minimum Tuesday night 27 At 8 a m Wednesday 25 At 2 p m Wednesday 0 below YEAR AGO Maximum 13 Minimum i Precipitation 01 Snowfall trarc estate and gift and excise taxes lie approved of almost any kind of new taxes except a general sales lie indicated that even that type of levy later might become necessary on a temporary basis Saying thai taxes were import ant not only to finance the war but also to prevent inflation ho asserted any tax is better than an uncontrolled price rise The president however of fered a little bright news to the general public too He said the nations productive ;