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THE CHINA MAIL, MARCH 15, 1937.

SMASHING REBEL DEFEAT

Italian Troops Alleged To Be In Full Retreat

Workmen are shown sealing the entrance to a church with bricks and mortar in Spain, where churches have ceased to exist as such and have been taken over by the government for storage of war supplies.

NAVAL

BUILDING RECORD

In spite of the fact that the new construction now in hand for the British Navy is three times as great as it was a year ago all work is well up to schedule, writes Hec- tor Bywater in the "Daily Tele- graph.”

New records are likely to bel achieved in the delivery of naval tonnage now in hand. The average time taken in building cruisers and destroyers is already approaching that of the war-time period.

Although the commissioning date for the new battleships began on Jan. 1 is understood to be early in 1940, they will probably be ready for service well in advance of that time. Quick building means cheap building, and large sums will be saved by the speed-up in all classes of naval construction.

Leading The World The manner in which the ship. building, naval armament and asso- ciated industries have responded to the sudden call made upon them by the new programme has agreeably surprised naval circles.

It is now realised that the na- tional resources for producing war-

ALBETSLEYQELLIYEK¿ELEHESSELES

Entire Defence Loan To Be Spent In 1937

Paris, Today.

The whole of the new French defence loan will be spent be- fore December, said M. Edou ard Daladier, Minister for National Defence, in a broad- cast last night.

Twenty-six per cent of the loan, he said, would be spent on aviation, 28 per cent. on the navy and 46 per cent on land forces-Reuter.

SOVIETS HUGE GOLD RESERVES

the

Ground Regained In Counter-Attacks

Valencia, To-day.

The Italians attacking on the Guadalajara front met with a stunning defeat yesterday and were ter- ribly punished by Government aeroplanes, accord- ing to a communique.

IT IS STATED THAT THE ITALIANS ARE IN FLIGHT AND SUFFERED HUNDREDS OF LOSSES EVEN HEAVIER THAN YESTERDAY.

It is also reported from tions for relief of the capital Madrid that the insurgents' pro-effective, since well-organised coun gress towards Guadalajara was ter-attacks are virtually impossible definitely checked yesterday under prevailing conditions.

morning.

He confirms that an acute short- Government troops, it is reportage of ammunition and provisions ed, have how taken the initiative exists in the capital-Trans-Ocean. - and have recaptured three miles of the Aragon road.

REBEL ADMISSION

Regular Army To Be Organised

London, To-day. The Government success in this

Spanish Government supporters sector is admitted in Salamanca by.

are adopting heroic measures to the rebels, who state that a fierce

stem the insurgents' onrush. the loyalist counter-attack led to

Lieutenant-Colonel Rojo, former evacuation of several villages by Chief of Staff to General Miaja, the insurgents.

commander-in-chief, has been The Government forces, it is an-appointed chief of the Government's nounced, consisted of four brigades, General Staff. and two battalions (totalling 10,000 The Catalonian President, Senor men), and were supported by thirty Companys, has ordered the rear- tanks and a large number of planes. guard to hand over their rifles imme- diately for use in the front line, and POSITIONS EVACUATED

Madrid has appealed to the This force attacked Trijueque and Catalans to assist Madrid with the surrounding cedar woods, in men, arms and food and accelerat which the insurgents were entren-ed formation of a regular army. ched, from several points.

Fighting continued for several hours at the end of which the re- bels were forced to evacuate their positions.

IN SNOWSTORM

Rebel headquarters state that the town was re-captured later with the assistance of mechanised units but that the insurgents were again dri- ven out.

The whole engagement was fought out in a blinding snow storm. Reuter and Trans-Ocean.

"DAILY HERALD” REPORT

London, To-day.

Reuter.

ARAB VIOLENGE REVIVAL

JERUSALEM, TO-DAY. ANOTHER WAVE OF ANTI- SEMETIC TERRORISM HAS BROKEN OUT IN NORTH PALESTINE.

Following the murder: on Saturday of two Jewish shep herds comes the ambushing of three Jewish settlers in the hills: The acute dangers inherent in in the Tiberias district yester The Soviet's gold reserves are

the loyalist defence organisation at day morning. now the highest in the world, bar-Madrid, in view of the failure of They were returning home after.

Moscow, To-day.

ring those of the United States, it was officially stated yesterday.

The exact figure is not given but officials state that the sum exceeds £1,400,000,000-Reuter.

Death Of Dr. Arthur Huebner

Berlin,

attempts t

to establish centralised attending a meeting in the Yavneil control over commands and distri-settlement when a fusillade of bution of forces, are causing the shots rang out. Madrid authorities to make further One man dropped dead and one efforts to bring system into the de-of his companions, both of whom fence.

were badly wounded, died later. BLOODHOUNDS ON SCENT

Bloodhounds are being used the police to trace the perpetrators of the outrage.

This is revealed in a message to the newspaper "Daily Herald" from its special correspondent on the Ma drid front

The Government authorities,

ships and their equipment had been The death occurred yesterday of underestimated. Given continuity Dr. Arthur Huebner, the famous states, have issued a decr

he

of work over a reasonable period, philologist, at the age of 52

ing a thorough purge" the the industries concerned will have Dr. Huebner was professor of Ger- munist Party and labour syndicates no difficulty in supplying every-man philology at Berlin University of unreliable elements. thing the Navy needs to restore if and was editor of a German dic-The to full strength.

tionary.

Measures are being taken to member of the remedy the shortage of skilled Academy of Science, he labour, which is rather marked in a

entitled Germa

certain districts. The difficulty is val Texts. Reuter being met to some extent by em ploying labour-saving devices.

that England still leads

There is ample evidence to sup-world port the statement Hoare, First Lor

Samuel San

don to hand arms still in vate individu

requests the popula

all rides and other

OPEN DISSENBION-

of pri-

lent states that con- nd the front and

open-disputes between leaders are rendering all ac

The authorities are inclined to believe that this new outbreak of

terrorism is in some way connected with several acts of sabotage the past week, mostly near Jaffa Reuter and Trans-Ocean.

The Generalissimo.

day

Generaliaximo: and Mada

Chiang- king yes

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