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THE prefix "Special to the Teler is used by the Hongkong Telegraph" to
OIL FOR AXIS Great Transport Difficulty
ZURICH, Jan. 1 (Reuter)--The difficulties surrounding the transport of Rumanian patrol to Germany are discussed in the "Gazette de Lausanne, which quotes the "Petroleum -News Service."
It points out that the freezing of the Danube, which occurred, un- usually early this year, leaves rail-
January 2, 1941.
China Station Chief On Pacific Raider
British Advance In Libya
FROM PAGE ONE
quantilios of army stores of
sorts. -500 Rescued
Special to the "Telegraph" SINGAPORE, Doc. 31 (UP)—It is officially announced that 600 persons have been rescued from Emarau Island in the Bla- mark Archipelago where they were landed on December 21 by an enemy raider.
They comprise the passengers and crews from ships sunk
alt
Big Guns Batter Bardia ("NEUTER" OUTBIDE QARDIK), Jan. 1-Dig guns, aro thundering throughout the night, their Cashes illuminating the sky, and short but. intense patrol skirmishes make this battle of Bardla a more active affair than would appear from the strained daily communique.
+
ways as the only means of transport, by enemy raiders in Pacific waters over a period of some months. Inardia seem to be well and truly
and this is limited to owing to lack of tank waggons. Even It Germany could bring additional waggons to Rumanth, many would have to be used for petrol- distribution within Rumania,
Those left on the island have now. been safely landed at an Australian port. They include British, French and Norwegians including 70 women and seven children who are survivors from the sunken Rongitane, Holm- wood, Notou, Ringwood. Trionn, rallel
Triadic, Trinster, Vinni, Turakina and Komata.
Recent earthquakes have also severely damaged Rumanian ways,
* Italian Complication 1: Italy, the paper continues, provides further complications as she is com- peting with Germany for the use of the already over burdened Rumunton railways fact of first importance, in view of the gravity of Italy's petrol situation.
FINANCE POLICY IN U. S.
The 20,000 Italians besieged In
beleaguered now that our outposts fully control the coast between Bardia and Tobruk, while our patrols aré regularly operating in the area south ofy Tobruk, about 75 miles inside Libya.
Bardia is certainly being heavily ahot up, for in addition to bombard- ments by the air force and fleet, it is now also commanded by Britisit artillery
the By way of reply, Italians have established an 11-inch noval gun, fring 100-pound shells, in sector of Bardin's defences.
British troops have, affectionately christened the gun "Bardia_Bill."
Advanced Patrols
No Inflation the southern
In response to questions, the Com mander. In Chiot of the China Station, Admiral Sir Geoffrey Layton, stated that the situation is not nearly as alarming as it appeared at first sight. It must be remembered that the 500 were landed on one island WASHINGTON, Jan. 1 (Reuter).— and were survivors from a number The Federal Reserve Board is to seek Stocks accumulated in Italian re-
of ships which were sunk over atrom Congress powers to
prevent fineries, it asserts, cannot be con- period of many months and it must inflation arising from the United sidered safe and the situation is not be thought that the sudden States defence program.nc rendered more difficult by the abau-waves of sinkings had occurred in donment of military stocks in hurried Pacific waters within the last few retreats while Italy's dependence on weeks. motorised transport over long lines of communications in North Africa is making holes in her reserves.
In announcing the Board's proposal, Mr Marriner Eccles, Chairman of the Board, said that the move was purely
"Inflationary precautionary.
The work being done by the British advanced patrols is astonishing. One armoured car patrol spent Christmas day sitting on an Italian aerodrome due south of Tobruk, which was Len formerly the Italian main base for Appropriate Measures Both the British and Australian deneles, if unchecked, would produce bombing Egypt.
Other patrols have established navies, operating in the Pacific, are a rise in prices which would greatly well aware of the activities of the increase the cost of rintional defence," themselves right along the coastling between Bardia and Tobruk since Powers Sought
Christmas Eve and a number of being taken.
The powers for which the Board Italian prisoners have been captured In view of the large expanse of is asking are
ambng the rocky rovines in this part ocean to be covered it might take (1) Increase in the deposit reserve of the const. some time to bring the raiders to requirements of all banks, whether book as was the ease in the last war, national or state, subject to these but he did not doubt that eventually requirements; all the vessels would be nocounted for.
ITALIAN PORTS, raiders and appropriate measures are
SHIPS RAIDED ..
Continued From Page
intercepted British aircraft and one bomber was badly damaged. "One of our aircraft failed to return to its base.'
In Italian East Africa, the R.A.F. dive-attacked an enemy camp and landing near Gubba, At Assab
al-
.
or
Admirable work is being done to ensure supplies reaching the most- advanced troops. We passed streams (2) removal of the President's of lorries somewhere cheerful powers to change the gold value of troops emblazoned with nicknames Will Hunt Them Out
"Marion the dollar, repeal of the Treasury's like
of Newcastle" SPECIAL TO THE "TELEGRAPH" authority to issue $3,000,000,000 of "Hilda of Glasgow." SINGAPORE, Dec. 31 (UP).-
"green back" money and to issue Captured War Materials
the foreign silver. The masses of -captured, Italian Admiral Sir Geoffrey Layton told money against this
lorries and guns continue to accumu- (3) neutralisation of expanding inte, emphasising that Marshal Gra-. say for the Navy that to-day,espondent at his headquarters which it buys;
effects on currency resulting from determined to protest United States purchases of foreignzioni must have been seriously de- we are sa British
Interests and sold: this
(4) sale of future issues of Gov-defence of Libya. Activity out here is confined
A smiling young Intelligence Officer
the United Fream Associations, who re- and relentlessly pilots of the Middle waters, the Indian Ocean and clse-the budget is balanced.
CAIRO, Jan. 1 (Reuter) Rupidly Largely to the protection of trade-ernment securities to individuals and at Headquarters showed me ofer
corporations; not to banks; down hunting chemy raiders in these
enumerating part of the Italian stock (5) gradual increase of taxes until taken, including over 1,000 lorries, East R.A.F. Command are smashing where. I cannot say exactly how
120 field guns, 70 tanke and 600 Bren Marshal Graziani's supposedly for long this will take but I can say as Chairman's statement, complained what the final total will be. Never-
The Board, according ta the
guns. And this is only a portion of midable air force in North Africa.
Since the 24-hours bombing hold-ertainly us there are 365 days in that while it had responsibility for theless full preparations have been off on Christmas Day, the R.AF. hua 1041 that they will be brought to credit control it had insufficient made to provide for the eventuality
book, THE mistakes of statesman-Western Desert with increnséd deter-19sses Meanwhile there will be some power effectively to carry out those of Gruziani trying to relieve Bardia,
indicate news which is strictly copyright facks were made on stores warchousco | art of the world AR-
under the provisions of the Telecommuni- cations Ordinance, 1936. Ench new bears the indication “UP” la received in Hongkong on the date of publication by
serve all rights and forbid republications, either wholly or in park withouí previous arrangement,
A HEAVY HANDICAP
and other military objectives.
Relentless Ř.A.F.
In
now
resumed the serial offensive on the
in merchantmen which must duties. and vigour,
but smashing be considered inevitable
this ship sometimes are not long inmination
Libyan aerodromes and clearing the results merely in
inconvenience and coming home to roost. It was skies of Italian planes.
not in vital damage. as recently as 1938 that the in 21 days of the great offensive,
"The spirit in the fleet out here is RAF. record has been magnificent. The only difficulty is to monotony of patrol duty and who are eagerly awaiting the signal to fire."
the
British Government in its de-tonishing: over 200 planes have check the crews who are bored by the
sire for
ter
a lasting basis of been shot down for certain, making friendship with Eire. sur- an average of at least nine rendered its right to use certain without counting
many
plung Irish ports, namely Bere-smashed up on runways and hangers,
One Plist Offeer Informed "Reu haven, Queenstown, and Lough
"We are destroying by low- Swilly. Though the shadow of
flying daylight, raids even more planes Hitlerism had already spread on the ground than in the air. It in over Europe, it was then deemed impossible to keep a record."
Against this, the British losses have j more important to placate the
been Southern Irish than to make whose pilots are safe.
planes, many of roughly 20 sure that the Royal Navy and Day and night, the RAF, is main- the R.A.F. should have the talning a ceaseless patrol of the necessary bases for the most Libyli skies, and the absence of Italian raids on Alexandrin lately is effective patrolling of the At-clear proof of the serious position of lantic should the nation again be fighting for its-life-against-Nazi- frightfulness at sea.
the Italian air force.
Germany Raided
LONDON, Jan... 1. (Reuter) Targets in Germany and the Low Countries were attacked by British bombers in the course of reconnalsa- unce operations on Tuesday, says the
Air Ministry.
Eireann friendship for Eng lund remains a very debatable question, but the handicap to our warships and our aeroplanes
The weather was unfavourable but is now very real, and what Mr bombs were seen to fall on a factory Churchill anys on that subject in Cologne.
Objectives in Rotterdam and in the has had the strong approval docks
Toinen were attacked and alike of Parliament and of the near Flushing an anti-aircraft ship country,
was hit and put out of action,
Two British aircraft are missing.
A curious fenture of this war;
and one upon which its histori
ans will have to discourse at length, is the manner in which, at every turn, Britain has been thwarted and had its danger and responsibilities increased by a one-sided interpretation of their neutrality by certain small nations. Alone in the British Commonwealth, Eire holds aloof from the struggle and maintains the theoretical position that there is nothing to choose be- tween the British, and the Nazi way of life and methods of waging war.
pay
تم
R.A.F. Bombs Over Middle East
Italian's Steady Losses
CAIRO, Dec. 31 (Reuter) —British
fighters maintained standing patrols throughout Monday and a number of successful reconnaissance, flights were made over Bardia and Tobruk, were shot down over the sea.
On the Greek front two planes
GERMAN SHIPS IN CHINA Not Arming Says Tokyo
SPECIAL TO THE "TELL_HAFH"
Tuesday's Air Reports
prived of material for the further
The more ore.secs of conditions at the front, the clearer becomes the realisation of the magnitude of the achievement of our troops. As one dust-covered officer expressed it, Tanks are not touring cars" and the rapidity and extent of the Italian retreat has thrown the greatest strain both on tanks and other vehicles which must be serviced in the field, sometimes under fire.
Over South England LONDON, Dec. 31 (Reater) German air raiders were again quiet
More officers and men of the crews up to a inte hour to-night (Tuesday), apparently grounded by cloud and have been living under the most fog. For several hours after dark-rigorous conditions for the past three ness had fallen no raids had been re-weeks, eating bullybeef and biscuits ported from any part of Britaly. and sleeping beneath vehicles despite
Daytime activity was confined to athe severity of the weather,
The task of finding a way about few isolated attacks by single aircraft the trackless desert is considerable. In Kent, Sussex and one rald on an East Anglian town where the streets Typical Conditions were machine-gunned without, how- ever, causing casualties,
Luftwaffe Claims
to
As we were trying to return Sollum after a tour of the escarpment we had an Illustration of this. De- layed by a mechanical breakdown SPECIAL TO THE "TELEGRAPH" BERLIN. Des_31_(UE) The our car was overtaken by a sand- storm and we spent mich-time official news agency reports continueruising in the desert searching for TOKYO, Dec. 31 (UP)-The Navy ous Luftwaffe raids on Britain to-day "Hellfire Pass." Darkness fell before spokesman to-day characterised as and the bombing of London from a
we could locate our base camp and "false fabrication" the reports that rent height four British planes at-Ave of us spent the night huddled in German vessels in
It Japanese-con-
said that trolled Chinese harbours are arming tempted to fly over German territory our car while the wind howled out- this afternoon--two were shot down every chink and the earth shook with side and the sand whilled in through for raiding activities.
He said that the Navy would not by anti-aircraft Are and the other the reverberations of distant guns.
two dropped their bombs aimlessly These conditions permit such activities; no Buch
are typical of what our troops have been fighting activities were taking place in the and without damage
Attempt To Fire London aforementioned harbours.
In since the beginning of the cam- ourts, he said Such reports,
LONDON, Dec. 31 (Reuter)-Re-paign, though the fact
that the 50 similar to the unconfirmed fetring to Sunday's fire raid on the weather is now not doubtedly
cold hos report
bort that a German warship with à city of London. Mr Herbert Morrison, brought some alleviation and they Japanese male and a Japanese dug Minister for Home Security, sala are receiving encouragement had shelled Nauru for the purpose "Not une military objective was hit continual reinforcements, of causing a disturbance and he was or aimed at but those irreplaceable As communications are stretched without information that German gema of history which London shared out it is only to be expected, that raiders were active and were using with millions of civilised beings who our progress in Libya will be slower Japanese mandated istands as a have never seen them, have been than it has been so far. tendezvous.
destroyed.
Battle Is A Siege
were un-
"Thus is shown the blackness of heart, the beastliness of spirit of
from
The battle of Bardia is a siege and Malayan War Effort these contemptible foes of all that is no blitzbrieg,
Recent Itällan boenbings of Sollum SINGAPORE, Jan. 1 (Reuter).fine in human
life: such is the which comprise their main offensive Maloy, whose financial contributions ugliness of Nazlism."
hus been carried out by to the common British cause are
Venomous air
circuses seeking to. already on a most generous scale, is Rajah's Generosity hamper possibility of the British to find another £2,500,000 annually
landing supplies. The composition of for the war effort.
Bangalore, Dec. 31 (Reuter).—The there circuses is striking testimony It is to be derived from new in-Maharaja of Mysore han cabled £37,-to the respect in which the Italians come proposals which will be sub-500 to Lord Beaverbrooke and £7,500 hold the British and Australian air mitted for legislative assent in the to the Lord Mayor of London, the forces. About half a dozen bombers Straits Settlements and Federaled latter for air raid victims as a tribute are escorted by about 40 fgfiters
to the fortitude of Brilons.
Offensive reconnulasances were carried cut over a large area of Somaliland. Buildings alongside the ding ground at Seilah were bomb- ed and damaged.
South African airmen machine gunned aircraft dispersed en the Malay States. Bardera aerudrome of Somaliland on Actually, it is well known In Monday, one Italian bomber being Dublin that if Ilitlerism were to totally destroyed by fire and others
being severely damaged. triumph Ireland would
Italian bombers escorted by through the nose like the rest. fighters raided Malta on Monday but Neutrality gives no protection no material damage was caused and were two children against German rapacity. On the casualties the contrary, it has again and again placed trump cards in Hitler's hands, enabling him to win trick after trick in his desperate game for world dominion.
alightly hurt.
It is now known that two more Italian aircraft were shot down dur ing the engagement over Libya re- ported on Sunday.
...
Nippon's Merchant
· Navy Crack Liners On Order
SPECIAL TO THE "TELEGRAPHY
Anglo-Chinese In Financial
Accord
Policy
ing a preliminary agreement for using British export credit to LONDON, Jan, 1 (Central News)-Negotiations for secur-
China and releasing to China materials from sterling countries
will be initiated here soon; it is learned to-day from financial
circles.
In most of the recent encounters our lighters have shown that even these tactics are not completely safe.
Little formations of from three nt- to eight fighters are regularly Macking the Italian elreilses and in the Inst three engagements they have shot down at least eight Italians and- probably the more, without a single Joss to themselves.",
FREE FRENCH VOLUNTEERS
On the occasion of the New Year a dinner was offered by the Com-
sula Hotel to the 27 Volunteers mast of them from the s/s d'Artagnan who arrived from Shanghai the December
All the volunteers are seamen and
In the matter of the use of
Previous and recent British credits were divided into two milles "Franco Libro" ni the Ponin-- Irish ports, as in the growth of
sections, export credit and currency equalisation funds. German air power, Mr Churchill
The previous export credit valued,
Secrecy Necessary before the war showed vision TOKYO, Jan. 1 (Domel)Japan's at £3,000,000 was for purchases by far ahead of some of his poli- growing merchant marine will con- China from areas within the United Chinese porta renders exchange con- they will stay in Hongkong for a few
Japaneso contrat over important|31. tical contemporaries. Ho ja Unue to acquire crack luxury liners Kingdom, the recent credit of £3,000 trol extremely complex. It is, there- therefore entitled to complain during 1641.
000 is available for purchases from fore, necessary that strict secrecy days awalling further orders, ** In April two 15,000-ton slater ships, countries within the British Empire should shroud the measures for de- The Commitico France Libre of that a grievous burden has been the Kokoku Maru and the Alkoku and the Dominions excepting Canada.feating Japanese manoeuvres aiming Hongkong take the opportunity of put on Britain's broad shoulders Maru, will be handed over to their The previous £10,000,000 Chinese fat undermining the Chinese currency, reaffirming their faith in the final Vic- a burden which she should owners, the Osaka Shosen Kaisha, by Currency Equalisation Fund 5- London Anancial circles are con- of the · Allies, - thanka - the Free Fighting Force for their wo can do about it, is not said. the Nippon Yusen Kaisha will take scribed equally by the Chinese and Government's efforts for combatting courage
over the 17,000-ton Karuga Maru. the British banks, the latter being attempts to undoning the Chinese their valiant Commanders General Dictators may help themsolves Two of the largest Japanese liners, guaranteed against losses by the dollar is imperative, Consequently, Catroux, Admiral Muselier' General to the field and all that is in it, both of 27,000 tons, on order 30,000,000, Equalisation Fund, was London exchange market recently res extends to all Free Frenchmen good the Kashiwa Maru and the Izumo British Government, while the recent Chinese Government bonds on the de Larminst and Legentilhomme and but we must not look over the for the Nippon Yusen Kalaha, are subscribed by the British Government gistered considerable gains, and yet wishes for a New Year of great hope hedge.
scheduled to be launched this year. alone.
are not easily obtainable.
and victory.
tory
never have had to bear. What the Tama Shipbuilding Yards while tablished in March, 1939, was sub-i vinced that support for the Chinese Frend nd spirit of aperifico under