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The

FIRST EDITION

Hongkong Telegraph.

FOUNDED 1401

No. 10110

四拜望 號四廿月七英港香

THURSDAY JULY 24, 1941.

日一初月六

SOVIETS CONTINUE TO STALL FOUR BIG NAZI OFFENSIVES No Material Change on Long Battlefront

SPECIAL TO THE "TELEGRAPH"

LONDON, JULY 23 (UP)——— THE THIRTY-THIRD DAY OF BATTLE ALONG THE LONGEST BATTLEFRONT EVER KNOWN FOUND GERMANY'S TERRIFIC MASS OFFENSIVE APPARENTLY SLOWLY PUSHING THE SOVIET TROOPS BACK; HOWEVER, HITLER'S IMMENSE MILITARY ORGANISATION SO FAR HAS NOT SUCCEEDED IN BREAKING THE RUSSIAN RESISTANCE.

MOSCOW REPORTED THAT FOUR GERMAN DRIVES ARE PROCEEDING AGAINST THE SOVIET DEFENCES WITH UNABATED VIGOUR, ONE OF WHICH IS APPARENTLY AN ATTEMPT TO ENCIRCLE LENINGRAD.

The fortnight-long battle of Smolensk continues to rage, but apparently there is no material change in the front line positions.

Britain - U.S. To Counter Aggressive Japanese Move

A Moscow communique mentioned a strong Finn- German attack in the Petrogivodsk area, east of Lake Ladoga, while south of this around Prokov the Germans have launched a smashing attack towards Leningrad, WASHINGTON, July 23 (Reuter).—The Japanese Embassy, announcing the thus endeavouring to pin the city between the encircling receipt of an unconfirmed report that Japan and Vichy have reached an agreement columns. again in Indo-China, declined to give the origin of the report.

A Japanese demand probably concerning Camranh Bay was expected here by

a number of observers but the demand covering the occupation of the whole came as a surprise.

Discussion of the possible de- mands has already taken place among the officials and legisla- tive leaders in anticipation of Japanese action.

Anglo-U.S. Measures

Unconfirmed reports suggest that Anglo-American economic

joint Imeasures re already planned against any Japonese Dggressive move.

country

Possible Moves By Japan Envisaged

(By "Reuter's" Diplomatic. Correspondent) LONDON, July 23.-There is little reason to doubt the au- thenticity of the news that Japan has given Vichy an ultimatum The three moves considered likely about Indo-China although no official confirmation has been re- among well-informed commentators are the stoppage of United States gold purchases; the freezing Japanese assels and complete cm- bargo on essential exports to Japan.

Already

it has been reported that Japanese gold shipments are so much above-normal-that-it-is-likely-that- Japan has been acting as an inter- mediary to purchase dollars for the Nazis with German gold,

Chinose Position

The possibility of China assisting Indo-China If she resists is felt to

materials and men through

NOMURA CALLS ON

WELLES

But Tells Little

Secretary such Under

ceived in London.

Seeing that the Japanese are already installed in Northern Indo-China, it will not be easy to prevent them spreading to the-southern-half-

(ernment. Rather is

The Germans have made no specific claims to terri- terial gains, but Moscow has admitted that the Russians along the Kiev front have moved back to the Zhitomis area, 80 miles west of the Ukrainian capital and have retired to about 75 miles from Novograd-Volynsk.

37 Nazi Planes Down

MOSCOW, July, 23 (UP).-A tolal

of 37 German ones were brought down in the two air raids made on Moscow within 24 hours..

A communique states that the German thrust continues unabated on four fronts including in the newly mentioned Petrogivoisk area north of Lake Ladoga.

to

The second German army continues nway in the Prokov nren apparently aiming at enveloping Leningrad from the south. After a fortnight the battle of Smolensk pro- ceeded without change,

Smolensk

In Hands

Of Soviets

False Nazi Claims

July 23.

BY "REUTER'S" SPECIAL CORRESPONDENT IN RUSSIA) MOSCOW, Smolensk, the key city on Russian central front, is and always has been in Russian

the

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WHITEAWAY'S

Threat To South Pacific

Japan is reported to have issued an ultimatum to Vichy demanding occupation of the whole of Indo-China, which would include air and naval bases in Camranh Bay. This map illustrates what this would mean, (1) Japanese alrendy in occupation in the north of Indo-Chino, (2) Thailand might well become threatened, (3) Saigon would become a Japanese port, (4) probable Japanese aim would be isolate Singapore.

BURMA!

Mandalay

Kunming CHINA

PLashia

Han Haiphong FRENCH

Rangoon

INDO:

THAILAND

(SIAM)

Bangkok CHINA

Bay

of Bengal)

SUMATRA

(3)

Chin

Singapore

BORNEO

0338200 200 300 Miles

Mr Eden's Categorical Statement

No British Designs

On Indo-China, Thai

Special to the "Telegraph"

bassador, told pressmen that he the Burma Road life-line of Chung- at Kandalaks with the object of cut, vance units reached the out-sistent reports that Japan in- Canterbury

The central Ukrainian front whe marked by fierce fighting at Zhitemir, southwest of Novograd-Volynult.

Smolensk Not Talien It is probable, however, that the

MOSCOW, July 23 occupation of Indo-China is not an Reuter's"

(Reuter). special correspondent end in itself for the Japanese Goleurns reliably that Smolensk has it ilkely that always been and still is in Russian they will use it as jumping-off hands. ground for their

LONDON July 23 (UP.)-Mr. Anthony Eden, in a written vaster plans 01

hands. I learn on good authority reply to Mr Robert Morgan in the House of Commons to-day Salla Sector Imperialist expansion.

STOCKHOLM, July 23 (Reuter), claims, later supported by the the oppertunity to state that the alleged designs of Britain despite the German propaganda concerning the situation in the South Pacific said, "I welcome be impracticable here as the railway WASHINGTON, July 23

Two Possibilities

The German-Finnish advance from Uinking Indo-China and Yunnan

half hour

Salla is now proceeding rapidly. German High Command, that against both Indo-China and Thailand are entirely non-existent." was torn up on the Chinese frontier (Reuter).-After a some time past and the movement of niceting with Mr Sumner Welles, wards against the Netherlands East to the "Afton Bladet" correspondent Wednesday.

Whether they will

was travel south- having passed boggy land, according Smolensk

captured last

He emphasised that the Gov-}| of State, Indies or westwards against Thailand at Helsinki. TURN to Back Page. Column 4 Admiral Nomura, Japanese Am-in the hope of ultimately severing The advance is evidently directed It is true that German ad-Jernment was aware of the per- | hoped the feeling "between our king is in the lap of the gods, but it in the Russians off from Mur-skirts of Smolensk some days Lends to take action to obtaini

is clear that a move in either direc-mansk. two countries will become better tion will constitute direct menace

It is believed that the attacking ago, but they were driven away.navel and air base in southern

of Soviet

communiques and better."

rightly Indo-China, to British and American interests and forces are now within will doubtless be weighed very care-

|continue to speak of “lighting in Britain's relations with Indo- it F

that Admiral fully by Japan before she embarks understood

the direction of Smolensk." Nomura discussed the

China were very strict since the situation, especially Indo-China, but,

The situation

Now the impression is gaining collapse of France, with limited The declined to make any observa-

is being closely

ground antong competent observers trading. watchett both in London und

that the second big German offensive, LONDON, July 23 (Reuter)tions on that question to the press Washington and the

had

two

directed mainly against Smolensk, "ap- were .out this merely saying that he

is exhausting itself morning and afternoon searching for pronched the subject from our side."ents have been in constant con- The Admiral said that he had also TURN to Back Page, Column 3

formidable Russian enemy shipping off the coast of discussed the question of Japanese France and the Low Countries, states ships being unable to pass through the Air Ministry.

Panama Canal and he stated that During these operations, one coastal ships could not remain at the Canal vessel

was sunk and another was "permanently." Eight or ten ships, damaged.

Other Blenbelins, escorted by around South America. Mr Sumner,

Blenheims Sink Ship

Blenheim bombers

the

Far

East

upon any action.

JAPANESE

had gone to the south and would go FLEET ON

strong force of fighters, bombed ob-Welles had told him that the Canal

Jectives near Saint Omer early in was closed indefinitely to merchant, THE MOVE

the

afternoon.

British fyhters

encountered

shipping for repairs.

WASHINGTON, July 23 (Reuter).

number of enemy fighters and des- troyed five of them.

The $244,000,000 bill for additionni British losses in all these operations nuval shore facilities has passed the were five bombers and five fighters,House of Representatives and but the pilot of one fighter is safe. has been sent to the Senate.

Muscovites Fight Raid Fires Effectively

(By "Reuter's" Special Correspondent) MOSCOW, July 23-The second aerial attack lacked novelty and thrill for Moscow inhabitants although it came at the height of the great city's night life. Earlier in the evening, there was a short alarm, without the appearance of enemy bombers, and while direns were still wailing-the second alert, anti-nircraft guns opened fire, continuing until dawn.

E

and

Kandulaks.

45 miles

LATEST

New Bases Conceded

To Japan

SPECIAL TO THE "Telegraph"

CHUNGKING, July 23 (Rev- ter).While Japan has been presenting demands for air and naval bases in southern Indo- China, Japanese warships and VICHY. July 23 (UP)The troop transports have been mov-vealed to-day that France had agreed French Government spokesman re- ing south, according to a stale to the "temporary occupation' by ment by the Chief of Intelligence Japan of strategic bases and air- Department of the Chinese Army fields in Indo-China. at a Press conference to-day.

escorted

He said that the details of Japan's

measuro

:

that

owing to resistance,

and

said

that

On Communists

"Regarding Thailand," continued Clear Issue Before Us

Mr Edlen, "our policy is governed by flic

hy treaty of non-aggression with that

by

supply dificulties intensified by the grent distances to be covered, and

frequent effective interference Soviet guerilla units.

Roads Blocked

the

by

to obtain exclusive advantages and

LONDON, July 23 (Reuter). country. The treaty is not designed We must wish every success not directed against any third party, to the valiant Russian armies except insofar as such third party and people in their struggle and may attempt to interfere with those be ready to give them every excellent

neighbourly

relations, possible assistance," writes the political, economie 'and otherwise

In addition, the fussions have set which always have existed between Archbishop of Canterbury in the up many obstacles on the various Britain and Thalland."

but not numerous Smolensk-Moscow

rouds, While such obstacles some- what hamper the Soviets' own pre-

Japan's New Move

Canterbury Diocesan gazette.

It

may seem strange to combine an LONDON, July 23 (UP)-Finan-alliance with Bolshevist Russla with sent communications with the front,cial circles here report that Japan has the claim that we are contending for they may be regarded as one reason lounched a new economic offensive in. Christion civiliantion, SOYE the why the Germans are beginning to Thailand doing their utmost

Primate, but such misgivings ATC TURN to Back Pago, Column 5 TURN to Back Page, Column 3 of the struggle is to overthrow the really misplaced for the first essential

to

3,000 Chinese Special Constables Wanted

Was

Chinese residents of Hongkong, are invited to join the Chinese Special Constabulary, the formation of which announced yesterday by the Commissioner of Police, the Hon. Mr J. P. Penacfather-Evans.

He stated that seven Japanese role "In the defence of Indo-China warships, three aircraft carriers are being worked out in the negotis

ttons taking place In Vichy and and 55 destroyers wero sighted Hanos." off Klushu in southern Japan |

He insisted

the Japanese yesterday steaming- south.

occupation was only a temporary Thirty transports

undertaken by

to "protect" steaming sout from Canton. three warships had also been seen Indo-Chinn owing to allered dangers of attack by the Belilah, Free French and Chinese, Naval And Air Base..

Mr Lo Tung-fun, the barrister, is being appointed Assist- The spokesman added that France Ant Superintendent of Police in charge of this body, while Mr Japanese demands to Vichy include wees no inconvenience in Japan tem- the use of Camranh Bay as a naval porarily occupying military bases in Luke Ol-wan, of the New Zealand Insurance Co., Ltd., Bank of base, the use of Saigon as an oir bose Indo-China on condition that such East Asia Building, is chief recruiting officer. and the garrisoning of troops in an occupation does not menace Indo-

protect Indo-China.

evil embodied in the rulers of Ger- ropy: a Nazi victory would destroy any tolerable form of government and the Soviets are cortending for. the principles of national freedom and Independence.

BRITAIN'S NEW

DIVE BOMBER

LOS ANGELES, July 23 (Reuter). ---Smashing a glass wand, filed with oxygen across the propellor hub of a now dive-bomber for Britain, Lord Halifax, the British Ambassador, de- clared: "I christen theo Vengrance-- the newest V in Britain's campaign for victory."

THE

dive-bomber, which is a low-

in monoplane and camouflaged. then roared off, climbed to 5,000 feet. 'and went Into a deafening dive to 1,000 feet while Vullee Aircraft workers cheered.

Lord Halifax spoke briefly,rensstr.

Russion fire-fighting methods are and children were less hurried in southern Indo-China" according to a China's Integrity and French sover- The object of this auxiliary For these objects, it is estimated effective, judging from the small Anding shelter at lube-ntations, where Chinese spokesman who aald that he elgnty, Japan had humber of fires despite the great the current was disconnected, and was quoting from a - cable from torial demands, but merely wants

no terriforce will be to assist the that a strength of: 9,000 men Sovlot pro-smoking German effort.” The

were Vichy dated last Monday, rest-roomS

regular Police in maintaining will be required. cedure not always orthodox; many provided,

He added that at present the Vichy Russians received burns by reckless-

Ile said that there was a concentra-}law and order in case of emer- Some bombs were dropped on the Government wero refusing

Conditions of Service ly grasping, incendiaries with their squares and streets, but traffle was Japanese demanda,

the tion of Chinese troops in Tantangency, and especially in provent-

and aviation In Burma and Kalayaling panie, looting and rioting will be under the control of the Coming the workers that Britain is Questioned about

The Chinese Spécial Constabulary bare hands.

not disrupted ar Moscow's streets are

what action leading Japan said France to fear an extremely wide and can accommo-China would take in the event of Anglo-Chiness alsempt to occupy and keeping order at food and missioner of Police, and the follow going to nnish the job we started to ed to bombing. Even the women "date" traffle and bomb craters."

TURN to Back Pago, Column 5 Indo-China.

night, Ifirewood, distribution contres, TURN to Back Page, Column 3

Alrendy the Russians seem harden-

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