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Weather
Slightly Cooler.


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Editorial
State Department
Is At It Agahn,

VOL. LII. No. 13-S ANN ARBOR, MICHIGAN, THURSDAY, JULY 2, 1942

2:15 A.M. FINAL

Germans Claim

Capture Of

evastopol;

Axis, British

Locked In

Desert

Struggle



British Report
Planes, Tanks,
Guns Reaching
aDesert Army
Announced To Parliarment
As Churchill Ministry
Confidently Bucks Tide
Of Growing Criticism
Government Admits
Errors Of The Past
LONDON, July 1.-(P)-The Brit-
ish Government told Parliament to-
day in the first phase of a bitter
Parliamentary inquest on the Afri-
can desert defeats that American
dive-bombers, more heavy tanks and
aBritish anti-tank guns were reach-
ing the hands of the Empire's hard-
pressed fighters.
Winston Churchill's minister of
production, Oliver Lyttleton, and the
Prime Minister's long-time support-
er, Lord Beaverbrook, likewise con-
fidently bucked the tide of recrimina-
tion from critics of all parties, and
defended both quantity and quality
of the weapons with which the British
Eighth Army failed to stop the der-
man African corps in Libya and
western Egypt.
Criticism Unanswered
Lyttleton and other government
speakers in both houses frankly con-
ceded past miscalculations, however,
and left much criticism unanswered.
Churchill will wind upf the debate
tomorrow, and he is expected to get
a sizeable vote of confidence, despite
the concentration of criticism.
In the House of' Commons, Sir
John Wardlaw-Milne, sponsor of the
non-confidence motion on which the
debate is pitched, called angrily to-
day for sepa'1ation of the Prime Min-
ister from the Ministry of Defense,
charged that Churchill's optimistic
reports on British preparedness in
the Middle Eas had been "'untrue and
inaccurate," and said that lack of
equipment was a "terrible indict-
ment" of the government. He asked
for a full-time leader on a Chief of
Staffs' committee.
Admiral of the Fleet' Sir Roger
Keyes accused the Admiralty of fail-
ing "inexcusably" to give adequate
air protection to the Mediterranean
Fleet. He pictured an "intolerable"
situation in which Britain's war ma-
chine "is lumbering from one dis
aster to the next."
As Churchill Resignation
In, the House of Lords, Lord Addi-
son called upon Churchill to sacrifice
himself, resign and ask one of his
cabinet colleagues to form a new
government with Churchill as a
member.
Tomorrow, however, Churchill is
expected to refuse emphatically to
give up even the defense post. There
was some indication, however, that
he might make a concession in the
form of a combined general staff.
There was one tense moment in
Commons whennClement Davies, op-
position liberal, 'moved that the
House proceed "at once to the im-
peachment of persons responsible"
"for alleged lack of weapons and
equipment for British forces inthe
field. But he was quickly ruled out
of order
Responsibility for the loss of To-
bruk, perhaps the most bitter single
pill which Churchill's Government
has had to swallow, occupied muchj
of the debate. But in Lords, Beaver-'
brook, once production minister, in-
sisted stoutly that Churchill had
neither directed its evacuation nor
had General Sir Claude Auchinleck.

Henderson Appeals
For Greater Funds
WASHINGTON, July 1.--P-Price
Administrator Leon Henderson ap-
pealed to public opinion tonight in

How Bad The Situation Really Is...
KHARKOV S. R4
HUNGARY NORTHERN ANCHOR STALINGRD
A ,L TNNeutralized Sevastopol gives GU?
NAZI GAS STATION 00 Axis Black Sea shortcut to ?;d UE
Rumania's Ploesti oil fields Caucasus,drelieves flank of
can service new fronts by overland drive, makes pos"°siiiae"e
Black S a tankers. sible sea transport support OSTO
_k2. 2n,.of front line troops. ASTRAKIH
YUG O -
41 - - - -
S LI SEVASTOPO;
BUJCHAREST
-CONSTANTA
-I: MAKHAC
BJCARN K -
BULGAS --tA - -
EATC ATIFLIS
T ABLSAMSUN V
- -
LEMNANKARA
RK ERZURUM
IN THE MIDDLE --..C.."
Axis drives wrap around 4 - fr%'it
mountainous Turkey. If they TA R
succeed, surrounded Turkey .
cceewousurrve lttle choice
but "collaboration.'
.__._ _. __ 9 r '" _ s :ss:a ris_ ..a - -s ,
RHODS .
CANEARHOE ,
..-:-x"2ALEPP s R"
OLD AXIS -
SUPPLY Ee
LINES -" "- ' , '"
KYKUA
ALLIED STRONCHOLD
BEYRUTHBAGHDADZA
,- "~'"Loss of Alexandria and Suez BEYROUDTHA C
GAZI *. might sweep British fleet from 0 DAMASCUS
Mediterranean, opening land
sMi and sea paths to Iraq oil.HAIFA +-
°".eee MATRUH!!
* =.SALEX(ANDRI .PORT . , 2
Tobruk feeds
the Rommel "n"BASR
army by dl'- TRANS- SAUDI
rept shipping, CAIROJ
by-passes old, e'ARABIA
slow sea andE
desert routes. Wide World Features

RussiaStillSilent;
Nile DeltaPeriled

Reinforced Britons
Attempt To Trap
Nazi Columns
By The Associated Press
CAIRO, July 1.-The main Brit-
ish armored - forces, bolstered by
reserves, finally locked arms today
with the onrushing Axis columns in
Egypt in a last-ditch effort to pinch
off the hostile advance in the desert
bottleneck west of El Alamein, only
70 miles from the Nile Delta.
The immediate stake was the great
British naval base of Alexandria, and
for the British all their holdings in
the Middle East were imperiled.
The forces of Marshal Erwin
Rommel, driving with amazing speed
across the torrid sands toward Alex-
andria and the key waterway of Suez
beyond, were engaged this morning
in a battle that had developed by
tonight to great proportions just in-
side of the mouth of the bottleneck.
First reports of the British stand
to reach Cairo told of heavy fighting
all the way down the escarpment.
Last-Ditch Stand
For the British it was the\nearest
thing to a last-ditch stand against
the roving vehicles of Marshal Erwin
Rommel which have been engaged
only on a, hit-ard-run basis since
the fall of Tobruk,
However, between the Axis forces
and the lush valley of the Nile stand
several lines of defense comprising
thousands of soldiers and hundreds
of cannon;. and teamed with these
are other Allied units harassing the
enemy flanks while Allied, planes
strike from overhead.
As the crisis approached, General
Sir Claude Auchlinleck, newly in
active command of the British Eighth
Army, issued a confident Order of
the Day declaring:
"Offieers and men of the Eighth
Army:
"You have fought hard and con-
tinuously for over a month. No
troops could have fought better, You
have had heavy losses and despite
your efforts you experienced the dis-
appointment of :giving ground before
an enemy who had superiority in
armored troops. It must not be for-
gotten that he too has had serious
losses, his' units have been, reduced
in strength, he is a long way from
his bases of supply.
Supreme Effort
"The situation now calls for the
supreme effort on the part of,,all. We
are fighting the Battle of Egypt, a
battle in which the eziemy must be
destroyed. You have shown you
can stick it and I know you will
stick it right out until he can stand
it no longer. Until he cracks, the
enemy must be given no rest, he
must be attacked and harried wher-
ever you find him.
"The battle is not over yet and will
not be over until we have defeated
the enemy and defeat him we will."
The main enemy force was ham-
mering its way ahead in one big
column with 'smaller groups taking
off on side expeditions in the battle
aimed at extermination as well as
prime objectives.
Navy Officers
HereToday
Students .interested in enrolling in
the V-1, V-5, V-7 and C.P.T. will
have an opportunity to interview
Lieut.-Comdr. Harry G. Kipke and
Lieut.-Comdr. D. G. Shea and receive
preliminary physical examinations
today in Room 1009 Angell Hall,
Returning to Ann Arbor today the
Naval officers will continue -their
series of weekly visits which areten-
tatively scheduled every Thursday
throughout the summer. Contrary
to the statement in yesterday's Daily,
the nfficers will not h at h TThe nin

Broadcast Declares
Red Army, Navy
Both InFlight
By The Associated fines
BERLIN, (From German Broad-
casts), July 1.-The capture of Sevas-
topol, great Soviet stronghold hailed
by the German besiegers as "the most
powerful land and sea fortress in the
world," was announced tonight by
the German High Command after a
siege of nearly a month.
A special communique broadcast
from the eastern front headquarters
of Adolf Hitler with the customary
fanfare of trumpets declared that
the Soviet port, which in effect has
MOSCOW, Thursday, July 2.-
(/P)-The Russians officially ac-
knowledged today that Axis troops
had succeeded in advancing in
fierce, hand-to-hand fighting for
Sevastopol but Germatclainms that
the Crimean port had fallen, were
not confirmed here.
been under siege since last Nov. 7,
fell to Gerlnan and Rumanian troops
at noon today.
"The number of prisoners taken
and the amount of war material
seized cannot yet be estimated," the
special communique added.
"The remnants of the beaten Soi-
et Sevastopol Army have fled to the
Khersones Peninsula. 'ressed close- f
ley together within toe narrowest
space, they are facing destruction."
Von Mannstein-Conquers
The conqueror of Sevastopol, the
Germans said, was .Col.-Gen. Fritz
Erich von Mannstein, a 54-year-old
Prussian\ who has been commanding
Axis operations on the Crimea since
last September when the German
Col.-Gen. Eugen Ritter Vonschobert
was killed in action.
Hitler (true to his custom of hand-
ing out promotions immediately upon
announcement' of the victories);
raised Von Mannstein to the rank of
Field Marshal General, a subse-
quent announceliet said,
The High Command said the Ger-
man and Rumanian troops com-
manded by Von Mannstein were sup-
ported by the warplanes of General
Baron Von Richthofen, a cousin of
the late World War ace, Baron Man-
fred' Von Richthofen, who is an ex-
pert on troop carrying by plane-
towed gliders.
Aim For Navy
The German radio, shortly after
the surrender of the port was an-
nounced, said that the next aim of
the German Air Force now would be
to find the remnants of the Soviet
Navy in its Caucasian hiding places.
Indicating the ferocity of the bat-
tle the German special communi-
que said:
"Strong forts, fortifications hewn
in rocks, subterranean fortifications,
concrete pillboxes as well as innumer-
able fortified postions were 6aptured
in exemplary cooperation of all
arms."
The whole city is a mass of ruins,
Russian reports have said, from con-
stantGerman bombing andhshelling.
But the Soviets claimed they have
exacted a tremendous toll of German
and Rumanian casualties, and only
last night, in the first Russian hint
that the city might soon fall, Red
Star, the Soviet Army newspaper,
said "history will always remember
the duel of one lone garrison against
15 German divisions."
Russians Call It Victory
Red Star said that no matter what
thei outcome of the "unequal siruggle
for the ruins of the city, this is a vic-
tory for Soviet arms."
The Germans said Sevastopol gave
up after a "25 days' hard fight" but
other reports earlier said the city
actually went under the rel siege 27
days ago, on June 5.

The reckless price in lives and
materiel the Axis was willing Jto
pay for Tpbruk and Sevastopol in-
dicates their military value.
The Axis is still a long way from
occupation of the Near East oil
fields which they must have to
continue in the war over a span-of
years. However, this is the grave
significance of their victories: the
offensive that was almost impos-
sible 'of accomplishment with To-
bruk and Sevastopol in Allied
hands has now become militarily
feasible.
Seeds OfIWar'
To le Slosson
Lecture' ot
Fun iamental causes of this war-
"The seeds of War"-will be dis-
cussed byN Prof. Preston, Slosson of
the history department in the second
Michigan Post-War Council public
meeting at 7:15 p.m. today in the
Grand Rapids Room of the League.
Questions searching through the
minor eruptions to the basic reasons
for the global conflict will be anal-
yzed. The possibility of appease-
ment, the effect of the Versailles
treaty and American neutrality will
form the nucleus of Professor Slos-
son's talk.
Widely known as an authority on
modern and contemporary history,
Professor Slosson has lectured on the
war and broadcast regularly over a
Detroit radio station.
Post-War Council discussions will
be held weekly throughout the sum-
mer. Authorities on subjects perti-
nent to the problems of post-war re-
construction will give further lec-
tures.{

Ste phan To Face Jury Today
without Benefit'Of Witnesses
Attorney Produces No Testimony In His Defense;
Request For Innocence Verdict Is Refused a
By PAUL ?. CHANDLER
Associated Press staff writer
DETROIT, July 1.-Max Stephan, German-born Detroit restau-
rant owner, will ask a jury tomorrow to prove him innocent of treason-
highest crime in the land-without benefit of a single witness having testi-
fied in his defense.
Stephan's attorney, Vern C. Amberson, made that known today when
he opened and closed his case within five minutes and announced that he
would call for no testimony other than that already presented by govern-
ment counsel.
Amberson briefly presented a motion to Federal Judge Arthur J. Tuttle

s
Police Recover
Bodies Of Air
Crash Victims
WELCH, W, Va., July 1.-(fP)-
State police reported tonight that
the bodies of 21 men had been re-
covered from the wreckage of a
southbound Army transport which
crashed in flames after losing a wing
at 500 feet.
State Trooper Tom Harrison said
that 10 more bodies were found late
this afternoon and that a search of
the mountains in the area was being
conducted to ascertain if any others
had been aboard the .craft,
All of the bodies were brought here
tonight to await identification by
Army officers.
Eight state troopers were guarding

requesting from him that a verdict
of innocence be directed by the court
to the jury.
Judge Tuttle immediately rejected
the motion.
A naturalized citizen, Stephan is
charged with having given ,shelter,
food, money and other assistance to
an escaped oberlieutenant of the
German Luftwaffe.
Such aid to a member of the armed
forces of an enemy of the United
States constitutes treason, Federal
District Attorney John C. Lehr has
told the jury.
Amberson asked the judge to direct
the verdict of innocent qn three
grounds: that there had been insuf-
ficient evidence showing the intent
of Max Stephan to commit a crimi-
nal act; that there was a lack of
proof that he was a citizen of the
United States, and that the "great
weight of the evidence presented was
against his guilt."
The government rested its case at
3:40 p.m. after presenting 18 wit-

U.S. 1inishes
Giant New Fort
Huge Londonderry Base
Guards West Britain
UNITED STATES NAVAL BASE,
LONDONDERRY, Northern Ireland,'
July 2, (Thursday) -(A)-The U.S.1
Navy has completed a giant operating
base here guarding the western ap-
proaches of Britain in the cirtical
battle of the Atlantic.
Londonderry in this war has be-,
come the counte part of Queenstown,
now in neutral Eire. which during
the first World War was base for as-
many as 92 United States warships
at one time.
The Londonderry base is designed
to refit, repair and supply destroyers
and other light craft on Atlantic
convoy duty, It was commissioned
Feb. 5, but is just now receiving its
finishing touches-a job vi tually
completed seven months aftr U.S.
entry -into the war.
"It already has lifted a great bur-
den off the convoy problem," said
Commodore Ross Stewart, com-
mander of the adjoining British na-
val establishment.
Actual construction of the big base
was started last year with lend-lease
funds and more than 3,000 Irish and
American laborers, under direction
of American civil engineers headed
by Commander Henry P. Needham,
completed the project.
Ru lle tin-
NEW YORK, July 2, (Thursday).
-(P)--In a series of swift raids in
Yorkville. the Brooklyn Navy Yard
are, and Newr .Trv the FTI tnidav