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Editorial
Inger )91l Nceded
on Domestic Front..


VOL. LII. No. 18-S ANN ARBOR, MICHIGAN FRIDAY, JUNK WI4z JU L 1 0 1942

2:15 A.M. FINAL

FDR Refuses
Compromise
On Farm Bill,
Rebukes Bloc
Signs Stop-Gap Measure
To Allow Department
July ,perating Funds;
Russell Still Opposes
President Wants
No Hamstringing
By The Associated Press
WASHINGTON, July 9.-President
Roosevelt, in a new rebuke to the
House farm bloc, made it plain today
he would accept no compromise of
the farm appropriations dispute
which restricted the Government's
authority to sell surplus wheat for
livestock feed at sub-parity prices.
Signing a stop-gap measure to pro-
vide the +griculture Department
with July operating funds, the Pres-
ident said in a satement that "our
war needs do not permit compromise
or partisan discord." He added that
the disputed issues involved "more
abundant production of things we
need" which he previously had de-
fined as meat, poultry and dairy
products.
"This is no time," he commented,
"to hamstring successful principles."
Support Of Amendment
Senator Russell (Dem.-Ga.), chair-
man of a Senate-House comiittee
which has sought unsuccessfully
since May 25 to compose differences
of the two Congressional branches
over the.$680,000,000 Agriculture De-
partment fund, immediately inter-
preted this as flat support of the
Senate's amendment authorizing the
sale of 125,000,000 bushels of Govern-
ment-held :wheat for feed at about
83 cents a bushel.
Accordingly, Russell said that when
the conference group meets again,
probably next week, he would ask
the House members to seek another
vote of that body on the question.
The House previously had voted to
bar the sale, of grain held by the
commodity credit corporation at
less than full parity prices, $1.34 on
the farm in the case of wheat.
May Alter Stand
"I think there is a possibility that
the house may alter its stand," Rus-
sell told reporters. "I believe there
was a misapprehension on the part
of some members that parity to the
farmer was involved in this amend-
ment when it is only parity to the
government that is involved."
Russell said he thought the Sen-
ate's action in approving this week
a bill directing government loans at
full parity on six major farm crops
demonstrated that the farmer was
going to get parity prices for the
things he raised. (Parity is a price
calculated to give the farmer the
same relative return he obtained in
a past period, usually 1909-14.)
Flor Under Prices
In effect, this measure would put
a floor under farm prices at $1.34 a
bushel for wheat, 97.6 cents a bushel
for corn, 18.85 cents a pound for cot-
ton, 7.3 cents a pound for peanuts
and $1.23 a bushel for rice. All are .
now selling under these levels except
rice. The sixth affected commodity
is tobacco for which the parity price
varies widely with types.
The House agriculture committee
unanimously approved the bill today
and Chairman Fulmer (Dem.-S.C.)
said he would regard House passage'

of the measure as removing the prin-
cipal point of controversy in the
$680,000,000 farm bill.

Gen. Knudsen Praises
Local War Production
Says Supply Question, Lack Of Trained Personnel
Prevent Maximum Amount Of Production

Huge Nazi Tank

Wedge Crushes

Russian Defense Near Don River;
Allies Nip At Rommel In Egypt

By ROBERT PREISKEL
"No one is loafing in Ann Arbor's
war plants aid you can be sure that
everyone is doing everything he can,
and doing it well, to get maximum
production," Lieut.-Gen. William S.
Knudsen said yesterday.
Knudsen gave his seal of approval
to the local war effort after visiting
four factories making armaments,
but cautioned that "the factories
here, like many of those throughout
the country, are still not in full pro-
ductiop."A.i
The companies visited were the
King-Seeley Corp., American Broach
and Machine Co., International In-
dustries,, Inc., and Hoover Ball and
Bearing Corp.
"It is true that we are out of the
conversion stage, but there is a great
difference between a converted in-
dustry and one in mass production.
Labor Wants
PacificCoast
Wage- Boosts
By The Associated Press
LOS ANGELES, July 9.-The CIO
and AFL presented joint demands
for aircraft workers' wage increases
today to a government . sponsored
labor-management conference-de-
mands which representatives of both
sides estimated unofficially would
mean a boost of at least $125,000,000
annually on the Pacific Coast alone.
No definite figures were available
because military secrecy surrounds
the total number employed in air-
craft factories. Reputable sources
agreed the total probably would be
higher.
A spokesman for Paul R. Porter,
Chief of the War Production Board's
stabilization branch, said the discus-
sions involve some 1,250,000 present
or future employes in the industry
in all parts of the country. The CI9
demands that wage increases be
made nation wide,
Labor's actual demands range from
a minimum of 95 cents per hour for
uns.killed trades now receiving 60
cents per hours, to $1.60 for skilled
workers now receiving $1.52. The
present 60-cent minimum, however,
is not in effect for more than a
month. Contracts with all plants pro-
vide for boosts of 5 cents per hour
at the end of each month until a
minimum of 75 cents is reached
three months after an unskilled
worker is hired.,t
The bulk of the employment total
is in the unskilled classification.
Tirpitz Shelled,
Russiai Claims

The automobile companies may be
said to be out of the automobile busi-
ness, but that does not mean that
they are already pouring forth war
materiel."
"The Willow Run plant is an ex-
ample of what I mean. The main
reason they are not yet in full pro-
ductionit a lack of trained person-
nel."
"The raw material and tool prob-
lems have not yet been solved for
other factories.
"I have 'no doubt that when we
really get rolling we will be able to
outproduce the Axis. But the time
element is still pressing, and any-
thing we can produce this spring and
fall is worth twice as much as any-
thing we can get next year."
"Most critical of all the problems,
of course is the supply question. We
are well on our way to getting out
full production, although I can't say
when we will be all tooled up and
ready to go. Now we have to take
care of the distributio."
Knudsen's visit came as part of
his tour of Michigan war factories
outside of Detroit. Since last Febru-
ary he has inspected hundreds of
such plants, conferring with mana-
gers and making suggestions for im-
proving mass production methods.
U.S. Announces
Closer Tie'Up
With De Gaulle
Stark, Bolte, Eisenhower
Are Sect t To London;
Military__Aid Predicted
By The Associated Press c
WASHINGTON, July 9. - The
United States today strengthened its
military ties with the Free French
but mnade clear the action had no
political implications.
The State Department announced
that a military and a naval repre-
sentative had been assigned to con-
sult in London with the Free French
National Committee headed by Gen-
eral Charles De Gaulle, "on all mat-
ters relating to the conduct of the
war." They are Admiral Harold R.
Stark, chief of American naval forces
in European waters, and Brigadier
General Charles L. Bolte, chief of
staff of Lieutenant General Dwight
Eisenhower, commander in chief of
American forces in Europe.
Without referring to the contro-
versy over diplomatic recognition of
the Free French, the announcement
and an accompanying memorandum
emphasized that the purpose of the
new assignments and the aim of
American policy was to strengthen
and facilitate military aid to the
Free French.
As to the political status of the
national committee, the memoran-
dum handed to DeGaulle in London
said the United States regarded De-
Gaulle's committee as "a symbol of
French resistan e" to Axis aggres-
sion, rather thah as a government
in exile.
"The government of the United
States," said the memorandum,
"wholeheartedly agrees with the view
of the British government, which is
also known to be the view of the
French National Committee, that
the destiny and political organiza-
tion of France must, in the last anal-
ysis, be determined by free expres-
sion of the French people

__
® .

ii

Patrol Action, Air Attacks
Keep Axis Bottled Up
Quick Sallies Are Made
Surprise Charges
Threat To Flank
By EDWARD KENNEDY
Associated Press Correspondent
CAIRO, Egypt. July 9.-Waging a
war of nerves in the dsert, Allied
air and ground forces were reported
tonight scoring a series of successes
with continual patrol actions and
aerial attacks on the positions of
Field Marshal Erwin Rommel west
of El Alamein.
British General Sir Claude J. E.
Auchinleck is retaining the initiative
he took when the present positions
some 70 miles west of Alexandria
were assumed. The enemy move-
ments of the past week have been
mainly to counter allied threats to
the Axis flank.
There are indications that Rom-
mel would like a respite of two or
three weeks before making another
push toward the Nile but it was by
no means certain that he would be
allowed this much time to rebuild
his strength.%
Night sallies by the British are
especially annoying to the enemy,
according to prisoners, as the Ger-
mans usually base their operations
so every soldier may get a good
night's sleep.
Not knowing when a bayonet party
will charge out of the darkness at
them and having to jump into slit
trenches when Allied planes come
over, they have anything but a rest-
ful night.
1!7he British patrols, operating
mostly at night, ranged the curving
southern sector of the front at the
head of an expanse lying between
the Axis' extended flank and the
Qattara depression.
The Axis position on the south ex-
tends some 30 or 40 miles to the west
of a line drawn north and south
through El Alamein but there was
no indication that the British ground
forces had ventured to the westward
along the southern line held by the
forces of Marshal Rommel,
Blast In Mme
Traps_20 Men
Fire Slows Rescue Work
Miles Underground
' iBy The Associated Press
MORGANTOWN, W. Va., July 9.-
An explosion which was quickly fol-
lowed by a rescue-hampering fire
trapped at least 20 men late today in
the Pursglove Coal Mining Com-
pany's operation on Scott's Run.
Two crews of miners apparently
were caught four and a half miles
underground shortly after 5 p.m.
Estimates of their number ranged
from 18 to 24 but Federal and state
mine bureau officials said their in-
formation was that 20 were caught,
Rescue crews from throughout the
northern West Virginia fields were
ordered to Scott's Run, which is six
miles from Morgantown.

Trial Of Eight Nazi Saboteurs
Continues Behind Locked Doors.


-- - I I


Secrecy Cloaks Proceedings As Government Tells
StoryOf Sabotage Plot Before Special Jury

i

By The Associated Press
WASHINGTON, July 9.-Govern-I
ment prosecutors, unfolding before
a special trial commission a bizarre
story of sabotage plotted in Berlin,
appeared today to have reached the
chapter dealing with the arrest by
FBI agents of the eight Nazis who
landed on the east coast from sub-
marines last month.
The trial of the eight on charges
of violating the articles of war con-
tiued to be cloaked in the deepest
secrecy. However, the commission
issued a brief statement-the first
official acknowledgement that the
trial was under way-that gave this
summary of yesterday's proceedings:
COonvnes In Morning
"The military commission con-
vened at 10 a.m. The defendants,
accompanied by their counsel, were
brought before the commission, and
will remain before the commission
throughout the proceedings.
"The sessions will be closed, neces-
sarily so, due to the nature of the
testimony, which involves the secur-
ity of the United States and the lives
of its soldiers, sailors and citizens,
Motions Made
"The morning session was spent
in disposing of preliminary proced-
ural motions made by counsel for
the defense 'and by counsel for the
prosecution."
There have been reports of a sharp
difference of opinion among high
officials as to whether anything at
Mayors Blast
Policy Of U.S.
Toward Plants
By The Associated Press
NEW YORK, July 9--Mayors of
cities representing every section of
the nation today criticized the Fed-
eral Government for building "tax
exempt" plants for private industry.
Mayor F. H. La Guardia of New
York and other municipal executives
held that this policy denied to local
governments a rightful source of rev-
enue and thereby multiplied their fi-
nancial problems.-
The executives, representing the
conference of advisory board and
trustees of the U.S. conference of
mayors, met at the call of Mayor La
Guardia, president of the confer-
ence, at the City Hall.
The conferees adopted a two-point
program designed to ease the finan-
cial burdens of the municipalities
which were described as approaching
a critical stage under the impact of
war.
A mayoral committee was appoint-
ed to seek a change in the Federal
Government's policy with regard to
the tax status of war plants erected
with Federal funds and to oppose
plans of the Treasury Department
to eliminate the tax exemption pro-
vision of municipal securities.
Asserting that "there is not a city
that is not on thin finfancial ice,"
Mayor La Guardia said that relief
from their immediate and pressing
problems was up to Washington.
La Guardia declared "unfair and
a little below the belt, the tendency
to give Federal color to private en-
terprise to evade local taxes."
"The Government builds a plant;
it is government owned and there-
fore exempt. But it is unfair for the
Government to collect itsftaxes and
then turn around and say to the mu-
nicipal government 'this property is
tax exempt'."
Tryout Gathering
For Cheerleaders
To Be Held Today
An organization meeting of the
cheerleaders squad will be held at 3
n m. fniv in Ronm A of the TTninn

all should be said about the trial be-
fore its conclusion. This question
was believed to have been before a
White House conference today of
President Roosevelt, Director Elmer
Davis of the Office of War Informa-
tion, and Secretary of War Stimson.
Apparently the decision was to give
out some information but leave to
Major General Frank R. McCoy,
president of the commission, which is
sitting in life or death judgment on
the accused men, the question of
what should be said.
After the first statement, it was
announced that there would be no
release except from General McCoy.
House Hears
U. S. Proposal
ForSubsidy
WPB Executive Describes
Plan To Help Hard-Hit
Small Business In War
By The Associated Press
WASHINGTON, July 9.-A War
Production Board executive outlined'
to the House Small Business Com-
Tmiittee today a proposal for govern-
ment subsidies to an estimated 24,000
small industrial enterprises confront-
ed with the ibrospect of being "forced
to shut down before October,1."
Philip D. Reed, chief of the Indus-
tries Branch of WPB and in private
life chairman of the board of the
General Electric Company, told the
committee it was urgent that small
business be preserved to prevent
"a tremendous and imponderable
change" in the nation's post-war so-
cial and economic structure.
As Private Citizen
Emphasizing that he spoke as a
private citizen rather than as a gov-
ernment executive, Reed told the
committee there were approximately
24,000 small concerns unable either
to fit into the war production pic-
ture or to obtain material for civilian
production. This figure, he said, did
not include thousands of retail and
wholesale enterprises for which his
proposal suggested no relief.
Reed suggested the creation of a
government agency authorized to de-
fray, during the period of enforced
shut down, the minimum fixed
charges and maintenance costs of
plants closed down because of War
Production Board orders and to
make loans "at favorable interest
rates" to plants unable to operate at
a profitable level.
Handled By WPB
This program, he said, could be
handled through the War Produc-
tion Board if necessary, and would
cost an estimated $200,000,000 based
on the theory that fixed charges of
the 24,000 concerns would be five
percent of their total previous busi-
ness of $4,000,000,000 annually.
Chinese Trap
Jap Invaders
Large Forces Ambushed,
Routed In Sharp Fray
CHUNGKING, China, July 9-)
-A Japanese force of 30,000 has been
ambushed and routed with the loss of
at least 2,000 killed and wounded in
heavy fighting tin Kiangsi Province,
Chinese Central News Dispatches re-
ported tonight,
All told, the Chinese unofficially
reported nearly 5,000 Japanese casu-
alties in various fighting sectors in
recent engagements.
Meanwhile, the headquarters of
TT 1 TAPn+ _ ir-n Invp nh W *iwn

Armored Divisions Spring
Toward Stalingrad As
Resistance Gives Way
Industrial Sector
In Grave Danger
By HENRY C. CA~SIDY
Associated Press Correspondent
MOSCOW, July 10, (Friday)-The
massed steel might of the German
armies in South Russia had driven
to within 235 miles of industrial
Stalingrad on the Volga today, but
the determined Red armies held their
ground firmly before gravely imper-
iled Voronezh and the upper reaches
of the Don, the midnight Russian
communique disclosed.
"During July 9 our troops con-
tinued their stubborn battles to the
west of Voronezh, and in the area
of the town of Rossosh," the com-
munique said.
Southwest Of Voronezh
Rossosh is 100 miles southwest of
Voronezh and 150 miles directly east
of the great steel city of Kharkov.
On a tributary close to the Don,
Rossosh is 90 miles northeast of Ku-
pyansk-the first major point cap-
tured in this major German offen-
sive of 'the year, It lies only 235
miles northwest of Stalingrad, on
the broad banks of the Volga' cqm-
manding the northern approaches to
the oil bearing Caucasus, which ap-
parently is the German goal.
The, criticalnature of the fighting
in the Rossosh area was pointed up
by the fact that the town lies
on the Moscow - Voronezh - RostoV
railway, the last remaining north-
south link over which supplies are
funneled to the desperately pressed
armies of ,Marshal Semeon Timo-
shenko.
Fighting Near Town
The assertion that the fighting
was "in the area of the town" sug-
gested that the railway might either
be cut or at least gravely threatened
over a 100-mile length. Already, if
not cut, the rail'link probably was
under attack of dive-bombers or long
range artillery.
Three ships totalling 22,000 tons,
a tanker and two transports, were
declared sunk in the Baltic Sea. Sovi-
et submarines have been active in
that "German lake" fornnearly two
weeks, disrupting German transport
lines to their siege lines before Len-
ingrad and the north. They also
have interrupted the iron ore and
timber traffic with Sweden.
Tells Of B~attie
Telling of the great battle on the
Upper Don, the communique said:
"On one of the sectors west of
Voronezh, fierce battles are continu-
ing."
The communique said "no material
changes took place on other sectors."
A huge mass of 800 German tanks
was reported stalled on the west bank
of the Upper Don and Timoshenko
was reported counter-attacking bold-
ly in an attempt to crush the enemy
before he could cross the vital water-
way in force.

Sub
In

Damages Battleship
ring Manever

i

South's Education
Policy Is Praised
y Edgar Knight

By The Associated Press
MOSCOW, July 9,-Russian naval
authorities said tonight the German
super-battleship Tirpitz had been
put out of action for several months
by the daring attackh of a Red sub-
marine, but sakv her sortie into the
Arctic as evidlence that the Nazis
have turned their main naval effort
against ship lanes from America and
Britain to Russia.
Twice torpedoed and officially de-
clared seriously damaged, the Tirpitz
limped back to the shelter of a west-
ern Norwegian fjord with her accom-
panying squadron, the pilots of So-
viet reconnaissance planes reported.
There, while undergoing repairs, she
may be vulnerable to renewed RAF
air attacks.
Russian dispatches said the sub-
marine attack disrupted operations
of the strong German squadron
against a big Allied arms convoy, and
that all ships of the convoy reached
a Russian port in safety,
Lend-Lease Aids
Refugee Countries
LONDON, July 9. -(JP)- United
States Lend-Lease agreements signed
in the past two weeks have eased the
financial burdens of refugee govern-
ments, only three of which are en-
tirely self-supporting.
Thea reepments will helnpnuin the


Bodycombe Pitches No-Hitter
As Michigan Blanks Blue Front

Praising the educational conserva-
tism of the South, Edgar W. Knight,
professor of education at the Uni-
versity of North Carolina, continued
the School of Education lectures in
the University High School auditor-
ium yesterday afternoon.
He described the South as studying
itself more intelligently and ener-'
getically' than any other section.
"The educational conservatism, so
often viewed by outsiders as a sign
of backwardness, is in reality one
of the most vital and valid qualities
of American civilization," he said.
The South is not congenial toward
educational quackery or raving peda-
gogical adventures. He stated the

Stialt Session

I

Dick Bodycombe pitched himself
into the hall of famelast night when
he hurled a brilliant seven inning
no-hit, no-run game against Blue
Front in a very close contest as Mich-
igan won, 2-0. The victory was the
third straight win for the Varsity
nine.
Bodycombe was in exceptional
form as he completely baffled the
Blue Front batters with his curves
and fast balls. In fashioning his vic-
tory Bodycombe sent 10 victims down
by the strikeout route and allowed
only two balls to be hit to the out-
field. He showed equally good con-
trol as he walked only two batters.
One ether Bune Fronter reached first.

walk. Strat Brown struck out, but
Bodycombe rapped a single to right,
sending Smith to second. After pit-
ching three bad balls to Tom Hig-
gins, Bauer purposely walked him to
bring up the supposedly weak-hitting
John Mikulich. "Mickey" broke up
the party, however, by lining a hit to
left and the Wolverines had their
game-winning margin. Bauer sub-
dued the Maize and Blue by fanning
the next two batters. but the dam-
age was done.
Next Tuesday the Wolverines meet
Inkster of the tri-county league, and
Coach Fisher is also negotiating for
a game with the Navy Recruiting
Station from Detroit for next Friday.
The Navv team shonl h nne nf

Of War Group'I
Held I Union
A newly-formed War Heads Com-
mittee organized by the Student Sen-
ate and representing the entire stu-
dent body, held its first meeting last
night in the Union.
The committee consists of one
representative from each fraternity,
sorority, dbrmitory and rooming
house on campus. It has divided i-
self into several sub-committees,
which will handle the various defense
activities of the University.
In an attempt to coordinate the
many war functions which are now
handled by several groups on cam-
pus, the Senate created this new ad-
ministrative body. After it is fully
organized it will be the only commit-
tee handling war activities.
The committee, already helping the
Student Senate with the war-stamp
sales on the Diagonal, will probably
sponsor some social functions for de-
fense in the near future.
. i n +1- .r c otna n t . , n i ~