- —— timmgtmt iHnnfttuj ii’tcur _ WILMINGTON, N. C., THURSDAY. JANUARY 11, 1945 ! FINAL EDITION Americans Hold 'Mile Beachhead On Luzon; And Take Fou* rft owns; Big Battle Is Looming; Tip Of Nazi Ardennes Salient Is Crumbling Draft Quotas To Rise Fast Before July 1 900,000 Needed For Mili tary; 700,000 Want ed For Industry WASHINGTON, Jan. 10.— (AP)—Draft quotas will rise sharply in the next, six months, government officials disclosed today in urging “work or fight” legislation to fill resultant gaps in war pro duction ranks. The Government proposes to ex tract some 200,000 of the 900,000 men needed for the armed forces from occupationally - deferred workers, aged 26 through 29, In war-essential industries. And only through National Serv ice legislation channeling every able-bodied person into the -war ef fort, said Undersecretary of War Patterson, can the 900.000 men be furnished to the Army and Navy and 700,000 workers be provided for industry before July 1. Patterson informed the House Military Committe of the Army’s and Navy’s plan for the step-up in inductions, which would boost draft calls from the present 110, 000 a month to about 150,000. At the same time. War Mobili zation Director Byrnes reportedly was winding up a series of con ferences with top W’ar officials to revise the list of essential indus tries so as to protect the most im portant factories from the draft in roads. In turn, some 40 members of the House agreed to ask Byrnes to meet with them to explain the nec essity for inducting additional de ferred farm youths, the largest group of young men now avail able for military duty. The farm group session was called by Heps, i.emke (R-ND), White (D-Ida'no) •nd Horan (R-Wash). Rep, Anderson (R-M'nn.) said that "there is hoarding of labor in all war plants of tire country’ and added that “you could take 25 per cent of such employes and not reduce production.’ "Why," asked Rep. Knutson (R Minn> "have 11.500,000 men in the armed forces when there are two vast reservoirs of men virtually untouched in Asia—India and Chi na. We’re just saps.” Amid these developments, the War Manpower Commission re ported an apparent “marked in crease in men seeking war job. Evidently as a result of recent government moves toward the "ork or fight” principle. In some cities gains of from 50 to 100 per cent were recorded and E es formed at employment of f cet. WMC said. No national es timate was available. Patterson’s estimate that 700,000 "others will be needed for war production and war-supporting ac juties is a dratic increase over ue previous highest six-mongh es hrnate 0f about 300,000. Patterson toted, however, that it would be necessary to add to the earlier needs a considerable number of .en to replace those drafted from ndustry for the fighting force*. ■-v_ Servicemen, Civilians Killed In Flaming Crash Of Airliner On Mountain LOS ANGELES. Jan. 10.—(UP) A passenger liner of the Ameri fan Airlines, en route from New i ork to Los Angeles, crashed in * heavy fog five miles from the Burbank airport today and burst ’’■to flames, killing the 4 persons • Board—18 soldiers, three sailors *nd three crew members. 1 tie big plane crashed against :ie s‘de a small canyon near tle Bin-bank city limits after fnximg the Burbank air terminal 01 minutes, unable to land be cause of a fog which limited visi bility and held the flight ceiling to 700 feet. Sheriff’s deputies, Red Cross "oikerg and airport rescue squads, 1 !;:ch reached the wreckage as e fog lifted, reported that all 24 'rae dead when they arrived. flames of the service men pas Sfuigers were withheld pending notification of kin. Byrnes Orders Heat Cut To 68 Degrees Partial Blackout On Display Lighting Also Planned To Conserve Nation’s Supply Of Coal And Avoid Rationing WASHINGTON, Jan. 10.—(UP)—War Mobilization Di rector Janies F. Byrnes tonight called for a 68-degree max imum temperature in all the Nation’s homes and office buildings and ordered a partial blackout of display lighting ------Mi i , VANDENBERG ASKS ALLIED ALLIANCE Senator Ends Isolationist Past With Call For Pact WASHINGTON, Jan. 10.—(UP1 — Sen. Arthur H. Vandenberg, (R. Mich.), No. 1 Republican foreign affairs spokesman in Congress, broke completely with the isolation ist pact today by urging the Unit ed States to make an immediate “hard and fast” alliance with Russia, Britain. France and China to assure permanent demilitariza tion of the Axis powers. This should be done without waiting for determination of oth er postwar relationships, he said, because it would eliminate the root of many Allied frictions over current political developments in Europe—unilateral and bilateral actions stemming from fear of reborn German aggression. His treaty proposal was the major point of a three-point war and peace program he set forth in an historic speech initiating a full-dress Senate debate on American foreign policy. The oth er points: 1— A United Nations security or ganization, such as proposed in the Dumbarton Oaks proposal, should be formed immediately with a specific proviso calling for ulti mate review of protested injustices in the eventual peace terms. He said this reservation would “at least partially nullify the argu ment that we are asked to put a blank-check warrant behind a fu ture status quo which is unknown to us and which we might be unwilling to defend.” 2— Utmost candor in all foreign relations, not only between the Roosevelt Administration and the people but among all Allies and with the enemy as well. Without suggesting appeasement, this might give Axis peoples some in centive to desert their present leaders if they knew what the price of unconditional surrender will be cheaper the sooner it comes. to have 16,000,000 tons of coal an nually and avoid possible rationing. Intensifying his efforts to con serve every material and human resource for successful prosecution of the war, he also directed the Office of Defense Transportation to eliminate all special and excursion trains and to prevent any increase in passenger schedules to resort areas. Outlining his coal curtailment or der, he warned of “an impending shortage” due to a falling produc tion that has drained stockpiles. He estimated that a 10 per cent reduction in heating of buildings would save approximately 14,000, 000 tons a year and that 2.000,000 tons more could be saved by a plan on outdoor lighting except where other fuel is used. “Therefore,” ne said, “the man agement of all office buildings, ho tels, apartments stores and other establishments are urged to take immediate measures to maintain a temperature of 68 degrees in their buildings. . . “I have asked the War Produc tion Board to issue heat requisite orders to prohibit all outdoor ad vertising, ornamental and display lighting, except in those areas where flush gas and hydro - elect ric power can be shown to be avail able without drawing on the coal supply.” He hoped that rationing could be avoided because of unwieldy ad ministrative problems and the cur rent manpower shortage, and add ed: “I am certain the public will sup port wholeheartedly a coal conser vation program which will assure the coal essential for war pur poses. I believe this action will give us the savings that now seem imperative if our full war effort is to be maintained.” Byrnes’ announcement, issued after a meeting of his WMR ad visory council, said Solid Fuels Administrator Harold L. Ickes es timated that an over - all reduc tion of 25,000,000 tons in consump tion of coal would be necessary this year. A further cut would be necessary, he reported, if there is any interruption to production growing out of negotiation of a new mine workers contract after the present agreement expires March 31. Balanced Budget, Stable Tax Law Asked By Cherry RALEIGH, Jan. 10.—<£)—In com pany' with record-breaking appro priation and finance bills, Gover nor Cherry sent to the Legislature today a recommendation that North Carolina’s balanced budget be continued and no major tax changes be adopted. The Advisory Budget Commis sion, of which former Governor Broughton was a member, sub mitted a proposed budget calling for the appropriation of $220,081, 434 for 1945-47, exclusive of $$51, 585,079 which the Assembly set aside today for retirement of the General Fund debt. The 1943-45 appropriation was $178,505,823. Governor Cherry’s budget mes sage paralleled the revnue and appropriations bills introduced to day simultaneously in both branches of the Assembly and referred to the money commit tees. Changes proposed in the con tinuing revenue act were mostly administrative, with the excep tion of a proposed three per cent tax on admissions to moving pic ture shows. The levy was lifted in 1943. The Governor said in this re spect: “I make no recommendation to increase oi decrease tax returns to this General Assembly, unless in your wisdom, it should be de cided that the necessary services of the State can only be met by the levy of some new tax. In my opinion, the appropriations call ed for in the budget can be met from anticipated revenues pro vided by the present revenue laws, i further recommend that no tax reductions be considered, except by way of minor changes so that those who are unjustly burdened may have relief by way of ad justments or credits.” High in his message, as in his inaugural address, he placed his recommendation that the State debt be retired. Before legisla tors concluded their session, both branches had passed such a measure and it probably will be ratified into law tomorrow. The Budget Commission de parted from tradition and placed the teacher salary schedule in the appropriations bill. Hereto fore, that has been left ot State education officials and the State Board of Education. Under the proposal, and in accordance with the Governor’s suggestion, the starting salary for certificate “A” holders would be $125 a month, and increments would be granted with experience. The pay for non-standard teacher ratings would be $75 a month and that for ”3-11” ratings—carried by holders of master’s degrees who have. 11 years teaching experience —would be $179, or the top. i Three Yankee Warships Are Lost In Storm Pacific Typhoon Swallows Destroyers; Loss Is High WASHINGTON, Jan. 10— (AP)—Three destroyers of the Pacific Fleet were lost during a severe typhoon in the Western Pacific, the Na vy announced today. The vessels were the Hull, the Spence and the Monaghan. ■At the same time, the Navy an nounced the loss as the result of enemy action in the Pacific of four landing craft (LST), a motor tor pedo boat, a small submarine chaser and a small auxiliary ves sel. The Hull and Monaghan had nor mal complements of about 150 men each and the Spence about 220. The commanding officer, four other officers and 49 men of the Hull were rescued. Survivors of the Spence totalled 24, including one officer of the supply corps, and six of the personnel of the Monaghan were rescued. The Hull was skippered by Lt. Comdr. James Alexander Marks cf Chevy Chase, Md.; the Sper.ce by Lt. Comdr. James Paul Andrea of Alexandria, Va., and the Monag han by Lt. Comdr. Floyd Bruce Garrett. Jr., Little Rock, Ark. The Navy said the disaster oc curred while the vessels were tak ing part in recent combat opera tions in the Western Pacific. In addition to the three destroyers. a number or vessels sunerea dam age during the severe typhoon. Next of kin of casualties of the Hull and Monaghan have been no tified and those of the Spence will be notified as soon as possible. A court of inquiry headed by Vice Admiral J. H. Hoover was convened, the Navy said, by Fleet Admiral Chester Nimitz to inves tigate the circustances. No information was available as to the identity of the small craft reported lost to enemy action. The Monaghan was built at the Boston Navy Yard and commis sioned April 19, 1935. The Hull was built at the New York Navy Yard and commissioned January 11, 1935. The Spence was built at the Bath Iron Works, Bath, Me., and commissioned January 8, 1943. The textx of Navy communique No. 567: Pacific Area: The following craft have been lost in the Pacific area recently as a result of enemy action: Four landing craft (LST), one motor torpedo boat, one small sub marine chaser, one small auxili ary vessel. The above, in addition to the loss of the destroyers USS Hull, USS Monaghan and USS Spence announced in a Navy Department press release today, together with losses previously announced in communiques and press releases, cover all losses of surface craft during the Philippine campaign up to December 31, 1944. f Germans Quit St. Hubert In Quick Retreat Most Of Enemy Apparent ly Shifted To East Side Of Bulge PARIS, Thursday. Jan. 11. (AP)—The western end of the Germans’ Ardennes sali ent—carved out in their cost ly December counteroffen sive—appeared today to be caving under Allied pressure from three sides. There were indications that German Field Marshal von Rundstedt already had shift ed most of his forces to the eastern end of the wedge in Belgium. The Germans acknowledged quit ting St. Hubert, southwestern an chor town of the salient. Although his report was without Allied con firmation, the German radio said St. Hubert, 14 miles west of Bas togne, was evacuated before the Americans entered it. La Roche, another communica tions hub on the north side of the salient, was being mopped up rap idly after having been by-passed by American armor and infantry in a general advance, and front line correspondents said the main German force had abandoned that town as well as others on the north and west. Another reverse for the Germans was an advance by the American Seventh Army to the south where the Germans began counterattack ing when it was apparent that their Belgian offensive had bogged down. The Americans pushed ahead a mile in a sector seven miles southwest of Saarbrucken, a field dispatch said. Von Rundstedt appeared to have effected an orderly withdrawal in the Belgian bulge under cover of the same foul weather that shroud ed the mid - December westward plunge of his armies and deprived the Allies of support of their tac tical airforces. The U. S. First and Third Ar mies, now less than nine miles apart at the waist of the salient after a day of battering advances through ice and snow, thus faced the prospect of finding the pocket empty when they eventually come together north of E'astogne. More than 1,000 American heavy bombers pounded at the rear of the withdrawing enemy, bombard ing bridges, road junctions, air fields at the base of the bulge. Some of the Nazi airfields had been constructed in recent weeks for close support of von Rund stedt’s drive. Only 300 fighters es corted the big ships in their daring attack. After 30 hours of violent armoied battle, American forces swept through the fiercely - defended road junction of Samree on the northern flank of the salient and drove on more than a mile south ward. Shipyard Union President Describes Body’s Revival The complete text of P. F. Halsey’s statement on the North Carolina Shipbuilding Co.’s la bor policy will be found on page 10. Jesse A. Purvis, of 106 South Sixth street, president of the United Shipbuilders of America, Inc., an independent union, fol lowed P. F. Halsey, general man ager of the shipyard, on the wit ness stand yesterday afternoon in the National Labor Board hear ing in the customhouse Federal courtroom. His testimony describ ed the revival of the U. S. A., Inc., when interruption of the C. I. O. into the local picture at the ship yard became imminent in April, 1944. Mr. Halsey had finished his evi dence during the forenoon by pro ducing for the record a complete description of the overall labor policy of tiie shipbuiling company, the eventual object of attack by the proponents in the case. He list ed changeovers in ship models, alterations in Navy requirements, shortages in critical materials and refinements in technique as dominant factors in the company's handling ow wartime ebployment. Purivs’ union is involved in the litigation through a petition to intervene filed by their attorneys, Robert M. Kermon and David Sinclair. He testified after ob jections by shipyard counsel had been raised to the introduction of a deposition by Harley Batson, ex-shipyard employe now work ing in a Colifornia plant. The Batson deposition was permitted as evidence by Trial Examiner J. J. Fitzpatrick, but assurance was given Maj. L. P. McLendon, company attorney, and Mr. Ker mon that time would be allowed for their perusal of the document and, if necessary, the taking of counter-depositions. Objections to specific items in (Continued on Page Seven; Col. *) 1 \ .— —1- __ ★ Mercy for the Fallen Foe American medics treat a nasty wound in the arm of a German paratrooper, who was wounded in the fighting at Bastogne. 1,000 Blocks In Budapest Fall To Russian Advance LONDON, Thursday, Jan. 11.— (AP)—Three-fourths of devastated Budapest now is in Russian hands, repeated German counterattacks northwest of the flaming capital have been smashed, and Soviet forces moving westward north of the Danube to outflank the Nazis have driven -^within a mile and a quarter of NORWEGIAN UNITS INVADE HOMELAND, SEVER NAZI LINES LONDON, Jan. 10.—(^—Norwe gian parachute troops have invad ed their homeland and cut the Germans’ main railway for trans port of Nazi troops to Germany the Norwegian government-in-ex ile announced today. Wearing white parkas to camou flage themselves against Norway’s snowy backgrounds, the Norwe gian troops destroyed sections of two main railways in what a spokesman described as a “good sized operation.” The daring op eration was carried out between Trondheim and Oslo, one of the cut railways running through the Dovie mountains and the other through Osterdal. In announcing the blow to pre vent the transfer of German troops from Norway to Field Marshal von Rundstedt’s Western Front ranks, the government spokesman dis closed that Norwegian parachu tists had carried out other opera tions in Norway, but he declined to give the dates or locales. The Norwegian parachutists who returned to their Nazi-occupied homeland had been in training in Britain for three years. Komarom, Moscow announced last night. Rail traffic out of Kormarom, strategic railroad and communica tions center on the Danube 40 miles northwest of Budapest, al ready has been blocked by Red Army artillery, dispatches from the Soviet capital said. The Soviet forward surge in Bu dapest also has resulted in the capture of practically all the in dustrial eastern suburb, the com munique broadcast from Moscow said. A thousand blocks of buildings, almost half as many as Soviet storm troops had gained in two previous weeks of fighting, were taken Wednesday, and the Soviet command early today stated that many factories, quantities of mili tary equipment and thousands of prisoners also were captured. The Russians now control 3.300 of Bu dapest’s estimated 4,500 blocks. Fresh motorized corps were thrown against the Nazi relief ex pedition w'hich has been battering at Russian lines 15 miles west and northw’est of Budapest for eight days in an attempt to break through to the beleaguered city. The supplemental communique said 27 more German tanks had been destroyed and 1,200 of the enemy killed in this area Wednes day. Thus, the Nazi command has sacrificed 625 tanks and more than 14,700 men in trying to reach its trapped garrison in Budapest, ac cording to Russian accounts. ___ Argentina Cuts Last Tie With Nations OfAmerica j BUENOS AIRS, Jan. 10. — (/P) — Argentina severed her last con nection with the American na tions as a group today—temporari ly at least—by announcing that she would not participate in fu ture meetings of the Pan-Ameri can Union because her rights had been ignored and the union’s con sultative procedure had been alter ed. (A dispatch from Santiago, Chile, said diplomatic observers there regarded the Argentine move as a mistaken one, cracking wide open the division between Argentina and other nations of the Hemisphere. (Argentina’s self-isolation, these observers said, gives other Ameri can nations no recourse but to leave Argentina out of their coun cils. The Chilean dispatch added that it was felt in many quarters that Argentina's withdrawal boded ill for continental peace in South America.) The announcement followed the Pan-American Union's decision Monday to postpone consideration I of Argentina’s request for a con sultative meeting to discuss her relations with other nations of North and South America. Foe Rushing Troops From Manila Area Fliers Pounding Highways To Stem Enemy Re- - inf orcement 3 f i _ ' '■"-'S. GENERAL MacARTHUR’S HEADQUARTERS, LUZON, Thursday, Jan. 11.— (AP)—« Under the impetus of Tues day morning’s power-packed landing, American troops by mid-day Wednesday had carv ed out a Luzon beachhead 15 miles wide and an average of four miles deep, still finding little or no opposition. They captured four key towns and an airstrip less than 120 miles north of Manila. Gen. Douglas MacArthur’s com munique today, the second issued from his Luzon headquarters, an nounced the four separate beach heads along Lingayen Gulf had been consolidated in the first 24 hours of almost bloodless invasion from San Fabian to Lingayen. MacArthur said the enemy “completely deceived” by the landing at his rear, was bringing up reinforcements from the south ern part of the island. This pres aged an early opening of the real battle for Luzon. Three key rail and highway bridges at Calumpit, 25 miles northwest of Manila, were de stroyed in the aerial blasting of all Luzon in support of the inva It was around Calumpit in tha dark days of late 1941 that Mac Arthur’s American and Filipino forces fought a bitter delaying ac* tion. This prevented the Japanese, who had landed at Antimonan on the east coast, from plunging straight toward Manila before the American commander had time to pull in his advanced scattered forces in the converging with* drawal that ended on Bataan pe* ninsula. Virtually isolated as were the Americans on Luzon three years ago, the Japanese on the island are forced to call upon dispersed garrisons to meet the formidable, tank-led American Sixth Army driving south from Lingayen Gulf. Somewhere south of Lingayen, Gen. Tomoyuki Yamashita, Japa* nese commander in the Philip* pines, must make a stand. How much of a stand will depend on how quickly and successfully h« succeeds in bringing troops from the central Luzon plain in the face of day and night U. S. ait assaults. The Americans crossed most of the swamps and "fish pond” areas, which posed the chief terrain ob* stacle, in their spectacular and virtually bloodless drive inland. (Broadcasts from the scene said some Yank columns were consid* erably beyond the four mile av* erage announced officially. Wealh* er was described as stormy, with (Continued on Page Seven; Col. 5)' XT Less Than 2,000 Heroes Of Bataan Expected To Be Found By Americans WASHINGTON, Jan. 10.—CUP) — Fewer than 2,000 of the 16,827 cap tured American heroes of Bataan are likely to be found by liberat ing U. S. forces on Luzon, it wa* estimated today, because death long since has ended the agony of more than half of them and a majority of the survivors are in forced labor camps in Japan, Formosa and occupied China. American civilian iternees in the Philippines have fared compara tively better at the hands of their Japanese captors, and it is esti mated that 6,000 will be liberated when the enemy is driven out tf the archipelago. While the fate of m^iy of the captured defenders of Bataan and Corregidor has been obscured by time and the inscrutabliity of the Japanese, even much less is known of the 14.933 American-Filipjno sol diers reported missing when Cor regidor fell May 6. 1942, Most art presumed to be dead.

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