l \____ - nancial MAXIMS OFA MERE MAN Ls an. t than come to perfection. on, preachers and taint-It's ere are more of them bitch- Ohnrlomwws Gunilla Two cones. "Mains uumul u, realism was. 1m BRITI§§ ‘it The Pe 01w" m1 rww--"3"""---.._..‘ Covers Prince Edward- lsland Like the Dew CHARLOTTETCWNTCKNADA, WEDNESDAY, JANUARY 10,1946 1 m’? r British Prime Minister Offers Nazis No Quarter Sees Peacefu-l-TZ-uropean Federation As Reward For War Efforts And Warns Germans Of Responsibility. IONDON. Jan. 9-—(0P)-—Prime mlfinisler Chamberlain todary warn- ed the Empire that there is op- proaching "a phase of this war much grimmer than anything we have seen yet," but envisaged a pos- sible reward for sacrifices in s peacotime federation built upon Anglo-French collaboration. The Prime Minister spoke at s lord Mayor's luncheon at the Man- sion House in the first of a series of speeches by government members to bring home to the people fhat they are up against in the war. Io offered no quarter to Nazi Germany and left no avenue ‘for an "easy peace." Ho warned the German people that they "mull realize that the resoorrlbliity for the prolongation of this war and all the suffering it Inf-Y bring in the cominl Y!" i! theirs, ls well as tl-at of the’ ty- rant who stands over ihflfl- l" said, however, that the if!“ that mnaln, Wang; to “annihil- sw u" German people l8 ll "fantastic snd malicious inven- tlon." For the first time. Mr, Chamber- lain touched on the idea 0f some sort of European federat on. fl b1190- lillcal dream from the time 0f ‘l; poleon and already hinted at Y Premier Daladier oi’ Warmt- t we Speaking in clewlnz t-Pmfi 0 fl_ mlllmy, political, economic and’ co-OIJQTBUOH be 51993 cl B ltalu, he s? :3“ dgvelcl) mm 5mm‘ thing wider and deaf)“ email: there is nothing will‘! W h more to facilitate the task of 11916;‘) M "¢°°“5"“°“°“ ‘Ywch m; glioth. be taken sometime. lhif"! a toward the Denlllmence ° ‘ 1 _ gulls, than the extension of M150 French collaboration in Europe snd indeed perhaps of the Coming Events _-Q- Bato for Notices in this column 3 cents per word. S .. -_ . .__ . . "Reserve Jan. 23rd for Baptist High Tea. ‘P453 “card puny 351d ‘lijanceJl/(cilylrr; Crcs" flail W nes ul’._ ‘fin a‘ my,’ ’ L-JQI-l-tl-zir. "Parkdale Women's 1n llllklllc - ~ - 2o . Cake Sale. l-lolmans, Jaflrlklgéyldodl. wishing to nlarket ilotlly McGuigarl _& L-39u-l-9-dl. "Farmers dressed hugs Boyle, Hunter River. "Kinkora Hulk-Bingo and Dance Friday night, January hwglliolllllsdo "We buy new oose aild duck feathers, not mixed. Henry Mac- Farlane 6t Co. u-204-12-7-l-1. "Buyln live hogs at Albany. January 1 th, Friday 12th at Emer- lid until noon. Signed G. C. Green. M. W. T. t1 "East Royalty Rink tonight, Charlottetown Heartbreakers vs. Royals. Skate after. L430. "Dunstaflnago boys vs. Hor- nets Milton rlrut tonight. Skate after. 1P4”?- "Buylng live hogs Tilursda . January 11th. Also buyllla all kin s o; lpmflfifv payl ion market pr.ces. , l-l . Justin Lorkln Fve Oasgx-n-aifll 1d 1 Ilriiiiidlld digriiigt aufriepra JanuY-i dry 25th will be handed to Courts for collection. Bv Ordfifilbbloa‘ npqum-y ._ Buy ng llve and dressed poultry all kinds. PaYlIlZ "JD . i d C id Sterne goaikfiioiirlces u“ L-iil-lzl-la-tr. "Loading live non Karl-simian Thursday. January 11. l1" 3 D. ll’! Mervyn Bulman and Ray Basil!‘ Hunter River Friday till 110°"- ‘I-vlmo and Campbell. IP43?- flnance j and economic: to other nations l“ . whole world." HE sllzzested that Britain and France are finding their alliance "so valuable that the when the war is over neither of us will want to give it up." An Unholy Pact By contrast Mr. Chamberlain call- ed the agreement between Germany and soviet Russia "an unholy plot," Little Finland is fighting “sgslmt the forces of unscrupulous violence, just as we are ourselves," He prom. ised that Britain's aid to Finland, pledged through the league cl! Na. @0115. "will be no more formality," Germany, who was lnflicvnq "evil things" upon the Poles and Czechs. “exorcism their resources, carry- ing off their food, starving and shooting the people, tearing them and uprcotlnlz them from the: homes," had set an example of ag- Rfesslbn for Russia‘: attack on Fin- land, the Prime Mlrfister said. Fresh Sacrifices Ill warning that fresh sacrifices might be called for. Mr. Chamber- lain said unnecessary imnovs would have to be curtailed to leave avail- able Britain's l-esccurces of Preign exchange and of shipping so that esenlials could be bought and car- ried home. The maklrlg of munitions on the (Continued on page 7. Col 4) ovillillflllillla llTFllGllNlillllll slggnnl Grand Jury Stresses Need For Addition- al Accommodation At Institution. Both men's and women's bulld- ings at Fslconwood Mental Hos- pital were overcrowded to a “mark- Turku Castle, 13th century In ed degree.“ the Grand Jury declar- ed in it's report last night rafter inspection of public institutions. The need of a paved road connect- ing the institution with the 5t.’ Peter's road was also ‘considered an "absolute necessity,’ by-the Jury. This report, which was read be- fore Mr. Justice Bau-nders at I o'clock last night. completed the duties of the Jury at the 0118mm; of the January term of the Bu- preme Court. Foilowing ls the full text of the report: Text Of Report Charlottetown. Jan. B. 1940 To the l-lonourabl/ J A. Mathie- son Chief Justice and 11.150618“? Judges of Supreme Court. May it please your lordship. "We the Grand Jury for Que?!” County at the January sitting of the Supreme Court. respectfully submit the following report on our lns action of the Public Buildings rvh£ Institutions. “ ho Illflrnlarv was visited and inspected throughout. Mrs. Garrick, the matron of this institution has a wonderfully well managed home for the inmates. 04- ales. and 70 females, includ- ing children. “The conditions under which thwe people live would appear to ledve llttie to be desired. "The building is good in every rrspebt, the sanitary conditions ex- c llent. and the general appearance of the patients indicate the best cure and attention as to food, and clothing. We are informed that no r unable request it denied. re escapes are inadequate an we would recommend par- ticularly the desirability of im- (Continued on also 1, Ool a) (By J. F. Sanderson. Canadian Press Staff Writer) LONDON, Jan. 9—A1l British air squadrons in France were brought under a unified air com- mand today to ensure effective support to the British and French armies along the western front. Air Marshall Arthur S. Barratt who won his wings in June, 1314. and had a distinguished flying re- cord in the First Great War, was given command of “British air forces in fiance." Ends Agitu tlon The Government's decision end- ed agltatlon within the army for unified control of Britain's land and alr forces in France under General Viscount Gort, V. C., Commander-ln-Chief of the Bri- tish Expeditionaiy Force. Air Mar- shal Barratt will have equal rank with Lord Gort, working in co- operation with him and with the hell-d of the French air force. but will be responsible to the chief of air staff in London (Sir Cyril Newall) and not to General Garne- lin, allied commander in chief. Lord Gcrt will retain operation- al control of army cooperation squadrons of the Royal Air Force —he will continue to tell them what work he wants done-bur. in every other respect they will be " under Air Marshal Barratt. Speculation arose tonight as to whether the Government's dc- clslon against a single army-air command had any relation to Leslie Hore-Belishas resignation as Secretary of State for War. But this was considered unlikely lll view of Prime Minister Chamber- (Contlnued on page 7. Col 6) International At A Glance (BY The (hnadian Press) LONDON-Prime Minister Chan]- berlsln tells Britain of "grimmer" war days ahead, secs victory and peacetime federation built on Bri- tish-French collaboration; German planes attack 11 ships; lir- tlsh liner Dllllbill‘ Clflid, 10,002 long, glrlkcp mine; at least fiv; ships sunk. WITH THE BRITISH EXPEDI- TIONARY FORCE SOMEWHERE IN ‘FRANCE-lllajor-General An- drew McNaughton. commander of C. A. S. F. arrives in l-‘ranoe for conferences with visoount Gort. MOSCOW-Russian communique admits Red Army withdrawn “sev- eral kilometres" in East Central Finland after severe fighting. IIELSINGPORS -- Finland re- ports Russian lull on all fronts: of- ficials say Russians exhausted, sp- parewtly gathering strength for new assault. PARIS-French Chamber throws out four Communist Deputies; fist luau break out. , Historic ' R.A.F'. Squadrons France Come Under One Conflund ls lie-elected SYDNEY, N. 8., Jan. George B. Slaven was ire-elected mayor today, defeating former mayor S. E_ Mulzgah 3956-2281 in the biennial voting, The plurality of 1,675 was the largest in the city's history. 9—-(CP)- Castle Prey To Raiders building in Turlru, Finland, now used as a, historical museum. ls re- ported destroyed by fire as the result of Russian alr raids on the city made i.n an effort to cut rail con- nections and block shipments of war supplies from Sweden. ‘l Firstmtlfiicer Casualty Reported WITH THE BRITISH EXPEDI- TIONARY FORCE IN .F'R.ANCE. JanfiQ-JIT-T‘. uLerS)~A young of- ficer of an English coutry regiment out on patrol last Saturday night held by B-‘llsh ‘troops wa-s reported in the sector of the Maguiot Line today to be nllssirlg. He is the first officer casualty suffered by the British M11831“ forloe, Details were not available but it was believed the officer was wounded and tflk-Pn prisoner. (A Berlin ronlmulliriuc alill01lllC7d capture of the filwl Bri’. sh offlccr and said lie (lied of his wounds.) Sanity In Warwizinnncing OTTAWA, January Qth-Canadlrs forthcoming war loan can readily be expected to match the pattern of financial policy that will be uni- versally recognized as sound, and one that reflects the benefits of experience from the last great war. Borrowing, in thi; instance, ls s, means only of bridging the margin bciwcen the amount of monry ob- tainable by taxes and the actual amount. needed t0 Day the costs of a government at war in defence of freedom. ' Recognizing the pitfalls of her experience in the last war, Canada, on thfs occasion. is facing the prob- lem of war" financing lrl forthright manner Canada's financial ma- chinery has enabled her to set a COUTFe at the outset of the new world war that would have been virtually inlporsblc ill 1914; ll Will enable the Canadian people to avrlrl many of the demoralizing conso- quenccs of war. and pmt-War re- acljustmellts, uch as befall Canada and mnhy other countries ln the last great conflict. This war is to be paid for, in so far as possible, as it is fought rath- er than lo llnzard a re-petillon of inflationary price movements spiral- ling to an inevitable and expensive drly of reckoning. For the past 20 years. Canada and other countries have been paying the price of in- adequate machinery, lack of pre- cedent and foresight in financing the last war. Canada now has a broad and comprehensive taxa- tion system and the broad financial machinery required for exercising the control that is necessary to carry nut a policy v that will finance the heavy expen- Idltures involved under wartime conditions without giving rise to unfortunate mrllndiustments and their inevitable aftermath. Ill recent. years, Canada has pur- sllcd a moderaio p0l‘cy of expans- ion in company with the United Kingdom. Sweden and certain oth- er countries. In consequence of that policy, Canada was able to re- verse the deflationary trend of the early depression years and to facil- itate an exlponsion ln national pro- ductlcn and buslncs: srtivitv that has been more consLsteni. and pro- longed tllnn ill many other coun- tries. She has also effected a gen- eral reconstruction of her debt through refunding loans at lower interest rates and has repatriated, during lire last five yrars. over $900 millions of Canadian debt held abroad. The net result has been ‘history of tho to effect a substantial decrease in the co=t of Govrrrlment d~bt and to sirellglllr-rl greatly Czlrlados credit DCSllYlL i The new war loull. like probaby -all loans floatrri by Canada dur- |ing this lvnr. will be on a domestic ,basis Carladulns will provide the Hyriilcipzll and receive the interrst. The debt will be 0'.\(‘(i to nur- selves in Canadian funds, and will. therefore. not. give rise to the clif- ficult exchange problems and real burdens to the country which arc inherent in external borrowing. In borrowing within our country. the Government llcpo= to sec sonic of the real savings of the people convericd irllo vrar Inn boilds. The latest available figures show a total of $1,734,8f0.f‘f?() of savings accounts held b)’ (i"‘V\~llCl‘S in cbgll-fpl-ed bunks, the lligllcst flcure svstcrvl. 'I‘ll".=c fl"ll-*s‘ls are he'd ill over 4 million accrlurlts lvh rh prob- ably means that one out of about every three people ill Canada ha< a savlllits account. Bv crvlvortlrlg real savings inlo lvrlr loan bonds. the individual coll make s vital contribution lo Canada's war effort. and at tho snrno limo secure for himself n safe and profitable in- vcsfrment. This is a democratic war bv a democratic colmtliv, and thc war effort in every phase is organized and conducted on a dcmocratfio basis. 'I'i'1ls shows up clearly in the financial policy of the Govern- ment in nlmim: to prevent shifting of national rvcolih and income to particular groups or sections of the country. lvillcll would hp an unde- sirable feature of other methods of financing the war. Ill announcing its taxation policy, the Govern- lnent has pledged itself ‘to the principle 0i’ equality of sacrifice on the basis of ability lo pay. In lts borrowing to supplement taxation. the Government is making every endeavor to follow olit this demo- cratic principle. and by s. wide- spread a-ppcal to give every citlzcrl an opportunity to make a voluntary contribution to the success of the war effort by converting his snvngs into War Loan bonds. The i"flll is open lo popular pub- lic qlbscrirllion. Clcorly the call is strong. became the most emphatic demand is the morlll obligation of every citizen to guard jealously the rights of frcrdom and should- e1‘ his shnrc of ill" bonds just as thousands bf others are shoulder ing arms. l Terrific sinking at least three. Two other ships, or five Union Castle Mail Steamshi in the , Cflllllfilzlll bnnlrng l Nazis Intensiifiea And Air Warfare In British Coastal Waters——Warplanes Machine- gun And BombEleven Ships. LONDON, Jan. 10--(Wednesday)—(CP)—A terrific mine explosion last night ripped the lil-OOZ-ton passenger liner Dunbar Castle in two planes, in an intense invasion of British coastal had. bombed or machine-gunned 11 British or neutral ships, sunk in the last few days in the sharp burst of sea-air war- fare. Loss of life totalled at least 34. SUPERB RESCUE WORK Superb rescue work off the southeast coast saved all the Dunbar Castle’s 48 passengers and all but three of her 150 crewmen. The master and two seamen were killed. Passengers from the wrecked liner, Cape of Good Hope with 198 men, women and your ache Drink water. put the monezeuln y- MAXIMS OIL MERE MAN moist Ind leave the dry tho punch-MIL .___~_. LINER STRIKES M Dunbar Tastleami Founders After i. Blast British Nazi war- waters, after in all, were newly reported Annual lubscrlption By Inll-PJ-L I000 ' owned by the p Line and bound for the children, ‘reached London early today. some of them wrapped in blankets. broken hull. away, they related. cabin. His body and those brought ashore. The Admiralty announ- ced that one British vessel and two Danish ships had been sunk by German air- craft, just off the east coast to the north of where the Dunbar Castle was blown up. Rakcd by machine gun fire were five fishing smacks, a lightship tender and two other ships, uniden- tified as yet. One man was killed and 32 wounded out of the lender's crew of 40. l The ships which the Ad- miralty said were sunk by German aircraft were:-- S. S. Gowrie, British, 689 ions, crew saved. S. S. Ivan Kondrup- Dan lish, 3,369 tons, 10 missing, 11 saved. _S. S. Freddy. Danish. p905 tons, fate of crclv un- known. i The Nazi aerial attacks, which ‘lllVfillfd nearly g dozen ships mu- ‘ing Tuesday along the cast Eng. llsh coast, were aimed at un_ escorted vessels, the Admlrgjty said. One of the Danish ships sank three hours after a bQmb smashed her" stern. ‘Reports reached London of the mining and sinking of the 8,485- lon British tanker British Lib- erty, in the North Sea, with 20 lcrewmen missing and believed 110st. The 176-ton Dutch motor vessel Truida hit a mine and sank .off the Netherlands coast, but her crew of four was saved. Were Eating Lunch Survivors who arrived in Lon- don tonight. wrapped in blankets [said the explosion came lust as {the passengers were finishing a late lunch Tuesday. Today's Mpqfts raised the known Sea, war tell of all nations to 300 ‘ships, having a tonnage of at least 1.065.178. Berlin's Story (Berlin's account of today's .l"ni(ls claimed that. German planes. Hrcoullng along the English mu! Scottish eastern coast, attacked and (lestroycd “several nrlncfl" ‘naval patrol ships and moi-chant lvossrwls they were ccmvoylllg. Tilt‘ [German pianos all returned safely, lit was claimed.) iCoutinued on page '1, C01 5) The ship cracked clean in half after the They told how the explosion plunged the ship into darkness and said the lifeboats had trouble getting away because of the suction of water, rushing through the boats were CAPTAIN KILLED Captain H. A. Causton was on the bridge at the time 0f the explosion. He was found dead at the door of his 0f the two crewmen were News Briefs ._.__,._ , OTTAWA, Jan. 9 —(CPl --Pro- ‘gross vras made toward a basis for zlgrcemcnt between Canada and the United States on the St. Law-r- ence-Great Lakes seaway and pow- B!‘ DH’ t at a conference between Canadian and United States ex. ports which ciosed today. the United States delegation left Ottawa toilizht for Washington and it is planned t9 have p, fur. thcl- conference Jan, 22 when the Canadian exports will go to the Unit-ed states capital, _ OTTAWA. Jan. 9—fCl'l -_cab. Ii-Bt Council today was presided over by Justice Minister Lapolnte in the ubsvncc of Prime Minister his offici- in Lsurlrr House en- gazed with a multitude of affairs. No statement was issued at con- clusion of (‘ounrli other than that H"! lWXt meeting would be held Thursday. l l l (By Andrue Ilorrlingl l (Associated Press Staff Writer) WASHINGTON. Jan. 9 —-(AP)— ,Al"~1lf>ll.£'ll m» United States Gov- ‘Pfllllwflt has protested against Lscillllre of United Stales mails bv lGrrat Britain, it will not let. its .ob_lcr~ti<rs be llscd to promote tho qxlssage of rllcqllrs, money orders 'Flll(i securities l0 Grrnlanv in Am_ eriran poslal sacks. ' 1t is learned on high authority ‘llolvever, that the State Iypart- lmcnt docs not 0b_l'cct to British ,scarch of American malls which ‘contain cheques. mollov orders, drafts. notes and other negotiable llnslrumcnts destined to Germany. MONTREAL, Jan. ll-rcm-S. J Hllngcrford, Prosiciclli of Cnllndmln National Rnillvrljcs, u/iIl leave Monr- ‘will sllfifvy on n irlql to the Mari- llmc Provinces, C. N. R. off claLs lsaid hero lolliulll 'l'll!\v nddcd the ‘date of ills doparturr il'f‘l‘li Mont- l real has llol rel. been fixed and de- tails of his i1ll~lll",\< ill lhe Nfarillmes -ilflVf‘ not i7"("ll FIlVCYl, first national war loan will be launrhrd r/vl Mrndnv morning Filllllifl‘ Nlilllstrr Ralsion announc- "(l loifzzvr. at a pros: confr-rence. EVFll lil" fllosf. lll-flfiflSl. Canadian llvoslo on opportunity" ‘o pa lnnlc ill Hi0 counirys war r-lforl. llv sullscrill m! lo bonds ln de- l llolllillllilrllls as low as $50. lorm lvil‘ l|i ho made known until FVHM‘ ill lxlllu and lion books will open Monday. “.00 DlllIoIOI l Cllldl lntl U-S. ".00 Silver Fox Prices Down In Montreal MONTREAL, Jan. O-Offiotsll ~.f Canadian Fur Auction Salon fclnpany opened a four-day auc- tion of silver foxes today and ro- ported prices were nine to 16 per cent lower than the last sale, held in December. Today's sales follow: Select 1-4 to 3-4 silver, ‘l5 pol cent sold; decline, 12 per cent. Select full silver, 56 per urn/t sold; decline, l6 per cent. Regular full silver, 89 per cent sold; decline. nine per cent. Inferior typm, 5B per cent sold; decline, 10 per cent. soldl) Low grades, 81 per cent unchanged. ‘(O-DAYS NEWS is f0 MORROWS WF? APPtN Q . ~.»¢ Thermometer Extremes lMaokr-nzic King who remained at ‘l l __ 1 OTTAWA.JIHI,9—lCPl—Ct1ll&dB'S - Actual (lolwils of lilo interest rate. mnfur‘i’~< and Vial volume of the lllc subscrip- F 31E i Yesterday's highest and inwz-s; thermometer ffiildinqs are 1m“. ‘cated above. Maritime Provinces: hlildrrntg winds. mostly northwest; fair and cold. Synopsis: The weather has been Bfllefally flit with somewhat high- er temperatures today in Ontario, -. while in the Prairie PFOVlllFOS fem» peralure continues motivate and light snow ha». occurred in .1 few l, districts. ‘l TORONTO, Jan. 9-lc"i>l_lullli_ lmllnl and maximum lPllllYfillllfflSl i Dawson 1B I Vancouver 33 t0 Edmonton 1B l ; Regina B 15 ‘ Winnipeg 4 11 Toronto 7 26 Ottawa 13B l2 Montreal 3 16 Quebec 8B l0 Saint John 0 ll Halifax 9 33 ' Charlottetown 14 3d l High tide this lllorllllc at 11:48 land tonight at 11:10 Sun sets this afternoon M. 4:31 and rlsis tomorrow morning at. 7:37. First Quarter morn Jan. 1'1. 213‘ l p.m. ‘- . _ Silnlmcrside tide 18 ll‘..l\l"\"~ lPiel = than Charlottetown. TIIE (‘Alt FERRY RAILINGS Leaves Borden 9.45 AM. 100 PM loaves Tormentinc 11.00 A. M4 3.05 P. M. \ “s 44w.» ...:.\ ,u . l_»<u‘A<nL‘-m' .