Weather, forecast prince Rupert and Queen Char-tte Islands Fresh south to south-last wind' unsettled and mild with rain. n misgivings that Canada's pur-, the same period long dated similar the United be ' to $604 million. This meant States mav have to million IllllilVll H" if'-" """i He paid high tribute io lle work of the Bank of Canada ana the Foreign Exchange Control ooarn . .. . i.. virtually annihilated in the Plndus mountain area at the end of last week. With the co-operation of the Bri tish, the Greek alrforce Is also making a good showing. Eleven Italian planes were definitely destroyed yesterday and posibly ten more were brought down, it is MAnA ARI.F. TO I A-KKY M WAR EFFORT WITHOUT UPSEHING HER ECONOMY - - m m I spaci v Limited Unlv lsy volume inai v.u uc luixnaiu- callv Produced. President of Canadian nanucrs Association Tells Toronto Meeting IK Canada's financial ability a W A 1 A S ivw"w- - - , n nanrt a nnv urnv nTtnrr wirniiiii. iiu.stfL lu liic i aviuimi A it il 1 . iL nnH AnknH w nnmir in nAiinnni nnur iir i i m viiiiiiiii i iuii. 1.1111 iii.v.ii(tti ii--j nir rfi tif niiinnn rinni'jritn r 1 . .1.11 i i iv. 111 iuv.iiw III rNI II IF I II II Ifiri U.llllll II .1111111 11 I1V.I.L1IIL. A VBIVw MP nacon thi. aamv Atrnn nnnn a rp- piuon or me cnarterea oanics at the. Pnri rvf (Via flfcf rf u-Qf H Veil a.i UtviTi f hp pvtnt nf tho i-oun- try's material, natural and financial resources. 'A nation's war effort " said Mr. Jalfray, 'must, in the final analy sis, be governed by its financial strength A sharp condemnation w suggestions for inflation or "fun- Other highlights Included a warning thaf ftvntl 1 J av- mcs could, by its Impact upon tions of deflation; an expression of On VI f 14 Aft tn Im Arvn A ftn Vl O neat problem; a declaration that view of the part played by Cane's mines In supporting the na-"on'g war-time buying strength, governmp couragemcnt to mines to Increase Mr. Jaffray had nary purposes, uunng mc ui year of war deposits of all kinds) In the chartered banks had increas-1 ed by $46 million and now stood, -l no miri oc nf Aiieust 31st.' 104(1 Balances wltn tne uanN 01 Canada, cash and other immediate ly available assets had decrcasea from 22 per cent of total deposit liabilities to 19 per cent in the same period "a moderate decline indeed," commented Mr. Jaffray. Curent loans to the public at August 31st this year had reached $939 million an Increase of $113 million in actual financial assist-nn hoinir extended to customers throughout Canada. Bank holdings j of short term, hlgh-graoe uomm-lon and provincial government securities, all maturing within two years, had risen from $443 million at the outbreak of war, to $700 mll-ii i A.,of list. Mils vear. In LONDON, November 15 Whether i& ue on account ox ine uniavr- M J MI i"n:H I tM 11linri.liH i 1 1 F I 4 I- Iln1l . 1 .U. ....,. 1. ... U-....,. UintTK .1 III IIIIIIL. kJULaa AWE 11 UOOWI I I IL1I A 11.111 lilt. Jill" v. v v 4 , v v. sr - w - 40 C" " vancc All Along the Line Almost Driven Out of Greece MEETING AT INNISBRUK INNISBRUK, November 15. To discuss, it is believed, the military situation in Greece and Egypt which is going badly for the Italians, the German and Italian military commandcrs-in-, chief are in session here today General Wilhelm Kltel of Germany and Marshal Pietro Badaglio of Italy. transfer eneratlons to another area which may be productive of more iromed'ate and telling remits or by reason of ths greater cffectlve-nces at defences, London, both by day and nlht. Is definitely lightening up. This has been apparent durln? the pas week although the bombing attacks have by no means ceased and Londoners are not believing that they may not be resumed again on as great a scale as ever. Th air raid defences are Im proving aU the time and proving w t ir. nm .i : ever more deadly. ATHENS), INOVemoer id: lrj nuvancuig evry- Nwht pcks on London of late pfAnlr fnrpoc Viavn nsQiimpn tnp 1n1t.1at.1vo aramst . -u como . luiinna oil alnnrr tho frnnt nnrl havo now almost rnm- vfti?m4 hnt after midnight now. tVin invnHora nut nf tho rnuntrv. hrnm all (uonttmiea on raae inrwj . i r 4Ua i; Lmi o t trmr Atnf vpnnrrc nr mminiipri IILS Ul kllW I W9 . 1.. ..kAB nn MiH AF1 T rll IIQI. ITIC On oitw vi nx tun icuiaui ws-w o . I it, Vnlnmni T Ivnp artri -w. il.. Ua IUaU KoaItb a rro incf It was revealed today that not one but two Italian divisions were HIS ROW ISJ0UN0 Serjeant Major James Stewart Lost Life in Fall Pown Canyon Cliff The body of Sergeant Major Jamr Stewart of the Royal Canadian Encineers was located yeV terdar bv searchers In the bottom of a creek canyon between Salviis and EJtslew. one mil'e north of ;the Canadian National Railway line, i according: to advice received last ! evening by Sereeant C. C. Jacklln, chief of provincial police, from i Constable McKay who was direct-! Inr the search. Owing to the ni-r-I ged nature of the country, It was impossible to bring out the bodv I yesterday but the oarty was eolnt In early today. The remains are expected to reach Prince Rupert this afternoon. Pending the arrival of the search party, details of the tragedy are not available except for the Information that Sergeant Major Stewart fell over a cliff and mt Instant death In the canyon below. The rough terrain was covered with snow and ice. Sergeant Major Stewart, who came from Victoria, Is survived by a widow and small daughter at present here. that to the extent of approximately . .,!.. 'of Taranto i ' $140 million the banks swung irom longer to shorter date securities to thoroughly nquia pui- maintain maiutuiu a a mu.e. - - .. -i "u expressed connaence in "wnpire's ultimate triumph over - Hon and to aid in wie HUerlsm. financing of war contracts and otn- Banks After War fer business. Notes ln circulation of Dealing with the effect of the one all banks showed no increase Bank 'wot war on the position of the, of Canada net circulation was up hatred banks, the bankers' presl- $127 mllllon-$13 million of thj i to-distressed their ability to finance crease being held by the chartered the balance, was not ; in cx-ln Requirements of their customers banks; wr effort until victory without cess of the day-to-day requirements 2"" "e uSequlre- of the country's Increased volume ffiei of their CU8iomera for ordl- (Continued on Page Fwe) THREE BIG SHIPS OUT Damage to Italian Navy in Taranto Even Greater Than at First Reported LONDON, Nov. 15: (CP) The Admiralty today announced that reconnaissance had established that three Italian battleships were ser-tmislv erinnled In the aerial torpedo attack on Taranto Monday night. Previously only two had been aei-lnlteltf reported crippled. The com munique said that the Italians were trying to salvage one battleship. Since the raid on the naval vessels hv the fleet air arm. another serious blow has been delivered on the port Rlf, flUNS POUNDING Coast of France is Again Target for Britain's Heavy Artillery LONDON, Nov. 15: (CP) Heavy British guns on' the southeast coast bombarded German gun positions on tho French coast this afterp.ckm. ROV1NCIAL LIBRARY VICHY REVOLTS J VICHY The Vichy government is reported to be up in arms at the persecution by the Nail invaders of the people of Lorraine who have been rooted up from their homes and given the choice of movin? to Poland or elsewhere In occupied prance. Three hundred thousand people are said to h- involved. definite split between Premier Petain and the Nazi covernirient Is reported and D.M.R. German news agency admits that the recent agreement between France and Germany will not go into effect because the French reople will not accert It. U tb Vlchv iKOvernment is too har1 -re-sf d. It l sutrested General Weyeand may set up a new French government in Morocco. MHST OF CONVOY SAFE LONnON ThIHv-two vessel of a convoy of- Mirv.ei?ht whi"h th GeTmnn cblmel last week had hem totally destroyed in the Atlantic Ocean have now reported safe in port. ARTILLERY DUEL LONDON ' Bo-'h Mes of the Channel coast . shook for two hours today a a fierce long rante artillervbattle took place between British and German guns. Shells kille'' a number of persons and wrecked buildings In the Dover area. WARSHIP DAMAGF.D ROMF 11 is Claimed here, hat an Itfillan submarine madc.three dlrerf h'ts oh a British warshio of. the Ramilics (29,150 (on) class officify and badly damaged the vessel. MTNE SWEATERS LOST LONDON --The Admiralty announce? the loss of six minesweepers. The crews of three were lost. Crews of the other three were saved. SPFflJIATF. World Still Wondering What Hap pened When Molotoff Met Hitler This Week DEMAND' ISTANBUL LONDON The Daily Herald, in a dispatch today from Stockholm, reported that Germany and Russia were demanding that Turkey cede Istanbul to Russia, thus giv ing the Soviet complete control of the Bosphorus and the Dardanelles. Turkey would receive important concessions in Syria and Iraq In return. Acceptance by Turkey of the demand Is hardly expected. BERLIN. Nov. 15 Speculation Is still rife as to what may be ,the out come of the conference this week when Foreign Minister V. M. Molo toff of Russia visited Chancellor Adolf Hitler In Berlin. It Is still forecast ln some German quarters that Russia Is about to join In a four-power pact with Germany, Italy and Japan. However, indica tions are that deliberations have not been finally concluded and It was suggested today conversations will be resumed. A general plan for the dividing , up of Europe. Asia and Africa be- tween the four AxU powers Is said to have been discussed at the Hitler Molotoff conference. Europe and Africa will be split up between Germany and Italy, according to the plan and Russia will get octree hand In India and Japan will control the Far East with a non-aggression pact with Russia. CHICAGO WHEAT CHICAGO, Nov. 15: Wheat futures were unchanged to ic lower today with December at 8978C NORTHERN AND CENTRAL BRITIS H COLUMBIA'S NEWSPAPER COVENTRY HARD HIT I BY BOMBS Heavy Civilian Damage Done Wlthj . Thousand Casualties in Midlands City Industrial Centres Unscathed SIXTEEN DOWNED TODAY LONDON, Nov. IS: (CP) Six-tfi r-mar -lanes wre brought dotv? over G-xt Rrifiln today and to were dest roved lastnijht, the P'.HHrv of Information announced -today. COVENTRY. En".. Nov. 15: rCP of. devasta ! Tomorrow's Tide High 2:00 ajn. W5 ft 13:45 p.m. 21.3 ft. Low 7:50 a.m. 7.4 ft. '20:29 p.m. 3.0 ft. " fru-,. price: s cents wre . g PRINCE RUPERT, B.C., FRIDAY, NOVEMBER 15, 1940. w , v , i. a 11 1. 1 l. . Budget Is Now Fully Balanced ri a i i ii .if u rvi .1 i vv u K.I BHk azi and fascist War Chiefs In Session As II Duce Losses Out RAIDS ARE EASING UP ON LONDON Fewer Naxl Bombing Plane Get-tin? Thorush to Capital These Days HIttirfg Other Areas WAR NEWS More nealthv risca! Position of Province Revealed in Budget Large Increase in Tax Revenue and Lowering of Rolicf Costs Among Disclosures by Finance Minister VICTORIA, November 15: (CP) British Columbia can anticipate a fully balanced budget for the current and next fiscal vear, Hon. John Hart, minister .of finance, told the Legislature today in presenting his fifteenth budget. No new taxation is called for. Mr. Hart said the budget was balanced by revenue surpluses totalling osuuu tion today after Nazi bombers from over an eight year period of which dusk to dawn overnight dumped $i2,c90;544 was allocated to debt re-dp"iWtv- load? in ceaseless relays. demptlon and $13,234,000 to unem- At lea" ine tnousana are uu i.n-i,, rreriitl inlured. Victims were buried under I van. nUs of wreckage. Fires lick- balance of $2,361,622 for full sinking. SATISFIED ATCRETE ed through the town. The famous fund Instalments. - ''t'Tith Centurv Coventry Ca- Mr Hart nredicted revenue of ! Good. iood .Proe''c?,. Progress, thedral if but one of the many $31,957,391 for the fiscal year end-; .-lH!r.- In ruin'. S-iarcMv a slnnle March 31. 1942 and estimated! Being Made in Making British Stronghold in, Mediterranean sfeet in the citv. throuth which expenditures of $29,947,207, leaving Lartv Oodlva once rode on her wh'te $2.010.184 to cover relief costs which CAIRO, Mw November n 15 in. (Canadian, . j 11 7 ' . Press) Oeneral Sir Archibald wa- n',-r. il",--. PTcfa c mot ir.p u.r rvrauuiiii- ui had naa droDDed oroppea ranidiv rapiaiy in in ine me iui last t . - : . , . .. .. ' ,, , , raiders. It wa the worst contlnu- He looked for the largest " to Crete, said tay thaV Jie m, exrrienced by anv city. ingle revenue lncrease ln lncome np . . ., 4i c . . . . was satisfied with the urosress or inenin mi i.onacin. since uie sicac , v mh rh vsi evnprrprt tn he un : w . . of Britain bean. S2.100.000. lrK TOKe UJ!SJ Dp,ite the violence of the nteht- ' , . "f . . "---8--u'u Mlnister t of Finance announce .Britain in the eastern Mediterran- lon-r attack and the fact that hun- aircraft drooned ed that a survey of mun dpal needs ean. rireds nf e.nemv would be conducted with sugges- the'r heaw mis1e over a wide- nre, t the mutant Mid- Uons of the government to be pre-; property. ' .nTaftr)rt nentre, an of- sented t0 Hous. .aJ: &ext' Mr. Hart also announced that t tu ths session. Meanwhile a special grant government plate to assume Uabil-Ipg fi.,i -t,t.mnt sitd that the bomb- ialled-ttv damage any vital In- ?U2W,PO0 & fbool. ..pUrppsj? M .-t-ui lnt whatever should enable local governments to amounting to $f,87S,Q00l pending -- Meanwhile. London had kerely Tec,UCft "hopL.tax. levie ph real final .decision on the pension fund. V"h nuisance' raid's 'i durlnsr the : ,.! .1 ..''-r ' ' n'ht n counle of hospitals being n't the runital. tv" Midlands bore the brunt of last night's attack which also extended tn Liverpool and Wales. Nineteen Nazis Downed Nineteen enemy planes were hroii'M fovn bv the Roval Air Force drln? vestcrday In fierce air fieh-'lnr over the English Channel and southeastern r t n 4 l TJ Today London had its second air llW 1 i. AKI T x I lraid , a,arm 9f ,ne dav tWj after" . noon and Us 340th of the war Twlce ! London defenders turned back the raider's, .Twenty-four enemy planus 'approached but were driven off Tjv anti-aircraft fire and British chasers. , j Throuehout today wideoread at tacks ranged from the south coast across the Midlands, the Thames British Bombing Of German Territory More Widespread And Increasingly Effective EXTENSIVE RAIDS LAST NIGHT LONDON, November 15: (CP) Five rail- . road stations ami freight yards and two power stations in Berlin were blasted with bombs last nisrht in raids of the Royal Air Force reaching I from Stavanger. Norway, to the German submarine base at Lorient, France, in the Bay of Biscay. : LONDON. November 15: (CP) British bombing planes of the Royal Air Force continue to exercise effective care in selecting vital military objectives in the Reich nnil Nni-prmtrnllprl tflrrit.nrv for their attacks The area TeriS of the British attacks is gradually spreading out as t& down in Thames estuary and one SLr-cuyiu ui uic ivu.yai n muc 11 .... ... . i u.iAM .rtnMloArl T"h 1 c "hoc " m mmw nir rno emirnon pt nmcr itirr 'iiioa pn anil LifLLCi uiKauittui 3 ( i w iuv ovnii.ui;v v-vugki a n il tuvi, - believed to have been German col- been particularly marked during dromes and other objectives .on . .. I t'Vst aVi 4 Via nayn ana K3 ert f 'i a 5 ff 1 deri In the air and fell u-t.h .a tne oast wees. ""u w" v-.. - rroch intn tho coo Nt;wav bases, while danger of an tacks on Britain. While flames from last ntehfs Invasion of Great Britain appeared raid still crackled late this after- imminent, were a favorite objective noon, the German raiders returned for the Royal Air. Force but, now to resume the attack on Coventry, tnat tne loea or an invasion appears . . ii . i RUMANIANS DEMOBILIZED BUCHAREST Complete demobilization of the Rumanian army by tonight is ordered but i4 is subject to re-call to the colors at short notice. . Dog Meat In Reich man consumption ln Germany. This lsAnofher Indication of 'A'ViS af rHvonncc tf fho RrHlch 10 nave Dcen given up iur me nine being at least, more concentrated attention is being paid elsewhere and the scope of operations has been widened out to include numerous other points in enemy territory. For Instance, Danzig, on the Baltic Sea, was bombed for the first tlma a few days ago. The Kruppe munitions plant at Essen Is still a favorite point for subjection to attack; Already ex tensive damage has been done to this centre of production for war materials as a result of rerieated raids. Its output without doubt has BERLIN, Nov. 15: (CP) Ef- been greatly lessened. fectlve January 1 the meat of Another point that ha3 been re- dogs will b legalized for hu- jcelvlng a good deal of attention from tne Britisn bombcis of late has been the Bay of Biscay port of i Lorient in .Nazi -occupied France. blockade on foodstuffs for the The reason for this Is that Lorient Reich which has already ex- has become one of the principal haustcd to a great extent the ! bases for the operation of Nazi sub- supply of several subjugated j marines. countries. Boulogne, and Calais on the - j Channel coast are also being heav- Uy and regularly hit as well 83 atr - 'vr;M Munich an Example Another notable long range ex-(Continaed on Page 3ix) Damage To Empress Not Heavy At All As Usual, Early Reports From Hostile Sources Were Overdrawn LONDON, Nov. 15. Damage to the big Canadian Pacific liner Express of Japan, struck In the Atlantic last week by German bombing planes, is not very extensive,, a survey of the ship, following her safe arrival ln port, shows. The Japanese report, which was the first to tell of the Empress, .having been hit, was overdrawn, hejyssel.jil-though she sent out an S.O.S. while under attack, was, as it turned 6it, never in any serious trouble and had no difficulty whatever in making port. It was another case of where the enemy or, his sympathizers exulted Vlii'-tiQtit ( J