I! Weather Report Tomorrow sT ides fit Prince Rupert Clear, cool, High .. 9:41 a.m. 20.7 ft. 'calm. 22:30 p-m. 18.0 It. Low ... 3:04 a.m. 7.3 ft. 16:10 p-m, 5.1-It. NORTHERN AND CENTRAL BRITISH COLUMBIA'S NEWSPAPER PRINCE RUPERT, B.C., SATURDAY, DECEMBER 13. 1941. PRICE: FIVE CENTS apaese Nazi Calrophe In Quarter Million Man Army Before Moscow Is Utterly Defeated Vast Quantitcs of Materials Being Abandoned by Germans in Their Disorderly Retreat Over Frozen Plains Is Greatest Soviet Victory. LONDON, Dec. 13: (CP) German set-backs in Russia typified by Soviet announcement of the utter defeat of a 750,000-man army before Moscow, may develop ca-ui: rophically for the invaders, London military commentators said today. Observers expressed the belief that the speed with which . 1 Heading For , ! Mediterranean? LONDON, Dec. 13: ' A British source said today that fhe bulk of the German air force, which is reportedly be- ing withdrawn from th Rus- sian front, might be concen- '.rating for a terrific assault oij the British Mediterranean 4 fleet He said Axis attempts to defend North Africa are doomed unless the supply route across the Medlterran can Is opened. SALES TAX BEING CUT Automobile Industry Is Being Assisted To .Maintain Price Structure , OTTAWA, Dec. 13: The form oi assistance granted to the Canadian automobile industry, in order k enable it to maintain the 1941 price structure as the price ceiling or. 1942 automobiles, has been a writing down of the sales tax, It t learned here. Some mystery about this matter far unclarlfled by the price control authorities of the Wartime Prices and Trade Board, has led to reports In Eastern Canada that substantial assistance has had to be given ,to the motor car industry to permit It to opsrate under the price ceiling. The circumstances under which was decided to grant rebates of aiea tax have not been disclosed, ui it is understood that motor ui production costs have gone up mid Chrysler Is understood to have installed 1942 improvements that 'uatify a variation of price from m- 1941 scale. What the position "a.-, been with the other two Canadian manufacturers, For,! 'and General Motors, has not been disposed, Rotary Club Sends Check for Queens Bomb Victim Fund The Prince Rupert Rotary Club ias sent a cheick for $102.75 to the Queen's Canadian Fund for British oomb victims. This amount Includes donations received as follows; pHnce Rupert Reading Club $ 9. Women's Navy Auxiliary .... 50. Centennial Rebekah Lodge .. 5. Alex Finnic 10. Rotary Club 28.75 Jack Morrison is sailing tonight "" the Prince Rupert for a trip to Vancouver and Victoria. captured munitions were nrfnnt.pH fnr PaH Armv Ilea nrnnlH 1---- be a determining factor. They said that the Germans were un- doubtedly abandoning vast military supplies in withdrawal under twin scourges of attacking Russians and zero cold. The German withdrawal Is continuing both before Moscow and on the southern end of the long front. Berlin admits a break-through of the Nazi lines and heavy losses as1 the Russians smash forward without regard to their own losses. .Moscow' -says thatth a, second general offensive of the Nazis with a view to encirclement of Moscow has completely crumbled. The greatest victory of the war for the Russians is resulting In the utter smashing of the huge German military machine with which it had been hoped to capture Moscow. At least twenty German divisions have been destroyed. The enemy are- in disordered flight along the frozen plains In two sectors of the Moscow front. R.A.F. IS ON FORAY Extensive Attacks Made During Night on Occupied France, Netherlands and Northwest Germany. LONDON, Dec. 13: Oi British bombers made an extensive foray over the German-occupied continent last night, blastln? docks at Brest and Dunkerque and bombing an oil refinery at Donges near St. Nazaire. The British airmen were also over northwest Germany. Forty Million Men In United States Today WASHINGTON, D.C., Dec. 13: if) National renlstration In the United States is expected to reveal 40,000,000 men between the ages of' eighteen and sixty-four Including 10,000,000 between 19 and 44 who will be liable for military ser vice. Alarms Are Real Thing I VICTORIA, Dec. 13: The Western Air Command an- nounced today that there was nn intention of sounding any test air raid alarms. No such alarms will be given unless there is reliable Information that the Japanese are nearby. Are NAZIS ARE ENCIRCLED British Forces Are Driving Westward Through Libya Toward Derna and Bengasi. CAIRO, Dec. 13: Oi British forces west of Tobruk are attacking encircled Axis troops at Ga-zala, British headquarters declared today. A communique said New Zealand forces had cut of! Gazala in a drive from Tobruk and said that other British col- j umns well in the west were caus- ! ing widespread confusion and destruction among scattered Axis units while attempting to break through toward Derna and Bengasi. WORKING MIDWAY No Interruption With Cable Communication Across Pacific, San Francisco Reports SAN FRANCISCO. Dec. 13: ff The Postal Telegraph cable department reported today it was working Midway Island without interruDtion. Earlier in the week Japan claimed" IT flad,taTteif session of Midway. Wake and Guam Islands but it has since been learned that such was not the case. W Now Russia FOUR DEAD, TRAM LINE n. C. Electric Freight Collides With Speeder On Marpole Branch South Of Vancouver VANCOUVER, ;Dec. 13: Four men were killed when a speeder collided with a j British Columbia Electric Railway freight train on !he Marpole line south of here yesterday. The killed were Ames K. Aho. Ernest llllyer, John Dj'ck j and Steve Porkyo. . TRANSPORT WIPED OUT ' 4000 Japanese and Their Boats, Enroute to Malaya, Smashed By Netherlands Submarines. BATAVIA, Dec. 13: Oi Ncth-lands submarines were credited today with t h.e destruction of about four thousand Japanese i soldiers and four transports off southern Thailand and another ! naval force was said to have liquidated a Japanese settlement on the east coast of Botneo. The transports were smashed as Japanese reinforcements were being moved to the Thailand front. News DARING LIBYAN EXPLOIT ALEXANDRIA Sweeping within point blank range, a British cruiser heavily shelled Derna on the Libyan coast in a dating surprise attack yesterday and safely emerged from one of the biggest dive-hnmbing assaults since Crete. Axis shipping and harbor installations were heavily damaged. Meanwhile, the British forces on land are steadily moving forward against the Axis west of Tobruk. A point fifty miles west of Tobruk has now been reached. AIR ATTACK ON MANILA MANILA There has been a fierce air attack on Manila and Nicholls air field beyond but the American military authorities state that damage has not been serious, defences proving effective. Jap-anese forces have been landed on Luzon Island, but the situation is well in hand. MALAYA AND HONG KONG SINGAPORE Japanese forces landing on north Malaya arc engaged in fierce fighting through the jungle with the British dcfcndeis. At Hong Kong, according to Japanese claims, the defences have been penetrated a distance of fifteen miles. SECOND ITALIAN CRUISER SUNK LONDON The Admiralty announced today that another cruiser had been sunk by British destroyers in the making the second to be sunk in two days. CATASTROPHE FOR NAZIS LONDON British military authorities here predict that the Nazi rcttcat before the Russians west of Moscow will develop into a catastrophe for the Germans. Berlin itself admits reverses, although claiming that these are only of local character. The second general offensive of the Nazis against Moscow is being completely routed, Moscow asserts, declaring that no less than 85,000 Germans have been killed between November 1G and December 10 with twenty-three out of fifty-one divisions wiped out. Enemy tanks numbering 1431 have been completely destroyed with 5416 lorries, G75 guns, 335 trench mortars and 870 machine guns. GUAM CAPTURE PROBABLE WASHINGTON The United States navy announced today that it was unable to communicate with the Pacific island of Guam by either radio or cable and added that capture of the island by the Japanese was probable. There is no confirmation here of reports that Honolulu was bombed six times during the first nine hours following arrival there of Secretary of the Navy Frank Knox. UNDER PROTECTIVE CUSTODY WASHINGTON French sailors have been removed from French vessels in American ports. This action has been taken for their own safety. French ships are still in a stale of "protective custody" and are still flying the French flag. Being Stopped Invasion Attempts In Malaya and Philippines Are Checked; Hong Kong Being Hard Pressed DESTROY ITALIAN FLOTILLA - - Three Axis Cruisers Believed to Have Been Disposed of by Allied Submarine Attack LONDON, Dec. 13: P A pack of British and Netherlands destroyers pounced suddenly on two Italian destroyers In the Mediterranean and left another burning, the Admiralty announced today. With an Italian cruiser sunk by a British submarine yesterday, an entire flotilla of three Italian cruisers has, apparently, been destroyed. GAS RATION NEXT SPRING After Then It Will Be Supplied Only On Production. Of. Rationing Coupons OTTAWA, Dec. 13: Rationing of gasoline will go Into effect in Canada next April 1, it was announced yesterday. There will be no gasoline supplied after that date without rationing coupons. Restrictions will be placed on the supplies "to drivers of nonessential private cars. Commercial vehicles wll be supplied on the basis of their normal requirements. Donald Gordon, chairman of the Wartime Prices and Trade Board, says that rationing of other goods In Canada may soon be expected. JAP ENEMY TO RUSSIA Soviet Ambassador to United States Does Not Pay Very Complimentary Respect to Nipponese. WASHINGTON, D.C., Dec. 13: 0) Maxim Litvinov, Russian ambassador to the United Stales, today characterized Japan as "our common enemy" and called the Japanese "Axis gangsters." Litvinov told a press conference "complete understanding exists or will be arrived at" between powers opposing Axis ag-gressino. NEW PRICES F0RWHEAT OTTAWA, Dec. 13: Consideration of western wheat prices In view of the new price celling policy will be before Ottawa authorities this week, It Is expected. The question whether the precedent already established with respect to Ontario soft wheat followed with respect to western hard wheat may be decided soon. The new price ceiling on Ontario soft wheat has been defined as a bushel, on a Montreal basis, which means an average of $1.12 to Ontario farmers to whom however wheat growing Is a minor line. The Wheat Board is acting as administrator of prices for the Wartime Prices and Trade Board, with respect to grains'. Spectacular Dogfight Over Manila Drynci News Agency Claims Capture of Kowloon Better News Fram Singapore Today. Sea-borne Japanese troops, which gained a foothold at Lmgayen on the west coast of Luzon Island in the Philippines, 100 miles north of Manila, have been wiped out, it was reported officially today as United States fighter planes pitched into waves of Japanese bombers in a spectacular ciogtignt over the Philippine capital. bulletins i---- ARE OFF TO . TTAWA VANCOUVER Premier John Hart and Attorney General R. L. Maitland were here today on the way from Victoria to Ottawa to confer with the federal government on terms of settlement of Dominion provincial taxation relations. EXPLOSION AT TRAIL TRAIL Four men are in hospital, one injured seriously, as a result of an exnlosion vesterdav -inthe -Consolidated Mininc &4..InLondon. authorltatlve.QuarW. Smelting Co. plant. DISTINGUISHING BUTTONS VANCOUVER Ten thousand buttons are to be issued to Chinese to distinguish them from Japanese. The buttons will carry the Chinese flag and the word "China." McCOY VS. ZIVIC NEW YORK Fritzie Zivie and Young Kid McCoy fought to a ten-all draw last night. It was a very fast bout. Referee Art Donovan took the fifth round from Zivie for a low blow. JUGO-SLAV ARMY OTTAWA Plans are being made for the training of a Jugo-Slav army in Canada. OFFER TO WASHINGTON WASHINGTON The United States government has under consideration an offer from Canada to give the United States the use of three munitions plants in the Dominion. AIR ALARM IN 'FRISCO Unidentified Planes Reported to Have Passed Over Again Florida City Also Alarmed. SAN FRANCISCO, Dec. 13: San Francisco, Alameda and Oakland, had a two-and-a-half hour blackout beginning at 7:25 last evening. Air raid alarms were sounded and unidentified planes were reported to have passed over. There were many traffic acci dents in the dark and consider-' able disorder developed. Jacksonville, Florida, also had a two-and-a-half hour t.i.r. raid alarm last night. Xmas Shopping Rush Expected VANCOUVER, Dec. 13: Vancouver merchants are preparing for a real rush of Christmas business. Shopping had been slowed down owing to the blackout at the first of the week. unuea stares strength In the Philippines arena of war is gath ering strength daily. There have been no new gains and no new landings by the enemy during the past twenty-four hours. Several Japanese planes were shot down during today's air raids. Fifth columnists, who are said to have fired red flares to attract the enemy bombers, are being rounded up. A Dome! broadcast dispatch from Saigon, French Indo-Chlna, asserted that British trooD3 de fending Hong Kong had with-, drawn from the first line of defence "following Japanese capture of Kowloon on the mainland facing the British naval base. ers acknowledged that British troops might have withdrawn fr6m Kowloon but said there was no confirmation of the Japanese claim that Kowloon had been occupied. Chinese declared today that their troops had recaptured Senchuan, strategic point north of Hong Kong, in hard efforts, to relieve pressure on the British Hong Kong garrison. Royal Air Force reinforcements are being sent both to Malaya and Hong Kong. At Washington the War Department reported that the Japanese had bombed Cebu In the Philippines and said "the enemy plan is now clearly revealed as an attempt to secure improvised air bases outside the area encompassed by our ground defences." Tonight's British communique from Singapore indicated that Japanese invasion of upper and middle British Malaya had been checked. Bulgaria Declares War on Gt. Britain And States-Berlin BERLIN, Dec. 13: The Berlin radio says that Bulgaria has declared ww on Great Britain and the United States. Last month Great Britain severed diplomatic relations with Bulgaria. Blackouts Now Suspended SEATTLE, Dec. 13: Blackouts In Washington and Oregon are being discontinued Indefinitely, civ-Uan defence authorities announced yesterday. Only 9 Shopping Days Until Christmas. I m ft! -iw,'f 111 AM m 4 t:4