U.S. READY FOR EMERGENCY

Southland Times, Issue 24112, 29 April 1940, Page 7

U.S. READY FOR EMERGENCY

Elaborate Plans Of

Army

PAST MISTAKES AVOIDED

(United Press Assn.—Telegraph Copyright)

(Received April 28, 6.30 p.m.) WASHINGTON, April 27.

The Assistant Secretary for War (Mr Louis Johnson) disclosed the elaborate nature of the plans of the United States Army in the event of involvement in war. Disclaiming any intention to create an impression that war was imminent, he revealed that cantonment sites had already been selected, whereas in the World War this was not done until the declaration.

Mr Johnson added that purchasing agencies had been co-ordinated to prevent a repetition of the situation in 1917, when six defence agencies bid against each other. Instead of a dangerous concentration of munitions plants in the north-east, at present there were 10,000 plants scattered throughout the nation prepared for emergency. The development of team-work between the army and the railroads did not necessitate regimentation. “In a world in which reckless leaders have stretched out greedy hands for conquest, we would be criminally negligent if we did not defend our heritage,” he said. SIR JOHN SIMON IS CRITICIZED LONDON, April 27. Leaders of financial opinion regard the measures of the Chancellor of the Exchequer (Sir John Simon) as so inadequate that they are forecasting that there will be a second Budget next autumn. Many declare that Sir John has deluded the public about the extent of burdens that will have to be borne. They instance his undertaking to provide from revenue less than half the total expenditure of £2,667,000,000. It is feared that the Chancellor’s timidity in raising taxation has seriously increased the menace of inflation. Sir John Simon is expected to explain the new purchase tax when the Budget is again before the House of Commons next Wednesday and Thursday. His speech was left unfinished at the end of the sitting last Thursday because with out the suspension of the Standing Orders it was impossible for the House to sit after 11 p.m. There is still general anxiety among retail traders to receive the earliest information on the rate and scope of the proposed tax. EFFECT OF BLOCKADE ON U.S.A. (Received April 28, 6.30 p.m.) WASHINGTON, April 27. The progress of the smoothing-out effect of the Allied blockade on the United States is indicated in a statement issued by the State Department describing the results of the conversations by the French representative, M. Charles'Rist, and the British representative, Mr Frank Ashton G. Watkin, with United States officials. It was announced that the “Allies desire to diminish inconveniences to neutrals’ interests and trade in every conceivable way, provided that the effect of the contraband control is not lessened. This the Allies consider an absolutely essential part of the war.”

On this issue the United States has reaffirmed its reservation of all rights under international law and its refusal to accept any principle involving interference with bona fide neutral trade. The Allies made a slight concession in the case of the blockade on German exports to the United States, on which it stated: “It is recognized that the measures created cases of hardship, on which there is every desire to give redress in such grievances where they prove genuine.” The Allies accordingly are prepared to re-examine rejected applications by United States importers, also applications respecting categories of goods unobtainable except from Germany, presumably referring to optical and precision equipment. The Allies have promised to make efforts to maintain purchases of United States agricultural products in “compatible circumstances.” Nevertheless, the statement emphasized large increases in United States exports to the Allies and added that such exports are continuing to increase.