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SERBIAN ARMY READY FOR AN OFFENSIVE KAISER'S PLANS HAVE GONE AWRY I; Sanitary Conditions Are Again Normal, and Forces Have Been Supplied With Money and Munitions A despatch from Rome says: â€" Large quantities of war munitions have reached Serbia. The Serbian Na- tional Assembly has voted a credit of ?50,000,000 for the continuation of the military operations. Sanitary conditions are reported now to be virtually normal; the ty- phus epidemic, however, resulted in many deaths. Large numbers of recruits, on fur- lough, have been recalled to the col- ors, and it is the intention of the Serb- ians to undertake an offensive move- ment at an early date'along the Dan- ube-Save sector. Austria and Hungary are concen- trating new troops at Sarajevo and Semlin. The Serbian Crown Prince has rejoined the general staff. The Montenegrin army, it is stated, will march side by side with their allies into Herzegovina. ALLIES REPUI^E THE TURKISH AHACKS Enemy's Batteries Silenced at Tekke Burun by the Quns of the Fleet. A despatch from London says: Fur- ther Turkish attacks on the extreme right wing of the allied forces on the Gallipoli have been repulsed, accord- ing to the Daily Mail's correspondent at Athens, with heavy losses to the enemy. The Turks opened a bombardment from the Asiatic coast on the British positions at Tekke Burun and in the neighborhood of Sedd-el-Bahr to pre- vent the allies from landing reinforce- ; ments. The Turkish batteries were I silenced, however, by the g^ns of the fleet. FRENCH FORCES HOLD EVERY HHl New Position on Lorette Heights Do- minate Whole Plain of Flanders. A despatch from Paris says: â€" After battling 120 days for the hill coiintry between Bethune and Arr^s, the French forces are in possession of sll the eminences looking out upon the r>]ziu oi Flanders. Lille, Douai end Cambrai all are visible from here. Every position along the broad na- tional road betwen Arras and Beth- une has been won except Souchez, j and also another quarter-mile of tren- I ches in the Souchez web was torn away. The attack was made under parachute rwket lights, the French ' burning bluish white and Ihe Ger- : mans greenish • white, covering the | icene of the desperate conflict with a ghastly glow. The most desperate fighting has been along the short ten-mile front from Arras to Aix Nolette, which be- gan March 9th with the taking of a tew hundred yards of trenches on the , wsttiyshed of Norte Dame de Lortte, Where there are the ruins of an old Merovingian military road. EJvery day since then some section of the German trenches has been taken, lost or retaken. Each side has been employing for- midable artillery, both of small and heavy calibre, the French guns some- what the more numerous and served with unlimited quantities of high ex- plosive shells. A correspondent of the Associated Press went through five or si.x miles tt the trenches formerly held by the Germans and reconstructed by he Prench, who now have abandoned them to move forward. Upwards of 100,000 Germans have fallen or been captured in these trenches, ac- cording to the French official count, since the second week of March. The French losses, the correspondent was eonfldentially informed, while serious, have been much smaller than those of the Germans. FRENCH APPROPRIATION TO PAY FOR SEIZURES A d-^spatch from Paris says: The French Senate unanimously appro- priated $600,000 to be used by the Minister of Marine in payment for cargoes of neutral vessels that have been seized, and especially of that of tho steamer Dacia. The Dacia formerly belonged to the Hamburg-.\merican Line. After changing her registry she sailed from Galveston, Texas, with a cargo of cot- ton destined for Germany. On reach- ing European waters she was picked Up by a French cruiser an^ taken into Sre'»t, A French prize court, after hearing the case, recommended that the French Government purchase the tergo. A babe in arms is worth two armed with toy pistols. SAYVniE STATION TAKEN OVER BY U.S. Naval Operators Hereafter Will Copy Berlin's Wireless Yarns. A despatch from Washington says: The U.S. Government has taken over the Sayville, L.I., wireless station, the only remaining privately operated direct means of communication be- tween the United States and Ger- many. Secretary of the Navy Dan- iels announced that Captain BuUard, in charge of the naval yard, had gone to take over the station, and would continue its operation with naval forces. Secretary of Navy Daniels issued this statement: "It is understood that the Sayville radio station has made application to the Secretary of Commerce for a license. The Secre- tary of Commerce declined to grant a license, and so informed the Secre- tary of the Navy, who, after confer- ence, directed Captain BuUard, as the expert of the department, to take over and operate the station. This action, which was taken under an Executive order issued by President Wilson, giving the navy authority to take over "one or more" stations, was deemed necessary be- cause of alleged violations of neutral- ity by the company's operators. It has been charged that when the navy censors had left the wireless room for a minute or two, unneutral mess- ages had been sent, and that only by a difficult and trying supervision could neutrality be strictly preserved. BALTICRAIDER A BRHISH BOAT Official Report Concerning the Sub- marine That Sank Ger- man Warship. A despatch from London says: Thu British Admiralty stated that it was officially announced at Petro- grad that the submarine which made a successful attack on a German war- ship on July 2 in the Baltic was a British boat. The statement of the Admiralty contained the first public announce- ment intimating that British subma- rines were operating in the Baltic Sea. It is presumed that the under- sea boat passed through the Cattegat from the North Sea to tho Baltic Sea and then traveled eastward for 200 miles, as the Bay of Danzig, where the warship was attacked, lies in the south-eastern part of that body of water. The distance from an English port to Danzig is about 900 miles. The Russian official communication announcing that a German warship had been sunk by a submarine said that the battleship, which was of the Deutschland type, was steaming at the head of a German squadron at the entrance to Danzig Bay July 2 when she was blown up by two torpedoes fired by a submarine. SUBMARINE RAN INTO AN ITALIAN TRAP Strategy of Captain Leads to Capture of Undersea Boat in Novel Way. CHECK TO AUSTRIAN FORCES IN POLAND BLOCKS GERMAN OFFENSIVa A despatch from London says: The check which the Russians have impos- ed on Archduke Joseph Ferdinand's army in Southern Poland and the ad- ditional strain which this has placed on the German Gen. von Mackenzen's army to the right has postponed, it is believed in military circles here, the threatened German offensive in the west, and there is now a possibility that the allies will be the first to take the offensive. In support of this it is pointed out that the attacks by the German Crown Prince's army in the Woevre, which the German press announced was the commencement of a general move- ment forward, have ceased, and what fighting is going on along the western front consists of artillery engage- ments and a few isolated attacks and counter-attacks by infantry which make little or no difference in the po- sitions of the opposing forces. So far as the Germans are con- cerned, military observers assert that they are bound to carry out their of- fensive against the Russians until there is some decisive engagement, such as the capture of the Lablin- Cholm railway, which, it is asserted, woul<l have been in their hands before now if tne Austrians advancing to- ward the former city had not been driver, back. Reports from neutral sources are to. the effect that to make good their efforts against the Russians the Ger- mans are moving troops which were intended for tlie western front to the ea.s',. To a certain extent this seems confirmed by the statement in the Russian official report that reinforce- ments have reached Archduke Ferdi- nand and that General von Macken- zen also commenced an offensive which, however, broke down under the Russian fire. A despatch from Vienna indicates the fierceness of the struggle which is in progn"ess along the Krasnik line. The Russians have brought forward strong reinforcements, probably from the interior, and are making repeated heavy attacks. Archduke Joseph Ferdinand's army has the task of holding and, if possible, repulsing the Russians. Additional great battles, says the despatch, may confidently be predicted between the Vistula and Bug Rivers. TERRIHC HGHTING AT THE DARDANELLES Prisoners Tell of Flagging Spirit of Turkish Troops and Desperate Nature of Fighting. Positions termed veritable inferno. A despatch from Mitylene says: The recent fighting on the Galiipolr Peninsula has resulted in the capture of a large number of prisoner's. Many of them, though they were not badly clothed and appear to have been fairly well fed, are all of one mind as to their good fortune in be- ing "rescued," as one termed it, from the inferno which the Turkish posi- tions on the peninsula have been for a considerable time. It is always es- sential to discount to some extent the statements of Turkish prisoners, 'as they generally think it necessary to make declarations by which they hope to find favor with their captors, : but allowing for that there can be no doubt as to the general reliability of what they say. They all agree re- ' garding the flagging spirit of the Turkish army. They state that the feeling between the Germans and the Turks is baeomin? increasingly bad, and they tell many tales of Germans being shot in the back in return for the frequent emptying of officers re- volvers into wavering or hesitating ranks. ..yiomi kwngin |.|tl)tes A despatch from Turin says; The ..(Jiomale d'ltalia says: A steamer be- ing to one of the neutX'sl Balkan ites was caught laden with benzine ^£id naphtha by an Italian warship. I The captain of the steamer confessed that he was waiting to deliver the cargo to a German submarine. The Mval commander thereupon took pos- session of the vessel, manned it with ft crew of his own bluejackets dis- guised as ordinary seamen and armed I the ship with machine guns. Then he set out to keep his appointment. Pre- I cisely at the hour and spot arranged the periscope was seen emerging from I the surface. Greetings were being ex- ! changed when the commander of the I steamer stepped forward and cried : i "Take your choice â€" surrender or be j sent to the bottom." I Stupefied, the Teutons chose the i former, and with their craft were tow- I ed to a well known naval port. AN EXPLOSION ON AN OCEAN UNER Mishap' to Steamer Regarder as the Work of German Sympathizers. A despatch from New York says: An explosion occurred on the Atlan- tic transport steamship Minnehaha on Wednesday, the day on which Frank Holt, the assailant of J. P. Morgan, prophesied a steamer should sink, "God willing." Fire followed the explosion and the Minnehaha, which had on board 15,000 tons of munitions and food- stuffs for the allies, but no passen- gers, turned back for Halifax, while her crew endeavored to keep the fire from reaching the cargo of high ex- plosives. Frank Holt's prophecy in his let- ter to his wife was written after the attempt to destroy the Capitol at Washington and before thp "ttack on Mr. Morgan. In it Holt si-id: "The steamer leaving New York for Liver- pool on July 3 should sink, God will- ing, on the 7th. I think it is the Philadelphia or Saxonia, but am not quite sure, as, according to schedule, these left the 3rd." On the margin was written: "Tear this off till after it happens." The substance of this paragraph was telegraphed at once to New York and wireless warnings were sent broadcast, with especial reference to two vessels mentioned by Holt. The captains of both replied that their vessels had been searched and no bombs found. The Minnehaha was scheduled to sail from New York on July 3, the day mentioned by Holt, but because of delay in getting her big cargo aboard, did not finally get away until Sunday night, July 4. She is said to have passed out of Sandy Hook at 11.30 o'clock that night, though no mention of her sailing was made in the usual shipping information, and it was evident that some attempts at secrecy were being made. Queen Victoria of Sweden. who has been visiting her mother in Germany. The Germans gave her a good time and a rousing send-off. She has, however, denied some of the pro-German statements attributed to her. BOTHAACCEFB ENEMY'S SWORD Colony of 322.450 Square Miles Ad<6<l to Empire in Five Months. '; A despatch from London says: Gen- eral Botha, according to an announce- ment received from Pretoria, has ac- cepted tht surrender of the German military forces in German South-west Africa. The surrender is uncondition- al, and follows the issuance of an ulti- matum by General Botha. It is stated that with the exception of the necessary army of occupation, the citizen army of the Union of South Africa will return home as soon as possible. Renter's Cape Town correspondent, in a despatch filed before the an- nouncement of the surrender, ascribes the success of Botha's campaign to his tireless and swift advance and mas- terly enveloping movement in the face of great natural difficulties, whereby the Union commander completely out- generaled, outmanoeuvred and out- witted the Germans. -\s a result of the operations, this despatch adds, all the British prisoners in the hands of the Germans have been released; 700 prisoners already had' been taken and any attempt at scattered guerrilla warfare had been frustrated. Gen. Botha's victory, with the Ger- mans cut off from the rest of the world, was a foregone conclusion, but the fact that he won it after five months of warfare, despite the rebel- lion in his own country, and under many natural disadvantages, is con- sidered by military observers to have been a remarkable achievement. To gain this victory Gen. Botha's forces had to march in the blistering heat through an almost waterless country in which the few wells had been poi- soned, and where sandstorms made it necessary for the soldiers to wear goggles. With rapid, sweeping strokes. Gen. Botha worked round the Germans, who were forced to surrender or suf- fer annihilation, and thus prevented them from breaking up into parties and continuing a guerilla warfare. ttohert Lanting. thr new American Secretary of State TWO GERMAN MARINERS CONVICTED AS SPIES. A despatch from Venice says: Capt. Liebsicher and Engineer Hoppe of the German steamship Lownis, un- der detention by the Italian authori- ties since the outbreak of the war, were condemned to ten years' impris- onment in solitary confinement. "They were convicted by a military tribunal on the cha^gre of spying. The other members of the crew were acquitted. It ivas alleged by the Italian au- thorities that the captain and the engineer of the Lownis had tried to obtain information regarding Italian batteries and submarines, and that they had signalled to an Austrian squadron when it attacked the port of .A.ncona on May 24. BAV.\RIA TO IMPRISON SPECULATORS IN FOOD. A despatch from Munich says: The military authorities of Bavaria issued an ordinance providing for a maxi- mum of one year's imprisonment for dealers charging excessive prices for articles of daily consumption, includ- ing food and heating and lighting substances. A similar penalty is to be inflicted on those withholding stocks from sale to produce higher prices, and on retailers refusing to sell to intending customers. FORCE TEUTONS TO GIVE GROUND Strong' Russian Farces Push Bach Enemy to South of Lubin. A despatch from London says: Interest in the eastern war theatre centres in Southern Poland, where the Russians, strongly reinforced with both men and guns, and with their railways and fortresses of Ivan- gorod and Brest-Litovsk to draw upon, have held up the Austro-Ger- man attempt to outflank Warsaw from the south-west. The Austrians made the admission that before su- perior Russian forces to the south of Lublin they have withdrawn from the hills to the north of Krasnik. Further heavy fighting must occur !in this region, but the Russian mili- .tary writers express confidence that :now any effort of the Germanic allies I to deliver a lightning blow has been I discounted, and that the Grand I Duke's army will be able to hold its j position and perhaps drive the invad- ^ ers back. While tiiis is going on, it it believed that there is little prob- ability of the Germans detaching any part of their eastern armies for a re- newed offensive in the west, and that , if such a move is made it must be , undertaken by fresh troops. Nowhere east of the Vistula do the ! Austrians claim to be making pro- gress in their official report. The ; Vienna communication declares, how- ever, that "numerous severe Russian attacks have been bloodily repulsed." .\ retreat is flatly admitted in the Krasnik region, where the Austrian troops, it is announced, were with- drawn from both sides of the road leading to the heights north of the town, as the result of attacks by, superior Russian forces brought up for the protection of Lublin. GERMANS PLACE GAG ON BELGIAN SCHOOLS. A despatch from Brussels says: An order has been issued by Gen. von Bissing. German Governor of Belgium, I providing a year's imprisonment for , school teachers, directors or inspect- ' ors who "permit, further, bring about ' or effect anti-German actions or state- ments in their teaching, or in other school exercises." I Power is conferred upon German officials to supervise and inspect schools at all times. Courts- martial will have jurisdiction over violations 'of this order. GERMANY CORNERS THE COD LIVER OIL SUPPLY. A despatch from New York says: Germany has cornered the supply of cod liver oil, and American dealers are doubtful whether they can obtain sufficient stock for next Winter, ac- cording to a drug market authority. Dealers in cod liver oil said they un- derstood the Germans are using it as a lubricant in place of petroleum oil, said to be difficult to obtain in Ger- many. Norway, the centre of the cod liver oil trade, is said to have not more than 20,000 barrels which have not been contracted for by Germany. *_ ITALIAN CRUISER SUNK. Torpedoed While Reconnoitrinu in Upper .\driatic. A despatch from Rome says: Tho Italian navy has suffered its first serious loss, an Austrian submarine having successfully torpedoed the cruiser .\malfi in the narrow waters of the Adriatic Sea. Most of the crew were saved. This is the second allied warship to fall a victim to an Austrian under-water craft, the French cruiser Leon Gambetta hav- ing, earlier in the war, been caught in the Ionian Sea. It is realized that the loss of the Italian warship is only one of the incidents which must be expected where fleets keep to "the sea, blockading enemy ports or pro- tecting commerce. As an offset, it is claimed that a French warship has sunk a German submarine in the Channel. ♦ BRITISH IMPORTS GROW. I Exports Show a Decrease of Thirty- I three .Millions. A despatch from London says: : The British Board of Trade figures for tho month of June show an in- , crease in imports of $89,180,000. The principal increases were in food, raw ! material and cotton. i The exports showed a decrease of j 33,195,000, chiefly in manufactured I articles, of which $7,500,000 was in cotton textiles. BRITAIN WILL STOP EXPORTS ON .METALS. A despatch from London says: Steps have been taken by the British authorities to prevent the further ex- portation from Great Britain of lead, spelter, antimony, nickel or any other metal necessary in the manufacture of munitions of war. Announcement to this effect was made by Munitions Minister Lloyd George in the House of Commons. THE RAIDER EMDEN WILL BE SALV.VGED. A despatch from Sydney. N.S.W., The Department of Defence has awarded a contract for the salving of tho German cruiser Emden, which was sunk off Cocos Island, in the In- dian cOean by the .•American cruiser Sydney. The contractors say the raider can be easily floated. The Em- den will be exhibited. Recruiting in Victoria has been very successful, and New South Wales is about to begin a campaign for men. * . K.VISER AT LODZ POSED .VS MESSIAH. Jewish World Says Report Has Gain- ed Currency in Russia. The Jewish World says: "An ex- traordinary report has gained cur- rency in Russia that the Kaiser, dur- ing a visit to Lodz, entered a syna- gogue, and raising a scroll of the law told the congregation he was the Messiah whom they were awaiting and that he had been sent by God to save them." TRANSFER SHffS TO THE U.S. FLAG INSTRUCT SUBM.VRINES TO AL- LOW PASSENGER BOATS TO PASS SAFELY. A despatch from Berlin says: Ger- many's offer embodied in the reply to the .-Vmerican note regarding the sink- ing of the Lusitania and submarine warfare, was delivered to James W. Gerard, the .â- Vmerican .Embassador, of which the following is a summary: First â€" Reiterated assurance that .â- Vmerican ships engaged in legitimate trade will not be interfered with, nor the lives of •â- Vmericans upon neutral ships be endangered. Second â€" That German submarines will be instructed to allow .\merican passenger ships to pass freely and safely, Germany entertaining in re- Airn the confident hope that the .•Vm- erican Government will see that these ships do not carry contraband. Such ships arc to be provided with distin- guishing marks, and their arrival an- nounced a reasonable time in advance. The same privilege is extended to a reasonable number of neutral passen- ger shiys under the .\merican flag, and should the number of ships thus available for passenger service prove inadequate Germany is willing to per- mit .Vmerica to place four hostile pas- senger steamers under the .Vmerican flag to ply between North America and Europe under the same condi- tions. ^ I RICH BAVARI.VN FIN-ED I FOR INCOME TA.\ FRAUD. I .\ despatch from Frankenthal says: I Jean Ganss, factory director, commer- I cial councillor and former associate 1 judge of the Commercial Court, has i been fined 255,000 marks ($63,750)' I for making false retui-ns in connection j with the levying of the armament j tax. Tho fine amounts to 20 times the 1 sum of which the government con-, I tends it was defrauded. Be^ians Are Loyal Unto Death A despatch from Brussel.s says: The Belgians have suddenly adopted the practice of wearing sprays of I ivy as an expression of loyalty to ' Belgium and the alHes. Gen. von [ Bissing, the German military govern- ' or of Belgium, a few days ago issued I an orJer prohibiting th« deffionstra- | live display of Belgian colors as per- sonal adornment. The Belgians obey- ed the order, but the following day almost every man, woman and child blossomed out with an ivy sprny, tho significance of which, in the lan- guage of lowers, is "attachment, unitetl ir.TiO death."