Richmond Palladium (Daily), Volume 39, Number 224, 31 July 1914 — Page 1

THE MIC AND SUN-TELEGRAM

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VOL. XXXIX.NO. 224

WAR TURMOIL Semai Artillery on Way to Battle Front g 211111; IliiSfS

RETURN HOME tj-. . ! 7TCraKHv

Relatives Fear Conditions in Trouble Zone May Make Hasty Flight From Europe Impossible. American Tourists in Mad Flight for Transportation on Railway Lines of Far East. HAMBURG, Germany. July 31. f'he ' great Hamburg-American liner mperator was withdrawn from TransAtlantic service today. It is very likely that In case of a general war in Europe the giant liner will be pressed Into the German government service. The Imperator was due to sail from here tomorrow for New York. She had H cabin list that included hundreds of Americans who are homeward bound. It now will be necessary for these Americans to take passage either on one of the slower Hamburg-American boats or to take a long and roundabout route to reach the American and French lines. The withdrawal announcement was Inade, it was stated, because officials felt it safer to keep the liner in the harbor than to risk it to the possibility of capture by some foreign power. The company discontinued the sailing of all steamers from Europe. The entire German railroad system Is disorganized owing to mobilization prders. FEAR FOR RELATIVES. Local Families Apprehend War Declaration in Europe. As details of the European situation reach the city, uneasiness for the safety of the party traveling abroad 1s increasing. All foreign students at the big German schools were informed today that they must leave Germany immediately. Whether this will apply to mem bers of the Richmond party is not known. Already the scramble for return passage has begun. Americans in the Jar East nearest the outbreak are thronging railroad stations, pleading with officials for transportation. Steamer reservations are all taken for several weeks in advance. Should the Richmond travelers wish to return immediately it would probably be impossible for them to get passage for a month or six weeks. Their only hope would be mere good fortune or foreeight to have booked reservations previously. Railroads In Use. In case they were held up for this length of time with the governments (Continued on Page Six.)

Kaiser Plunges All Europe Into War by Ordering Troops of German Empire io Mobilize

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This photograph was taken at the beginning of the last Balkan war. ..... The Servian artillery, trained under expert Russian drill masters, is expected to furnish one of the strongest links In the defense . chain Crown Prince Alexander has planned. The artillery wagons are moved through Servia's mountain passes with speed that is remarkable.. The invading Austrian troops will have difficulty in following the Servian mountain artillery.

WAR BULLETINS Berlin Noon The emperor declared a state of war for Germany and Bavaria. This action usually precedes the mobilization of the army. The streets are filled with persons cheering and singing patriotic songs. Bank rates have been raised. St. Petersburg Noon The czar demands knowledge of Austria's attitude In case of victory in Servia. Vienna 4 p. m. Hope of localizing Austro-Servian war dim. WAR BELIEVED INEVITABLE. London Noon Efforts for peace proceeding; general European war believed inevitable. Rome 6 p. m. Italy is assembling its fleet.. Washington Secretary McAdoo will send out half a billion dollars in currency if necessary to meet emergencies caused by European crisis. Nish, new capital Servia Servian troops repulsed Austrians in desperate fighting at Morava Pass. Vienna Servian frontier guards Invading Austrian territory near Klotievas, Bosnia, repulsed with losses. STOCK EXCHANGES CLOSE. New York Stock exchange ordered closed for -the' present. ' Chicago Stock exchange ordered closed for present. . Boston Stock exchange ordered closed. Philadelphia Stock exchange ordered closed. Baltimore Stock exchange closed. Pittsburg Stock exchange closed. Indianapolis Stock exchange closed indefinitely. London A run by note holders en Bank of England interrupted by regular closing hours. Glasgow Stock exchange closed. Liverpool Stock exchange closed. Hamburg The Hamburg - American Steamship company suspends sailing of all trans-Atlantic steamers of its line. Berlin Diplomatic relations between Austria and Russia broken off. New York Several failures of large firms were reported on the cotton exchange before noon. OF GERMANY.

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CAUSE OF UNREST LEADING TO BIG EUROPEAN CRISIS

Note The appended article details the causes of the Austro-Servian war. It was written especially for The Palladium by a keen student of modern history. Russian diplomacy, intriguing in the Balkans, may largely be blamed for the present Austro-Servian or AustrcSlavic situation, for while it in appear ance is a quarrel between the little Slavic state of Servia and the great Empire of Austria-Hungary, in fact it is a quarrel of long standing between Austria and all the Slav nations, not excluding Russia. Bosnia and Herzegonia, once Ser vian provinces, in 1909 belonged to Turkey, although they were occupied by Austrian troops, and in every way, but on paper, were parts of the Austrian empire. Austria had been quietly planning to annex the two little Slavic provinces for some time, but could not quite see her way clear to do it without arousing strenuous protest from the powers. When the Turkish constitutional revolution took place in 1909 Austria saw her opportunity and took advantage of it. It was maintained by the powprs that Austria's act in annexing the Washington backs McAdoo Ready to Send Out Half Billion Dollars in Currency. WASHINGTON, July 31 President Wilson took strong steps today to protect the United States against tremendous financial and commercial pressure caused by the European war. He practically has made up his mind to send one and possibly two nominations for the federal reserve board to the senate before the close of the day. He directed Secretary of the Treasury McAdoo to take all possible steps to insure the financial stability of the nation, and he approved the closing of the New York stock exchange. Secretary of the Treasury McAdoo Issued a statement announcing that the government stands ready to send out half a million dollars in currency if this amount is needed, to meet the emergencies created by the European war. BREAKS IN PRICE CHICAGO, July 31 The refusal of exporters at the seaboard to . ship wheat unless cash accompanies the consignment, resulted in a break in prices on the board of trade today. Closing prices were in the neighborhood of 9 cents lower than yesterday's high mark and about 6 cents lower than yesterday's close. The Armour interests did much to restore confidence by offering to assist any firms who cared to avoid excessive margin calls. Corn and oats were also weakened by the break in wheat. President Aldrich of the stock exchange issued the .following statement today: ". 'The closing of the exchange was in response to demands from brokers and bankers throughout the country, and will afford a general feeling of relief." TPhe Weather FOR INDIANASaturday. Cloady - tonight and TEMPERATURE Noon 80 .70 Yesterday ;-..r. Maximum Minimum' .4. UtfKm?. 48

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Slavic provinces was a violation of the agreement made at the geenral European congress which met at Berlin shortly after the Russo-Turkish war. Austria remained firm, however, and when the powers became threatening, Germany came to Austria's aid. Germany was prepared for war, as wis Austria. Great Britain, France and Russia were not prepared for war, and they were compelled to submit. Russia Uses Intrigue. What Russia could not do by force of arms she then proceeded to do by intrip,ue and diplomacy. Secret agents were sent into all of the Balkan states and into those provinces of Austria and Germany populated thickly with Slavs. Ever since that time a oon stant campaign to arouse the Austrian and German Slavs has been maintained by Russian secret agents. ; The fine .hand of the Austrian foreign office was seen in the Balkan pie; however, soon . after ,'the defeat of Turkey. Both Austria- and Germany had confidently expected to see Turkey the victor, and it is said that the Teutonic diplomats were sadly disappointed at the outcome. Austria busied herself immediately, and by the exercise of either a liner or more sub(Continued on Page Six) WAR SCARE DRIVES FOREIGN RATES OP Local Banks Note Increase on Drafts on London Instistitution. The outbreak of hostilities in Europe has greatly affected tne foreign draft rates as quoted to the local banking institutions today. This was expected by the local bankers as it is always the case- in times of unrest, The foreign draft rates on the Bank of London increased from 4.88 to 4.90 pounds sterling, as noted In the last quotations to the banks of this country. The Bank of England today raised its minimum rate of discount an entire point, making it 4 per cent. This was taken as a protective step in view of the chaotic conditions on the continent, following the outbreak of the war. There have been great demands on the Bank of England by the countries on the otbntinent and the stress was getting so Jseen that it was thought best totake protective measures to prevMt so large an amount of money leavtag the country. About $15,000,000 was sent, to England from New York yesterday to relieve the condition there, besides a large shipment of gold from South Africa. The quotations for foreign drafts fromthebaiKs of Chicago, which have"'heen ryecelved here, show that the rate on foreign exchange to Russia has raised from 51.30 to 51.35, roubles. An increase was shown in the exchange rate to every country in Europe, which shows that the hostilities of that continent have thrown the financial world in a turmoil, which will take a long time to adjust. BERLIN RATES JUMP. BERLIN, July 31. The bank rate was raised to 5 per cent today. Interest on advances was increased to 6 per cent. BELGIUM FORBIDS LIVE STOCK SALES BRUSSELS, July 31. A royal decree was issued today forbidding the exportation of live stock, wheat, machinery or horses. Confidential instructions were sent to all customs offices. King Albert will take command of the . army in case of war. EXPORT OF GOLD BREAKS RECORD NEW YORK, July 31. The American liner St. Louis, which sailed for Europe this morning, carried the largest amount of gold ever taken from any port of the world for a single shipment. The total value of the cargo was $11,025,00, or more thsn $1,60,000 over the. previous hisi veccrd for" a gold si

JULY 31, 1914 ..

LONDON EXCHANGE CLOSES AND WHEAT ADVANCES $4 A TON Moneyed Men of Europe View With Horror Violent Increase of Discount Rate to 4 Per Cent. LONDON, July 31 The closing of the stock exchange here today has increased the terrible panic that first seized speculators and investors when the war talk began, and the financial situation now is in a state of unparal leled paralysis. With the bank of Eng land raising its discount raie irom a, to 4 per cent and the prospect of an-) other advance being made within twenty-four hours, with wheat soaring to a record mark, an utter stagnation of the security market, two brokerage firms being forced to the wall over night and others in financial difficulty, the situation today was one that was. viewed with horror by the moneyed men of Europe. Almost ruinous discount rates presage the failure of many of the oldest established firms in England and throughout Europe. Buys American Wheat. Wheat is at a premium. It made a sensational rise of $4 a ton over night, and even higher prices were offered touay witu little of the commodity in sight. Every effort is being made by London bankers to protect the gold bullion reserve, but the outgo still assumes huge proportions. All this gold has been shipped to other European countries. Business at Lloyds with the exception of that done along insurance lines is at a standstill. The company is being deluged with requests for insurance against the ravages of war, but Lloyds is loath to take such risks. CORN MARKET SOARS. LIVERPOOL, July 31. The corn market opened in a very excited manner today with futures soaring from 12 to 14 cents over last night's close. ' There was every indication that tne prices would continue to advance ana j reach record marks.

Austrian Officers Observing Movements of Enemy's Forces

Photograph of Austrian officers, who are now making all speed toward the Servian border, was taken during recent maneuvers of the Austrian army.

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Initial Step Follows Russia's Failure to Offer Satisfactory Explanation For Partial Mobilization of Troops ALL STOCK EXCHANGES CLOSE DOORS Russians Flock to Standard of Nicholas; German Troops Fortify French Frontier; , England Gloomy Over Outlook

BERLIN, July 3L Emperor William of Germany today decreed a state of war. The following ffleial announcement was Included: "In conformity with Paragraph 68 of the constitution of the German empire, the German emperor has decreed a state of war. A similar decree from Bavaria will be issued.' The Emperor's decree means the Immediate mobilization of Germany's army of 5,200,000 men and their movement to the frontier of the empire. The decree was issued after Russia had failed to give a satisfactory explanation of her partial mobilization. The decree also mssns that a state of martial law prevails through out the entire empire. The railroads of the entire country have been taken over by the military forces. Troops are being sent in force to the Russian and French borders. Germany expects her mobilization to be followed with similar action by both these countries. With the forces of all these nations on a war footing, a general Kur pean conflict is practically certain. Hope- of localizing the Austro-Servian war has been given up. The Russian ukase, calling out mora than ens million reserves, increased the strain of the situation so tensely that It ooald bear nothing more, and when St. Petersburg failed to give a sstlsfactory explanation the kaieer and hla advisers decided that the Imperial decree would have to be Issued.

HOPE OF PEACE DIM. LONDON, July 31. Hope of averting the war catastrophe has been abandoned. All Europe will soon be involved in the greatest . conflict that the world has ever seen. Efforts for peace are still going on but it is expected they will be fruitless. A dispatch from Vienna says, 'The hope of localizing the war between Austria and Servia is very dim." is in terpreted in London as meaning than mobilization of the German army nas begun. The foreign offices of Vienna and Berlin have been in constant communication for the last forty-eight hours, keepig each other advised of all developments. Dispatches stating that the Russian premier had replied to Germany's ultimatum with a statement that mobilization of the czar's troops could not be stopped, were regarded as the final blow to the peace efforts. Sent to Czar. The Exchange Telegraph company states that Emperor William has sent his brother. Prince Henry of Prussia, to St. Petersburg. He closely followed Grand Duke Ernest of Hesse, a brother of the Russian empress. Prince Henry is commander of the German navy. A dispatch from Berlin stating that the rupture of diplomatic relations between Austria and Russia was complete, was accompanied by reports that Austria would declare war against

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the czar today. The following dl patch from St. Petersburg failed ta relieve the tension to any extent: "The following official statement Is authorized: Russia desires no war. Our partial mobilization is a precautionary measure ta preserve the independence of Servia." Premier Asquith called meeting of the cabinet in Downing street. ITALY RECALLS 8HIP8. ROME, July 31. The Italian government today ordered three warships now at Clyde on an instructional cruise to proceed at once to Cadiz with all possible speed. FRENCH CABINET MEETS. PARIS. July 31 President Poincara and his full cabinet held an extended session this afternoon. The war minister made a complete report on the nation's readiness for war. DUTCH ARMY MOBILIZES. THE HAGUE, Netherlands. July 81. A decree ordering urgent general mobilization of the Dutch army was signed by Queen Wllhelmina at l:Jfl o'clock this afternoon. GERMAN LINERS HELD (JACK. NEW YORK, July 31. Officials ol the Hamburg-American line announced today that the liner Vaterland (Continued on Pago Bight.)