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France Invaded

Without Germany Declaring War Britain Still Neutral German Breach of Treaty of London British Ministerial Attitude Changing iy Cable. —Press Association.—Copyright

GERMAN INVASION OF FRANCE. TROOPS CROSS THE FROSTIER. London, August 2. Germans have invaded France at Circy, hall-way between Strassburg and Hancy. A later message says that the Germans are advancing on Longevy. An unconfirmed Liege report states tiiat 20,000 Germans crossed the frontier near Xancy, but were repulsed with heavy lose. The German military authorities announce that a Fieneh aviator dropped Itomba near Nuremberg. The French Embassy points out that Germany has not yet declared war, (Hiotigh the invasion has begun.

| BRITAIN'S POLICY. j i MEETING OF CABINET. V London, August 2. There mi a prolonged sitting of the full Cabinet when Germany declared war. The Observer 6ays that beyond-donbt a section of the Cabinet favors break- | ing the entente, but the paper declares j that Britain's neutrality is impossible anil would be an act of desertion, j Reynolds' Newspaper declares emphit- [ ieallv that we must keep out of it. I ( CABINET MEETING YESTERDAY. MINISTERS' ATTITUDE CHANGED. BY TUB LUXEMBITRG INCIDENT. THE CABINET DIFFERENCES HEALED. Received 3, 6.25 p.m. London, August 3. It is understood that the Government will ask Parliament for credit for defence purposes. Cabinet sat for four hours and a-hilf this evening. There was a full attendance of Ministers. The attitude of Ministers Ihas been materially changed by the news of Germany's action in Luxemburg. Doubts which had manifested themselves at the I earlier meeting were very largely dispelled, and Cabinet turned with a united front to fulfil the duties imposed by the national peril. At an earlier stage a strong belief existed that various Ministers might Tesign, but this afternoon's meeting succeeded in closing the ranks. The decisions of Cabinet will be announced to the House of Commons on Monday. They are known to be of a large and comprehensive character, dealing not only with naval and military preparations, but with the whole fabric of national credit and food supply. A GRIM SATIRE. I'KtIKKS'-'IONS OF PEACE. BUT p;.!".\GED IX WAR. gk;;many to blame. BKLI.KX'SK ATTITUDE OF THK " TIMES." | Received 4. .1.5 a.m. ' London, August J. The Times says the war is a grim satire. The professions of peace are yet fresh upon the lips of those who plunged the Continent into its miseries and calamities. The blame falls main'.y on Germany. She could have stayed the plague had she chosen to speak to j Vienna as she speaks when in earnest. Sho mode demands to St. Petersburg and Paris which no Government could entertain. Her invasion of Luxemburg shows how Germany keeps her word. "We cannot tolerate German hegemony in Europe,"' the paper continues. "We are ready to fight such calumny. If any individual member of the Cabinet dissents fivm this view, the sooner lie ; quits the Government the lietter. A few I hours of unprecedented crisis has sufiSc- ' ed to show jtiie foe of democracies that the British Empire stands firm and united."

THE RUSSIAN ADVANCE. TROOPS ENGAGED ON THE FRONTIER. Berlin, August 2. The Russians attacked lliloslav station. but were checked. A strong colunin will cross the frontier at Schwidden. Oossacks are advancing on Johannisburg, about ten miles from the frontier. The Russians attacked the WY.rt'.ie railway bridge, near Neustaut, bat were .repulsed. FRANCE FORCED TO ALM. j A NOTABLE CONVERSATION. Paris, August 2. i The Russian Ambassador informed M. the Premier, of Germany's di- I fclaration of war. Foreigners have been notified that they must leave by the first day of mobilisa|tk>n. otherwise they will require passports. Foreigners, excepting Austrian", may remain in Paris on special permit. lAu.strians will be sent to special depots en the western frontier and thence allowed to leave by a neutral frontier. All inotor 'buses have been commandeer-vl lor use in transporting food for te ■ ►rmv. It is understood that M. Viviani to! j Baron von Sflhoen, the German Ambassador, "You are mobilising; we know It, therefore the"action of vour Government has dictated ours. We are compelled to take similar precautions, but pur peaceful intentions are unchanged. fit which the best proof is that we have *ot gammoned Parliament." Baron von Schoen replied that Germany feared incidents on the frontier. . IS. Viviani pointed out that the French troops were not within five miles pf the frontier, while the Germans were the very frontier. The vast majority of the French are Animatedly militant and enthusiastically appreciative of England's friendship. Mr. Carmichael. Secretary at the Embassy. dined in a cafe. Five officers at fcn adjacent table, hearing his speaking In English, raw<l their glasses and exClaimed, "Vive l'Augleterre!" Newspapers, owing to the immense editions, are suffering from dearth of paper. Some have been compelled to ■ppear in the form of a single sheet.

NEUTRALITY VIOLATED. GERMAN SEIZCUE OF LUXEMBURG. •' NOT WITH HOSTILE INTENT." | Paris, August i. A -mall German iorce seized Luxemburg station and several lailway bridges to ensure the pa-s.ige of military trains •cro-s the Duclr . j France has drav. n the attention of the I Powers to German's violation of Luxemburg's neutrality. Germany refuses to withdraw, ile-nite an official protest. It declares that the seizure is not with hostile intent, but in rely as a precautionary measure to i n vent the Freii'h using the rai'v .!' . Germany has promised that an in-I"Trinity will be paid. | Luxemburg i- a Grand Duchy in Central Europe, blinded by Gerinanv, Belgium and Fr;:n<": it formed part of the Germanic Confederation. 1815-ilfi, and i~ still incind.■ 1 in tie- German "Zollverein'' for t-r:;:i-via! purposes. Tn 1SI!7 the Treaty .if London declared it a neutral territory neb r the sovereignty of the King of tV- Netherlands, on who--e decease ! v'. it parsed to the I Puke of Wsau.] A RESon-: DIPLOMAT. SCARED l:-T'. 'Ni!!SCP.ETIi'N. Received 3. 5-5 p.m. Peter-burg. .Inly 2. It is .stated when Count Ponrtailes. after •r. r.f : ng the ultimatum, asked in a ve ; ■ tre-nhling with emotion. if Russia • ' to (Germany's demands. M. SazonolT t'.e Rus-ian Foreign Minister, replied "SH. u,-,-."' which meant a refusal. Count I'mirtailes asked the •eeond and third time, and finally departed crestfallen, leaving the text cf his verbal notes o- rlooked in l:i» hurry, containing Germany's alternative replies All? of them recording Germany's satkypottetical aar-

" THE EMPIRE IS READY!" NO FAITH IX GERMANY. WEIGHTY WOIMK FROM THE "TIMI'X" "tIERMAXV MAY 'ASSAIL US" WITHOUT A '.VAR DECLARATION. RES'O'.YHD Tft CRUSH FRAXTK. Received 7 p.m. London, August J. The T!tiks, in a leader. says: "Aftfr the example of what Germany lias done in Luxemburg and on the French border, we cannot longer rely upon tinpresent of her Ambassador in London as ercuiity against some sudden surprise. 'True. vi> Jiave no controversy with Iter. We have been willing and au\i- I ous to develop those better relation.! t which had lately sprung up. We were i eager to work with her for mediatim and pea -e: Xmv she lias shown her I hind. "She is resolved to crush Fiance and [ trample upon the rights of those who 'happcti to stand iri her way. Yesterday j it ijixi-nibni'g; to-day it may 'e | Relgium or Holland, or she may treat us as ,<he has treated our ' French friends, and assail us without a war declaration. She will find the Empire ready. The eyes of the nation aro < oncentrated upon tihe Herman attack on France and Luxemburg. The nation knows its duty. and. iritl; the of heaven, will do it tc ti.p uttermost." SPEECH BY THE KAISER. Berlin. August t. The Kaiser made a second short spcedi from his haleonv on Saturday night to an immense crowd. The Crown Prince will command the . division of the Guwdg.

RUSSIA CHARGED WITH DUPLICITY. THE POT AN]) THE KETTLE. KAISER'S PACIFIC INTENTIONS 15EACH TIIE LIMIT. Berlin, August 2. The North German Gazette; says that tlie Czar on Wednesday appealed" to the Kaiser to do everything to avert war. The Kaiser immediately replied that he was willing to act as mediator, and accordingly initiated diplomatic action in Vienna. Meanwhile Russia partially mobilised. The Kaiser pointed out that tie mediation was endangered, nevertheless he continued negotiations and Britain's proposals were cordially supported. A decision on these proposals would have been come to on Saturday, but the Russian general mobilisation upset everything, whereupon the Kaiser informed the Czar that he had gone- to his utmost limit to maintain peace, and it was not the Kaiser who bore the responsibility for the calamity threatening tihe world. The Berliner Tageblatt says that it is clear that Russia is playing a mendacious double game- M. Sazonoff intentionally brought things to a head, because he was in conjunction with some Dukes and other Germanopliol, s ■ ho were desirous "of frustrating tfhe andjstanding.

ENGLISH BANKING ACT SUSPENDED. BRITAIN RECEIVES THE NEWS QUIETLY. London, August 2. A conference took place on Saturday evening between Mr. Lloyd George and leading bankers. It is anticipated that the Bank Act will be suspended on Tuesday and pound notes issued for a few days. The Daily Telegraph's Sunday edition states lhat Austria on Saturday approved of Sir Edward Grey's conference. It looks as if Austria desires to put herself right before the world, knowing that the situation is beyond redemption.

BRITAIN'S NAVY. ALL ARRAXGJOMENTS COMPLETE. BATTLESHIP AND CRUISER SQUADRONS AT SIC A. THOUSANDS HURRYING FROM THE CONTINENT, ARRIVE IN LONDON [N SORRY PLIGHT. Received J, 1.5 a.m. London, August 3. The British naval arrangements are I complete. All the most effective vessels are at sea. They comprise seven or eight squadrons of Dreadnoughts and pre-Dread-nouglhita, and many squadrons of cruisers. All the mosquito flotillas are at their appointed stations. Ten thousand people, including a number oT Australians, returned from | the Continent yesterday. Many .relate exciting experiences. The railway platforms were crowded with people fighting and struggling to obtain seats | in the already packed trains. The Bongthorns, of Adelaide, escaped from Dresden, but lost all their luggage. Many others arrived in a sorry plight, having been without food for sixteen hours. BRITISH NAVAL AND COASTAL PRECAUTIONS. GARRISONS SLEEPING BESIDE THEIR GUNS. London, August 2. Tlte Times says that although there has been no mobilisation, the licet has been ordered that all preparatory precautionary measures must' he taken. The whole of Britain's most effective warships are at sea. Coastal forts have been manned, wire entanglements erected, and searchlights are kept playing. The men are sleeping beside their guns. Aeroplane attack will be anticipated by mounting antiaircraft guns in elevated positions in the country and cities. ANOTHER VIEW. London, August 2. The Chronicle's Parliamentary correspondent states that expeditionary forces will not be sent abroad. Every honorable effort will be made to prevent England being drawn into the war. It is semi-olficially stated that the rifle team's visit to Australia has been abandoned. IN THE FRENCH CAPITAL. STRENGTHENING THE CABINET. Paris, August 2. Ministers 'held an all-night Council. M. Clemenceau, ex-Premier, has joined the Cabinet, and M. Delcasse, formerly Foreign Minister, has been appointed Minister for War. The announcement was made simultaneously with fie: 1 ; manv's enquiry as to France's intentions. The German Ambassador has prepared to leave Paris. GERMANY BLAMED. FOR PRECIPITATING THE CONFLICT. Received .'i, 0.25 p.m. Berlin. August 2. M. Cainbon. the Frenoji .Ambassador in German, has issued a statement asserting that Germany declared war at the moment when Russia and Austria were approaching an agreement. GERMANY BEFOREHAND WITH PREPARATIONS. FRENCH FRONTIER FORTS ON WAR FOOTING. Times and Sydney Sun Services. Received 3, 5.15 p.m. Paris, August 3. It has been discovered that Germany, commencing on July 25, had, before the ultimatum expired, placed all her frontier forts on an active footing. Trees in the neighborhood were felled, fresh batteries constructed, and barbed wire entanglements erected.

German's declaration of war was quietly received in London. A few knots of Germans and Frenchmen in the streets sang "The. Watdh on the Rhine" and "The Marseillaise." Two Germans, one carrying an unsheathed sword, provoked a demonstration of hooting and jeering. The police intervened. The Unionist leaders understand that the Government has promised to delay the Home Rule Bill until it and the Amending Bill can be presented for the Royal assent simultaneously. A Royal Proclamation this afternoon has established a quasi-moratorium (a delay in meeting obligations, especially in the case of banks). BOMBARDMENT OF BELGRADE. ' Belgrade. August 2. Austrian shells at Belgrade wrecked the State school, a bank, hotel, the eathcdral, a tobacco factory and ironworks. The bombardment continues. I 3UTRALITY OF BELGIUM. WHAT IS GERMANY'S IDEA! London, August 2. Britain Ihas enquired in Berlin whether Germany is prepared to respect the neutrality of Belgium. Germany replied that she was unable to answer.

Paris. August 2. France has informed Belgium that site will respect Belgian neutral ity. but will take action if another I'ower violates Stockholm, August 2. •Sweden has proclaimed its neutrality. Christiania, August '2. Measures have been taken to protect Norwegian neutrality. FRANCE'S OBLIGATION. QUAKEKL NOT RUSSIA'S OWN.

Received 4, 1.5 a.m. ' London. August 3. Sir Fleetwood Wilson, Director-Gen-era] <,f Finance, says Russia lias deliberately undertaken a war in defence of Servia. whose quarrel i s not lie r own. llwis France is morally relieved of Me ! obligation to assist lier. lie declares I tliat intervention is not worth the life of a single British grenadier. Britain's interests arc too world-wide to be jeopardised in a remote European quarrel. ONE EFFECT OF THE lOTEXTE. THE WAY OF THE DIPLOMATS. Received 4, 12,15 a.m. London, .August 3. Mr. Valentine Chiroj. 'iroetor of tho loreign department of the Times, says:" "'At this supreme juncture tliere'is one consideration to wlliich we are bound to give full .Weight. The Anglo-French Entente has above all revived within the last ten years Germanv's aggressive hostility towards Fiance. So long as Gcr-' man diplomacy could play off Franc against England Germany was content." AUSTRIAN" TROOPS FOR THF FRONT. Times and .Sydney Sun Services. Received 3. 5.15 p.m. ... , Vienna, August 3. Ail the day through, the troops marched through the streets to the railway stations to entrain for the seat of war. accompanied by their dry-eyed womenfolk, speeding the,.- husbands and brothers* to the front. JAPAN'S INTENTIONS, "WE SflAl.fj DO OI'R DI'TY." Times and Sydnev Sun Services) Received 3. 5.15 i T> „ Tokio. August, 3. , f. 1 , 0 ," , 1,1 11 "peeeli. sa>s that "if h n ?m b '' twpn England and Other Powers, we are ready to do what devolves on us in virtue of the treaty. If our allies are involved we shall luive to do our duty." SERVIAN NEXT XEIGIIiSOR. MOBILISES. Constantinople, August •». Bulgarian reservists have be,'.,, orderlias closed.'" 1 *' 1 " VV " , '"' r "'"'kvenn NAVAL RESERVISTS TO REPORT. t) Wellington, Last Night. 1 ' iocliiiMLitions are posti'd in prorni- > lient points _in the citv calling upo,, ; I 1 reservists to report imincdiatelv n Registrar. It was expected that '!»• I nun• .Minister would ma!;.' a statement on the situation as affecting \ew Zealand, blithe announced to-ni"ht that, lie had nothing to say.

CANADA'S OFFER ACCEPTED A CRAVE PROCLAMATION. Keceived 3, 7 p.m. Ottawa, August 3. The Home Government has accepted the offer of Canada, witheut expressing any opinion as to the nature or duration of the present crisis, It is exuccted t'liat a very grave Canadian proclamation will be issued immediately, calling out the naral reserves. The Canadian Cabinet was in session throughout Sunday. ! A COLD DOt'CHIC FOR CANADA. • HAS NO EFFECT. Received 4, 12.10 a.m. Ottawa, August t. The Daily Chronicle's report that the British Cabinet had decided not to participate! in France's campaign against Germany is not credited in Ottawa official circles, where the issue of the proclamation calling out the naval reserves is taken to mean that war is inevitable.

Mr. Hughes, the Militia Minister, has actually selected the Canadian mobilisation ground, near Quebec. When informed of the rumor, Mr. -Hughes promptly refused to believe it. UNPRECEDENTEDLY STRONG. . AUSTRALIA'S FINANCIAL POSITION*. NO OCCASION' TO I'EAR. deceived li, K. 40 p.m. Sydney. August 3. Till' military authorities have official'-.* announced that, it is thought advisable at . this juncture to put into ac tion for practice purposes certain preeautionarr defence measures. Although the hanks were closed for the holiday, the heads of the leading financial institutions discussed tlic position. Tt is anticipated that the banks will be asked to suspend payment in to-morrow and tender paper money only until definite news arrives from Great I'ritain regarding the financial poi sition.

| The local l)iiilk rate is expected to I advance immediately. | The Stock Exi-'hanpi) committee has : nut arrived at a decision with regard ltd closing,■mid meets again to-morrow. The Premier, interviewed previous to , a Cabinet lnectin. said that Australia | v. as never ill a stronger position to fact' ' linancinl difTi -nlty than to-day. While | the situation is one of unprecedented I gravity, lier own resources are at a | level of unprecedented strength. There j is no occasion for fear as to the stability of the, country or the Government. I Plpur advanced by 10s a ton, and is now. £lO a ton.

" RULE BRITANNIA!" LOYAL DEMONSTRATION AT BUCKINGHAM PALACE. ACKNOWLEDGED BY THE KING. ROYAL APPRECIATION 01' DOMINIONS' AID. Received 4, 1.5 a.m. London, August 3. The first outward sign of patriotic enthusiasm occurred to-day. crowds cheering the Ministers attending the Cabinet meeting with shouts of, "Good old England!" and bravos. There was a great demonstration in front of Buckingham Palace, where tht crowd sang. "Rule Britannia," the Marseillaise, and the National Anthem.

The King and Queen, from the balcony, acknowldeged the loyal outburst. The King, througih Mr. Harcourt, has expressed his high appreciation of New Zealand's and Canada's offers of help. Lord Kitchener's departure has been postponed. The Times suggests his appointment as War Minister to relieve Mr. Asquitli. APPEAL FOR NEUTRALITY. Received 4, 1.20 am. London, August 3. The British Neutrality Committee has issued a statement protesting against the contention that we are bound to join in a war to assist Franco. Sixty members of the Cambridge University have signed the appeal for British neutrality. FURTHER DEFENCE PRECAUTIONS. Rccei"ed 3, 6.20 p.m. Sydney, August 3. Amongst other precautions, the Government has sent 200 men to guard the Hawkesbury River bridge. NAVIES AND WAR-CHESTS. COMPARATIVE FIGURES THAT ARE INTERESTING. Times and Sydney Sun Services. Received 3, 6.15 p.m. London, April 3. The latest figures concerning the nations' war-chests are as follow: — Austria £47,000,000 France £189,000,000 Germany £84,000,000 Great Britain £40,000,000 Russia £174,000,000 THE SEA FORCES COMPARED? 3 ™ BRITAIN'S TWO-POWER STANDARD ACHIEVED. Battleships. Cruisers. Person'l Great Britain ... 88 110 140,000 France 21 30 64.500 Russia 8 14 53.500 Germany 37 49 74,000 Italy ' 11 16 37.000 Austria II 7 10,000 ARMIES OF THE POWERS. The strength of the land forces of the 'Powers immediately or secondarily interested in the present struggle are: Peace War footing ' footing Austria 435,000 3,500,000 France 700,000 4,500,000 Groat Britain .... 253,000 500,000 Germany' 535,000 4,350,000 Italy \' 250,000 3.220,000 Russia 1.073,000 6,400.090 Servia 24,000 270,000 The estimates of the armies on a war footing are extreme in most eases, including large numbers of untrained or only partially trained troops.

AUSTRALIA'S ANSWER. PATRIOTIC OUTBURST IX SYDNEY. Till*; OOMMOXWEALTII XAVY IS READY. Sydney,, August 3. Tim Herald my*-. "If England is involved in war we may vest assured tJhat she is fighting in tiie cause of peace. We know that if she is committed it will not be till peace lias been taught by every means consistent with national honor. In this, the gravest crisis that has faced the British people since they first became members of a world-wide Empire, there is no doubt what message Australia will send. The whole people of this continent are united in their determination to support the Empire to the utmost limits of their resources."

In another place the Herald declares that if t4e British Government requires military assistance it is probable there will not be the slightest hesitation in equipping and despatching an expeditionary force. Mr. Cook says the Australian navy is ready and at the disposal of the Empire. Two German consular officers have departed hurriedly for' Germany. The French Consul in Melbourne has notified his countrymen to hold themselves in readiness to rejoin t'he army and urgently requests them to report to the Consulate.

The steamer Westfalen, coal-laden, has cleared for Bremen. Several German sailing vessels remain in Newcastle. Shore leave to men on the German steamers in Sydney has been stopped. There were special references in the prayers in all the churches yesterday morning for peace. After the service it became known that Germany had declared war and that a general European conflagration had not been averted. All political parties are working in perfect harmony. Mr. Fisher declares: "In a state of affairs like this there are no parties; the safety and welfare of our country is the first consideration. Mr. Cook knows mv views."

I The election campaign is practically suspended, and it is rumored that Messrs Fisher and Cook, in view of the European crisis,, have agreed to postpone the Federal election. The naval and military authorities are 1 quietly elaborating precautionary defence measures. The cable stations are 'being protected and guards placed st the wireless stations. Tlhe forts are fully manned. Arrangements are complete to keep the wireless stations along the eoast in constant touch. In order to meet the demands of these measures a limited number of the citizen forces, about one thousand, have been called up for duty. All movements pf the fleet, which in all probability will shortly be placed under tilie control of the Admiralty, are being withheld. At the present time thirteen German steamers, including mail steamers, are in Australian ports or waters. Three are loading coal at Newcastle. The Limberg, Linden and Ulm left -hurriedly yesterday, two with only part cargoes. They are clearing ostensibly for Java and other Eastern ports. From their hurried departure it is surmised that they had received instructions from Germany to proceed to neutral ports. The German Consul disclaims any {knowledge of the matter. Two Germans who are amongst the Makura's party of scientists were much upset by the news of the war. Professor Goldstein declares that it is very terrible. He never dreamt that such a bolt would fall. He added: "We are all so friendly, but this, I fear, is going to cause estrangements."

Herr Pass said lie had planned to stay in Australia for some time, but must now ihurrv bad;. Tt was expected that an explosion would occur in Europe, but not so big as this. Yesterday crowds gathered in the parks and on the foreshores. The patriotic references of speakers wore eagerly cheered. A feature was German bands playing patriotic British martial airs. The German Consul-fleneral said he had no official information of the. declaration of war. He does not believe there is any cihance of a clash of arms between England and Germany, and will refuse to believe in it till he is foreed to do so. NO ANXIETY IN FINANCIAL CIRCLES. Received 3, 5.40 p.m. Adelaide, August 3. The Stock Exchange has- suspended operations indefinitely. Die Federal Treasury officials state that there is not the slightest sign of abnormality* about Australia's notes and rcerve. The bunks are not demanding a gold issue. The notes l.i -t week wore gieater than redemptions, and no 'Uneasiness is feft.

OF LESSER MOMENT. ITEMS PROM THE CABLES. Vienna, August 2. The Emperor lias returned and received a "wonderful reception. One hundred 'thousand awaited t.he train. The Emperor shook with emotion, and saluted with tears in his eyes. Pekin, August 2. Austrian reservists are proceeding home via America. St. Petersburg, August i. Uhe Municipal Council at Moscow has voted 1,000,000 roubles for medical assistance. Copenhagen, August 2. A mobilisation of 18,000 lias been ordered for the protection of Zeeland, .Jutland and Funen. Capetown, August 2. Tom Mann, in iv farewell speech at the City ITall, supported a resolution urging the workers of the world to refuse to fight each other because war was for the. aggrandisement of the capitalistic class.

London, August. 2. Paris and Berlin bank rates are quoted at 7 per cent. Underwriters refuse Russian, Gorman and Austrian business. German liners are theld up at Shanghai. At Kiaochau British and other foreigners have been ordered to depart. The News of the World declares that a wireless message has been received announcing heavy firing in tiie North Sea. Newspaper editions are being published all day and night and are eagerly bought. An enormous gathering attended a pro-neutrality meeting in Trafalgar Square. Messrs Keir Hardie and Henderson. Labor M.P.'s, delivered speeches protesting against entering on a war in which Britain had no interest.

Oadin-r bankers ore of. opinion that i'; is. advisable that all atoek' exchanges should be clos"d, otherwise Australia v.'i'l lie ma do ! • d:impm<r ffrmwd 'of the W0I'!<1. They srr confident that t'ho banking position is sound, • EXPF.DIOXARY FORCE OFFERED. FOR SERVICE ANYWHERE. Received 3. lO.nn p.m. ircHiournp. Anjrtwt 3. At the ct-ncVion of the Federal Cabinet meting to-day. Mr. Cook, the I've ni'cr,-stated tligt the Government had decided, in the event of war. to pMco the Australian vessels under the control of the British Admiralty. It had ,i1«o l>e?n decided to f>(Ter to »eml an exnedilimiarv force of tweirtv thousand of anv suggested composition, to any de-'-l illation desired hv the TTomr Governm/nt, the cost of Use despatch and maintenance ho home hv the Commonwealth. A eah'e to this effect has been (lespa telied to the Imperial Government LEGION OF FRONTIERSMEN, ENROLLING MEMBERS TN SYDNEY. Sydney., August' S. The wild excitement which characterhed (he wtek-end heat market was enti:ely absent to-day, buyers deciding to operate cautiously.' Thel'e were many seller* of spot at 4s (Id, but no buyers •or shippers declined to .operate, in view Oi tliie hipfh insurance rates, and {loading is practica lv suspended. The Amalgamated Wireless has placed the whole of its organisation at the disposal of the Government, and 'has also offered to receive land publish war news f:ee on hoard all British vessels, providing the Governments of Australia will arrange l<> obtain the and send it r rom tl'A 1 eon 't stations free to enable passengers and crews 'to avo' l danger 'hat might otherwise threat: :i them. The Legion of Frontiersmen is < • rilling members or rifle ctah* l'mmc diatelv availahV ns anobil.i«." ■ ion reserve*. invitiii'r e\-memhei ; of the. mill. tary—lmperial oversea and Damsjvis; forces to join.

There were large congregations at the churches, where prayers for peace we're read. A steamer has left Hull to recall the North Sea fisJhing fleet. Grocery and provision firms have been bombarded with orders for provender. Some leading shops lhad their stocks, chiefly of canned meat, flour and sugar, practically cleared out. Great anxiety is being felt bv big hotels. Of 10,000 Austrian and German waiters, possibly 50 per cent, will be reHilled. American trans-Atlantic lines have abandoned Continental routes, and will run solely to Britain. German vessels are hastening to the nearest neutral ports. The Hague. August 2. Measures !have been adopted to prevent cornering foodstuffs in the Netherlands. The bank will suspend gold payments in the event of war. Sydney, August Everywhere in the eitv streets there are signs of suppressed excitement. Cable news is eagerly awaited and devoured.

LATEST NEWS FROM THE " COMMONWEALTH. TREASURY CONTENTS SENT ISLAND. Received <!, 12.10 a.m. Sydney, August 3. Notes and gold have boon removed' from tlx' Treasury to an inland town. The Overseas Club is forming a rifle association of 3300 members, available for military service if lioceitsar;.'. Many women are volunteering as nurses. • GERMAN SHIPS LEAVE HUB 111 HOLY. Received 3, 8.40 p.m. Sydney, August 3. The G-jrman mail steaaner Scydli-tz cleared hurriedjy at midday, tli'e ship's ■band play rig the German national anthem going down the harbor. The vessei, on clearing the heads, was headed southward.. The Elsass litis received instructions 11 sail to-ir.orrow without discharging her cargo. IN OUR OWN LAND. MR. HAROLD BEAUCHAMP'S VIEWS. " KEEP QUITE COOL." . Wellington, August 3. Mr. Harold Beauchamp, chairman of the Rank of New Zealand, giving his personal views on the raising of the Bank of England rate to ten per cent., said lie never remembered audi a thing before. It was ail unmistakable indication that the whole object of ifliie Bank was fco conserve its gold and possibly with a view to strengthening ijhe position the Bank Act would be suspended to-morrow (Tuesday), aa had already been suggested. He was confident that the Bank of New Zealand and others transacting 'business in the Dominion could be depended Upon to do all they legitimately could to assist their clients and their respective Governments.

SHIPPING INSURANCE HATES. ' The following rates have . been fixed!* by tilt' Marine Underwriters' Association of New Zealand:—Kx-Austria outwards , ■ and homewards, via Cape in Suez, French, Russian S per cent,, Herman/-. Italian 30 per cent.. British U.K. :i per ' cent,, Continent o per cent., otiiiers .4 ." per cent., Calcutta, Austrian, French, Russian 2 per cent., (<e.rman, Italian, 4 ' per < eut., all others .1 per cent.' ~.SttilersaJ !,a.'iie as steamers. Others eamot:.&ll CABLE CENSORSHIP ESTABLISHED. COMMUNICATION' WIT IT HELUGER- ' ENTS INTERRUPTED. The Telegraph Department advised - last night that the Pacific Cable BoardSS notifies that strict censorship has. beßJiiS established in London. No messagesfforlg Great Britain in code or cvpiher language or containing code "or cypher words, are to be accepted (British Government messages excepted). iiiSß?! Telegraph communication to Germany, Austria and beyond, for messages haying to transmit through these countries, ■ - is suspended by all routes from -France or through France. France or to other countries via France nvudst be one sole language—German English, Spanish, French, Dutdhi, Italian, . Portuguese, Russian or Latin—and must offer a clear moaning to the telegraph ' service. ...r ..,..,14, Official international Government messages may be in secret language. Messages for . Suva must be in plain language (English). ''"'iVsKv^i; NAVAL VOLUNTEERS FOR •' ACTIVE SERVICE. TELEGRAPH CENSORSHIP ESTABLISHED. . ™ Wellington, Last Night. ,■s, A Gazette Extraordinary has been issued,.declaring that owing- to the state § of public affairs and the demands upon & His Majesty's naval forces for the pro- vf teetion of the Empire, occasion Silauß. arisen for ordering and directing* naval'S volunteers to he called into active aervi<?e; nho declaring H.M.S. Philomel and the New Zealand naval forces to pass - under the control! of Great Britain. ' The Gazette also publishes regulations relating to censorship of telegrams, wiiich state that in tiarte of war, 1 or at any time when in the opinion <f ' * j the Governor, war is reasonably to be -! | apprehended, the Governor may "by w.i.rrant close any telegraph station, when■ : it shall be unlawful to transmit or tcceive messages at Mich station. Further, "4 he may antntorise any person to aet as' J censor of 'telegraph messages, either generally or in respect of any telegraph ' station. ..While fucli authority remains & in force t is unlawful to deliver or dig* ,J close any _ telegraph message without * the authority of tlile censor, the peniijty ± being fixed at a minimum of £IOO or- J three months' imprisonment. The following censors had been Appointed&'&f Lieut-Colonel W. II S. Moorhduse, Wei- «■' lington; Lieut-Co kmcl Gudgeon, Auelcland; Captain Colbick, Auckland; Curtis, Nelson; John Pollock, Nelson. D. R. Richards, Nelson; Lieut-ColowlJ" Henderson. Bluff. c-i ~ . FRENCH RESERVISTS ORDERED : ,"J HOME. j. Auckland, Last Night.'. ad Tihlp decision of the French "lent to effect a general mobilisation of itt forces has been communicated to the > Consul for Fiance in New Zealand, M, . Rijjoreau. A summons will be issued tj,'-j adl French subjects, including reservists, to report to the Consul or his agents in Wellington, Christchurch and and to be prepared to fail for France at J the earliest opportunity. Numerous iff 4 quirics were received by the Frencß»£j Consul to-day, as to whether. the sej>,A<i vices of French residents in the* Do-".; minion would be required. Arrange- " ments have not yet been completed for •« the conveyance of tins refci truing;... Mfcll dicrs. i ' , '1 The Austrian Consul, Mr, Langguthv i stated that between twenty and thirty ' Austrian subjects have already respond* oil to the summons a- week og»|;= ; when partia' (mobilisation was They are resident in AuckWt Plymouth, Christchurclhi and Arrangements .have been made ''far first parjty to sail for Sydney next Mon-jjil day and it is expected that about i00:«| will begin their journey on thiat day. .'jl CABLE CENSORSHIP. Auckland, Last 'Night. § Cen~PMiiiip was .establisihled to-dSiyofi submarine cable.* and radio-telegraph® M MEN OF TIIE HOUR. ' - M. DELCASSE. '* ; l M. Delcasse, who has joined th&| ■Frennh Cabinet as Minister of..WafftSafl Foreign Minister of France from 1898.1® : !!{»•>. It was generally supposed thlllj he evolved the idea of isolating Germany! diplpinatically, and he is generally 1-e-j garded as one of the prime movers establish the Ahglo-French entente! From 1905 to 11)13 he was Minister <M| Marine, and was then appointed FrenefaaM Ambassador to St. Petersburg. He refflM linquished that appointment quite re?£J cently, and during tllic late Miniaterialjpi crisis he was one of the statesmen whtfßj insisted on France proceeding with new military law, in fulfilment of' heiH obligations under the Russian allianseJM M. Delcasse is regarded abroad as anjfjH of the strong men of France to-day.,. M. SAZONOFF. Sergius Sazonoff, the Russian Minister, is primarily a diplomatist cguH not at all a.politician He is not eTfi|H| in the ordinary sense, a though all the Russian Ministers ore sinned to be that. He has been ing a quiet line of his own in tho tion of Russian foreign affairs, but ,<xfl9 course he is handling movements were developed before he took Incidentally it is worth mentioning during, his career he served a Secretary to the Russian Embassy [jondon. After the tension Russia and Austria over, the Balkan sition" in 1909, M. Isvolsky, then Foreign Minister, came to an ing with Austria which materially the feeling, and M. IsvolskySeptember, 1010, going to Paris as hassador. M. Sazonoff nil that was known about him' at time being that he was a of M. Stolvpin. M, Sazonoff opened new career by accompanying the on a visit to the German Emperor Potsdam, as the outcome of whidiSH announced that Germany and sia were in a position to act in . on questions affecting them both. optimistic announcement, of not been altogether justified.

| "It lias ieen suggested t(hat upon a declaration of war involving England there will be a general calling up of overdrafts. I would like to scotch that idea at- the outset. There has been no meeting or * conference' between the banks to consider the present position.-' Mr, Beauchamp continued that it would be sheer madness to call, up overdrafts now, because a catastrophe and slump would: follow in the values of securities and precipitate an unparalleled financial crisis. The last published returns and balance-sheets showed how strong the banks are in respect of liquid reserves, both in Australasia and London, "Whether England is involved" or not, I strongly urge people in New Zealand to keep quite cool at the present time. •No good' can be served, by showing, apprehension. People coming from the same stock as in England can be trusted to show the same fine spirit of self-re-straint in a time of great anxiety*,". ' WELLINGTON HARBOR UNDER DEFENCE DEPARTMENT.

Wellington, August 3. The harbormaster has been informed that the Defence Department will today take over tihe complete control of Wellington harbor. All foreign-owned ships will be stopped and other shipping will have to receive official permis--1 sion before entering or leaving- the port. General Godiey, interviewed, said the examination of vessels was put into force merely as a precautionary measure. NOTICE TO AUSTRIANS. Auckland, August 3. The Austrian Consul is advised from Venna that a general mobilisation has been ordered. All subjects of the Emperor living in New Zealand and liable to serve in the Austrian army, including all reservists,-must leave for Austria at tihe first opportunity. A man liable for service who does not respond is deprived fo-r all time of the right to inherit any property in Austria-llun-|gary. His property, if he possesses any in that country, will be forfeited, and he will be liable to be otherwise dealt with according to ordinary military law. VOLUNTEERS OFFERING.

Nelson, August 3. A considerable number of applications, both of officers and men, has been received at the Nelson Defence Office for the enlistment in any expeditionary force. Several old officers have applied to rejoin their regiments to become eligible. CROATIANS AS VOLUNTEERS. Auckland, August ;1. The Croatian Independent League h<is decided to ask the Premier for permission to enable Croatian recruits to accompany : any New Zealand volunteers' who may be sent to England. STATE PROCLAMATION TO ISSUE. NEW ZEALAND'S PRECAUTIONS. . Wellington, August 3. The Premier, seen at 1 o'clock, stated that the executive met this morning and considered matters connected wit ft the outbreak of war, but he was not in a position to make any announcement. A proclamation will be issued shortly which will give details, but in the meantime he could give Ms assurance that everything necessary was being done. He could not give particulars of the number of the expeditionary force, but made a point of the fact that volunteers would be asked from the territorials. He could not say anything about the (movements, of naval vessel's in New Zealand waters. Parliament would go on as usual, and the Banking Bill would be put through in due course. Mr. Massey emphasised the fact that he knew of no circumstance to give rise to serious alarm. The serious news of the European situation caused a sensation in Parliament House and its vicinity last night. The Governor was in constant com- . munieation with Ministers yesterday, and when the serious news caifie through a meeting of the Executive Council was called. General Godlev and Captain ITall-'Hiomson were in attendance. The sitting lasted an hour and three-quarters. Mr. Massey afterMaids made the following statement: '•We now understand the position and all arrangements arc progressing satisfactorily." Beyond this no official information is available.

EUROPEAN SITUATION. PROBLEMS AND POSSIBILITIES. Mr. C'artylc Smytlic is not oniy a familiar iignre among Australian impressario. but fur home years he has won a reputation among Australian pressmen as a student and writer oil foreign affairs. Taking advantage of his presence in Diinedin, a representative of the Dunedin Star asked him for his impressions 011 the present international, situation 'in Europe.

"It may he accepted as certain," said .Mr. Oarlyle Smytlie, "that the ueelara- ' tion of war by- Austria sent a tremor right through every European nation. The possible consequences are appalling. Diplomats arc tilled with a vague fear, ami ii<.-ne'-f tliem could,, without excitug a M>»picio'i of :bis sanity, venture to forecast what tlie immediae nituve would produce. Von Moltke once said that no general could see eight days ahead. That was nearly fifty years ago, and nowadays it is doubtful whether any statesman can see clearly forty-eight hours ahead. Still, there are certain considerations which must be suggested by the, Austro-Servian war to every of modern politics, particularly 'when that student has travelled in some of the Eastern nations of Europe. J t tlie same time, it must be with considerable diffidence that a circumspect student gives publicity to those considerations.

"11l tlie first place, a war 'between Austria and Servia lias now been imminent for some si?c'or seven years —indeed, ever since .King Peter waded through assassination to Ms throne Austria lias been uneasy. About five years ago, when I was last in Budapest, that magnificent metropolis, the Riverina of tlie Danube, was greatly excited lest the gunboats of the Emperor Franz ■fosef should be ordered any day to bombard Belgrade. The recent Balkan war, if anything, lias deepened tlie animosity between the two nations. Servia's attitude rig'lit through was not only very provocative to the Dual Kingdom. but the seizure of the Sanjak of Xovibazar thwarted the long projected policy of Austria-Hungary to reach the sea ut Salonika. Then the humiliation of Austria's protege, Bulgaria, by Servia proved a bitter pill for the llapsburgs to swallow. The assassination of the iiieir to the throne. Vhich apparently. was hatched in Belgrade, with its alleged official cognisance, was the spark that ignited the barrel of gunpowder. "But war between these two people alone might be a species of salutary tortu%'. a sort of 'spring cleaning' of the two houses. It might even prove the proverbial blessing in disguise to Austria b,' settling certain racial grievances, v.'hich for years have disturbed the. inner harmony or the Dual Monarchy, and consolidate what is by many authorities said to be a tottering dynasty. The language question, as everybody knows, is one of the thorny problems between Austria and Hungary. The aged Emperor has slowly yielded on this question up to the words of command in Uie Hungarian army, which are still Herman. Me has proved immovable on that point. "Now, a big war, in which the case of the military authorities could be clearly recognised, would most certainly tend to ease a very perilous position over what to an outsider seems a trifle, but Wiietihcr the present heir to the throne becomes King of Hungary, as well as Emperor of Austria, may ■ depi ■nd upon tills language question, which the actual war may settle. 'Tlie most knotty question provoked by this war is. as everybody is await', whether tlie conflagration can be localised, or whether it will ,-.oread devastating tiiir whole Continent of Europe. Much will depend upon the financial Influences; in other wards, St. Petersburg and London wiil probably in the next day or*two ile-iiK- whether .Russia (•■in utlorrf to intervene. They are tlie two capitals which are financially wealthy. The acute financial strain caused by even the menace of a war in Germany was plainly shown durin" the last Moroccan crisis. °

"Austria has undergone a heavy drain upon her credit during the enormous luobiilisati jus to counter liussia in the ''went 151[kail struggle. Jt;ilv has to face a heavy deficit caused by the Tripoi'itan War, and Kus»ia has' not beer, on the -uarket for some years, while tile gold i c.serves in the Imperial Bank of liussia exceed those of the Bank of England, i r the Bank of France. is, therefore, i 1! a tempting position to wipe oil' an o'd sor? against Austria: but then, (jermany. we are informed. Uuu'd tu1 11! the military ob.igations un(ier the lrip.e Alliance, and so we nrrM:i'iiiise .vould Italy. What, in such at* iitibrog!i( i. would he the attitude of l-iance'! 's that distracted country in a position :o fulfil her obligations- to 1 i--i.!': Tli.it i„ probably t-lik; only question that may give Russia pause. M. 1 in]icit lately, in the Chamber of De I'i'ties. declared that France jvas not in a position to go to war with tinyon •. and ,\I. Me-.-imy, the Minister of War. although a Socialist, added that there "lis a good deal rotten in the niilitar slate of France. Moreover, the Thirl Hi public must tilways hesitate to enter upon a war, l'est first cannon i-lliot should pro\ e the passing bell of the liepublic itse'f. An unsuccessful campaign would probably close with the dictatorship of the triumphant general. TMit is the ,history of the French. A disastrous campaign would almost sis cc-rtaiul* bring in a restoration, cither loyalist o ■ more probably Honapartist. for ill the veins of the present heir of the ImP( rial na'-ty runs th" blue iilood of the lioiirbins. .mingled with the legendary -tram i i 'he great Napoleon. He w i il-i this invite :i I suffrages'. partkmUii'ly as the Duke of Orleans is a discredited e.'-ile. That is the phantom before the upholders of th< Republican regi-vie in I-'ranee at tie present moment and is perhaps th" only consideration that wi : ■lay the hand of Russia."

ALLIANCE AND ENTENTE. -MEANING 01' THE RELATIONS. Tlic great Powers of Europe fail into two groaps, thorns forming tiiu Triplj Alliance, Germany, Austria-Hungary and Italy, and. those comprising the Triple Entente, Britain, France and Russia. Thle Alliance was formed al'ter tlu Franco-Prussian war, while the latter dates practically since the opening of tlie present century. In the course of the last two years Germany, Austria-Hungary and Italy have made an effort to render their co-opeiatijn more direct and effective, as well as more widespread. It is' said il'at at me time of the renewal of the Triplice, December 7, 1912, provisions were laid down for collaboraiton in tile JloditeiT.uiean, in the East, and even in Northern Africa. In the Italian Press the fact has been denied, and it was ei en tisse 'tcd that tihkj compact whic'i i; the basis of the Dreibund. had not been modified. The assertions may, be true m a narI row .sense; trie necessary changes ma.' have been brought about by way of additions to the main body tf tlite treati?« such as annexed protoi'ojs;, naval convention, etc. The ..following fact 's srffieientiy illuminating. Italy's intentions have been put to a test. On tw ) occasions s'he has declined to renew and tn adapt to the changed eiraim« lances the .Mediterranean understandings en- j tered into by her with France and England about twelve years ago. The iui'erei'cc is t!i:\t i'he is not free to act othervise. • ST KE XG T HEN ING OF BONIXS It is -uruiised that ill conversations which took place early in April this year, at Abaz/.ia, questions relating to' the isian.ls c-f Asia Minor were included i» tiklo discussions. In short, following upon the critical events 1 which changed the map of the East, tile Triple Alliance lias agreed to a common line of action in those regions. Nevertheless, sucfe a strengthening of the Triple bond \v.ts felt to compel Uritain, France and Russia to consider their position, in Europe with a view to providing anew foi Ihe defen.'c of their interests. Unlike the Triple Alliance, the Triple Entente cannot be said to he formulated in any written document. The conventions 'out of which it lias grown - the Franco-British declaration concerning Egypi and Morocco, April 8, H. 104, and the Aiiglo J ßritish agreement relating to Afghanistan, Tibet and Persia, August 31, 1007, literally interpreted. had a special object. It is only beet'use Genn-.iny chose to make use of ilte .'doro'.van question in order to counteract the rapprochement of b'raii.'e »nd England, -and to affirm lier Europi an preponderance, that the Ent'iile Cordiale is at once invested with its general Importance in Europe.

Similarly, when in 1908. by forcibly annexing Bosnia and Herzegovina, Aus-tria-Hungary bioke the spirit as well its the letter <>! the Declaration of London of 1871, t'liie collaboration of Eng' iand and Russia, whose Eastern interests were equally affected, a;-saimed a general character, which the agreement signed the year before could not by itself have provided. Since then, first'in 1011, at the time of the Agadir crisis, and 1912, when the war lux., e out in the Balkans, the problems which were again raised w're substantially the same -as those temporarily settied in 1905-0 ami in HIO!), and the co-operation of the three Power.; was. as a matter of cours - -, (.(•nlinued m all those critical times. INFLUENCE IN THE PAST.

All this rowing far more than would ft first appear—more than the two Conventions referred to involved. II means that live or six times in the course cf the last ten years, the Governments of London, Paris, und St. ■Petersburg saw, at very close qtrarters, the spectre of war, and had to prepare i*i common to face it. It means that not only tlhVj supreme Teaders of the respective policies in the three capitals, but also the Ambassadors of the three Cabinets abroad, have been accustomed to rrlv upon ouch other for guidance, advice and si'j:port. It means that the chiefs of the military forces have bwu brought into friendly relations and are in personal contact. In short, all the essentia.] elements ot an a'.lianse, either technical or human, have been evolved little by little out of tin modest understandings of 1004 and 1807. No formal compart has ever been signed. But imagine the existence of an : impartial' oinioker who, without hi-lir: allowed : ii the record-rooms of the Foreign Offices and without knowing anything alriiit written treaties, was able te fn'low from the outside, during the last nine all the diplomatic an.] military moves of the Trip'ie A'lianc.i and of the Triple Entente. Tlio cohesion o'' both nystems would "l'obablv appear to him as being, on the whole, of the same kind.

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Taranaki Daily News, Volume LVII, Issue 64, 4 August 1914, Page 5

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8,058

France Invaded Taranaki Daily News, Volume LVII, Issue 64, 4 August 1914, Page 5

France Invaded Taranaki Daily News, Volume LVII, Issue 64, 4 August 1914, Page 5

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