GERMANY.

Taranaki Daily News, 30 June 1916, Page 5

GERMANY.

BEHIND THE SCENF* SITUATION BAD. GERMANY CAN LAST ONLY TILL MARCH NEXT. WHY SUBMARINE ACTIVITY HAS DECREASED. NATIONAL BANKRUPTCY INEVITABLE. Received June 30, 12.25 a.m. New York, .Tune 29. The Pam Journal publishes n report of the proceedings of a secret session of the Herman Council, obtained from n confidential document drawn by two deputies who attended the meeting, whereat the Chancellor, von Betfimann Hollweg said: "Our situation is bad. If everything goes well, and if the people are satisfied with small results, we can last until March. 1917." Replying to the Conservatives' demand for the resumption of unrestricted submarine operations, the Chancellor added: "We have only twenty, high ~,ea submarines, divided into squadrons of five. One of these squadrons is always docked for repairs. The others are necessary for coast defence." The Conservatives then demanded the instant building of more submarines. Admiral von Capelle replied that last year more submarines could not possibly have been built owing to the shortage of certain metal. The Chancellor declared: "Not a day passes but I am visited by Austro-Hun-garian and Turkish deputies, who threaten to conclude a separate peace unless we cease the submarine warfare. They fear that after the war the Allies and the United States will paralyse their overseas trade," Herr Helfferich remarked: "Financially we can last through the war, but afterwards bankruptcy is inevitable. We have already lost a Wllion marks in exchange." Von Jagow said: "Of the Powers we are not at war with, Spain is favorable to us; the Swedish Government has big business interests with us; Norway is hostile; the Danish Ministry is with us, but the people of Denmark are against lis; Holland is frankly hostile; probably Switzerland, though not exactly among our enemies, is rather against us. Angered by the attitude on the submarine policy, Dr. Bethmann Hollweg banged his fist on the table and exclaimed: "Remember, gentlemen, we have only one means of salvation. We must detach France from the Allies. We must obtain a breakdown of French confidence at all costs!" Thereupon the Conservatives demanded a great blow should be dealt at France, no matter what the sacrifices involved, The Chancellor pointed out the greatest sacrifices were being made at Verdun without overcoming the French resistance. ALL WESTERN ATTACKS REPULSED. SUCCESS ON RUSSIAN FRUiNT. THE GERMAN ACCOUNT. , Received June 19, 5.5 p.m. Amsterdam, June 28. A German communique states:—From La Bassee Canal to the south of Horn mi the enemy, under cover of repeated strong bursts of artillery and mine explosions and gas clouds and smoke clouds, made a. reconnaissance. The attacks were easily repulsed. Strong French forces, after twelve hours' severe artillery preparation, attacked all day on Tuesday against the positions we captured m Frida,y at Froi de Terre. The attacks collapsed after extraordinary losses had been sustained. General Linsengen stormed and captured Liniewka, westward of Sokul.