The Waterbury Democrat., 1937-12-29

 Roman Empire" in the Fascist cal- endar, has not, however, been free of major worries for Mussolini and his followers. But despite many dip- lomatic and economic anxieties Il Duce remains firm in his belief that the present century will go down in history as "Thc Century of Fas- cism."
 The year, he believes, has left new milestones to mark the trium. phal progress of Fascism. Italy, Germany and Japan, the three larg- est Fascist nations, have united themselves in an anti.Communist front. Poland, Portugal, Brazil and e large part of Spain have moved nearer to FascisTn. It B only Q mat ter of time, he thinks. until all de. Inocracies will disappear under the force of Fascism.
 Moments of Great Anxiety
 The nilestones, however, were not put into place without great risk and many moments of anxiety. sev- eral times during the past year Mtlssolini thought he would be obliged to go to war or surrender his program. He has done neither and he believes his luck is inex- haustible.
 The year opened with Mussoliili deeply involved in Spain and in vir- tual possession of the Balearic is- lands. After an exchange of assur. anceS that neither party intended to modify the "status-quo" in the Mediterranean Italy and England, on Jan. 2 of the present year, signed 0 "gentlemen's agreement"
 Muss0llni Looks Eastward
 MusSolini sulked and refused to send Q delegate to the Montreaux Confidence which ended the Straits question. Instead he sent more sol. dierS to Spain and despatched his son-in.law and foreign minister, Count Ciano, to Milan to talk with Rlistu AraS, foreign minister of Tukey, about an Ita!o.Turk under- standing.
 To protect another exposed flank, MuSsoiini came to terms with Jugo. glavia which reduced the possibility Of England using jugoSlavia'S Adri. atic naval bases against Italy. This treaty, signed in Belgrade in March, also made 1t easier for Italy in time of war to get wheat and oil from Ruinania without using the Medit- erranean.
 England continued its refusal to recognize Italys annexation of Ethis opia, 50 Mussoiini staged c triuin. phal visit to Libya in March, prob. ably with the idea of stirring Up the Arabs against Great Britain and demonstrating to the world that in case of war Libya could serve aS aa excellent base for land, air and naval operations against Egypt or British shipping passing through the narrow Mediterranean straits between Sicily and North Africa.
 Becomes Protector of Islam"
 In Libya Mussolini inaugurated m HOO mile military highway stretching from Tunisia to Egypt and proclaimed himself Protector of Islain." This gesture was designed to attract the Moslem sympathy throughout the BritBh possessions toward Italy.
 While he was h Tripoli, Musso. iini received discouraging news that his Italian lcgionnaires had been routed ct duadalajara. He hurried back to Rome and answered those foreigners who ifisinuAted that 0ua- dalaJara would be "the grave Of Fascism." He increased his support to Franco and Italian newspapers iiercely boasted of italyg vindich. tion when Malaga, Santander and Bilbao fell into nationalist hands.
 Aid Promised Albania
 To keep tiny Albania from get. ting reative aS c result of the Italo. JugoslaV treaty, Count Ciano went to Tirana at the end of April and promised fresh Italian aid to King Fog.
 The failure of tho Angio-Italiail "gentlemenB agreement" obliged MusSolini in April to get the cab- inetS approval to the eStablish- ment of c full army corps tb0,O00 mem in Libya and the creation Of c permanent supreme command for the air, naval and land forces in Tripoli.
 More Bubmarlnese Built
 The production of arms and mu. nitions also was stepped Up, al- though considerable difiiculty was experienced in finding raw Inateri. ais. Italy's first 36,000-ton battle" ships, the Vittorio Veneto and Lit- torlo were triumphantly launched in July. Submarine construction was increased and although no figures have been published it b estimated Italy now has more than 100 sub- marines.
 ItalyB military preparedness and defiance of England was demon. Strated in gigantic inaneuycrs held in Sicily at the close of August. The purpose of the war games was ob. viots to the British. After the Tnaneuverg, troops teve1 more than originally intended for the one aTiny corps) began leaving for Libya.
 Tn September c new crisis looined WAlGhl GflklAA0 Wh0 EA~ASO agSsdSS to take measures against the "myS- terIouS" sinking of merchant ves- seis in the Mediterranean by uni- identified submarines.
 Thrust at Soviet
 Italy was invited to the confers ence but refused becatiSe t had con. sidercd itself insulted by Soviet fstisSlaB allegations that Italian submarines were responsible for the "mysteriols" torpcdoingS. Much to MlissoIlniB surprise, England and France refused to Dc stampeded by ItaiyB absence and proceeded to sign an anti.piracy pact which threatened to iiicrease 1talyB bola- ton. Mussoiini quickly gaw that the Nyon agreement provided frame. work for aii Angio.rrench naval al- lance jn the Mediterranean and he iiaSened to make conciliatory ges- tiTes toward both powers. In the fiea fikifno fyiFaev ifi the MAdfEAFs