Asia on the unshakeable foundation of close cooperation between Japan, Manchukuo and China," and that in order to fulfill this mission "we must certainly be prepared to make hereafter still greater sacrifices than we have made heretofore," He then dec¬lared that the government was "working for the completion of the plans for the national mobilization both material and spiritual, and the execution of the various necessary measures."^ In August 1938, the accused SATO, then Chief of the Press Section of the War Ministry, construed the declaration made by the Japanese Government on 15 August 1938, with refer¬ence to its intentions toward China, as being the equivalent of a declaration of war. Military operations then in progress proved that Japan was waging a major war against China. Shanghai fell on 12 November 1937* The "Rape of Nanking," calculated to destroy the will of the Chinese to resist, began on 19 December 1937• With reckless disregard of the lives and property of neutral nations and for the future psychological effect of such action, the U.S.S. Panay was sunk by Japanese shellfire and bombs in December 1937, the British ship Ladybird was shelled, and the Russian 39 Embassy at Nanking was burned on 1 January 1938* On 3 November 1938, Prime Minister KONOYE in a radio address announced that following the capture of Canton and Hankow 37Exhibit 972-F, TP 9,516, 9,518. 38Exhibit 270, TP 3,615- 39TP 3,377, 2,636, 3,519, 3,466 and 2,577.