FIERCE FIGHTING IN WEST 20,000 Loyalists Engage Rebels in Hand-to-Hand Clashes Near Merida.; FRANCO'S ADVANCE HALTED Government Snipers Endanger His Communications and He Is Still Short of Troops. MASS EXECUTIONS GO ON Victims of Insurgents Rise to 1,500 in Badajoz -- Junction of 2 Armies Not Yet Made.
LISBON, Portugal, Aug. 17. -- Messengers from Badajoz brought news across the frontier today of a desperate attempt by the Madrid government militia to drive a wedge between the Rebels' northern and southern forces.