This is a cartoon from World War II featuring a private in the U.S. Army.

A man is eating and all his food turns into living things and they tell him rumors about the war. He tries to run from them, but everywhere he goes, something comes alive and tells him a rumor. He becomes haunted by rumors. The character ends up in a padded cell because he has gone insane. 

There is a PSA at the end about listening to rumors about the ongoings of the war as a man cuts baloney using a baloney-making machine.