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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (Aug. 29, 1906)
THE MORNING OREGON! AN. WEDNESDAY, AUGUST 29, 1906. METEORIC CAREER OF ADOLPH SEGAL Man Who Borrowed Millions From Hippie by Hypnotic Power. IS AUSTRIAN IMMIGRANT Built Ice Factories, KIcctric Light Plants, Match Factories, Sugar Refineries Says Collateral is Good and Exonerates Hippie. PHILADELPHIA, Aug. 28. The ca reer of Adolf Segal, whose immense borrowings from the Real Estate Trust Company are said to have been, the result of a hypnotic spell over President Hippie, is one of the most meteoric of local financiers. He arose from the seclusion of a modest busi ness life to prominence as a darinff promoter. Coming here from Austria less than 20 years ago, he located in Camden. N. J., and entered the electric lighting and Ice manufacturing busi ness. While these enterprises were In a flourishing condition, he sold out at a. good frofit, having established a rep utation for fair dealing. Built Great Sugar Refineries. His next venture was the establish ment of a large sugar refinery on the Delaware River front In Camden. This he. sold at a large profit to the Amer ican Sugar Refining Company. Hippie is said to have been interested in this deal and to have profited to the extent of $100,000. Segal then built a match factory in Camden, which was bought out by the Diamond Match Company. Five years ago Segal erected an' im mense' sugar refinery in this city, which was Intended to be the first of a chain of refineries throughout the United States. Although completed, more than two years, the refinery has never been operated. Segal also erect ed 200 dwellings in Altoona near the Pennsylvania Railroad shops. This, it Is expected, will, be a profitable ven ture. Later he erected a Swedish Steel Works at Lancaster, Pa., which have never been operated. Segal's last enterprise was the con struction of the Majestic apartment house, one of the most elegantly ap pointed and palatial structures of Its kind In this city. It has not bei a financial success. It was formerly the home of William L. Elkins, the trac tion magnate, and was enlarged and embellished at a cost of nearly $1,000,000. Suys Collateral Is Good. Mr. Segal tonight made the follow ing statement regarding the failure: My business relations with Mr. Hippie were only those of a borrower. The loans of money made by the Truat Company to me were all made in collateral In the uaual course of business. I cannot tell the exact amount of my Indebtedness and that of the comaauics with which I am associated, but it surely la not over half the amount stated in the. news papers. I think It le about 13.000,000. Mr, Hippie was not personally Interested with me in any of my enterprises to the ex tent of a dollar or & share of st3ck. I never paid him a cent in commissions or cave him a bond or a share of stock or remuneration of any kind whatever. For all my indebtedness the Truet Company is amply secured by collateral worth from $S.O0O.0fK to $0,000,000. This collateral con sists largely of first mortgage bonds secured upon my varloua properties. My collateral cannot be converted Into cash Immediately, but by Judicious handling I am convinced that In a reasonable time lta full value will be realized. HIPPLE HAD TAKEN IAUDANTJM Afterward Found In Full Bathtub, Apparently Drowned. - PHILADELPHIA. Auk. 2S. Persistent rumors that President Hippie committed suicide- were borne out tonight when it authoritatively stated that he took his life at li'i home last Friday morn ing. He Is said to have taken a dose of laudanum with suicidal Intent. While still conscious, he filled his bathtub with water and later was found, apparently drowned. Hippie's family decline to make any statement on the subject and the physi cians interested In the case decline to be interviewed regarding the suicide the ory. Hippie's death occurred suddenly laett Friday morning at his Summer home in Bryn Mawr. The cause of death was given as cerebral hemorrhages by his physician. Dr. William C. Powell, whose statement was confirmed In the coroner's Inquest. It is said today that he did not perform an autopsy, but accepted the statement of Dr. Powell. In ("peak ing of the death of his father, b Whar ton Hippie said: "My father came home in usual health and spirits. He arose about 6 o'clock In the morning and appeared perfectly well. He had the bath filled as usual and went to the bathroom. So far as we can learn he must have died instantly, for no out cry of any kind was heard and he was dead when found by Mrs. Hippie." SHIXIXG IilGIIT IN CHURCH. Hippie Had Usual Qualifications of Ba nk-Wrecker . PHILADELPHIA. Aug. 28.-The late Frank K. ' Hippie was one of the. best known financiers of this city and was also prominently identified with many chari table institutions and was active in the affairs of the Presbyterian Church. Ho was born in this city in 1S39. and was ad mitted to the bar in 1863. At the incor poration of the Real Estate Trust Com pany, in 1SSS, he was elected its president, which office he retained until his death. Hippie was also a director of the Frank lin National Bank, treasurer of the Gen eral Assembly of the Presbyterian Church in the United States;. treasurer of the sus tenance committee of the synod of Phila delphia; treasurer of the Presbyterian Hospital and American treasurer of the Western section of the Alliance of the Reformed Churches holfling the Presby terian system. . In the financial world he was regarded as decidedly conservative. The first intimation that the Real Estate Trust Company was in financial difficul ties was given last Sunday, when, at mid night, a hastily-called meeting of the di rectors wrts held. -Among those who at tended were R. Dale Benson. John H. Converse, ex-Judge W. W. Porter, Bayard Henry, John F. Betzan and I. F. Junkin. At the conclusion of the meeting the fol lowing statement wag issued: In view of the sudden death of t"ne presi dent, Frank K. Hippie, the directors of the Real Estate Trust Company were called to gether last evening to consider the selection of a successor and to make other necessary arrangements. As soon as a decision la' reached announcement will be made. The meeting was held on Sunday owing to the fact that several of the directors could not sooner reach the city. Another meeting of -the directors was held yesterday, and the affairs of the company were found to be badly involved. It was discovered that the shortage would amount to about $7,000,000, and each of the directors gave his -personal note for an amount that would aggregate $3,500,000. It was then decided to ask the clearing house to come to the aid of the institu tion. After it had declined to advance the amount asked, separate meetings of directors of all the banks were called, but In the meantime the run had become so great that the doors wero closed. FOOD AND WATER PLENTY Every Abie-Bodied Man In Valpa raiso Is Compelled to Work. SANTIAGO, Chile, Aug. 28. President Rlesco today expressed the belief that all the villages and towns of Chile destroyed by the Tecent earthquake would be re built on their old sites. President Riesco said the electric fight system would soon be in operation in Valparaiso and that the city would speedily establish the tramway service and that the customs service would soon be reorganized. He promised that before long the courts would resume their sittings. The prisoners in the Valparaiso Jail, except such as are known to be danger ous and those who are- serving second terms, have been set to work on the im provement of the port. Commerce is picking up and matters are beginning to move with regularity. There is an abundance of food, and dis tributions of provisions are made, but every able-bodied man is required to work. It is believed that the number of wounded in Valparaiso will not exceed 700, most of whom are being cared for by their own people. It is impossible to state exactly the number of casualties. President Riesco believes that as a consequence of the preventative measures taken by the authorities Immediately after the earthquake, danger of an out break of sickness has been averted. The water supply of Valparaiso has been completely restored and the sewerage system soon will be re-established. All social functions in Valparaiso will be suspended for six months, asta sign of mourning for the victims of the earth quake. Thousands of people are leaving Valpa raiso for fear of a recurrence of earth quakes. Soundings made in the Bay of Val paraiso show that the earthquake caused no material changes In the bottom. CANNOT MAKE DEDUCTION Cleveland Decides Against Income Tax Allowance on Insurance. NEW YORK, Aug. 28. (Special.) Ex Presldent Cleveland has Just rendered a decision as referee in a case submitted to him by the New York IJfe Insurance Company, the Mutual Life Insurance Company of New York and the Equitable Life Assurance Society of the United States in the matter of deductions from premiums upon policies issued in Great Britain. The Income tax law in England, under the Interpretation given it by the English courts, allows those who are subject to payment of this tax to de duct from their taxable incomes the amount paid by the mfor premiums on life insurance policies .issued by English companies, but the law has not been con strued to permit such deductions on ac count of premiums paid to American com panies. Thcymake the same allowance as British" companies, but Mr. Cleveland's decision is that this cannot be legally done hereafter and that the continuance of it would constitute a rebate under the new law. Mr. Cleveland's decision takes effect at once and under it American com panies will not hereafter absorb the Brit ish Income tax. ' This means a radical saving to American companies. BIG FIRE ON SPINDLETOP Boiler Explosion Starts Blaze in Oil- Storage Tanks. i BEAUMONT. Tex., Aug- 28. A boiler exploded in the Keith. Ward tract, at Spindletop, at 9:30 P. M., setting fire to oil-storage tanks and derricks. Fif teen have already burned and the fire is spreading. The best wells in the field are located in this tract. The fire, which started on the'south western end of the old tract, leased, by the Sunset Oil Company on Spindletop, swept over six acres of the field, and, while still burning, is believed to be under control. As near as can be es timated at this time the damage will not exceed $50,000. LENT ON BAD SECURITY (Continued From Page t.) tlve arrived three minutes after the doors had closed. The .board of ministerial relief of the Presbyterian Church had $50,000 deposited with the Trust Company. According to last May's minutes of the Presbyterian General Assembly, Hippie was treasurer of the board of trustees and had in his charge funds amounting to $963,896. The failure undoubtedly means that hundreds of persons have cut short their vacations and are hurrying back from seashore and mountain resorts. The in stitution was a favorite depository for women and for well-to-do men who make use of purely personal accounts. . The company was particularly attentive to this class of business. For some days the books had under gone a thorough examination, but the clerk's suspicion was due to a curious de falcation which was recently brought to light but was kept quiet. A young bookkeeper Invented an ingenious method of stealing which puzzled the bank offic ials and is said to have aroused serious apprehension because of the difficulty of detecting or tracing it. So far as is known, more than $3000 was stolen from the bank by the clever young forger, f CHEAP RATES EAST On September 8 and 10 the Canadian Pacific will sell round-trip tickets to Eastern terminals at . very low rates. -Tickets good for etopovers, with privilege of returning same' Hue or via any direct line. It will cost you no more to travel via "the great scenic route." Double dally train service and the best of every thing. For full particulars call on or ad dress F. R. Johnson, F. & P. A., Port land, Or. Jury on Poachers Disagrees. VALDEZ. Alaska, Aug. 2S. The jury in the trial of the Japanese poachers, cap tured on St. Paul Island, .has disagreed. Another jury is being empaneled, but there Is a probability that the Govern ment will be unable to convict them, as the evidence Is not conclusive. Church Bought by Catholics Burned. LINCOLN, Neb.. Aug. 28. Fire early to day destroyed the First Christian Church at Fourteenth and K streets; loss, $50,000. The Catholics purchased the building a year ago, and were remodeling it. Father Shine asserts that enemies of the church set flre to the structure. Fixing Boundary on Sakhalin. PARIS. Aug. 28. Official advices re ceived here today say that the Russo Japanese delegates charged with the de limitation of the frontier on the Island of Sakhalin have arrived there and begun work. - BLOW TO BOYCOTT Baker Gets Damages Against Labor Unions. HIS BUSINESS DESTROYED Put on Unfair List for Refusing to Sign Closed-Shop Agreement, He Obtains Court Decision Awarding $6000. RACINE. Wis.. Aug. 28. Union labor was dealt a heavy blow by the decision of Judge Chester A. Fowler in the boy cott suit for $25,000 damages brought by Otto B. Schultz, a baker, against the Trades & Labor Council, Benjamin Dres sen and others. By the decision the con- 1 .V. V rf: ' -- , . . - - ; . t M . 1 ' f A. till as 5 tic - X V , - i 4t . s f sr !? i Mf- BUILDING OF REAL ESTATE TRl'ST COMPANY, PHILADELPHIA, WHICH HAS FAILED. " tract exacted from the boss bakers by the union men in an effort to enforce the closed shop is held Illegal; the Trades Council and the individual members are enjoined from using the "unfair" list: the boycott is declared an actionable con spiracy to accomplish a criminal or un lawful purpose; Schultz is allowed1 to re cover damages of $2500 for the loss of profits from the time of the commence ment of the boycotting acts upN to the time of the trial, and $2500 In damages for the amount of Injury to his business property in relation to its selling value. The decision in part is as follows: All boss bakers of the city signed this Frank R. Hippie, Dead President of Real Estate Trust Company, Phila delphia. Who Is Blamed for Its Failure. agreement except the plaintiff, who i has steadfastly refused to do so. Upon the plaintiff's refusal to sign, concerted attack on 'his business was begun by organized labor, with the object and purpose of com pelling him. against his 1H, to sign the contract and has been maintained with more or less vigor up to the present time. The plaintiff has suffered a permanent and all but destructive injury to his business, which has been caused by the combined acts and attitude of organized labor. An injury to one's business and trade la on the same footing as an injury to his tangible property, and the law furnishes a remedy for one as well as the other. The acts complained of are, in my view, plainly in violation of section 4B6A. Wiscon sin etatutes of 1S98, as construed by the Supreme Court. This statute makes any two or more persons who shall combine, associ ate, mutually undertake or concert together for the purpose of wilfully or maliciously Injuring anot'oer, his trade or business by any means whatsoever or for the purpose of compelling another to do or perform any act against his will, guilty of an offense punish able by fine and Imprisonment. This contract was in Itself an Illegal con tract in that it would by its terms obligate the plaintiff to employ union labor only aa distinguished from nonunion labor; It would obligate him to maintain a "closed" as dl tlngulshed from an "open" shop. ft I Millions of Insurance Paid. SAN FRANCISCO. Aug. 2S. Thirty-five insurance companies out of the 120 in volved in the San Francisco disaster have paid in the aggregate $55,103,863.22, accord ing to their official records to date. Some cf the lare concerns have made heavy payments. The Royal, of Liver pool, is credited with $ J. 804, 000.41, the Hartford with $3,013,705, the New York underwriters with $3,496,787. the Aetna, of Hartford, is down for $3,126,502, and the Liverpool & London & Globe for $3,721,258. Six companies have paid upwards of $2,000,000 apiece, while an equal number have exceeded $1,000,000. ALL READY FOR BRYAN Last Detail of Reception Arranged at New York. NEW YORK, Aug. 28? The programme of the reception to be accorded to W. J. Bryan on his arrival in this city on Thursday was given out by the reception committee tonight. The official reception will begin with the arrival of Mr. Bryan at Pier A, North River, at 4 P. M. Thursday. He will be met there by a subcommittee headed by the chairman of the reception committee. Governor Folk, of Missouri. He will be welcomed by Acting Mayor McGowan in behalf of the City of New York. Six car riages will accompany the carriage car rying Mr. Bryan, which will be preceded by an escort f mounted police. Arriving at . the hotel, a special com mittee consisting of five members of the reception committee from each state will receive Mr. Bryan. Then will follow the general reception, after "which Mr. Bryan 1 V' 1 , f V S'iu 1 i! Si 1 J?i will spend the time in informal discus sions until 7 o'clock, when he will retire to his private apartments to make ready to go to the Garden at 7:4a o'clock. It has been arranged, in order to ac commodate those unable to gain admis sion to the Garden, to hold an overflow meeting In Madison Square Park. If stormy, Mr. Bryan will address the meet ing before entering the garden, and if the weather be pleasant, he will address It after the garden speech. Other speak ers will be J. D. Dahlman, Mayor of Omaha: N. D. Fletcher, of Florida; Gov ernor R. N. Glenn, of North Carolina; ex-Governor W. S. Jennings, of Florida; Congressman Henry M. Goldfogle, 6f New York, and Senator Thomas F. Grady, of New York. Among the prominent Democrats who arrived in the city tonight was ex-Senator George Turner, of the State of Washing ton. Up to an early hour this morning noth ing had been heard of the Princess Irene, on which Mr. Bryan is voyaging to New York, but on the Teoord of her previous runs - the liner ought to reach Sandy Hook early today. Killed by Electric Globe. NEWARK, N. J.." Aug. 28. William Hoch, proprietor of a saloon, was killed by electricity In his barroom by a shock from an incandescent lamp while preparing to close his place last night. Hoch mounted a chair to reach the switch of an electric light over the bar. As his hand came into contact with the button he doubled up, pitched forward across the bar and rolled to the floor dead. A witness of the accident explained the manner of Hoch's death to the po lice, and to illustrate the occurrence mounted the chair and touched the same switch. He received a shock that felled him senseless to the floor, and a physician had difficulty in reviving him. 1 Killed by Love-Crazed Fireman. NEW YORK, Aug. 28. Martin Winter stein, 30 years old. a fireman on the steamship Colon, shot and killed Mrs. Annie Larsen, 28 years old. In her apart ments at No. 484 Henry street, Brooklyn, this morming. Mrs. Sallie Pruhn. 29 years old. a cousin of Mrs. Larsen, was shot and seriously wounded by the fireman. Wintersteln was arrested after a hard struggle. He was infatuated with Mrs. Larsen and said that Jealousy prompted the crime. "Miss Blank says she's crazy over art." "Her paintings look It." Detroit Free Press. Hair Help So many persons have weak hair, lifeless hair, hair that falls out, splits at the ends, keeps roughs and uneven. Such hair needs help. The roots need feeding with a good hair-food Ayer's Hair Vigor. The hair becomes stronger, grows faster, stops falling out, keeps soft and smooth. Just feed your hair and you will be satis fied with it. t. O. Ayer Co., IioweU. Kara. BRIDGES THE GULF Barrett Renews Friendship With Colombia. NEGOTIATES NEW TREATY American Minister Persuades FresL dent Reyes to Recognize Panama and Will Make Venturesome . Trip to Meet Root. BOGOTA, Colombia, July 25. 9pectal.) Two and a half years ago the relations between the Republic of Colombia and the United States of North America became very much strained by the separation of Panama from Colomlba and the official recognition of the former by the Ameri can Government. Popular feeling ran high throughout Colombia against the United States and held it responsible for this loss of Panama; and not until Very recently has this sentiment changed and brought about an opinion in favor of mak ing friends again wlththe United States and of recognizing Panama as an inde pendent nation. " Minister Barrett was sent to Bogota In October, 1906, by President Roosevelt on the difficult and delicate mission of ac complishing the desired restoration of the entente cordiale ' between Colombia and the United States and the formal recog nition of Panama by Colombia. Negotiations for Treaty Begun. It Is now known that, after nine montha' patient and persistent effort In the face of almost overwhelming odds, Mr. Barrett has begun actual and direct negotiations with President Reyes, the able and progressive head of the repub lic, for the framing of new treaties of peace, friendship, commerce and naviga tion between Colombia on the one hand and the United States and Panama, re spectively, on the other. The first will supersede the famous treaty of 184i with New Granada, still in force, and the lat ter will include the recognition of Panama as an independent republic by Colombia. The final negotiations will take place In November or December, after the re turn of Secretary Root from South Amer ica. All Latin America is watching the outcome of Mr. Barrett's mission, as in dicated by the comment of Latin news papers, and it is believed that the ratifi cation of these new treaties will begin a new epoch not only in the friendly rela tions of the United States, Colombia and Panama, but in the prestige, influence and . commerce of the United States throughout every part of Spanish Amer ica, from Mexico to Argentina. It certainly behooves the United States to do all in its power to establish this new era, in view of the fact that Colom bia Is one of the most resourceful lands In the world; that It is nearer the United States than any other South American nation; that it has a wonderful product ive capacity and enormous mineral wealth; that it holds an incomparable strategic position bordering on both the Atlantic and Pacific and commanding both approaches to the callal; that It has unequaled mingling of temperate and tropical climates and products; and that it is destined to experience a develop ment second only to that of Mexico and to hold out similar opportunities, and in ducements for American capital and trade. On -August 3 Mr. Barrett, having con cluded all necessary preparations for the nnai negpttatlon of the proposed new TTTrra in II Elf i I 1 MIC l 2.CfS.,'."'l . s-' its.':.- -u ,1 R WHEN THE THERMOMETER CLIMBS, DRINK WEMBMtfS BEER A gentle tonic, perfectly pure, cooling and invigorating; it is the ideal Sum mer beverage. ' Owing to its age and superior quality it will never disagree with the most sensitive or delicate stomach. Heat makes people irritable and restless. A glass or two of WEINHARD'S BEER before retiring will, quiet the nerves and encourage sound and re freshing sleep. In every line of business some one excels. For pure, healthy, delicious beer WEINHARD'S has no equal. treaties, will start on a most interesting and unique overland journey from Bogo ta, in Colombia, to Guayaquil, in Ecua dor, where, about September 17, he will meet the Secretary of State of the United States, Mr. Root, by the latter's request, and accampany the Secretary to Panama and then to Cartagena in Colombia. This trip, which never before has been under taken by any American official, will cover, with its side journeys, 1000 miles and re quire 45 days' traveling on mulebaek and afoot, where there are no railroads and the ordinary roads are bad and often barely passable. The country, however, to be traversed is undoubtedly one of the most resource ful, though little known, of all South America, and will enjoy a splendid devel opment after the opening of the Panama Canal. The reports of his studies and travels, the first of their kind on this section, which Mr. Barrett will make to his Government upon his return, should prove of great value not only to Colom bia and Ecuador, but to the United States. LAKE STEAMER ON FIRE Sick Captain and Family Are Res cued Jnst in Time. . DETROIT, Aug. 28. Twenty-one per sons, including the captain's wife and two little children, were rescued early today from the burning steamer Charles A. Eddy by the Detroit and Cleveland line steamer City of Mackinac, off Port Sa llnac, in Lake Huron. All of them es caped uninjured and were brought to this city on the City of Mackinac. The Eddy was destroyed. The Charles A. Eddy was bound down from the head of the lake with a cargo of ore. Fire broke out early today while the steamer was off Port Sallnac. It spread with great rapidity and was soon beyond control of the crew. Distress sig nals were sounded and Captain- Simpson, of tho'City of Mackinac, which was bound down from Mackinac Island to Detroit, crowded to its capacity with pas sengers, responded with his boats. Captain Elsey, of the Eddy, was sick in bed with lumbago and had to be car ried from his ship to the Mackinac, with his wife and two children, aged 3 and 4 years. Everyone on the Eddy lost all his possessions, except scanty clothing. The fire broke out in the forward end of the boat and spread so rapidly that several members of the crew had to bresk the windows over their bunks and crawl through, as the regular means of egress were blocked by fire and smoke. Captain Elsey's wife was driven from her cabin clad in only a nightgown and the two baby girls were almost nude. The half-clad, frightened people, . huddled un protected from the cold -wind on the open deck while waiting for help. A message from Port Huron this af ternoon y, say B that the steamers Og- densburg and F. A. Meyer succeeded in extinguishing the flames on the Eddy and have towed her into the St. Clair River. Not In Distillery Business. ' NEW YORK, Aug. 28. M. F. Elliott, general counsel for the Standard Oil Company, denounces as absurd the re port that the Standard Oil Company had taken steps to acquire all of the principal distilleries in the United States as the result of the 'passage of the denatured alcohol law by Congress. He said the Standard Oil Company had no interest whatever in buying up distilleries. Esperanto Congres Opens. GENEVA, .Aug. 28. The first Interna tional esperanto (universal language) con gress opened here today. There were 500 representatives of 15 nations, including many Americans, present. Low Kate to Gans-Keleon Glove Contest. On August 30 and 31. the Southern Pa cific Company will sell tickets. Portland to Groldneld, Nevada, and return at a rate of $49.60, account the Gans-Nelson glove contest, to be held at Goldneld, Septem ber S. Further particulars by calling at the Citv Ticket Office. Third and Wash ington streets, city. M TT TT A TT TT s f a a i( b LIFTERS NOT LEANERS Are wanted in this great work-a-day world, and so, very early in life, you should learn to become a "Lifter." One of the most effective ways of lifting is to acquire lever age through the habit of sav ing; and this habit of saving comes to those who deposit their spare money with this bank, and earn , Oregon Trust & Savings Bank PORTLAND, OREGON W. H. MOORE, President. W. COOPER MORRIS, Cashier SAFE-DEPOSIT BOXES. .'4 ..... ,.;J-" if'Mlli'&'i-r' EfinYROYAL-PILLS KWM.W B.. iiti ruDI. Lail,UtllrUfn 1 URD tod to Id M(Ulo fcoiM. ml4 ' irfMw. other. Bfti UlUWOU AMhLltatiia A l.lta. CIm. Baj f yoar DrmccUt, or vend 4a. la UmM fbr Prtlilftr, Ttlmat.Ua rd ' RJ!T fbr LA4ta,t Utlmr, by tlin MskiL. 1 U.OU TaatiannmlaU. lUU M Kit T)raLanat. i"k mtm tfcto yur. Urn 41m lkr. Fill LA.. 4$o iuiunmummmmimmmmimmiuniimimmnnmiinnMaimimummmmm