Image provided by: University of Oregon Libraries; Eugene, OR
About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (July 25, 1913)
0 VOL. MIT.- XO. 1G,432. PORTLAND, OREGON. FRIDAY, . JULY 23, 1913. PRICE FIVE CENTS. TELEPHONE MERGER MAY BE DISSOLVED GovernmentAims Blow at Bell System. 39 COMPANIES DEFENDANTS Complaint Suggests Receiver Be Appointed. DEFENSE PLEA ANTICIPATED Xatural .Monopoly" Likely to Be Excuse Offered by Attorneys for Alleged Trust Restoration, of Competition- Sought. To. "unscramble the eggs" that the American Telephone & Telegraph Com pany has gathered into one nest, suit in equity was brought in the United States District Court for Oregon yes terday under the Sherman anti-trust law by the filing of a bill of complaint against that company and 39 other de fendants. The defendants comprise companies In Washington, Oregon, Montana and Idaho, and include the Pacific States - Telephone & Telegraph Company, the McMinnville Local & Long Distance Telephone Company, the Lebanon Mutual Telephone Company, and the Washington County Telephone Company, all of which are Incorpor ated under the laws of Oregon. The suit was begun at the direction of Attorney-General McReynolds by Clarence L. Reams. United States At torney for the District of Oregon, who will be assisted by Constantine J. "myth, special assistant to the Attorney-General, who Is in Portland for this purpose. Bell System Attacked. The 39 companies named in the com plaint, with the American Telephone & Telegraph Company, are designated as the "Bell", companies, and the present suit is the first that have ever been brought against any of the several al leged "telephone trusts"-in. .the United States. Although the present case has a direct bearing only on the companies named In the complaint, a victory for the Government will have a Nation wide signifcance, and would virtually force other combinations of a like char acter to dissolve without litigation. The Government asks that the de fendants be required, subject to the approval of the court, to dispose of the stocks, bonds and physical property, al leged to be illegally acquired, to per sons not connected with the Bell tele phone companies as stockholders or otherwise'. Government Wants Competition. The Government also asks that so far as practicable competitive condi tions be re-established as. they were prior, to the acquisitions of competing companies by the Belt companies, and that the Bell companies and everyone connected with them be perpetually . enjoined from ever after acquiring any Interest of any nature in the companies that have been restored to their in dependent standing by the dissolution of the merger. The complaint suggests that If the court should be of the opinion that the public interest would be better sub served thereby, that a receiver be ap pointed to take possession of the stocks, bonds and physical properties of' the independent companies, and "dispose of the same or take such other action as may be necessary to bring about condi tions in harmony with law." Natural Monopoly to Be Plea. The Government attorneys admit that they anticipate the defense of the American Telephone & Telegraph Cora- pany and the other defendants will be that the telephone business is a natural monopoly. "Tt may be a natural monopoly," said Mr. Constantine yesterday, "but that would not exempt it from liability un der the Sherman anti-trust statute, and would furnish an excellent argument for Government ownership." The complaint charges that the de-k-indants are restraining trade and commerce, and are not only attempting to monopolise, but are monopolizing trade and commerce. In this, the com plaint maintains that they have been actuated by wrongful Intent. The conditions leading up to the conspiracy in restraint of. trade and commerce which Is charged are de scribed as fellows by the complaint: Service Then Efficient. "Prior to 1905 the Bell companies owned and operated substantially all means of communication by telephone between the States of Oregon, Wash ington, Montana and Idaho. "Their service at that time was inef ficient and unsatisfactory. Jn 'conse quence, local and long-distance Inde pendent companies were formed to compete with them. The business of , the independent local companies at , first was confined to cities and towns; later the independent long-distance liner were Joined through traffic ar rangements with the local line. In this manner the former were afforded numerous connections over which much business passed to and from them, whllit the latter were made a part of the Jong-distance systems whether In terstate or Intrastate. Thug all the in dependent lines were formed Into Inter state systems, -of which there were three, herein described as the North- (Concluded on Pace 12. BOURNE OPPOSES POSTAL REFORMS EX-SEXATOR BEHIND ATTACK OX Bl'RLESOX. Position Is That Postmaster-Genera Exceeded Authority in Mak- in Parcel Changes. OREGONIAN NEWS BUREAU. Wash ington, July 24. :Ex-Senator Bourne i3 behind the attack U'.ing made on Postmaster-General Burlesons ordpr en larging the scope of the parcel post. He has been busy on' the floor of the Sen ate and in the Senate cloakrooms for the past four days, interviewing Sena tors and .working up opposition to Bur leson's reforms. As an ex-member of the Senate Bourne .has access to the floor of the Senate and, to its cloakrooms, but this is the first time he has availed him self of the privilege since his term ex pired March 4. . He has been at worU in Washington as chairman of the Pos. tal Good Roads Commission and Rail way Mail Commission and devoted his attention to these matters until the Postmaster-General sought to do away with parcels post stamps and prpposed to increase the weight of packages that may be sent by parcel post in the first two zones and also ordered adminis tration changes. Bourne takes the position ' that the Postmaster-General assumed authority that rest3 only in Congress and it .was at his suggestion that the Senate post office committee undertook to call a halt on the Postmaster-General. He has succeeded in arousing strong sentiment against Burleson in the Senate. WEIGHING OFJCE PROBABLE City Commissioner Brewster to War on Short AYeights.' War is to be declared on the ice man who fails to weigh ice before delivery. City Commissioner Brewster, who has charge of the department forthe seal ing of weights and measures, an nounced yesterday that he .will prepare at once an ordinance requiring the weighing of ice and "providing a pen alty for short weight. Many complaints have been received by SeaLer of .Weights and Measures Jones about ice men refusing to weigh their ice before making delivery. It is said that 10 cents' worth of ice means almost . anything from a couple of pounds to 20 pounds. FAIR COMMISSION TO MEET Chairman liooili Calls Conference to Be Held at Salem. EUGENE. Or.. July 24. (Special. R. A. Booth, temporary chairman of the Oregon Panama Exposition Commis sion, has issued a call for . the first meeting of the Commission to-be held at the- State House, Salem, tomorrow at 10 A. M. ' The Governor, Secretary of State, State Treasurer and President of the Senate and the Speaker of the House the committee authorized by the Legis lature to select the Commission will attend the meeting to. offer suggestions and information necessary for the proper organization of the Commission. HIGHEST TEMPERATURE 84 End of Hot Spell Predicted' for Today With Showers Due. The high-water mark, temperature dropp-ed one more degree .yesterday, and though in the afternoon when the sky clouded up it was unusually sultry, the maximum temperature for the day was only 84 degrees. Wednesday's maximum was 85 degrees. On Mon day and Tuesday,, it was 90 degrees. "Showers and cooler: southwesterly winds." is the forecast " for today. Thunder storms are predicted, for Idaho and generally over Washington and Oregon east of the Cascade Mountains. CITY DWELLERS CHILDREN Ll ) $ -'-!! -r'j f - HAPPY KIDDIES GET CLOTHOR TRIP of r-. , i r fO ome Not ntted .tor Silverton Outing. MORE GARMENTS ARE NEEDED Youngsters Are in State of Happy Anticipation. JUNIOR LEAGUE GIRLS BUSY Friends of Poor Youngsters Miss Lunch but Provide Tiny Wards With Food and Jjemonade. Party Leaves Saturday. CONTRIBUTIONS TO FRESH AIR rtM). Previously renorted ?lS6.TO Oash 5. on A friend fl.OO J. W. Newkirk 10.00 W. B. Keclihetmer : . - 12.no Georfe M. Strong.... ' 5.00 O. C. Chapman : 15.00 Dr. Edward J. Labbe 10.OO E. C. ShfeVlin . 25.00 Mrs. Frances B. Stambaugh. . . 5.00 Edward Holman 20.0i Guy W. Talbot. 20.00 Joseph Simon 10.00 Mrs. S. Frances Moore........ 5.00 Mrs. French -. - o.OO Total ' $337.70 Contributions' are sent . to It. S. ,Howard at Ladd & Tllton Bank, or to V. It. Manning, at 411 Commercial block. Fifty happy boys and .girls took pos session of. the rooms of the Associated Charities yesterday 50 little' people eager with anticipation for the holiday that is being arranged for them by the kind-hearted people who have started the fresh-air fund. - The children were received by a committee from the JunToT League who have undertaken to outfit. -the youngsters with suitable clothes for-their vacation.'- ; ' Many, of. the mothers, accompanied the smaller fcltows -and helped In the trylng-on of waists, shoes, dresses and jackets that had been provided by the girls of the league. -.'... . . . Food and .Lemonade Prortdei. ' ' Miss Haxel Dolph and her. committee were busy from early morning . until late in the afternoon, not even-stopping for' lunch, but they did not . forget, to provide for the little people and there was a generous supply of sandwiches and lemonade, the gift of Miss Hazel Weidler, Mrs. J. Wesley Ladd and Miss Dolph , ' . As there were not enough clothes to go round the committee' will be glad to receive any clean garments and chil dren's shoes this morning at the Associated- Charities rooms. Epecjally is underwear needed arid they ask that it be mended, if there. are any little rips or tears, as the mothers have to work and have but little time for sewing. Youngsters Are Happy. Secretary Manning! of the associa tion, found one family of three little youngsters playing in a basement and when he asked If they -would like' to go to the country they were overjoyed. One interesting case is that of two little brothers whose mother is & widow and "goes out washing." She is afraid to stay all alone at night and so both boys cannot go on the outing one must stay with the mother. The splendid' spirit "of the citizens of Silverton and of the farmers in the sur rounding territory Is shown in that (Conoladea on Pace. 12.) FOR WHOM PUBLIC-SPIRITED CITIZENS HAVE PLANNED OUTING- AJD FOI R MOTHERS W HO W ILL INDEX OF TODAY'S NEWS The Weather. YESTERDAY'S Maximum temperature. SI degrees; minimum 62 degreei. . TODAY'S Showers and cooler; eouthwest erly winds. National. Mediation in Mexico may be adopted as so lution of problem. Pare 2. Republican ' tariff amendments' rejected by party vote. Page 2. . - -. Cummins and Mulhall clash over lobby testi mony. Page 2. -Domestic. Miliila ordered out In Michigan copper mine strike. Pace 1. Mrs. Ella Flags Youns resigns. Page Mrs. Jessie Root Ordnt surprised by hus band's divorce suit. .Page Z. Sports. Pacific Coast League results: Sacramento "7, Portland 1; Venice .6, Oakland 3: San Francisco 2. Los Angeles 0. Page 7. Northwestern League results: Victoria 4. Portland 1: Seattle 11, Spokane 5; Van couver 7. Tacoma 4. Page 7. Major league scouts making . annual swoop on North western League. Page 6. International tennis play for Davis trophy opens today. Page 8. Petroskey and McAllister begin work for coming fight. Page 0. Rain prevents all major league contests. Page 7- Pacific Northwest. Eastern Oregon and Idaho are hit by water spout and cloudburst. Page fS. Policeman stops dawn dance of maidens in thin garb. Page 3. Commercial andr Marine. New-crop hops now wanted at' 16 cents. Page 17. Wheat firm ' at Chicago on higher rural offerings. Page 17. ' " f Stock market closes strong with good ad vances. Page 17. Tacoma said to b after' part of Portland wheat ' shipments. .Page 16.'... Portland and Vicinity. Happy youngsters get clothes for fresh-air vacation at Silverton. . Page 1. Mary Adcle Case, contralto, to appear In concert at Oaks Park. . Page 10. Newsies agree not to listen to street L W W. agitators.- Page 10. Distinguished -l3itors inspire society events. Page 10. . LAZY HUSBAND SENTENCED Tacoma Wife to Draw Pay as Spouse Labors for State. TACOMA, Wash., July 24. (Special.) Leuis Mathis, a carpenter living at 6438 South Thompson avenue, is the first Tacoman convicted under the new "lazy husband" law. Mathis was sen tenced today to six months at labor. during which time he will work under the direction of the County Commis sioners. ' The court ordered that f 1.60 out of his daily wages be turned over to Mrs. Mathis. Mathis made no effort to refute his wife s testimony. s - - -". In case he is found guilty of a misde meanor, in -the course of his sentence he will be placed in close confinement. BOJSE BRANCH DISCUSSED Mohler and Sproule Plan, to Meet - Western Pacific Competition. SAN FRANCISCO. July 24. At a conference today between President Mohler, of the Vnion Pacific, and Presi dent Sproule. of the Southern Pacific, the main objects, for discussion were plans for building a-branch line from some- point- on the Central Pacific to Boise, Idaho.".' and ' line "and service changes occasioned by the separation of the Southern and Union Pacific sys tems. The line to Boise is planned to meet the " competition of a similar branch from. Winnemucca, Nev., which the Western Pacific is known to have had under contemplation for some time.. WILSON -HAS PLAN OF OWN Xcw Statutes Defining Monopolies to : Be Broached Later On. WASHINGTON. July 24. President Wilson has an anti-trust policy of. his own, it became known today, but he will not broach it until the December session of Congress. The President has in mind a legisla tive programme which does not neces sarily in-olve an amendment of the Sherman anti-trust-law," but is said to contemplate - additional statutes defin ing monopolies. . The President has de clined, however, to discuss his Ideas until, the tariff and the currency are disposed - of. BE IN INITLL PARTY - THAT GOES fillLITIV SENT TO - PENINSULA - MINES Michigan Copper Sit uation, Menacing. SEVERAL INJURED IN RIOTS Deputies on Guard Stripped of Their Stars. SHUTDOWN IS COMPLETE Strikers Disregard Orders From Fed eration Against ViolenceTroops on Way Include ArtHIery and Cavalry. CALUMET, Mich., July 24. Violating orders of the Western Federation of Miners against violence, many of the 15,000 striking miners of ' the copper belt created disturbances today and troops have been ordered, out. By to morrow night there will be nearly 2400 state soldiers, including cavalry and artillery, in the mining fields of the upper peninsula of Michigan. There were no concerted attacks on mine property or .persons about the mines, but several persons were in jured in sporadic riots. So menacing did the situation appear to Sheriff Crune that he asked Governor Ferris for militia, early in the day. The Gov ernor was on his way to Alpena and when the request reached him at Bay City he was inclined at first to think that the. Sheriff was unduly alarmed. Later reports, however, convinced the Governor that armed help was needed and he ordered Adjutant-General Can dercrook to rush soldiers to the strike zone. ' : Shrapnel to Be Supplied. . - A plentiful - supply, of - ammunition and . two field guns with shrapnel will arrive . tomorrow for the use of the militia. ... .'. While there, were several outbreaks In various parts of the mining country, the chief - "disturbance '"" that " set the troops in motion was an assault on deputy sheriffs stationed at the mines Of the ' Calumet &' Hecla Company to protect property. None of the mines has attempted to operate, but the strik ers seemed to object to the presence of the deputies. About 300 strikers armed with steel drills, clubs and stones and a few with firearms, which they fired in the air, marched to the No. 2 Conglomerate shaft and stripped he deputies of stars and repeated the performance at the Hecla branch mine. The deputies could not offer much resistance, as the strikers outnumbered them, but there were many fights after the stars had been collected and several persons were beaten severely.. A few men were taken to hospitals. Auxiliary Plant Surrounded. The strikers then surrounded all the surface plants of the Calumet & Hecla Company and forced suspension of auxiliary operations in these plants. The machine shops, foundries . and other similar industries were closed before the onset of the miners. The company managers asserted that these shops would have been : closed later anyway, as there was little for them to do. No effort was made to operate any of the mines or to work any of the properties beyond that ' absolutely necessary. - The stamp mills were not molested. (Concluded on Pag 3-.) IN THE COUNTRY TO -. SILVERTON. CHINESE REBELS RECEIVE SETBACK GOVERNMENT TROOPS AT AR SENAL. TAKE OFFEXSIA'E. Looting Begins at Shanghai and Foreigners Are Wounded by Stray Shots and Shells. SHANGHAI, July 23. (2 A. M.) In the last 24 hours rebels have made a series of spirited attacks on the arse nal, but all of them have been suc cessfully repulsed. The government troops are so encouraged at their coTT tinued success that they have assumed the offensive and are forcing the rebels back on Nantao, a southern suburb of the Chinese native city. Admiral Tseng formally has warned the Nantao Chamber of Commerce that unless the rebels disperse he will bom bard their -position and the forts at the mouth of the river, which also are in the hands of the southerners. LONDON, July 25. A Shanghai dis patch to the Daily Telegraph says: Looting has been begun in the city and the residents are fleeing. Many fires were caused by bursting shells and several foreigners wounded by stray shots. Shanghai is so full of refugees from Nanking and Kiu Kiang that tho peo ple are sleeping In the street. A boat load of southern deserters was sunk by the gunboat fire. The northerners have occupied a rebel fort near the arsenal. Dispatches from Shanghai by way of St. Petersburg report that Nanking ls-in the hands of the northerners. GOOD JOBS ARE SPURNED Idle Men 'Who Refuse to Work Are Chased From Minneapolis. MINNEAPOLIS. July 24. Mayor Nye's order to the police to assist the unemployed in Minneapolis to obtain work, and that those who refused jobs when offered be forced to leave town or face workhouse sentences, had the effect today of thinning the ranks of idle men. Large numbers were shipped to railroad work in the Northwest, while hundreds who were not satisfied with the positions offered left the city to escape arrest. . . - One labor agent reported to the po lice that he offered jobs, without fees, to 200 men at $2.50 for nine hours' work. The' most ' of them refused, he said. They .'declared they .would wait until higher wages were offered, according to the agent. HEALTHY ONLY MAY WED Marriage of Those Unsound in Body or Mind1 Illegal in Pennsylvania. HARRISBURG, Pa., June 24. A step toward bringing a.bout so-called health marriages in Pennsylvania was taken today when Governor Tener signed the bill requiring all applicants for mar riage licenses to set forth in the ap plications that they are not afflicted with transmissible diseases. The new law prohibits the issuance of marriage licenses to any person'who is an imbecile, epileptic, of unsound mind, or to any person who has been an Inmate of any county asylum or home for degenerate persons until it appears that the cause has been re moved, and the applicant is able to support a family. OLD FAIR. STOCK TURNS UP Columbian Exposition Securities Listed in Will of Illinois Man. Shares in the . World's ' Columbian Exposition Company, which managed the World's Fair in Chicago in 1893, are listed' as spart - of the estate of Nicholas v J. Grenning, who died in Portland, September 29, 1912, . and who was buried in Lamont. 111. The . final accounting of the estate, which goes to the widow, was made a.t the Courthouse yesterday and part of the property listed was two shares Jn the Columbian Exposition Company, valued at $10 each. The Columbian Exposition was held in 1S93. MAJOR APPEALS TO COURT Ray Seeks to Enjoin Garrison From Promoting Others Over His Head. WASHINGTON, July 21. Major Beecher B. Ray, of the Army Pay Corps, applied today to the District Supreme Court to enjoin Secretary Garrison from certifying to the President for promo tion any other officer who would thus be jumped over him. . Attorney-General McReynolds re cently held that the President was not compelled to promote Ray. although he Is in line under the seniority rule. A committee of the last Congress inves tigated charges of Ray's alleged politi cal activities. BEES TAKEN FOR VACATION Hood River Swarms to Have Summer Diet of Firewecds. HOOD RIVER. Or., July 24. (Spe cial.) W. W. Dakin. who own3 the largest apiary here, left yesterday for his vacation in the forest reserves above Parkdale. Mr. Dakin was accom panied by two score hives of his bees, which will be carried to the mountain wildness for the Summer to gather honey from flreweed In the burned-over regions of the district. "I am going to try for some' of the prizes that -are to be offered at the State Fair this year." said Mr. Dakin, as he left the city with his dragon load ed with bee hives DEMOCRATS SPLIT ON CURRENCY BILL Storm and Bitterness . Mark Conference. INSURGENT PLAN PRESENTED Recognition of Warehouse Re ceipts Demanded. WILSON MUCH CONCERNED As Prospect for Agreement on Mcas ure Becomes Vague, President Has Long Interview With Opposition Leaders. WASHINGTON, July 24. The A4. ministration currency bill became to day the center of chaos in the con ference of Democratic members of the House banking and currency commit tee. After a stormy session the conference broke up tonight with an interminable vista of opposition, and discussion opened up and the prospects of an agreement on. the bill apparently re duced to a vague and shadowy hope. . Even Chairman Glass, champion of the bill on the House side, was about ready to abandon the Idea of getting his colleagues together. President Wilson regarded the situation as so serious that he asked for a conference at the White House tonight with Rep resentative Henry, of Texas, chairman of tho House rules committee, who has been advising with the "insurgent" committeemen. The interview lasted until well into the night. Stormy Cooference Held.' '.The conference of the committee was turbulent from the outset. After re opening the discussion of the ' funda mental feature of the bill Government control through the broad powers "of the proposed Federal reserve board Representative' Bulkley. of Ohio, held the floor for an hour, in, & discussion of President Wilson's attitude toward the bill. . It became apparent that the proposal to keep this board a strictly Govern ment institution, urged by President Wilson as one of the essentials, was a point of wide disagreement. Then Rep resentative Ragsdale presented a set of amendments practically rewriting the essentials of the. bill. These amend ments, framed by Representative Henry and Representative Ragsdale. represent the sentiment of the so-called "Insur gent Democrats" on the currency ques tion, and provide for. currency issued on warehouse recepits for cotton, coru and wi-eat. Extended Fight Threatened. Henry and Ragsdale announced their Intention or fighting for tho amend ments, not only in the conference of the committee Democrats, but in the full committee, the Democratic caucus and possibly on the floor of the House. President Wilson's recently published political work. "The New Freedom," fur nished the text or Representative Bulke ley's discussion. Mr. Bulkeley quoted from, the President's work passages, which, lie salu, showed that when the book was written President Wilson was opposed to the Idea of placing vast gov ernmental responsibility in the hands of restricted bodies which in any way might be controlled or influenced by financial or industrial interests. Controversy In Bitter. Representative Korbly. of Indiana, replied at length to Mr.-Bulkeley, and Chairman Glass himself took a hand in the discussion, which became bitter. This controversy continued during th greater part of the meeting and not a single vote was taken on an amend ment or a step made in the direction of agreeing to any of the features of the bill. In , a. statement accompanying the amendments. Representative . Henry criticised the Glass bill as "written wholly In the Interests of the creditor classes." "If large business and the bankers," said the statement, "are determined to force the Government Into a partner ship with the banks, then I insist that we so amend and round out the Glass Owen bill as to permit the farmer and wage-earner to come Into, the scheme on the fame terms." Farmer and Laborer Included. With this theory as a basis, the "in surgent" amendments would begin by reforming the proposed Federal reservo board. They would authorize a board of nine members. Including the Secre tary of the Treasury and Secretary of Agriculture and the Controller or the Currency and six members appoint, ed by the President. One of these would be a . "person experienced in banking and general business;" one a "bona fide representative of industrial labor." and one a "bona fide rep resentative of agriculture." Ex cept for the banking member of the board, all would be forbidden : to hold bank stock.. " The amendments would increase the maturity term of paper rediscountxble In the Federal reserve . banks from 60 days, as at present proposed by the Glass bill, to 120 days and would In clude In the rediscountablc paper farm loan mortgages. They , would provide that not more than 50 per cent of the paper rediscoun table to a depositing bank should have a maturity of mora tlian 60 days. The amendments would provide for (Concluded on Pajo la.)