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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (April 2, 1903)
LIB6,ARY Portland, Oregon. VOL. XLIII. vO. 13,200. PORTLAND, OKEGON, THURSDAY, APRIL 2, 1903. PR.ICE FIVE CENTS. WRITE US FOR SAMPLES AND PRICES OP ELTING, PACKING AND HOSE HEADQUARTERS FOR ALL KIKDS OF RUBBER GOODS GOODYEAR RUBBER COMPANY n. II. rEASE, President. 73 AJfD 75 FIRST ITRCET, rORTLAXD. OREGON. BARQAIfNS IN Montauk Cameras 4x3 6x7 24. OO No. S, 4x5 22. SO So. 2,5x7... 30.00 No. 1, 4x5 28. OO 6x7, double extena'n. 40.00 KOW IS THE TISID TO BC Y. Resrnlar Special S13.00 5. BO 11. OO 8.60 12. SO 12.75 18. OO BLUMAUER-FRANK DRUG CO. riioto Drputmnit, 142-140 Fourth Street. SHAW'S PURE America's ORIGINAL MALT WHISKY Without a Rival Today BLUMAUER & HOCH 108 and 110 Fourth Street Sole Distributers for Oregon and Washington. MALT l. Y. EJLYIES. ft J. W. BI.1.TK. Sm. and Treaa, St. Charles Hotel CO. CKCORPORATXD). FRONT AND MORRISON STREETS PORTLAND, OREGON Esropean Plan Rooms 50c to $1.50 . First-Class Restaurant In Connection HOTEL PERKINS Fifth and Washington Streets PORTLAND, OREGON EUROPEAN PLAN, ITlriw-CtjsM Cheek Kevtaorut Cnnet& With Hotel. Rocme filnrl Rooms Double . Hnntni- family'. ...... T9o to tUO per 4ey ri. oo to fc.oo ptt day .....iuo to .oo pu Sr A. ;w CAST IT in OvR PRODUCTS AND STAND BEHIND IT t WILLAMETTE IRON & STEEL WORKS PORTLAND ORCOON U.S.A.- PROTECT YOURSELF FROM FIRE TODAY. Buy the best Fireproof Safe. TODAY. Hove stood the test for 57 years. PORTLAND SAFE & LOCK CO General Agents 76 FIRST ST., Cor. Oak THE ESMOND HOTEL OSUB UDEBSOX, attirer. Front and Morrison Streets, PORTLAND - OREQON rREE 'BUS TO AJTO rROM ALL TRAINS. Rates European plan. 60:. TSc, $1.00, 11. SO. COO per day. Sample rooms In connection. Lawn GrassSeed and Fertilizer If you -rant one of those nne green, velvety lawns so much ad mired, plant our DIAMOND 11 KAN D IAWX GRASS SEED. v In preparing a new lawn or working over ydur old one. one sack of our ODORLESS LAWN FERTILIZER will produce better results than wagonloads of that disagreeable stable manure. Phone us, write us or send lor our catalogue. PORTLAND SEED COMPANY Wholesale and Retail Dealers. 180, 182, 1S'4, 186 FRONT STREET, CORNER YAMHILL FINEST OF ALL MANRARA'S BOUQUET CLEAR HAVANA CIGARS LANG & CO., DISTRIBUTERS LOGGING ENGINES SAW MILLS . V EDGERS, TRIMMERS STEAM FEEDS, SAW MILL MACHINERY of All Kinds CALL ON US Smith & Watson Iron Works i&'kEiu REPLY TO KEENE HarrimanSaysHeTried to Bleed Him. WITH THREAT OF LAWSUIT Alternative Was to Buy, Stock in Southern Pacific. OR DECLARE A FAT DIVIDEND Affidavits Filed In Salt Make Start 11ns; Counter Charges Against Keene, and Denr Ills Charges Hearing; of Snlt Began. E. II. Uarrlmtn rtplles to the charges of James R. Keen In recard to tho management of the Boa them Padno Railroad with serious counter chutes. He ssrs Keene sect men to him w)th an offer to sell the stock he controlled, offering the alternative of making trouble. Southern Pacific officials swear that the Improvements proposed were de signed under the Huntington manage ment, before the Union Pacific secured control. Keens denies the charge regarding the stock deal, snd says that Barrtmaa fin offered, to bur, hut he' refused to sell. . NEW YORK, April L The affidavits In toe answer of the Southern Pacific Company to the suit of Talbot. Taylor & Company against the Southern Pacific and Union Pacific, deny that the Southern Pa cific Is operated In the Interest of the Union Pacific The most Important of the affidavits Is made by E. II. Harrlman. In it be sets forth that a mutual friend of himself and of Edward Lauterbach told him (Harrlman). "that James R. Keene repre sented a pool holding 170,000 or ITS, COO stores of Southern Pacific, and that Mr. Keene himself neld about 70.D0O shares; that they contemplated action whlcK y the al davit, would make us a great deal of trouble unless we purchased said shares from them; that he would sell the pool shares at about 70, and his own shares about 73." Mr. Harrlman declares be replied that bo would not be forced by fear Into any thing that would be adverse to the Inter ests of the general body of stockholders of the Southern Pacific E. 1L Harrlman denies that any of the expenditures for Improvements of the Southern Pacific complained of were prompted by consideration of the Union Pacific, but asserts that they were de manded by the interests of the Southern Pacific alone, and wholly Irrespective of any relations between those two systems; that they were planned before the Union Pacific became Interested, and that they were designed and recommended by Southern Pacific officials, and were author ised by Mr. Harrlman only after a thor ough personal examination of the lines, whereby he became convinced of the ab solute necessity of the Improvements. He denies the allegations that the Union Pa cific interests were planning to take over the Central Pacific lines from the South ern Pacific, and asserts that no such step has been contemplated or even discussed. Keene'. Overtures to Harrlman. Mr. Harrlman then relates that In the Autumn of 1901 Edward L&uterbach Intro duced David Lamar to him (Harrlman) and that Lamar sold he had friendly re lations with James R. Keene, a large stockholder In the Southern Pacific, and that Mr. Keene was contemplating some action against the management of the Southern Pacific "He (Lamar) stated that be would like to work with me." continued Mr. Harrl man. "and that If I would make an allow ance which would be of some advantage to him. be had such Influence over Mr. Keene that he could Induce him not to Instigate any adverse action against myself and al lied Interests." Mr. Harrlman did not accept. Several Interviews with James R. Keene followed. At this point the affidavit says: "Mr. Keene stated to me that he had a large holding In Southern Pacific stock; that he -would like to Join with me In pur chasing shares In the market; that he be lieved there could be a great deal of money made thereby, and that he would act for me either In purchasing for our Joint account or for myself. If I wished It: that It would be advantageous for the Union Pacific to take all the Union Pa cific and Issue Its 4 per cent bonds there for, and he stated that "he was an adept In carrying out successfully large stock market operations; that he had shown this capacity especially In the .manipulation of United States Steel stocks." To this Mr. Harrlman replied that he believed "It would be a mistake to create a speculation in the shares of stock and advance their price to a basis that would Justify the buyers In expecting a dividend in the near future; that It was also neces sary to make such repairs and Improve ments from surplus earnings, so far as they would go. In order to establish for the company a basis of credit upon which it could refund the bonded Indebtedness of Its subsidiary companies, a large por tion of which mature In a few days." Mr. Keene then gave assurance that he did not want to act In any way antagon istic to Mr. Harrlman. In the Autumn of DCS. Mr. Harrlman says, he was informed "that Edward Lauterbach and Talbot J. Taylor would make titrable for us unless we settled with them In some way." Mr. Harrlman says he had an Interview with a mutual friend of his and of Mr. Lauterbach. and this friend, who Is not named, "explained to me that 'Mr. Lau terbach had said to him that Mr. Keene represented a pool holding about 170.000 or 175.000 shares, and that Mr. Keene himself held about 70,000 shares; that, they con templated action which would make us a great deal of trouble that might be dis astrous to our Interests, especially laying stress upon the large expenditures we were making upon the Central Pacific portion of the Southern Pacific proper ties, unless we purchased said shares from em; that he would sell the pool shares at about 70 and his own shares at about 78. "I explained to this friend that there was nothing in the situation that we had to fear from those people, or In the man agement of the company which would Justify any criticism or objection on the part of any stockholders, and that I cer tainly would not be forced by fear of any thing they might do into recommending a course which would be adverse to the in terests of the general body of stockhold ers of Southern Pacific." Denies Keene'. Charges. J. Krutschnltt. the fourth vice-president and general manager, who had been in charge of operations under. C P. Hunt ington many years, made an affidavit wherein, regarding the Improvements being made on the Central Pacific line, he said that the necessity for them had been fully recognized by the Huntington man agement. Mr. Krutschnltt says In posi tive terms that all of the improvements in question are absolutely necessary, not only to reduce the expense of operation. but also to enable the company to hold its traffic and compete with rival trans continental lines. He denies that the im provements were even suggested by any officer of the Union Pacific but says they were all planned andnrged by officers ex clusively of the Southern Pacific In its own Interests alone. J. C Stubbs. third vice-president of the Southern Pacific in charge of traffic and traffic director of the Union Pacific de nies In a sworn statement that any traf nc whatever has been at any time di verted from the Southern Pacific to the Union Pacific Affidavits were also filed by William Sproule, freight traffic manager, and E. u. .Mccormick, passenger traffic man ager of the Southern Pacific, wherein those officials testify that neither has at any time received any directions or In. structlons to favor the union Pacific against the Interests of tho Southern Pa cific and that they have not done so, but that each. In the management of the de partment under his supervision, has worked exclusively for the Interest of the Southern Pacific Otto H. Kuhn. a member of the firm of Kuhn, Loeb & Co., and a director of the Southern Pacific filed an affidavit in which the following appears: Bar Stock or ray Dividend. "During the last 12 or 18 months. Ed ward Lauterbach. of counsel for the com plalnants in this .action, repeatedly spoke to me on the subject of the Keene pool holdings of the Southern Pacific stock. The substance of his statements was to the effect that be had been retained by James JU Keene In connection with a contemplated action to bring suit to'tnist the Interests at present In control at h Southern Pacific Company, but he thought ii uesiraoie, in rnenauness to both Inter ests, that no such conflict should take placet; but there were onlv two nn tn avoid hostile proceedings namely, either to ouy ine -Doming of the Keene wool at the price of about 70 or to start the pay ment, vi uiviaenas on me stock at a rate oi not less man 4 per cent per annum. "I answered Lauterbach that we would not consider purchasing the pool's holdings uiai. in determining ine policy of the company in regard to dividend tiarmmt. the directors were acting and would con tinue to act in accordance with their best Judgment and would not allow any other consideration to Influence them nor do xurnea oy tn rests of troublesome lit! gatlon from pursuing what, after con scientious deliberation, they felt the only right course for the Interests of the prop, erty." William Mahl, the controller, filed an affidavit, appended to which are tables showing earnings, expenses, etc, of the different lines since the Union Pacific's Interest was acquired, as compared with the previous years. It appears therefrom that, as compared with the year ending June 30, 1S00, the gross earnings of the Central Pacific line in 1901 Increased La per cent, whereas the earnings of h other lines of the Southern Pacific in- creasea s.i per cent, and for the 1302 tho (Concluded on Second Page.) CONTEXTS OF TODAY'S PAPER. National Affairs. Fresldent Iloosevelt .tart, on hl tour. Pare 1. Vsuxhn appointed Begtiter of Vancouver Land man. race z. Fnlhm tells why Simon, could not get appoint ments. Page 3. ' Domestic. Wabaih Injunction dl.iolred and trainmen are tree to itrlke. Page 1. Harrlman replies to Keene, and Keene retorts. Page I. Cleveland denies that be Is coming West. nee z. Sports. Seattle defeats Oakland- 11 to 3. Page 11. Sacramento wins from San Francisco. & to. 3. -rage il. No came at Los Angeles; rain. Pace 11. Shamrock III, makes another trial trip. Page u. Cambridge wins university boat race. Page 11. Fore Inn. Albanians rebel against reform In Turkey. i-age Rebels control whole province In China. Page Prevost fichu a duel. Pace 2. Pacific Coaat. Seattle Is wide open, Psce 3. Eastern Oregon mining men discuss referen dum. Page 4. Lewis acd Clark Woman's Club organized. rage a. Suit to recover treasure trove, rage 4. Labor Commissioner must have more than union Indorsement. Pace 4.1 Comxncrclnl and Marine. Weekly review of local produce and Jobbing marxete. rage ia. Wheat dull at Chicago, with narrow ductus lions. Page IS. Advance In stock prices checked. Page 13. Henry Clews' weekly Wall-street letter. Page 12. Poor fruit market at San Francisco. Page 12. Arrival of China steamer Indrapura. Page 12. Portland and Vicinity. Weather Surean reports show crap prospects gooa. rage iu. Funeral of the late H. W. Corbett will be held today, rare s. Carpenters will strike It not paid according to union scaie. i-sge is. Class of nine graduates from medical depart ment of University of Oregon. Page 10. "Firebug" writes a letter to Chief of Police. Page 14. Fence.' ease Is decided in favor of S. Sllrerfleld. Pages, ETkinl Uw cuts off free telegraph ervtc of ONHiSWAYWEST President Begins His Two Months' Tour. GREETED BY THE PEOPLE Rides in the Locomotive Gab Over the'AIIegHehies. MAKES SPEECH ATHARRISBURG Praises Good Work of Conl Strike Commission Farewell Interview With German Minister Marked by Warm Friendship. President Roosevelt yesterday morn ing started on bis tour of the West, and was warmly welcomed wherever he stopped. Baron von Sternberg was the only foreign diplomat to see ' him off at Washington, and the President lent the Baron his horses. The President made a speech at Har rlsburg. Pa.. In which he praised the work of the Strike Commission. He rode over the Alleghany' Moun tains In the cab of a locomotive. PITTSBURG, April L President Roose velt viewed the scenery around the fa mous Horseshoe curve this .afternoon from a ecat in the cab of a locomotive at tached to his special train, and. after a ride of about SO miles, expressed him self as delighted with his experience. When the special reached Altoona, at 4:30 o'clock this afternoon, the President alighted from his car and walked rapidly to the front of the train. Two engines were coupled to It, ready to pull the heavy cars over the Allegheny Moun tains, and the President shook hands with the crew of each. He then climbed into the cab of the rear engine. In the cab with" him were Secretary Loeb, Train matter Kellser, Special Engineer Mc Learn. the rear engineer. H. T. McCor mlck. and Fireman Hunter. As he took his seat the President re marked, being a member of the Brother hood of Locomotive Firemen, he thought he ought to take his turn at feeding the furnace, but he did not do so. When Galitiln. the crest of the mountains, was reached, the front locomotive was de tached from the train, and the run to Seward was made with one engine. Here the President Climbed down from bis dusty seat, and, after shaking hands with the' engineers and firemen, went back to hies private car, rather dusty and grimy, but enthusiastic over his novel ride. While the President's engine occupied the second place on the train, a tunnel seven-eighths of a mile in length was traversed, and, although the cab was pro tected by windows and doors, much smoke came In. There was no record-breaking speed. Outside of bis ride on the engine, the President passed an uneventful day, de voting a large portion of It to reading. Stops were made at Baltimore and Al toona. but only at once place did the President make a speech. A large crowd met his train at Harrlsburg. and, al though no speech was scheduled for this place, Mr. Roosevelt appeared on the rear platform of his car and delivered a short address, which was received with many cheers. DEPARTVUE FROM WASHINGTON. Crowd Says Good-bye Kind Words to Baron Ton Sternberg. WASHINGTON. April L President Roosevelt at 9:05 this morning started on his Western trip under the most favor able auspices. As the special train pulled out of the Pennsylvania station the Pres ident stood ion the'ptatform of his car tipping his hat and smiling In response to the enthusiastic cheers of hundreds of admirers. As early as S o'clock a crowd began to gather at the White House to witness the President's departure. ' As-he entered bis carriage to drive to the.statlon the men made the hlstpric grounds echo with cheers, while women waved their hand kerchiefs and many of them their hats. The Pennsylvania station and- platforms -were crowded with people anxious to extend- to the 'President 'their good wishes for a' safe and successful Journey. Nota ble precautions we're taken to. Insure the safety of the 'President. The police ar rangements 'were under the 'personal su pervision of COmmlssfoner West and Chief Sylvester.. "Uniformed officers, detectives, plain clothes men and. secret service operatives surrounded the President and covered every point. As President RooseveIt,alIghted from his carriage he wen Joined by Secretary Hitchcock and they walked down the plat form arm In arm, the President stopping now and then to greet friends. He was attired In a black cutaway coat, dark striped trousers and wore a black felt bat. He was. In the best of spirits and chatted enthusastlcally about the trip. The most notable incident connected with the President's departure arose out of the presence at the station of Baron Speck von Sternberg, the German Minis ter. He was the only member of the diplomatic corps who went to the depot to see the President off. and the. Presi dent greeted him most, cordially, telling hlra that he greatly appreciated the courtesy. During their chat the Presi dent asked the Baron whether he would be here In June when he returned, and. upon receiving an affirmative reply, the President said: "That la good: we will have some long rides together." The Baron told the President that his horses were In India, and would not be here for some time. Instantly the Presi dent turned and gave orders that during his absence his horse and that of Mrs. Roosevelt should be placed at the dis posal of Baron and Baroness von Stern berg. "I shall be much pleased," said he to the Baron, "if you and the Baroness would ride, them while I am away." - As the train drew out the President called "Good-bye. Baron; I appreciate your coming very much." Nd member of the President's immedi ate family except his sister, Mrs. Cowles, was at the-station. Mrs. Roosevelt and the young children being down -the Ches apeake Bay on the Mayflower, and Miss Alice in Porto Rico. Several members of the Cabinet, including Secretary Cortel you. Secretary Hitchcock and, Secretary Wilson, were present. The President and Secretary Cortelyou chatted several min utes, the President expressing his regret that the Secretary was not to accompany him. Other members of the Cabinet had taken their formal leave of the President at the White House.. Among other nota ble people at the station to see the Presi dent oft were Assistant Secretary of State Loomls, Colonel Theodore Bingham and Captain W. S. Cowles, Second Assistant Postmaster - General Shallenberger and District Commissioner West. The train is one of the finest 'ever run out of Washington by the Pennsylvania road, handsomely equipped and manned by a crew of picked men. The only change In the personnel of the party, as heretofore, announced, was that John Mc Coy went as special representative of the Pennsylvania Railroad instead of C. R. Rosenburg. In addition to those officially designated as members of the President's party, three secret service men and two postoffice Inspectors accompanied the President as a personal bodyguard. Speech at Harrlabnric. HARRISBURG, Pa.", April L President FREE TO STRIKE Wabash Employes Win Fight in Court (Concluded on Second Page.) MAJOR-GENERAL R. P. HUGHES INJUNCTION IS DISSOLVED No Grounds for Charges Against Brotherhoods. JUDGE ADVISES ARBITRATION WHO WAS RETIRED YESTERDAY. Employes Were Discontented and Voted to Strike Without Fres.sre Decision Hailed as Victory for Labor Unions. The temporary Injunction preventing the Wabash' employes from striking was dissolved by United States Judge Ad ams yesterday. He finds that, there was no founda tion for the railroad company's charges against the Brotherhood officials. He reo-immends a settlement by ar bitration, and the parties are already conferring on an agreement. ST. LOUIS. April L The injunction Issued March 3 by Judge Elmer B. Ad ams, of the United States District Court, at the Instance of the Wabash railroad officials, to restrain the Brotherhoods of Railway Trainmen and Firemen from ordering a strike on that system, was to day dissolved In a decision banded down by Judge Adams, a week after the hear ing of arguments from both sides for and against the removal of legal- obsta cles. What the next move will be on either side la problematical. At Wabash headquarters It was stated that an amica ble adjustment of the controversy la hoped for. The same sentiment is ex pressed at the hotels where are quar tered the few representative officials of the trainmen and firemen now In the .city. Counsel tor both sides spent -the .afternoon in- -erinference, iut no agree ment was .reached. The keynote for amicable settlement was sounded by Judge Adams himself In ren dering his decision today. He said: "I can not conclude this opinion without expressing the sincere wish of the court that. If the parties are unable to adjust their differences by such mutual conces sions as necessary to that end. the offer made in open court by -defendant's counsel to submit the questions In dispute to the board of arbitration provided for by the act of Congress of 1898 will be speedily accepted and another Instance of rational and intelligent adjustment of a business difficulty be exhibited to an expectant public" In his decision Judge Adams first ana lyzes the bill of complaint upon which the provisional restraining order was Issued, showing that the gravamen of the cMree was that the defendants had entered into an unlawful and malicious conspiracy to secure recognition of their brotherhoods by falsely representing that the employes of the railroad who were members of the brotherhoods were dissatisfied with their wages and conditions of service when they were, in fact, entirely satisfied and con tented with the same: that defendants were about to exercise their powers, aa supreme and controlling officers of the Brotherhoods of Firemen and Trainmen, to force an undeslred strike upon the men who were members of their organiza tions; that defendants threatened and were about to further enforce their de mands to execute their conspiracy by preventing the railroad from performing Its duties as carrier of Interstate com merce and the malls of the United States by preventing their members who were working for connecting lines from hand ling the traffic ut the railroad and thus preventing such connecting lines from In terchanging traffic with and affording the Wabash the facilities therefor required by the Interstate commerce act. Upon the showing that the first step of the conspiracy, namely, the ordering of such strike was Immediately Contemplated by the defendants and that Irreparable damage would necessarily befall the rail road unless a restraining order was forth with Issued, the same was done for the purpose ot holding the property and the parties in statu quo until both sides could be fully heard on the motion to set aside or modify the order. Leave was given to file such a motion at any time within 15 days. The provisional restraining order was made without notice to the defendants, underthe stress of the facts disclosed by the bill and was Imperatively demanded by the general principles of equity Juris prudence, recognized and enforced in many similar cases In the United States and England. Within the time allowed by tho restraining order defendants duly ap peared and filed their sworn answer, denying- the alleged conspiracy In all Its phases. Clinrjcej. Not Proved. The court after fully considering all the proof finds that the statements of tha bill of complaint .to the effect that the em ployes were satisfied with thejr wages and condltlors ot service are not supported; that Irrespective of the question of whether the men or the committee of the brotherhoods representing tbem first sug gested the Increase of wages and change of rules, the employes themselves, at and for a long time prior to the filing of the bill of complaint, were dissatisfied with their wages and conditions of service and a real difference of opinion existed be tween the railroad and a large majority (Concluded on Fifth Pace.) rauroaaa. .rage u.