mtmttan. PRICE FIVE CENTS- POKTAND. OREGON, MONDAY, pEGEMBER 5, 1904. VOL. XLIV.NO. 13,725. TAFT ENDS TAS . f t r-k I t Agreement Is Reached With Panama. ALL DIFFERENCES ADJUSTED RnnQPVPlt, Fyfiniltivft Order nUUbtJytJIIJi LACOUUYG VIUGI Woo lection Ypciornov YV-db IbbUCU I CblCI Uxy PRESIDENT AMADOR ASSENTS Effectiveness of the Document Is De- pendent on the Adoption of the Gold Standard, According to Previous Promise. ETFECT OF TIIE ORDER, vSistoms receipts of canal ports to bo turned over to Government of Pan ama. Panama tariff to be 'reduced to 10 per cent. United States to hao complete con trol of sanitation and quarantine in canal ports. Panama postage o be reduced to 2 cents. PANAMA, Bee 4. The differences be- rrpn the TJnlted States and Panama ! which made necessary the visit of Secre tary of "War Taft to the Isthmus were settled today by tho issuance of an ex- eeutive order signed by Secretary Taft for President Roosevelt and assented to In a letter by President Amador of Pan- ama. Tho order provides mat no traae for the canal zone or the Republic of Panama can enter the norts established by tho United States at either end of the canal, supplies lor the construction of -the canal and articles in transit being ex cepted. This turns tho customs receipts of these ports over to theGovernment of Panama. Panama agrees to reduce her tariff Irom IB per cent ad valorem to 10 per "cent This reduction applies to all goods except wines, liquors,, alcohol and opium. Pana ma also agrees to ' reduce "her consular fees and port charges to GO per cent of tho rates at present charged. Absolute 'freer trade is to apply between the canal zone and tho Republic of Pan ama. Vessels entering the canal ports are granted free entry to the ports of Colon and Panama and vessels entering the latter ports are extended, the same privileges in the canal ports. Jurisdiction Over Harbors. fcTompleto jurisdiction is granted the United States in the harbors of Colon and Panama as to sanitation and Quarantine regulations. Panama reduces her rate of postage to 2 cents and is to furnish all stamps in the Republic and- in tho canal zone. Tho zone authorities are to purchase stamps from Panama at 40 per cent of their face value. Tho order of Secretary Taft is to be ineffective unless Panama shall put into effect the gold standard, according to the currency agreement of June 20, 1504. It also makes a stipulation regarding citizen ship rights to Panamanians in the canal zone and provision Is also made in the order for maintenance by the United States of Important highways, partly in and partly out of the canal zone, and also for the building of a hospital. The order is made effective December 12, J.904, and the full text of it is as follows: Text of Executive Order. "Panama, Dec 2. 1904. By direction of the President it Is ordered that, sub' ject to the action of the 5Sth Congress, as contemplated by the act of Congress ap proved April 28, 1904: Section 1. No importations of goods, wares and merchandise shall be entered at Ancon or Crlstobol, the terminus ports of the canal, except such goods, wares and merchandise as arc decided In article IS of the treaty between the Republic of Panama and the United States, the ratlfi- cations of whichi were exchanged on the zsin aay ot enruary, juah, ana except goods, wares and merchandise in transit across the isthmus zone for a destination without the limits of said isthmian zone, and except coal and crude mineral oil for fuel purposes to be sold at Ancon or Crlstobol to seagoing vessels, said coal and oil to be admitted to these ports free of duties for said purposes. It is provided, however, that this order shall be Inoperative, first, unless the Re- public of Panama, shall reduce the "ad valorem duty on goods described in the act of the National Convention of Pan- ama, passed July 5, 1901, and which took i effect October 12, 1904, from 15 per cent to 10 per cent and shall not include articles described in other schedules of said tariff, except on all forms of wines, liquors. alcohol and opium, on which the republic may fix higher rates; second, unless ar ticle 38 of the constitution of the Repub lic of Panama, as modified by article 146 thereC. shall remain In full force and un changed so far as the importation and sale of all kinds of merchandise arc con cerned; third, unless the consular fees and charges of the Republic of Panama in re spect to the entry of all vessels and im portations into said ports of Panama and Colon shall be reduced to 60 per cent of the rates now in force, and, fourth, unless goods Imported into the ports of Panama and Colon and consigned to' or destined for any part of the canal zone shall not be subjected in the Republic of Panama to any other direct or indirect Impost or tax whatever. Use of Ports on the Isthmus. "Sec 2. In view of the proximity of the port of Ancon to the port of Panama and the port of Crlstobol to the port of Colon, tho proper customs or port officials of the canal zone shall, when not inconsistent with the interests of the "United States, at the instance of the proper authorities of the Republic of Panama permit any ves- sel entered, at or oleared from the ports of Panama and Colon, together -with its cargo and passengers, under suitable reg ulations for the transit of the lmportca merchandise and passengers to or from the territory of the Republic of Panama, to use and enjoy the dockage and other facilities of the ports of Ancon and Crls tobol, respectively, upon payment of proper dockage duties to the owners of proper dockage sSt'ssssT Ided, however, that recip- as to dockage and other facilities' at Panama and Colon, together with suitable arrangements for transit of imported merchandise and passengers to and from the territory "of the canal zone shall be granted by the authorities of the Republic of Panama, when not inconsist ent with the Interests of any vessel, to gether with Its cargo and passengers, entered at or cleared from the ports of Ancon and Crlstobol; provided, however, that nothing herein contained shall affect thc complete administrative, police and Judicial Jurisdiction of the two govern- mnrttc rwrof holt" TMlTVt!VA TOrtS and harbors except as hereinafter provided in Cctlon s. provIded also lhat vessels en- tering or clearing at the Port of Panama hall have absoiute right freely to anchor and discharge their cargoes by lighterage from and to Panama at the usual anchorage in the neighborhood of the Islands of Pcrlco. Flamenlco. Naos Culebra, through and included In the delimitation as amended under section 5, hereafter, and to use the said waters of said harbor for all lawful comercial pur' Posea Clearlng of Vessels. ,"Soc 3. All manifests and Invoices and o'ther documents In respect to vessels or cargoes cleared or consigned for or from the ports of Panama and Colon shall, as heretofore, be made by the officials of tha Republic of Panama. All -manifests, in voices and other documents in respect to the vessels cleared or consigned for or from the ports of Ancon or Cristobol shall be made by officials of the TJnlted States. Free Entry to Canal Zone. "Sec. 4. No import duties on cargoes or charges of any kind whatevor shall be Im posed by the authorities of tho canal zone upon goods-, wares and merchandise Imported, or upon persons passing from the territory of the Republic of Panama into the ' canal zone; and sectibn 5 of tho executive order of Juno 24, 1901, providing that duties on importations into the canal zone arc to be levied in conformity with such duties as Congress has imposed upon foreign merchandise Imported into ports of the United States is hereby revoked; but this order shall be inoperative unless the au thorities of the Republic of Panama shall grant by proper order reciprocal free im portatjon of goods, wares and merchandise and free passage of porsons from tho ter ritory of the canal zone Into that of the Republic of Panama. Harbor Lines Are Defined. 'sec. 3. The provisions of this order also shall not be operative except upon the condition that the delimitation of the cities and harbors-of Colon and Panama. signed on tho i5th day of June, 1904, by the proper representatives of the gov ernment of the Republic of Panama and of the canal zone, shall be provisionally enforced, and while the same shall remain In force with the consent of both parties thereto the provisional delimitation shall Include not only -tho terms set forth in tho writing thereof, but also the follow ing: i That the harbor of Panama shall in clude the maritime waters in front of said city to the south and cast thereof, extend ing three maritime miles from mean low water mark, except the maritime waters lying westerly of a line drawn from stake or post set on Punta Mala through the middle island of the three islands known as -Xas Tres Ecrmanes and ex tending three marine miles from mean low-water mark on Punta Mala, which water shall be considered, in the harbor of Ancon. 'Sec 6. This order also shall be inop erative unless the proper governmental authorities of, the Republic of Panama shall grant power to the authorities of tho canal zone to exercise immediate and complete jurisdiction in matters of sani tatlon and quarantine In the maritlmo waters of the ports of Panama and Colon." Section 7 refers to the establishment of postoffices and post services as noted above. Gold Standard Must Be Established "Sec 8. This order shall not be operative unless the currency agreement made at "Washington, June 20, 1904, by the repre sentatlve of the Republic of Panama and the Secretary of "War of the United States, acting with the approval of the President of the United States, for the es tablishment of a gold standard of value in the Republic of Panama and proper coinage shall be approved and put into execution by the President of the Repub lie of Panama, pursuant to the authority conferred upon him by law of the Repub lis -of Panama, number 84. approved June 24, 1904. and unless the Prcsldont of the Republic of Panama, In order that tho operation of the said currency agreement in securing and maintaining a gold stan ard of value in the Republic of Panama may nbt be obstructed thereby, shall, Tjy virtue of his authority, conferred by law number 65, enacted by the National As sembly of Panama on June 6, 190J, abolish the tax. of 1 per cent on gold coin ex ported from the Republic of Panama. Voting Prjvlleges to Natives. "Sec 9. Citizens of the Republic of Pan ama shall have, so lar as concerns the United States, entire freedom of voting i ciccwuua ucm u iuc iijuuii i jrau- ama and its provinces or municipalities, at such places outside of the canal zone as may be fixed by the Republic and un der such conditions as the Republic may determine; but nothing herein Is to be construed as intended to limit the power of the Republic to exclude or restrict tho I rights of such citizens as it may be deemed judicious. Building of Highways. . Sec-110' hlB5Ty tendIn ft"om wuh ui uw wiyw x-unama us uxcu in uie aoove-namea provisional dellmltatlon of June, 1904, to the point still further to the eastward, where the road to Savannah crosses the zone line (which is five miles eastward of the ten ter axis' of the canal) shall be repaired and maintained in a serviceable condition at the cost" and expense of the authorities of the canal zone, and also in like manner the said road from the said eastern limits of the City of Panama to the railroad bridge In the City of Panama shall be repaired at the cost of the authorities of the canal zone; but this order shall not be operattive unless the Republic of Pan ama shall waive Its claims for compensa tion for tho use in perpetuity of municipal buildings located in the canal zone. Construction of a Hospital. "Sec 11. The United States will con struct, maintain and conduct a hospital or hospitals either in the canal zone or In tho territory of the Republic, at its option, for the treatment of persons insane or afflicted with the disease of leprosy, and any indigent, sick, and the United States will accept for treatment therein such persons of said classes as the Republic may request; but this order shall not be operative unless,, first, the Republic of Panama shall furnish without- cost the requisite lands for said purposes if the (Concluded on Page Three.) TO PREVENT WAR Chief Object of United States Navy. GOST WILL GOME HIGH Estimates Will Increase for Years to Gome. SPLENDID VESSELS BUILDING More Warships Launched the Past Year Than Ever at Any Time by Any Nation on' Earth, Says Secretary Morton. RECOMMENDATIONS OF SECRE TARY OF THE NAVY. Greater appropriations for the Navy. More oClcers and men for new ves sels. Ships- to be kept In good repair and target practice kept up. Torpedo-boats cannot take the place of battleships. Thorough, preparedness at all times for war. Younger men in command of ships. Building of vessels at private- yards; navy-yards to be used mainly for re pairs. Guns, armament and ammunition should not all bo made at Govern ment factories. Wireless telegraphy under public control. Form of government for Guam Isl anders. "WASHINGTON, Dec 4. Secretary of the Navy Morton, In his annual report, made public today, says: The naval estimates for the fiscal year are large, the largest ever submitted, not withstanding the fact-that they have been cut down from those sent In by the bureau jnore than 517,000.000. We have asked for less than tho money actually required to continue the naval programme as laid' down by tho General Board,- of which Ad mlral Dewey Is the head, notwithstanding all who have studied tho question care fully agree that this programme should be carried out. The past year was an important, one in the history of our naval construction. Never before were so. many warships launched by this or any other nation in ono year. Vessel for vessel and type for typo, I "believe our new ships will compare favorably with those of any navy afloat, and every American should be proud of tho progress and character of the work now being accomplished, not only in con struction but In all branches of the eerv- ice. Cost of Navy Will increase. "New ships necessarily require more officers, more marlnea and more enlisted men, and the appropriations are quite likely to increase steadily for some years to come. The more ships we have, tho greater our fixed charges will be and the greater our facilities necessarily must bo in tho way of yards and docks, and tho ability to make repairs and take proper care of the fleet. , "It is Just as essential to keep our ships in thorough repair as It is to build them in the first place and to permit them to run down for any length of time and go without repairs would be the height of folly. It costs a great deal of money to keep the fleet moving in maneuvers and target practice, but this Is the only way officers and men can gain experience at sea, and It Is our well-defined policy to maintain a high standard of 'efficiency throughout the service. Insurance Against War. "Last year the Navy cost a little over ?1 per capita. It cost little compared to what war would cost, and it is the best insurance we have against war. "We -want such a Navy lri style, size and sand that no other navy will desire an engagement with us. It is our greatest exhibit in favor of peace. We are bound to occupy a prominent position among the great nations of the earth, and while doubtless we shall always be In the lead In every international movement to promote peace. It la much better for us to be at all times so well prepared for war that war will never come. "I am sure that tho people of the United States will approve of a Navy that is well prepared at all times to take care of their defenses and to protect their position In the world. This is all we are trying to accomplish." Secretary Morton speaks of the need for more officers and men in the Navy, say ing: "It is useless to build ships unless pro vision is made to man, care for'and use them." On .the question of battleships versus torpedo-boats he says: Value of Torpedo-Boat "The lessons of the war in the East thus far are the same as those. of the Spanish "War, with respect to the relative value and use of battleships, torpedo-boats and destroyers. "Weight of metal, heavy guns and hard hitting, whether at long or short range, still do the most effective work. The day of the battleship is not over, and the sphere of the lighter ves sels, while Important, is .auxiliary only. "These conclusions, reached by the Gen eral Board and tho Board of Construction as the result of careful study of naval progress and preeent conditions' in the light of the events of the past few months in Eastern seas, confirm in a most strik ing manner cur own views on the sub- joct, expressed, more than two and a half years ago." Secretary Morton then quotes from letter addressed by; the President in Feb- ruary, 1902, to the Secretary of tie Navy, In which the Chief Executive assigned the place of first Importance to the heav ier vessels of modern fleets; concluded that in the future, as In the past, battle ships must hold the. battle line;-and em phasized the point of taking the ground that the place of tho Admiral in war, and probably also In peace, is on the best fighting ship of his squadron. President's Judgment Upheld. After noting that the President's Judg ment as set forth at that time regarding the place of the battleship in the Navy Is that of the naval experts today, the Sec retary continues: "With respect to tho Vlaco of the tor pedo-boat it Is remarkable that no terms can be found In which to state present conclusions with more clearness and pre cision than those cmployed-'jn a report by you more than six years ago (February 1S93) while Assistant Secretary of the Navy." Secretary Morton then goes on to quote from the President's letter of that date, In the course of which the President said: "Nothing could be more .foolish than the talk of substituting torpedo-boats for bat tleships and cruisers. Except -when work Ing at night or under conditions which favor a surmise, the tornedo-boat is ahso lutely lTelpless against any seagoing ship armed with rapid-fire guns, whether the ship be large or email, and under no cir cumstances Is it fit to do rough work at sea or to perform any of the duties taken as a matter of course by regular sea going crait. Tne secretary, continuing. says: "Tho General Board and the Board of Construction," after weighing the results of recent developments, have reached con elusions in full accord witn those ex pressed by you in the paper above quoted, and a schedule of naval construction in harmony with these views will be submit ted later." Lessons From Present War. "Tho chief object of our Navy," contln ues Secretary Morton, "Is to prevent war," and on this -subject he quotes the chief of tne Bureau of rsavlgatlon as follows: "Although it Is still too early to draw final conclusions from the affair in th,o Far East, one cardinal military principle has received new and striking confirma tionthat is preparedness and the swift ness of action which can be successful only with thorough preparedness. Readi ness for Immediate action on the outbreak of war requires that the whole field shall have first been maturely considered, and that all probable operations and con tingencies shall have been suitably pro vided for, down to the smallest detail whose need can be foreseen." He con tinues: "It is only fair to say the work now being done by tho General Board, with Admiral Dewey at it3 head, is directly in tho line of preparation for war, and is of tho greatest value." Secretary 'MortOn says that our interests in the Far East and elsewhere have be come so important that tho. Navy should have ono or. more -officer of hlglrrank avallablo for service wherever' their pres ence may be appropriate, and he concurs in the recommendation of the chief of the Bureau of Navigation that provision, be made for 'two "Vice-Admirals o'f the Navy, Secretary Morton also concurs with the chief of the Bureau of Navigation in tho opinion that officers of tho Navy attain command rank too late In life, and on this subject says: Younger Men in Command. "It is no disparagement of the senior officers of the service to say that wo (Concluded on Second Face.) CONTENTS OP TODAY'S PAPER National. Secretary of "War Taft arrives at Amicable agreement with Panama. Page 1, Congress meets for short term today. Page 3. Secretary of tho Navy shows tho need of pre paredness for war. Page 1 Immigration from Europe h&a fallen off dur ing the year. Page 2. Political Cortelyou will retain chairmanship of tho He publican National Committee. Page 1. President receives a number of callers, lnclud Ing Senator Fairbanks. Page 1. "War In the Par East. Russian reserves arriving too late charge 203- Meter Hill In vain. Page 1. Japanese reserves brought up at critical ma ment win day of awful carnage. Page 1. General Grlppenburg arrives at Harbto. Page 1. Russia. St. Petersburg Is protected by soldiers- and police, In fear of popular outbreak. Pare 1. Russian llttcratl reported to have held enthusl astlc anti-autocracy meeting. Page 1, C R. Flint, of New York, negotiating th purchase of South American war vessels. Page 1. Foreign Crown Prince of Italy baptized with jrrea: pomp at the Quhinal. Page 3. Norway negotiates a mysterious war loan, Page 3. Ten thousand people take part In parade In Honor of Diaz inauguration. Page 1 . Domestic. Dr. Chadwlck cables from Europe that h stands by- his wife, who, he says, has been cruelly abused. Page President and cashier of failed Cleveland bank are put under arrest. Page 2. "World's Fair structures, built at a cost of .$15,000,000. sell for J3S3.000. Pago 5, Pacific Coast. Eastern Washington shows the largest per- I centage of growth during the year. Pago 4. Idaho ranchers shoot horsea driven on range claimed by them. Page 4. Robbers crack safo at Hood River and secure $400. Page 4. Stranger found dead at Astoria with head In a waehtub. Page 4. Sports. International elx-day bicycle race Is started in Madison Square Garden. Page S. Tacorha wins from Los Angeles in batUng rally. 5-2. Page 5. Portland and Vicinity. Elks hold impressive memorfal service for de parted members. Page 10, Neighborhood Guild-House dedicated. Page 10. Much talk of erecting new High School build ing on East Side. Page 10. Municipal election occurs in Milwaukle today. Page 10. Socialists declare patriotism is ignorance. Page 7. Defects In primary law are discussed. Page 3. Many saloons found by police to be open after hours. Page 12. Hundreds eeek positions at the Exposition. Page 10. Marine Tonnage en route for Portland the smallest In 20 years. Page 11. New Tork ehipplng men state there is plenty of American chips for wheat. Page 11 United States Supreme Court upholds right of state officers to restrict number of licensed pilots. .-Page" 11 J pUgct Sound steamers-cutting ratea. .Page u. GAME TOO LftTE Russian Reserves Find Fortresses Taken. FIERCE CHARGES FUTILE Six Times They Strive to Drive the Victors Away. AWFULSLAUGHTER ON SLOPES Prompt Action in Bringing Up Japa nese Reserves Wins the Terrible Struggle at 203-Meter Hill and Red Hill. SPECIAL CVBIiB TO THE LONDON TIMES AND PORTLAND OREGONIAN. TOKIO, Dec 5. Unofficial details re ceived here of the capture of 203-Meter Hill show that the struggle began at 1 P. M. on the 27th, when the besiegers con centrated the flro of their heavy guns on the parapets of Red Hill, 300 meters.south of 203-Meter Hill. After that the Infantry. advancing in widely extended -order from Ivlnklatung and uklstum, reached charg- ing distance. Four consecutive charges were deliv ered between 3 and 4 o'clock. Tho fourth succeeded, but during the night the Rus sians made their counter-attacks. The third, which was especially furious, drove the Japanese back. On the morning of the 2Sth, the Japanese, instead of advanc ing 'by way of Red Hill, made a direct move on 203-Meter Hill. .Attack Begins at Dawn. The attack began at daylight and was continued with desperate resolution, the Japaneso advancing into the valley be tween tho two hills. They received tho full fire of both forts and were decimated. but. sweeping on, stormed the slopes of 203-Meter Hill and captured -the southeast corner of the northern face. In the meanwhile another force effected a lodgement near the parapet at the southeast face. These operations wero very costly to both sides. Numerous land grenades were thrown by the Russians as wefl as by the Japanese. The 29th Rus sian regiment made a furious- counter-at tack and bore tho Japanese hack from the southeast corner, swept them down and poured, .sholls into them, which mowed them down. At 5 P. M. tho Russians showed clear signs of weakening. The Japanese made a renewed rush from trenches nf th southwest corner, but the Russians did not move. The casualties of the assail ants were very heavy. Reserves Arrive in Time. -flu mis cnucai moment reserves were sent into the Japanese fighting line and with shouts which rang over whole Port Arthur the assailants hurled themselves against the Russians, who finally, at 7:30 P. M., broke into irrouns of 20 and 50 an retired suddenly. Almost slmultaneously the assailants at the southeast antrle pushed home their attack and the whole fortress was occupied at 8 P. M. After this Red Hill was carried easily out during tne same nignt the Russians, wnose large reinforcements had been summoned by telegraph and had arrived Just too late, delivered six desnerate counter-attacks, the last of which con tinued from 4 o'clock In the morning till noon. At first the Russians repeatedly closed up to bayonet distance and there was a series of hand-to-hand struggles, the as sailants iaiung Dack and again advancing. Finally, after terrible losses on both sides, the Russians retreated to Anzishan and Esteshan. leaving the Japanese in assured possession or tne stronghold. GERMAN VESSEL REFUSED COAL tngnsn r-oreign Office Finds She Has Supplied the Russians. CARDIFF, Dec. 5. It Is stated that th captain of the German lifelller Cantnln Menzell has been forbidden by the cov- ernment to ship another cargo of coal from here. The Foreign Office took this action on proof that a former oargo taken by the Captain Menzell had been dls- cnarged to the ships of the Russian Pa cific squadron off Dakar. The action of the Foreign Office was taken under the foreign enlistment act. The collier was discharging coal she had already loaded and will be permitted to take only sufficient to carry her to the nearest home port. It Is rumored that the government is endeavoring to arrange with Germanv joint action ta prevent tho coaling of the Russian fleet by German ships. GRIPPENBURG IS AT HARBIN. Russian General Will Take Command wwww..u .....w... ry, mjr. HARBIN, Dec 4. General, Grippenburg I has arrived here and will remain two days He will take command of the second Man- churian army. A large warehouse of the Red Cross So ciety nere nas oeen uuraea, entailing a great loss of supplies. An entertainment given by the Patriotic ICague at a theater here realized a large sum for the benefit of soldiers at the front. Chinese report that four divisions of Japanese reinforcements have arrived. The men, ItHs said, are mostly undersized. List of the Pacific Squadron. ST. PETERSBURG, Dee. 5 (2 A. M.)- Captaln Clado (who was detached from the Baltic squadron to give evidence be fore the North Sea Commission) published in the rsovoo vremya today a memoran dum submitted by Admiral Skyrdloff to the Emperor last Spring, giving the com position of the squadron to be sent out to the Pacific The list Includes the ships of Vice-Ad miral Rojcstvensky's command and also of. j tho third squadron, including the coast defense ships Slava. Nicholas I and Al exander II. the cruisers Koroloff, Posad- Abrek and "Volvoda and several tor pedo-boat destroyers "In case need for further reinforcements should make it necessary to despatch part of the Black Sea fleet." JAPANESE CORPSES STRIPPED General Kuropatkin Reports Incidents on Manchurian Battlefields. ST. PETERSBURG, Dec 4. General Kuropatkin telegraphs under date of De cember 3, reporting unimportant skir mishes. He states that Russian scouts found at one point on the left flank 17 Japanese corpses entirely stripped of clothing; probably by local Inhabitants. General Kuropatkin also relates the dis covery of two wounded Russians, who had been overlooked and left in the trenches since October 16. One of them, who had been less severely wounded than his fel low, procured food by searching the bodies of the slain, and upon this they had subsisted for 45 days. DARDANELLES CLOSED NOW. England Might Modify Treaty at the End of the War. LONDON, Dec. 5. In an editorial discussing the question of the Black Sea fleet, the Daily Telegraph declares that it Is impossible that Great Bri tain should consent to a modification of the treaty which would permit the exit of the Russian fleet: but if, at the conclusion of the war. Russia is willing, it is probable that Great Bri tain would consent to a modification of tho treaty which would open the Dar danelles to all powers alike. CHEFOO REPORT UNCONFIRMED Russian Experts Say Captured Fort Is of No Advantage. ST. PETERSBURG, Dec. 5 (2 A. M.) Neither the Admiralty nor the "War Office is able to confirm a report from Chefoo tnat tne Japanese nave been unable to hold 203 Meter Hill, but this new3 Is qulto In accordance with expectations. Experts here are convinced that the capture of 203 Meter Hill will be of no advantage to tho Japanese unless they can gain pos session of the neighboring forts. Shanghai as Military Depot. LONDON. Dec. 5. The Morning Post's correspondent at Shanghai telegraphs as follows: "Russia practically Is converting Shang hai into a depot for her military and naval stores. A local German butcher has received a Russian order for several million pounds of meat. Large quantities of coal are held on Russian account. The Infringement of Shanghai's neutrality is arousing great indignation. Movements of Russian Fleet. BREST, Dec. 4. Tho Russian torpedo- boat destroyer Prouzitelny sailed for Tan gier today. The Russian cruisers Olcg and Izumrud and the transport Okean have arrived here. The cruiser RIon and two torpedo' boat destroyers have sailed for Algiers. Not for the Far East. ST. PETERSBURG. Dec. 4. Admiral "Wlrineus. Chief of tho General Staff of tho Russian navy, when questioned to night, said he knew nothing of any inten tlon to send the Black Sea fleet to the Far East. He believed the question had not been mooted. IN YEAK OF UPRISING. Soldiers and Police Guard the Streets of St. Petersburg. SPECIAL, CAEL.H. ST, PETERSBURG, Dec. 5. Yesterday passed quietly and but for the ominous presenco of soldiers and policemen at every corner and near every house wuere gatherings of malcontent Russians might have taken place, St. Petersburg wore an aspect of profound peace and Sabbath rest. A few arrests were made of people who persisted In gathering in small groups, but those who obeyed the orders to so about their business were not further molested. According to all appearances the gov ernment Is distrustful of the utter lack of demonstrations. Not a single order 1s- I sued to the police and military has been revoked. Nearly all leaves of absence have been .denied the soldiers and it ap pears from statements made by reliable informants that the government fully ex perts an outbreak. This morning there was a reappearance in spots of the seditious proclamations which caused the extraordinary measures of precaution on the part of the author ities on Saturday. So far as can be learned the police have not succeeded in arresting any of the persons responsible for the document or for Its distribution, but a careful watch Is being kept. It is generaly argued that owing to the rapid ity and thoroughness with which the city was put under military guard the radicals have postponed action and will probably strike a sudden blow when it is least ex pected. The opinion prevails that those who inaugurated the propaganda made a mis take by announcing that they were ready and that they are nqw biding their time. Rumors were heard on all sides yesterday that meetings of revolutionaries were be ing held all over the city. No arrests have yet been announced, however. This does not lessen the feeling of disquietude and serious apprehension Is felt for the future. The only event of importance, news of which reached the public, was a meeting of eminent literary men held yesterday In Povloft's Inn. The cream of St. Peters burg's Intellectual world was present to the number of TOO. The novelists Karo llsko and Maxim Gorki were the principal speakers. In their addresses they paid glowing tributes to Minister of the In terior SvIatopolk-MIrskl, unanimously In dorsed the Zemstvos memorial and passed resolutions praying for a Russian consti tution A poem was read denouncing the bureaucracy for carrying on an unjust tears when Gorki, in a scene of enthusi- asm kissed one of the orators. The meet ing closed at 3 o'clock in the morning amid shouts of Down with the autoc racy." CARRIES MUCH COLLATERAL. American Said to Be Negotiating Sale of South American War Vessels. LONDON, Dec 4. The correspondent at St. Petersburg of the Standard telegraphs as follows: "Charles K. Flint, of isew iork. ar rived at Moscow on Tuesday and stayed at the-National Hotel under tho name of Charles Ranlett. He proceeded on "Wednesday by way of "Warsaw and Odes sa for Constantinople. It is rumored that Mr. Flint brought a letter of credit on the Rothschilds for-533.000,000. the amount payable for the Argentine and Chilean warships, for the purchase of which Bus- sTa is said to be negotiating: and on, his visit to Constantinople he will endeavor to arrange that these vessels, when pur- J chased, shall use the Turkish flag." UKE5T0W0RK Cortelypu Will Retain Chairmanship. NEW HAY BE HIS ASSISTANT Friends Say He Will Be Great Postmaster-General, WYNNE TO BE PROVIDED FOR Retiring Official, Appointed Only Temporarily, Is to. Have. Choice of Consulships Strong' Trio of Roosevelt Men.' "WASHINGTON, Dec. 4-(Special.) Mr. Cortelyou will remain- chairman of the Republican National Committee indef initely and his assumption of the office of 'Postmaster-General, which is scheduled to take place about January 1, will make no difference In his discharge of tho duties of national chairman. His friends predict he will make tho greatest Postmaster General tho country has had in many years. That is a great executive po3t, a business office, and If there Is anything in the world Mr. Cortelyou loves It is busi ness and work. It will be quite a triumph for this young man to rise to the head of the great department which he entered 20 years ago as a clerk. Mr. "Wynne, the retiring Postmaster- General, may have his choice of Consul ships. It was well understood that his appointment was only temporary when made. There Is no vice-chairman of the committee at tho present time, but the chairman is authorized to name one whenever he gets ready. He may name Mr. New, who did such good work during the recent campaign. "With Cortelyou, Elmer Dover and Harry New, all devoted friends of Mr. Roosevelt. at the head of the national committee, the aspirants for 190S are "wondering If the President means to keep a tlgnt grip on the organization and have something to sajr when the time comes to name his successor. Oklahoma Wants Statehood. "WASHINGTON, Dec. 4. "The flag of our republic will not be complete until on its field of blue 13 placed tho rising star of ' Oklahoma," says tho annual re port of Governor Ferguson, of Okla homa, made public today. The report adds: "With 700.000 people, $5JO,000,000 worth of property, the major portion of our public expenses bestowed on our schools, and un precedented advancement along all lines of enterprise. It seem3 that Congress should give us authority to exercise in full the rights of American citizens." Kelfer's Mission in Congress. COIiUMBUS, O., Dec. 4. General J. "Warren Kelfer, ex-Speaker of the Nation al House of Representatives, who has been re-elected to Congress from the Sev enth Ohio District, has Issued a statement in which he announces that his mission is to secure legislation to prevent the disfranchisement of voters In the South. Fairbanks Calls on President. "WASHINGTON, Dec 4. Senator Fair banks was at the "White House tonight for some time in conference with the Presi dent. Senators Aldrlch of Rhode Island and Depew also called during the evening. the latter to pay his respects. DIAZ REVIEWS TEE PARADE. GeneI Joe Vheeler Given Marked Attention by Mexican Officials. MEXICO CITT. Dec. 4. Fully 10,000 peo ple took part in tho parade today in honor of the inauguration of President Diaz, while hundreds of thousands thronged, the streets along tho line of march. The procession was reviewed by Pres ident Diaz. "Vice-President Corral and a brilliant company of ladies and gentle men from the balconies of the National Palace. Among the distinguished North ern visitors was General Joseph "Wheeler, who has been singled out by the govern ment and military officials for marked distinction. BURNED DT THEIR HOME. Woman and Two Children Perish Be fore Her Husband's. Eyes. PITTSBURG, Dec. 4. In a fire that de stroyed their home here tonight, Mrs. Rock Perry and two of her children were burned to death. The husband and two other children were forced to witness tho tragedy without being able to afford aid. All Guests Do Not Escape. DBNISON, Tex., Dec. 4. Three persons were burned to. death in a fire that de stroyed a rooming-house here today. Thirty-five guests escaped from the build ing by Jumping" from second-story win dows. KRTTGER'S BODY UES IN STATE Thousands View Remains of the Dead President at Cape Town. CAPE TO"WN, Dec 4. The body of tho late President of the Transvaal Republic, Paul Kruger, Is lying In state In tho Huguenot Memorial building, where it is dally visited by great crowd3. Rio Grande Loses Bovron. PUEBLO. Colo., Dec. 4. W. H. Bow ron, for some time past superintendent of the first division of the Denver & Rio I Grande Railroad, has resigned to accept I the position of general superintendent of I the Cincinnati, Hamilton & Dayton. Mr. Bowron's successor has not been named,