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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (Jan. 4, 1905)
THE MORNING OREGONTAN, WEDNESDAY, v-ANUARY . 4, 1905. HILL IS i PRY Court of Appeals Is Against Harriman. DECIDES MERGER CASE Northern Securities Plan of Distribution Legal. APPEAL WILL BE TAKEN Harrlman's Claim for; Return of Orig inal Stock Denied, but He Will Still Fight Stock' Rises in Consequence of Decision. PHILADELPHIA, Jan. 8. The, United States Court of Appeals for the Third Judicial District, In an opinion filed here today, reverses a decision of the New Jersey Circuit Court which restrained the Northern Securities Company from dis tributing certain stock of the Northern Pacific Railroad Company. The decision Is a defeat for the interest represented by E. H. Harriman. By a decree of the New Jersey court, the Northern Securities Company was re strained from disposing of 370,320 shares of the common stock of the .Northern Pa cific Hallway Company, alleged to have been received from E. H. Harriman and "Winslow S. Pierce, and of 347,090 shares of the common stock of the Northern Pa cific Railway Company received by the Northern Securities Company from the Northern Pacific Company. Today's decision gives the Northern Se curities Company the right to dispose of the stock. Harriman and Pierce, when the Northern Securities Company bad been declared by the United States Su preme Court to be an Illegal combination, demanded the return of the original stock they had contributed at the time of the organization of the combination. The Northern Securities Company, It was claimed, intended to make a pro rata dis tribution of the stock of the contributing company. The opinion was written by Judge Dallas. After reviewing the or ganization qf the combination and sub sequent history, the decision says: Questions at Issue. "Harriman averred that the shares of railway stock in question were acquired by the Securities Company; that it held them as cuBtodlan. depository, or trus tee, and that the owners of the said chares were the parties who originally exchanged the same for stock in the Northern Securities Company. "The Northern Securities Company claimed that It acquired the stock by purchase and that it owns the stock out right" After quoting the resolution under which the ytock was acquired, the opin ion eays the resolution contemplated a purchase,- and not a trust, and that the resolution was adopted at a meeting at which Harriman was present. The opin ion continues: "The Northern Securities Company Is the owner of 1.537,594 shares qf the stock of the Northern Pacific Railway, which has been restrained from voting or re ceiving dividends, and in view of this restraint all the parties agree that It should not continue. The Northern Se curities Company, accordingly proposes to assign them pro rata to its sharehold ers, including not less than 2500 persons, -whose shares are unquestionably acquired by purchase, and who are not parties to this suit, and as such disposition of them would effect a ratable, and there fore, equitable, division of them amongst all who are entitled to participate in a distribution of the corporative assets, we are of the opinion that the injunction which prohibited should no longer remain in force. What Supreme Court Said "If the question before us had been In volved and decided in the suit of the United States vs. the Northern Securities Company, or it had been passed upon, though but incidentally, by the Supreme Court of the United States In disposing of the appeal in that Case we, of course, would not regard It as an open one. But It was neither decided nor considered at any stage of that litigation. The peti tion or bill of the United States did pray that the sockholders of the railroad com panies who had exchanged their stock therein for stock of the Northern Se curities Company should be required to surrender any stock of the.. Northern Se curities Company so acquired, and held by them, and to accept therefor the rail way stock In exchange for which the same is Issued, but the decree, insofar as it was mandatory, went no further than to prohibit the doing of 'the spe cific things which, being done, would ef fect the result denounced by the act 3903 U. S. 336 "This was all that was requisite, and it was accomplished by that part of the decree which has been already quoted. ano the added clause, though apparently suggested by the prayer of the bill to winch H referred, was obviously not in tended to have any obligatory effect. It was permissive merely, and this so plain ly appears from Its terms that it is nec essary only to direct attention to them, They are: Decision Is Reserved. ' 'But nothing herein contained shall be construed as prohibiting the Northern Securities Company from returning and transferring to the stockholders of the Northern Pacific Railway Company and the Great Northern Company, respective ly, any and all shares of stock in either of said railway companies which said, the Northern Securities Company, may have heretofore received from such stockholders in exchange for Its own stock; and nothing herein contained shall be construed as prohibiting the Northern Securities Company from making such transfer and assignment of the stock aforesaid to such person or persons as may now be the holders and owners of its own stock originally issued in ex change or in payment for the stock claimed to have been acquired by it in tho aforesaid railway companies. " This decree was affirmed in its en tirety and the complainants asked leave to intervene in tne Minnesota suit. The' decision here reviews the Minnesota litigation and in conclusion says: "From all that has been said in the foregoing, the decision below must be reversed." One Judge Dissents. Judge George Gray, of Delaware, filed a dissenting decision. He said: "I dissent from the Judgment of the majority of this court I do not thtnk the Judge below exercised other than sound judgment in granting the injunction. Nothing but a clear con viction that the bill was without equity would have justified the court below in refusing the injunction. As I am of the opinion that the majority has given due consideration to all the parties to the suit and a case estab lished to entitle complainants to -the protection of the injunction, I am in favor of affirming the decree." HARRIMAN WILL APPEAL. i Case Will Go to Supreme Court oi United States. NEW YORK, Jan. S. the-,adjourned an nual meeting of the Northern Securities stockholders in Hoboken today has again been adjourned until January 3- The only persons present at the meet ing were W. P. dough, the fourth vice president, and the secretary-treasurer. No action except that of adjournment was taken. Representatives of the Harriman faction were in conference today and it can be authoritatively stated that application bj; writ of certiorari will be made before the Supreme Court at Washington. It is un derstood that the decision handed down by the court in Philadelphia is not effect ive or operative before SO days. J. J. Hill was Eeen at his office. He said he was pleased, but not surprised at the decision. There will be no haste, he said. In distributing the 'assets of the Northern Securities Company. He had not yet received a copy of the decision, but expected it later in the day. He was asked: "Does this mean a settlement?" "Why, yes, the court settles It." Mr. Hill was asked whether theTe would be a meeting of the opposing interest es a result of today's decision. He said he -knew of no reason for such a meeting. Mr. Hill was reminded that Mr. Schlff had appeared before the directors of the Northern Securities Company last Summer with a settlement proposition. To this Mr. Hill replied that Mr. Schiff on that occasion showed that he stood alone in his attitude. MERGER STOCK RISES. Decision of Harriman Case Sends Up Price on Exchange. NEW YORK, Jan. 3. The announcement of the Northern Securities Company caused a jump In the price of Northern Securities on the curb from 132. at which it closed on Saturday, to 135. The price then fell back to below 131. The high price of Union Pacific was 116. com pared with 113i on Saturday, and that stock then fell back a point. The whole list on the stock exchange was a-fleld in sympathy w.lth Union Pacific St. Paul shot up 3h and Southern Pacific 1. The railroad list generally was a point or more higher than Saturday, but did not hold, and the market became dull with- the uncertainty caused by the fluctu ations in these dominant stocks. JUDGES EVENLY DIVIDED. Harriman Says They Have Stood Two and Two. NEW YORK. Jan. 3. E. H. Harriman, when he was shown the bulletin announc ing the decision ,of the court In the Northern Securities case, said: "The matter now has been before four Judges, and so far It is an even decision, two having -declared for us and two against us." Mr. Harriman declined to say anything further regarding the case. GET DOWN TO W0KK. Russian Scouts All-Talk of Making Peace. JAPAN WILL B MODERATE President Roosevelt Ready to Inter vene Whenever Either Belliger ent Asks Him to Act for It Russia. Will Fight to End. ST. PETERSBURG. Jan. 3. Tb re port circulated In St. Petersburg- to the effect that an anaUtlce Is assured be fore the end of the week ! not con firmed In official circle. Canal Commission Fools Away Time Quarreling. WASHINGTON, Jan. 3. (Special.) There is a -well-defined moement on foot to secure legislation during this session of Congress that will abolish the Isth mian Canal Commission -and place the construction imder the direct supervision of a board of engineers, "of which Chief Engineer Wallace la to be the executive head, and the other members, five In number, are to be consulting engineers. It Is understood that Secretary of War Taf t, who made a recent visit to the Isth mus under the direction of the President, has recommended the abolition of the commission, which will Include the retire ment of Governor-General Davis, of the canal zone. There Is slight prospect of any canal legislation this session, although it is known that President Roosevelt feels strpngly in favor of the adoption by Congress of some working plan under which more satisfactory progress can be made. The Administration favors an amendment to the present Spooner'Iaw, embodying the reorganization. Although there Is strong sentiment in Congress in favor of the abolition of the commission, any attempt to secure such legislation will meet strong opposition. The brief limitation upon the life of Con gress may enable the opposition success fully to delay reorganization. It is betraying no confidence to an nounce that the President is displeased with the present management of affairs by the commission. He feels that the members should be on the ground and not direct the construction of the canal from Washington. He is also displeased over the fact that the commission has al ready awarded ; contracts for tnipplles amounting in value to $1,500,000 without competitive bidding. It is understood that, if the desired canal legislation can not be secured at this session of Con gress, the President has decided to order the members of the commission to take up their residence upon the canal zone, and. under the powers given him by the Spooner law, he will define the duties that he desires each to perform. There is a wide diversity of opinion among the members of the commission as to the methods to be pursued. No two can agree, although they have given the plan careful study, and have become firmly convinced that their plan Is the best. The President feels that a closer residence upon the Isthmus might en able the commissioners harmoniously to unite upon some plan. TO FORCE HER RELEASE. Habeas Corpus Writ May Secure Bail for Nan Patterson. NEW YORK, Jan. ?. A determined effort to secure the release from the Tombs prison on bail -of Nan Patterson, accused of the murder of Caesar Young, was begun today. Following a statement by Abraham Levy that such a step was to be taken, a representative of the law firm which acted for Miss Patterson in her recent trial appeared in the Supreme Court before Judge Greenbaum and suc ceeded in getting a. writ of habeas corpus, ordering Warden Flynn, of the Tombs, to produce Miss Patterson in the court tomorrow. At that time the Justice wllf be asked to fix a reasonable bail for the prisoner's release. District Attorney Je rome has announced that the motion for hail will be opposed. Runaway Soldiers Drown in Bay. NEW YORK, Jan. 3. During an evident ly designed stampede of the officers' horses at Fort Hamilton early today, four prisoners escaped from the guardhouse and plunged into the harbor. One was re captured, hut the other three are believed to have "been drowned. Dr. Chadwick's Bail Is Reduced. CLEVELAND. O., Jan. 3. The ball bond of Dr. Leroy S. Chadwlck for his appear ance in the criminal court upon a date to be fixed later was renewed today, reduced from 510.690 to S5M0. with V. P. Kline as security. ST. PETERSBURG, Jan. 4, (2:40 A. M.) The telegrams from abroad bring ing talk of peace arouse little senti ment in official circles here and many Liberals who are urgently pressing the government for reforms, aroused by the dreadful story o heroism and suffering- of the Port Arthur garrison, de clare emphatically against any cessa tion of hostilities until Russia's honor is vindicated by a viotory In Manchu ria. Equal resentment is aroused by foreign criticism of General Stoessel for blowing up the ships In the har bor and destroying the town when be could no longer defend them. The gov ernment's position is difficult. It has enemies ready to take advantage of whatever course it adopts, and peace under present conditions would prob ably 'compromise the dynasty more than the determination to continue the war to the bitter end. The Emperor will arrive here today, and a council of his advisors will like Iv be held Immediately. Much as the situation is complicated by agitation at home, the "war party seems still com pletely in the ascendancy and it Is likely the Emperor's advisors are unan imous that Russia's prestige abroad and the security of the dynasty at home make it impossible for Russia to accept a humiliating peace dictat ed by Japan as the conqueror. Still there is every evidence that Japan would offer moderate terms, and It Is possible an offer of generous terms would make a good impression and pave the way for the reception of pro posals in a conciliatory spirit. The suggestion that President Roosevelt would be willing to tender the good offices of the American Gov ernment In case Russia intimated that It would be acceptable, has aroused a most friendly feeling; but from official sources the Associated Press Is In-' formed that Russia can give no such intimation and -will continue to refuse anything except direct proposals from Japan. READY TO MEDIATE. President Will Offer Good Offices if One Belligerent Asks. WASHINGTON. Jan. 3. (Special.) President Roosevelt has decided that he will offer his good offices to bring about peace between Russia and Japan when ever either party to the conflict shall re quest him to do so. He has heretofore Insisted that both parties must request his good offices before taking any action. This view has been modified so that either can secure his Interposition by asking It. The President docs not think any step In the direction of peace will be taken in the im" mediate future, probably not for two or three months. He thinks the first pro posal will come from Japan. He is now prepared to act when a request is made. WILL NOT OFFER MEDIATION Not Till Both Parties Are Willing Will President Interfere. WASHINGTON. Jan. 3. Whatever ef fect the fall of Port Arthur may have on the ultimate issue of the war, the attitude pf this Government toward the belliger ents has not undergone the slightest change. More than once the American Government has let St. Petersburg and Toklo know that It stands ready at any time to render neighborly assistance whenever both belligerents are prepared to welcome It. Further than this, the Government has not gone. Reports that President Roosevelt is likely to initiate negotiations of friendly mediation are pre mature, at least, and entirely unauthor ized. It is stated most positively today that no negotiations looking to mediation on the part of this Government are pending, and it is not known that such negotiations will be initiated in the immediate future. President Roosevelt has let it be under stood that nothing would afford him greater satisfaction than to be Instru mental in bringing about a cessation of hostilities in the Far East, but he appre ciates the fact that an offer of mediation at a time which either one of the contend ing powers might regard as Inopportune might retard, rather than advance, the prospects of peace. Should the time come when diplomatic assurances are received from both Russia and Japan that consideration would be given to suggestions of mediation, then, very likely, 'the President would embrace the opportunity to promote the cause of peace In any effective way that might offer. The subject of mediation was not con sidered at today's meeting of the Cabinet, which was comparatively brief. Secretary Taft discussed with the President the army medical bill, the enactment of which he has recommended to Congress. It pro vides for the experiment of a system of contract surgeons for the army. Postmaster-General Wynne announced that to morrow he would send to the Senate the report called for by that body on the sub ject of Postmasters In Idaho who, it was alleged, are living In polygamy. PAVING THE WAY FOR PEACE Purpose of Japan's Generous Terms to Port Arthur Garrison. TOKIO, Jan. 1 Some of the foreign diplomats' here believe that there will be an early renewal of efforts looking to the securing of peace. Outwardly the Jap anese government gives no indications of its desires in that direction, but it is known that it is prepared to discuss the question and to make terms which are characterized as reasonable. Those who predict a movement for peace declare that the Japanese Em peror's commendation of General Stoessel and the determination of the Japanese to give honorable terms to the surrendered garrison will soften the blow to Russia and create an opening for the discussion of the question of peace. The United States. Great Britain and France are named as possible direct or indirect In termediaries, though It is not improb able that Japan will broach the subject directly. The fall of Port Arthur Immensely Ktrenethens the hands of Japan. In the actual conduct of the war Port Arthur has been a stumbling block to Japan, which for six months has had engaged there over 103.00) troops and practically her entire navy. This fact compelled Field Marshal Oyama. to fight the battle LipmanWplfe a Co. Our Great Sale" Is the Once-a-Year Opportunity When Every Personal or Home Need Can Be Filled at Most, Substantial Savings More than the usual amount of -enthusiasm and success has characterized the beginning of "OUR GREAT SALE" this year; and this is accountable not only through the fact that OUR PRICES HAVE BEEN MADE ON A LOWER SCALE than in any of our former January sales but that the EXCELLENT STOCKS IN CLUDED HAVE BEEN MADE MUCH LARGER AND MORE THOROUGHLY COMPLETE. These two points "Well equipped stocks" at "very special prices" have giyen to these sales a constant, steady and re markably rapid growth, placing them among our other great annual sales which have become widely known as merchandizing events of the utmost importance. Our Great Sale Offers Remarkable Lace Values And ,in embroideries and appliques as well. Offer ings that no woman can afford to pass by. VENISE APPLIQUE LACES The 25c qualities at 20 The 40c qualities at.... 32 The 60c qualities at 49 The SL00 qualities at...82 WHITE VENISE ALL-OVER LACES. The $5.00, $6.00 and $7.50 qualities at $3.20 COLORED CHANTILLY ALL-OVER LAOE. 45 inches wide, pink, blue, orange and black and white, $3.00 quality, at $1.25 45-inch Black and White Plaid Net, the $1.50 quality at 75 VALENCIENNES LACES. The-7c, 8c and 9c qualities at 5 The 15c qualities at H The 30c qualities at 23 CORSET COVER EMBROIDERIES. The 40c qualities at 25 The 75c qualities at 48 ne ouc qualities at oc; The 90c qualities at 68$ The $2.40 qualities at $1.98 The $1.10 qualities at .78 The $3.00 qualities at. . . . .$2.30 Our Great Sale Offers Remarkable Neckwear Values The values we offer for today in women's novelty Neckwear are tempting enough to induce you to buy by the dozen. Never has the neckwear store shown prettier styles never have prices been at as low a notch. 25c and 35c Stock Collars 50c and 75c Stock Collars $1 to $1.50 Stock Collars i5c fek, 25c Wff 50c 'W Our Great Sale Offers Remarkable Suit, Waist and Coat Values Suits at $11.45 At this price Women's high-class Tailor-Made Suits, made of black and colored all-wool broadcloths, cheviots and novel ties, made in coat and blouse styles, actual values are mora than double today's selling price. Suits at $18.50 . i ' At this price Women's high-class Tailor-Made Suits, made of broadcloths, panne cheviots and fancy men's wear ma terials in black,, brown and navy, made plain and fancy trimmed styles; actual values are more than double today's, selling price. $20 Tourist Coats $12.75 Tourist Coats are by far the most popular outer garment of the season those on sale are in the most desired length, 40-inch, made of tan covert cloths, navy blue cheviots and an endless variety of fancy cloths in brown mixtures, gray mixtures and black and white effects; trimmed with plain cloth collar and cuffs and braids; were always $20.00; choice today at $12.75 Suits at $14.75 At this price Women's High-Class Tailor-Made Suits, made of black and colored all-wool broadcloths, cheviots and' men's . wear materials, made in vestee and fancy tailor-ma'de effects. Actual values are more than double today's selling price, "i Suits at $21.50 At this price Women's High-Class Tailored Suits, made of fine .imported broadcloths, panne cheviots and .novelty clothsr made in coat and fancy blouse styles, elaborately trimmed, tucked and plaited; actual values are more than double to day's selling price. $4.50 to $6.50 Waists $2.98 No woman who can find room in her wardrobe for .an extra silk waist or two ought to pass by this special. Made of superb black and colored silk, in this season's most approved tucked, plaited and fancy trimmed styles. Every one of them this season's make. Sold heretofore at $4.50 to $6.50; choica of them today at the low price of. ...$2.98 Our Great Sale Offers Remarkable Values in Curtains, Draperies, Couch Covers UPHOLSTERY FABRICS AT HALF PRICE. Yes, and even less than that in some cases, as per example: $2.00, $2.25 and $3.00 Tapestries at 98 COUGH COVERS VERY LOW Oriental Tapestry Couch Covers, three yards long and 60 inches wide The $5.00 quality at $3.95 The $6.00 quality at $4.95 The $7.30 quality at 5.95 SCOTCH LACE CURTAINS FOR LITTLE. In Cable and imitation Brussels Nets 2, 3 and 3y2 yards long, 45 to 60 inches wide in white, cream and Arabe color: The $1.00 quality dt 79 The $1.50 quality at $1.15 The $2.00 quality at : $1.65 TLj $2.50 qualitv at $1.98 The $3.00 quality at : ...$2.39 Che $3.50 quality at ...! S2.79 The $4.00 quality at $3.19 The $5.00 quality at $3.98 Lipmari,woifc a Co. of Liao Yang short-handed. Now the entire navy Is free to prepare to meet the Russian second Pacific squadron and to attend to the Vladivostok squadron. A heavy force of troops will be Immedi ately available for service In Manchuria, and this possibly trill allow the under taking of other Independent enterprises. RUSSIA MUST MOVE FIRST. Hayashl Says Japan Will Not Offer Terms of Peace. LONDON. Jan. 3. The Associated Press is Informed at the Foreign Office that the British government has heard nothing of ficially of any intention of Japan to pro pose peace to Russia through the Amer ican Government. The Foreign Office be lieves, however that Japan -would be very Constipation Headache, biliousness, heartburn. Indi gestion, and all liver ills are cored by Hood's Pills Sold by all druggists. 25 cents. Schilling's Best make gen erous business. Your grocer is generous with it. Moneyback costs him nothing; costs no body anything. moderate in her demands should any ne gotiations be opened. Baron Hayashl, the Japanese Minister, said to the Associated Press: "I know nothing whatever about the proposal for peace overtures. They must come from Russia. "So long as the views of the Russian government are unknown. I do not seo an opportunity for mediation or for the exercise of good offices. I regard the statements on the subject as purely con jectural. The report that Japan will of fer terms of peace Is absolutely unfound- ln all other well-informed iuarters In London the Associated Press received the Tutt's Pills Cure AH Liver His. Save Your Money. Onebox of Tutt's Pills willsare many dollars in doctors' bills They willsurely cure all diseases of the stomach, liver or bowels. No Reckless Assertion For sick headache, dyspepsia, malaria, constipation andbilic usness.amillibnpeopleendorse TUTT'S Liver PILLS assuranoe that the talk of mediation Is entirely premature. MISTRUSTS THE POWERS. Japan Fears They May Again Steal Fruits of Victory. ROME. Jan. 3. Japan. It Is asserted here, fearing that the powers may again have in contemplation a solution of tho Far eastern problem which would de prive her of the fruits of her victory, Is endeavoring to ascertain the tenor of any exchange of views which may have taken place between the powers regarding pos sible Intervention. Great Special Sale Choice Furs Our annual sale has commenced and will continue during the present month. It would be impossible in this space to even attempt to enumerate the wonderful bargains we are offering in Fur Jackets, Boas, Stoles, Muffs, Rugs, etc Such price cutting as we are making this season is unusual in the fur trade and can't help but meet with a hearty response from the purchasing public We must reduce the stock and this is the only successful method to accomplish our purpose. H. LIEBES & CO. 28S MORRISON ST., PORTLAND r BxelasiTe MaaafaetwlBc Farriers. J. P. rLAGEMAXX, Maaacer.