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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (Aug. 26, 1905)
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PORTIiAKT), OBEGO&, SATURDAY, AUGUST 26, 1905.
VOL. XXV.- XO. 13,952.
President Draws Two
DEALS WITH EMPERORS
Envoys Give Up Effort to End
KANEK0 MEETS ROOSEVELT
While Portsmouth Regards Outlook
for Peace as Dcspcratej Prospect
Looks Better at Oyster Bay
and St. Petersburg.
THEY AO REE IX PRINCIPLE.
ST. PETERSBURG. Aug. 26. (2:20
A. M.) According to Information corn
Ins from a member of the Imperial
family, the Associated Frees learns that
a dispatch was sent to Mr. Wltte
which Is considered at Peterhof as be
ing a decided hope for peace.
The Slovo's correspondent reports the
arrival Of an "eagerly expected dis
patch." and quotes Mr. "Wittc as say
ing that his endeavor to Influence St.
Petersburg was more successful than.
. he - had expected.
The correspondent adds that there la
ground for hope, as an agreement In
principle has been reached and the
question now hinges on the amount.
PORTSMOUTH, X. H., Aug. 25. The
Associated Press Is able to announce
that Emperor Nicholas answer to
President Roosevelt's latest appeal was,
PORTSMOUTH. N. H., Aug. 25. At
1:30 A. M. a. long cipher message ar
rived from Oyeter Bay for Assistant
OYSTER 'BAY, Aug. 25. Two Emperors,
one at St. Petersburg and the other at
Toklo are the determining iactors In the
pending peace negotiations. Although the
negotiations are suspended temporarily at
Portsmouth, they are proceeding actively
through President Roosevelt at Sagamore
Hill. He is In constant communication
with the St. Petersburg and Toklo gov
ernments. By both of the warring na
tlons his good offices have been sought.
and his efforts to bring their plenlpoten
tiaries Into accord and thus prevent
failure of the peace conference are unre
Early in the day the President had an
extended conference with Baron Kaneko,
the recognized confidential agent of the
Japanese government in this country.
Neither the President nor Baron Kaneko
would discuss the nature of the interview.
While the Baron's expressed views of the
peace negotiations were not optimistic
he left a distinct impression that the last
word by no means had "been spoken. He
protested that Japan had no wish to do
anything to humiliate Russia, but ex
pressed the belief that the Japanese terms
were quite reasonable and that no fur
ther concessions would be made.
Kaneko Does Not Abandon Hope.
"I cannot talk now about my mission
to the President," he said. "I would be
delighted If I could. Some day I'll toll
you all about it."
He was asked if he had seen the state
ment of Count Lamsdorff, the Russian
Minister of Foreign Affairs, In which he
declared Russia would pay no indemnity
to Japan or make any concession of ter
ritory. "I have, yes," he replied. "I have seen
it, I think 'It was a great mistake."
"In your opinion," the Baron was asked,
"was Count Lanjsdorffs statement truly
representative of the intentions of Rus
sia, or was It In the nature of a bluff?"
"It was official, I .understand;" respond
ed the Baron, "and so I suppose we must
"What do you think of the prospect
of a successful issue to the peace confer
ence?" Baron Kanoko hesitated an instant, and
then, with a shrug of his shoulders, re
plied: "Oh, it Is very much Hko the weather
down here; It Is, very much."
A rain was falling heavily, and the
weather was dark and glomy and disa
greeable. "Japan wants peace, but we want peace
with justice. Russia wants peace with
honor. Those desires are not lncompati
ble. We may have peace yet. I hope so,"
concluded the Baron.
After the departure of Baron Kaneko,
President Roosevelt was engaged with
Acting Secretary Barnes for two hours In
the consideration of dispatches received
and the preparation to those to be sent.
Lamsdorff's Denial Good Sign.
The disclaimer of the Russian Foreign
Office of the statement purporting to
have been made by Count Lamsdorff.
Minister for Foreign Affairs, declaring
that Russia would pay no indemnity to
Japan under any circumstances nor make
any concessions of territory, was received
by the President with-satisfaction. It In
dicated no willingness on the part of Rus
sia to accede to Japan's terms as to in
demnlty, but the disclaimer is regarded as
leaving the way open for further discus
Blon of the terms that may lead to a sat
isfactory conclusion of the conference.
Conference Will Adjourn Again.
Whether the negotiations now being
conducted through President Roosevelt
will have reached such a state by tne
hour at which the conferees are to reas
semble at Portsmouth tomorrow as to en
able them to proceed -with important con-
Is rpimrdod as doubtful. It
appears to be likely that the envoys will
meet, and after a perfunctory session
will adjourn until Monday, or possibly
until Tuesday. This adjournment will af
ford thorn ample time to receive and con
sider instructions from their respective
governments, which will be based on ex
changes now in progress betweon Saga
more Hilfand St. Petersburg and Toklo.
RUSSIA TALKS COMPR03LTSB
Might Buy SftHfialln for Unfixed
SunwWhy Indemnity Is Opposed.
ST. PETERSBURG. Aug. 26. (2 A. M.)
Everybody in St. Petersburg Is awaiting
the developments of today in the -peace
moves and hoping that a compromise is
bolng effected, the most likely basis of
which. It is believed, would be no in-
demnlty, but a payment for Sakhalin to
be left to future adjustment. In fact, it
was asserted yesterday in . an excep
tionally well informed quarter that this
was the only -possible basis for a com
promise. The bollef is expressed in .some quar
ters that there will be no session ai
Portsmouth today and the Associated
Press is informed on excellent authority
that a further adjournment could be
taken as a moat hopeful sign, as it would
prove that serious efforts looking to a
compromise were continuing.
"Wants Peace "Without Indemnity..
Up to S o'clock last evening Ambassador
Meyer had received no message from
Washington. The idea that President
Roosevelt might -again communicate with
the Emperor through the Amorican am
bassador finds credence in certain official
quarters. The exchange of telegrams be
tween Portsmouth and the Foreign Of
fice continues, but the nature of these
dispatches Is a most carefully guarded
secret. It can be asserted, however, on
the best authority that any suggestion
to Russia, from any source whatever that
she assent to the payment of indemnity
would be most unwelcome, though a sin
cere desire for peace leavos hor open to
the suggestion of a compromise on other
Russia is showing no nervousness -re
garding the outcome of the negotiations.
The Emperor is calm and serene and
evidences of confidence in his decision
and the course he is pursuing. In the con
victlon that Russia has conceded all she
can, are noticeable among all Intelligent
classes. Peace or the continuance of the
'war is contemplated with fatalistic tran
qullity; in fact, the disasters of JJaoyang,
Mukden and the Sea of Japan seem al
most to have been forgotten. One hears
frequent expressions of confidence in the
ability of the army in Manchuria, to de
feat the Japanese. This confidence is
based upon the many rqnorts which havo
been received nere of the good condition
of the troops and the advantageous po
sltlon they hold and the improved morale
of the whole army.
Fears Japanese- Aggression.
Behind Russia's refusal to pay an in
demnity there is not only the determlna
Hon not to do an undignified thing which
Is -without precedent in Russian history.
but the -belief that the payment of an in
demnity would permit Japan, soon to as
sume the aggressive again. -The Russian
government must colonize Siberia and In
the course, of time Russia's Influence on
the Pacific Is bound to expand. She wants
to be rid for as long a time as possible
of the menace of Japanese aggression.
which Indemnity would make possible. In
this connection a vers well informed dip
lomat said to the Associated Press:
"If the bankers would say to Japan, you
can nave money ror tne conclusion or
peace, but not a penny for the contin
uance of the war, peace would be de
clared tomorrow. The financiers have the
matter entirely in their hands."
The ministers of finance and war were
present in tne Foreign Office at the meot
Ing yesterday afternoon. Certain peace
matters were discussed briefly..
ENVOYS ALMOST GIVE CP HOPE
.o Mgn oi xiciaing ana wmejueaves
Issue to Czar.1"
PORTSMOUTH. N. H-. Aug. 25. Tho
peace comcrence tonignt scorns headed
straight for the rocks. Despite the fact
that every question Involved in the quar
rol between the two countries has been
settled In favor of the victor and that
apparently only "words and money" still
separate them, the negotiations seem on
tho verge of final rupture. The air was
filled tonight with gloomy forpbodlngs, as
superficially everything Indicated that to
morrow's session of the conference will
prove the seance d'adleu.
In the roost positive fashion It Is de
clared that no instructions had reached
Mr. Wltte up to this evening which would
permit hhn to entertain the compromise
proposals submitted by Baron Komura,
and tncroioro, unless Japan has a new
proposal to make tomorrow, all that
seems- to remain is for the envoys to
meet, sign a declaration that the confer
ence has completed" Its labors, shake
hands and part.
But there are still unknown elements
In the case which might change the
situation. The result of President Roose
velt's second- appeal direct to the Cxar
has not transpired and the result of tho
pressure on Japan to alter the form o
her 'proposal by the elimination of tho
purchase proposition for the northern
half of Sakhalin is not known.
Want ,Pcacc, bit Don't Yield.
Press dispatches from Toklo and St.
Petersburg are read with the utmost In
tercst here and indicate an unchangeable
attitude on the part of both governments.
Yet both are anxious for peace, it Is said.
Probably more than J200,000.00 stand in
the way. Yet. the Japanese cling doggedly
to their demands. Their people at home
Insist upon It. The most competent" Japa
nesc authority, who did not conceal his
pessimism, when asked tonight whether
for "the sake of peace" Japan would yield
"Read the dispatches from Tokio and
draw your own conclusions."
Nevertheless .there is warrant for the
statement that the Japanese are not as
Implacable us. .they appear... and .from a
XConciudod oa .Ptte 5i
Grand Jury Accuses Tillamook
-Capitalist of Land -
Conspiracy. -; v
OTHERS JOINED WITH HIM
Few Hours Later Statute of limita
tion "Would Have Barred Pros
ecution Against the Men
Who Are Accused.
The dragnet of the Oregon land-frauds
Investigation brought up another "big
fish"- yesterday, when the Federal grand
Jury returned true bills against Claude F.
Thayer, the Tillamook capitalist, son of
former Governor Thayer of this state, to
gether with several other operators In
dicted with him.
At 6 o'clock last evening the Federal
grand jury returned a true bill against
Claude Thayer, Clarke E. Hadlcy, G. O.
Nolan, Maurice Leach, Thomas Coates,
Walter J. Smith, John Tuttle. Charles E.
Hays, John Doe and Richard Roe for con
splracy to defraud the United States of
portion of its lands In Tillamook
County. The significance of this action
is emphasized by the fact that when the
indictment was returned there remained
but six hours until the law would havo
beennowerless to reach the crime alleged.
It was a close can, out uistnct Attorney
Hcney and his trained corps of assistants
working with the method which charac
terizes a successful prosecutor, and the
Jury dispatching business in the examlna
tlon of witnesses and the sifting of evi
dence, like skillful lawyers, easily accom
plished their duty and saved the day.
Years of Delay.
After years of unnecessary delay, char
acterized by feints and quibbles on the
part of officers charged with the duty
of probing this fraud, makeshift examlna
tlons. Investigations that did not Investi
gate and a disregard of instructions from
their superior officers which have fur
nlshed the grounds, for several peremp
tory dismissals from the service, the no
torious Tillamook land frauds are about
to feel the heavy hand of justice)
Readers of The Oregonlan are filmlllar
with the history of the case, which has
filled many pages of printed matter In
this paper, as well as In the records of
the Land -Office, which has recently been
rcmord from Oregon City to Portland.
Jn September, 1S99, approximately 100
persons mado filings at tha Oregon City
land office to enter, timber lands In Tllla
mook County. The lands are situated In
the famous Nchalem Valley and are
among the most valuable timber lands In
the State. It-ls alleged that Claude
Thayer, a banker In Tillamook City, en
glncered tho scheme by which the entry.
men were to be supplied with the money
to make the- Recessary payments for the
lands, and that when Thayer and his
associates had secured a purchaser the
net profits were to be divided, deeds being
In the meantime signed in blank and
placed in escrow awaiting the result. It
is further alleged that to make the actual
cash payments- as light as possible, con-
tests were to be Initiated and maintained
by every, snirt ana device that petti
fogging could suggest, until such time as
the lands could be disposed of, when the
contests could be withdrawn, the lands
relinquished and the desired result real
ized. Unfortunately .for the success of
this scheme. Thayer, it is alleged. 1st a
writer of manv eomnrnmlslnir iMtnr
These letters are believed to be in the
possession of the Government officials;
likewise tho deeds from the entrymen to
an-unknown and unnamed grantep, like
wise many other equally damaging papers
and records to substantiate the allega
tions of conspiracy and fraud.
Tho filings had "no sooner been made
than the proposed contests began to ap
pear, and they have been appearing with
mechanical regularity, so that the public
was led to believe that tne various con
testants actually were contending for the
The allegations of fraud In the affi
davits of contest led to an order for- an
investigation. Special Agent Loomls
was detailed for the purpose. He evaded
the Issuo by reporting that the facts
would all be brought out at the hearings
of the contests, and when pushed for
.definite action by Assistant Commissioner
Richards, reported no grounds for chal
lenging the good faith of the entries.
Special Agent Stratford was directed to
Investigate, but disregarded his Instruc
tions and made no report.
Special Agent Greene's Work.
In April. 1902, Special Inspector Greene,
of tho Interior Department, was directed
to make a thorough Investigation, but
theso Instructions wore taken from the
postoffice by some person "in the Interest
of the fraud and keptput of his hands
for nearly three months, when they were
remailed and sent back to Washington,
reaching him in August of that year. He
dropped other assignments and started In
to lay the case before the grand Jury of
that Fall, and did so, but through the
handling of the case In the grand Jury
room the facts were never brought out
and no bill "was found. Then thpapers
were returned to Washington And re
mained there- until Francis J. Heney be
came U. S. Attorney for Oregon and
undertook the huge task of prosecuting
the Oregon land frauds. Becoming ad
vlsddot the history of the Tillamook
case, he directed Mr. Greene to send for
the papers and use all diligence to pre
pare a case for submission to the' grand
Jury. This was Impossible at- the last
term, owing to the volume of other busi
ness, -and when the -present- grand -Jury
.was " convened there remained Just four J
days before the statute or limitations
would Intervene to prevent a prosecution.
Mr. Hcncy Acts.
teeing the importance o? the case and
the, urgency in point offline. Mr. Heney
laid" aside other matters and concentrated
his forces on this one, with the result
This' case Involves more money value
In Its Umber lands than all the cases
.t.t..V. KAjtr 4-4atrl on f l T-
n uuu UAte WCM ktli-v. m I
Bench warrants were Issued for Walter
J. Smith and John Tuttle, and the bonds
of .the other defendants were fixed at
ANGLO -JAPANESE TREATY
Already Signed and Draws Alliance j
Closer Than Ever.
LONDON, Aug. 25. The Associated
Press has good reason for stating that a
new Anglo-Japanese treaty of alliance
may have been signed. The Foreign Of
fice declines to give official confirmation
or denial, but the Associated Press under
stands that the treaty was signed, some
days ago. There Is no reason why it
should not be signed prior to the conclu
sion of the Portsmouth conference, as
the action of that conffirence will not
affect Its terms.
The new treaty is broader in scope In
some respects than the former treaty.
notably where It recognizes the protec
torate of Japan over Corca and on other
points which It was not necessary to In
clude in the old treaty.
In some respects, the new treaty con
tains limitations as compared with the
old treaty. For instance, the latter con
tained a clause to the effect that in case
of a combination of powers against Great
Britain, Japan would be obliged to assist
her ally, while the clauso in the new
treaty only requires the assistance of Jap
an so far as British colonics In the Far
East and the Pacific are concerned.
The Associated Press understands that
the terms of the new treaty were fully
agreed upon before Parliament adjourned,
but It was also agreed that the official
announcement of its signature and of Its
full terms should be deferred until after
the conclusion of the Portsmouth con
ference. ROLAND FOR CZAR'S OLIVER
Japan Rejoices at Publication of
New British Treaty.
PORTSMOUTH. Aug. 25. The public
announcement of the new Anglo-Jap?rnese
treaty, which was signed ten days ago,
according to information received here.
Is considered to strengthen Japan's posi
tion in the negotiations and Is regarded
as a Roland for the Russian Oliver in the
Emperor's assembly manifesto. At tho
same time It Is stated that it has freed
England's hands and permitted, her to
support the President's efforts without
creating suspicion at Toklo.
Considers News From 'Komura.
TOKIO. Aug. .Sr-Following tho receipt
of a cablegrams from Baron Komura.
Premier KaJsuriT and Secretary-General
Tto InVTa It
nv th imnnrtMt d.vMnnmontR nrA
forthcomlng. Premier Katsura IsTecelv
Ing hundreds of letters, telegrams and
memorials, urging Insistence on the Jap
CONTENTS TODAY'S PAPER
TEKTERDATS Maximum temperature, 70 -
dec; minimum, 46.
TO DATS Fair. Westerly winds.
The Peace Conference.
Czar shows readme to compromise on in
demnttr nd Sakhalin. Pag 1.
Envoys almost give up hope of agreement.
President Injllrect correspondence with Em
perors. rage l.
Russia pours troops Into Manchuria. Page 1
Japanese army hungry for battle; Russian
army disaffected. Pass 1.
France prepares flying column to attack Mo
roc co. Page 3.
Blockade en Russian railroads stops wheat
exports. Page 1.
.Statistician Holmes Indicted for cotton re
port frauds. Page A.
Peace negotiations delay action on Oregon
Judgeship. Page -I.
President goes down In submarine boat
Plunger. Page 3.
President approves athletics for public
schoolboys. Page 3.
Tom Johnson's scheme to use municipal
ownership to gain Presidency. Page 1.
Bar Association shelves Insurance question.
James Hamilton Lewis as - Dunne's "pro
tem." Page 1. 1
Goldfield banker released from Jail becomes
Sunday school superintendent. Page 14.
Romance of pardoned convict In New York.
Eighteen drowned by Colorado flood. Page 5.
Equitable directors confess many of their
misdeeds.- Page 3.
Yellow fever to be extinguished in another
month. Page -1.
Los Angeles defeats Portland 1 to' 0.
, Page 7.
Oakland wins from Seattle and San Fran-"
Cisco whips Tncdrna badly. Page, 7.
Ryan-Gardner, fight 1 called on In 15th
round. Page 7. .
Abner Weed buys 13,280 acres of land at
Klamath Falls for $130,000. Page 6.
O R. & N. starts work on "Lewlston-Rlparla
branch. Page 6.
Sugar prices are raised by the combine.
Charles Burke euchers San Francisco woman
out of money. Page 6.
Bertha E. Gordon, of North Bend, In San
Francisco JalL Page 6.
Commercial .and Marine.
"Future tomatoes strongest feature of canned
goods trade. Page 16.
Break In stock prices at New York. Page 15.
Fluctuations In wheat at Chicago. Page 15.
Fall trade opens unusually early. Page 15.
Oregon apples In California market. Page
Kllburn, Alliance and Roanoke In race up
cosjiL Page 12.
Lewis and Clark Exposition.
Admissions. 18,706. Page 10.
...' ,..-.. ...
will nave i"ur l xt
Logan day at the Exposition. Page 10.
Airship makes most successful flight.
Portland aad Vicinity.
Claude F. Thayer, capitalist of Tillamook.
Indicted by Federal grand Jury. Page 1.
PoVer 'rald reveals prominent Oregonlana In
the game. Page. 16. -' .
"Stool-pigeons" must", go order of- Mayor
Lane arid Chief of Police Grltzmacher.
a Page . . . - .
Ex-Munlclpal Judge Hogue'a testimony con
' vlcta saloonKeeper of keeping- open after-
born?. Page 11c
. , , a . ,, . , -
WOUIQ VaUlt IMO WHlte HOUSe
With Public Owner
ship Pole. . .t
DEAL WITH MAJJQR DUNNE
Ready to Finance Chicago's Municl
. pal Hallway In Exchange for
Illinois Votes in National
Convention In 1008.
CHICAGO, Aug. 23. (Special.) It Is be
Ing broadly Intimated that Tom L. John
son, of Cleveland. Is attempting to us
the Chicago municipal ownership scheme
to boost himself Into the Democratic Pres
Traction interest divided today between
the earning estimate of the Dupont mu
niclpal car line report and the plan of
Mayor Dunne to spring a surprise on tho
Council local transporttlon committee
when It takes up the consideration of the
preliminary report on the proposed Tom
Johnson traction system.
From a reliable source the information
comes that the Mayor has fortified him
self with the assurance that all the money
necessary to finance the proposed Chi
cago municipal railway will be furnished
by Ohio and Michigan capitalists. This,
it is said, was the real object of his visit
to Detroit and Toledo, not the desire to
see a sick friend or to attend the conven
tion of the League of American Munici
Dunne's Financial Campaign.
Armed with the Dupont estimate of
earnings as shown by the excess report
received by the committee last night, the
Mayor went direct from Chicago to De
troit Tuesday night. Several conferences
were held In the Michigan metropolis,
and then the Chicago executive went to
Toledo, where another opportunity for
conferences on the financing scheme of
Mayor Johnson and his coterie of trac
tion financiers was afforded.
Mr. Dunne expects to have the trac-
Uon men and the conservative element of
the transportation committee attack the
Dupont report and attempt to shoot It full
of holes. He expects the hardest fight
will, be made on the groun
njj that a cqm- j
Peltivo system Ls lmpracUcable and spells
financial ruin, and that it will be impos-
sible to finance his proposed company
In order to offset the latter claim and to
avoid placing himself under obligations to
Chicago financiers, nearly all of whom
are In some way or other allied with J.
B. Holllns and other
or with John J.
Mitchell, James H. Eckels. Marshall Field,
P. A. Valentine, tho Armours. John A.
Spoor and Fred H. Rawson, who are di
rectly connected with the traction com
panies, Mr. Dunne decided to arrange
through Mr. Johnson a tentative plan
for financing the proposed competitive
Johnson's Lofty Ambltlqn.
Then Mr. Johnson has been frequently
accredited with expressions Indicating a
oesirc io omer vne ma" """u
only because of the opportunity he
sees to promote, finance and unload an
other street railway system at a good
profit on either the city or the old trac
tion Interests, but also In order to fur
ther his political ambitions. One of Mr.
Dunne's closest advisers Is authority for
the statement that Mr. Johnson aspires
to succeed William Jennings Bryan as
the leader of the radical element of the
Democratic party. He figures that Bryan
will drop out as a Presidential possibility
and' that the lightning might strlKe tno
Cleveland ayor if he is instrumental in
pushing public ownership to the front.
Each Will Help the Other.
Mr. Johnson figures that by financing
this Dupont system he can make a neat
financial turn and at the same time place
Mr. Dunne under obligations to bring in
the Illinois delegation either for the Cleve-
land Mayor or for his Presidential candi
date at the next National convention. And
so the Ohioan and his friends have prom
ised to help Mr. Dunne In his traction
plans, according to one of tho Chicago
executive's closest friends.
TALK PEACE AND INSURANCE
Ttnr Association Approves Roosevelt s
Mediation and Shelves Insurance
NARRAGANSETT PIER, Aug. 23. The
most striking feature of the American
Bar Association convention came today
xchpn resolutions approving President
Trruvit'x efforts to end the war be-
Russia and Japan were adopted
The resolutions were brought before the
rnnvimtlnn lust nrcvlous to tne aajourn-
mnnt nt tho business meeting, and were
onntcwi unanimously. The text of the
Resolved. That the American Bar Associa
tion desires to express to President Roose
velt Its warm approval of the efforts to bring
about a peace to millions or peopie aurimu.
who are devastated and made desolate by
war. And that it hopes that he will con-
imi. t us his utmost endeavors to aid in
every way possible those who are trying to
enfi the war between the great nations who
have always been rrienas ot mis country.
Presentation, of the majority and minor-
lty reports of the committee on insurance
fh dispute that followed their
w 17 ., .
oresentation occupieu u. srciii uci ui umu
at the morning session. .Dviurc ucuuu
-scan taken a resolution was- introduced
which held that. In view of the recent
Supreme Court decision tnat it would De
unconstitutional ror tne isauonai uon
rrrss to enact-laws for Federal regula
tlon of Insurance matters. It would be
Improper for the American Bar Associa
tion .tp request that such action bo taken.
A motion to refer the resolution to the
committee on Insurance laws was passed
after considerable discussion.
The majority report recommended legls
latloh by Congress providing- for the fed-
eral supervision of Insurance; the repeal
of all valued policy" laws; a uniform life
policy, the terms of which shall be speci
fically defined; the repeal of all retalia
tory tax laws; stricter Incorporation laws
In the several states, Insofar as they af
fect the creation of insurance companies.
and a federal statute prohibiting the use
of malls to all persons, associations or
correspondents transacting the business of
insurance In disregard of state and fed
The minority report, presented by W.
R. Vance, declares that no reason has
been shown why the business of insur
ance should be regarded as interstate
commerce. Therefore, the report says.
It Is clear that the regulation and con
trol of the business Is beyond the powers
of the Federal Government. It Is the
opinion of the minority that federal su
pervision. If it were constitutionally pos
sible, would probably remedy many of the
existing evils, but that such supervision
Is not possible without a constitutional
Tho report characterizes existing meth
ods of state regulation as "most defec
tive," as they are Inefficient in prevent
ing "wild cat" companies from engaging
In the business, are needlessly expensive
to the policy-holders, who. In the last
analysis, bear the expenses incident to
LEWIS IS THE "PRO TEM"
AUBURN-WHISKERED MAN'S AN
SWER TO QUESTION.
Angry Saloonkeeper Gets Vague An
swer to Question, Who Acts
for 'Mayor Dunne?
CHICAGO. Aug. 25. (Special.) "I want
to know who is Mayor, of Chicago." said
a burly looking- man as he strode Into
Corporation Counsel Lewis' office with
tho air of a man who Is thoroughly .en
raged at not finding the one In authority.
"The Mayor of Chicago- is Edward F.
Dunne, ray kind friend." said the suave
Colonel James Hamilton Lewis with
"I know that; but he Is out of town."
said tne stranger, who proved to be a
West Side saloon-keeper who Is a fac
tor In ward politics and whose license
had been Interfered with by some official.
"What I want to know Is who Is Mayor
protem, you or Commissioner Patterson!"
"Well," said Colonel "Lewis, "out of
my high regard for Mr. Patterson and
my extreme modesty. I should say that
Mr. Patterson is the Mayor and that I
am the pro tem."
The saloon-keeper looked at the Cor
poration Counsel for a moment and then
turned on his heel and left the office at
the City Hall without discussing his
license trouble with any city official.
COR WIN WINS FIRST PRIZE
New York Guurd-iman Makes High
est Slow-Fire Score With Rifle.
SEAGIRT. N. J.. Aug. 2S. The most
expert of the riflemen of the United
States and Hawaii proceeded to today
with the firing In the national individual
match through a steady rain.
Captain Corwln, 71st Regiment National
Guard, New York, earned the distinction
of being the first competitor to win
prise, capturing a gold medal and $20 In
cash provided for the rifleman making
the highest aggregate in the slow-fire
portion of the national individual match.
Out of about 20) points. Captain Corwln
scored 1S2. ,
The total scores of the leading com
petitors in the first four stages of the
national Individual match at the
conclusion of the firing this evening fol
low: Captain Corwln. New York. 182;
Captain McAlpln. ISO; Lieutenant Raus-
tln. Georgia, 179; Coxswain Hamilton,
I i.nn nrnnn rtnami rvnnnT
WAK OlUrO UnAIIM CArUn I
Government Holds All Cars
Movement of Troops.
ODESSA, Aug. 25. The export trade In
grain from Black Sea ports Is paralyzed
by lack of railway facilities, tho govern
ment having retained all the rolling stock
for military contingencies, either for tho
rptiirn of th troons In the event of neace
or tne forwarding of reinforcements
should the war continue,
Many thousands of carloads of grain
have accumulated along the southern
lines, and the exporters will sustain heavy
losses, owing to their inability to fulfill
Prince Louis at Toronto.
TORONTO. Ont. Aug. 25. Prince Louis
of Battenbcrg arrived here today There
will no formal ceremo'nles In honor of
nis visit until .Monday.
Bloody Outbreak In Poland.
ST. PETERSBURG. Aug. 23. Sangui
nary disorders are reported from Sledllce.
No Election In Costa Rica.
WASHINGTON. Aug. 25. The Costa
RIcan Legation in Washington has re
ceived an oraciai cablegram dated yester
day which conveys the information that
In the recent Presidential elections, no
one of the candidates obtained the neces
sary majority. Mr. Calvo, the Costa RI
can Minister, says that there was much
division of opinion, not precisely on ques-
tions of principle but- about the candi
dates, all of whom he characterized as
llDcrai. progressive men. Jir. v.aivo Bays
that there might be a compromise among
the parties before the electoral college
meets; If not. Congress, will have to de
clde the election.
Taggart Servant Tells Xew Story.
WOOSTER, O.. Aug. 25. There were In- '
dlcatlons today that the end of the Tag
gart case was not far off. Emma Little,
the colored servant formerly employed In
the Taggart family, was again on the
tin during the morning. It was pointed
out that the woman's story on the stand
J mnerea somewhat from her deposition.
but all efforts on the part of Captain Tag
t nV. hor- rhn
i o" o vwu... - - . ..
testimony of yesterday were futile.
Czar's Liver in Bad Condition.
VIENNA. Aug. 25. Secret reports Just
received hero state that the Czar Is again
showing symtoms of serious Indisposition,
the court physicians having, after a con
sultation, diagnosed an affection of tho
liver. His Majesty retires now more than
ever Into the privacy of his own apart
ments, and the Czarina is said to have
several, tunes expressed uneasiness re
garding the health of the Emperor.
Russia Prepares for Su
HALF MILLION MEN MAY GO
New Railroads and Cars Will
INDEMNITY MEANS REVOLT
Llnlevltch Prepares for Great Battle
and Japanese Eager to Fight.""
Disaffection Among Rus
slans Spells Defeat.
CHICAGO, Aug. 25. (Special.) Tho
Dally News' correspondent at St. Peters
That the war Is to continue Is Indic
ated by the feverish activity shown
everywhere in preparing for the supremo
struggle. Four hundred soldiers of every
guard regiment left yesterday for the
front; half a" million troops that par
ticipated in the Summer maneuvers are
available for duty In Manchuria, and a.
large proportion of them are to be dis
patched there ns rapidly as possible.
They will be replaced in the Russian gar
risons by the regular Fall conscription.
New Railroads and Curs.
Twelve thousand cars and 300 locomo
tives have been hired in Austria and Ger
many to convey men and supplies to the
war. Prince Hilkof. minister of railways.
Is personally hurrying to completion the
St. Petersburg-Vlatka Railway, which
will add greatly to the transportation
facilities of Russia. The new minister of
.Qlhorlan mlltrnT-c nnr! w.itpra-ars. M.
Ivanltzckl. is refitting the Siberian
horseways to relieve the strain on the
Prince Wolkonsky said to your corres-.
Czar Dare Xot Pay Indemnity.,
Peace is Impossible. President Roose
velt's last attempt to bring Russia and
Japan to an agreement has failed, be
cause the Czar hag solemnly promised his
people to pay not a single kopek of trib
ute and to surrender not an Inch of
territory. Never since it became an em
pire has Russia paid tribute or ceded
territory- The first ruler of tho nation
who does either of these things signs his
own death-warrant. Such payment, how
ever disguised, would provoke a revolu
Revolution Would Result.
"Llnlevltch now commands the greatest
army that Kupsla ever put into the
field. The fruits of the vast sacrifices
made to bring this about must be util
ized. A great victory would bring genu
ine peace at home and abroad, but a
humiliating treaty would be the signal for
the bloodiest revolution In history, tho
enraged army joining with the despoiled,
people andturnlng their terrible anger
against tne estaDiisnca order of govern
ment. JAPANESE HUNGRY FOR FIGHT
Russians Prepare for Battle, hut
Troops Are Disaffected.
CHICAGO. Aug. 25. (Special.) A staff
correspondent, cabling from Marshal
Oyama's headquarters In Manchuria via
Fusan today, says:
"The prospect of further war through
the fracture of the peace conference Is
pleasing to the Japanese army. The new
officers and troops, who have arrived In
large numbers since tho advance after
the battle of Mukden are especially an
xious to participate In a great conflict.
The veterans of the army also feel a
'friendly rivalry with the navy and hope
that the seaflghters have not secured tho
last laurels of the mighty strugglo with
Russia. The long wait caused . by the
phenomenal down-pours -of the rainy sea
son has rendered Oyama's tremendous
fighting machine more effective than
"The heavy rains have come to an end
and the roads are now lnfalr condition.
Occasional showers are expected for a
time, but they are not likely to affect tho
operations of the armies.
"The Japanese commanders have in
formation that the Russians are busily
nreDarinir for a sreat battle. They also
onthnrltr thnf tho. Rtwalnn
soldiers have no heart in the prepara
tions on this point. A reliable European
resident of Mukden said today to your
"I doubt whether the Russian troops
will make another sorlous stand. If &
general engagement Is- brought on. I
am certain that many of them will not
do so. Previous to the Japanese occupa
tion of Mukden. I was Intimate with the
men of all ranks In the Russian army
and small patriotism was shown' by any
of them. Many begged me to help them
to reach the Japenese lines In order that
they might become prisoners.
"In the early stages of the war they
accepted it as a religious crusade, but ac
tual contact with the Japanese soon dis
pelled this belief and left them without
any good reason for fighting."
The best estimate obtainable here places
the forces of the Russian commander-in-chief
at not fewer than 3SO.00O and not
more than 450.000, the probability being
that the actual number Is about half
way between these outside figures.