3 VOL. XLV.- NO. 13,991. PORTLAND, OREGON, WEDNESDAY, OCTOBER 11, 1905. PRICE FIVE CENTS. HANDS OUT CASHi NO QOESTIONS How Mutual Life Han dles Its Funds, MONEY FOR THE ASKING McCurdy's New Theory of Life Insurance. AIM NOT TO MAKE MONEY Company's $150,000 President Says lis Purpose Is" to Spread Gos pel of Life Insurance Abroad in World. NEW YORK. Oct. 10. More revelations about what becomes of the policy-holders' money were made today by the high est officials of the Mutual Life Insurance Company, of JCew York, before Nthe legis lative investigating commission. Dr. Walter B. Gillette, one of the vice-presidents, gave the amounts contributed to the Republican National Committee in the last three campaigns and admitted that they had been charged to legal expenses and taken Irom the confidential fund. Robert A. Gannlss, another vice-president justified these payments on the ground of the necessity of defeating the Democrats because of the silver plank in thlr platforms. Robert Oliphant, chair man of the expenditure committee, told how he allowed large -payments on the mere say-so of executive officers and ad mitted that the general solicitor could get 525 000 for the asking. It was brought out that A. C Fields, superintendent of the supply department, received $10,000 a year, though he has done no work for years on accoutn of 111 health, and that over $72,000 a year is paid for the clerks' luncheons, McCurdy's Fine Theory. The principal wljjicss was Richard A. McCurdy, president of the Mutual Life, who professed Jgnorancc. of general agents' contracts and Sid not know that i H "Hayniond & Co. xecolvd higher commissions than any other general agon. He did not think this firm's profits excessive. Hs own salary bad been rained to $150,000 a year by the com mittee on salaries; but he did not request It, but admitted that he did not raise any objection. He closed by declaring that the Matual Life's purpose was not to mcke money, but that it was "a great bemflcent and missionary institution to extend the benefits of life insurance." Admits Campaign Gifts. "While It had been hinted last week that som? expenditures charged to legal cx- ' nnses might have been contributions to carrpalgn committees, it was announced definitely by Dr. Gillette that the Mutual Life Insuranco Company contributed $10,000 to the Republican National Com mittee last Fall; that In" 1900. $33,000. and In J $96, 515,000 was given for campaign pur poses, Dr. Gillette testified that ho paid these amounts personally in cash and Mr. McCurdy said that, while he knew cam paign contributions had been made, lie did not know the amounts. He said .that no contributions had been made to campaign committees before 1896, and that no con tribution to state or municipal campaigns had ever been made in this or any other state, Mr. Grannlss knew little about the i -mtrlbutlons to campaign funds, but justified them on the same ground as President John A. McCall, of the New lcrk Life, that the free sliver plank in the Democratic platform was a menace to The interests of the policyholders. ' Great Philanthropic Institution. Mr McCurdy was on the stand all of the afternoon session. Toward the closo of the session Mr. McCurdy made the start ling statement that an Insurance company uas not an institution founded to make monej for the policyholders, but was or should be, a great philanthropic enterprise founded to increase and spread its benefits oer the entire earth. "There has been a great mistake made." lie said, "about the real province of life Insurance companies in these latter years, People have been 4ed to believe that tho main purpose was to make money for tho poiici holders, in my -view that is not the purpose of such companies. They are eleemosynary. When a man insures in a company, he should take into considera tion the fact that he has entered a great philanthropic concern that is in duty bound to spread itself, even though this growin prevents nim irom realizing as much as he expected." He Asked No Questions, The first witness was Robert Olyphant, chairman of the expenditure committee of the Mutual Life Insurance Company. From him It was expected to learn, what Itures. This sum was spent in three in- . . -I . l , ... I. Mr Olyphant said there is no limit to hft mnnpv the committer nn iirrunfHtiirni rhe details of payments for this fund Bills came to this committee from the aw department after being duly author zed by the executive officers. The mon vs Terr nsimllv drawn in cash. An entry of $23,000 on the books Jan uary SO, 1S04. witness said, was paid to him in cash. He was assured this was needed for the policyholders' benefit and that all was regular. Dr. Gillette, one of the vice-presidents, told him It was for law purposes. Witness Sid not feel res ponsible to the company, an executive of ficer having told hlra it was perfectly le gal. He took no Touchers forv-hIs pay ment, nor for others in August and De cember, 19M. Money was similarly expended, Mr. Oly phant said, in the term of office of his predecessor, J. Hobart Henry ck. and it never occurred to Mr. Olyphant to ascer tain to "whom the money went beyond the word of an executive officer. Mr. Hughes then read the bylaws gov erning the expenditures of the committee and calling for reports of expenditures to this committee. Witness eald no reports were made. Out of Confidential Fund. In reply to questions by Mr. Hughes, the witness said he had heard contribu tions were made to compaign committees and he supposed they came out of this confidential fund. Dr. Gillette had told him that campaign contributions had been made and there was no Other fund that tills money could be Taken from. Mr. Hughes then asked that Dr. Gil lcttc be summoned. James M. Beck, coun sel for the Mutual Life Insurance Com pany, asked that Mr. Grannlss be ex cused if Dr. Gillette appeared, as there were alreapy present the president, two vice-presidents and the general manager of the company, and somebody was needed to run the business. Mr. Hughes Insisted, however, that he could excuse nobody, but would put tne company to as little Inconvenience as possible. Questioning Mr. Olyphant further, Mr. Hughes brought out that there were five payments in 1903 of $25,000 each, all made in the 6amc way as those in 1901, and out of the confidential fund. Mr. Olyphant was asked if It was a practice to look no further Into expenditures when ap proved by a vice-president, and witness replied: "We have to." Charged to Law Expenses. Mr. Grannlss was then called. He was asked about the $2500 eoptrl bution to the Congressional com mittee previously discovered. He pre sumed it was charged to law expendi tures, as that would be the natural course. Mr. Grannlss knew of contri butions to the Republican campaign fund in 1895, 1900 and 1904, but did not know the amounts. Contributions could bo made without his knowledge. Witness considered the companr-avas Justified In making contributions to the various cam paign funds, because of the free sllr menace. Asked to approximate the contributions to the last National Republican Commit tee, witness did not think it would ex ceed $20,000. ' ' Gillette Asked No Questions. Mr. Grannlss was excused for a time and Dr. Gillette was called. He said he made, the contract wlth.th'e flrm of C. H. Jtaymorid &. Go., agents, of his own voli tion and no one was responsible for thl contract prior to 1903 but the witness and Iho president. Tho -$23,000 vouchers were shown the witness. All of them Had been approved by the witness, except the one autlibthied by Mr. Grannlss. Dr. Gillette safe they were for legal expenses. He did nothing to ascertain for what confidential purposes these moneys were used. He did not know any one who could tell what legal matters required the paymont of $100,000 In one year to the general so licitor. , Gets Money for Asking. Mr. Hugbes then asked if the general solicitor could not get $25,000 whenever he pleased without disclosing the purpose for which it was to be used and witness re plied that he could. Legal expenses for 1904 were reported at $364,000, while those of the New York Life Insurance Company were $174.0)0, and those of the Equitable. ,$204,000. Dr. Gillette said he never Inquired Into the reason of the Mutual Life's legal cx ponscs being so much greater than those of the two other companies. He said the general solicitor never made a report of what he did with' moneys paid him, that he never was asked for a report and rendered no vouchers or receipts. Wit ness stated he did not know how a cent of the money wont. Amount of Campaign Gifts. Dr. Gillette testified that the Mutual Life Insurance Company contributed $40. 000 to the Republican National Committee campaign fund in 1904. Ho also stated that tho Mutual Life contributed $35,900 to the Republican National Committee in 1900, and $15,000 in 1E9S. He Justified these contributions on the same ground as did President John A. McCall, of the New York Life Insurance Company, say ing that the SL Louts platform of tho Democratic party and the free-silver issue were a menace to the policy-holders. Dr. Gillette sall he authorized these ex penditures after consultation with the president, vice-president and the members of the board of trustees of the Mutual Life. The campaign contributions, he said, came from the fund controlled by the committee on expenditures. Dr. Gillette said that when he secured the $25,000 in 1901, he told Mr. Olyphant what he intended to use it for. He said no money had been expended in any state or municipal campaign, nor had there been any contributions to any Congressional-committee beyond one heretofore mentioned. "Witness jmid that A. C. Welds, superin tendent of the supply department, receives a salary of $10,000 a year, but had not looked after this department for fceveral years, -owing to 111 health. His duties are transacted by a Mr. Morris, whose salary he did not know. Pays for Clerks' Imach. Dr. Gillette said the accounts for tele graph charges, postage, taxes, adver tisements, medical service, law stationery and salaries were not under his direct supervision. He said that the Mutual Life paid $72,861 last year for luncheons for its clerical force In this city. This was at the rate of almost $250 a day. An item' of $36.03Q"Tor committee's fees. Dr. Gillette said, was for compensation of committee members who arc not of ficers of the company. Mr. Hughes pointed out that in 1901 $243,000 was paid for legal expenses, while in 1903 it was $317,000. , Witness said this was because of the growth of the business. The fact that for the last two years the legal expenses were $100,000 or more grcrter thai ever before, witness said, occasioned an investigation, "only in a general way," but there were some cases (Continued from Page 3.) IK AM OREGON COUNTIES Findings PresentecKat Ban quet Given by the State j Commissioners. FOUR CLASSES ARE MADE Jury's Report, Signed by Fnlrbank, - Filchcr, Steel, Camp and Wcs " scls, Gives General Satisfac- tlon to Contestants. " SUGGESTS HALF-HOLIDAY SATUK DAY. . Inasmuch as President Goode has de clined to have the last day of the Ex position dedicated to himself as Goode day, Eugene Shelby, agent and assist ant superintendent of Wells, Fargo & Co.'s Exprefs In Portland, suggests that It be called .Officers and Stock holders day. Mr. Shelby also suggests that If Oc tober 14 be observed as a half-holiday the attendance at the clo of the Ex position would be largely augmented. The comparative standing of twenty four Oregon counties In their competition for special awards offered by the- state at the Lewis and Clark Exposition was made public last evening. The remits of this competition ' and the awarding of prizes was made by an impartial Jury composed of executive commissioners from outside the state. Their findings were presented at a banquet given last evening at tho American Inn by the Lewis and Clark State Commission to the representatives of exhibiting counties. ,Work of the Jur3. In their work of passing upon the vari ous county exhibits the special Jury found competition so close and the show ings made so uniformly excellent that it was necessary to split the awards. The prize of $10J for the best county exhibit was distributed among Marion. Coos. Linn, Umatilla, Wasco and Lane Coun ties. The second, award of $500 was 1.... ..........,....... .. -.. t - -HE IS TALKING TO YQU divided among Clackamas, Columbia, Jackson. Polk and Morrow counties. The third award of $300 was divided among Benton, Yamhill. Malheur, Union and Baker Counties. For the fourth award of $300 there are seven claimants; "Wallowa, Washington, Sherman, Josephine, Lincoln, Harney and' Douglas Counties. Well Satisfied With the Result. The returns as- announced caused con siderable surprise, as it was generally be lieved that individual counties would be successful in each instance. Utmost sat isfaction was ' expressed throughout, how ever, and the announcement was received with thunders of applause. Tho commis sioners who madethc awards arc: J. A. Filcher" of California; W. N. Steel, of North Dakota; "Wilson H. Falrbank, of Massachusetts; Charles Camp, of "Wyo ming, and ZL J. Weasels." of Idaho. In returning their findings, 'the Com missioners reported that it was Impos sible to mako awards' other than In groups. While they found evidences of superiority In the various classes, v but these differences, they reported were so slight as to amount to a small fraction of one point. i Competition Whs Keen. The competition for the State Commis sion's special prizes has caused the par ticipating counties to put tfieir very best into their booths. The commission first offered to pay $500 to each county making a creditable exhibit of its resources. This encouraged many counties to participate that otherwise might not have felt able to afford the luxury. Then came the prize awards as an incentive for a high standard of exhibit. Each one of the 24 counties that took part constructed their booths on elaborate lines and filled them with the best products obtainable. Each" one also provided a superintendent to remain In charge and distribute liter ature and Information bearing on their i counties to any and all "visitors who wished such information. The outcome as announced last night indicates the zeal that has been exercised by .the county representatives la their work. Banquet a Brilliant One. Last evening's banquet was attended by representatives of every portion of the state. The predominating sentiment was that Oregon came first the county sec ond; that first allegiance was due the state. The sentiment was frequently ex pressed that there has been no disparag ing remarks concerning one county frjoxn. the representative of another. All have united In the common cause of "boost ing" Oregon. As. E. H. Flngg. of Co lumbia County, said In a short address. "We arc all Oregonlans, first, last and all the time" This sentiment was cheered by fully 100 Oregonlans of every part of Oregon, who felt the deepest meaning of the phrase. - The toast-master was President Jeffcr- ( Concluded on Page II.) GOULD IS AHEAD N WABASH FIT Will Elect His Ticket to Repre sent Bondholders and . Oust Ramsey. CONTEST "ABOUT PROXIES Day Spent In Canvassing Them, Re suiting In Vast Majority, for Gould Inspector Overrules Ramscy-'s Objection; TOLEDO. O.. Oct. 10. Xo directors were chosen at the annual meeting of the Wabash today. Tho sessions, with the exception of two brief recesses, lasted from 9 o'clock In' the morning until 11:15 at night, almost the entlrevtjme being taken up by the examination of proxies. Although no figures had been given out by the Inspectors of election. It is be lieved that the vote to be taken the tlrst thing tomorrow will show that Mr. Gould has behind him about $22,000,000 of the bonds and ttat Mr. Ramsey has In the neighborhood of $2,000,000. This hakes certain that the six men nominated by the Gould faction as directors represent ing the bondholders will be elected. These men are Ru&sel Sage. "WInslow S. Pierce, E. T. Welles. W. B. Saunders, R. C. Clowry and "E. D. Galloway. Mr. Ramsey has not shown sufficient strength to enable him to hold his seat as a director and It is believed he Is weaker In stock proxies than he Is in the bonds. Ramsey Overruled Again At the night session Mr. Ramsey's at torneys tbok "the position that no man should be allowed to vote unless he Is the actuul owner of stock at the time of the meeting. They submitted affidavits covering about $l,O00,0CO of bonds, in which the affiants declare themselves the actual owners of stock which stood In other names on the stock list at the time the books were closed prior to the election. The proxies for this stock had been given to Mr. Gould in every instance and the persons declaring themselves the present owners had given proxies to Mr. Ramsey. Chief among these was James Br Keene; who gave a proxy for $212,0t, and J. W. Hennlng &. Co., of New York, who gave one for $154,000. The Inspectors ruled against Mr. Ramsey In every Instance, holding that the bonds could only be voted by the persons in whose name they stood at the time of the closing of the books. Determined to Oust Ramsey. The Goulds look upon Mr. -Ramsey's connection with the board of directors aj a matter to be spoken of In the past tense only. "Mr. Gould has fully determined that there shall be a change in the board of directors," is the way they put It. There were rumors early today that legal steps would be taken by Mr. Ram sey's attorneys to prevent the re-election as directors of the Wabash of Mr. Gould. Russell Sage and James H. Hyde, on the ground that they are also directors of the Missouri Pacittc, which line parallels the "Wabash between St. Louis and Kansas City, but nothing has transpired In this direction. At tho opening of the meeting. Colonel Doyle, acting for Mr. Ramsey, offered ob jection to Mr Gould as presiding officer on the ground that he was a director oC fthe Missouri Pacific, a parallel line" to the Wabash. He also offered objection to the three inspectors of election, Messrs. Reynolds, Colton and Newton. Mr. Ramsey, arising, said: "I also offer objections as a stockholder." On motion of Mr. Greer, of the .firm of Pierce '& Greer. Mr. Gould's legal ad visers, the objections were spread on the record. Weary Work With Proxies. After the transaction of some routine business, the regular meeting was ad journed to permit of a caucus of the bondholders. This caucus convened in the same room as the general meeting. Un der the law, the bondholders have the right to choose six directors, the stock holders six and the 12 the 13th. Mr. Greer nominated 04 directors for the bondhold ers B. T. Welles, WInslow S. Pierce, W. B. Saunders, R. C Clowry, Russell Sage and R. M. Galloway. Colonel Doyle, for Mr. Ramsey, demand ed that the directors be chosen by bal Wt. This was voted down, and the men were chosen by roll-call. Mr. Ramsey's attorneys demanded that a proxy be shown as pach name was called. There were great numbers of these, and Mr. Ramsey and his attorneys Insisted upon examining every proxy as the name was called and checking it up with the lint of their own proxies. The process was slow and tedious. THE DAY'S DEATH RECORD Rev. Isunc Henry, Missionary. PAPEETE. Tahiti, Oct. 10. Rev. Isaac Henry, one of the best-known divines on this Island, died on September 8. He was the son of a pio neer missionary ,of French Oceanlca. who reached Tahiti from England in 1797. Among- his surviving: sons is Rev. John Henry, of San Francisco, who was present at nls death and made a few remarks at the funeral. Speaker of New York Assembly. WESTFIELD.' X. Y Oct. tO.Fred Nixon, Speaker of the Assembly, died at his home here, today atter-a second operation f&r- ppondlclOa.- asredfo years. He was elected to the Assembly 15 times and for seven terms was Speaker; Admiral Saso, of Japan. TOKIO. Oct. 13. (3 P. M.) Admiral Saso, Inspector-General of Construc tion, is dead. His demise Is deeply la mented in naval circles as a heavy loss to the nation. CONTENTS TODAY'S PAPER The Weather. YESTERDAY'S Maximum temperaure. 07 deg.: minimum. 43 dcg. TODAY'S Increasing cloudiness: southeast winds. Lewis and Clark Exposition. Admlssion, 2.',-T. Page 11. Admissions to date. 2.3S2.IJ3S. Page 11. Chelan County has big day at Fair. Page 11. Txlzes awarded Oregon counties. Page 1. - Commercial and .Marino. Engtlsh official estimate of hop crop. Page 15. Four-point advance in Great Northern stock Page .15. Chicago wheat slumps on Government crop report. Pago 13. Barley options strong at San Francisco. Pago 13. Low-grade wools firmer. Page 15. " y Alliance arrivex In with St. Paul's passen gers. Page 3. Shlo Caradale chartered for United King dom. Page 5. Sport. Philadelphia wins second championship game. Page 7. Oakland takes game from Portland. Page 7. rortlaad and Vicinity. Government completes its evidence. in land- fraud case. Page t. Tytjilan Grand Ijdge elects officers. Page II. Ladd makes answer Xo the aiit of Jshnson heirs. Page 10. , Political masterffecljr'tHe harmony band. Page 10. " r. . Problems for the TtepubTfcanlove feast. Page 18. Innocent man ha to pay costs arising from his arrest. Page 14. Foreign. llohentbal. Finnish assasln. escapes' from jail. Pare 4 ' Nearly whole of Moscow qnstrika Page 4. Emperor dismiss Hungarian Diet and pro-, lonza. crisis. Pago 4. .- . British subject captured rby bandits in Tur key and his ear cut. off. ' Page 5. Castro tries to concWate France. Page 3. National. Roosevelt trying to stop waste on printing. Page 4. Heyburn opposes tarlnt revision. Page 4 Lambert' arrest first of many for Nebraska land frauds. Page 3. Politics. Hearst accepts' Municipal Owneruhlp nomina tion. Page 3. '-Domestic. McCurdy and other Mutual Life Officials testify- Page 1. : . r,' Candidates elected to Hall of Famc-'-PagR 5. Gould ahead In Wabas fight. Page 1. St. Paul extension to Coast officially con firmed. Page 2. Pittsburg express clerk steals 3100,000. Page I. Negro runs amuck in Chicago and is nearly lynched. Page 3. Pacific Coast. , Instructor P. C. Langemo attempts suicide at ; the University of Oregon. Page 6. Attorney-General Crawford advises against cancellation of state land certificates ob tained by fraud. Page 6. Pilot Commlsrloners Insist there Is only 21 feet of water on the Columbia bar. Page 0. Aberdeen. "Wash., haa a Hely day when shacks are torn down. Page 6. Pacific & Oregon Railroad Unincorporated with headquarters at Huntington. Or. Page 11. Mi DISAPPEARS WITH 1.0 Express Company's Clerk in Pittsburg Makes Prompt Escape. LEAVES NO TRACE BEHIND K. G. Cunlirfc Flees From Employ crnnd Wire With Fat Package of Bills. I,cuvlu;r Trail PITTSBURG. Oct. lO.-Thc smrtlinR discovery was made late today that the Adams Express Company has ben k tlmlzed to the amount of $100.0fi0. sup posedly through the peculations of an employe. The following official statt ment of the affair Is given the Associated Press for publication: "At 4:30 P. M. Monday. October S. a bank of Pittsburg delivered to the Ad ams Express Company at their office at 610 "Wood street. Pittsburg, a package of currency containing $100,000. Of this amount JSO.OOO was In 5100 bills. $10,000 in JSO bills, and the remainder, 510.CO0. in to, $10 and bills. The package con tainlng this large sum of money was con signed to a bank In Cincinnati. "This package was received and receipt ed for by Edward George Cunllffe. who was then acting in the place of the regular money clerk, who was 111. Package or Money Missed. "Cunllffe leftthe office at thf usual time last evening, and this morning when he failed to report for duty a hurried ex amination was made of his department and It was learned that about SIO) of funds entrusted to his care were missing., General Agent Hlner. of the Adams Ex press Company. Immediately called in de tectives and placed the matter in their hands. Later developments brought to light the fact that in addition to the $1000 missing, the bank's package containing the $100,000 had not been received at the money forwarding office at the Union Sta tion, this city. Inquiries made at his res idence, 314 Lucerne street. West End. Pittsburg, showed that Cunllffe arrived home at the customary time last evening, and, after changing his clothes, bade lit family good-bye, saying, to his. wife that he was golnff qut for the evening, and jinn. Description or Fugitive. "Cunllffe has been employed by the Adams Express Company since March I. 1001. Previous to that time he was em ployed In the Pittsburg- service of the American Express 'Company, thc Elec tric Express Company, and the United States Express Company, of Hartford. Conn., and bore a good reputation. He was methodical, accurate and an excel lent clerk. "Edward George Cunllffo is described as S3 years of age. looks to be 10; 5 foot 7 inches tall; weighs 170 pounds: medium build, dark brown hair, heavily mixed with, gray; wears a heavy, short cropped mustache, dark and partly mixed with gray; could raise a very heavy beard; has blue eyes. When last seen he worn dark, blue, double-breasted sack suit, a black derby hat. turned collar and a black bow tie. He wears a silver ring with an acorn design. He Is an Inveter ate cigarette-smoker, and the second lin ger of his right hand Is badly discol ored with nicotine. Cunllffe is afflicted with what Is known as the "cigarette cough." Jl warrant has been issued charging Cunllffe with larceny. Wife Becomes Hysterical. Mrs. Cunliffe, wlfe of the missing man. was visited late today by the detectives. She readily answered all questions con cerning her husband. She said that h-i came home last night at tho usual time. After eating supper he prepared his toilet and upon Iea"vTng the house he bade her jfood-byc, as he was In the habit of doing-. She then asked the detectives if any thing had happened to him. and. when told that her husband was not workinc at the Adams Express Company office to day and that a large sum of money was missing, she went Into hysterics and to night is in a serious condition. The detec tives learned nothing of Importance at the home. They believe Cunllffe loft the clty Immediately after bidding his wife good-bye. CROWD TO SEE PAT CROWE Pleads Not Guilty of Shooting. Charge of Robbery Next. OMAHA. Oct. 10. Pat Crowe was ar raigned before Judge Berks In tho Police Court toda"y and pleaded not guilty to the charge of shooting with intent to itlll Patrolman Jackson. The little po- i lice courtroom was crowded to Its capac ity when Crowe appeared. The charge was read and Crowe pleaded not guilty and was immediately taken back to th jail. Bertillon Officer Shields then took Crowe's measurement and he was photo graphed. The preliminary hearing has been set for Wednesday, but Crowe's attorneys Intimated that the hearing would be waived. A charge of highway robbery in connection with the Cudahy kidnaping will be filed In the County Court to morrow. Crowe refuses to see the public and at his request nobody Is admitted to his presence. Ten Cholera Deaths in Poland. ST. PETERSBURG. Oct. 1JJ. The pest commission reports that there were 12 cases of cholera and tpn deaths from the disease In Poland from Octo ber 6 to October S