VOI. XLV- NO. 14,021.
PORTLAND, OREGON, WT3DNESDAY, NOVEMBER 15,' 1905.
PRICE FIVE CENTS.
VftLLEY EXTENDS
A FRIENDLY HAND
Portland Business Men
Made Very Welcome.
BONO OF UNITY IS FORGED
Pilgrimage. Takes as Far as
Salem for the Night.
CAPITAL CITY IS CORDIAL
DcBlre Is Shown for Aid Prom the
Metropolis in the Development
of the Valley, Especially
by Opening Locks.
ITIKERARV OF riLGIUMS.
Tuesday Oregon City, Canby, Barlow,
Aurora, Hubbard, Woodburn, Sllverton,
Mount Anrcl, Gervals, Brooks, Salem.
"Wednesday Ashland. Medford, Jack
sonville, Central Point, Gold Ray, Gold
Hill, Grant's Pass, Merlin, Glcndale,
Riddle, Myrtle Creek, Rosebur.
Thursday Oakland, Toncalla, Drain,
Cottate Grove, Creffwell, Eucene, Junc
tion City, Harrlsbure. Halsey, Shedd,
Tancent, Albany.
Friday Turner, Jefferson, Lebanon,
Corvallls, Independence? Monmouth, ,
Dallas, McMlnnvllle, Forest Grove, HUls
boro. 3T EDGAR B. PIPER.
SALEM, Or., Nov. 14. (Staff correspond
ence.) This "Willamette Valley has opened
its arms to the business men of Portland.
In the words of the old hymn:
This Is the way they long have soucht
And mourned because they found It not.
The people of the Valley are unfelgn
edly glad to see their friends from Port
land, but they have been wondering for
a Ions time why Portland dia rifct take
greater trouble to cultivate more firendly
social relations, a closer spirit of har
mony, a stronger bond, of unity, That is
about the way they .express it.. .They ad
mit that they receive frequent visits from
the representatives of Portland's com
mercial activities, but these were entire
ly in the- line of trade.
When the recent excursion went to
Eastern Oregon and Idaho, Valley folks
did not attempt to conceal their Injured
feelings. They said openly that Portland
did not care to seek their society be
cause Portland did not deem it neces
sary. It was really more than they
meant and more than they felt, because
the people of the Valley knew always
that Portland was aware of their high
qualities as citizens and the value and
need of their good will.
Second of the Formal Calls.
This business of making formal calls on
their neighbors and friends is a. new
thing for Portland. They sought first- the
comparative strangers of Idaho, because
it happened at that time to be opportune.
They hastes now to present themselves
In person to the people of Salem, Oregon
City, Sllverton, Woodburn and all the
other towns in the Willamette Valley,
because they want to assure them that
Portland desires so far as It can to make
the whole state a happy family.
This is the spirit in which the present
journey is- undertaken. Portland finds
that the business men and citizens in all
lines of industry are ready to meet them
more than half way.
At Salem tonight there was a formal
welcome, in which the cordial sentiment
of the beautiful capital city was made
manifest to all visitors. Salem appeared
to be proud of Portland, and congratulat
ed that city on its magnificent progress
during the past several years. It did
more It assured the Portland visitors
that the people of the Valley felt an in
terest in the deepening of the Columbia
river and the Improvement of Its entrance
second only to the interest of Portland.
Interchange of Aid.
Salem did still more It manifested
a desire to secure the aid of Portland
m the development and improvement of
the Valley, with especial reference to
the locks at Oregon City, which are,
through its tolls, a permanent handi
cap to the development of the Valley
commerce.
If Salem had any notion that Port
land desires at this time to 'pick up all
the state buildings and remove the
capital to Portland, it has probably ere
this changed its mind, for they were
Hssured by various speakers that Port
land is content to have the capital re
main where It is. This expression was
received by Salem with unbounded sat
isfaction. People here were pleased, too, with
the many compliments palj their broad
and well-kept streets, their tasteful
homes, beautiful lawns, thrifty inhab
itants and the general aspect of happi
ness and well-being which the entire
i Itj presents.
Hie "Salem hog" was nowhere in
: o ide'hee there Is no such animal.
Salem did not even hint that there Is a
Portland hog. which, in view of some
of the. recent remarks of Salem news
papers was very considerate indeed.
Salem feels a great deal better for
the visit of Portland so does Portland.
Jf the remainder of the Journey shall be
ns successful In stirring up enthusiasm
and promoting a general spirit of com
radeship between the various towns
of Oregon, Jt will have been all that its
promoters dreamed it would be.
EVERY BERTH IS OCCUPIED
Xcarly All of Original Party Take
the Pilgrimage.
SALEM. Or.. Nov. 14. (Staff Correspon
dence.) The business men's excursion oc
cupies three Pullman cars, a day coach, a
diner and a baggage car. and numbers S4
people, all principals or important repre
sentatives of the leading commercial es
tablishments of the city. There 1b not an
empty seat or berth on the ontirc train.
The demand for accommodations was
from the first so great that" a large
waiting list was created, from which
names could be drawn to supply vacan
cies which might occur in the original
schedule, but It happened that almost
everyone who planned to go showed up
at the Union Station at 12 o'clock today
and the waiting list for the most part
is still waiting. The only salvation for
any future "excursion by the Portland
business men would seem to be to provide
two trains. Chairman Plttock and Man
ager Richardson would have not the
slightest trouble in filling them.
. The first stop was at Oregon City.
Everyone knew all about Oregon City and
Its development in the past ton years
Into a splendid manufacturing center.
Oregon City Ii not a suburb of Port
land. It has a complete and distinct
Identity of Its own. Nevertheless it has
a share In the commercial and social
life of Portland that gives it a special
sympathy with and knowledge of all
the purposes and ambitions of the larger
'city. Therefore, the committee that came
to the train did little more than to re
ceive the business men informally and
to wish them Godspeed on their mis
sion. , Lawyer Hedges made a very good
speech and the pilgrims took a short run
around the town, interviewing the busi
ness community and looking over the
splendid manufacturing establishments
grouped around the Willamette's fall,
v. Pioneer Makes Special Trip.
At Canby there was an Interested
group at the train, but there were no
formalities. An interesting incident was
the presence at the station of Mr. Evans,
a pioneer, who came to Oregon 5S years
ago. Mr. Evans special errand at Canby
today was to meet Mr. Pittock, himself
something of an old-timer. F. A. Rosen
krans, one of Canby's prosperous store
keepers, invited everybody into his store
and distributed a large number of vers'
choice apples. Tou might-not think 'these
apples are much of a treat, but these
were Oregon apples, the choicest and the
most luscious grown in the neighbor
hood of Canby.
At Barlow the school children marched
down to the station under the direction
of their fair teachers,- Miss Karr and Miss
At Hubbard 11C school children sang a
sang and various citizens distributed many
Targe" and beautiful, apples which .were'
suitably int crlbcd with suggeBtiye mottos.
Among others was this: "if you will
leave your name and address you will
receive a- large and choice Hubbard pump
kin for Thanksgiving." Tou might try
It.
Where Socialism Worked Out.
Aurora had a coterie of citizens at the
depot to tell the Portland pilgrims about
the prosperity and thrift of the town
which the Giesies and the Snyders and
many other pillars of the old .German
commonwealth made famous in the an
nals of Oregon. If any of the statesmen
and publicists now much before the public
In exploiting the charms of Socialism will
come to Aurora and Inquire into Its his.
tory. they will find a remarkable example
of the successful working of their theo
ries. Aurora is no longer a co-operative com
munity, because the old fathers who
founded the colony and gave to the world
a living example of industry, self-help,
self-denial and true fellowship have long
since passed away. But it is a fine little
place. Aurora is in the center of a splen-.
did hop country, and it is growing. A
new bank has just been started, with de
posits of $42,000. which will, doubtless,
reach $100,000 before another year.
At Wocfidburn, Walter Tooze, of course,
made the address of welcome, and J. M.
Poorman, of course, took it upon himself
to show many of the visitors around the
town. ' Nothing more needs to be said
about Woodburn, except that the town
has 1500 people, makes the finest axhandles
In the world, and is one of the brightest
and most active towns in the iower Wil
lamette Valley.
Where Homer Davenport? Lived.
At Woodburn, the main line of the
Southern Pacific was left, the next desti
nation being Sllverton, made famous in
story and caricature by Homer Davenport.
The things Homer Davenport has said
about Sllverton, I think, are actionable
It is not a village with-one street, un
painted dwellings, vagrant cows, a single
store, a covered bridge, a blacksmith shop
and sleepy citizens with long whiskers
who do nothing all day long but sit around
on store boxes, whittle soft-pine sticks,
spit at a mark and talk politics. 'That is
the Sllverton of Davenport's fond Imagi
nation. The real Sllverton is a town of 1500 peo
ple, with two banks, many modern stores,
carefully kept streets, tasteful dwellings,
a first-class water system, a brand-new
Opera-House and an enterprising and go
ahead population. To be sure, Ai Coolldge
and T. W. Davenport still survive, hon
,ored pioneers of a former generation, but
there are Mayor Lou Adams, Dr. F. M.
Brooks, James Craig. J. E.' Folfard, A.
Wolfe and many others, who made It
their business to tell the Portland people
just what they were doing, and how they
arc doing it. They brought out the cele
brated Sllverton band, which marched the
visitors up town and back again.
The school children lined up on the walk
In fiont of th new public school, and
somebody brought from somebody's barn
two magnificent Clydesdale stallions, one
of which won the first prize at the
Lewis and Clark stock show. This all
shows -very well what Sllverton is and Is
trying to do, and Portland came away
with a very agreeable impression indeed
of the beautiful little town on Silver
Creek.
Mount Angel is the seat of the splendid
(Concluded . on Cgafc 7i)
111N FUND
lit BAD MUDDLE
Oregon and Washington Suffer
From Effects of "Too
. r
Many Cooks."'
ALL PROJECTS ARE TIED UP
Money Allotted for Work Which Is
Postponed, Yet Xonc for Prac
ticable Ones Amount in
Fund Uncertain.
- OREGONIAN NEWS BUREAU. Wash
ington. Nov. 14. "The Malhour irrigation
project In Eastern Oregon Is recking with
graft." said a high official of the Interior
Dopartmont today, "and until this graft
has boon eliminated the Government
will not adopt and build the project which
the Reclamation Service has prepared.
The Government does not propose to be
held up."
Thjs statement was made by an official
very close to Secretary Hitchcock, and he,
apparently, knows whereof he speaks. for
he but recently returned from Malheur
County, where he made careful investiga
tion into the entire Irrigation situation,
and found such conditions as warranted
him In recommending against the imme
diate construction of that project. It is
his candid opinion that the time Is remote
when the Government will undertake the
construction of the Malheur project: In
deed, he has doubts whether that project
will ever be built by Government aid.
Tied Up by Technicalities.
Notwithstanding It has been determined
indefinitely to postpone construction of
this project, because of the recommenda
tion of the reclamation engineers, backed
by the report of this official, the 5200.000
allotted for Its construction are tied up,
and. apparently, are not to be expended
on any other work In Oregon, although
the Reclamation Service is anxious to use
about half that money In building the
Umatilla project, which has been found
both feasible and desirable. Yet the Uma
tilla project Is sidetracked, not alone be
cause of alleged "lack of money." but be
cause of a small technicality that might
be.-S.a.lvfd- If this project could be im-mt-d
lately approved and thfr money fet
aside for ;ltV construction, it would be
completed In every detail within 12 mbnths
and 1?.C00 acres of valuable land could be
placed under water before the season of
1907 opens, not to mention about 13.000
acres of additional land that could be irri
gated In the flood season. If Mr. Hitch
cock would but approve the Umatilla
project, the Reclamation Service is ready
to begin Its construction immediately,
and its recent recommendation to the
Secretary is an indication of Its anxiety
to "do something"" for Eastern Oregon.
No Just Objection.
There is no Just reason why the Uma
tilla project should be delayed one day.
It has been demonstrated that there is
money available: the technical objection
is trivial, and ought to be waived. The
Maxwell Company merely asks to retain
300 acres, with water right, but Mr. Hitch
cock rules that, under the law, this com
pany can have but 160 acres, with water
right, overlooking entirely the fact that
the three members of the Maxwell Com
pany! should they make entry Individ
ually, could each hold 100 acres, or 480
acres In all, with water rights attached.
They cut their request to 300 acres, which
is all they care to retain. But the Secre
tary is firm on this point. Ho overlooks
the fact that these men already own more
than one-third of the project, and are will
ing to sell out to the Government at what
has been pronounced a reasonable figure,
and the whole project is virtually turned
down because of this minor detail.
The same thing is true of the Sunny
side project In the Yakima Valley In
Washington. The Sunnyside canal own
ers arc willing to sell out for H.50O.C0O,
but they ask to retain more than 150
acres of the land they now own, with
water right attached, and the Secretary
Is unwilling to grant them this privilege.
bo ne noias up that project, which in the
opinion of the reclamation engineers is
very attractive and can be acquired to
advantage at this time.
Washington Projects Tied Up.
Representative Jones, through his Sec
retary, today made inquiry as to why Mr.
Hitchcock refused to approve the Tioton
and Okanogan projects and found, as pre
viously stated in these dispatches, that
both were sidetracked "because there is
no money." Nearly "a year ago Mr. Hitch
cock allotted 42.SOO.O00 for the construction
of the Palouse project, but tho reclama
tion" engineers recommended indefinite
postponement of this undertaking, and it
has been temporarily abandoned because
of excessive cost. It has been decided to
withdraw tills allotment, which contains
enough money to build the Tleton and
Okanogan projects and purchase the Sun
nyside canal as well, yet the department
still cries, "No money." There Is much
quibbling among officials over the exact
status of irrigation projects In Oregon and
Washington, but the situation Is as repre
sented: there is money enough in both
states for Immediate work, but Mr. Hitch
cock refuses to authorize its expenditure.
Affairs Badly Muddled.
This situation brings to light the fact
that the management of reclamation fund
has become badly Involved In the last
few months. According to official figures.
Mr. Hitchcock has allotted $31,009,000. when
In fact -there are only J2S.OW.003 In the
fund. Since that embarrassment became
apparent, the figures have been changed,
and Mr. Hitchcock today declared that
instead pf a deficit .he atually had a sur
plus of J3.C00.OM. The only way this sur
plus can be reckoned is by wiping out
allotments for all projects not under ac
tual construction. Including Malheur and
"and Palouse. But, If this- admission Is
made, then the department cannot reas
onably refuse to build In Oregon and
Washington, on the ground that It has
"no money."
The plain truth,, which cannot longer be
concealed. Is simply this: Mr. HItchcok.
In directing irrigation affairs, has taken
counsel of too many subordinate officials,
men whose views and policies do not co
incide. Thejc advisers are working at
cross purposes; they make counter-recommendations;
what one favors other at
tack, and by following the suggestion first
of one and then another, the Secretary has
unintentionally so tangled the reclama
tion fund that no. living man can say how
much money Is available for building Irri
gation works, how much has been appor
tioned or how much has been spent. One
adviser says there is a deficit: another
tells him there Is a surplus of 59,000.00):
another says . there Is a surplus of less
than $109,000. and all have figures and
records to support thorn.
Work for Keep Commission.
It i-i the same situation that always re
sults from "too many cooks," and there
will bo no Improvement until some of
these advisers arc put aside and the Sec
retary controls Irrigation matters by di
rect co-operation with the Reclamation
Service, which was created for this spe
cific purpose. There has been too much
outside Interference; too many go-betweens;
too much meddling with public
matters to satisfy personal Jealousies and.
unfortunately.. Oregon and Washington
come to the front Just In time to feel the
full effect of this reign of chaos. There
Is room for the Keep Commission to take
hold right here, and there arc Indications
that it will do so. If there is no reorgani
zation, there is going to be an enormous
public scandal.
Now -XorthXvcst Postmasters.
OREGONIAN NEWS BUREAU. Wash
ington. Nov. 14. Postmasters have been
appointed as follows:
Oregon Placer, Josephine County. Al
len Reod vice Edward H. Wise resigned;
Wolf Creek. Josephine County, Lucretia
E. Ellin" vice Elmer E. Danber, resigned.
Washington Monitor, Chelan County,
Mrs. Rose Gridley vice William P. Wells,
resigned.
Heney and Burns a. Theater.
OREGONIAN NEWS BUREAU, Wash
ington, Nov. 14. District Attorney Heney
and W. J. Burns were guests of Secretary
Hitchcock tonight at a theater party.
BURTON DEMURS AGAIN
Files Technical Objections, but May
Be Indicted Again. ,
ST. LOUIS, Nov. 14. Counsel for United
States' Senator Burton, of Kansas, who
was Indicted' by-the Federal- Grand Jury
last Friday, today filed a demurrer to the
Indictment-. Thejgroqnds upon which the
depurrer is based- are as followsr
First Falls to allege in specific terms
what Senator Burton did for the Rlalto
Grain Company at Washington.
Second Falls to Mate how his action
benefited the Rlalto people.
Third Falls to show that the matter
under consideration at Washington was
a matter over which the Postmaster
General had jurisdiction.
Fourth Falls to state that Burton
knew the acts charged against him
would Influence the action of the Post
office Department.
Before court adjourned today. Judge
Vandeventer stated that he would render
his decision on the demurrer tomorrow.
If the demurrer is sustained there Is still
time to secure another indictment before
the statute of limitation. becomes effective
on November IS, according to District
Attorney Dyer.
In this connection It is regarded as sig
nificant, that the Federal grand Jury was
held until tomorrow after making a. par
tial report today, and delayed adjourning
until some future "date, as Is customary.
Hero of Balaklava.
LONDON. Nov. 14. Lieutenant-Colonel
Arthur Tremayne, one of the few
remaining survivors of the charge of
the Light Brigade at Balaklava, in
which he was1 wounded and his horse
shot, died In Cornwall today, aged 7S
years.
CONTENTSjfTODAY'S PAPER
Soldiers at WlatjfcpjMok mutiny. murder of
ficers, bura'Clifiefe.' quarter.' Page
Workmen order tw general strike. Vage 2.
Peasant revolt Kfjwi worse. " Page
Wltte refue'sareal of PolUh delegates.
Pae 2.
Germany denies abe will Interfere In Poland.
Pase 2.
Nearly all Jewel in Bessarabia murdered.
Page f
Commission of Jews to Investigate massa
cres. Pace t
FerelsB.
Balfour threaten to resign If followers don't
unite. Page 5. 1'
Rosebery to "be n&xt-iBrltHh Premier. Page 3.
Bermulez company tried to bribe Castro,
says counsel forjfrenezuela. Page
XatleaaL
Roosevelt defines Railroad policy to railroad
employes. Fagejljj
Cortelyou re-organizes Postal Department.
Page S. Tfe.
Northwest surfers wnuddle In Irrigation
affairs. Pare 1. 1f
Garfield Inquires IntoJrebates oo oil. Page 3.
Prince Louis glvsrtall on his Cagshlp.
Page 4. A
irSltlcs.
Taft tells how toiethrone bosses finally,
rage 3.
Hearst gettrder of court In contest. Page 3
IVmrtlc
Hyde gives sensational testimony In Insur
ance Inquiry. Page I-
Odell admits one of Hyde's charges Is true.
Pago 4.
Priest says scorching autslits should be
shot. Page's.
Doings of Labor Federation convention.
Page 4.
Double set of books In Enterprise Bank
holps Government prosecution. Page -4.
PaeMe .Coast.
Portland buslnexs - men have auspicious be
ginning to pilgrimage in the Willamette
Valley. Page 1. '
"Mayor of Oregon City vetoes the objection
able Oregon Water Power franchise.
Page 6.
W. II. Odell gives tip struggle' for approval
of lieu land selections In Oregon. Pago C.
Two filings are madeon-slte of ' Multnomah"
Fall. -Page 0. '
Notable ruling made-"Tn criminal procedure
by the Washington. Supreme I Court.
Page-ft. ' - '
e- h. - - -
transcontinental; rcadartaehlng." for,
roast. Page,' , -3- '
Three
the Coast.
ST1GHT TALK
ON RATE ISSUE
President Answers Objections
of Railroad, Employes'
Delegates.
WANTS ONLY EQUAL .RATES
Docs Xot Propose Reduction, hut
Justice and Equality Ml-lit In
crease Wages by Squeezing
Ont Watered Capital.
WASHINGTON, Nov. 14. An earnest
protest was made to the President today
against proposed railroad freight rate leg
islation. The protest was filed' by rep
resentatives of the five great labor or
ganizations connected with railroading
the engineers, firemen, conductors, switch
men and trainmen. .
The statement presented "by Mr.
Huntley -was as follows:
The railroad employes and those dependent
upon them represent upwards of six millions
of people In this country, whose earnings
approximately amount to one-half billion
dollars annually. We believe that there Is
no other class of American workmen who
present a higher general standard of citizen
ship than the railroad employes, and u-e also
claim that we are entitled to fair and Impar
tial consideration In the framing or adoption
of any National Legislation that threatens
our general prosperity. We take keen and
active Interest In all matters that seem to
conduce to a higher and broader standard of
conditions for the worklngmen of this coun
try, and therefore It Is not strange that
since the Inception of this movement for
National legislation on railroad rates all
union railroad employes have from time to
time and in various ways expressed their
convlotlons.
All Brotherhoods Protest.
For example, the Brotherhood of Railroad
Trainmen, vrlth a membership of S0.0O0, at
their last annual meeting In Buffalo last
Spring adopted resolutions of the most em
phatic nature against any reduction In rail
road rates. The Brotherhood of Locomotive
Engineers and the Brotherhood of Locomo
tive Firemen have expressed similar views
by official utterances, and the same can be
said of the Switchmen's National Associa
tion. Tho Order of Railroad Conductors, at
their biennial convention at Portland. Or.,
last May. Indorsed resolutions of the same
nature. The membership of these organiza
tions Is now a. little more than & auarte.- of
t tnlltlAX a... .. ... a, lit K.VI4t'i. '.'i:
other full million of laborers In the ralh-oad
world, who would be similarly affected, by
any reductions' in the earning capacity of the
railroad lines of this country, and what Im
presses us with more force than any side of
the Issue is this:
"Why Single Out "Railroads?
Why have the railroad interests In particu
lar been selected for this attack? Why is
the Interstate Commerce Commission or
some similar commission not to be clothed
with the same absolute authority to tlx the
maximum prices on beef. pork, oil, clothing,
butter and eggs, etc. In fact, everything
which one has to buy every day? It seems
to us that rucb a step would be Infinitely
more reasonable than this proposed move on
railroad rates, because all of these and other
commodities have advanced by leaps, and
bounds, and by methods which we all agree
would bear Investigation, while the general
average of, railroad freight rates has steadily
decreased, and during the past ten years the
railroad companies have granted substantial
wage concessions to their employes and also
ameliorated labor conditions.
That the railroads of the country have been
enabled to reduce rates and at the same
time advance wages and spend large sums In
the development of their properties Is due
to the reduction or elimination of grades,
curve, etc., doubling capacity of cars, im
mensely Increased hauling power of loco
motives and superior character of general
serylco rendered, showing in Instances an in
crease fof 200 per eent in train tonnage. We
believe-that in this Increase In earning pow
er and" economical management the limit
has'betatreached. Therefore we believe that
we take a. fair and Just view of the situa
tion wha we claim that no National legis
lation' should be adopted which shall tend In
any' degree to interfere with or Interrupt the
present or future prosperity of the railroad
employes ra tblscauntry.
Not a Party Question.
In presenting to the President the
foregoing statement, Mr. Huntley, who
Is a conductor on the Lake Shore &
Michigan Southern Railroad, said:
"We are of tho classes which have
most to do in the practical operation
of the most Important branch of the
railway service, and that Is the train
department."
He told the President It was not nec
essary to urge him to consider "the
trials and responsibilities, the shadow
of death that goes with us. stp by
step, in our daily battle for bread In
our profession," because every laboring
man In the land knew the President's
keen interest and sympathy with "the
honest worker." Mr. Huntley assured
the President that no taint of partisan
ship or political coloring existed In any
degree among the members of the dele
gation, but they take a keen Interest in
all matters affecting- the social econo
mies of the country, and the speaker
declared with emphasis that railroad
employes were satisfied that any legis
lation tending to reduce the earning
'capacity of railroad lines will, in the
same measure, interfere with the pros
perity and generally satisfactory con
ditions of the railroad employes.
Mr. Huntley said that It had come
to be the attitude of the Adminstration
and of prominent Republicans gener
ally that, when a revision of the tariff
Is made, the changes should be by its
friends and not by Its enemies.
"We suggest," said Mr. Huntley,
"that a similar course be followed In
railway rate legislation."
He wound up by expressing the hope
that there would be no National legis
lation that would Interfere with or In
terrupt the prosperous condition of tho
railroads or of their employes.
The delegation which called on .the
Pres-dent came from 12 different states
and represented all of the larger sys
tems of railroads.
The President's Reply.
President Roosevelt In reply said:
Gentlemen: 1 have 'Just a word that' I
want to say to you. In the first place. I
trust I need hardly say that no delegation
.will ever be more, welcome at the White
Hdlise than such a.-dele ration as this. Ttia
interests of the wageworker and the Inter
ests of the tiller of the soli must hr pecu
liarly close to all American public men:
among other reasons, for the reason that If ,
they prosper all classes will prosper like- I
wise, as a matter of course. As I said the
other day to the representatives of organised
labor at Atlanta. I shall do everything In
my power for the labortns men except to do
anything wrong; for the man who will do
anything wrong in the nominal Interest of
another man will also do wrong against this
same other man. 1f ever It becomes to his
own- Interests to do so. Tour associations
deserve peculiar reward, because yoa have
developed to a. marked degree the very qual
ities that all bod!s of wagewerkers should
develop the Intelligent regard for the fu
ture, the self-respect, mingled with the re
spect for others, the power of self-restraint,
which Is absolutely essential to any bedy
ef men which Is to move upward and en
ward. With most of the general statements that
you made I agree, but I am not sure that
I agree with your application of them. There
has been comparatively little complaint to
me of the railroad rates being as a whle too
high. The most serious complaints that have
been made to me have been of Improper
discrimination In railroad rates. For In
stance. In two recent cases affecting great
corporations the complaints that have been
made to me have been that they are too Vow
as regards certain big shippers; the cam
plaint In both these cases is about the dif
ferential, the difference of treatment of two
sets of users of the railways, the difference
In favor of one set of shippers as against
another set of shippers. Whether this is
just or not I am not prepared to say.
I very deeply appreciate and sympathise
with the feeling you express as to the com
munity of Interest between the man who ac
tually does the handling of the trains at the
brakes. In the engine-cab. as a fireman, as
a conductor, and the man who has to do. as
a capitalist or as the higher employe of the
capitalist, with the general management of
the road. Z fel that on ot lha lesaona
which cannot "be over-Inculcated It the les
son of Identity of Interest among our people
as a whole. I do not have to tell a body
like this something I do have to tell some
other bodies, and that Is. If you have not
got at the head, of a railroad a man who ean
make a success of It. the wage workers on
that -railroad cannot prosper.
WW De Just to Railroads.
If you wltl look at my Raleigh speech and
at my other recent utterances, you will see
my principle clearly set forth. I have said
again and again that I would not tolerate
' for one moment any Injustice to a railroad,
any more than 1' would tolerate any Injustice
by a railroad. I have said again and again
that I would remove a public official who
improperly yielded to public clamor against
a railroad, no matter how popular that
clamor might be. just as Quickly as I would
remove a public official who had rendered
an Improper service to the railroad at th.e
expense of the public But I am convinced
that there must be' an Increased regulatory
and supervisory power exercised by the Gov
ernment over the railroads. Indeed. I would
like It exercised to a much greater extent
than I have any idea of pressing at this mo
ment. For Instance, I would greatly like to have
it exercised In the matter of over-capltallza-tlon.
I am convinced that the "wage fund"
would be larger if there was no fictitious
capital upon which dividends had to be paid.
I need hardly say that this does not mean
hostility to wealth. It you gentlemen here.
In whom I believe so strongly, were alt a
unit in demanding that some proper aetlon
should be taken against certain men of
wealth, then, no matter whether I did or did
aot like those same men .of wealth. 1 would
, Jdefend them against you. no matter how
'much I cared for you: and in so dolnj; I
would really be acting In your own Interest.
I would be alse to your lntesest If I failed
to do justice to the capitalist as much as to
the wageworker. But I shall act against
the abuses of wealth Just as against all
other abuses.
Just and Equal Treatment.
The outcry against rate regulation Is of
much the same character as that I encoun
tered when I was engaged In putting through
the car-coupling business, or In endeavoring
to secure certain legislation in which you all
have been Interested, such as the emnjoyers
liability law. Most certainly, I will Jain
with you In resisting any movement to hurt
or damage nny railroads which act decently,
forI would hold that such damage was not
merely to the capitalist, not merely to the
wageworker engaged on the railroads, but
tolall the country. My aim is to secure the
just and equal treatment ot the public by
those (I trust and believe a limited number,)
who do not want to give It, Just as much as
by the larger number who do want to. give
It. .All I want In my rate legislation Is to
give the Government an efficient supervisory
potter, which shall be exercised as scrupu
lously to prevent injustice to the railroads
as to prevent their doing injustice to. the
public. Our endeavor Is to see that those
big railroad men and big shippers who are
not responsive to the demands of justice are
required to do what their fellows, who are
responsive to the demands of Justice, would
be glad to do of their own accord.
WILL NOT PLEDGE IX ADVANCE
ft -
Senator Long Wants to See Koosc-
velt's Rate Bill First.
WICHITA, Kan., Nov. 14- Senator Long
this afternoon addressed the Commercial
Club in response to a resolution asking
himjlto announce his stand on railroad
rateleglslation. He declined to tell In
advance what his action on President
RoosevelCs rate legislation plan would be,
giving his reasons in a statement that oc
cupied 20 minutes In delivery. He said
in part:
"While the resolution you present to
me does not so state, yet I am advised
to get right with the President. I was
advised to do this on the Esch-Townsend
bill, and yet the President, now in his
Raleigh speech, takes a position that
conflicts with that measure. I do not
know what the recommendation of the
President to Congress on this subject will
be, nor does the country, yet you ask me
in advance' to say that I shall agree with
everything he may recommend. I de
cline toabd!cate or shift my responsibil
ity on this measure to the President of
the United States ,or any other person."
Mlneovrncrs" Enter Protest.
LOUISVILLE. Ivy., Nov. 14. A petition
to President Roosevelt and Congress
against the Esch-Townsend bill or any
slmllar rate legislation designed to Inter
fere with the fixing of rates by the roads
themselves was adopted at a meeting ot
mlneowners and operators, representing
53 of the biggest coal mines in Ken
tucky and 70 coal companies, held In this
city today.
HOW LEWIS GOT CAPITAL
Started People's Bank, Then Bor
rowed Its Deposit.
ST. LOUIS, Nov. 11. Mr. Hadley today
applied to Circuit Judge Mcllhenney at
Clayton for an order directing Receiver
Frederick Essen, of the People's United
States Bank to bring suit forthwith
against the Lewis Publishing Company
for 5375,000. alleged to have been loaned
by the bank.. The petition states that
54W.00O was loaned and a note taken;
that 525.000 was repaid prior to August
1. 1503. and that $375,000 and interest is
now due. .
It ' Is alleged that the loan was
mado-to E. C. Lewis personally, and that
it was" Illegal. EL C Lewis is president
of the People's United States Bank. The
court took no action on the petition today.
HYDE REVEALS
ES' DEEDS
Exposes. Secret of
$685,000 Loan.
PUTS ODELL IN BAB LIGHT
Harriman Advised Settlement
With Governor.
BITTERLY SCORES FRICK
Accuses Him and Harrhnan of Try
inir to Get Hint Out of Country
and Playing: the Part of
' False Friends.
EN EM
NEW YORK, Nov. 11. James Hazen
Hyde, ex-vice-president of the Equitable
Life Assurance Society, whose resignation
followed the sensational disclosures in
that company last Spring, which led to
the Investigation of insurance company
methods by the Armstrong committee of
the Legislature: the man whose presence
as a witness before this committee has
been looked forward to In the expecta
tion that It would produce the greatest
sensation ot the investigation, appeared
before the committee today.
Mr. Hyde's manner on the stand was
one of composure and deliberation and his
replies to questions from counsel were
calm and deliberate, oft-times studied. He
was fortified with statements and data
and was very frank In his explanations.
Frequently he would become bitter In his
reference to himself and his associates,
while his entire testimony was ot deep
interest and cleared up many points that
have , heretofore remained In' the dark.
It was not until late In the day that the
sensational features of, his testlmony
were developed.
Mr. Hyde was called to the stand short
ly after the session opened this morning
and he was under examination all day
until" a fewfmlnutes before adjournment.
In anticipation of his presence as a wit
ness, there was a greater crowd than has
attended tho sessions of the ,commUtee
heretofore and extra police were sta
tioned in the corridor without the committee-room
to keep order.
Clears Up Loan Mystery.
Mr. Hyde cleared up the matter of the
$6S3.00O loan of the Mercantile Trust Com
pany, which appeared on the books of the
Equitable Life under the caption of the
"J. W. Alexander No. 3 Account." This
account has been under Investigation on
several previous occasions, but none of
the witnesses heretofore examined had
been able to explain lu Mr. Hyde first
heard of this account in the Fall of 1902.
when his attention was called to it by
President Alexander, who said that he
and Mr. Jordan had Incurred the loan to
take up stock that was being bid up to
fictitious values to the detriment of the
company; to settle suits that were ham
pering the business of the slciety and for
campaign contributions. This contribu
tion was the one to the last campaign and
was asked by Mr. Frick, who suggested
it for the benefit of the society. To pro
cure this money, Mr. Alexander had Mr.
Hyde write a letter to the president of
the Mercantile Trust Company and this
letter practically placed him in the posi
tion of a guarantor.
Later, when the settlement of the loan
waa forced, Mr. Alexander and Mr.
Jordan raised all they could toward it.
The stock purchased with part of the
loan was sold by them to Thomas Ft
Ryan for 5212.000 and the balance, $212,500.
Mr. Hyde paid personally- He did this
because he understood Mr. Alexander was
financially embarrassed. In a bitter way,
he said:-
"Notwithstanding the strained relations
with these two gentlemen. Alexander and
Jordan, I felt bound to see that the debt
was liquidated by reason of the letter
Mr. Alexander extracted from me."
Hyde's Modest Salary.
Mr. Hyde said that he first received a
salary of 430,000 seven years ago. In 19Q&
when he became chairman of the finance
committee, this was advanced to 575,000,
and In 1903 It was advanced to 5100,000, at
which - It remained until he resigned as
vice-president. Mr. Hyde presented a
statement showing that In the seven
years of his connection with the Equitable
Life and the allied corporations his aver
age income had been only a little more
than 538.000 a year. This was figured as
seven years' salary front the Equitable
amounting to $433,000, from which he de
ducted his losses in syndicate transac
tions, amounting to J2S.615. and the
$212,500 paid on the 56S5.000 loan, which
left a balance of S193.8S4, or an average
annual Income of 527,697. to which was
added the average income from his offices
In the trust companies of 510.500. Witncs3
said he presented this statement to show
that he had been mlsrepretented.
The Instructions of Mr. Jordan to Ai C
Fields, the "legislative generalissimo," as
Mr. Hughes referred to him today, Mr.
Hyde knew nothing about. He said he
never consulted with Mr. Jordan about
legislative matters, and that none of the
legislative measures affected him or hl3
Interests In any way.
Lost on Syndicate Deals.
The syndicate operations of J. H. Hyde
and associates were gone into very thor
oughly, and It was shown that in 23 syn
dicates Mr. Hyde sustained personal losses
of 528,615. Mr. Hyde ascribed the appor
tionment of the Bquitable's allotment of
(Concluded on Page 4.)
V