24
VOL. XLY. NO. 14,071.
PORTIiAXD, OREGON, FRIDAY, JANUARY 12, 1906.
PRICE FIVE CENTS.
1 . I
FEAR EFFECT OF
NEW TAX BILL
Glaring Errors, It Is Alleged,
Are Found in Many of
Its Provisions.
FLAWS WHICH ARE FOUND
Some of the 3Icasuccs Which, It Is
Asserted, Will Involve the Law,
if It Becomes One, With
Other Statutes.
That the tax bill proposed by the tax
committee o the Farmers and Shippers'
Congress for enactment under the initia
tive contains many errors and inconsist
encies and will Involve the tax laws of
the state in Irreconcilable conflict If It
should be adopted. Is the assertion made
by experts on tax legislation who have
examined the proposed measure- The
principal errors in the law are due to the
fact that several sections of present laws
were copied from the 1502 code and are
to be re-enacted as they then stood,
though they were amended by the Legis
lative sessions of 1903 and 1903. The in
consistencies arise from the plan of en
acting new laws without expressly re
pealing old ones, thereby leaving a nec
essity for litigation in order to deter
mine whether the new law repeals the
old by Implication or whether both the
old and the new can stand side by side.
The bill was drafted by a committee of
the league," the committee having been
appointed last summer by President E.
Hofer, and was adopted by the league at
Woodburn, December 15. The measure la
intended to provide a "more equitable
system of assessment and taxation" and
to be enacted by the people at the polls
next June independently of the legisla
ture. The drafting committee was made
up of J. A. Carson, of Salem: Q. W. fJrJf
lin, of Eugene; J. A. Auppcrle, of Jef
ferson; B. F. Jones, of Independence, and
G. A. Hurley, of Vale.
One of the most glaring Inconsistencies
is that occasioned by section 104 of the
printed bill, which provides that the
Secretary of State, as Insurance com
missioner, "shall be entitled to receive
the fees and 40 per cent of the licenses
prescribed by law as "compensation for
his services." This provision. If enacted
subsequent to the passage of the flat sal
ary law of the Legislature of 1905, would
give the Secretary of State, in addition to
his salary, fees like those which the Leg
islative act cuts oft.'
Published in Pamplilet,
The bill for the proposed law has been
published in pamphlet form and distrib
uted to every portion of the state, with
blank petitions for signatures, asking
that the law be submitted to the people.
An examination of the law shows that It
must have been carelessly drawn, for Its
preamble misrepresents some of Its pro
visions. Men who have taken an Interest
in the improvement .of the tax laws of
this state are alarmed over the situation,
for they fear that this law may be adopt
ed by the people because they favor one
of its purposes the extension of the pol
icy of indirect taxation. Since the move
ment has gone this far before the errors
were discovered, it is feared that the
people, not taking the time to study its
provisions, may adopt it In June without
understanding Its full effect.
The first flaw alleged to have been
found in the proposed measure is in the
title and general scope of the bill. It is
asserted that the bill i-lolates that sec
tion of the constitution which provides
that a bill shall embrace but one subject,
which subject must be expressed In the
title. Furthermore the bill deals with
general property tax laws, license laws,
which arc not primarily tax laws, and
inheritance tax laws, which are essen
tially different In principle from prop
erty tax laws or llcenso laws. It Is,
therefore, asserted that all these sub
ject cannot be covered in one measure.
Second Defect Alleged.
A second defect is alleged to exist be
cause of a conflict between the title and
one of the important sections of the bill.
The title declares that this Is a bill for
an act "To re-enact the assessment and
taxation laws of the state of Oregon,
including all existing amendments there
to," etc. with certain changes enumer
ated further along in the title. In the
effort to re-enact the present laws, one
very important existing amendment was
overlooked. The situation may be thus
explained:
Prior to 1903 the tax laws provided
that County Courts should levy for
school purposes at least' 5 mills on the
dollar. This provision was contained In
section 3374 of the Bellinger and Cotton
code. The revenue thus obtained was
found In many counties to be insufficient
and the Legislature of 1903 amended the
section by providing that County Courts
shall levy a tax for school purposes
which shall aggregate an amount which
shall be at least ?5 per capita for each
and all the children of school age, etc.
Instead of taking this amendment into
consideration, the persons who drafted
the proposed law went back and copied
the section as it stood In the 1902 code.
It is asserted that if this law should
be enacted, revenue for school purposes
would be reduced in some counties, mak
ing it necessary to shorten the school
year in some districts or reduce the sal
aries of teachers. The Intention to return
to the old method of fixing the amount
of the school levy was not even hinted
at in the title of the bill, and was not
mado known to the school authorities of
the state. Superintendent of Public in
struction J.. H. Ackerman was astonished
when he read this section of the bill.- He
says that the per capita system is the
proper method of apportioning amount of
school funds to be raised by the county
levy.
Another Variation in Assessments.
Another variation In the existing assess
ment laws not hinted at In the title of
the act is shown In sections G and 7 of
the proposed bllL An act of the Legisla
ture of 1903 provides that "shares of stock
of National banks shall be assessed to the
individual stockholders, at the place
where the bank Is located. Shares of
stock of private banks, and loan and trust
companies, shall be assessed to such bank,
loan or trust company at the place
where such bank, loan or trust company
Is located, and not to the individual stock
holders." The proposed law drops the second sen
tence of that act and covers the same
subject by providing that shares of stock
In banks, loan and trust companies shall
be assessed at par value to the owners
where they reside, but If thry reside out
of the state they shall be assessed where
.the bank, loan or trust company Is locat
ed. This provision Is neither a re-enactment
of the law as It stood In 1902. nor as
It was amended In 1903, for In 1902 the
law required that bank stock be assessed
at its value, while the proposed bill says
"par value." which Is often much less
than its actual value. It differs from the
law of 1903 in regard to the place of as
sessment. Find an Inconsistency.
There seems to be an Inconsistency In
section 46 of the proposed law. providing
the manner of fixing a basis for the ap
portionment of state taxes In 1910. The
bill changes the present law regarding the
items of expense that shall be reported
by County Clerks, by excepting expendi
tures for public buildings and Improve
ments thereon. Beginning with 1907, there
fore, there would be a new form of re
port, and in January. 1910, there would be
on file four sets of reports of the new
form, namely, for the years, 1903. 3907,
1903 and 1909. But the bill provides that
in 1910 the Governor. Secretary and Treas
urer shall complete a new rate of appor
tionment by avoraglng the amounts of ex
penditure for a period of five years, It,
therefore, appears that in making the
rate of apportionment the State Board
must use four reports of the new form
and one of the old form, and those coun
ties that have had large expenditures of
new buildings or repairs in 1905 would be
at somewhat of a disadvantage as com
pared with thoso that left their new build
ings until 190G for construction.
The bill also provides that the reports
of County Clerks must be filed by Janu
ary 35, and the State Board must -make
Its apportionment during January. An
other section requires County Courts to
make their levies at the January term.
If County Courts act as early In the
J, month In 1910 as they do this year, many
of them will have their levies made be
fore th 35th of the month, when the new
rate of apportionment will be adopted.
The ro-enaclmcnt of the old Jaw re
lating to imposition of Insurance license
foes Is likely to prove one of the most
perplexing features of the proposed law.
As already stated, the bill makes It the
duty of the Secretary of State, as In
surance Commissioner, to collect certain
fees from insurance companies, and It is
provided that he shall be entitled to re
ceive the fees and 40 per cent of the
license prescribed by law. as corpensa
tlon for his services. Fines at penal
ties and taxes on premiums are to be
paid Into tho state school fund and 60
per cent of the licenses collected are to
be paid into the general fund.
Flat Salary Law.
The fiat salary law of 1903 provides
that the Secretary of State shall rceolve
a salary of 14500 per annum, which shall
be In lieu of all fees Rnd commissions
received by him for servlrcs performed
by him by virtue of his office, atid that
he shall pay to the State Treasurer all
fees of every kind so collected by him.
But the services performed as Insur
ance Commissioner are entirely separate
from his services as Secretary of State.
The constitution provides that the state
officers named in the salary clause shall
receive no fees or perquisites whatever
for the performance of any duties con
nected with their respective offices, yet
they all reccivo fees and perquisites upon
the theory that they perform services
not connected with their offices. The
adoption of the proposed law would give
the Secretary of States just as valid a
claim upon this Income as he has now.
Objection Is made to section 105 of the
proposed law, relating to telegraph, tele
phono and express companies, upon sev
eral grounds. It is not a license measure
such as the Insurance company law now
In force, but levies a direct tax of a cer
tain rate per cent on gross earnings
without requiring the issuanco of licenses.
Doubt Is expressed whether this can be
done. Question is also raised why the
rate levied upon telegraph and express
companies was fixed at C per cent, while
the rate upon telephone companies Is
only 1 per cent.
Another Objection Raised.
Objection is made to the portion of tho
law gox'crnlng the assessment and tax
ation of railroads because it provides a
new system without repealing the old
laws, leaving tho courts to decide whether
the old law or any portion of it remains
in force.
If this bill should be filed In the office
of the Secretary of State, with the re
qutrod number of signatures attached,
the state must print about 100,000 copies
at a coBt of 55000. Anotlicr bill, covering
a part of the same subjects. Is under
preparation by representatives of the
Grange. If both measures should be sub
mitted to a vote of the people and both
be adopted, whJch might happen, there
would unquestionably bo an Irreconcil
able conflict, for they would In some fea
tures cover the same ground. Because
this measure Is so comprehensive that
few people can read it and ascertain all
Its bearings, it Is arousing some opposi
tion from men who have given extensive
study to tax laws.
Spotted Fever Among Young Tars.
NEWPORT, R. I., Jan. 11. Seven
deaths from spotted fever have oc
curred among- the 350 naval apprentices
who -were brought to the training sta
tion here last November. Quarantine
regulations which have hitherto affect
ed the November drJLft of apprentices
.were extended todav to all- the 1600
apprentices.
UPHEAVAL PUTS
FREAKS EN OFFICE
Queer Results of Municipal
Ownership Uprising in
New York.
BURGLAR BROWN DEPARTS
Sheriff Flaherty a Practical Joke.
Hungarian Band In Clerk's Office.
Sweatshop-Worker "Wants
War With Russia.
NEW YORK. Jan. 11. (Special.)
The Municipal Ownership League, or,
as it is now en 1 led. the Independence
League. Is finding- Itself greatly em
barrassed by the men it has elected
to office, and some of the field "marshals
are sorry that they had any success
ful candidates, and believe they would'
have been much happier without thom.
The persons who were put upon tho
ticket were. In the majority of cases,
men who could hardly be called repre
sentative of anything- except enthu
siasm. Nobody thought there was any
chance of victory, so consequently the
nominees were men who could be flat
tered by a little worthless notoriety,
and naturally they were not men of
high culture.
But they were swept in on the crest
of the municipal ownership wave, and
now the men who elected them are
wondering- why m the world they ever
did it.
1 wrote you some time ago about
the walking- delegate of the Musicians
Union, who was elected Sheriff of
Kind's County, which comprises the
territory In the Borough of Brook
lyn. Sheriff Flaherty has already suc
ceeded In covering- himself with glory,
and leads his colleaguos as a unique
officeholder. When Flaherty took
charge, he promptly ousted all the old
employes, and installed strong- munici
pal ownership men.
Prisoner Politely Departs.
One of the first prisoners to arrive
to test Flaherty's hospitality, was
Frank Brown, a Chicago burglar, who
had robbed many prom!nnt people in
Brooklyn. Brown was capturod out
West, and brought to Brooklyn after
. hard legal fig-lit. Ho was committed
to Jail, but only remained there 20
minutes.
How did he leave? Did he dig a tun
nel, like the Count of Monte Crlsto.
blow down the walls -with dynamite,
or disguise himself as William Ran
dolph Hearst?
No, Brown followed none of these
methods. He walked up and down the
corridor for a few minutes, then walked
Into his cell, and put on his overcoat,
hat and gloves, after which he ap
proached tho keeper of the grated
door, trailed pleasantly, and said:
"Well. I guess I will go now."
"All right, sir," sajd the keeper,
he unlocked the door. Then Brown
strolled leisurely down the corridor,
told the keeper at the main entrance
that he was going away, and was per
mitted to walk out unmolested.
The whole affair was o funny that
the peoplo have not been able to -got
angry about It. The grcncrally-acccpt-cd
opinion is that Brown objected be
cause It was an "open shop," that is to
pay. nonunion prisoners were confined
in thn same tiers with union men, so
he refused to associate with them.
Mr. Flaherty has been busily trying;
to recover Brown, but has received lit
tle assistance and not a bit of sympa
thy. In fact one blunt police captain
told him he had been far luckier than
he deserved.
"Brown was a kldn-hcartcd man,"
he commented, "to go away In such a
gentlemanly manner. Why. If he hnd
wanted to, he could have looted your
blamed old Jail and picked the pockets
of every attendant and none of that
antl-trust gang- of yours would ever
hac been the wiser."
Delegation From Hungary.
County Clerk Hartzhclm. who Is a re
tired grocer, has also aroused Interest
In the vicinity of the Brooklyn City Hall.
The German-American Union, of which
he is one of five members, is unanimous
ly represented among his appointees.
Bcja Tokajl, president of the union. Is
Deputy County Clerk at TSOCO a year.
Arpad Tokajl. his 19-yoar-old son. lias an
31809 job. Mokajl Tokajl, Kossuth To
kajl and Vcspo Tokajl are also on the
list, while Mr. Hartzhclm's private sec
retary Is his niece, who lives with hlra.
"He has turned the tribunal of the
people into Hungarian goulash," angrily
declared one good Municipal Ownership
man. who has vainly endeavored to secure
a position under Hartzhclm.
Ordinary citizens who have business
with the County Clerk's office declare
that the new appointees are the worst
they ever saw In their lives.
"Half of them cannot speak English,'
was the comment of a down-town bank
er, "and those who can do not appear
to be In their right minds."
They tell a story of a man who called
to have a deed recorded, and, on express
ing his wishes, received the following
reply:
"I do not think wc deeds record here,
do wc? Perhaps it were better you
again came when Mr. Hartxhelm is from
lunch returned."
Can Be Trusted to Make "Breaks."
Although County Register Alfred J.
Boulton Is a union stereotyper, he has
not made any serious breaks in the con
duct of his office up to date, but his ene
mies declare that they have hopes that
he will tie Flaherty's record before long.
"Of course, though." they admit de-
1
spondently, "it is a fact that Flaherty
has more chance to make a darned fool
of himself than have the other fellows.
But never fear; Boulton Is an Ingenious
fellow, and he will certainly be heard
from some day. and before very long."
The Municipal Ownership delegation In
the Board of Aldermen includes some
strange and wonderful representatives.
One of them, it was discovered, served
time In the penitentiary years ago for
larceny, but. as he was pardoned just
before his term expired, there was no
legal reason why he could be barred, al
though, had his record been known, .the
probabilities arc that he would never
have been elected.
Talks Weber and Fields' English.
Another chap, chosen from Brownsville
(the Jewish section of Brooklyn) has only
been a citizen six months. He accepted
a seemingly hopeless nomination, but out
his way Hearst received more votes than
did his Republican and Democratic oppo
nents combined, and. of course, the im
migrant had a wonderful majorltv.
This Alderman speaks WcfcCT and
Fields English." and not a great deal at
that. He is employed a? a tailor in a
sweatshop, making about $7 a week, and
almost fainted with joy when told, after
election, that an Alderman's pay was
J10C0 a year, and that the term lasts for
two glorious, consecutive years.
The first work he did was to draw
up a resolution providing that unless the
Czar "abandons massacres of Jews." to
quote the resolution, "the Board of Alder
men shall declare that a state of war ex
ists between the two great municipal
ities." Unfortunately for civic joy. he proudly
showed this unique document to a col
league, and the Municipal Ownership
League promptly squelched it and in
formed the city father that he must
never, never Introduce any bill unless it
had first been-approved by the leaders of
his party.
Another Alderman from the Harlem
section had to be forcibly prevented from
Introducing a resolution calling- upon the
traction companies to furnish free trans
portation for "all Aldermen, their fam
ilies and friends." He had never heard
that the state constitution prohibits
passes of any and all descriptions to
office-holders.
Speech of JcITcrsonlan Barber.
One of the few remaining perquisites
of the Board of Aldermen Is the privilege
of granting permits for news-stands, and.
by an unwritton law. each Alderman dis
poses of the requests In his own district,
without Interference or advice from his
colleagues. One of these applications went
through the other day but before It was
passed a Municipal Ownership Alderman,
who was formerly a barber, immortalized
himself by the following speech, which is
quoted from a stenographic report:
"Far be It from me to imputatc motives
In any way affecting the high caliber of
the gentleman from th Third District.
But I would like to ask why Si Is neces
sary for any u"4in lo crlngn and pander
to any official .to gain the right to earn
his dally bread?
"Is this a monarchy, or an empire, or Is
It a city In the great Empire State which
we are all so proud to rule?
"Gentlemen, this custom which prevails
here makes it plain to you and me and
to everybody that government Is no long-
(Ooncludrd on Pse 4.)
CONTENTS TODAY'S PAPER
The Weather.
TEPTERDAVS Maximum tcmpratHrc. 35
I'R. rwlpHatlon. o.2 of an Inch.
TODAVS Rain or -now. Fresrh southeast
brcer-r.
Foreign.
Ruian hudct fttatement ho- cot of war
and bad effects of revolt. I'skc I.
leading men of Germany repudiate, enmity
to Iliitatn. l'ape 4.
Peaceful nd of Morocco conference pre
dicted. Pago 4.
Troops cnl out to capture Morales, race 3.
Nattosal.
Leaders of Houm- Jein in rhlHpplne tariff
debat. rase. 1.
Senate hlre Bacon's resolution on Mo
rocco. 5.
Heyburn rpeaks on control of corporations,
race 3.
Bowen suspected of. inspiring attack on
Canal Communion, rage
New Malheur irrigation project may be
adopted next year. Pag 2.
Two Annapolis nazrs found sullty. Page 4.
Politic.
Cleveland declares for publicity of campaign
expense?. Page 5.
Freak attain offlc through Xe-w Tork Mu
nicipal Otvncrjhlp uprising. Page 1.
Domestic.
WhoWale forgery of bond? by Prior, the
Cleveland rulrtdc. Pag 1.
Southern cottonplantera condemn ngro labor
and want Immigration. Page 3.
IWpet copper mlze in world on nr. Pag I.
Prosecuting Attorney of Boston condemns
Savings Banks Commuulonrr. Page I.
Fire at Norfolk. Va.. causes escape of pris
oner. Page 4.
Xew witness can prove charg against
Standard Oil Company. Page 5.
rnclflc Coat.
Supeet Orchard expected to make a confes
sion. Page 0.
Clark County OnmmislonTs dectared to
have power to grant right of way to
electric roads. Page C
St. Paul Road willing to "build part of Wash
ington State- highway. Page 0.
Canyon Clty-TIpton stage slides over a grade.
Page 6.
Mead machine belpj formed In Eastern
Washington. Page ti.
Insane logger at Wllkeson. Wash., kill his
mother and himself and wounds entire
family. Page 0.
Commercial and Marine.
Kngland In market for Oregon hops. Page IS.
Storm warnlnr" cause grain selling at San
Francisco. Page 13.
Argentine news gives wheat prices sharp up.
turn at Chicago. Page 13.
Steel trust will make extensive additions to
its plants. Page 13.
Union Pacific stock reaches new high level
Page 13.
Filling of East Side flats will commence
about February 3. Page 14.
Portland ud Vicinity.
Fear expressed of effect of proposed tax bill
If adopted. Page 1.
Gigantic power plant to utilize waters of
Feather River. Page 10.
Oregon Development League and State Tress
Association will hold Joint session.
Page 11.
Purposes of the railroad wars. Page 11.
Gaa Company will water Ita stock to conceal
magnitude of Its dividends, and reduce
rate to a dollar as a sop to the public.
Page 10.
Fire does damage to amount of f33.000.
Page 14.
Pokerplayers are fined. Page 10.
Status of the gaa situation. Page 14.
Patriotic Club gives anniversary banquet on
birthday of Alexander Hamilton, where.
eulogies are jroaoiced .on .the great
statesman and the late Judge Bellinger.
Tsge 13: '
LEADERS SPEAK
IN TARIFF DEBATE
Philippine Bill Causes Grosve
nor to Begin Crossfire
With Clark.
TAUNTS ABOUT INSURGENTS
Missourlnn Says Bill Can't Win
Without Votes of Democrats.
Williams Outlines Party Pol
icy on Tariff Revision.
WASHINGTON. Jan. 11. The Philippine
tariff debate In the House today consisted
more of party maneuvering; for advan
tageous campaign material than of dis
cussion of the question at Issue. Tho
tariff was the text of a speech by Gros.
vonor of Ohio, who began the debate, and
of an extended reply by Williams, the
minority leader. The speech of Grosvenor
was spiced with witticisms and enlivened
with Interruptions from Champ Clark, at
whom Grosvenor aimed most of his
arguments. Williams outlined the specific tariff doc
trine of the Democratic party and held
that the Republican tariff was not. as so
often claimed, responsible for the pros
perity of the country. To prove thi?. he
cited the prosperity of Canada. Mexico
and other countries at the present time,
and the business depression of these coun
tries during the hard times of 1593.
Adams of Wisconsin opposed the bill,
but advocated a readjustment of the tar
iff on business principles. McKlnley of
California delivered his first speech In the
House In favor of the measure and point
ed a finger of warning toward, the grow
ing industries of Japan.
The debate on the bill undoubtedly -will
close with the session of Saturday and
the measure be put on Us passage
Monday.
That there may be no interruption of
the debate, "pension day. which occurs
Friday, was displaced by unanimous con
sent until the day after the vote on the
pending- bill. .
Payne gae notice that unless unani
mous consent should later be given to
close general debate Saturday, he should
demand a vote on a motion to close de
bate when the House meets Monday.
I
'Grosvenor and Chump Clark Argue.
Grosvenor of Ohio took the floor In fa
vor of the bill. He reviewed the causes
of the Spanish War. and declared the
American people could not then shirk
thoir duty. No more can they now shirk
tho conseqaences of that war. Grosvenor
recounted the Influence of Mr. Bryan In
securing the ratification of the treaty of
peace.
"The spirit of Bryan," he said, "per
meate? the Democratic party as no Demo
crat has permeated- the spirit of that
party since the day of Andrew Jackson."
However. Grosvenor repudiated Demo
cratic votes for the pending bill.
He did not want such votes, especially
when they were given on the ground that
It was a step In the direction of free
trade.
"Let them ride In the- Jim Crow car.
and not in the flrst-clasa compartment
with me." ho said.
"What would be the chances of passing
this bill without our votes?" queried
Champ Clark.
"I think they would bo very good," re
plIM Grosvenor.
"If all the Democrats voted against It?"
"I think so."
"Well, you had better got down to ciph
ering on that gang over there who are
trying to defeat It." concluded Clark.
"Oh, I don't cipher." retorted Grosve
nor, who explained that ho believed his
colleagues who were to vote against the
bill would do so from an Impelling force
against their better judgment.
"Is not that Impelling- force the ma
chinery of the organization of this
House?" asked Clark.
"Oh, no." declared Grosvenor. "I said
tho.re who wcro to vote against the bill."
"The gentleman has got his impelling
force at the wrong end of the rope."
Quality or Manila Cigars.
Philippine tobacco was characterized as
"poor, miserable stuff by Grosvenor,
and. although his state ralsd tobacco,
he did not fear competition from the Phil
ippines, which would not sell In the Clru
cinnatl market for anything.
"Would the gentleman send a box of
the average Manila cigar? to a constitu
ent whose vote he wanted?" asked Long
worth of Ohio.
"Well, I don't smoke myself, but I
would not send them to my Interrogator,"
laughingly replied Grosvenor.
Reviewing- some of the things which
have been said against the Philippines In
the debate. Grosvenor said none of them
equaled the things said by Daniel.. Web
ster against the inhabitants of the 14
states and territories acquired by tug.
Louisiana Purchase.
"I believe," ' ho continued, 'the Philip
pine Islands will become one of the great
est jewels In the crown of American
achievement."
Protection and Prosperity.
Grosvenor declared his Intention of devoting-
the remainder of his remarks to
the Democratic wall for tariff revision.
Particularly did he want to reply to
Clark regarding- his quotation In a recent
speech from the book of James G. Blaine,
-which he had. said was a contradiction of
the Republican platform of ISM. that a
"Democratic tariff has always been fol
lowed by business adversity; a Republican
tariff by business prosperity." Clark's
quotation from Blaine, he contended, had
not included tho context, which was need
ed to make the - statement completes"
Grosvenor substantiated the remarks of
Senator Dolllver that Dlnglcy had yielded
to the Senate on te amount of differen
tial on sugar, leavlus It high that It might
be used In securing- reciprocity treaties
with Spain.
Massachusetts was the next subject of
Grosvenor's remarks. He went on to
show that, notwithstanding the cry for
free raw material, there was now In Mas
sachusetts a floodtlde of prosperity.
Bay State Brought "Up by Hand.
Sullivan of Massachusetts Interrupted to
mention a number of Iron and glass works
which he said had gone out of business
under the Dingley tariff.
There were plenty of these works which
had grown immensely wealthy under 'that
tariff along the Monongahela River, re
plied Grosvenor. Massachusetts, he said,
should remember the adage. "Never go
back on them that brought you up by
hand."
"What hand?" Interjected Williams.
"The hand of God and the Republican
party." was the quick reply. When the
laughter had quieted. Williams said:
"I want to recognize the unusual mag
nanimity of the gentleman In naming
God Just once as the senior member of
the firm." (Laughter.)
In answering the reference of Clark to
President Roosevelt's eulogy of Thomas
H. Benton for his fight to put salt on the
free list. Grosvenor claimed that Benton
was hitting only at alum salt. A general
colloquy followed, in which Clark and
other Democrats claimed that New Eng
land fishermen got a rebate on foreign
salt with which they cure their fish,
whereas the Western mcatpacker has to
use "protected" salt.
Williams Defines Principles.
Williams followed Grosvenor. Under the
pending bill he welcomed to the Demo
cratic party the Republican Orestes.
Payne: Its Ulysses. Grosvenor. and the
young Achilles, Dnlzell. Discussing our
presence in the Philippines, Williams ex
claimed: "Curse the hypocrisy of the fellow who
tells me that God put us In the Philip
pines. Nobody but a hypocrite would
say It. and nobody but a fool would be
lieve It. American greed. American cu
pidity for prestige and conquest and to
become a world-power went there," he
added.
Williams asserted that it did not need
a prophet to sec Hint the Republican par
ty -was not going to revise the tariff. The
Republican party. In Its present decadent
condition, has neither the brains nor the
courage to remedy the tariff, and that Is
the reason why you are going to have a
Democratic House of Representatives at
the next election." he said.
"Oh. -you standpatters." he- continued,
"with your absolute contempt for public
sentiment and absolute trust in the- com
mittee on rules and the committee on
ways and means and your little coterie
here In Washington you imagino that
there Is no outside world, but there is an
outside world, even in Massachusetts,
which the gentleman from Ohio said was
bought up by hand on the tariff there
was a bottle of pap given her early, and
all that she had to do was to suck."
How He Would Fix TarHf.
Asserting Ironically that he would show
that th Dingley tariff had produced record-breaking
prosperity In Canada. Mex
ico and the Argentine, as well as in the
United States, Williams reviewed ths
greatly increased production and com
merce of these coun tiles. The Democratic
-fth upon the tariff. AVilllams said. culd
be expressed In 'a few words:
"First, a tariff Is a tax: second. It is a
tax on the consumer: third, all tuxes
ought as nearly as possible to be equal in
proportion to the burden-bearing capacity
of the taxing power. The genuinely Ideal
Democratic tariff would put all sorts of
Imports Into three general classes neces
sities, comforts and luxuries. On neces
sities, a very low tariff would be levied:
perhaps some of the prime necessities of
life would be on the free list. Luxuries
diamonds, wines and the like would be
taxed to the smuggling point; upon com
forts, an Intermediate tax would be lev
ied. "It is necessary first to find .how much
money is necessary to run the Govern
ment honestly and economically, and levy
the tax to mcot that sum. Then you will
have this question settled right, and until
It Is settled right it will still tof agitated."
Just before Williams concluded, he
"poured out a thunder storm." as Gros
venor put it, In paralleling the panic of
1S0.1 in thlK country, which Republicans
had laid to free trade, to similar con
ditions in Canada and the countries of
Europe, all of which, ho said, must b
due to "anticipated Democratic victory in
the election of Mr. Cleveland."
Adams for Revision.
Scoring the Democratic tariff doctrine,
all of which, he said, was old and worn
out. Adams of Wisconsin followed Wil
liams. He said the Jcpubllcan3 of hlrt
state, while protectionists, bolievcd a re
vision and readjustment of existing tariff
conditions should be made at this tlmo.
As to the tariff ho declared it to be a
business question, and said he saw signs
or its being treated as such by both par
ties. McKInloy, a new member from Califor
nia, who was with the Taft expedition to
the Philippines, favored the bill. The only
criticism of American administration in
the Philippines that could be made, he
declared, was that we had gone ahead a
little faster than the people of tho inlands
were capable of golug.
McKlnley pictured Japan on the verge
of a general industrial career, and pre
dicted that her victories In trade would
be as astonishing as those on the battle
fields of Manchuria. All of her manufac
tories, ho said, were being equipped with
the latest American and European ma
chinery. However, only ono machine of a
kind is bought, the Japanese themselves
making others from these models at much
less cost than the original machine.
THREE MEN" ROASTED ALIVE
DEEP DOWX IX EARTH.
Tamarack Mine in Michigan, Deepest
in the World, Becomes an
Underground I'urnacc.
MILWAUKEE. Jan. 11. A special to the
Sentinel from Calumet. Mich., says:
The Tamarack copper mine, the deepest
in the world, is on fire, with three men
missing and almost certain to have met
death in a horrible form half to three
quarters of a mile below the earth's sur
face. Shaft No. 2. wljere the fire was discov
ered, has been sealed over at the surface
with heavy timbers tamped with clay,
and also shaft No. X It may become nec
essary to cool shaft No. 5 also to smother
the flames.
The mlno contains several hundred mil
lion feet of timber, largely pine, and
unless the access of air was cut oft by
hcrmetlcally sealing all openings, the
property would be damaged to the extent
of many millions.
FORGED BONDS
CAUSED SUICIDE
Prior Sought Death to Escape
Consequences of His
Great Crime.
ALL ASSETS WORTHLESS
Bankers Find Wholoalc Forgery of
Municipal Bonds Explains Cleve
land Tragedy Prior's
Threat to Creditors.
CLEVELAND. Jan. ll.-Thc bankers'
committee, which is investigating the af
fairs of the banking and brokerage firm
of Denison. Prior & Co.. which elosed its
doors following the suicide of L. W.
Prior on Tuesday, made the following
authorized statement lute this afternoon:
"The examination of the books of the
firm has not yet proceeded far enough
to make any complete statement possible.
Enough has been learned, however, to
warrant the committee in stating that
It iy forced to believe that the firm of
Denlson. Prior & Co. Is insolvent, but
to what extent we cannot say.
"We arc also convinced that u number
of municipal bonds have been forged."
Prior's Ominous Threat.
The fact that the firm had been using
spurious securities was made known sev
eral days before Prior committed . sui
cide. Those who had a right to demand
a statement of the facts from Prior made
the demand. To their surprise they were
refused point blank one word of infor
mation, and without a tremor, it is said.
Mr. Prior told them. If they persisted,
he would take the secret where no power
could wrest It from him. The dfecov
ery of the spurious securities was made
by Cleveland men lust week and was
promptly put before Mr. Prior Monday
when he returned from New York.
The only spurious bonds yet found are
among- the municipal issues, and thus
far they arc among the securities from
smaller Ohio cities.
AH Assets Have Vanished.
Among the former patrons of the firm
the belief is growing that practically th'i
whole list of available assets has disap
peared, and nothing will remulu of the
once flourishing- busintw ive the largo
debts due to the patrons. The equities
In the collateral loans, the seats owned at
the various stock exchanges and other
things may swell the assets somowhat,
but tho traders stand to suffer severs
losses, according to the present outlook.
Rockefeller Not Involved.
Frank Rockefeller, referring to reports
persistently circulated during the past
two days to the effect that he is one of
the heaviest creditors of Denlson, Prior
& Co., said today:
"For over a year I have not paid to or
received a dollar from the firm of Denl
son, Prior & Co. The various tco?ational
stories indicating that I am heavily in
volved with the firm arc absolutely with
out foundation."
BOSTON'S -JEROME ACTS
ASKS (.'OVEHXOrt TO REMOVE
SAVINGS BANK HOARD.
Mora n Holds Thrm Responsible for
Robbery of Depositors in Prov
ident Security Bank.
BOSTON. Jan. 11. As a result of an
Investigation today of the suspension, of
the Provident Security & Banking Com
pany, of this city. District Attorney John
B. Moran tonight sent a letter to Gov
ernor Guild, asking- that the Massachu
setts Savings Bank Commissioners b
removed from office. In his letter Mr.
Moran charges that the Commissioners
James Otis, of Maiden; Frederick 11.
Washburn, of Wellesloy Hills, and War
ren E. Locks, of Norwood, were "grossly
careless and willfully negligent." In con
nection with the affairs of the Providenco
company and other institutions.
Mr. Moran maintains that the Com
missioners had full power under the law
of 1S02 to inquire into the affairs of tho
company, and that, if they had done so.
they would have uncovered the condi
tion of affairs which has been revealed
by the suspension, and thus have pre
vented possible losses affecting- over
000 depositors, the majority of whom are
laborers and women and children.
RELATIONS BROKEN OFF
France Has No Diplomatic Dealings
With Venezuela.
.WASHINGTON. Jan! 11. Secretary Root
and M. Jusserand. the French Ambassa
dor, today discussed the Venezuelan sit
uation for half an hour with special ref
erence to the case of M. Talgny. tho
French Charge at Caracas, whom the
Venezuelan government persists In refus
ing to recognize.
All that can be gathered is that diplo
matic relations have been completely
broken off between France and Vene
zuela.
Pat Crowe Indicted Again.
COUNCIL BLUFFS, Jan. 11. Pat
Crowe was Indicted here today by the
Pottawottomie County grand jury for
alleged complicity In a street-car hold
up July 2. 133. when about $60 was
secured from two conduqtors and a
motorman.
4