PRICE FIVE CENTS. PORTLAND, OREGON, WEDNESDAY, JANUARY 30, 1907. VOL. XL VI XO. 14.398- CHECKS INVASION OF GREAT DOMAIN How Harriman Holds Down Pacific Coast. GQiWK WITH HIS RIMS Independent Roads Sn Oregon Are Bought Out. ALLH WITH SftNTA f E ""Joint Ownership Prevent Competi tion in Xortliera and Southern California Sclmerln Boasts of His Independence. EANT FRANCISCO. Jan. Interstate Commissioner Kranklln TC. Lane today commenced the investigation in this city of the relations between the Southern Pacific, the Union Pacific and the Santa Fp Railroads and the result of these re lations, with & view to determining in what particular, if any. these' roads have violated tne interstate commerce laws. It developed early in the hearing that the Southern and Union Pacific roads. ' which are now one, ana the Santa Fe have entered Into an alliance and. be tween them control the rail transporta tion of the Pacific Coast south of Ore gon. C. A. Severance, special counsel for the Government, conducted the exam ination of the witnesses, the railroads eing represented by Peter F. Dunne and R. 3. Lovett, of New York, who were coached at crucial moments by J. C. . Etubbs. ' traffic director of the Southern Pacific. A. H. Payson, vice-president of the Santa Fe. and John b. Spreckels gave Interesting testimony." Blocks Competition In" Oregon. ' Mr. Ppreckels testified to the purchase by President Harriman for J1.30O.O0O of the Coos Bay & Coqnille Valley Railroad Company! the Coos. Bay, Roseburg & Eastern Railway & Navigation Company: some coal properties and a cteaj-n&hlp line. They cost J. D. Spreckels Bro. Company $1,000,000. . Mr. Sfpreckels said that James B. Smith, president of the "Western Fuel Company, conducted the negotiations for ihe pur chase of these properties from the Spreckels company for E. H. Harriman. Collis P. Huntington had negotiated for the properties. The negotiations with Mr. Smith extended over a period ,of six months. Mr. Spreckels having the sus- . plcion all along that the Southern ' Pa cific was buying through Smith The operation of the road was profit' able. Spreckels said, but the properties as a whole involved a lass, as the steamers were not profitably operated, R. S. Lovett, Mr. Harrlman's lawyer, cross-examined Mr. Spreckels, bringing out the fact that the Southern Pacific- had never competed either for freight or passengers with the. Spreckels road and steamers. But Mr. Lane brought out the fact that no railroad except the Southern Pacinq endeavored to buy the properties and Mr. Severance made Mr. Spreckels admit that there would have been com petition if the sale bad -not been made. as the Southern Pacific Intended to build . a new road if It did not acquire the Spreckels properties. Wanted Outlet to Tidewater. 7ou foflleveoV Jlr, Bprertals as a&ked. "that what the Southern Pacific was after was the coal property and the steamship line? "No," was the reply, vtmt the Southern Pacific wanted an outlet for the wheat traffic from the R-oseburg region to tide water and Portland. "Were any roads competing with the Southern Pacific for the purchase of your road or surveying for another similar road?" asked Mr. Lane "Not that I know of, although I heard reports to the eHect that the Rock Island was looking that way." . Alliance With Santa. FV. Under the questioning of Mr. Severanr.9 Captain Payson disclosed the methods by -which the Santa F and the Southern : Pacific bad jointly formed ttie Northwest- em raclflo Hallway Company, each hold- Ins hall of the capital stock of 535.000.000. Captain Payson admitted that the South - ern Pacific and the Santa Fe have Joint OMer? hip of, the Fotmp stocKyards; tM a Southern Pacific line from "Mojave to XeedJea is leased by the Santa Fe. and that a small road leaultns out of Bakers- field was Tmtlt Jointly Toy tti$ Southern Pacific and the Santa Fe and is operated al terna t el y by the two road s - Captain Payson stated that the Santa Fe acquired the Fort Bragg & South eastern Railroad, running from Albion 25 miles south, intending to make It the nucleus of a .road tapping the lum ber country and running Into San Francisco. This was to be a through line from Humboldt Bay to this city. The Areata road would have been part of this line and the Fort Bragg a feeder to it. Buys Out Northern Competition. Captain Payson testified that the Northwestern Pacific proposes to build lines to connect the California North western, of the Southern Pacific with the, San Francisco Northwestern, the name I given to the lumber railroads of the San ta Fe In the North. In other words, the Santa Fe i to have a line from Willltts to Eureka, bo that the Southern Pacific and the Santa Fe jointly are to iiave a line from Eureka to San Francisco. A contract has been made between 'the two companies by whiah te&cb is to 'havs a majority in the board of - directors every s-'iternate year, thus dividing the control. This contract -will be produced as evi dence; It . is now in ICew York. This is the most important fact orouarrit out by the examination this morning. It ' t.hows that the Santa Fe abandoned its Intention of building & through line from this city to Eureka when it found ' that an arrangement could be made with- the Southern Pacific for' the use of Us road from Willttts to Ti&uron. -- .Joint liine Over Tehachl plt Captain Paywn stated tlutV.the Mt from Bakersifleld to Mojave over Tehachl- p). owned by tT.e Southern. .Taoiflc - Is used Jointly by. the Southern Pacific and tn Santa Fe. The Santa Fe pays a rental and the coats of operation 'and nxa.Intena.nco are divided bet-ween jtfae two companies. :- Cross-esaminatM ot captain rayWn by Mr. rovett for Mr. Harriman, brought out the fart that the Santa F"o holdings In the North are rwhollr within- California. THIS indicates trie line o.tne railroad ie- fense. It is to be that the combination between the two big 'companies does not mm unrtfr the regulations of Interstate) commerce, Jir. Bevcran'w out that -when they ar connected witiv tne tranaoontinental lines they will ensase In Interstate commerce. : ' - v. - - Independent Mr. Schrcertn. The afternoon session -was given en tirely to - the examination of R. F- Rchwerin. vice-president and general manager of the Pacific Steamship Com pany. Mr. Bchwerin. in reply to a question as to how the company's bus iness was divided between the South ern Pacific and the -Santa,-Fe,said: "When one. ship comes in. we give all of her "cargo to the Southern Pacific. When the next one comes In we glv all of her cargo to the Santa Fe. This has been the' pfac'tlcefor 'the "past ' six months. Of course it is an arbitrary practice,, but we may alter it as we 8ee fit. Wa give ,the . Santa1. Fe an ount as- nearly- as- possible- propor tionate to" the amount of freight they ive us for shipment to the Orient. The Southern Pacific will never Interfere with any ship under my management. Then Mr. - Stubbs looks upon you as a ranit outsider,-' observed sever ance. - ' Absolutely, to my great regret." Mr. Sehwerin then gave some more details of his arrangements with the two railroads. "At one time I threatened to turn over all freight to the Santa Fe." said Mr. Sehwerin. "If the Southern Paclnc did not give us better car service." Did that bring- any. remonstrance from the owners of any of the stock "It did not." After testifying as to the routing of freight after it was landed, which Mr. Sehwerin said, was entirely In the hands or the two railroads, an ad journment, was taken until tomorrow, H1GGINS BECOMES WORSE poctor and Friends Hurriedly Sum moned to Bedside.. OLE AN, N.'T., Jan. 30. It is believed ex-Governor Higgins has taken a turn for the worse. The doctor was hur riedly summoned at , 2 o'clock this morning. N. V. Franchot, State Superintendent of Public Works in the Higgins ad ministration, and F. L. Rartlett, a close friend of the Governor.. have Joined the lamuy at tne Hlfrgtns homestead. WWt!.!gw J y ay .V-saiettreaMr-: SEATTLE WILL GET M IL ON FOR Scheme Whereby Fii nd Can Be Raised. : STATE WILL SELL SHORE LANDS Property Valued at $2,00a- OOO.to Be Placed on Market. -j PLAN PLEASES THE SENATE Proposition Submitted by George Piper 3Xeets Approval After Wi 1 -" eon" and Other Seattle Boos- " . ters Had Been Turned Down. - OLiYMPlA, Wash.,- Jan.,; 29. (Spe clal.) Senator George Piper evolved a plan, which the insurgent majority, of the Senate unanimously approved, which, Insures the "Alaska-Yukon Ex position a $1.000, .100 appropriation.: The Faulhamus Investigating committee re ported on the Railroad Commission, recommending that Commissioner Me Mlllln repay the state six months', sal ary, and criticising the. loan of a. com mission clerk to the Governor and the loan of commission stamps to the Tax Commission, and the joint railroad committee voted . not to adopt the. re port until at a special session of the whole Legislature tomorrow afternoon Commissioners Falrchlld and Lawrence report what the commission . has done and expects to 'do if continued. Jerry Startup, Democrat, .lost, his contest for the seat of Representative George Me Coy, of Lewis County, before the House committee. These, are some of the chief features of this most busy day in the Legislature. ' -Piper's Plan' to Raise Million. Wher John L.- Wilson and other Seai tie- boosters.-'university -regents -and -ex position' managers failed most-- lament bly In their efforts for the '.$1,(XMWI ' ap propriatron.: it remained for 'George Piper to-work Out a scheme that 1 universally '. approved. Today lie submitted his plan to the Senate Insurgent, who really have been ' the power .which has blocked 'the impropriation In the past. The state owns. the shore lands of Lakes Washington . and Union at' Seattle. Un der-Mr.. Piper's plan a certain portion of these lands are to be sold at once.' It la estimated that.' as all these lands lie con tiguous to the exposition grounds, it will be. possible" at this time to secure ' easily J2.O00.0O0 from the sale. The, proceeds to the extent of $1,000,000 are to . go ;into , a special fund. : From this fund Piper's bill I provides " an .appropriation of $wo,O0O for new buildings for . the university, which j w-s v at CKtos cc the crrr park showtsg the c." .'."..'' .'.'.....' ...."..V'.'W.'.V.'.V.'A-'.'.'.'.Vi'.'.'.'V." "...'! i ti. -1 ' .". O W-Wf .V.V. "tf.r. ,v. V i iVi ' ' ..... ..'....'..'...'..'.. ..'. "..' ' or : '. flPA A -",'. .Y 4. a X T .' .w V .' fl may be used temporarily by the exposi tion.'-and 5400,000 for the exposition. This plan relieves the entire state from any special tax levy and .won. enthusi astic Indorsements. Special hurry orders have been given for the printing of the bills, and within. a .few days it is ex pected .they - will pass tooth houses and- be signed by the Governor. . - . ' . . Give Credit to Piper. ' J." E-' C hi 1 berpr. president of the eipo- eltlon.f who "is here tonight., said: "Senator, Piper's (wK.;was. the most important of that of any man in his delegation, and was-only successful "be cause of the active assistance of the ma- jority of the Fierce County delegation. Senator 'Piper is entitled to the credit of originating the Idea, of selling the shore lands for the purpose of providing 'money George J. Gould, .Who Has-Made r. Peace -With Harriman. . with which to pay the appropriation." Senator Faulhamus was the first man consulted and at . once gave the plan his hearty support. He-was 1 largely respon slble for bringing the matter before the insurgents. He gives full credit to Piper for the bill. Worked AYhtle Others Take Day Off. Senator Piper says be had" the plan under way for weeks, - working it out in his own mind. He was here working out the details Saturday, when the Legis lature went 'to Seattle, and was sharply criticised for not going there by ' those who did not know he was doing much more important work here. The bills were drawn on.-Piper's . data, by Judge Thomas Burke of Seattle, and approved by Federal Judge C. H. Hanford.. . Senator Ruth says the plan Is an assured success and will be a big thing for the state. yRuth- points out thtt the KtfS3?vn7iB: - will pe .thrown en the sales will result 1n sreatly- enhanced price being realized, so much greater than "trje usual semi-private sales would bring, that the state will be ahead even counting out the y,000. Territory Law Decide Cont& The Startup-McCoy- contest case j?wss heard before the 1 House committee. -on privileges and elections. W. E. Harmon appeared for McCoy, and M. A. Lang borne for Startup, both being from Che halls. .. Harmon, contended that. In the absence of any other law, the old territorial eon' test acts should govern procedure in this (Concluded on Paire 4. (fat '-.. 1 writeaoe in the yicfnity of tub ...... . v COHITOR IS PUT TO SLEEP Harriman Settles :Quar- -rehWith Gould. GRANTS HIM TRAFFIC RIGHTS Prevents Buildine of Western Pacific to Coast. OUTLET ; TO - TIDEWATER Gould Taken Into Community of In. tcrest lender Arrangement to Give His' System - Access to Both -. Atlantic and Pacific. .': PITTSBURG.;' Pa., Jan."' 29.-Persistent rumors have been In circulation that ar rangements have practically been made to admit'the Goulds Into the community of interests. It Is declared that .E. H Harriman has- brought ' this about and that, as. a result, the -Wabash will be given an outlet to Cumberland for Its tidewater line, the Western Maryland either, over the Pittsburg & Lake Erie and the BaJtlmore & Ohio or entirely over the latter system. ; Deal With Western. Pacific. It is said that the concession made by Harriman to George J. Gould with re- Epect to the Western Pacific is the open ing wedge of this new plan to prevent the Goulds from doing any more railroad building In Western Pennsylvania. Some days ago an arrangement was effected between Harriman and the Goulds in the West, under the terms of which Gould will find It unnecessary to build a large portion of ths Western Pacific through the very costly section of the Rocky Mountains and that the Western Pacific trains will be given a traffio Tight over the 6outhern Pacific system. Englneerg Recalled From Fields This concession on the part of Harrl man to restore the friendly relation for merly enjoyed by the two railroad mag nates .'is - regarded -'among -railroad -men and financiers aB.very significant at this Jlme. It is . a fact also that the Gould Interests have withdrawn all their engi neers from the j Western Pennsylvania field and they.- have Intimated that the men would not be needed at any time in the future. ' Further indication of the Improved re lations of the Goulds and the community of interest railroads was furnished during-the latter part of last week, when Colonel J. M. Sehoonmaker. vice-president and general manager of the Pitts fik an "coming or the white - mjr btati v" burg & Lake Erie, and B. A. Worthing- ton, vice-president and general manager' of the Wabash lines east of Toledo, made a Joint inspection of the Vanderbtlt sys tem as far as New Haven. CONTENTS TODAY'S PAPER i Tbe Weather. YEJST "CROAT'S Maximum tmoratur. 6 desrrees; minimum. 32 deftieea TODAT'fl Occasional rain; southeast wind. foreign. IrtsTi audlrTire howU down play which slan ders Irish, character. Fac 2- RuMtan (overnnunt doctors election news. rage s. , Strang precaution of Russian" Governor against. Msansin. Fag 4. Recovrinr bodies from -wrecked mine at baarDruecKen. -fe a. National. fT.ettenlnm wttMrawi letter to Davis, tut Jamaica demands nut recall. FSRft 4. use - resolve to continue free seed die trlbution. Page 3. OIHve-r secures partners for canal contract. Senator Mul key ' In Washington discuasea . Bristol -citt- page 4-Wlli-y - enllgh-tena Congress on eold-tormgi food. Pag" 2. Sa1 lecture! Seftate fflf MlBf too much Face 3. - - FoUtAee. Witness for Senator Bailey confesses Sh jurj Page 2. v Rbode Island. .Pace 3. Ha?kln writes on Baptist Church. Pa 1. Million-dollar flr? at Philadelphia. Pag I Two Jurors exrueed In Thaw case, two new ones secured. Page 4. HarWman'a methods to kill competition on 'Pacific -Coast expnsen. Page 1. Gould makes pear with Harriman and will not complete- western' r-acinc. rag- l. Elahty-men- killed by explosion In West Virginia mine. Fag 3. Increase in Chicago epidemic ca,ues panic among- officiale.- Far 2. Clerk in Census-Bureati . excused of murder ins whole family. Page 2. Oregon legislature. Sichel's Insuranca bill meeta with oppoal tion. Pagre 6. Bill to tax mortgages comes to light. Page tate Printer to be put on fiat "alary oX JoftOO. Pag 6. Lobbyists, gather to fight Portland Board of i raae s water coae. rage e. Princely sum named in general appropria tion bill. Pago 6. Franchise grabs fostered by Houss bills regulating electric wires. Page 7. Malarkey's enemies plot to defeat paving trust oiii. page 7- Newell's bill against pool veiling fails In Houb. Page 4. Oraft In junketing committee cut off. Page 0. Joint committee on railroads holds last public session-. Page 7. Pacific Coast. Schema to raise fl.OOO.OAo for Seattle fair meets approval of Legislature. Page 1- Threats made against life of Chester Thompson. Page 5. Cattle and eheep perishing by the hundred in loano storm, page o. Idaho's proposed moral code for elections IB stringent. Page 5- State Land Agent West reports on land frauds -, recommends many changes in laws. Page 5. ' Commercial and tarlne. (irocery prices have upward tendency. Page Wheat market flrni on foreign crop news. " Page 15. Wool strongly held at Boston. Page 15. Xes liquidation In stock market. Page 15. Portland and Vicinity. Toung - Chicago millionaire, the Palmer brothers, visit Portland. Page 11. Federal ' authorities have strong evidence against men arrested for Sell wood post- office robbery. Page lo. Storm abates and damage to wires Is being repa t red . Page l o. Committee of Anti-Saloon League defends paui rtaaer. page io. City Park is heavily damaged by sleet. Page 10. East Sid Improvement "Club favors exten sion or nre limits, page y. A,VeV(MsWl; : W W e. PEOPLE RULE IN BAPTIST CHURCH Most Democratic of Denominations. FOUGHT FOR FREE CONSCIENCE Adherentfi of Reliamus dnd Pa- litical Liberty. TESTED BY PERSECUTION Early --Baptists True to Popular Canse Eren When Tetl by I ntol- erant Stranger Customs ol Dunkers and HardshelLs. BT FREDERIC J. HASKIV. "WASHINGTON. Jan. 24. (Special cor respondence.) A matter of jrreat pride to the Baptists is the influence that the simple democratic tenets of their faith Is believed to have had upon the Con stitution of the tTnlted States. Thomas Jefferson went often to the JItUe Bap tist meeting-house near ' Monticello and,' It is said, became deeply interested, in the services there. Dolly Madison !s quoted as having heard Jefferson assert that he considered the Baptist method of church government to be the most ex emplary form of true democracy In ex istence, and many of his ideas afterward embodied in the Constitution were de rived from that source. This Is not all the Baptists did In shaping- the destinies of the struggling colonies. The first person to adx'ocata the calling of a provincial congress In New Jersey was a Baptist named John Houghton. It Is said that Virginia's adoption of he Constitution was due to the action of the Reverend John Leland. a Baptist minister. At first Mr. Leland was an ardent antl-Federalfst. but later he became convinced of the falaity of his position, withdrew from the contest ,. and threw his Influence toward his Fed era.list opponent, James Madison, who cast the deciding vote for Virginia.' Religious Liberty la Constitution. ' Ivater the same Mr. Leland. repretent tng the United Baptist churches of Vir ginia, called the attention of the coun try to the faot that the religious right of the people were not protected by the Constitution. Washington took immedi ate action and through James Madison an amendment was offered In the House of Representatives to guard the religious freedom of the Nation henceforth by this protective clause: "Congress shall make no law respecting the establishment of religion, or prohibiting the free exerdse thereof." The Baptists were also foremost tn fighting for the liberty of the colonies. At the outbreak of the Revolution they "were about S000 strong. "Honest John" Hart, member of the Continental Con- gress of 1774 and signer of the Declaration of Independence, led a company of Bap tists in the Continental Army with threat credit to himself and his followers. Seven of the 21 Known chaplains of the Revo lution were Baptlstis. If poor. persecuted Roger "Wllliame could leave his grave and come back to 'life, -what satisfaction he. would derive from a day'a atudy of the Baptist church as it exists in the United States) to-d-ay. Ho would, doubtless return to hia long; slumber with a rwtful sigh, knowing that . every Indignity he suffered, every Insult. he bore, every privation he endured, waa In reality a foundation stone-- for the great church of today. . He would forget the humiliating trial before the stern Puritans of Boston, the long Winter's Journey through Indian camps and -untried wilderness to the shores of Narra gansett Bay. and the hardships that at tended the founding of his colony where religious freedom was guaranteed to all who would come, ."whether Christian. Jew, Mohammedan or Heathen," Church Has No Head. "Present-day conditions would be -comforting to independent Anne Hutchinson, too, could she come back and see the thonaands of women . now unmolefited in the good work for which she was condemned over 250 years ago. It will be remembered that the charge brought against good Anne by the f&there of -the dtftrn church govornmeat wu '-traducing the mlnlstery." , i The Baptist sect Is rather unique In that there is no recognized temporal head to this church, aa in most others. The pastor Is the head of each local church, and there Is no government save that found 1 n each separate as sembly. For purposes - of missionary work most of the churches belong to "associations." It is on account of this distinction that its adherents declare it is the most democratic church in the world. They recognize no founder ei- cept. Christ. They 6ay that they have had leaders, but none of them ever stood to the Baptist Church In the re lation of Luther to the Lutherans. Cal vin to the Presbyterians, or "Wesley to the Methodists. They believe that immersian. the?ir distinctive point of doctrine, (was given them by the Lord when he was bap tized by John In the river Jordan. The name Baptist was . first given to the sect In England during- the time of the Commonwealth. The .early European Baptists were sorely tried by fire and sword, bat that they thrived upon per secution Is shown by the old records, which say that during the time of the greatest opposition one minister alone Concluded on iajje 8X