THE'3IORMStt OBKGOMAN, TUESDAY, MARCH 26. 1907.
POWER
nr MftTinM I
ur muiim
OVER RAILROADS
Sweeping Decision : by Judge
, Speer Upholds Employers'
j Liability Law.
SAME ON LAND AS ON SEA
Direct Conflict Bel ween Federal
Courts on Constitutional Point.
Power of Congress to Control
Commerce Is Absolute.
MACON. Ga.. March Si. United States
Juflare Emery Speer today in a decision
In tho Vase of Tucy Snead. administratrix,
against the Central of Georgia Railway
Company, upheld the constitutionality of
The employers liability act passed by the
last Congress. This decision is opposed
to those of United States Judge Evans at
Louisville, and Judge MeCall at Memphis,
who declare the act repugnant to the
Constitution of th United States
Judge Speer declared that to command,
to prohibit and to protect men engaged in
ti;e handling: of commerce, whether in
terstate or foreign, i within the domain
nr National legislation. Congress having
the right to control commerce on the high
Sean, as established by the courts repeat
edly, it follows that it has the right to
control the transportation of the name
commerce on. land.
The creation of the Interstate Commerce
Commission, the enactments against ar
bitrary and discriminatory .ratps. the
adoption of the anti-trust law forbidding
combinations in restraint of trade, held
directly applicable to railroads even
t hough chartered by sta tes; the law de
nouncing rebates and forbidding passes in
interstate traffic are quoted as illustra
tions of the power of Congress to control
such matters.
The decision points out that no Injury
ytn result to corporations or to any useful
vr valuable power of the state by this
National legislation. The act is no depri
vation to the corporations of due process
of law. Their cases are triable in courts
preseribd by the Constitution. The act
does not deprive the plaintiff of pover
t sue in the state courts, if he prefers.
KXAPP OX TIAILKOAD CONTROL.
(onimrrte Chief Sas National Ac
tion Must Replace State.
CHICAGO. March 2ii. A dispatch to the
Tribune trom Washington says: Martin
A. Knapp. chairman of the Interstate
Commerce Commission, in an interview
yesterday, discussed the causes of Wall
street distress, the evils existing in rail
road management, and the remedies
therefor, and expressed the opinion that
the states have exceeded their const itur
tional rights in some of the anti-railroad
legislation they have passed.
"There are two prominent aspects of
the present railroad situation, the physi
cal and the financial." Mr. Knnn said in
answer to a question.
"In the first place, its causes certainly
are not found in any Federal legislation
enacted or proposed, or in the attitude
w intentions of the President. Possibly
there is an underlying reason for the
present Wali street flurry, which has not
torn perceived clearly. """'
"Now, our marvelous prosperity has in
duced such an extension of activity as
has led to unprecedented investment
plans, with the result that over and above
t he capital necessary to conduct the busi
ness for which these plans are created
we lack a surplus for their enlargement.
Consequently when the railroads go Into
the market to get the vast sums needed
for tlHt increase of transportation facili
ties which the country imperatively de
mands, they find nctive. capital so profit
ably employed that they cannot get
money for increasing the machinery of
production without paying rates of inter
est which would be a handicap in the fu
ture if not actually prohibitive. Some
rhing of that sort is the cause of the. in
many instances, disinclination to exten
sion by the roads and is. more potent than
generally is taken into account.
"In the second place, one of the inci
dents of unusual prosperity is the stim
ulus it gives u advancing prices, which
often reach abnormal and unwarrantable
lc vote.
"In other words the boom in business
works out with actual values so naturally
a:id properly that when a check comes
there us a strong tendency for quotations
to fall down to the average level which
represents true valuation. While, of course,
the venturesome and speculative get hard
hit when such a setback comes, still it
may be that a setback now and then is in
the interest of the country in the long
run."
Mr. Knapp was aker concerning the
efiect of the disclosures, of rottenness in
cotDoratc. including railroad, combina
tion.". "It goes without saying." he said, "that
the disclosures of discreditable operations
are followed by public resentment which
often visits its retaliation on the inno-.-eut
as well as the guilty. Richt here I
think we should take into account the un
doubted fact that the public; conscience
lias been aroused from its long lethargy
and has become sensitive, highly sensitive,
to the moral character of conduct which
in other times would have been regarded
with , indifference. As there can be -no
sreat Rood without some misfortune, so
thf sharp awakening brings its unpleas
ant consequences. Uut after all. it Indi
cates a marked and encouraging eleva
tion in the standard of public and private
morals.
"To my mind the most serious and diffi
cult phase of the situation, and the great
est menace to the needed development of
our railroad systems is the hostile atti
tude of tii states. Serious trouble is
likHy to arise unless by some means tol
erably harmonious action as between
Kedera; and state authorities can be
brought about.
"Manifestly such control as the states
may continue to exercise must be subor
dinated to tl-jat larger control which be
longs to the Federal Government. For
this reason T have long believed that ac
tual control by the National Government,
under well considered and workable laws,
a control which satisfies the demands of
interstate commerce, will tend strongly
to restrain the legislative activities of
srups within proper limitations. If Fed
eral authority is feeble and easily evaded,
attempts constantly will be made to reme
dy defects by state laws, often ill consid
ered and drastic."
Mr. Knapp was asked to state explicit
ly exactly what remedy he had in mind.
"The reincorporation of our railroads
under an act of Congress." he said, "or
some plan of Federal requirement such as
has been proposed, although it would not
limit the actual power of the states, nev
ertheless, as a practical matter, would
have a potent influence in preventing im
proper legislation by the spates, and bring
state laws into harmony with National
laws. Moreover. I am inclined to antici
pate such adjudication by our Supreme
court as cases arise in the future as will
by the principles announced and the
authority upheld, greatly restrict the
practical field of state control."
RUEF'S EXPERT - OPINION
fContinud "Prom First Pag0
witnesses from Los Anpeles to arrive in
the city. Xo indictments were returned
during the one session that was held,
and only two witnesses were examined.
These were Samuel Jacoby. fiscal asent
for the Independent Telephone Company,
which operates in the Northwest, and
James P. Adams, of the Adams-Philips
Company, of. Is Angeles, bankers and
brokers, who handled Home Telephone
securities. , . ,
The subpnenaeing of Jacoby. accord-
OMTHE 115
Stocks Take Another Fall and
Can't Recover
DEPRESSION IN METALS
Sudden Fall in Copper Attributed to
m
Breaking of Corner Hill and
Barriman Stocks Are Among
Leaders In the Decline.
NEW YORK. March 25. Prices in
stocks broke wildly again today soon
after the beginning of operations on the
Stock Exchange. The opening dealings
showed a momentary stand against the
forces of depression. . which was helped
by a more cheerful tone of foreign ad-
ican securities have been induced to sell
there upon the report that President
Roosevelt intends taking steps towards
nationalising the railroads, or, at least,
enacting legislation that may curtail the
roads' earning -capacities.
"For the same reason some German
holders of American securities have been
selling m London. Then, of course, there
are great demands for money from all
points, but I have every confidence in
the ability of the market to bridge the
difficulties.. One thing is certain,, there
is no panic and there is no danger of a
panic in London."
Recovering in London and Berlin.
LON'DOX. March 25. In spite of a fur
ther fall in prices at New York Satur
day, the Stock Kxahange here today
opened much calmer than - during the
closing hours of last week. Americans
opened at about parity and all-around
Improvement developed, the features be
ing Union Pacific, which rose. 2H. and
Canadian Pacific, which rose nearly 4
points.
BKRLTX. March 25. The 'tone or the
Bourse today was calm in comparison
wtth the excitement of Saturday. Banks
and industrials recovered part of the
heavy loss tiley had sustained. Prices,
however, are still far from strong.
PARIS. March 25. Prices on the Bourse
today were heavy, owing to advices from
New York.
not enough to go 'round. Look at that
one."
Here he indicated a man well past SO
years, who was carrying a lot of tele
grams and a delivery sheet.
There is a regular war being waged be
tween the telegraph companies and the
messenger service" bureaus. The tele
graph company local managers are held
down to Eastern schedules., which run
from W.50 to J5.50 a week. The local mes
senger bureau pays from " to JS a week
for boys. The age or the height of the
boy has little to do with his worth. It
is "the way he knows the town and can
get over it on the cars or a wheel. No
conscript agent gets a cent for any boy
he brings in who does not fill the require
ments of. the bureau service. ,
"For that reason." it was explained,
"our boys have to know something abovit
the new" boy they bring in. and the only
nay they can learn that is to watch him
work. The telegraph companies really
do us a considerable service, for, their
work being gentle compared to our own.
they teach the boys the trade and make
them ready for the harder work, of our
bureau. The telegraph messenger has
only telegrams to deliver, and ninety-nine
out of one hundred of these are straight
errands to familiar addresses. I.ocal mes
sengers on the contrary, carry every
thing, from blllets-deux to sacks of pota
toes. They have to escort old ladies
home in bad weather, to help them on and
ofr cars, and they have to almost fight
for umbrellas they are sent out to get
when storms come up suddenly. We re
quire a boy with 'go' in him and we pay
r ..... z
:"
I HOME OF THU FHiVRKS IX THE SAX FRANCIM'O GRAFT INVESTIGATION. J
I
i ReaJ
ins; from if t to right are Henry Ach, Ruefs attorney; Abe Ruer. the hvlieted boss of San Francisco; William J. Blggy, the elisor, who has Jtuef in custody;
and Judge Dunne, befcre whom Ruef is on trial. 1
injej to a statement made hy Assistant
District Attorney Heney. at the close of
the strand jury session, has nothing- to
do with bribery. He merely testified that
his company was anxious to ; bid on a
telephone franchise and would have bid
the price up .had it known that one was
to be advertiWd. His company was un
der theimpression that the earthquake
and fire"had led to an Indefinite post
ponement of the proposed bidding.
OWN YOUR OWN HOME
, Rose Qty Pa
(?f.K I-AGE 11.)
SCHMITZ ASKS SPEEDY TRIAL
Accuses Prosecution of Intentional
Delay Will Xot Confess.
SAN FRAN'CISOO. March 2o. "I.
have repeatedly asked for a speedy
trial for an immediate trial and the
prosecution has just as often refused
it," said Mayor Schmitz in an interview
with the Associated Press today.
"I waived all technicalities many
weeks ago. I wanted to be tried at
once. I am willing to be tried by
Judge Dunne, although I believe he is
prejudiced against me; or I am willing
to be tried before any Judge in this
county, or any Judge that the prose
cution may wish to bring In from any
other county. I personally went be
fore the presiding Judge and asked
that my. case be assigned to some
Judge who could try me at once. Judge
Dunne has refused to proceed with my
trial until Ruefs 'trial is over. That
will bring it just about the time of
the primaries In August. Indictments
against me were returned fie months
ago. I was ready to go on trial before
I went to Washington. I answered
ready' when my' case was called a
week ago. but the prosecution again
postponed it for three weeks."
When told that District Attorney
Langdon said it was true the Mayor
had asked for a speedy trial, but that
his action meant delay, the Mayor vir
tually declared that the District At
torney went outside of the truth in
making such a statement, and eeferred
to the court record, which, he said,
showed who was delaying the trial.
The Mayor again branded the report
thnt he-had offered to confess as an
"outrageous, malicious lie."
"I shall remain in office until the
end of my term." concluded Mayor
Schmitz. "and I will run for ornce as
long as the people want me, and as
long as 1 can serve them."
KXTOHTIOX TRIAL POSTPONED
Rnef and Dinan Ready, but Hcuey
and Burns Too Busy.
SAN FRANCISCO. March 25. Abramah
nnef and Chief of Police Dinan were in
Judge Dunne's court this morning on the
indictments charging conspiracy and ex
tortion. They were to have entered their
pleas to the indictment, but Mr. Heney
and Mr. Burns being busy on the work of
the grand jury, the cases were postponed
for one week by consent of both sides.
The prosecution views the action of the
defense in withdrawing from the United
States Supreme Court the application for
a writ of error as a final laying down of
arms against the prosecution of Ruef on
the extortion charges before Superior
Judge Dunne. That is to say. the de
fense, according to the view of the prosecution.-
now expects to go forward with
the trial, to avoid which Ruefs attorneys
have bent all their efforts and expended
all their resources. On this point Frank
Murphy., one of Ruefs attorneys, said to
day: ,
"We have instructed our representative
in Washington to withdraw the writ of
error filed by us. This decision was
reached on account of the decision of the
State Supreme Court to the effect that
the participation of an Incompetent juror
does not Affect the validity of an indict,
ment. We will proceed without further
delay with the trial of Abrahahi Ruef."
Confession Admitted.
CHICAGO. March 25. Judge Ball to
day ruled in the trial of Howard Nich
olas and Leonard Leopold, accused" of
the murder of Mrs. Margaret Leslie,
the actress, that the confession made
by Nicholas to the police should be
admitted as evidence.
Cathartic or purgative pills do more
harm than good. Carter's Little Liver
Pills do only good, but a large amount
of mat. Only une pill a dose
vices this "morning. Quotations received
from London at the time of the opening
here showed some wide rebounds from
the New York closing level of Saturday,
and they had a sympathetic effect on
prices here. The. scattered gains here
were not up to the London parity, how
ever, and there were many ragged de
clines. Almost immediately prices gave way.
and quickly succeeding quotations showed
some damaging breaches in values. Amal
gamated Copper, Reading. Steel, Harri
man and Hill stocks were special suffer
ers, and the collapsing tendency in these
stocks communicated itself to the whole
market. The wide intervals of the de
cline between sales marked the urgency (
of the selling. Sharp rebounds from lower
levels succeeded the decline, but the rise
varied from 1 to 5 points In most of the
active stocks.
Great Decline in Copper.
The selling at the opening was of
such a general character as to defy
analysis. Much of it was undoubtedly
long stock to be thrown over, while as
much or more was represented by bear
operations. The improved tone of the
London market was not wholly accept
ed. Primarily, the .weakness of the cop
per stocks was attributed to the heavy
drop in sheet copperj in London. A sharp
decline in tin was also reported from that
center.
Assurances of the absence of serious
trouble among the members were given
by Stock Exchange officials. At the lead
ing banks no news bearing upon the mar
ket situation was obtainable. London
bought in the early trading'here some 40.
WO share?, it was said. Investment buy
ing also helped to rally the market before
the end of the first hour. Call money
opened at 6 per cent, and was loaned
at 9 per cent at noon.
The market quieted after the first hour
and showed resistance to a new decline.
The dealings became very, dull at the
higher levels. The sources of the heavy
soiling which broke the market were ob
scure. Metal markets in London were
weak and this seemed to cause unload
ing of the metal stocks here. Foreign
houses reported that London was a lib
eral buyer of stocks In this market, and
J-ondon reported that Berlin bought
American stocks in that market today.
Flood of Stocks Sold.
The unchecked liquidation in the metal
and industrial stocks brought a fresh
flood upon the market from all quarters,
and the 'tone again became demoralized.
Smelting broke Amalgamated Copper
P-8. Union Pacific. Reading and Great
Northern preferred. 7. The deluge of
stocks which poured into the market was
unexplained. Disorder in the London met
al market was given responsibility for
unloading of the metal stocks. In several
of which stock market pools were believed
to be caught with large holdings on their
hands.
The slump- in London copper gave rise
to rumors of the breaking down of an
attempted corner in the copper market,
t :ommission-house brokers- reported they
were in receipt of orders in almost un
limited amount to sell stocks at any price.
Meantime the absorptive powers of the
market seemed to be entirely exhausted
and prices were slaughtered In the pro
cess. Berlin rabies reported much bet
ter feeling, but expressed fears as to the
outcome here. The most experienced stu
dent of condition seem unable to offer
any logical or satisfactory reasons for
the demoralized state of this market. '
Market Closes Weak.
Call money loaned at 15 per cent short
ly after 2 o'rlock. Extensive covering to
take profits by the bears rallied the mar
ket in the final hour. When this buying
ceased, prices slipped back again in some
cases to a lower level than . before, and
the market became very weak again.
ROTHSCHILD FEARS SO PAXIC
Says German Holders of American
Stocks Are Selling
LONDON. . March 25. "There Is abso
lutely no danger," was the reply of Lord
Rothschild when questioned today by the
Associated Press in regard-to the fears
that the Stock Exchange settlement would
result in trouble. "There may be a few
small failures." Lord Rothschild said,
"but the reports that a big financial
house is In difficulty or that serious
troubles are anticipated, are mere in
ventions. The London holders of Amer-
KILLS WOMAN HE LOVED
Peter Clark Performs Last Act in
Church and Social Scandal.
SPRTXGFIELD. III.. March 25. Peter
Clark today on an Interurban car run
ning between Girard and Virden, shot and
probably fatally wounded Mrs. Mollie
Gibson, the divorced wife of Klmer Gib
son. He surrendered.
Mrs. Gibson was brought to her par
ents home in Giard and died there
this evening- in room adjoining that
in which her mother lies ill with can
cer. Clark was smuggled to Carlin
vllle on a baggage car and taken
through bock streets to the jail. He
had nothing- to say. The Coroner's
jury tonight recommended that he be
held without bail.
Clark .had but a few days ago re
turned to Girard. To the city marshal,
Dan Rennie, last night Clark said:
"Toil might just as well take .me to
jail, for 1 will be there tomorrow."
He had made threats at Uie office
of Dr. Hill that he was "going to kill
Ollie." '
Mrs. Gibson was murdered as she
was reading a letter which she had
written to her husbaand asking a rec
onciliation. Clark and Mrs. Gibson
were excommunicated from " the First
Presbyterian Church of Girard after
the scandal.
to get him. Such boys do not come to
our service voluntarily, as they prefer
the kindergarten work in the telesrraph
otfice. By ihe time our conscript agent
gets to him, 'though, and tells him about
the extra $3 a week and tips, he gets interested."
What the Press Agents Say
BOY -WORKERS' SCARCITY
Bounties Paid for Tbem by City
Messenger Agencies.
. Kansas City Journal.
So serious is the messenger boy famine
in Kansas City that bounties are being
paid for them. "We pay." said the pro
prietor of a messenger office '?2 apiece
for likely lads. This bounty is paid to
our own boys. They keep their eyes ac
tive for messengers. When they see one
working for a rival company or for the
telegraph companies or the retail stores,
they wheel alongside of him and generally
bring him in. We pay the newcomer
higher wages than he gets where he has
been working and we give our conscript
agent S2 for getting the boy. I do not
know where all the boys have gone. 1
think they quit being born from twelve
to fifteen years ago. Anyway, there are
TIIK BAKER S SUCCESSFUL PLAY
"As a Man Sows" Proves a General
Favorite.
The new play "As a Man Sow?." which
the Baiter Theater, has on this werk. is
proving a general favorite with ail classes
of patrons and is much liked. It is an Eng
lish piay but contains more dramatic feat
ures than the general run of British produc
tions. The company members are all hap
pily cast and are doing splendid work.
A Cowboy's Girl" J I ease All.
The Empire audiences "are simply going
wild over "A Cowboy's Girl," for the whole
show is one of the kind that appeals to the
hart, the imagination, the spirit or th
Westerner. The wonderfully thrilling, cli
max in which the girl saves her sweet
heart's aiiiter through a deft rifle shot takes
the house by storm.
COMING ATTKACTIOXS.
Advance Seat Sale Opens at Hcilig
Theater for The Tenderfoot.
This morning at lo o'clock, at the box
office of the Heiliff Theater. Fourteenth and
Washington streets, the advance seat sale
will open for the tuneful musical-comedy
success. "The Tenderfoot." which comes
next Thursday, Friday and Saturday nights.
March 29, 30, with a special matinee
Saturday. Oscar L. Figman. Ruth White and
an excellent supporting company are pre
senting the merry offering.
"Cymbelinc" and 'JuIius Caesar.'
Next Sunday " night. March 31. th emi
nent tragedian and actor. Charles R Han-
ford, supported by Marie Drofnah and a
capaoie supporting company, will present
Shakespeare's great play. "Oymbeline." at
the Hellig Theater- Monday niirht. Anril i.
"Juliua Caesar." This will afford lovers of
the classic drama an excellent ' opportunity
of seeing two of the immortal bard's great-
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