urotngr
muumm.
VOL. XLVI.-NO. 14.4ol.
PORTLAND, OREGON, TUESDAY, APRIL, 2, 190T.
PRICE FITE CENTS.
Jtt
WILL SOON INDICT
ANOTHER
CROWD
Evidence Against Uni
ted Railroads.
GOMES FROM INSIDE COMPANY
Perkins' Ex-Manager Witness
Before Grand Jury.
RUEF TRIAL BEGINS TODAY
Appeal to Supreme Court for Release
From Bisncy'R Custody Super
visors Remove Another Rnef
Man at Henry's Dictation.
TAN FRANCISCO, April t.-(Special.)-A
np.w link has been added to the chain
of evidence which connects the United
Railroads with the local bribery deals.
It Is the most important link and comes
from a source within the company. The
grand Jury will soon return Indictments
In connection with this mammoth bribery
by which the sum of $450,000 was divided
anions Mayor Schmitz, Abe Ruef and the
Supervisors.
While no definite statement lias been
forthcoming as to the men slated for In
dictment, this much is certain the prose
cution will direct its tire to three branches
of the corporation. These branches are
the control, represented by Patrick Cal
houn, the president of the company;
the active management, represented by
Thorn well MullaMly, and the law depart
ment, at the head of which Is Tlrey T.
Ford. The next week will determine
where the blame is to be placed. It
may be distributed among all three
branches.
T'erkln.4, Ex-Manager, the Mark.
The grand jury today set up George
Jlatton, former political manager for
Penator Perkins and more recently on
the political stafT of the Southern Pacific,
for Its special mark. It was brought out.
that Hatton had been attorney for the
"Home Telephone Company before it
bought Its way into San Francisco. It
transpires that Congressman Julius Harm
was also attorney for tha company dur
ing the early stages of its light to enter
the San Francisco Held.
Ruef's Trial Begins Today.
When the trial of Abe Ruef on a charge
of extortion Is called tomorrow in Judge
Dunne's court, prosecution and defense
will alike answer "ready." The last of
the many postponements and interfer
ences which have caused the preliminaries
to drag out over several months, are at
an end, and the selection of the Jury
which is to try -the indicted boss will be
gin In the morning. Ruef and his at
torneys have fought to the bitter end in
their futile effort to avoid the trial,
which the boss so blithely announced at
the time of his indictment he would "de
mand at once." Henry Ach will take
charge of the questioning of veniremen
snd there will be additional counsel.
The prosecution, too, is ready. At the
consultation of its forces today. It was
determined that District Attorney Lang
don and Special Prosecutor Hiram John
son should conduct the trial. Mr. Heney
will stay, for the time being, with the
grand Jury work, but will take part In the
prosecution beforo the case has been con
cluded. It Is a matter of considerable conjec
ture among those actually engaged in
the rase how much time tlie trial will
consume, but the opinion lias been gen
erally expressed that it will. In all prob
ability take from two to three weeks to
select the Jury because of the anticipat
ed bias of the average venireman.
Gallagher and Native Sons.
When Supervisor Jim Gallagher, who
held tlie position of grand president of
the Native Sons last year, submitted his
annual report to the order, he concluded
with these words:
"I sincerely hope that in tho years to
come I may have the opportunity of ex
pressing by deeds as well as in words the
depth of my affection for my beloved
order."
It la stated that no action will be
taken by the Native Sons on the cases
of Ruef and Gallagher until the annual
convention, to be held In Napa at the
end of the month. The subject will come
up there for decision. A large element
favors expulsion from the order, but
others have advised that nothing be done
until all the evidence has been produced
In open court.
Big Stick Falls on Keane.
The Board of Supervisors under tho big
tick of the District Attorney's office
today dismissed George Kean, the clerk
of the board. Keane Is one of Ruef's
closest political friends. Keane im
mediately made his way to Ruef's prison
and broke the news. For 20 minutes Ruef
cursed the Supervisors, formerly his pup
Vets. Gallagher offered the resolution and
It waa voted for by all the Supervisors
present except Tvletmoe and O'Neill, the
last two members of the board appointed
bv Mavor delimits who have not been
Implicated In the charges of corruption.
After the resolution was adopted Gal
lagher announced he would have nothing
more to do with Ruef and that Kean waa
a Ruef man.
RCEF OBJKCTS TO HIS JAILER
Appeals to Supreme Court for Ad
mission to Bail.
SAN FRANCISCO, April 1. On the
eve of his trial on the charge of ex
tortion of I3S.000 from French restau
rant-keepers of this city, which Is to
be begun tomorrow morning before
Judge Dunne in the Superior Court, !
Abraham Ruef today asked the Supreme j
Court of California to free him from the
custody of Elisor Biggy and order him
into the charge of the Sheriff, whom
Judge Dunne disqualified on the ground
of personal interest. Ruef, by his at
torneys, Messrs. Shortrldge. Ach, Fair
all and Murphy, filed in the higher court
an application for a writ of habeas cor
pus so extensive in allegations, argu
ments and citations of authorities that
it occupies 21 typewritten pages and
embraces 62 subdivisions.
Long Tale of His Wrongs. .
Ruef seta up that his imprisonment, de
tention and curtailment of liberty by Eli
sor Biggry in the house. No. 2849 Fillmore
street, are illegal, that his case was In
court for four months prior to March 4
and that on that date being indisposed,
he concluded to visit the Trocadero, a
suburban resort, ajjd there recuperate,
believing on the advice of his counsel
that his presence in court waa not re-
Dowager Qtfecii Christina of Spain.
Rumors of Whose Illness Alarmed
MAPRTD. April L The reports
that Maria Christina, the Queen -mothcr.
waa seriously ill and that tha
last sacraments were about to be ad
ministered are without foundation.
Inquiry at the palace today elicited
the statement that the Illness of the
Quren-mother had been greatly ex-
.
quired, owing to an appeal taken by him
to the Supreme Court of the United
States by means of a writ of error grant
ed by Superior Judge Hebbard; that he
was there arrested without legal right;
that he has applied to Judge Dunne for
admittance to boil and been refused: that
he Is 42 years old. has lived In San Fran
cisco all his life, has been engaged in
the practice of law for 20 years and has
large business interests at stake; that he
Is constantly and minutely watched by
eight private guards and the court elisor,
all of them bearing firearms, all of them
employed by Rudolph Spreckcls, Francis
J. Heney and William J. Burns, and all
of them paid out of a private fund of
J100.000 raised and guaranteed by Mr.
Spreckels; that his Indictment by the
grand Jury was instigated and caused by
Messrs-. Spreckels. Heney and Burns; that
Mr. Spreckels, Mr. Heney and Judge
CONTENTS TODAY'S PAPER
The Weather.
YESTERDAY'S Maximum temperature, P5
decrees: minimum, 40.
TODAY'S--Showers; southerly winds.
Graft In San Francisco.
Grand jury has Inside evidence against
United Railroads. Page 1.
Gallagher leads in removal of another of
Rupfs men. Page 1.
Ruef's trial beglnB today. Page 1.
Ruef appeals to Supreme Court for release
from Biggy's custody and balL Page L.
Foreign.
Montagnlni documents show Clemenceau
willing to sell out and Roosevelt resist
ing Storer's intrigues. Page 8.
Nlcaraguans capture another Hondurlan
port, page 3.
National.
Roosevelt reaffirms former statements of
railroad policy. Page 1.
Letter from Roosevelt In favor of ship sub
sidy. Page 3.
Government to prosecute Hill roads for vio
lating 2S-hour law for stock. Page 8.
Politics.
Chicago winds up furious campaign. Page 3.
Results of Michigan election. Page 3
Doniestlc. Railroad employes yield on wage question,
but are Arm for nine hours. Page 2.
Struggle of Pittsburg millionaires to go to
Carnegie banquet. Page 1.
Hermann's defense begins. Page 4-
New movement to end Southern race prob
lem. Page 4.
Minnesota refuses to compromise on rail
road rates. Page 2.
Witnesses In Leopold trial expose sweatbox
methods of Chicago police. Page 4.
Commercial and Marine.
Potato speculators become anxious. Page 17.
Wheat firm on crop damage reports. Page 17.
Further gains made in stock market. Page
16.
Approach of fishing season causes shortage
of sailors at Astoria. Page 16.
Dr. F- Burgette Short will return April 21.
Tage 13.
Sports.
Good boxing matches at W. O. W. Club.
Page 13.
Ftecifie Coast.
Municipal ownership wins by big majority
in Eugene; other Oregon elections. Page
6.
Rancher-preacher in Crook County blown to
atoroa by dynamite. Page 6.
Filthy condition of Jackson County Poor
house shown by grand Jury's report.
Page 6.
Portland and "Vicinity.
K. C. Couch elected Mayor and A. M. Esson
Recorder of St. Johns. Pace 4.
Hill takes over Astoria Railroad. Page 5.
George L. Baker and J. F. Booths elected
to City Council. Page T.
Funeral of H. W. Goode will be held in
Chicago today. Page 12.
Portland preachers may form industrial
peace body. Page 12.
Girl known as "the white slave" arrested
for forgery. Page 10.
Women of Woodcraft dedicate temple. Page
W. C- Putter and O. W. Hosford will run for
Council. Page 18.
Portland electors to vote on about 20 chart
er amendments and ordinances at Juna
election. Page 7-
Roscoe H. James idles of self-inflicted
wound, rage 10.
DEEP WOE AMONG
PITTSBURG'S RICH j
t
Many Cannot Go to
Carnegie Banquet.
CONSTERNATION IS GREAT
Chairman of Interstate Board
Needs Courage.
MUST INCREASE ENEMIES
Can Only Invite 50 Out of 14,500
Anxious Ones Klect Will Form
Exclusive Set Frick Is
Among Outcasts.
PTTTSBURG. Pa.. April 1. (Special.)
There is consternation in tho ranks of
the get-rich-quick colony here, for it has
become known that not more than 50
Pittsburgers will be invited to the ban
quet to be tendered Mr. and Mrs. Andrew
Carnegie after the dedication of the $15,
000,000 Carnegie Institute next week.
Those honored with InvltaMons will here
after be' the social bona.
It has been announced that there will
be about 290 persons at the banquet, and
this will of course include the visiting
guests from points outside of Pittsburg
as well as from foreign parts. The
trustees of the institute, too, will be there
with their wives, and when all these have
been taken care of there will yet re
main places for about 50.
Will Form New "Upper Circle."
Chairman William X. Frew of the
board of trustees of the Carnegie In
stitute finds himself confronted with a
proposition which would make a less
brave man quail. He can and will make
50 friends, but it Is likely that In so
doing he will make at the lowest count
14,500 enemies, for, unless figures He, he
has already that many anxious ones
waiting for the word of invitation to the
banquet, which will br; beyond doubt the
most important In the history of the city.
Those who are fortunate enough to be
bidden to this feast will have something
to hand down to posterity. There are a
lot of the get-rich-quick millionaires here
who would give their right hands as well
as some of their brewery stock in order
to be on that list, for it is well known
that Immediately after that banquet those
of the local set who were Invited will
form an exclusive little band of their
own, one which will make the "Four
Hundred" of New York look like a tennis
club.
Frlck Will Not Be There.
Tt is understood here that one who
will not be at the banquet Is H. C.
Frick, who has always been considered
one of the leading: citizens of Pitts
burg. Inquiry this afternoon brought out
the fact that Mr. Frick would not be in
Pittsburg on that date. While this Is
perhaps true, it is also well known that
Mr. Frlck and Andrew Carnegie have
not been the best of friends in years
past and there Is little or no chance of
those running this banquet inviting Mr.
ROOSEVELT'S RAILROAD
POLICY
Will again ask Congress to deal
with question of overcapitalization.
"I most strenuously object to Gov
ernment ownership,"
"It Is out of the question for the
Government not to exercise a super
visory and regulatory right."
"The effort to prohibit all restraint I
of competition, whether reasonable
or unreasonable, is unwise.' Y
"I wish the Commission to have T
power to make a full and exhaustive I
examination of the rates and ex pen-
dltures of any railroad."
'When I say a square deal. I mean 1
a square deal, exactly as much a
square deal for the rich man as for
the poor man, but no -more."
"There has been comparatively lit
tle complaint of rates being too high.
The most serious complaints have
been of Improper discrimination."
T would like to have Government
supervision exercised In the matter
of overcapitalization."
"A panlo brought on by the spec
ulative folly of part of the business
community would hurt the whole
business community."
"The fortunes amassed through
corporate organization are so large
as to make it a necessity to give the
Government some effective power of
supervision over their corporate use."
"A system of examination of rail
road accounts should be provided
similar to that now conducted Into
National banks."
"Experience has shown the Impos
sibility of securing by the action of
State Legislatures anything but in
effective chaos in dealing with great
corporations."
"We must exercise far more com
plete control, that will prevent ex
cessive capitalization and compel dis
closure of stockholders, properties
and business."
"What we need is not to try to
prevent combination, but to secure
control of the combinations, so as to
prevent their Injuring the public or
existing In such form as to threaten
injury."
Frlck to break bread with Mr. Carnegie,
nor would there be any chance of Mr.
Frlck's accepting if Invited.
STORM INVADES HAVAN;
Drives Waves Into City and Police
Rescue Inhabitants.
HAVANA, April 1. A portion of this
city along the water front is inundated.
High waves are dashing over the sea
wall outside the harbor, and many streets
are flooded. The famous Prado Is a sheet
of water almost as far as the Central
Park.
Tbe police are rescuing people from
buildings of one story in boats. The fire
department boa deen called ou to Oedado,
where the Water is reported to be endan
gering lives.
BANKER SALMON GUILTY
Former Missouri Political Leader
Sentenced for Three Years.
WAJtSAW. Mo.. April L Major Harvey
W. Salmon, one of the owners of the
Salmon & Stelmon Bank, which failed at
Clinton, Mo., June 21, 1906, with liabilities
of Jl.000,000, was found guilty by a Jury
here tonight on the charge of grand lar
ceny, on the allegation that he received
deposits when he knew his bank to be in
a failing condition. His punishment was
fixed at three years in the penitentiary.
Major Salmon was formerly prominent
in the politics of his state.
Will Await Visit of Stork.
MADRID. April, 1. The condition of
Queen Victoria, who is expecting con
finement, precludes her participation in
public functions. It is announced that
the visit to Madrid of King Edward and
Queen Alexandra will be postponed until
the Autumn.
THE CAUSE OF MANY TRAGEDIES I
RAILROAD POLICY
CLEARLY DEFINED
Roosevelt Answers
nois Men.
REPEATS FORMER STATEMENTS
Will Again Propose Law
Against Watered Stock.
ALLOW ROADS TO COMBINE
Advocates Permission to Pool Under
Control of Commission Close
Examination of Their Accounts
and Vigorous Control.
WASHINGTON'. April 1. President
Roosevelt has decided not to accept the
Invitation of the Illinois Manufacturers
Association to deliver a speech at Spring
field. Illinois, on the railroad situation.
He addressed a letter yesterday to C. H.
Smith, president of the association, stat
ing that it would be impossible for him
to accent the invitation, extended last
week, because he did not feel that he had
anything to say at thlg time In a special
address on this special subject.
It can be stated on authority that the
President will again ask Congress at its
next session for power to deal with the
question of overcapitalization of railways.
A similar request was made at the last
session but favorable action was not
taken upon it. In his letter to Mr. Smith
the President enclosed copies of the
speech he made at Raleigh, N. C,
October 14, 1905, and the one he delivered
before the delegation of railway em
ployes in this city on November 14, 1905,
together with his last message to Con
gress at the beginning of the first and
second sessions of the last Congress.
These portions of his speeches and mes
sages which the President marked are as
follows:
Wants Control, Not Ownership.
In his address at Raleigh, the President
said:
"I do not believe In government owner
ship of anything which can with pro
priety be left In private hands and in par
ticular I Bhould. most strenuously object
to government ownership of railroads.
But I believe, with equal firmness, that
It is out of the question for the Govern
ment not to exercise a supervisory and
regulatory right over the railroads, for it is
vital to the well-being of the public that
they should be managed In ' a spirit of
fairness and Justice toward the public.
Actual experience has shown that it is
not possible to leave the railroads uncon
trolled. Government supervision Is needed
aulte as much In the interest of the big
shipper and of the railroad manager who
wants to do right as in the interest of the
small shipper and the consumer.
"Experience has shown that the pres
ent laws are defective and need amend
ment. The effort to prohibit all restraint
of competition, whether reasonable or
unreasonable. Is unwise. What we need
is to have some administrative body with
ample power to forbid combination that
is hurtful to the publfc and to prevent
favoritism to one individual at the ex
Dense of another. In other words, we
want an administrative body with the
power to secure fair and Just treatment
as among all shippers who use the rail
roadsand all shippers have a right to
use them.
Make Decisions Kffective.
"In my Judgment the most Important
thing to do is to give to thLs adminis
trative body power to make its findings
effective, and this can be done only by
giving it power, when complaint is made
of a given rate as being unjust or un
reasonable, if it finds the complaint
proper, then itself to fix a maximum
rate which it regards as Just and reason
able, this rate to go into effect practically
at once, that is, within a reasonable time,
and to stay in effect unless reversed by
the courts. I earnestly nope that we
shall see a law giving this power passed
by Congress.
"If there is in the minds of the Com-
. - " 7-
Richard Mansfield, tbe Actor, Seri
ously ill.
NSW YORK, April 1. Physicians
attending Richard Mansfield" today
held a conference and declared his
condition to be improved. The actor
Is yet a very sick man and full re
covery will be several weeks away.
mission any suspicion that a certain rail
road is in any shape or way giving re
bates or behaving improperly. I wish the
Commission to have power as a matter
of right, not as a matter of favor to make
a full and exhaustive examination of the
rates and expenditures of the railroad,
so that any evasion of the law may be
detected. This is not a revolutionary
proposal on my part, for I only wish the
same power given In reference to rail
roads that is now exercised as a matter
of course by the National Bank Exami
ners as regards National banks.
Means Square Deal for All.
"It must be understood, as a matter of
course, that, if this power Is granted it Is
to be exercised with wisdom and caution
and self-restriction. The Interstate Com
merce Commissioner or other Government
official who failed to protect a railroad
that was in the right against any clamor,
no matter how violent, on the part of the
public would be guilty of as gross a
wrong as If he corruptly rendered an Im
proper service to the railroad at the ex
pense of the public, further, when I say
a square deal, I mean a square deal; ex
actly as much a square deal for the
rich man as for the poor man, but no
more. Let each stand on his merits, re
ceive what is due him, and be judged ac
cording to his deserts."
In his address to railroad employes in
this city, November 14. 1906, the President
said :
"There has been comparatively little
complaint to me of the railroad rates be
ing as a whole too high. The most serious
complaints that have been made to .me
have been of improper discrimination In
railroad rates. For instance, In two re
cent cases affecting great corporations
the complaints that have been made to
me have been that they are too low as
regards certain big shippers; the com
plaint In both these cases is about the
differential, 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. I have
said again and again that I would re
move a public official who improperly
yielded to any public clamor against a
railroad, no matter how popular that
clamor might be, just as quickly as I
would remove a public official who ren
dered an improper service to the railroad
at the expense of the public. But I am
convinced that there must be an In
creased regulatory and supervisory power
exercised by the Government over the
railroads. Indeed, I would like it exer
cised tov 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
capitalization. I am convinced that the
wages fund would be larger if there
was no fictitious capital upon which divi
dends had to be paid. I need hardly say
that this does not mean hostility to
wealth.
Make Bad Railroad Men Good.
"All I want in any rate legislation Is to
give the Government an efficient super
visory power which shall be exercised as
scrupulously to prevent Injustice to the
railroads as to prevent their doing Injus
tice 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."
In his message to Congress, December
1, 1905, the President said:
"The people of this country continue to
enjoy great prosperity, and this ebb and
flow will be felt more or less by all mem
bers of the community, both by tbe de
serving and the undeserving. A panic
brought on by the speculative folly of
part of the business community would
hurt the whole business community. But
uch stoppage of welfare, though it might
(Concluded on Pace 4.)
INGENIOUS YANKEE
1ST
NOTHING
Finds Use for Worn-out
Shoe-uppers.
ROADS MAOE OF BAKED CLAY
New Ideas in Promoting and
Running Telephones.
SAVING ALL OF PINE TREE
Texas Sawmill With Distillery and
Paper Mill Attached Factory
Recovers From Ruin by Small
Economies Plows in S. A.
BY FREDERIC J. HASKIN.
WASHINGTON, March 27. t Special
Correspondence.) Not all the Ingenuity
of American business men js manifested
in the formation of trusts. Tbe little
fellows are still doing: business, despite
the encroachments of the millionaire
corporations. Individual ingenuity is
every day finding- some new business,
some new method or some new savings
by which the wealth of the Nation is
increased.
Americans buy and throw away 250,
000,000 pairs of shoes each year. In
tho great majority of instances only
the soles of these are worn out. What
becomes of the uppers? Junk dealer
buy them sometimes, but it is only
within the last few months that prepa
rations have- been made on a large
scale to save the leather thrown away
In wornout shoes. A plant in New
York now takes the old footwear,
grinds It into powder, mixes it with
40 per cent rubber and rolls it under
enormous pressure Into sheets of reno
vated leather, which may be turned into
pocketbooks, leather ornaments or any
of a thousand leather novelties on the
market-
Maklnjr Roads In Gumbo Land.
In the "gumbo" country of Mississip
pi the road queptlon Is one of the great
est problems the planter has to deal
with. Better roads are absolutely nec
essary, but how are they to be made?
There is not rock or stone or gravel
within many miles, either above or be
low the ground nothing but clay and
mud. The United States Government
has been conducting some successful
experiments in that section which may
solve the problem. The road is cov
ered with cprdwood of a kind fit for
burning. This wood Is overlaid with
a few inches of clay which is to be had
in abundance upon all sides. Little
flues are left through the rlay and then
tho fuel is set on fire. When it has
burned out, the clay has hardened into
one great brick, as wide as the road
and as long as may be. This brick is
not hard, but it will wear off slowly
and will not get muddy. A mile of
such road can be built for about $140J.
Telephone Clearlnp-House.
In the Middle West, where the rural
telephone has reached Its highest de
velopment and where the telepnone
companies havo multiplied as the sands
of the sea. tho problem of distributing
the pro rata fee for long distance mes
sages among- the several companies be
came most complex, iast year a tele
phone clearing-house was organized In
Iowa and It proved such a success that
It has been copied in two or three
neighboring states. The clearing-house
takes charge of the money paid in for
long-distance messages going over the
lines of more than one company and
makes the settlements. This clearing
house also issues "mileage books,"
which are receivable by any telephone
company In the state for long-distance
messages, the scheme being exactly the
same as that of Interchangeable mile
age books on railroads.
Baby Cries Over Telephone.
Speaking of telephones calls to mind
the Ingenious story told by a telephone
solicitor, who went into a neighborhood
with the determination to convert all the
housewives to its use. When all other
arguments failed he told what a boon
the wonderful talking wire was to young
mothers.
"It Is by all odds the most indispensable
household article ever invented." said the
versatile agent, as he warmed to his sub
ject. "It even dispenses with the need of
a nurse for the baby. When the farmer's
wife wants to run over the way to gossip
with her neighbor, she puts the baby to
sleep, drops .the receiver into the cradle
and tells "Central" about It. When
'"Central" hears the baby cry. she
promptly rings up the mother, who
hastens home to look after her little one."
I think the reader will agree that any
agent who can put up a line of argu
ment like that is wasting his substance
by remaining in the telephone business.
He ought to join forces with Lawson la
boosting coppers or go to the assistance
of Harrlman in juggling railway stocks.
Using Waste of Sawmills
Citrus growers of Southern California
have been perplexed by two great prob
lemscar shortage and box shortage. It
has been most difficult to get tbe wood
shooks of which, orange boxes are made,
the wood getting scarcer and more cost
ly all the time. Now comes a Californlan
with an .Idea for permanent relief. He Is
making a box of pulp which requires but
one-fourth as much lumber, and the wood
may be supplied in the form of chips, or
even sawdust, if necessary. The pulp
box Is lighter, saving 700 pounds of
(Concluded on Pass 2.)
t