Morning Oregonian. (Portland, Or.) 1861-1937, April 17, 1907, SECOND EDITION, Image 1

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    4:00 A. 1)1
VOL,. XLVI.-NO. 14,464.
Portland Jobbers Inter
vene in Case.
Eastern Washington Men Are
Placed in Tight Box.
Victory in Present Case Means That
City May Be Forced to Relin
quish Favors Now Grant
ed to Shippers. ,
Supplemental petition In Interven
tion fllfyl by Coast jobbers may lead
to complete revision of rates to Coast
from Eastern terminals and back to
Portland .cores point In weourins' ad
mission from Commissioner ProirtT
that he Is satisfied as to the effect of
water competition on rates from East
to Coast terminal..
f&pokane will have Inning today and
will dispute portion of testimony
offered by expert witnesses.
Hearing will probably be conchldfcd
Consternation was aroused in the
Spokane camp yesterday in the ter
minal rate hearing before Commission
er Prouty, when an amended and sup
plemental petition In intervention was
filed by J. N. Teal, attorney for Port
land Jobbing Interests, which appear
as Intervenors In the action. The peti
tion prays for a radical readjustment
of all rates from the Coast centers to
the Interior, In the event the rate
westward to Spokane Is changed, and
alleges the present charges by the
' Norlhwestcrn railroads are exorbitant
and unjust.
8pokane attorneys were on their feet
In a moment and objected to the pres
entation of such a document at this
stage of the caso. It was a case of
fighting the devil with ore, for up to
now Spokane has been the out-and-out
champion of the consumer and
against the mercenary Jobber. In
standing against a sweeping reduction
of freight rates throughout the North
west, Spokane comes out as the Job
bers' champion, and shows that lower
rates, unless they will benefit her own
merchants by discrimination, are not
Commissioner Prouty feared that the
petition would Introduce a new Issue
Into the hearing, and preferred not to
go Into a general rate revision at this
time. At the same time, he allowed
the petition to be filed with the de
fendants, who are three transconti
nental railroads entering Spokane.
Two Foes to Fight.
These unhappy transportation lines
now have two foes to fight. Joining
hands with them In opposing the Spo
kane terminal rates are the Jobbers of
Portland and the other Coast centers.
But should Spokane win her case, then
the former allies of the railroads will
turn against them and fight for reduc
tions eastward as well as westward.
The supplemental petition In inter
vention is signed by Colonel H. D.
Loveland. president of the Pacific Coast
Jobbers' and Manufacturers' Associa
tion, and Kdmond.C Giltner, acting for
the Portland Chamber of Commerce. It
recites that any Investigation of rates
at Spokane necessarily involves the
country lying between Spokane and
Portland, as well as territory tributary
to other Pacific Coast cities. The peti
tion states that present eastbound rates
from the Pacific Coast centers to the
Interior are unjustly high and unrea
sonable. As instances of this actual
figures are given, and it is shown that
rates from the Coast to Spokane and
other interior points are from 3. to
115 per cent higher on a per-ton-mlle
basis than are westbound rates under
substantially similar conditions from
the Missouri River points to Spokane
and common Washington cities.
Unjust Discrimination Charged.
The petition charges unjust discrim
ination in violation of the act of Con
gress of February 11, 1887, to regulate
commerce, and asks that the present
rates be annulled and just tariffs sub
in support of this petition J. If. T-ial.
. who Introduced it. said in part:
"So far from the Coast cities being
pampered pets of the transportation com
panies, I assert the contrary la true.
From the earliest days, the policy of the
transcontinental railroads has been to
build up traffic and cities in the Inte
rior, for by so doing they create and en
courage a business at rates f re. from
natural competition.
"I further assert that this process of
gradually cutting off the territory of
Coast Jobbing points reached its culmi
nation in the creation of the 'Spokane
Eonc.1 Here we find a wealthy and popu
lous community, with Spokane as its
center, surrounded by a wall of tariffs
that thoroughly protect Spokane Jobbers,
regardless of the consumer. Railroad
faop can extend no further, No other
city on the lines of the defendant roads
has thus been favorad.
"We are as willing as Spokane to have
the existing rates tested by any rule or
any law but we do object to having any
ruling made that will not comprehend and
adjust all rates and interests affected.
Communities and vast business interests
that represent the toll and savings o
years are not to be brushed aside, particu
larly when it la shown by the records of
this Commission that the complaining
city has been growing by leaps and
bounds and Its business expanding to an
extent almost without parallel.
'Ordinarily. It Is not the rate per se
that is the cause of complaint, but the
differential. "We do not claim there
should be a readjustment of rates, but
we do claim that any readjustment must
bear some relation to the whole traffic
and to all the traffic, intrastate as well
as interstate. Of what benefit would be
a lowering of the through class rates
from the Bast If the result would prevent
lower distributive rates throughout the
Coast or other states on both Intrastate
and Interstate traffic?
Vest Wants Protection.
"The great interests of the West are
looking for protection Through this Com-
Captain of Polios Stover. Whose
Face Was Cut While Overpowering
"Pink Domino' Burglar.
mission as well as are the jobbers of
the East and those of the Interior.
"We on the Coast claim that the tariffs
already in evidence, and the testimony
we shall present will show beyond ques
tion that the rates needing revision and
reduction are the distributive rates from
Coast . points rather than the carload
rates on merchandise to the Coast or in
terior from the East.
"The Interest of the -great mass of the
people of this Coast is to get their pro
ducts to market, east or west, as cheaply
as possible, not primarily to get Eastern
goods into the hands of the interior
Jobbers at a lower rate. The interest of
the great mass of people oi mis t.oasi
is to set what they consume to them as
cheaply as possible, through low distribu
tive rates from their natural tjoasi mar
ket and thus share in the benefits of rates
made .oossible by God s highway, . wnicn
no nation owns arid 'no corporation can
Mr. Teal arraigned the present rates to
the interior and said they are the Highest,
with perhaps a single exception, in tne
United States for similar service. He
said they are absolutely-indefensible.
Commissioner Prouty Speaks.
Commissioner Prouty said he did not
see how the question could be passed
UDon at this hearing.
"You may put in the rates from the
roast to the interior and you may put in
your evidence of water competition, that
is what we came out here to listen to.
said he. I do not think you should in
troduce the unreasonableness of the
Coast rate to the interior."
"1 do not see how we can avoid con
siderine the rate to the Interior," said
Attorney Seth Mann, who appears for the
Coast Jobbers, 16 per cent of tne trainc
moving West comes under the combina
tion rate to the Coast and back to the
"Do you expect the Commission to hold
that the rate to the Coast and back Is
too high and hold that the same rate to
Spokane only Is not too high?" demanded
Commissioner Prouty.
Summer Suits In Winter.
W. W. Cotton took a hand in the dis
cussion, "if intervention is made in
the rate to Spokane because we are
making too much money," he said, "the
reduction should be spread out for the
benefit of all. In other words, if patches
are to be cut out of our coat for the
benefit of some favored ones, would it
not be better if all should share in the
reduction and that we be made to wear
a Summer suit all Winter. We should
be allowed to introduce other evidence
in this case if the petition of Interven
tion Is admitted.
W. A. Mears was the star witness for
the Portland Jobbers. He was called
early yesterday afternoon. In reply
to questions by Mr. Teal, he said the
present plan of distribution of goods
from Portland to the interior is as old
as the first settlement of the city,
when there- were do railroads and the
interior uraa Served by boats and
teams. He said traffic by boats to this
coast from the East is largely on the
increase. He said the railways favor
the interior points and that Portland
receives no discrimination from them
her a-eographlcai position does not
The witness bounded Portland's dis
tributlvo territory today, showing it
has been circumscribed somewhat with
the favorltsm. shown fcpokane and in
terlor points. At present, Mr. Mears
Indicated the California line on the
south, half way to Tacoma on -the
north, the state line to the east and up
the O. R. N. to Snake River on the
"Have there been efforts by the rail
roads to build up any particular cities
in this territory by favorable rate mak
ing?" Mr. Teal asked.
Spokane and Boise Favored.
Yes. the most- -notorious - Instances
are Spokane and Boise." was the an
swer. "What has been the tendency of
rates from Portland to the interior?"
"I know "of no advance on trans
continental interior rates west but I
do know of -a- number - of raises on
t s -w-afc wv, X
(Concluded on Pars 11
Terror of City at Last
Landed in Jail.
Gives Name Frank Davis and
Is Only 19 Years Old.
Police Believe He Is Man Who At
tacked Mrs Rountree and
Among Others Robbed Sher
lock Home and Henry Hahn.
Frank Da via aged 19 years, the notori
ous "pln'x domino" burglar, who has cre
ated a reign of terror in Portland for two
months, was captured In his room at the
Cosmos house, Third and Morrison
streets, at 2 o'clock this morning by Cap
tain of Police Blover, Headquarters De
tective Hellyer and Tom Hammersley, for
merly a member of the police force, but
now proprietor of the house in which the
prisoner was taken.
Davis was trapped in his room Just as
he was entering It. and when confronted
by -the three officers drew a -revolver and
would have fired, but bJs hand was stayed
and the weapon wrested from him. He
was handcuffed, but in desperation
reached toward his hip pocket and
whipped out a second revolver, which
was taken from him. With two pairs of
handcuffs on him, the prisoner tried to get
a third weapon Into play, but was defeat
ed in bis plans and was unable to in
jure any one, as he evidently wished to.
Clubbed Into Submission.
Davis, not yet willing to surrender, put
up one of the most desperate fights In the
history of the police department. He
smashed Captain Stover's glasses, cut
ting the officer's nose, and made such a
struggle for liberty that it was neces
sary for the policemen to club him Into
submission before he would submit to
go to headquarters.
The police have no hesitation in brand
ing Davis, the youthful prisoner, as the
celebrated "pink domino" burglar, and
they declare that evidence Is at hand
to prove that he Is the man who, on
March- 2S, entered the home of N. "W.
Rountree, 60 Ella street, and eo brutally
beat and choked Mrs. Nellie Rountree,
after she gave him her valu
able diamonds, to save herself from
bodily harm at his hands. A reward of
$1000 Is out for his arrest, that sum
having been posted by Mr. Rountree.
Davis Is also declared by the police to
be the man who has continued to ter
rorize the residents of the Nob Hill dis
trict as no other burglar has for years
I .T7TT i
"succeeded In doing, and they declare him
to be the. person, who -visited the home of
P. C. Patterson, 771 Everett street, April
2. at which time E. C. Giltner fired sev
eral shots at him.-
Long 1,1st of Sensational Crimes.
' Another sensational crime charged
against him was the daring' robbery of
Henry Hahn, at the latter1 s residence at
the head of Lovejoy street, two. weeks
ago, when Mr. Hahn, after submitting to
the affair, turned his weapon upon the I
highwayman and emptied the contents
at the fleeing criminal.
Numerous crimes, the complete num
ber and particulars as yet unknown,
are counted against the youth, but the
latest and most sensational of the en
tire series was the binding, gagging
and robbing of J. Z. Dufresne in the
Ex-Senator W. IS. Chandler, Who
Defends President From Charge
That He Was Influenced by
Campaign Contributions.
latter1 s apartment in Moore's photo
graph gallery at an early hour yes
terday ' morning; " He tied the victim
hand and foot with strings, quickly
manufactured from lace curtains,
which he tore from the windows. He
escaped from a cordon of police by a
hair's breadth.
Stolen Goods In His Room.
Davis Is also the man, it is declared
by the police, who entered the home
of William Sherlock, Twenty-third and
Washington streets, the night of April
S, and who was confronted by Miss
Sherlock at the door of her room, and
frightened away by her piercing
screams. The . intruder in that in
stance wore the pink domino mask.
Numerous small crimes In the burglary
line are said to Vie at Davis' door.. He
had Jewelry from- a Front-street store
that was burglarized several nights ago,
and a watch that is evidently stolen prop
erty. The revolvers are thought to be
stolen ' property also. ' There were two
rifles in his room that were taken from
the Portland Hardware Store recently.
Police Effect Clever Capture.
Davis was captured through the clever
detective instinct of Tom Hammersley,
formerly a patrolman on the police force
and last year chief of The Oaks police.
He kept watch on the youth, -w-ho had
rooms at the Cosmos, of which Hammers
ley is proprietor. Hammersley called at
police headquarters yesterday and con
tided his suspicions to the police. The
(Concluded on Page 4.)
by Harriman.
Unlimited Capital Will Fight
Graft Prosecutor.
Southern Pacific Joins Hands With
Bribing Corporations in San
Francisco Governor's Ax Sus
pended Over Wilson's Head.
SAN FRANCISCO, April 16. (Special.)
A conspiracy which puts Into the shade
the $5,000,000 affair that recently aroused
the inmates of the White House has
evolved from the graft proceedings in
San Francisco, and, like the conspiracy
in Washington, It has Its headquarters In
Washington. Moreover, one of the lead
ers of the $5,000,000 conspiracy Is one of
the chief actors in this latest plot.
In short, the big corporations, which
have sighted the specter of Indictment,
have banded together against the common
foe. Combined, they represent one of the
most powerful forces that America has
known, and they are prepared to expend
a large share of the unlimited capital they
control. The United Railroads, an $80,
000,000 corporation; the Pacific States Tele
phone & Telegraph Company, the Home
Telephone Company, and lastly the
Southern Pacific Company, have Joined
hands to fight down the graft prosecution.
Money Will Fight Law.
The plot was hatched shortly after the
arrival here of Patrick Calhoun, president
of the United Railroads, with his attor
ney, P. D. Atterbury. Mr. Atterbury has
left for New York, and he will manage
the defense from that point until his chief
Is brought to court It is to be one of
the most stupendous legal battles the
country has known, and all that money
ana influence can do will be employed to
mscreait, intimidate and block Francis J.
Heney and his co-workers.
"Your leading citizens are your
worst enemies," said Lincoln Steffens,
the well-known writer on civic de
gradation and reform, in addressing
the students at Stanford University
yesterday, and the people of San Fran
cisco have begun to think that there
was some truth in this statement.
Heney Is After Harriman.
The head and front of the plot are
reputed to be Patrick Calhoun and E.
H. Harriman. It is no secret that
above all others It is the desire of
Mr. Heney to direct the Are of the
prosecution against Calhoun and the
men .who occupy the' seats of the
mighty in the councils of the Southern
Pacific. Harrlman's representative on
the Pacific, W. F. Herrln, Is one of the
chief objects of Mr. Heney's investi
gation. Mr. Herrln has always refused
to come into the open and even now,
with public attention centered upon
him. he remains in the background.
In a remarkable interview given out
Just before he left for New York, Mr.
Atterbury, the United Railroads at
torney, tipped off his hand.
Atterbury Shows Ills Hand.
"This prosecution," he said, "is one
of the most amazing things I have ever
beheld. It is un-American and uncon
stltu. onaL You are - exceeding the
constitutional limits in these proceed
ings. It is no longer prosecution. It
is persecution. Your people are
prejudiced. There Is evidently no
chance here for a corporation to secure
fair play." , .
The utterances of Mr. Atterbury were
almost Identical with those of Ruef. It
was . regarded . here as most significant
that ' the representatives of the United
Railroads should show such a hostile
spirit toward the prosecution before any
Tom Hammersley. Who Unearthed
the "Pink Domino" Burglar.
one connected with the corporation had
been Indicted.
-. Gillett ' Holds Ax in Reserve.
Governor Gillett dropped Into town to
day from - Sacramento to be here for the
merchants' banquet on April 18. the first
anniversary of the big disaster. Mr. Gil
lett refused to talk of the graft situation.
He was asked what he intended to do in
the case of Andrew Wilson, who is now a
Railroad Commissioner, but who has con
fessed that, while a member of the Board
of Supervisors, be accepted bribes when
ever they were offered. It has been
learned from an authoritative source,
however, that Wilson will be allowed to
retain his place for a time. After he
takes the witness stand, as he will be
compelled to do, and testifies that Ruef
paid him boodle money, he will be in
stantly ousted by the Governor. Wilson
is one of the Southern Pacific pets.
Home Telephone Man Cannot Be
. Coaxed United Railroads Next. '
SAN FRANCISCO. April 16. For the
second time within a week A. B. Cass,
president of the Home Telephone Com
pany, of Dos Angeles, and one of the five
stockholders of the Empire Construction
Company of California, today refused to
be examined by the grand Jury as to his
connection' or knowledge of the alleged
bribing of the San Francisco Supervisors
to award a franchise to the Home Tele
phone Company, of this city.
A few weeks ago Mr. Cass, under- sub
pena, appeared before the grand Jury and
allowed ' himself to : be Interrogated by
Assistant District Attorney Heney.. The
latter, to get certain intimate fapts. if
possible, through the medium of the Los
Angeles capitalist, had him again sum
monad a few-days ago. In the-meantime
Mr. Cass, together with his associates in
the Empire Construction Company, en
gaged the legal services of George A.
Knight, who advised Messrs, Cass, Tor
rance and Phillips to refuse to give any
further- testimony, on the ground that
they were Informed the grand Jury
"meant to indict them anyhow, and to
testify might render them liable to prose
cution." Today Mr. Heney called up Mr.
Knight and told him that he (Knight)
had been misinformed as to the Inten
tion of the grand Jury to indict his
clients with or without cause, and he
again "extended to Mr. Casa the privi
lege of going before the inquisitorial
body" and "explaining certain suspi
cious circumstances, if he could ex
plain them and desired to do so.
The result was that Mr. Cass ap
neared in the Brand jury ante-room
this afternoon, but, when invited to
take the stand, he refused on the
ground that he might incriminate him
self. The witnesses examined at today's
cession -were ex-Police Commissioners
H. Hutton, John Drlnkhouse, T. F.
Reagan and Joslah Howell. They were
questioned as to their knowledge of
the nickel-ln-the-slot machine petty
grafting alleged by the prosecution
against Mayor Schmltz and some of his
administration associates.
The grand jury adjourned without
returning any indictments, until next
Saturday. In order to give the assist
ant District Attorney time, it is un
derstood, to prepare the case against
the United Railroads, whose alleged
bribing of Supervisors and others Is
to be probed next week.
An extraordinary Incident today was
the appearance at Gough' and Geary
streets of a man and an asred woman
the latter carrying a huge placard
rudely lettered with denunciations of
Rudolph Spreckels. Mr. Heney, Dis
trict Attorney. Langdon and the grand
Jury. The man attracted a crowd by
standing on the curb opposite Native
Sons' Hall and loudly narangulng
against those named. Members of the
grand Jury came to the windows and
listened with some show of amusement.
A policeman finally arrived and chased
the man and his aged comrade off.
The trial of Ruef will be resumed in
the Superior Court tomorrow morning.
- vf r
r "'f 3
Roll of Destruction in
Mexico Grows.
Great Waves From Ocean
Flood Port of Acapulco.
Interruption of Telegraph Wires
Keeps Back Worst News Dead
Bodies Seen Among Ruins.
Fear for Tehuantepcc Isthmus.
CITY OF MEXICO. April 16. Heavy
earthquake shocks continued on the
west coast until 4 o'clcck this morn
ing. Date news of the earthquake
shows that the devastation wrought
was greater than at first supposed.
Beside the destruction of Chilpancingo
and Cnllapa, It Is now said that Tlxtla
also was leveled. Messengers reach
ing Chilpancingo say the townB of
Ayutla and Ometepre have been wiped
out "
The population of Ayutla. Is small.
and it is thought the loss of life there
will be insignificant. Ometepre is a
town of about 4000 inhabitants and the
loss of life probably Is large. .
Tlapa, neur the border line of the
state of Oaxaca, is also reported to be
wiped out A report from Chilpan
cingo says the whole of the west coast
from Acapulco south of Sallna Crus
has been badly damaged.
Cbalapa Totally Destroyed.
The damaged places are remote, and
news from the stricken district conse
quently Is Incomplete. Only one wire
is working : to Chilpancingo. Through -the
courtesy of the- Federal Telegraph
Company, the Associated Press was given
this wire today at noon while It was
working through to Chilpancingo. The
operator at Chilpancingo declared that
up to that time he knew nothing as to
the number of dead beyond the fact that
he had seen about a dozen dead bodies
and knew of about 30 wounded.
A dispatch to El Pals, the organ of
the Catholic Church here, from the
bishop of Chalapa, confirms the report
of the total destruction wrought In that
neighborhood. Fourteen are reported to
have been killed In one house and the
number of wounded Is given as 399. .
In Tlxtla it Is reported that 12 dead
(Concluded on Page 2.
More Mexican cities destroyed by earth
quake, and death list grows. Page 1.
Russian- Douma excludes unruly member.
Page 5.
Indictment of Borah attributed to miners'
federation plot. Page 3.
Bourne gets action on arrears of work In
Oregon land offices. Page 3.
Census office rejects Seattle population fig
ures. Page 4.
Bryan speaks . to Brooklyn Democracy.
Page 6.
Attack on Roosevelt repelled by ex-Senator
Chandler. Page 2.
More exposures In Chicago police graft.
Page 4.
Haskln on the King's Daughters. Page S.
Harrlman's backers begin to desert him.
Page 1.
Hermann trial may end this week. Page 2.
Alton road's sentence for rebating confirmed.
Page 3.
Evelyn Thaw's mother answers accusers.
Page 2.
Iowa girl files to mother in Portland. -Page
Many notable speeches at Peace Congress.
Page 4.
Van Cleff convicted of stealing In New York.
Page 4. t
St. Paul express clerk robbed of $25,000.
Page S.
Pacific Coast.
Big corporations combine to defeat Heney,
who alms to indict Harriman and Cal
houn. Page L
Cass refuses to go before grand Jury.
Page 1.
Joseph S. Bush, wanted In Kansas for hold
ing up train and killing passenger, ar
rested at Myrtle Point. Page
Vice-President Fairbanks accepts invitation
of Astoria Chamber of Commerce to at
tend banquet in that city. Page 6.
Seattle, lassies use gun to settle love affair.
Page 6.
Commercial and Marine.
Another drop In local butter market.
Page 17.
Wheat declines about a cent at Chicago,
Page 17.
Boston wool market very dull. Page 17.
New York stock market nearly stagnant.
Page 17.
Portland and Vicinity.
Portland Jobbers intervene In Spokane rate
case, demanding sweeping readjustment
of tariffs. Hearing may end ' today.
Page 1.
C. G. H. McBrlde buys C. E. Loss Interests
In United Railways. Page 10.
State Railroad Commission calls upon O.
R. Ac N. to improve Jocal passenger serv
ice In Eastern Oregon. Page 10.
Dr. C. E. Bobbins dies of meningitis and
one new case of the disease develops.
Page 30. '
Workmen on Rothchlld building injured by
falling embankment. Page 10.
Speakers review history of Calvary Presby
terian Church. Page 12.
Municipal Association Indorses candidates
for Council. Page IS.
Day's grist of cases In Municipal Court.
Page 14.