VOL,. XXVI yO. 14,620.
PORTLAND, OKEGOi, THURSDAY, OCTOBER 17, 1907.
PRICE FIVE CENTS.
AUGUSTUS HEIfiZE
CAUGHT IN VORTEX
Montana Man Goes
Against Wall Street.
BANKING FIRM IS INVOLVED
Holders of United Copper Call
in Loans.
TRIES TO RAISE FUNDS
Millions of Money Figure In Big
Manipulation Made by Man Who
Undertook to Operate Against
Whole Financial World. '
NEW YORK, Oct. 16. Disaster has
overwhelmed the speculation in the
United Copper Company and F. Augustus
Helnze la making the fight of his life,
not only against the Amalgamated Inter
ests but against the world. Two days
ago Helnze and his followers forced the
price of United higher than Amalgamated
and were highly elated over their success
and their victory over the Standard Oil
crowd.
United Copper broke this morning
from last night's close of S9 to 10, and
the curb went crazy. Amalgamated,
of course, has suffered as well, but the
feeling of the street Is that Helnze Is
feeling the gaff more keenly than his
rivals. He went to Chicago last week
to borrow halt a million dollars and
nobody seems to know whether his trip
was successful or not. Today Gross &
Kleerberg, brokers of the Montana
mining man, were forced to the wall,
and the firm of Otto Helnze & Co.,
bankers and brokers, was unable to
fulfill demands made on It by fellow
members of the New York Stock Ex
Change. Banks Call In Loans.
One of the .stories of the street was
that certain banks which are hoWIng
considerable United Copper as security
for - loans which they have made to
Helnze, told the young plunger that
unless prices were restored to their
normal Jevel, loans would be called In.
Today all his work was undone. United
Copper preferred broke this morning from
. 75 to 37, just one half, while the bottom
also dropped out of the common stock.
The street is waiting to see what will
happen next.
Helnze decided tonight to resign as
president of the banking firm of Otto
Heinze & Co., and he will be saved
from going to the wall.
Steamship Company Caught.
One of the flrBt properties to feel the
blow was Consolidated Steamship Com
pany. This ' Is the property organized
by Charles W. Morse, who is associated
with F. Augustus Helnze in ' the Mer
cantile National Bank. Bonds of the
steamship company fell from 26 to 18.
Davis-Daly and other curb mining shares
wore violently agitated. The blame for
the gtgantio collapse is laid at the door
of Otto Heinze, brother afffthe Montana
magnate. The mistaken Judgment bn
the part of this man,' who had' fought
Standard OH to a finish, staved off re
peated disaster In the money market, in
courts, in politics and in the copper
fields of Montana, brought about the
complete rout of his party. In pushing
United . Coppier above Amalgamated,
Otto Helnze & Co. ordered enormous
purchases of stock.. The mistake was In
not arranging proper banking facilities
to pay for the incoming rush of stock.
Many Conferences Held.
It was a sleepless night for many of
the big financiers. Conferences which be
gan before the first failure continued
until midnight. Heads of trust com
panies and representatives of all the
bankB attended. After the main confer
ence it was announced that the liabilities
of Otto Heinze & Co.' to . members
of the Stock Exchange amounted to
$1,700,000. It w8" further stated that $750,
000, when raised by members of the syn
dicate, would prevent any trouble for the
Heinze brokerage firm.
Mr. Gross, of Gross & Kleeberg, said
that his firm's failure had been caused
by the "laying down of the Heinzes."
HEIXZE BROKERS SUSPEND
Collapse of United Copper Pulls
Down Brokerage Firm.
NEW YORK. Oct. 16. Following the
collapse In United Copper today the
Stock Exchange firm of Cross & Klee
berg, known in the street as the per
sonal brokers for the Helnze interests,
suspended. No statement of the condi
tion of the firm's affairs had been made
tonight, and the, only authorized ex
planation of the failure was the re
mark of a representative of the house
that its troubles were due to the re
pudiation of orders by customers.
The suspension was announced on
the floor of the exchange JuBt- before
the close of trading and after violent
declines In the metals and affiliated
stocks had been checked by the ap
pearance of some buying orders.
Cross & Kleeberg have been credited
with managing a pool formed for the
purpose of supporting the Helnze group.
They bought heavily of copper lrt the
face of the sensational break, yesterday
and continued their purchases in the
falling market today.
"We bought a lot of copper stocks for
the Helnze people today," said a repre
sentative, "and when we came to de
liver it they refused to accept it. As
a consequence the firm was forced to
suspend. The assignment was general
and for the benefit of creditors."
The liabilities of the firm could not be
ascertained tonight.
Tracy Buckingham, transfer agent of
the United Copper Company, announced
tonight that the order issued Tuesday
stopping the transfer of a block of the
certificates of the common stock, total
ling some 17,000 shares, had been revoked
by the company tonight. Mr. Bucking
ham states a telegram to that effect had
I' i . ,W r.A
r f -cost' r
F. Augustas Helnze Beaten and Al
most Ruined in Fight With Stand
ard Oil Men.
been sent to the Stock Exchange of Bos
ton. BEARS KEEP BUT OF WAY
PRESIDENT'S DOGS CHASE
BRUIX INTO IiAKE.
Animal Seemed to Scent Danger and
Went Directly Opposite to
Roosevelt's Stand.
BTAMBOUL, Xja., Oct. 16. If President
Roosevelt had been stationed a few hun
dred feet further south than he was yes
terday, he would possibly have procured
the bear he came to the Mississippi cane
brakes to slay. ..
That a fine specimen was discovered by
'Mr. Collier's dogs within a short dis
tance of the President and within less
than a mile of Bear LxUte was the news
brought into Stamboul by Brutus Jack
son, one of the members of the hunting
party, and he says that the animal was
enabled to make good his escape, going
in a direction opposite to the President's
post.
Four dogs, unattended by any of the
hunters who were trailing the bear, un
avalllngly all day, struck a hot trail
about 4 o'clock and within a trice were
almost on the animal. He was aroused
whAe feeding and with a snortt darted off.
The campers say that thick as was the
Jungle, bruin made rapid headway
through it for the short distance he had
to 'run W reach the lake. Arriving at the
water's edge he unhesitatingly plunged
in and was well away from shore when
the dogs arrived on the scene.
Some of the hunters came up a short
time afterwards, but too late to get a
shot. By this time the day was too far
advanced to permit anyone to follow.
RYAN TO BE FORCED OUT
SEW YORK TRACTION MAGNATE
RETIRES.
Scheme for Rehabltatlon Eliminates
Old Members of Syndicate
Fathered by W. C. Whitney.
NEW YORK, Oct. 19. In well
informed Wall - street circles the
belief is growing that, when plans
now forming for the reorganization of
interborough-Metropolitan affairs shall
have become crystallized. It will be
found rehabilitation is to be effected
with the practical elimination of
Thomas F. Ryan as the controlling
factor In the Manhattan street railway
situation.
With the probable retirement of Mr.
Ryan will also go Peter A. B. Wldener,
Thomas Dolnn and all the remnants of
the original Metropolitan Traction
syndicate, which, under the Inspiration
and guidance of the late William C.
Whitney, began the consolidation and
the unification of New York's surface
railway systems.
According to Wall-street reports, no
difficulty Is expected so far as Mr.
Ryan Is concerned In carrying out this
programme for the elimination of Mr.
Ryan as a factor In Interborough
Metropolitan. Mr. Ryan and Mr.
Widener both unloaded considerable
quantities of their Interborough-Metropolitan
stock holdings before the be
ginning of the present slump In those
and other securities.
BINGHAM UNDER ARREST
New York's Police Commissioner
Is In Trouble.
NEW YORK. Oct. 16. Police Com
mls8loner Bingham was placed under
arrest today, following the service upon
him of papers in a civil suit In Which
damages of $25,000 are asked.
The complainant is ex-Police Com
missioner James O. Reynolds, who yes
terday was ejected from police head
quarters where he had called to lodge
a formal protest against his forced re
tirement from the department The
Qommissipner furnished, .bail
fc'.
N
HARRIMAN TALKS
T MARRIAGE
Marry Early, Have Chil
dren, He Says.
REACTION, NOT PANIC IS DUE
Discusses Success, While
Lane Talks of Rebates.
PROSECUTION IS POSSIBLE
Commissioner Takes Harrlman's De
nial as Confession That He Knew
Subordinates' Action, Which
May- Prove Troublesome.
CHICAGO, Oct. 16. (Special.) "Marry
early and have children, as many chil
dren as you can take care of. Pick out
a good woman, a co-operative woman,
one who will Interest herself in what
ever work you have to do." v
This is Edward H. Harrlman's advice
to young men, and he found time today,
aside from the strenuous battle with
Stuyvesant FlBh for control of the Illi
nois Central, to discuss matrimony. He
positively declined to discuss President
Roosevelt or his policies. He Insisted
there was no danger of panic and he
said the flurries in Wall street meant
nothing to the rest of the country.
"Matrimony," said Mr. Harriman, "is
not essentially a business proposition.
In fact it should never be regarded as
such, but, nevertheless, marriage often
plays a highly important part in the
race for what is commonly called suc
cess. "I shall tell you what success really
b. It Is the accomplishment of any
task as well or better than1 the same
task by another. To the young man
who would be a success I would give
these hints: Always be courteous, al
ways be friendly, do the best you can
under all .circumstances, -marry early
and have as many children as you can
care for.
"The country has been growing and
expanding too fast," continued Mr. Har
riman, "and this fact is ' realized on
every side and, therefore, the country
is ready for a reactionary period, which
is undoubtedly' setting in. Owing to
this view of the case, my outlook for
the future is hopeful, because I see
clearly a future In which we will move
more slowly, but will be upon the
sounder basis."
DENIAL- MAY BE TROUBLESOME
Lane Says Harriman Admits Knowl
edge of Officials' Acts.
WASHINGTON. Oct. 16. "I have been
charitable enough to assume that Mr.
E. H. Harriman and other high officials
of the Southern Pacific were not aware
that subordinates had been granting re
bates," said Franklin K. Lane, Inter
state Commerce Commissioner, when his
attention was called today to an inter
view with Mr. Harriman, sent out from
Chicago, denying that the Southern Pa
cific still is indulging in the old habit.
"The records in the case have not been
completed," continued Mr. Lane, who
conducted the hearings at which evidence
was produced, showing that the Southern
Pacific has since the San Francisco
earthquake granted numerous state and
interstate rebates. "As soon as it Is, I
will have a copy sent Mr. Harriman for
his information. He will probably 'dis
cover that some things have been going
on in the Southern Pacific Company con
cerning which he has had no advices.
"I notice Mr. Harriman used positive
language in his denial. He is quoted as
conveying the idea that he Is cognizant of
all the affairs of the company. If it is
true that he has been aware of what
his subordinates were doing, his denial
that rebates have been granted cannot
stand. Furthermore, If Mr. Harriman Is
willing to assume full responsibility by
admitting that he does know all that has
been going on, the admission may prove
troublesome when the records in the case
reach him and he reads the evidence.
'lAs I have stated, I have thought Mr.
Harriman and some of his associates,
higher officials of the Southern Pacific,
were not aware that rebates were grant
ed. Mr. Harrlman's denial may there
fore be classed as the utterance of a
man not familiar with the facts."
STRIVING TO LIVE IP TO LAW
Harriman Denies There Is Willful
Violation by His Roads.
CHICAGO, Oct. 16. E. H. Harriman
today, after reading the statement made
by Interstate Commerce Commissioner
Lane, to . the effect that the Western
railroads are still paying rebates, said:
"That statement is an exceedingly un
fair one, and I am surprised that Mr.
Lane should make it. I know that in all
the railroad systems, and In all the rail
roads in which I am Interested, there is
no willful paying of rebates, nor la there
any willful violation of the law.
"Mr. Lane knows better than any one
else that the present laws, both State
and National, governing the railroads,
are in chaotic condition, both as to in
terpretation and as to application. It is
exceedingly difficult for a railway man
ager at this time to keep entirely within
the law, no matter how ardently he may
desire to do so. We are all striving,
however, to live up to both the letter
and the spirit of the Hepburn amend
ment, and if there are violations under
it, they have been purely technical, due
to the lack of comprehensiveness of the
law."
BOOM HENEY FOR SENATOR
ANTI-MACHINB REPUBLICANS
CHOOSE PROSECUTOR.
Though Democrat, He Is Considered
-'" Best Available Republican
to Succeed Perkins.
SAN FRANCISCO, Cal., Oct. H. (Spe
cial.) a story which was sprung today,
and which Francis J. Heney refuses to
discuss, has it that the well known pros
ecutor Is being groomed for the United
States Senate.
The story has it that the Lincoln
Roosevelt League, composed of the anti
machine Republicans In this state, has
looked over the field and has come to
the conclusion that although a Demo
crat Mr. Heney had better represent the
principles for which the league stands
than any available Republican.
California will elect a Senator to suc
ceed George C. Perkins in 1909. The can
didates already in the field against Mr.
Perkins are Secretary of the Navy Met
calf, ex-Governor Pardee and State Sen
ator Belshaw.
THE PREDICAMENT OF THE MODERN ATLAS
AMERICA
POINTS FOB PEACE
Permanent Court Adop
ted at The Hague.
OBAGQ DOCTRINE IS CARRIED
Small Nations Stipulate for
National Equality.,
ARBITRATION ALSO WINS
Conference Votes to Make It Obllg'
atory and Condemns Collection
of Money Claims by Force
Till Arbitration Fails.
THE HAGUE, Oct. 18. The ninth
plenary sitting of the Peace Confer
ence held today voted upon the ques
tion of establishment of a permanent
court. There were 38 votes in favor
of the project. Belgium, Denmark,
Greece, Roumanla, Switzerland and
Uruguay did not vote and Mexico, Bra
zil, Greece, Colombia, Salvador, Persia,
Guatemala, Haytl, Venezuela, San Do
mingo, Paraguay, Panama, Ecuador,
China, Bolivia and Nicaragua voted fa
voring a permanent court, but with
the reserve that such court and the
negotiations In that direction should
be conducted on the basic principle of
absolute Judicial equality.
The report of Baron Guillaume (Bel
gium) on the, declaration of Count
TourleiU (Italy) regarding obligatory
arbitration was adopted unanimously
with several reserves, including the
United States and Japan, David J.
Hill (America) saying that the United
States would not depart from her tra
ditional policy of non-interference In
the affairs of other states.
Drago Doctrine Adopted.
The -next subject taken up was the
proposal of General Horace Porter on
the subject of collecton of contractual
debts. The substance of the proposition
Is that In order to avoid between na
tions armed conflicts "of purely pe
cuniary origin" caused by contractual
debts claimed by the subjects of one
country from the government of an
other and also to guarantee "that all
contractual debts of this nature which
are not settled in a friendly manner
through diplomacy shall be submitted
to arbitration," it is understood that
coercive measures shall ynot be taken
until the creditor country offers arbi
tration and the debtor country refuses
It or leaves the offer unanswered or
until after the decision of the arbitra
tors Is not fulfilled by the debtor.
The proposal was approved by 39
votes with five absent Belgium, Swe
den, Roumanla, Switzerland and Vene
zuela and 12 other American govern
ments making reservations.
The final session of the conference
will take place Saturday.
Thirteen Agreements Signed,
Some of the superstitious delegates to
the conference are of the opinion that
it would be an 111 omen to hold the. last
session Friday, principally In view of
the fact that the conference will have
signed an even 13 conventions. These
conventions are as follows:
First The peaceful regulation of In
ternational conflicts.
Second Providing for an International
prize court. '
1" - 'v?ev -"i t"""'wvyti)ii.ij)Li.i.jmWs
" x
r v 'i
i f !
x w, "' ! . 3
? U-f Vr -
r Ft 7 'O 'i
; t v a
s - , - ,"2 , v .
David J. Hill. Minister to Holland,
Who Spoke for the United States
at Tbe Hague Conference Yester
day. Third Regulating the rights and dup
ties of neutrals on land.
Fourth Regulating the rights and du
ties of neutrals on sea
Fifth Covering the laying of subma
rine mines.
Sixth Regulating the bombardment of
towns from sea.
Seventh In the matter of the collec
tion of contractual debts.
Eighth The transformation of mer
chantmen Into warships.
Ninth Regulating the treatment of
captured criminals.
Tenth Covering the inviolability of
fishing rights.
Eleventh The inviolability of the pos
tal service.
Twelfth The application of the Gen.
eva Conference and the Red Cross to
sea warfare.
Thirteenth The laws and customs reg
ulating land warfare.
Seven Other Declarations.
In addition the conference has conclud
ed the following resolutions and declara.
tlons:
First That balloons shall not be used
for throwing explosives.
Second A recommendation In favor of
obligatory arbitration.
Third A recommendation regarding the
establishment of a court of arbitration.
Fourth A recommendation concerning
the limitation of armaments.
Fifth The convocation of the third
conference.
Sixth The prohibition of unnecessarily
cruel bullets in warfare.
Seventh The co-operation of all coun
tries in the building of the Palace of
Peace.
Want Small States Excluded.
It Is asserted also that before the con
vocation of a third conference, Germany,
Austria-Hungary and Great Britain will
Insist, in view of the experience gained
at this conference, that small states be
excluded, but there Is actually nothing to
Justify such a statement. Indeed, a ma
jority of tbe delegates are of the opinion
that It will be Impossible to return again
to an arbitrary division of the countries,
as at the first conference.
HENEY WILL SUE ROGERS
CLIMAX OF BITTER WAR WITH
TIREY FORD'S LAWYER.
Rogers Hedges on Charge of Using
Undue Influence on Jury and
Heney Calls Him.
SAN FRANCISCO. Oct 16. (Spe
cial.) Francis J. Heney announced to
day that he Intended to bring suit for
criminal libel against Earl Rogers,
chief counsel for Tlrey U. Ford, the in
dicted attorney of the United Kail
roads. Mr. Heney will base his suit on.
an article published over the signature
of Mr. Rogers, in which the statement
was made that members of the prosecu
tion had used undue Influence upon C.
W. Strange, a juror In the Ford case,
who voted for conviction.
Mr. Heney came out In this morn
ing's papers with an open letter ask
ing Mr. Rogers either to supply the
proof of his assertions or to retract.
This afternoon Mr. Heney summoned
Mr. Rogers before the grand Jury,
stepped out of the room and asked Mr.
Rogere to lay his evidence before the
jury. Mr. Rogers hedged and final
ly said that he believed the grand Jury
an unfair body and would not take
advantage of Mr. Heney's offer. It was
then that Mr. Heney made it known
that he would sue.
Mr. Heney and Mr. Rogers have been
engaged In a bitter personal war and
more than once It has appeared as
though nothing short of a hand-to-hand
encounter could settle their differences.
The animosity has grown during the
last week and reached its climax to
day. Mr. Strange himself was called before
the grand jury and said that he had
not been communicated with by the
prosecution, but, on the other hand, he
said that he had learned that efforts
had been made on behalf of the defense
to get into communication with him.
E
OPENED TUFT
Speech Fails to Satisfy
Residents.
OSMENA CHOSEN PRESIDENT
Members Swear Allegiance to
America.
SMITH GIVES GRAND BALL
Secretary Tells People Their Own
Actions Will Decide Future and
That Misbehavior Means Aboli
tion of Home Government.
MANILA. Oct. 16. Secretary Taft
formally opened the Philippine Assem
bly in the National Theater at 11:15
this morning, in the presence of a large
crowd of people.
At. the close of his address Mr. Taft
formally called the Assembly to order.
A short prayer was read by the only
native Catholic bishop In the Islands.
The Assembly then took a recess until
5 o'clock this afternoon.
Upon reassembling at' that hour the
first business was the selection of a
president, and Sergio Osmena, Nation
alist, who formerly was Governor of
the Island of Cebu, was chosen. Senor
Osmena is a young man and had no
part in the revolution. He la hM In
high esteem by the Government and his
own people. He was nominated by
Manuel Quesen and seconded In an elo
quent speech by Don Mador Gomes.
Members Sworn In.
All the Assemblymen, including
Senor Gomes, whose election is to be
contested, were then formally sworn in.
The oath Included acknowledgment of
sovereignty and allegiance to the
American Government. The afternoon
session lasted for three hours. The
only business transacted was selection
of a secretary. The delegates showed
they had no understanding of parlia
mentary law and procedure.
The principal feature of the session
was an address by Senor Gomez, who
declared -against bringing politics Into
legislative business and asked the dele
gates to show their patriotism by for
saking party affiliations and legislat
ing for the benefit of the Filipino peo
ple. Guests of Governor Smith.
The new Assemblymen and the Pro
vincial Governors were the guests of
Governor-General Smith at a grand ball
tonight SecretaryTaft failed to satis
fy some of the American residents of
Manila regarding the policy of the
American Government. The general
Impression is that his speech was
placatlve. He 'intimated that misbe
havior would result In the abolishment
of the Assembly, but It Is declared that
this contingency Is not expected. As
for the Filipinos, they expressed no
opinion of Mr. Taft's speech one way or
the other.
CONTENTS TODAY'S PAPER
The Weather.
TBPTERDAT'B Maximum temperature. 60
de-rw; minimum. 60 degrees.
TODAY'S Fair; northeasterly winds.
Foreign.
Hague Conference adopts three moat Im
portant American proportions. Pa ire i.
Crown Prince of Japan visits Cores. Pa (re a.
National.
Secretary Taft opens first Philippine As
sembly. Page 1.
Standard Oil prepares elaborate defense
against Government charges. Page i
Government to start steamer Una front
Panama along Pacific Coast. Page 3.
Politic.
Heney groomed for Republloan candidate)
for Senator. Page 1.
Domestic
California professor- forbids publication of
lectures, rags 2.
Commissioner Altchlson tells what Railroaol
Convention did. Page 4.
Miss Henrloi decWea to marry Army sur
geon on eve or sailing for home. Pajra a.
Death list in Fontanet explosion fixed at 8&
page z.
Belnze almost ruined In battle with Stand
ard on wall street. Page 1.
Harriman advises men to marry and have
cnnciren. Pago l.
Lane saya Harrimvi assumes responsibility
lor reoaung. page jl.
Fight for Illinois Central deferred till today.
page o.
Roosevelt almost shoots a bear. Pago t.
Sports.
Colin wins twelfth consecutive raoe and is
z-year-oia cnampion. Page 7.
Beavers dofeat Seals badly In ninth inning
rally, rage f.
Heney will sue Earl Rogers for slander la
gran controversy, page 1.
Columbia University and Hill Military
jfceauemy piay lie xooiDau game. Page T.
Pr-clflo Coast.
Monkey throws baby from carriage and
bites savagely. Page 6.
Threats made against detectives working on
Albany liquor cases. Pag 6
Baptlsts in session at Salem report full
treasury. Page 6.
Commercial and Marine.
Facts about the world's fur trade.' Page 15.
Eastern and foreign wheat markets lower.
Page 15.
Quick changes In New Tork stock market.
Page 16.
British steamship Indian Monarch clears
with cargo of wheat valued at $210,000.
Portland sad Vicinity.
Police scandal aired before City Executive
Board; Captain Bruin Is upheld. Page 5.
Coon gang members offer their defense.
Page 5.
Fund for Rose Festival Is one-fourth sub
scribed. Page 9.
Greaham Fair, opened with large attend
ance. Page 11.
Oregon horigrowers to form a combine.
Page 14.
ISLAND
MBLY