VOL. XXVI. XO. 14,661.
PORTLAND, OREGON, WEDNESDAY, -DECEMBER 4, 1907.
PRICE FIVE CENTS.
ACDUITTED
AFTER Fl HOURS
Jury Says Not Guilty of
Giving Bribe.
'AGREES ON SIXTH BALLOT
First Ballot Showed Three for
Conviction.
FORD EXPECTED RESULT
Trial Ends With Masterful Argu
ment by Heney, Who Prefers
Ford's Acquittal to Using
Abe Ruef's Evidence.
SAN FRANCISCO, Dec. 3. Ttrey L.
Ford, general counsel of the United Rail
roads, was late tonight acquitted of the
chars of having bribed ex-Supervisor
Jennings Phillips to vote for an overhead
trolley franchise.
The case went to the jury at 6 o'clock
and the verdict was reached at 10:40, the
Jury reporting to the court at 11:06. On
the first ballot the Jury stood nine for
acquittal and three for conviction. Sev
erul more ballots changed It to eleven for
acquittal and one for conviction. The
sixth ballot was unanimous for acquittal.
Tills was Ford's second trial. In the
first trial the jury was unable to agree
on a verdict. The present trial was be
gun f bout seven weeks ago, but was in
terrupted a month by a series of special
holidays called to protect the banks dur
ing the financial stringency. During all
the holidays the Jurors were kept to
gether under the custody of Deputy
Sheriffs.
Applause Greets Verdict.
The Ford case was the third one in the
series of graft prosecutions. In the other
two cases, those of. ex-Mayor. Schmltz
and Louis Glass, vice-president of the
Pacific States Telephone & Telegraph
Company, convictions resulted.
A demonstration of prolonged applause
from the 15 or 100 spectators immediately
followed the -verdict. Friends surrounded
Mr. Ford to offer their congratulations,
and the defendant, with tears In his eyes,
and too much affected by the result to
speak clearly, stepped across the aisle,
hook hands with the Jurors and thanked
them In a husky voice.
Ford, Knew There Was No Case.
Mr. Ford gave the Associated Press the
following; statement:
"I can't say that the verdict was un
expected, for I knew no case had been
made or could truthfully be made against
me. I have an abiding faith in the Jus
tice and fairness of an American Jury
when acting under the law alone, g-uided
by the facts and unswayed by Influences
which should never find a place in an
American court. Under the peculiar con
ditions now existing In our city, it is
greatly to the credit of the 12 men who
have Just rendered their verdict that they
have the courage to do exact and even
Justice to a falsely-accused fellow citizen.
My sincere and heartfelt thanks are Joy
fully given to the host of friends who
knew me-and. knowing me, realized that
but one result could possibly- follow a
fair trial."
Judge Lawlora instructions and charge
to the Jury were lengthy and, on the
whole, were considered fair to both
Bides.
Heney'B Closing Argument.
A feature of the day's proceedings
was the closing argument of Assist
ant District Attorney Francis J. Heney
this afternoon, following; that of A. A.
Moore, for the defense, this morning.
In expectation of hearing- Mr. Heney
apeak, the attendance was the largest
Df any day during the trial.
Mr. Heney made a masterful ad
dress. He took up the testimony of
' each witness and connected, Joined
bridged and dovetailed In perfect se
quence and order the links that forged
a strong- chain of circumstantial evi
dence around the defendant. Mr.
Honey declared that the silence of the
defense and its failure to put in testi
mony waa the most significant thing In
the case.
Speaking of the failure of the prose
tlon to put Abraham Ruef on the stand,
he said:
"Wo will let Mr. Ford be acquitted
before we will put Ruef on the stand."
President Calhoun, of the United
Railroads, whose trial on the same
charge will commence Thursday morn
ing, was an attentive listener to the
argument of the prosecuting attorney
as well as to the charge of Judge
Ijiwlor.
Plea for Iefense.
A. A. Moore In his argument for the
defense maintained that even If Ford
had paid Ruef $200,000. there was
nothing to Indicate that it had been
paid for corrupt purposes and intimat
ed that It would have been possible for
Ituef. with the Boad of Supervisors
in his power to hold up the United Rail
roads. Counsel for the defense questioned
the statement made by Mr. Heney dur-'
lng the trial that he had volunteered
his services and . was receiving no re
muneration. "If Mr. Heney Is not
serving as a prosecutor for money,"
said Mr. Mooro, "then he must be work
ing for glory, position, place or power.
I cannot conceive of a lawyer working
as Heney has labored without some In
centive of prospective reward."
GRAND JIRY'S FINAL REPORT
Tells of Hundreds of Indictments
and Incredible Corruption.
SAN FRANCISCO. Dec. 3. After hav
ing met n 100 separate days, on which
115 sessions were held, and having re
turned 441 Indictments, ' involving 47 per
sons, the Oliver grand Jury, the most
noted In the city's history, made its final
report to Superior Judge Coffey this even
ing and was discharged from further
service.
In all 697 witnesses were brought be
fore the Oliver grand jury during the
time between Its first assembling, on No
vember 9, 1906, and Its final adjournment
m jr.
Caleb Powers, on Trial for Fourth
Time for Murder of Governor
txoebel.
today. Most of Us work has been con
cerned with indictments for "graft" and
bribery connected with municipal affairs
and the public utility corporations of San
Francisco. The final report to a volu
minous document and says In part: .
Mayor Profits by Lowest Vice.
To summarize completely the work under
taken and the matters Investigated by the
present grand Jury would, swell this report
out of all reasonable proportions. We can
not even outline the vast amount of evi
dence received by us showing corruption
and vice of the lowest kind, involving the
greatest moral turpitude, such as the par
ticipation of the former mayor of our city
In the profits earned by the prostitution of
the lowest of fallen women, which consti
tute a recital of seemingly Inconceivable
sin. shame and violation of law.
Those abuses which we found to exist In
the more Important departments of the city
government, continues the report, will con
tinue to ex I at. In a measure, until an honest
enforcement of the laws and ordinances
continually prevails.
Police Corruption Incredible.
The unlawful and corrupt protection given
by the police to vice, for the benefit, pe
cuniarily and politically, of the heads of
the administration and many of the rank
and file of the departments, is unbelievable.
If it were not for the low character of
the witnesses examined and ' the - tangled
mafs of contradictory evidence submitted,
much of it undoubtedly perjured, but in a
way perjury could not legally be proven,
indictments would have been found for ex-'
tortion and conspiracy In forming a house
of illfame trust. Our "crib houses" have
uo equal in the world for vileness. They
could not have continued without the pro
tection of the Mayor and the Chief of Po
nce. There was not a property-owner In San
Francisco after the Are, on whose property
there remained any salvage, who was nut
robbed by the connivance of the police of
ficers with the Junk thieves. B
Police Courts Scored.
The report scores the police courts for
not Imposing more and heavier penalties
in the cases of strikers arrested for mis
demeanors during ' the ' streetcar strike.
It also says that the police were crim
inally negligent during the early part of
the strike, and that many, lives were lost
In consequence.
The United Railroads Company is se
verely scored for the negligence and crim
inal carelessness of Its men is charge of
the . cars, and the many accidents In
which people have been killed, crippled
and maimed are cited.
The report recommends many changes
In the conduct of the affairs of the city,
better enforcement of the ordinances by
the members of the police force, more
careful collection of licenses by the Tax
Collector, proper enforcement of the
buliaing ordinance. Some of the theaters
are spoken of as flretraps and the recom
mendation to made that they be closed.
The City and County Hospital should be
torn down, the report says, as It is a
nest of deadly germs.
BOXDS FROM FIGHT TRUST
Several Members Put Up Security.
Serve Warrant on Schmltz.
SAN FRANCISCO, Dec. 3. Of those
who were Indicted by the grand Jury, Ed
ward Graney of the so-called fight trust,
ex-Supervisor G. F. Duffy and Luther
Brown all put up bonds today. Graney's
bond was In the sum of $45,000, Duffy's
$30,000 and Brown's $10,000.
James Coffroth, another member of the
fight trust, has his bond ready for pre
sentation tomorrow and WHIus Britt,
the third member, Is In the hospital, said
to be critically ill. Nothing has been
done In regard to his arrest.
No ball will be required of ex-Mayor
Eugehe Schmltz and Abe Ruef, as they
are already In custody but the warrant
of arrest will be served on Schmltz to
morrow, as a matter of form.
Insurance Taxation.
LOUISVILLE. Ky.. Dee. 3. State In
surance Commissioner Henry O.- Prewitt
has called a meeting of the committee
on taxation of the National Association
of Insurance Commissioners for Decem
ber 18 in Louisville. Mr. Prewitt also In
vites members of the associations and
representatives of life and fire insurance
companies to attend the meeting and aid
In drafting a uniform insurance taxation
law for presentation to the Legislatures
of the various states.
if -V'-
TAFT FEASTED IN
ST. PETERSBURG
Received With Open
Arms by Russians.
PROCLAIMS AMERICAN POLICY
No Possibility of War With
Any Other Nation.
PAYS VISIT X0 THE D0UMA
Hears Speeches by Men of Three
Nationalities Will See Military
Review, Meet the Czar and
Attend Banquets ' Today.
' ST. PETERSBURG, Dec. 3. A plea for
world peace was the topic of a speech
delivered by Secretary Taft at the Ameri
can banquet here tonight, which was at
tended by several high -Russian officials
in addition to some 60 Americans.
Responding to the speech of welcome
delivered by F. M. Corse, who presided.
Mr. Taft said that he hoped the tradi
tional friendship between Russia and
America would increase and become
stronger. The similarity In the devel
opment of the two countries, he said,
ought to produce a sympathetic feeling,
and he drew a parallel between Russia
and America with reference to their Im
mense extent and the difficulties arising
therefrom. Personally, the Secretary
had a strong feeling of affection and re
gard for Russia, on account of the two
years' residence of his father when he
was American Minister.
Proclaims Policy of Peace.
His present trip, he said, had given rise
to a number of suggestions, the purpose
of which was far from the truth. It
had been suggested that he was round
ing the world on a diplomatic mission to
various countries to carry out some ulti
mate policy of the United States, but
America's policy was the peace of all
nations. His only official function, he
continued, was that connected with the
inauguration of the Philippine Assembly,
and he was returning home by way of
Russia to avoid the voyage across the
Pacific, which he had already made many
times. He sought an audience with the
Emperor in order to express his personal
gratitude for the hospitality which he
had enjoyed on his trans-Siberian trip
and to assure him that a deep desire
exists on the part of the Americans for
the welfare and prosperity of Russia.
The Secretary declared that Intimations
that his trip was connected in any way
with a prospective war In the Far East
were without foundation. ' In Ills Judg
ment there was no possibility of war be
tween the United States and any other
country. Nor was there any reason for
It. . The world needs peace for Its real
growth and the happiness of the individ
ual. Civilization, said the Secretary, Is In
debted ' to Emperor Nicholas for the
initiation of international efforts for a
permanent peace, and the mitigation of
THE BEAST OF BURDEN "NOW I WONDER IF I
j; j" I
war by the organization of . The Hague
Conference.
At the conclusion of his speech he
toasted the Emperor. Count Konltz,
who Is acting as Imperial aide to Mr.
Taft, responded with a toast to President
Roosevelt, which was drunk amid great
enthusiasm and the singing of the Na
tional hymns of both countries.
During the afternoon the Secretary vis
ited the Douma, where he was an object
of great attention from Premier Stolypin
and the other Ministers. He remained
there only a short time and was unable
to visit the floor of the house, but hopes
to meet the leading Deputies later. '
His audience with the Foreign Minister.
M. Iswolsky, lasted an hour. International
relations being touched upon only In a
general way. , : .
Special Review Today.
A special review of the ' Semtnovsky
t
!
i
i
If
1 ,
Ex-Senator J. C. S. Blackburn, of
Kentarky, Confirmed as Mesi-
hrr of Isthmian Canal Commis
sion.
WASHINGTON, Dec. 3. The
Senate today confirmed the nom
ination of ex-Senator Blackburn,
of Kentucky, to be a member of
the Isthmian Canal Commission.
Guards has Been arranged for tomorrow
at Tsarskoe Selo In honor of the Ameri
can Secretary of War. after which there
will be a luncheon. Brigadier-General
Clarence R. Edwards and Captain S. L.
H. Slocum, the American Military at
tache at St. Petersburg, will accompany
him.
The luncheon to be given tomorrow In
honor of Mrs. Taft by Mrs. Montgom
ery Schuyler, Jr., wife of the American
Charge d'Affaires, will be attended by a
number of American ladies and high Rus
sian society leaders, including Princess
Belosselsky and Princess Cantacacuzene
(nee Julia Dent Grant).
Upon his arrival from Moscow, Mr.
Taft was. met by a deputation of officers,
representing the Minister of War, the
Military Governor and other officials "at
St. Petersburg. The party took 'up its
quarters In the Hotel de l'Europe.
Immediately after his arrival at the
hotel the big Secretary, accompanied by
General Edwards, Mr. Schuyler, and
Captain Slocum, started on a round of
official calls. He went first to see Foreign
Minister Iswolski and General Rudlger,
the Minister of War, and then called upon
the Grand Dukes, who are at present liv
ing here. Those include Nicholas Nlcol
alvitch, Alexander Mlchaelovitch and half
a dozen others.
Cheered on the Streets.
The carriages of the American Ambas
sador, wfth their liveried servants. In
which the Secretary drove while paying
his calls, were recognized everywhere.
Crowds gathered In spite of the threat
ening weather, and "General Taft," as the
(Concluded on Page T-)
GOES TO MAKE
VERBAL REPORT
Viscount Aoki Talks of
His Recall. ;
PROTESTS JAPAN IS FRIENDLY
Admits Immigration Connect
ed With Return.
MAY NEVER COME BACK
Xot at All Certain of Outcome of
Trip Home State' Department
Says He Presents Xo Letters or
. Recall Counselor in Charge).
WASHINGTON. Dec. 3. Viscount Aokl,
the Ambassador of Japan, talked briefly
today regarding the Instructions given
him by his government to return home
for the purpose of making a report on
affairs In which Japan is Interested Joint
ly with the United States. The Ambas
sador this afternoon cordially received a
representative of the Associated Press.
He seemed In a most amiable mood.
"I am going home," the Ambassador
said, "for the purpose of making a ver
bal report to my government There are
many thing to report on things that I
have heard and seen in this country.
They can be made better verbally than
in writing. There Is no other significance
to the visit. I shall discuss immigration,
in addlton to other questons In which my
government is Interested. My return
cannot be construed In any way as an
Indication of unfriendliness on the part
of Japan for the United States. The
Government knows very well that Japan
Is disposed to be one of her best friends
and to remain on terms of the greatest
amity with her. Any other suggestion is
not to be entertained.
Immigration 'ot Serious.
"The immigration question Is not at all
a serious one, and In my Judgment it will
be settled satisfactorily. My return, I
repeat, has no bearing on the relations
between the United States and Japan.
Our relations are friendly and I hope
will remain the same. There Is no rea
son why they should be otherwise, but
on the contrary, every reason why they
should continue good.'.'
"How long will you remain In Japan?"
"That I do not know."
"Are you coming back?"
"That I 'do not know," repeated Count
Aokl.
Count Aoki, If time permits, will look
Into the general question of Japanese Im
migration on the Pacific Coast before he
sails for ljome. He had intended doing
this early in the year and had practically
made all arrangements for a trip to the
Coast. For what seemed Bod reasons,
however, the trip was for the time aban
doned. The Japanese government Is anxious to
hear from the Ambassador personally the
real situation . on the Pacific Coast, as
he views it, and the Ambassador today
indicated that he would make It a mat
ter of Inquiry on his way home.
At the State Department It was learned
AM REALLY AN ASS?
t
that Count Aokl did not present any let
ters of recall, but that what he had re
ceived was a summons to come home for
consultation with .his government. It Is
not known at the State Department
whether Aokl would or would not return
to the United States, and the impression
there was that the Ambassador himself
was not aware . as to what his future
movements would be. Count Aokl re
ceived word late Saturday that his gov
ernment wanted him to come home, and
he lost no time In acquainting the State
Department with that fact.
The most positive statement is made at
the Japanese Embassy that Count Aokl's
recall Is not the result of any dissatis
faction with his course on the part of
his government or that his recall in any
way disavows his actions while here.
The Ambassador expects to leave Wash
ington , on his homeward trip before
t -
t i t i
I v. , . I - t
Edward Payson Weston, who
4 Wore Out Mayor Berker, of
4 Milwaukee on Wallc to Chicago.
Christmas, and during his absence M.
Mlyaoki, the counselor of the Embassy,
will act as charge d'affaires.
THINKS HE WILL NOT RETURN
Cliozo Koike Says Aokl's Recall 'Is
Permanent Japan Still Friendly.
NEW YORK. Dec. X Chozo Koike, the
retiring Consul-General for the Japanese
government here, before leaving tonight
for his new post at San Francisco, said
that Ambassador Aokl's summons to
Tokio meant that "there will be a change
of Ambassadors at Washington nothing
more." He added:
"It is not a surprise to me that Aokl
goes back. But by no stretch of the
Imagination can the action of my gov
ernment be construed as an Intention to
break - off friendly relations with the
United States. . Japan does not desire the
Philippines. As for the California trou
bles, they are not such as to cause 'a
break In friendship."
CALLED HOME TO CONSULT
Aoki Summoned to Explain Roose
velt's 'Japanese Policy.
WASHINGTON. Dec. 3. Ambassador
Aokl has been summoned to Japan by
his government to explain personally
and In detail the precise situation In
the country in regard to the Japanese
immigration problem. The Ambassador
has been making careful inquiry on
his own account and through the varl-
(Concluded on Page 7.)
CONTENTS TODAY'S PAPER
The Weather.
t'ESTERDAY'S Maximum temperature, 49
degrees; minimum. 42 degrees.
TODAY'S Rain, with high southerly winds.
Foreign.
Moorish rebels capture harems of Sultan and
his Ministers. Page 8.
National.
President Roosevelt's message read to Con
gress. Pages 12. 13 and 14.
Conference on currency legislation between
Roosevelt and Senate leaders. Page 3.
Cannon hastens appointment of House cur
rency committee. Page 3.
Aekl. recalled to explain Immigration situa
tion, but may not return. Page 1.
Roosevelt orders land-fraud cases pushed.
Page 4.
Taft given great reception In St. Petersburg.
Page 1.
Politics.
Dry party shows gains In Massachusetts
cities. Page 7.
Domestic
Sunday theaters In New Tork may", be
closed. Page 7.
Mrs. Bradley acquitted and will contest
Brown's will.' Page B.
Evidence in Caleb Powers case. Page 2.
Rivers and Harbors Congress opens today.
Page 4. '
Goldneld mineowners start war on union.
Page 3-
6ick woman shoots doctor and herself.
Page 8.
Hyde offers restitution of f8.000.000 to
Equitable Life if charges are dropped.
Page 1.
Mrs. Leafgreen wins appeal In another court.
Page 4-
Pport.
Mayor Becker lost in snow storm while on
"walking match with Weston. Page B.
Cllne wins St. Louis billiard match. Page 5.
Pacific Coast.
Tirey L,. Ford acquitted of bribery. Pnge 1.
Oliver grand Jury makes final report. Page 1
Mystery surrounding Macleay tragedy
deepens. Page 6.
Steamship Alliance bound up the river.
Page 8.
Democrats elect Mayor of Vancouver.
Page 8.
Exciting election at Hermiston. Page 18.
Commercial and Marine.
Cause of decline in citrus fruit prices.
Page 10.
Foreign wheat market weak. Page 19.
Wide fluctuations in stock prices. Page 19.
Breakwater collides with the ship Claver
don at Southern Pacific dock. Page 18.
Portland and Vicinity.
Federal Court takes Title Trust Bank re
ceivership under advisement; maRes im
portant rulings. Page 9.
Oregon National Guard regiment at Eugene
goes out ot existence. Page 9.
Bar Association urges Governor to end holi
days with this week. Page IS.
Judge A. I Frazer. of State Circuit Court,
dead. Page 15.
Judge Frazer's successor may be Republi
can though Governor would naturally
favor a Democrat, Page 8.
Manufacturers' Association wants quaran
tine service Improved. Page 15.
HYDE IS WILLING
. TO PAY S3.00D.D0Q
Offers Restitution to
Equitable Life.
IF CHARGES ARE DISMISSED
Compromise Made With Com
mittee of Trustees.
GIVE UP ALL PERQUISITES
Exiled Insurance Man Willing to
Surrender Even Mother's Pen
sion in Order to Escape
Prosecution by' State.
NEW TORIC. Dee. 3. (Special.) James
Hyde, now an exile In Paris, offers to
make restitution to the Equitable Life
Insurance Society if all charges against
him are dismissed. What he offers will
be worth $3,000,000 or more. Attorney
General Jackson denies knowledge of
such an offer.
These are the terms said to have been
offered by Mr. Hyde:
What Hyde Offers.
First To sell to the Equitable Life at
a price to be fixed by appraisers, his
stock control of the Mercantile Safe De
posit Company, which haa a lease at an
absurdly high rate of the ground floor' of
the Equitable building. This lease has
193 years to run.
Second The stock of the Security Safe
Deposit Company of Boston to be ac
quired by the Equitable Life on the basis
of the result of a recent sale at auction
of a few shares of the stock.
Third The 1410 shares of Missouri Bafe
Deposit Company stock, which Hyde sold
to the Equitable at $250, are to be ap
praised and Mr. Hyde Is to refund to
the company the difference.
Fourth The Turner loan, amounting to
approximately $700,000, to be paid by the
guarantors. Henry B. Hyde, father of
James II., was one of the guarantors.
The Turner loan waa the original "yellow
dog" fund or the Equitable,
Surrender Pension Claims.
Fifth The surrender of all claims for
pensions by the Hyde family. After
the death of Henry. B. Hyde his) widow
was given a pension of $25,000 a year for
life by the Equitable, though she was
enormously wealthy. Paul Morton stopped
the pension payments to Mrs. Hyde,
though the legality of his action was
questioned.
Sixth The payment to the equitable by
Mr. Hyde of $62,233.61. representing hi
profits on syndicate transactions while
he was in control of the society.
Calls It Amicable Adjustment.
All of the negotiations with tha sub
committee of three, which finally result
ed In restitution being .offered on the
above terms, were made on behalf of Mr.
Hyde by Wlnslow S. Pierce. Mr. Pierce
said today it was unfair to characterize
Mr. Hyde's offer as restitution that It
was simply an amicable adjustment of a
business dispute.
FAKE IXSTTRAXCE COMPANY
Crooked Brooklyn Bankers Accused
of Another Swindle.
XETW TORK. Deo. I Application for
the appointment of a receiver for the Ex
celsior Fire Insurance Company la about
to be made by Attorney-General Jackson,
according to a statement given out by
him. The Excelsior was recently organ
ized by Howard Maxwell, William Gow,
John Q. Jenkins, Frank W. Doollttle and
others, and was financed through tha
Borough and Oriental banks.
" Maxwell, who was president of the
Borough Bank, killed himself after he
had been Indicted, following an Investiga
tion of the affairs of that Institution.
Gow, who was the principal stockholder
In the Borough Bank, is now under in
dictment as a result of the same crime.
The Attorney-General in his statement
tells of interesting operations in high
finance. He declares that the Excelsior
Company was organized to a considerable
extent on fictitious credits. The Attorney-General
declares the company's in
corporation was Issued through the filing
with the Superintendent of Insurance of
what Is charged to be a false report, and
that the full stock and surplus 'of $200,000
had not been paid In at that time, as re
quired by state law. Of the $300,000 which
was claimed to have been deposited In
the Borough and Oriental banks, the Attorney-General
maintains that only $25,
760 represented real money, the remainder
having been In the form of loans prohib
ited by the statute. . -
POWERS ARE FOli'l) LIMITED
Kentucky Insurance Commissioner
Can-not Revoke Licenses.
FRANKFORT, Ky.. Dec S. The Court
of Appeals today decided that the State
Insurance Commissioner cannot, without
statutory reasons, revoke the license of
an Insurance company to. do business in
the state.
The case grew out of the action of
Commissioner Prewitt in revoking the
license of the Mutual Life Insurance
Company, of New York, at the time that
It had relieved Biscoe Hlndman of the
state agency, because it was claimed he
was unfriendly to the men then in pow
er In the company.