THE MORNIXG OREGOXIiX, f Eltra.T, JANUARY 10, 1908. 6 - i . HENEY 16 highest In rank, America had ten, the West taking the honors both in the num ber of students and In the rank obtained In the examination. Nine of the 13 suc cessful Americans were educated on the Pacific Coast. " The students who passed with the high est honors were appointed to positions on come of the government boards in Pekln. TO GARTER LOSES ALL "Open All the Time" ABSOLUTE SAEETY OFFERED DEPOSITORS Is!;; TRY JOHN H. HULL FOR TWO DAYS TODAY AND TOMORROW Railroad Bonds of Engineer Are Uncle Sam's. GREAT GALE IN OLD WORLD Says Facts About Fulton Will Come Out in Proceedings. GOING Forty Persons Drowned In Morocco. Baltic Sea Floods Kiel. LONDON, Jan. . The storm in the English Channel, along uie west coast of Kurope and on the North African coast, is still caging, and many fishing boats si ready have been lost. A dispatch received here from Tangier says that two native passenger boats foundered off El Araish, Morocco. Forty persons were drowned, including some Europeans. KIEL, Jan. 9. A violent northeast wind has driven the waters of the Baltic in shore and the low lying districts of this city are flooded to the depth of seven feet. Many casualties to fishing and other small craft are reported. LONG CONTEST DECIDED ANY LADY'S SUIT in the HOUSE Grafting Army Officer Must Give Up $400,000 of Plunder He Got From Greene and Gaynor In-the Harbor Frauds. CALHOUN SOON TO BE TRIED Any COAT or CRAVENETTE, any WAIST or SWEATER, all BAGS, BELTS, COMBS, FURS at Prosecutor Denies Any Craft Cases Will Bo Dropped New Attorney to Try Other Oregon Land Cases. SAN FRANCISCO, Jan. 9. Francis J. Heney, special assistant to United States Attorney-General Bonaparte in the Oregon land fraud trials, who as .Assistant District Attorney has had rbargc of the prosecution of the San Francisco bribery-graft cases, arrived this morning from Washington and left tonight for Portland. Or., to begin the trial of John H. Hall, ex-United States District Attorney. After a conference today with Dis trict Attorney William H. Langdon and Special Agent William J. Burns, In which he made arrangements for the continuance of the trial of Patrick Cal houn, president of the United Kail roads, on the charge of bribery, until he returns from the North. "I never have dropped the prosecution ' of a case in my life, as those who are under indictment In the bribery graft rases will learn when I return," said Mr. Heney. when told of the reports that Tlrey D. Ford, general counsel for the United Railroads, would' not be brought to trial on the other indictments against him and that the prosecution of Patrick Calhoun would be dropped. "Such rumors are always circulated when there are long intervals between trials, but are without the slightest foundation in the i San Francisco bribery-graft cases, as well as in similar reports sent out from Portland In regard to the land-fraud cases there.' Try Calhoun in February. Asked what the plans of the prosecu tion are in the case against Calhoun. Ford and others, under indictment of bribery and corruption, Mr. Heney said: "When, at the request of the prosecu tion. Calhoun's trial was continued un til January 7, because of the absence of Supervisor James L. Gallagher, an im portant witness,' Calhoun asked for per mission to go to New Tork. This was granted, and it was stipulated that if he was not back on the day set for the trial, his case would not be taken up until February 1. When it cames up be fore Judge Lawlor tomorrow morning. It will be continued until the date, or per haps February 7. "I am not prepared to say yet whether I shall begin the trial of Calhoun then or first put Ford on trial again, but I will say most emphatically that those who may think that these cases will be tlropped will be much disappointed. The prosecution of them and the others in dicted will be resumed with renewed vigor upon my return from Portland. In the meantime. I will dispose of one of the cases in Portland growing out of the Oregon land frauds and place ex-United States District Attorney Hall on trial there. In order to get back to San Fran cisco by February 1 or 7, I can prosecute this time only one of the several land fraud cases pending in Portland." What's In Store fop Fulton. Speaking of the open letter of Senator Fulton, of Oregon, calling upon him to prove the charges made against him, Mr. Honey said: "Many of the facts regarding Fulton will como out in the trial of Hall, and the Senator will learn more than he may wish." Regarding the arrest of S. A. D. Puter after he had been pardoned by President Roosevelt, Mr. Heney said that the arrest was made through a misunderstanding of gome of the local officials in Portland. He did not think that the charge of per jury would be pressed against Puter. In regard to the appointment of Chris tian Schucbel as United States Attorney for the District of Oregon, he said. "I un derstand that he is friendly to the prose cution throughout." He seemed to be gratified that the candidate of Senator Pourne had won out. Mr. Heney denied the report that he had been severely criticised by President Roosevelt. On the contrary, he said, the President had received him warmly and twice invited him to luncheon. New Man for Other Land Cases. Mr. Heney has been requested by the Attorney-General and the President to se lect an attorney to take his place In the trial of the remaining Oregon land fraud rasrs, as he desires to remain in San Francisco upon his return on February 1 until all the municipal graft cases here are disposed of by conviction or acquittal, lie declares that when he comes back he will be back to stay, and he says it with the same threatening smile that Lincoln Steflens describes. "I've nothing to say about the rumors which have been circulating here during my absence to the effect that the graft cases would be abandoned," says Mr. Heney. "except that the public is invited to Judge us hy our past actions in these matters. When I was unable to locate James I Gallagher detinitely for a few days, rumors were immediately circulated by the graft defendants and their friends to the effect that the prosecution had pro cured the absence of Gallaslier and that ho would never return. These lies have been completely refuted by the return of Gallagher at the time set for Mm to b6 here. The lies which are now being cir culated will be refuted by our actions up on my return from Portland about' Feb ruary 1- W have not abandoned and do not Intend to abandon the prosecution of any graft cases which are now pending here. These rumors you hear about Heney being called off and Calhoun not coming back are merely lies of subsidized publications. There is nothing in them. Ues of the same character were cir culated In Oregon about the land fraud cases there every time I loft Portland temporarily." AMERICA TEACHES BEST Chinese Students Educated In This Country I.cad All. WASHINGTON. Jan. 9. Chinese stu dents educated In America have taken precedence over those educated In Europe and In Japan, according to advices re ceived at the State Department from American Consul-General Bergholx. at Canton, China. At a recent government examination at Pekln to test the ability of the students who had been sent abroad for education. 42 students were examined. 24 of whom had pursued their studies in Japan, 14 in the United States and four In Belgium. Three from Japan failed, and one from America, but of the S8 passed, only seven secured the doctor's degree, and five of these were educated in America. Of the SCHMITZ VERDICT VOID (Continued from First Page.) holding that they were not proper cross examination. The appellate court says: "These rulings were erroneous and highly prejudicial to the defendant." The decision comments on Ruef's having pleaded guilty to the same charges and then taken the witness-stand against one who had been his friend. The conduct, said the appellate Judges, "was such that under the plain provisions of the penal code his evidence was branded so that the defendant could not have been convicted upon it without corrobora tive testimony." In passing upon the legality of the in dictment, the- appellate court said: . Defects in Indictment. "The indictment is claimed to be in valid for two reasons: First, that it does not allege any threat to injure property, and second, that it does not allege that the threat was to do an unlawful injury." "The-gist of that portion of the decision relating to the allegation that there was no threat to injure property is contained In the following sentence: "There Is no allegation as to any threat to injure any business ' in direct terms, but only the threat to prevent the parties from obtaining a license to sell liquor." Elsewhere in tho same paragraph, it is pointed out: "There is no allegation In the indictment that the defendant ever held office." A license to sell liquor is not property in the ordinary sense of the word, says the court. In treating of the second contention of Schmitz" attorneys that there was no threat to do unlawful injury, the court declares that: No Law Against Extortion. "We are clearly of the opinion that the Indictment is Insufficient, because it does not allege nor show that the spe cific Injury threatened was an unlawful injury." It Is not " an unlawful act, reasons the court, to threaten to hold up the licenses of the restaurant-keepers or actually to do so. The decision- conr tlnues: Anyone has the right to go before tho Board of Police Commissioners, if that body will hear him. and object to the granting of license to sell liquors to a person who is keeping a place in violation of the law. He ha tho right to threaten to do so. Ho would not be morally justified in obtaining money to induce him not to carry out bis threat, but. if he did receive money under such circumstances, he would not come within the provisions of the statute. It is necessary in crimes to allege that the act was unlawful. The concluding paragraph of the de cision reads as follows: Many other questions are discussed as to refusing certain Instructions asked by the defendant and as to tho Insufficiency of the evidence to justify tho verdict, but In view of the holding as to the indictment it would serve no useful purpose to discuss them. The Judgment and order are reversed and the trial court Is directed to sustain the de murrer to the indictment and to discharge the defendant as to such indictment. Ruef appeared before Judge Dunne this morning for sentence in the extortion case, but the prosecution was granted a continuance for two weeks. Conference of Prosecutors. Both Schmitz and Ruef, when seen at the county Jail tonight, refused to make any statement or comment upon the de cision. Francis J. Heney, Assistant District At torney, who prosecuted Schmitz, arrived this morning from Washington and left tonight for Portland, Or., to take charge of the Oregon land-fraud cases there. Soon after his arrival he was apprised of the, action of the ApDellate Court and a conference that lasted from 2 until 6 o'clock followed in the District Attor ney's office among Mr. Heney, Rudolph Spreckels, who financed the bribery-graft investigation and prosecution; Special Agent William J. Burns, District Attor ney William H. Langdon and several of his assistants. At this conference the ef fect of the decision of the Appellate Court upon the prosecution and a course of action were discussed at great length. When the conference broke up, in order to enable Mr. Heney to catch his train for Oregon, the announcement was made that no statement would be given out and the District Attorney's office would adopt a policy of silence in regard to its plans. Neither Mr. Langdon nor Mr. Heney would even state whether or not an appeal would be taken to the Supreme Court from the decision rendered by the Court of Appeals. Will Push Prosecution. "The prosecution has not been embar rassed in the slightest by this decision," said Mr. Heney. "There are plenty of other indictments against both Schmitz and Ruef." "It is not' the province of the District Attorney's office to criticize the action of the Appellate Court." declared Mr. Lang don. "There are few Indictments against Schmitz and Ruef which cannot be inter preted as not constituting a public of fense. "I want to say that the prosecution of the bribery-sraft cases will be vigorously renewed and pressed to a conclusion as rapidly as possible. The various rumors and reports to the effect that the cases will be abandoned anfl that the prosecu tion is going to pieces that are being cir culated, for the purpose of embarrassing us ana creating a sentiment of antag onism and Indifference, are without the slightest foundation. Heney may die, but the prosecution will go on Just the same; Langdon may die. but not one of the grafters will escape. Just what action was decided upon at the conference this afternoon I am not prepared to say. It was agreed that hereafter nothing will be given out In advance. Small Kentucky Bank Closes. CHICAGO. Jan. 9. The Farmers Bank, of Wickllffe. Ky., closed its doors yesterday as a result of a run. The bank had a capital of $15,000. It Is stated that all depositors will be paid in full. Metzger, Jeweler, optician, S42 .Wash, CHICAGO, Jan. $. Judge Kohlsaat in the United States Circuit Court rendered a decision this afternoon in favor of the Government against Captain O. M. Carter, ex-United States Engineer, charged with having defrauded the Government to the extent of J700.000 through conspiracy with Greene and Gaynor, contractors for Port Royal harbor improvements. The court ruled that Carter was not en titled to the $400,000 In unregistered rail road bonds and other securities traced by the Government to safety deposit vaults and banks in various parts of the country. Under the decision the Government will retain these securities and the famous case, which resulted In the conviction of Captain Carter and of Greene and Gaynor and the imposing of a penitentiary sen tence, is brought to a close. Funds of Captain Carter, which the Government alleges were proceeds of Carter's collusion with Greene and Gaynor, are tied up by suits pending in the Federal courts of New -York, New Jersey, West Virginia, Georgia and Illinois. The Government prosecutors contended that the Army officer and the contractors defrauded the Government in the sum of $2,225,000 and that one-third of the amount, or about $To0,0O0, went to Captain Carter. Special assistant to the United States Attorney-General Marion Erwln was as signed to the prosecution of the cases and after several years work $400,000 Invested by Carter in various states was traced and seized. RESENT TROOPS' PRESENCE Unions Declare Order Was Blow at Organization. RENO, Jan. 9. Fully 1000 union men attended a mass meeting here tonight, called for securing an expression of opinion on the labor situation at Gold field. Resolutions upholding Govern or Sparks in calling for troops were introduced and seconded, but were voted down amid hisses. Resolutions were then passed stat ing that the troops were an unneces sary expense; were called without cause, and it was the sense of those assembled that the primary purpose for bringing the troops to Goldfield was to reduce wages and aim a direct blow at organized labor in Nevada. Members of the State Legislature who spoke were decried as enemies of union labor for upholding the call for troops. . TJKTOXS ASK ARBITRATION LAW Goldfield Miners Send Petitions to State Xieglslature. GOLDFIELD, Nev., Jan. 9. The labor unions here are preparing a bill to be sub mitted to the extra session of the Legisla ture, asking for compulsory arbitration and an appeal has been Issued and peti tions circulated asking for Its enactment Into a law. It depends upon Governor Sparks whether the Legislature will be permitted to act upon the subject as it would have to be embodied in the Gover nor's message to that body. Word was received here today that 'both Senator Newlands and Senator Nixon are on their way from Washington to assist in getting through the Legislature such police laws as have been suggested by the Governor. A large delegation will go to Carson from Goldfield representln- the law and order forces and the Miners' Union will also be largely represented, to fight any measures favored by the Mine Operators' Association. MIXERS REACH GOLDFTEID Deserters From Federation Will Help to Break Strike. GOLDFIELD, Nev., Jan. 9. Eighty miners and muckers arrived in Goldfield today on a special train and were un loaded at Jumbo Town and taken di rectly to the boarding-houses of the Con solidated Company. Of this force 50 will be employed In the Mohawk mine. The men are all Americans and were recruited in Salt Lake City from former employes of the mines at Park City, Utah. The majority of them are said to have been Western Federation men, but all are said to have signed the pledge J acted by the Goldfield operators. Smeltermen Refuse to Strike. HELENA, Mont., Jan. 9. At a meeting last night of the employes of the East Helena plant of the American Smelting & Refining Company, a motion to go on strike was defeated by only Ave votes. It is believed that there will be no further trouble over the reduction in wages. Big Mills Resume Work. PROVIDENCE, R. I., Jan. 9. The Weybosset mills of the American Woolen Company In Olneyville, employing 860 hands, have resumed operations on full time after running four days a week for six weeks. Withdrawing Troops From Muncle. MUNCIE, Ind., Jan. 9. Major-General McKee issued orders this afternoon for the return to their homes of three com panies of militia now in Muncie. Street cars are now running on normal schedule. New York's Idle Workmen. NEW YORK, Jan. 9. The committee of the Central Federated Union reports that there are 160,000 men out of em ployment in New York City alone. Gotch to Meet Hackenschmldt. BALTIMORE. Jan. 9. Frank A. Gotch, champion wrestler of the United States, announced today that he had received a telegram indicating that George Hacken schmldt had consented to meet him. The dispatch was an inquiry as ,to whether a date for a match between April 1 and May 1 wouid suit. Gotch said that it would, and that either Kansas City or Chicago would be chosen as the scene of the contest. Will Enforce 16-Hour Law. HELENA. Mont., Jan. 9. The State Board of Railroad Commissioners today directed the Attorney-General to file three actions in the District Court against the Northern Pacific Railway Company, al leging violations of the 16-hour employ ment law (or employes In the train eerv No interest paid on commercial accounts or daily balances. INTEREST Paid on Term Savings Accounts By the old gold tried and tested German-American Bank Corner Sixth and Alder Streets Opposite Oregonian ice; and of the "dinkey" caboose law &jid for non-observation of a regulation pro hibiting the collection of more than 10 cents excess where cash fares are paid on trains. The first suit was filed today and the others will follow so soon as the papers can be prepared. Frank Gotch Loses Contest. BALTIMORE, Jan. 9. Frank Gotch to night failed to throw Gus Schoenly, of this city, twice within an hour. Gotch won tne first fall in 41 minutes, and was unable to secure the next fall within the time remaining to him. : 81fcy.il Spectacles $1.00 at Metzger's. ' " 1 era o ric Also for the Two Days ANY MAN'S SUIT in the HOUSE (Reserving only the blacks and blues) 500 HAND TAILORED SUITS for Immediate Clearance at ID ric I. GEVU&TZ FIRST 8 SONS ON YAMHILL SECOND . jarl hI" I Among; the best beers, the differences are not largely due to materials. 'Twould be folly to skimp there. Most differences in taste are due to the skill, or the lack of skill, in the brewing. And to the yeast. But quality refers, above all, to the purity. Pure beer has no germs in it, and it does not cause biliousness. It is not only good, but good for you. Purity is rare because it is costly. And because its lack is not easily noticed. But in Schlitz beer it is the Ask for the Brewery Bottling. Common beer is sometimes substituted for Schlitz. To avoid being- imposed upon, see that the cork or crown is branded ff r- fl fhe Beer first requirement. We spend more to attain it than on any other cost of our brewing. Sherwood & Sherwood, 8 Front Street, Portland. .6 Rial Mm Milwaukee R 1