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