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About Morning Oregonian. (Portland, Or.) 1861-1937 | View This Issue
VOL. XLVI.- NO. 14,709.
PORTLAND, OREGON, WEDNESDAY, JANUARY 29, 1908.
PRICE FIVE CENTS.
Charges Senator Is
Unfit for High
"BETRAYS PUBLIC TRUST"
Presents Affidavits That Ful
ton Gave Bribe for
HANDLED THE SACK IN 1897
Also Asserts That He Aided
SPEAKS TO BIG AUDIENCE
Special Prosecutor Accepts Chal
lenge of Senator Fulton During
Address on "Graft Versus
HENEY'S CHARGES AGAINST
That Charles "W. Fulton wai Sena
tor Mitchell's sack-holder and dis
tributer of funds during the legis
lature of 1897.
That Fulton used his Influence as
State Senator as attorney for the
Astoria ft Columbia River Railroad
and corporations, as United States
Senator to prevent enforcement of
laws that he was sworn to uphold
and to protect his friends from in
dictment and prosecution.
That he bought votes outright dur
ing the "hold-up" Legislature of
That tn ISiW he did his utmost to
defeat Justice and prevent the en
forcement of law by aiding and abet
ting the land frauds as attorney for
the Hammond lumber Interests.
That his connection with shady
land deals continued after that time,
particularly in inoa
That he agreed with Senator
Mitchell to shield Brownell from
prosecution by the reappointment of
Hall as United States District At
torney. That he represents the interests of
the railroads and big corporations at
Washington and not those of the
Before an audience that filled the
First Congregational Church to its
doors. Francis J. Heney, the Govern
ment's Special Prosecutor in the land
fraud cases, last night picked up the
gauntlet thrown down by Charles V.
Kulton. senior United States Senator
from Oregon, and gave to the public
for the first time his reasons for ac
cusing Senator Fulton of unfitness for
the high office ho now holds.
Mr. Heney spoke on "Graft versus
Good Citizenship," and attacked ene
mies of good government generally, se
lecting Senator Fulton, as he told his
audience, merely as a type of the pub
lic official who is recreant to duty and
false to his trust. He devoted most of
his time to exposing the alleged short
comings of the Oregon Senator and,
metaphorically speaking, flayed hira
alive after stripping him of his toga.
The charges which Mr. Heney had
made by Implication and Innuendo
against Senator Fulton were repeated
without equivocation and in detail and
backed up with a huge mass of docu
mentary evidence, affidavits, letters
and reports, such as a lawyer might
use tn proving a case before a jury.
Referring to Senntor Fulton's challenge
to him to prove his charges or retract
them. Mr. Heney said that he was pre
pared to take the former course, and
proceeded to lay before his auditors
the facts upon which his original
charges were based.
Still Betrays People.
That Senator Fulton had repeatedly
betrayed the people of Oregon while
holding public office; that he had used
his official position to shield -violators
of the Federal statutes: that he long
had been, and still was. the tool of
the railroads at the National capital,
and that he had even descended to de
bauching and bribing an Oregon Legis
lature to elect the late John H. Mitchell
to the United States Senate, were
among the charges boldly made by the
In course of his speech, Mr. Heney
reiterated the statements he recently
made in a published interview, to the
effect that there is too much protecting
of lawbreakers by men in high office,
and even intimated that he entertained
s doubt as to whether the success of
a government of the people, by and for
the people had been proved, though he
expressed the belief that the people
would ultimately work out their own
Talking in this strain, Mr. Heney
vehemently assailed the railroads and
great corporations, which he alleged
had squandered the Nation's heritage
of natural resources, and expressed a
fear that if the people did not soon
awake to a sense of their wrongs the
wealth of the entire country would at
no distant day be centered in the hands
of the few and the many reduced to
iio Room for a King.
Referring to J. Pierpont Morgan, who
has recently been called "the uncrowned
king of finance," Mr. Heney evoked a
tremendous burst of applause by saying:
"There Is no room in this country for a
king, crowned or uncrowned."
During his address he frequently called
attention, to similarity of the operations
of grafters in California, Oregon and else-
i v it i
I f f ' ' . ' 'ii I
I I- lv-'
ill. - P$J t
Francis J, Heney, Who Takes
Up Gauntlet Thrown. Down by
' Senator Fulton.
where. He made the point that the cities
of America are confronted by the same
problems and said the demand for special
privileges had caused the widespread
graft that Is found in all to a greater or
less degree. During the latter part of his
speech, Mr. Heney went rather fully into
the disclosures resulting from the graft
Investigation in San Francisco.
Robert Livingstone, a member of the
Portland Municipal Association, under
whose auspices the address was made,
presided, while a number of members of
that organization were seated on the
platform. Mr. Livingstone called atten
tion briefly to the -widespread demand -all
over the country for better government,
after which he introduced Mr. JJeney. As
the speaker stepped forward smiling the
smile that has made him famous, he was
greeted with prolonged applause.
Perjury a Common Crime.
After giving a brief outline of how the
land frauds originated In this state,
through the connivance of Land Office
officials and lax government prosecutors,
Mr. Heney said perjury, the most common
crime In the calendar, had flourished to
an alarming extent in Oregon. District At
torneys, he held, were equally guilty with
conniving Land Office officials in permit
ting thefts of public lands.
Then he got down to what everyone
was waiting for, the flaying of Senator
C. "W. Fulton. He referred to the Ful
ton letter, which demanded that he make
good his threats. He said he proposed
to do so and started in by giving proofs
of charges. He said that he was not
engaged in any campaign against Fulton,
but believed him recreant and unworthy
of re-election. He then referred to the
legislative hold-up of 1897, when lie
charged that Fulton was the official cus
todian of a Mitchell corruption fund of
SJ5.000 and used it to debauch legislators.
To support his statement, ' he read a num
ber of affidavits, one made by Represen
tative Smith, of Linn County, who said
under oath he had been offered $3000 if
he would vote for Senator Mitchell at
that time. The offer was said to have
been made by Fulton in the presence of
and with the approval of 'Mitchell. As
an evidence of good faith. Smith said he
was given tlMO in greenbacks as a first
payment on his vote.
Electrifies His Audience.
This part of Mr. Heney's speech was of
the most sensational character and the
large audience was electrified by this
first public recital of what Mr. Heney
says is unwritten political history.
But this was not the only shot Mr.
Heney had In his locker for Senator
Fulton. He charged that In 188S Sen
ator Fulton, as attorney for the As
toria & Columbia River Railroad and
the other Hammond interests, took an
active part in stopping the prosecution
of a number of persons who had been
secured by the Hammond people to
file illegally on valuable timber lands
in Tillamook County. The Brownell
incident and his, Brownell's, protection
from indictment and prosecution
through the appointment of John H.
Hall as District Attorney, as dis
closed during the case now on trial
in the Federal Court, was also brought
Fully 1400 people heard Mr. Heney's
spe'ech and almost as many more were
turned away at the doors of the
church. Following Is Mr. Heney's
speech in full:
Mr. Heney's Speech.
Oregon leads the United States today in
trying methods to get 'jack to real democracy.
I know that some of those who were baptized
long ago In the doctrine of machine politics,
and even our very Intelligent friend. Harvey
W. Scott, does not think that the initiative
and referendum and the direct primary law
are going to accomplish the best results for
Oregon. Personally, I believe that the direct
primary has accomplished one result which
makes It worth enough to the people of Ore
gon that you could afford to adopt it if It
was wrong in. every other particular, and that
one thing which it tas accomplished is to
bury the political bosses who existed In this
No man now in Oregon can say, "I want
(Continued on Page Four.)
PUT TAXES UPON
in Utters Tirade.
WHAT IS IT ALL COMING TO?
Bitter Words for Women Who
PLACE TARIFF ON DUKES
Some Doubt as to Classification, hut
Geese Might Do Every Day a
Bargain Day in New York
for Anything Desired.
"WASHINGTON, Jan. 28. (Special.)
Representative McGavin, of Illinois, In
the House today attacked the custom of
American girls marrying titled foreign
ers. He said he had no particular
person in view, but went on to say that
"women are sacrificing their souls and
their honor on the altar of snobbery
and vice." He maintained that every
day is a bargain day in New York,
"where you can buy anything, from a
yard of ribbon to a pound of flesh."
Mr. McGavin was speaking on the
Mil to tax dowries and titled husbands.
His remarks were made under the
license of general debate and at times
they provoked laughter and applause.
"What Are Things Coming To?"
The House, he said, was in committee
of the whole on the state of the Union,
but he wanted to know what the state
of the Union was and what it was
coming to In view of these interna
tional unions between American heir
esses and alleged . nobilities from
abroad. He wondered what the early
pioneers would say and think if from
their graves they could look back and
see so many of the women of this
country "sacrificing their souls and
honor iipon' the altar of snobbery and
vice." He expressly stated that he had
reference to no particular American
girl nor had he prejudice against all
titled men, but he referred "only to
those who have a monocle in their eyes
and an idiotic look upon their faces
those who have neither the disposition
to do good nor the ability to do harm."
Tariff on Dukes.
Mr. McGavin said his curiosity had
been aroused to know the right com
mittee to which the bill should have
gone, but he had found it properly had
gone to the committee on ways and
means, because It sought to levy a tax.
And then he said lie was "curious to
know whether the present tariff sched
ule included dukes, earls, lords and
counts, and finding that these things
were not mentioned, I thought it might
be proper for the customs officials to
classify them like frog-legs, as poultry,
for it is a general opinion among
THE OLD DOCTOR GETS BUSY AGAIN j
j. ' " "
Americans that they are a species of
Mr. McGavin said the United Slates
triumphantly had referred to the fact
that as between it and other nations the
balance of trade was in Its favor, "but,"
he said, "nowhere In the summary can
be found a reference to such trade in
which soiled and frayed nobility is ex
changed for a few million American
dollars wrung from the lambs of Wall
Street with a woman thrown in to
Every Day Bargain Day. -
Every day, he declared, seemed to
be a bargain day in New York City,
"whether it be for a yard of ribbon, or
a pound of flesh; whether It be upon
the retail counter on Broadway, or the
auction block of Fifth avenue.
"In these days," he said, "wealthy
American girls traveling abroad, when
they see some remnant of royalty, en
thusiastically exclaim, 'Oh, mamma, buy
me that.' An Interpreter then is se-
Congressman Charles K. Fowler,
Chairman of the House Committee
on Banking and Currency, Who
Praises Morgan as Banker-Patriot.
cured, a bargain is made, the money is
produced and the girl is gone, soon to
return, a sadder, but a wiser one."
In conclusion, Mr. McGavin said:
"While I have engaged in some crit
icism of those particular ones who have
made a mockery of the' most sacred
relations of life of those not satisfied
with any other name but 'Countess
Spaghetti,' or "Countess Macaroni,' I
want to say one word In tribute to
those true American women who have
spurned the wiles of earls, lords and
counts for the love of His Majesty an
American citizen." - -
MOSEY FOR PAX AM A pAXAIi
Debate Between Johnson and Taw-
ney Over Previous Bond Issue.
WASHINGTON, Jan. 28. When the
urgency deficiency bill was taken up by
the House committee on ways and means
today, Mr. Johnson, of South Carolina,
attacked the Panama bond issue and de
clared that the money did not go for
the purpose of construction of the canal.
Mr. Tawney took issue with him and
said it was the duty of the Secretary to
issue the bonds for the reason that ex
penditures already made exceeded by al
most t50.000.000 the amount of the proceeds
of the previous bond sale.
"What did he do with the money?"
asked Mr. Johnson. "Did he turn it into
"He reimbursed the Treasury for ex
penditures previously made," interjected
"No, he has not yet reported it as
(Continued on Page 8.)
Commercial , Bodies
' Unite to Urge It.
SEND COMMITTEE TO CAPITAL
Propose Congress Appoint a
REPORT TO NEXT CONGRESS
President, Speaker and Committees
of Both Houses to Receive Vis
its Get Ready to Revise
CHICAGO, Jan. 28. A most influential
and representative committee organized
by the Chicago Association of Commerce
will assemble on February 2 in Washing
ton for the purpose of urging tariff re
vision without the interference of poli
tics after the next Presidential election.
Besides the Chicago Association of
Commerce, the following organizations
will be represented: National Associa
tion of Manufacturers, Millers' National
Federation, Chicago Board of Trade,
Baltimore Board of Trade, Minneapolis
Chamber of Commerce, American Meat
Packers' Association, .National Live
stock Association. Cottonseed Crushers'
Association and others.
The programme of the committee in
cludes calls upon President Roosevelt,
Speaker Cannon, the ways and means
committee. of the House and the finance
committee of the Senate. The commit
tee will urge the formation of a non
partlsasn commission of experts, whose
duty it will be to investigate alleged
inequitable tariff schedules and report
upon them to Congress.
It is said that there is no political in
fluence of any kind behind the commit
tee, which Includes both Democrats and
RECIPROCITY WITH FRANCE
Important Tariff Concessions Ob
tained at Slight Cost.
WASHINGTON, Jan. 28. The President
late today issued a proclamation an
nouncing the conclusion of the Franco-
American reciprocity arrangements drawn
under section 3 of the Dingley act. Under
It America concedes a 20 per cent abate
ment in duties on champagne and spark
ling wines imported into this country, and
France confirms the minimum tariff rate
now accorded American products. Other
Important provisions are made, including
the creation of a commission to consider
possible amendments to trade regulations
between France and America.
Accompanying the proclamation is the
text of an agreement signed today, the
feature of which, in addition to the state
ment of new duties on champagne, is
found in article 1, by which France grants
to the United States and Porto Rico the
minimum -duty imposed on coffee, cocoa.
chocolate, vanilla and other products sub
ject to the French colonial . products
tariff, except sugar, and its by-products
and tobacco products. The lowest duty
is also to apply to mineral oil from the
United States to France and Algeria.
France reserves the right to withdraw
these concessions whenever the United
States imposes on French commerce addi
tional duties which France deems unjust.
The two commissions of experts, three
from each country, are to ascertain fully
the existing conditions in each country
as bearing on the necessity of the regula
tions affecting the trade of the other
country and as bearing upon the practica
bility of reciprocal tariff concessions.
Under the reciprocity agreement of Z902
France suspended the duty on American
coffee, nearly alt from Porto Rico, for
one year. At that time France sought
reduced duties on champagne, but these
were denied, though the United States
promised that, if such reductions were
made on the champagne of any other
nation, France should have the same con
cession. France has delayed the appli
cation of the higher duties on Porto Rican
Miss Eunice JetTers, Who Will Marry
Mayor Taylor of San Francisco.
coffee for over four years and has re
sisted the demand of French olive-growers
for maximum duties on American
cottonseed oil and the demands of her
ally, Russia, for higher duties on Ameri
can petroleum; also demands for higher
duties on American shoes and othef
But when Germany was granted a re
duction of 20 per cent in duties on cham
pagne and sparkling wines, France
claimed the fulttllment of the promise and
tne result is the present agreement.
BEAUTY AFTER DIVORCE
HELEN N. LOSS WOULD BE FREE
FROM C. E. LOSS.
Married Eight Years Ago Complaint
Alleges Desertion Loss Promi
nent In Portland Circles.
SAN FRANCISCO, Jan. 28. (Special.)
sun for divorce was filed today bv Helen
N. Loss, wife of C. B. Loss, the well
known contractor and railroad builder,
who has been prominent in the engineer
ing rield in San Francisco and Portland.
Or. The complaint charges desertion. The
Losses were married in Grand Ranids.
Mich., in 1900". They lived happily for
five years and then separated. Mrs. Loss
recently took apartments at the St. Fran
cis Hotel in tills city. She is a woman
of great beauty and her handsome gowns
have made her one of the most talked of
women in local society.
Loss has the contract here for the con
struction of the Ocean Shore Railway. He
has just submitted a ibid to construct a
$5,000,000 sewer system for the city. In
Portland he has been identified with large
CONTENTS TODAY'S PAPER
Congressman Gavin makes SDeeeh
against marriage of heiresses to for
eign nobles, .page 1.
Roosevelt sends French reciprocity
agreement to Congress. Page 1.
Fleet passes River de la Plata and Is
met by Argentine squadron. Page 10.
Senate subcommittee will report against
confirming Schuebel. Page 2.
Bryan talks currency with Senators and
condemns Supreme Court decision on
blacklisting. Page 10.
Ex-Senator Warner Miller falls.
Commercial organizations will send' com
mittee to Congress to urge tariff re
vision. Page 1.
Evidence in Thaw trial completed and
argument begins today. Page . 10.
Hueston's assistant testifies for state in
Pennsylvania capitol trials. Page 10.
Great fires In Kansas City, Chicago
and Port Harford, Cal. Page 3.
Lieut. Lahm makes baloon flight from
Canton, O., to Oil City, Pa. Page 6.
Charges of graft in erection of opera
house at Boyertown, Pa. Page 10.
Portland woman on trial in Seattle for
Injuring old man with automobile.
Lownsdale lectures to Salem orchardlsts.
C. E. Loss sued for divorce. Page 1.
Rabbi Nletro tells all about Ruef's im
munity contract. Page 3.
Commercial and Marine.
Oversupplied condition of hop market.
Chicago wheat prices respond to bullish
news. Page 15.
Stock market is given good support.
Page 1. i
Steamship Germanicus with lumber and
Armen with grain clear. Page M.
Portland and Vicinity.
Francis J. Heney attacks Senator Ful
ton in speech on "Graft versus Good
Citizenship." Page 1.
Judge Hunt overrules motion for in
structed verdict of acquittal for John
H. HalL Page 1.
Letters reveal connection of Hall and
Fulton with Burke case. Page 7.
Republican committee Issues call for
-nass convention. Page 7-
Multnomah Bar Association favors In
crease in judgeships. Page 14.
Market Association goes to, court to re
tain franchise. Page 11. - ,
l . : j
'V - " ! -
Judge Hunt Declines to
HALL TRIAL MUST GO ON
Defense Aryues That Conspir
acy Is Not Proved.
DROP MAYS INDICTMENT
Conrt Rules That in Cases of Con
spiracy, a Continuity of Omission,
.to Act May Become Affirm
ance of Unlawful Acts.
JUDGE HUNT'S RULING ON MO
TION FOB DIRECTED VERDICT.
The Court could not say. at this
time, as a matter of law. that there
Is not sufficient evidence to go to
the Jury: nor can the Court say
that only one Inference could be
drawn from the whole evidence by
reasonable men deliberating- upon it.
And I proceed upon the premise that
so far as the law is concerned. I
take it that it must be the law that
in cases of conspiracy a continuity
of omission to act. and the Intent
to accomplish an unlawful purpose,
may become the affirmance of- the
unlawful acts -when done, and co
operation with those who do them.
Such, succinctly stated. I take it to
be a principle that must pervade
the law. I think the case must so
to the Jury and that tt would not
be proper for the Court now at this
time to undertake to say only one
legal view could be attained from
this evidence.- The motion for the
directed verdict wilt be denied and
the exception of the defendant
Judge Hunt yesterday denied the mo
tion of Judge Webster... attorney for
John H. Hall, for a directed verdict of
acquittal. When Heney closed the case
for the Government, shortly before
noon yesterday, he caused the indict-
ment to be dismissed as against Edwin -"3?
Mays, Hall's co-defendant, explaining"
that he did not consider th'e prosecu
tion had sufficient . evidence against
Mays to warrant submitting his case
to the jury. It was then that Judge
Webster announced his desire to sub
mit a motion in behalf of his 'client.
Hall, and court adjourned until after
noon to enable him to prepare the mo
tion. The entire afternoon session was
occupied in arguing the question, and
Judge Hunt made, his ruling Just before
adjourning for the day.
In concluding the Government's case,
Heney completed his threatened impli
cation of Senator Fulton as legal coun
sel in connection with the indictment
of W. E. Burke and William G. Goslin
for conspiracy to defraud the Govern
ment by subornation of perjury, by in
troducing letters from Fulton to either
Hall, Hermann, Senator G. W. Mc
Bride or Attorney-General Griggs, in
which Fulton used his efforts to have
quashed the indictment against Burke
and Goslin. Documentary evidence
was submitted showing that the indict
ment was finally dismissed on March 2,
1900, without the formality of a trial.
The testimony for the Government in
the Hall case consists of 1237 pages of
typewritten copy and 118 exhibits, con
sisting principally ot correspondence
that passed between some of the prin
cipals In the case and prominent poli
ticians, residents of Wheeler County or
Special Agents connected with the In
The introduction of testimony for the
defense will begin this morning. It is
not known how many witnesses Hail
has subpenaed, but Judge Webster has
said that not more than two days will
be required to present the case of his '
client. Mr. Hall has also declared that
he will take the stand in his own be
half, and it Is more than probable he
will take the stand some time today.
While the Government will contend
that the alleged conspiracy with which
Hall is charged was formed at the time
of the conversations .between Hall and
Hendricks and Steiwer early in the year
1900, it will be the contention of the
prosecution that the failure of Hall as
a public official charged with the. en
forcement of the laws Is the equivalent
of a participation in the con
spiracy that was allowed to ex
ist and carry out its unlawful agreernent
through the Inaction of Hall as the Gov
ernment's prosecuting officer.
At the opening of the afternoon session
Judge Webster presented his motion
asking for a directed verdict on the fol
First That the indictment herein doe
not comply with the constitutional require
ment of article 6 of the amendments to
the Constitution of the United States In
that it does not inform him of the nature
and cause of the accusation aKainst htm as
is more fully set forth in the objections
On the ground that there is not sufficient
evidence to be submitted to a Jury in thi:
(a) That there is no evidence from which
the Jury could find that said defendant was
connected as a co-consolrator with a con
spiracy of the kind charged in the indict
ment, or any kind of conanlracy.
tb) That there is no evidence tending
to connect the said defendant as a co
conspirator with a consolracy of the kind
charged in the indictment within three
veers prior to the nllng of the said indict
ment, towlt: within three years prior to
October 10. 1905.
In support of his motion. Judge Web-
( Concluded on Page T )