VOL. XLVIII. NO. 14.736. PORTLAND, OREGON, . THURSDAY, FEBRUARY . 20, 1908. PRICE FIVE CENTS. M'KINLEY LANDS: IS Romantic Story of Escape From Jail. FREED BY BAND OF OUTLAWS Wall Fell Out and He Was Car ried Off in Sack. BETRAYED BY A RUSSIAN Fugitive Land-Fraud Operator Is Brought Back After Two Years' Wandering In Orient Kerri gan's Chase After Him. BAN FRANCISCO, Keb. 19. (Spe cial.) Horace G. McKinley, a fugitive from justice, who sailed from this port two years ago in company with "Little Egypt" on the liner Mongolia, returned today on the Ameriqa Maru in custody of J. F. Kerrigan, Deputy United States Marshal, who left for Port land' tonight with his prisoner. There are more than 100 Federal in dictments against McKlnley in connec tion with Oregon land frauds and ever since he disappeared Government de tectives have been on his trail. Mc Klnley was arrested at Mukden, but while waiting- extradition escaped with th6 assistance of the most notorious robber band in the Far East, which hid him for weeks and would have placed him beyond even Uncle Sam's reach, but for the treachery of one of Its members. Released by Outlaw Band. The story of McKlnley's escape from the' Mukden prison is straight melo drama, to which McKlnley today added the finishing touch, by begging . that no mention be made of the part played In his release and subsequent protec tion by his friends, the outlaws. While in Mukden jail, McKlnley, feeling Hfe in the knowledge that no extradi tion treaty existed between tjie United States and China, learned that Secretary Root had requested the Chinese govern ment, as a matter of courtesy, to allow his extradition on a legal basis. lie learned that the request was likely to be granted, and when his friend "Billy" Read the same William K. Read who was arrested upon his arrival here a few Says ago on the transport Crook paid him a visit in jail he asked Read to take a note to his friends of the Hung Hu Tse. Carried Away in Sack. The Hung Hu Tse is an organization of outlaws from all parts of the world, with headquarters at Mukden, which ia a sort of Oriental Honduras. The Hung Hu Tse acted promptly. Read took the reply to the prisoner. It was brief but explicit. In substance it told McKlnley to enter the- toilet-room attached to his cell at 8 o'clock on the. evening of No- vember 11, press against the north end, and the wall would fall out. Hanging his coat where the guard could see it, McKlnley followed directions. He fell out with the wall and was seized by his friends of the Hung Hu Tse, who put him in a sack and carried him away. Betrayed by Greedy Russian. The discovery of his escape was fol lowed by great confusion and an ener getic man-hunt. Ey day McKlnley lay hid in a Chinese coffin. He took air and exercise by night, dressed as a Russian woman. He was smuggled out of Muk den later and was getting on the train at Harbin Devember 27, when he was ar rested. He was disguised as a Russian tourist and would have made his way safely to Siberia, but for the cupidity of the Russian who had supplied the wardrobe. A reward of J4000 had been offered by the Chinese government for McKlnley's apprehension and this money the Rtissian earned by pointing McKln ley out to the authorities. He was taken to Tientsin by Vice-consul Marvin and held In the British jail until the arrival of Mr. Kerrigan from Oregon. Kerrigan's Record Journey. When Mr. Kerrigan arrives in Portland, he will have traveled 27.412 miles on Mc Kinlcy's trail. He left Portland last October. When he arrived at Tientsin he learned that McKlnley had escaped and started homo. At Honolulu he found a cablegram ordering him back to Tien tsin. He and McKlnley became good friends on the homeward journey. McKlnley said yesterday that he would like to tell all he knows, but has been advised to-keep his mouth shut, and his custodian declared that his orders were to keep McKlnley away from reporters. Read met McKinley when the liner reached the wharf and the two talked long and earnestly. A deeply veiled wo man in black was also on the wharf waving friendly greetings to. the prisoner. McKinley was taken directly from the steamer to the Oregon train. WANTED FOR TRIAL IX APRIL McKlnley's Adventurous Career as Land-Fraud Operator. Horace G. McKinley was convicted December 8. 19i4, together with S. A. D. Puter. Emma L. Watson and Dan W. Tarpley forv land-frauds In the famous "11-7" cases in which Frank H. Wolga uiot, a Portland dentist, pleaded guilty. WAY NORTH McKinley was released on a bond for H00O with Eugene Blazier and Jack Grant as bondsmen. Before sentence could be pronounced, McKinley went to San Fran cisco and sailed for China, where he was apprehended and by special permission of the Chinese authorities his return to the United States was consented to. He escaped from jail at Mukden, but was re captured. Having reached San Fran cisco yesterday, it is expected McKinley will arrive in Portland in company of Detective Kerrigan Friday afternoon. In addition to his conviction for fraudu lent land transactions. McKinley is scheduled for the opening trial on April IS next, on a. charge of forgery, when the Oregon land-fraud trials are resumed. McKlnley's co-defendant, Puter. was sentenced to two years in the Multnomah County Jail, but after serving IS months was pardoned by President Roosevelt. BONAPARTE TAKES APPEAL Will Try to Reverse Decisions in Land and Rebate Cases. WASHINGTON', Feb. 19. The Attorney-General today filed appeals in the Supreme Court of the United States in a number of cases in which residents of Colorado were unsuccessfully prose cuted In the United States District Court of that state on the charge oj conspiring to defraud the Government Otto Kelsey, Superintendent of In surance for New York State, Who Put Mutiwl Reserve Life Insurance Company In Receiver's Hands. 1 out of valuable coal land, and also in a rebate ease against the New York Central Railroad Company, in which the Government failed to make out a case in the lower courts. LOSES MONEY. TAKES LIFE EX-PORTLAVD MAIL-CARRIER A SUICIDE. Disconsolate at Bank Failure, He Plugs Up Chinks and Turns on the Gas. OAKLAND, Cal., Feb. 19. (Special:) Brooding over his failure to secure work and the fact that his wife was working in a store to support the two of them, Kerthley B. Stevens, an ex carrler in the Portland Postoffice and a native of that city, took his own life in a carefully-planned manner here to. day. When his wife left for her work in the morning, Stevens bade her an af fectionate farewell, but she had no euspicion of his- intentions. After she left he started to plug up all the cracks In the windows and doors of the kitchen of the two rooms they occupied at 2118 Adeline street. He then lay down on the floor, pulled off the hose connecting the gas-pipes with the range, and awaited the end. . The fumes of the escaping gas at tracted the attention of David Barclay, the landlord, about 2 o'clock this after noon, and the door was forced open, to find the room full of gas and the dead body of Stevens on the floor. Stevens was 40 years of age. and had been married for several years. He is said to have had money in one of the Portland banks that failed last Fall, and brooded considerably over this. His wife was prostrated with grief when told of his act. A Portland letter-carrier who has heen connected with the Portland Postoffice for 18 years, stated last night that he does not remember any man named K. B. Stevens connected with this office. He stated that there is a man named Stevens now working' here as a carrier, and that he is the only one of that name who has been so em ployed. TWO LIONS GIFT TO POPE Presented by King 'Menelik Through Abyssinian Priest. ROME, Feb. 19. Father Bernard, a mis sionary priest from Abyssinia, was re ceived in private audience today by the Pope. The priest brings the pontiff a present of two lions from King Menelik of Abyssinia, and a message expressing the desire of the King to insure the se curity of Catholic missionaries through out Ethiopia. Father Bernard presented the Pope also with autograph letters from King Mene lik. Queen Taltou and the Abyssinian Ministers of Justice and Foreign Affairs. The Pope was especially pleased with the decoration of the Ethiopian star, "which was sent by King Menelik to both him self and the Papal Secretary of State, Cardinal Merry del Val. Settle British-American Claims. . WASHINGTON. Feb. 19.-A treaty t-ro-vlding for a joint commission to adjudi cate whet are termed minor claims be tween the American and British govern ments as well as between citizens of the two governments has been drafted passed upon by the State Department and delivered to Ambassador Bryce for the consideration of his government It was explained today that It was the in tention to provide for the disposal nniv r.t existing claims, and not such as may wi3 .11 ujv 1UIUIC. DIRECTS INQUIRY . INTO WAGE ISSUE Roosevelt Would Avert Railroad Strike. CAUSE OF WAGE REDUCTIONS Is It Drastic Legislation or High Finance? GIVE PUBLIC THE . FACTS Interstate Board Ordered ,to Collect Data and Be Ready for Concili-' ation on the -Roads Which Threaten Reductions. WASHINGTON, Feb. 19. Serious indus trial disputes in prospect were in the mind of President Roosevelt when he wrote a letter to the Interstate Commerce Com mission yesterday, which was made pub lic today. He -says that information has reached him that on account of the enact ment of drastic laws by the Congress and by the various State Legislatures, It is regarded as necessary by railroad com panies to reduce the pay of employes. He points out that under the law either party may demand the services of the chairman of the. Interstate Commerce Commission and of the Commissioner of Labor as a board of conciliation. He suggests, therefore, that the Interstate Commerce Commission make such an in vestigation as will enable it to furnish data concerning wage conditions on vari ous railroads that may relate directly or indirectly to the possible impending con troversy. The text of the President's let ter follows: Railroads Blame Legislation. To the Interstate Commerce Commission I am Informed that s, number of railroad companies har served notice of a proposed reduction of wages on their employes. One of them, the Louisville A Nashville. In announcing- the reduction states that the dras-. tic laws inimical to the Interests of the rail roads that have, in the past year or two been enacted by Congress and the state Legisla tures are largely or chiefly responsible for the conditions requiring the reduction. Under such circumstances it is possible that the public may soon be confronted by serious Industrial disputes, and the law pro vides that In such case, either party may demand the services of your chairman and of the Commissioner of I.abor as a board of mediation and conciliation. These reduc tions in wages may be warranted, or they may not. As to this the public, which Is a party, can form no Judgment without a more complete knowledge of the essential facts and real merits of the case than It now has or that it can possibly obtain from the special pleadings certain to be put forth by. each side In case their dispute should bring about serious interruption of traffic. Put Blame In Right Pluce. If the reduction in wages Is due to natural causes, the loss of business being such that the burden should be, and is, equitably dis tributed between capitalist and wagework ers, the public and Congress should know it. and if it Is caused by misconduct In the past financial or other operations of any railroad, then everybody should know it, es pecially If the excuse of unfriendly legisla tion is advanced as a method of covering up past business misconduct by the railroad managers or as a justification for failure to trat fairly the wage-earning employes of the company. Moreover, an Industrial conflict between a railroad corporation and its employes offers PUZZLE: PUT THESE TOGETHER AND MAKE peculiar opportunities to any small number of evil disposed persons to destroy life and property and .foment public disorder. Of course. If life, property and public order-are endangered, prompt .-and drastic measures for their protection become the first plain duty. All other duties then be come subordinate- to the preservation of the public -peace, and- thq real merits of the original controversy are necessarily lost from view. This vital consideration should be ever kept in mind by all law-abiding and far-sighted members of labor organisations. Guide Public Opinion Right. It. is sincerely to be hoped, therefore, that any wage controversy which may arise be tween the railroads and their employes may find a peaceful solution through the methods of conciliation and arbitration already pro vided for by Congress, which have poved so effective during the past year. To this end the Commission should be in a position to have available for any board of conciliation or arbitration relevant data pertaining to such carriers as may become Involved In In dustrial disputes. Should conciliations fall to effect a settlement and arbitration be rejected, accurate information should be atauanie in oruer to develop a properly In formed publlo opinion. r therefore ask you to make such investi gation, both of your records and by any mea.ns at your command, as will enable you to furnish data concerning such conditions obtaining on the Louisville & Nashville and any other roads as may relate directly or Indtrectlj. to the real merits of a possibly Impending controversy. SAXTA FE ORDERS REDUCTIONS Cuts Wages and Discharges Men From Kansas Shops. TOPEKA, Kan.. Feb. 19. It 1s an nounced here today that the Atchison, Topeka & Santa Fe Railway Company has ordered a reduction of 18 per cent In the mechanical department- all over the system. Two hundred , men. were dis charged this afternoon In the Topeka strops. Reductions were made in other Kansas shops. A special from Newton says that the Santa Fe laid off 2no men in the shops there today for four days. Practically all departments are affected. STILL TRUE TO EVELYN THAW WILL .NOT GET SEPARA TION" AS MOTHER ADVISES. Though Wife Seeks Solace With ' Other Men and Is Willing to , Be Cut Off. NEW YORK, Keb. 19. (Special.) Mrs. William Tnaw admitted today that she desired her son Harry to forsake his wife, Evelyn. The only stumbling block in the way of a separation is Harry Thaw. He has not as yet decided to give up the wife for love of whom he killed a man and risked death in the electric chair. . Evelyn Nesblt Thaw, it appears, is not averse to a legal -separation from her husband, but she ; wants a substan tial money settlement from the Thaws. Mrs. William Thaw, ill and heart broken, is living in seclusion at the Ho tel Lorraine. She says that she has told Harry that. he should divorce his wife, but his loyalty remains unbroken. "Harry has refused to listen to the counsel I have given him," said Mrs. Thaw today. "Until he dies. If he sticks to his wife, he must bear the annoyance of such acts as Monday night's dinner at the Cafe Boulevard. I have read 'E's' denial of the report that she was at the Cafe Boulevard Monday night with a man named Thomas. It sounds much like other denials she has made." Receiver Declares Dividend. . CHICAGO, Feb. 19. Judge Charles M. Walker yesterday ordered a divi dend of 20 per cent on claims for $345,455 against the Ravenswood Ex change Bank. The dividend is payable on or before March by the Chicago Title & Trust Company, the receiver, and is nearly $70,003. The Title & Trust Company has $59,000 belonging to the bank, but agrees to provide the difference between this amount and the dividend. JAPAN GONTRDLS ALL MANCHURIA ProvokeS'Chinaby Her Aggression. SHUTS OUT RiYAL NATIONS America Suffers Through Re bate Prosecutions. POWERS MAY PROTEST tse of Railroad and Telegraph Lines to Favor Japanese Trade in ' Violation of Open Door Is a Source of Irritation. WASHINGTON, Feb. 19. Informa tion from unofficial and individual sources evidencing the aggressiveness of Japan in Manchuria has been accu mulating in the State Department for some time. That this condition is irri tating in increasing degree to China is also a matter of knowledge here. It Is said with authority, however, that in no manner has the Chinese govern ment brought the, matter to the atten tion of the American Government, and no report on the subject- Is looked for. A remarkable explanation of the at titude of our Government in this im portant matter Is developed as the result of 'inquiry directed toward of ficials who cannot be quoted, but are in positions to direct our policies. In effect, it is as follows: Rebate Prosecutions the Cause. "It is frankly admitted that America is losing her commercial foothold' In the Orient. This loss, however, Is not charged to Japan. Rather it is as serted to be the effect of the growing tendency toward Internal Governmen tal regulation in the Uaited States. As an illustration of this, attention is called to these facts: "Five years ago flour in barrels was being shipped to the Orient from the Northwest, steel rails from Pittsburg and cotton in bales from Texas. These shipments were made possible because of an exceedingly low ocean freight rate arrived at by a railroad combina tion. This rate has been condemned by our courts as a conspiracy against trade, and the development of this trade has been abandoned. The do mestic war, as it is characterized, against the Standard Oil Company, which Is credited with the largest Ori ental trade of any American' enter prise, is declared to have been disas trously effective in the Orient, while the tobacco and cotton goods trades are said to have been dealt heavy in jury through the operation of the rail road legislation here. How Japan Absorbs Trade. . "From this point it seemed easy for Government officials here conversant with foreign matters, to view Japanese commercial agression in Manchuria A PRESIDENT with a greater degree of complaisance than would be the case In the face of an urgent domestic demand for Gov ernmental assistance. Japan, It is as serted, can, without great difficulty, justify, everything she has done tn Manchuria as sanctioned by the "opef? door" policy initiated by the late Sec retary Hay, and adhered to by the greater nations, including Japan. While Japan may justify these things through the "open door" policy, it has been charged that there exists evi dence of her use of many methods and practices which might not? bear the light of impartial . investigation. Be sides her claim to an equal footing with other nations in Manchuria, on the "open door" basis, she has, it is asserted, obtained many valuable con cessions through which her control of the railroad and telegraphic facilities Is practically complete. This control Is known to be used primarily in the interest .of Japanese tradesmen and to the detriment of all foreign competi tors. May Protest, but Won't Fight. These disadvantages are, of course, ..- '. ' Kx-ttenator John C. Kpooner, of Wis consin, Who Will Irefend the Southern Paclfio in the land-Grant Hull. being felt by American tradesmen, as well as by those of other foreign na tions. As the trade of Germany, Eng land and other nations is more valuable than the American trade, and as these nations are what ie termed highly commercially organized, it would not be a great surprise to American diplomacy to hear of protests from these quar ters against Japanese aggression. There is nothing, it is pointed out. in Secretary Hay's promulgation of the. "open door" policy which partakes of the nature of an agreement with any nation looking to Its maintenance. For this reason, .It is predicted that should a combination of protests be made and any movement be initiated by foreign nations, the support which it would re ceive from this country would be no more than mofal. WILL XOT PROTEST TO JAPAN No Interference In Manchuria by State Department. WASHINGTON, Feb. l.-Rumors to the ' (Concluded on Pace 3.) CONTENTS TODAY'S PAPER - The Weather. YESTERDAY'S Maximum, temperature. 47 degrees; minimum. 39 degrees. TODAY'S Fair and warmer; northerly winds. Foreign. French hard pressed in' Morocco and have severe fighting. Page X. Japanese aggression in - Manchuria angers China and - Injures - American trade. Page 1. National. Roosevelt orders inquiry Into railroad wage question. Page 1. Fleet to reach Cailao today; all Peru keep holiday, rage 2. Hale defends Navy against critics. Page 4. Gage supports Fowler currency bill and con demns. Aldrich bill. Page 2.- Spooner to defend Southern Faciflc land grant case. Page 1. Impeachment charges against Judge Wilfley. Page 3. Borah's bill against Congressmen serving corporations causes stir. Page 4. Ambassador Reid says talk of war with Japan is nonsense. Page 2.. Foil Urn. : Hughes speaks on Republican ideals. Page 3. Taft on tour of New Hampshire. Page 4. Polish revolutionist pursued by Russians dis appears In Los Angeles. Page 2 Domestic. Tratn crews overcome by fumes in tunnel. Page 3. Thaw's mother advises him to get divorce, but he refuses. Page 1. Many trains stalled In snow In Middle West. Page 3. import. New Tork legislative Commission hears ar-" gument on racetrack betting. Page 5 Pacific Coast. Horace McKinley arrives at San Francisco and tells of his escape at Mukden. Page 1. Heney eubpenaed to tell about Ruef's im munity contract. Page 4. Former portlander commits suicide because he lost money in broken bank. Page 1. Master Fish Warden Van Dusen says fish wheels 'will ruin salmon Industry. Page . "Washington Railroad Commission is upheld in courts. Page . Tacoma's Mayor makes vindictive attack on . political enemies. Page 6. State legislature scored at tuberculosis meeting In Seattle. Page Q. Commercial and Marine. Pacific Coast States have too many potatoes. Page 13. , "Eastern wheat markets turn strong. Page 15. Bad break In Gould stocks. Page 13. French bark Emilie Galline makes record for round trip between Portland and the Continent. Page 14. Portland and Vicinity. Opposing counsel contest every point in Waymjre-Radding trial. Page 10. Sheriff Stevens' and County Court may bury 1 hatchet. Page 11. Circuit Court defines rights of Water Board. Page 10. Elaborate celebration of St. Patrick's day . planned. Page 7. "Chick" Houghton, paroled convict, arrested with accomplice for theft. Page 14. Southern Pacific to lay new steel on West Side line. .Page 7. Parade of autos to be feature of rose-planting day. Page 10. New York forger captured in Portland. . Page 6. wmmi culls TO Puts Heavyweight on Land-Grant Case. MAY BLOCK ACTION IN HOUSE Spooner's Friend Jenkins Is Head of Committee. MORE DELAY IN SENATE Another Speech Prevent Adoption of Kcbolution Townsend's Re port Does ot Show All Cards in HU Hand. ORKGONIAN NEWS BUREAU. Wadh Ingrton. Keb. 19. Senator Fulton's resolu tion authorizing the Department of Jus tice to institute suit aRainst the Oregon & California Railroad rau foul of another Senatorial speech today and considera tion was postponed. Mr. Pulton expects it to pass whenever time la had for de bate. B. D. Townsend's report, ' reviewed in these dispatches last night, is by no means complete, and does not begin to furnish the facts which he gathered as a basis for the suit. The facts made pub lic review the case only in a general way, and present only such facts as were re cently called for by the Senate. A full statement will not be made until the case tjoes into court. It. Is learned today that ex-Scnator John C. Spooner. of Wisconsin, has been en gaged by the Southern Pacific as leadlnjr counsel in this case, and that he will probably be assisted by John B. Milburn, of New York, at whose Buffalo home President McKinley died. Mr. Spooner and Mr. Milburn will make as strong a team as can be found among the lawyers of the Nation, and their employment In dicates the seriousness with which the railroad company regards the Govern ment's contemplated move. Mr. Spooner arrived here today. In tfiis connection It is feared that, when the Fulton resolution goes to the House, it may be blocked in the judiciary committee, of which Representative Jen kins, of Wisconsin, Mr( Spooner's friend, is chairman. It may require White Hous pressure to get the resolution before the House.- STILL HOPES FOR SCHVEBEL Bourne Thinks Roosevelt's Delay Is Favorable to His Man. OREGONIAN NEWS BUREAU, Wash ington, Keb. 19. Congressman Hawley returned to Washington today, but was unable to cast new light on the District Attorneyship contest. He found awaiting him telegrams from John McNary, of Salem, stating that he had withdrawn from the race and was no longer a candi date for tho office. Although the Senators have not yet been advised that Thomas H. Cleeton will not be appointed, it is generally be lieved that he will never be nominated. N one seems able to explain the delay of the President in announcing his un willingness to appoint Mr. Cleeton, al though Senator Bourne probably knows more about the situation than he is will ing to tell. There are numerous indica tions that he is still hopeful of slipping 'Christian Schuebel into office. Bruzil Continues Rebates. WASHINGTON, Feb. 19. The Presi dent of the Republic of Brazil, to com memorate the visit of the Atlantic fleet to the city of Rio Janeiro, has signed a decree authorizing tne continuation of rebates on tariff charges on articles of American merchandise during the fiscal year 1908. The rebates which are con tinued apply to wheat, flour, condensed milk, -manufactures of rubber, watches, writing ink, varnishes, typewriters, re frigerators, pianos, scales and wind mills. Ridgely Helps Closed Bank. KANSAS CUT if. Mo., Feb. 19. William B. Ridgely, Controller of the Currency, arrived here this morning from the East to go over with the stockholders of the failed National Bank of Commerce their plans for reorganizing that institution. Tomorrow the stockholders of the Com merce will hold an election to choose directors, who subsequently will elect a new president. Mr. Ridgely has been asked to assume the direction of the re organized bank. He has persistently said that he had no intention of leaving the office-of Controller of the Currency. Mail Delivery for I.a Grande. WASHINGTON, Feb. 19. May 15 city delivery will be inaugurated at La Grande with two letter carriers and one substi tute, and ten letter boxes will be installed in the meantime. When Representative Hawley arrived today, he found awaiting him a telegram from McNary, of Salem, saying he is not a candidate for District Attorney and wishes to have his name withdrawn.- Indian Sultan Sails. NEW YORK. Feb. 19. His Highness Nawab Sutan E3 Mulk B&hadur, of Hy derabad. India, accompanied by a retinue of servants and two physicians, arrived In New York today and hurried at once to the steamship Baltic and will go to England to consult with specialists re garding an illness which resulted from a fall from a horse two years ago. SPOONER