VOL. XLVIII. "0. 14,778.
POKTIiAND, OREGON, FRIDAY, APRIL lO, 1908.
PRICE FIVE CENTS.
HENEYCOMINETO
ANSWER FULTON
Will Reach Portland
Tonight. .
TO MAKE SPEECH SATURDAY
Will Appear Under Auspices of
Municipal Association.
SUNDAY NIGHT AT SALEM
(.raft Prosecutor Makes Special Trip
fo Oregon Senator Kulton De
clares Ifeney Is Actuated hy
Personal Malice.
BfENEY ANNOrNCES HIS COMING
DFPOT. RKD BLUFF. Cal.. April
9 Tho Oregonian. Portland, Or.
Arrive Portland tomorrow, Friday
night, train 14. to answer Fulton.
FRANCIS J. HENEY
SAN FRANCISCO. April 9. (Special.)
Francis J. Heney loft today for Portland.
He will reply to Senator Fulton either
in letter or public speeches.-
District Attorney Iangdon and Assistant
District Attorney O'Oara will conduct the
trials of Abe Ruof ami Ford now under
way during the absence of the special
prosecutor.
Frances J. Heney will arrive in Tort
land tonight to take tlie stump against
United States Senator Fulton. A tele
gram was received yesterday announcing
his coining. Mr. Heney has agreed to
speak In Portland Saturday night under
the auspices of the Municipal Associa
tion. This afternoon the officers of that
body will secure one of the largest
churches or halls In the city for the
public meeting. Mr. Heney will speak
in Salem Sunday night.
Ueney has been camping on tho trail
of Senator Fulton ever since he began the
land-fraud investigations In Oregon. Sen
tor Fulton incurred the 111 will of Heney
at the very beginning of the land-fraud
trial, because. Senator Fulton opposed
Heney's appointment. It was an open se
cret, while Heney was conducting his in
vestigations before the Federal grand
Juries and during the trials of Senator
Mitchell, Representative Williamson and
other land-fraud defendants, that the
prosecutor invariably connected Senator
Fultons name with some one of the de
fendants. It was also an open secret that
Heney failed in his efforts to get some
tangible connecting link against Senator
Fulton whereby he could secure an indict
ment. So far as an indictment was con
cerned. Heney failed, but he repeatedly
said that he had "the goods" on Ore
gon's senior Senator. It was not, how
ever, until Heney was about through with
the trial of x-t'nited States Attorney
John Mall that he made public his charges
against Senator Fulton.
When it was definitely known that
Heney was to return to Oregon to try-he
case of John Hall, members of the Mu
nicipal Association requested him to
make a public speech. Senator Fulton
had already announced himself as a can-
dldate for re-election. Heney delivered
his speech at the White Temple on tho
night of January denouncing Fulton !
as a political cormplionist and a tool of
the railroads. Before he concluded, he
said that he still had further charged
against Senator Fulton and that he would
return to Oregon and tell all that he
knew about Fulton. One of the principal
charges that Heney made against Fulton
was that he had had a hand in corrupting
the politics of the state and read an affi
davit of J. S. Smith, of Albany, who
swore under oath that Fulton, in behalf
of Senator Mitchell, had offered him
J3000. and had paid him $1500, during the
legislative holdup of 1S97. Smith. In this
affidavit, says that Senator Fulton was
present when he received the $1500, but
Senator Fulton has emphatically denied .
this and has an affidavit from James F.
Towell. also of Albany, who denies that
Fulton was present when the money was
paid to Smith. Smith alleged this money
was to be paid to him as a bribe to get
him to go before the House and urge his
friends to vote for Mitchell for United
States Senator and end the deadlock.
Senator Fulton was in Washington at
the time Heney delivered his speech. The
Senator's first intention was to return
and publicly answer Heney's charges. but
his duties at Washington prevented him
doing so. In a letter which was published
in The Oregonlan on February 3. Ful
ton answered all of the charges made by
Heney. ad he has been doing the same
thing ever since he began his campaign.
Senator Fulton in all of his speeches has
refrained from abuse, although It is a
well-known fact that his friends have
urged him to make use of material that
has been sent him regarding Heney's
conduct of the graft prosecutions in San
Francisco.
Senator Fulton did not seem at all
alarmed last night at the news that
Heney was returning to Oregon for the
purpose of making two speeches against
him. He had Just returned from Hills
boro and McMlnnville, where he had
spoVen to large audiences. The speech
at Htllsboro winds up his campaign In
this part of the state and today he will
start for his Eastern Oregon campaign.
Senator Fulton smiled last night when
told that Heney was coming back and
said- at once that Heney's coming would
not change his plans.
"Heney is not going to cause any change
In my plans," he said. "The -fact that
Heney Is coming here is immaterial to
me, but the fact that he does come, and
all the way from San Francisco, to make
two speeches against me should of it
self be sufficient to substantiate my con
tention that he is not prompted by any
sense of public duty, as he pretends. He
is actuated solely by personal malice."
REHEARING IS REFUSED
Only Illinois Pardons Board Can
SaTe Billek's Neck.
SPRINGFIELD, 111., April 9. Unless
Governor Deneen or the State Board
of Pardons Intervenes, Herman Blllek
will hang In Chicago, April i4. The
Supreme Court today denied Billek's
petition for a rehearing.
The condemned man Is a Bohemian
fortune teller who Is accused of hav-
Francis J. Henry, Who Will Speak
la Portland Satarday aright. j
-4
ing caused the deaths of several mem
bers of a Chicago family named Vzral,
who perished one hy one of poisoning.
After Billek's conviction Father P.
J. O'Callaghnn, head of the Faulist
Order in Chicago, became convinced
that Blllek was Innocent. Later two
of the principal witnesses against
Blllek acknowledged that their testi
mony was perjury done at the instance
of a police official and an assistant
prosecutor, whose alleged motive was
to gain prestige and promotion.
CHICAGO. April 9. The Board or
Pardons will meet in this city on April
If when evidence will be presented to
it by the attorneys for Blllek.
OPEN SHOP ON LAKE BOATS
Owners Adopt 1ecislon Affecting
4 0,000 Inland Marines.
CLEVELAND, Ohio. April 9. The
"open shop policy" will be adhered to
by vessel-owners in the 6peration of
boats on the Great Lakes this season.
This was unanimously agreed to at the
annual meeting of the Lake Carriers'
Association today. The rule will be put
Into operation at once, and will affect
more than 40.000 men.
Bryan Going to Meet Wife.
LrNCOLN. Neb., April 9. William J.
Brvan will be in New York State from
April 17 to 22. While there, he will meet
Mrs. Bryan, who is expected to return
from a European trip.
CONTENTS TODAY'S PAPER
National.
KoosevHt sends message to Congrest against
a-n.rt.hits. PK ,
Japanese mob invades American consulate
at muKoen. i-tnto "
Government will not Interv.ent la Haytl.
Page
Fulton and Ellis agree on McGregor for
Collector at Astoria. Page ft.
Senate nausea employers' liability bill.
Page 5.
government sustains Consul Fisher. Page
Politics.
Hughes' boom smashed by election of Taft
delegates In two New York districts.
Page 1.
Taft gets only one delegate In Wisconsin.
Page t.
Barnes declares Hughes is not good Repub
lican. Page 1.
Cannon denounces publishers' attitude on
paper duty. Page
California, machine calls primaries, fearing;
defeat at National Convention. Page 1.
Domestic.
Government scores In Benson-Hyde trial by
producing- Hyde and Diamond's letters.
Tage 4.
Harrirnan's stroke on Erie road gives him
ocean-to-ocean road. Page 1.
Hughes denounces; rejection of anti-betting
bills and threatens extra session. Page 1"
SJurvivors of ship Sewall return with news
of destruction "toy Are. Page 6.
Sport.
Const Ieague: Pan Francisco R. Portland
1; los Angeles S. Oakland 1.
Pacific Coast.
Evans joined by wife and daughter; cured
of rheumatism, but very weak. Page 4.
Fleet polishing up for voyage up coast.
Page 4.
Hard work to get juries for Ford and Jtuet
trials,
Tillamook makes fifth attempt to get in
dependent boat to Portland. Page
Palem reduces liquor license, but ordains
restrictions. Page
Prayers offered for Se-atttv pastor who
teaches boxing- in church. Page
Commercial and Marine.
Grain exporters will he represented at
Board of Trade sessions. Page 111.
Wheat slumps badly at Chicago. Page It.
Erie settlement has alow effect on stock
market. Page 19.
Grsn brokerage firm of F. Iyengars A Co.
forc-.'d to the wall. Pae IS.
Portland and Vicinity.
Francis J. Heney on his way to Oregon to
answer Senator Fulton. Page 3.
Street railway company to ask for number
of new franohises on East Side streets.
Pag 12.
Mount Hood Railway Company wants to
end controversy with city. Page V2.
Three Republican cluta indorse legislative
candidates. Page 9.
Chief Campbell opposes automatic Are
alarm franchise. Page 12.
Registration shows astonishing gain over
lflnfi. Page 8.
In suit for divorcer Rore labell declares
husband beat her with raxor strop.
Page 12.
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HHfl DRIVES
BIGGEST BAB
Realizes Anjbition for
$4,500,00
HASOCEAN-TO-OCEANRAILROAD
Masterly Stroke Secures Con
trol of the Erie.
WALL STREET IS AGHAST
Jij Spectacular Offer of Help at
Psychological Moment Ho Makes
System Trnly Transcontinent
al Plans Improvements. -1
NEW YORK, April 9. (Special.) That
B. H. Harrlman grabbed off the biggest
bargain on record, even In these days of
Wall street bargains, when he earned to
the rescue of the Erie Railroad in such
a spectacular manner yesterday, waa
made plain today, when stock market
operators had had time to analyze the
deal. All Mr Harriman -was required to
put up was 1,500.000 of borrowed money.
Here are some of the things he got in
return:
What Harrlman Gains.
Control of the Erie Railroad, a $400,
000.000 corporation.
A through freight and passenger line
from San Francisco to New York, for
which he has been working and dream
ing and scheming for years.
Renewed prestige in the financial and
railway world, which compensated in a
great measure for hta loss as a result
of the "big stick" vigorously wielded for
several years by President Roosevelt.
Five million dollars in new Erie 6 per
cent short-term notes, which his control
of the road will eriable him to meet when
they mature ttyree years hence.
Two hundred and fifty thousand dollars
of actual cash, handed back to blm for
use as pin money at a time wheTi many
millionaires are having a '"hard struggle
finding money to finance lobster t and
champagne suppers.
How He Worked Scheme.
The story of how he did it all reads
like a tale from the Arabian Nights.
First, he learned that the Erie was going
to have a hard time getting the money
to meet its obligations of JS.500.O0O, which
matured yesterday. Then, through inter
ests allied to him, he made sure that no
banking establishment would advance the
necessary cash.
Next, he allowed alarming reports of
the Erie's difficulties to be published
broadcast, so that the holders of - the
short-term notes would become alarmed
and sell them at panic prices. Then he
sent agents into the market, who picked
up J5.000.0ii0 of the notes at 80 cents on
the Aollar an Investment of $4,000,000.
Finally, he made his spectacular offer,
which, af the last minute, saved the
Erie railroad from a receivership.
The offer looked as if he were going
to put up an immense sum Just out of
pure philanthropy, but there was a string
tied to it. It was for the purchase of new
S per cent notes at 95 oants on the dol
lar sufficient to pay off all the old notes
whose holders would not acoept new notes
at par and a bonus of S per cent in cash
Mr. Harriman already owned $5,000,000
of the J5.500.000 notes, so it was necessary
for him to put up only $500,000 more in
cash. He even got back a part of tills,
because certain speculators had sold
notes they did not own, and in order to
deliver the goods today, were forced to
pay a premium.
Line Joins Two Oceans.
' And now all the financial work! is stand
ing aghast at the result.. .
The acquirement by Mr. Harriman of
a transcontinental line Is the part of the
deal which appeals most to railway men
Mr. Harriman and bis associates, it is
reliably reported, stand ready to spend,
under certain conditions, from $30,000,000
to $40,000,000 for improvements in termi
nals, tunnels, trackage and rolling stock.
If these plans are completed, Mr. -Itaxri-man's
dream of a perfectly equipped,
complete transcontinental, road, ' with
STrle u tir eastern outlet, will have come
true. ,
RECEIVERSHIP 19 AVOIDED
Standard OH Crowd Takes Over
Norfolk & Southern.
NORFOLK. Va April 9. The Leader
Despatch today says:
"Standard Oil and Rockefeller interests
have become identified In a large finan
cial way with the Norfolk & Southern
Railway, owning over 20C miles of valu
able railroad property through the ex
tensive lumber district of East North
Carolina, and the original plans for fur
ther development of the road. Including
the building of the longest railroad bridge
in the world over Albemarle Sound, will
now be carried out.
"The large interest money due is now
In hand and will be -promptly paid.
There will be no- receivership."
BLOW AT ALABAMA SALOON
Supreme Court Holds Two Restrict
ing Iaws Valid
MONTGOMERY, Ala.. Apr)! 9. The
Alabama Supreme Court today held
both the general prohibition and the
9-o'clock-closlng law to be constitu
tional and effective. Attack had been
made on both by the liquor forces of
the state.
The two laws were argued together
and the decision is taken by both sides
to settle the question. Mobile interests
have fought the two provisions from
the first, holding that both will be
ruin to a coast city such as it Is. On
upholding the general prohibition act,
the court also gives validity to the
local option law that was Involved In
the cases brought-
MIOHT HAVE BFEX WORSE
Liquor Healer Comments on tbe Re
sults in Illinois.
PEORIA. III., April 9. Arthur Lehman,
of the Arthur lehman Company, liquor
dealers, in expressing himself on the re
sult of the election, said:
"It was not as bad as we expected.
We lost Decatur, probably owing to the
Billy Sunday revival, and if the election
had been held later we would have over
come that.
"The liquor men and brewers of the
state will meet In a few weeks and
form a state organization for mutual
protection. One of the first acts of such
organization would be to contest the
constitutionality of the local option law
In this etate."
LIQUOR
Dallas-Mclveod Owe 'With Jury.
HELENA, Mont., April 9. The Oliver
C. Dallas-John II. McLeod conspiracy
case was given to tho jury this evening.
Instructions were favorable to the Gov
ernment I'M SKEERED "
DEATH-THRUST TO
Fl
Four Taft Delegates
From New York.
READ OUT BY REPUBLICANS
May Seek Nomination for Gov
ernor Once More.
TO COMPLETE REFORMS
Two I carters or Roosevelt Forces
Declare for Taft Hughes Either
Wants Renomination or Tries;
to Scare the Politicians.
BOOM
OR HUGHES
RE PUBI.lt' AN NATIONAL COX
' VENTIOH REMCflATES
April 10. 1908.
:; ? 5h of'f -
Name nf - f ?: !
State. 1 &
' 1 a S 5-
- H
'! Alabama .... 22 A 6 6
Florida 10 8 8 8
Illinois ....... M 42 2 6 34
' Indiana 30 SO SO
1 Iowa ) 2D M
Kansas 20 20 2"
Kentuckr ... .4 2 2 a !
It!ftjana .... IS 4 4
Meryland 1 4 4 I
, Mlchlpm 2 4 2 8
, Mlnsiiwlppt ... 20 2 2
,, Missouri ' l SO SO 8
Minnesota .. 22 22 22
N-.brs.Akn. .... H ID W
New Milco. . 2 a
New York . . . T 40 4 8 28
N. Carolina . . 24 2 2
Ohio 48 88 38
Oklahoma 14 14 14 4
Philippine ..222
Porto Rico . . . ! 2 2
Rhode Island. 8 8 8
S. Dakota 8 8 8
Tenneasve ... 24 18 f la
, Virginia 24 22 13 lO
, W Virginia .. 14 4 4
V?1conln ... 2B 14 1 13
i Total Htl'ff7406TMft! 4Q !105 42 '
Reult In primaries conclusive.
,............. . .
NEW YORK, April . (Special.) Wha
was regarded as the death thrust to
Hughes Presidential boom came . 1
startling suddenness today from William
L. Ward, of Westchester, and James
Barnes, Jr., of Albany, two of the most
potent leaders of the state organization
and both Intimate friends of President
Roosevelt.
Mr. Ward, who is chairman of the ex
ecutive committee of the Republican Na
tional Committee and one of the leading
members of the so-called "Federal"
crowd In this state, had his delegates in
structed to vote for Secretary Taft in
the National convention In Chicago.
Close on this sensational development
in Westchester came the equally sensa
tional news from Albany that Mr. Barnes
had not only come out openly against
Mr. Hughes as a Presidential candidate.
but had practically read him out of th
Republican party.
May Run for Cvovenior Again.
Friends of Mr. Hupches ar now In
clined to think he will be a candidate for
re-election to hia present office as a re
sult of th defeat of the anti-racing- bill
yesterday. The Governor's close friends
know that the only office he is A candi
date for is that of President, but it is
belny remarked as stKnlftrant that today
he refuse to discuss with anybody his
attitude toward the question of hts re
nomination for Governor.
His sphinxlike silence at tit m critical
juncture In his affairs is interpreted In
two ways by the experts. One proup of,
them contends that its only meaning is
his desire to impress upon the minds of
the politicians In his party the probabil
ity of his remaJninfr in hi preaent post
for another term, with the view of friht
enins; them into support of the policies
he outlined In Ms special message to
day. Another prroup insists, however,
thai he means to continue his work here,
In the event of failure at Chicapo In
5 i"
Senator R. M. La Follette. Choice 4
for President of All Except One f
Wisconsin Republican lele;te. 7
June, until hefc has made laws of th
more substantial reforms he has so ar
dently urgred.
HUGHES NOT GOOD PARTY MAN
Barnes Opposes Jlini Because Ex
ponent of Individualism.
ALBANY, N. Y.. April 9. Committee
man William B. Barnes, of this county,
in a statement sent by him to the Twenty-third
Congressional District Repub
lican convention tonight. In reference to
election as delegate to the Republican
National convention, declared that he
would not vote at Chicago for the nomi
nation of Governor Hughes, whose polit
ical course he sharply criticised. Mr.
Barnes made it plain that his preference
was for Secretary Taft.
Mr. Barnes and Mayor Horace S. Van
Voest, of Schenectady, were elected dele
gates to the Chicago convention. There
was no contest. The delegation is unln
structed, the resolutions simply indorsing
the administration of President Roose
velt. There is no mention whatever of
Mr. Hughes.
Mr. Barnes, in hia statement, says:
The Governor of the State of New Vork In
a candidate for the Presidential nomina
tion and should be pledged to the record of
the party and its future cohestveneaa. Did f
believe that such was his attitude, I would
cheerfully vote for his nomination at tho
Chicago convention. It would be the natural
and orderly thing- to d : but, confident an I
am from a close examination of hia public
utterances and his record as Governor, that
there is in bl mind no deep concern for the
party that created him, I cannot justify my
aelf if I lend my support to his randldacy.
FYom his record I learn that be Is an ex
ponent of individualism and "not the cus
todian of honorable party government. Be
cause of this Irresponsibility to. his followers
and adherents, I shall not be able. In justice
to my "own opinion and what I believe is
beet for the Nation, to cast my vote for hira
at Chicago.
Referring to Mr. Taft, Mr. Barnes de
clared that, had he not requested that
those who believed m the wisdom of his
candidacy should not Interfere with any
of the so-called "favorite sons." he would
have supported him for the nomination.
BUCKS DOWN TO LEAGUE
CALIFORNIA MACHINE WILL
HOLI PRIMARIES.
Fearlns Exclusion From National
Convention, It Allows Voters
lo Elect Delegates.
SAN FRANCISCO, Cr!., April 9.
(Special.) The regular Republican
State Central Committee has changed
its programme once more and now an
nounces that it will hold primary elec
tions In every district In the state on
May 5. A week ago Chairman George
Stone stated that the primaries would
be limited to those districts where the
law compelled the holding of the elec
tions. The' plan was to appoint the
delegates from the other districts. This
would have given the central commit
tee control of the convention.
The Lincoln-Roosevelt League, which
charges that Mr. Stone and the central
committee are but part of the Southern
Pacific machine, fought for primaries in
every district, and regard the ruling as
a victory. The league had decided to
hold primaries on lt own account, and
then take the matter Into the National
convention at Chicago. As the call for
the National convention provides for
the primaries, the leaders of the league
believed that therr delegates would
have been seated In Chicago.
The issue between the league and the
regular organization will now be
fought out In the state primaries.
The league Is committed to a reor
ganization of the Legislature, the de
feat of Senator Perkins, the dlrert pri
mary and the overthrow of the South
ern Pacific political bureau.
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HUGHES
THE L
Says Betting Question
Not Settled.
MAY CALL EXTRA SESSION
Will Call Election to Fill Va
cancy in Senate.
OTHER BILLS HE PROPOSES
Direct Prliiiarjp, Banking Reform,
Control of Telegraphs and Tele
plwneg. Inquiry Into Specula
tion and Other Matters.
ALBANY, N. Y., April 9. Any expec
tat Ion that a lull would follow tha
storm of yesterday In the Legislature,
when the Senate, by a tie vote, de
feated the antt-rate track Rambling
legislation advocated by Governor
Hughes, was dispelled at the opening
of the session this morning In dramatic
fashion. Hardly had either house con
vened before the secretary to the Gov
ernor marched tip the aisle with a com
munication In writing from the Chief
Executive. When read In each house,
the "communication" proved to be a
special message couched in the Gover
nor's most direct and vigorous style,
declaring flret that yesterday's vote in
the Senate could not be regarded as
disposing of the anti-gambling ques
tion, and also calling attention to sev
eral other matters upon which the Gov
ernor believes the Legislature should
pass before final adjournment.
Special Klectlon, Kxtra .Session.
Almost simultaneously with the send
ing of the message to both houses, the
Governor caused it to be made known
that it was his intention to proclaim a
special election, possibly on May 12,
in the Niagara-Orleans gonatorlal Dis
trict, to fill the vacancy In the Senate
caused by the recent death of Senator
Fanchet, of Niagara Falls. At the same
time, he put forth also the intimation
that he probably would call an extra
ordinary cession of the Legislature, to
convene on Monday evening. May 11.
The announcement of the special
election was the subject of more than
ordinary discussion, especially because
of the direct bearing this might have
on the anti-gambling bills, should they
be presented at the proposed extraor
dinary oession in view of the possibility
that the bills might gain a supporter
In the new Senator.
'Sot Punishing Opjonents.
More than ordinary Interest was at
tributed to the veto by the Governor
today of a lo'-al bill of Senator Wemple,
relative to the village of Saratoga
Springs, and .to the fart that he com
pelled the recall (to avoid veto) of
Senator Grat tan's bill extending the
time for construction of the Albany A
Schoharie Railroad, both of these Sen
ators having voted yesterday against
the anti-gambling bills. "When the
Governor's attention was drawn tonight
to the coincidence, he declined to make
any comment for publication, but point
ed out, first, that Grattan's bill plainly
violated the policy which tlie Governor
declared last year, and second, that he
had today approved bills of Senators
Cassldy and Gilchrist, who also voted
yesterday against the anti-gambling
bllle.
Reforms Hughes Proposes.
Announcement was made here today of
a series of mass meetings to be held in
various parte of the state, beginning
with one In Albany tomorrow afternoon,
to get a public expression on the defeat
of the anti-gambling bills. Tlie announce
ment for the Albany meeting Included, a
statement that Mr. Grattan would be In
vited to attend and explain his vota
against the bills.
In Ids message the Governor recom
mended: Tho paenage of appropriate legislation to
prevent th present no -called dlscrlminat Ion
of the Prcy-Gray taw. which practically
leg-allxes gambling- on race tracks.
Legislation to reform banking mthod.
Direct primary nomination election"
Legislation which will place te I option
and telegraph companies under th Juris
diction of the public, servfo fommlwlon.
The passage of bills which will facilitate
the construction of subways In New York
City
The Governor also urges Investigation
by commission:
First. Wall street iecuIation ; second,
lie question of immigration ; third, the
question of unemployed In this state, and,
fourth, the relation of the inferior courts
to certain criminal procedure.
Plain Violation of Constitution.
Relative to the Hart-Agney bill, the
Governor in his message says that the
Senate's action does not dispose of the
matter anrJ that tlie present law is In
conflict with the. constitution and makes
a thing legal in one place which is Ille
gal In another. He speaks of betting
men as a favored class of gamblers.
Mr. Hughes recommends the creation of
a commission, the members of which
shall give their services without pay. "to
Inquire into the facts relating to specu
lation In securities and commodities with
the view to ascertaining the manner In
which illegitimate transactions may be
prevented and legitimate business safe
guarded." '
Members Resent "Scolding."
Tim Senate received the message with
every evidence of surprise. The attend
ance was small, and those present were
(Concluded en Page 4.)
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