Morning Oregonian. (Portland, Or.) 1861-1937, November 21, 1908, Image 1

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VOL. XIVIII 0. 14,971. - .
MMENSE PH0F1TS
OP
STANDARD
OIL.
Amounted to $80,000,
000 in Year 1907.
SURPLUS NOW $300,000,000
Rockefeller Has No Easy Time
With Kellogg.
ASKED ABOUT REBATES
When Questions Grow Embarras
sing, He Pleads Loss of Mebiory.
Examined About Contracts to
fequceu the Independents.
NEW TORK. Nor. 3V For over five
hours today John I. Rockefeller, witness
for the dftfenM In the Government suit
to dissolve, the Standard Oil Company,
faced an unceasing tire of questions from
the Federal counsel, Frank B. KelloKB.
and when adjournment was taken until
Monday the head of the oil combine was
till being cross-examined on the charge
that the company In Its early days ac
cepted rebates to the disadvantage of
Irs rivals.
Mr. Rockefeller's cross-examination will
probably not be concluded until late Tues
day, as Mr. Kellogg made It known that
he would question Mr. Rockefeller on
every detail of the company's business.
Knornions Earning Power.
Th? enormous earning power of the oil
combination was sharply brought out In
ffclay's hearing, when Mr. Rockefeller,
after staling that the Standard had paid
dividend amounting to WP.ooo.flno In 197.
snld It had rarned as much more, and that
this was added to the company's surplus,
which was stated by the Government's
counsel to b J3n0.flon.on0. It was further
dTlarcd by Mr. Kellogg that the company
within the last eight years has earned
nearly half a billion dollars.
The course of Mr. Rockefeller's testi
mony In the hands of the Government's
counsel ran not so smoothly as yesterday,
when he told his story under the direction
of friendly counsel, but the rapid lire
Interrogations of the prosecutor- were si
ways met with unshaken lmperturbillty
and readiness to answer except when, as
hs explained:
Plead Falling Memory.
"It is quite impossible for me to remem
ber after 33 years. I do not recall."
Mr. Rockefeller was questioned closely
regarding rebates which the Standard
was accused of accepting, but with the
exception of an agreement with the Penn
sylvania Railroad which, Mr. Rockefeller
explained, gave the company a rebate In
order to equalize oil rates. Mr. Rockefeller
could not recall any other rebate.
Mr. Rockefeller, when he learned that
the Government's counsel would not be
able to conclude the cross-examination
by tomorrow, suggested an adjournment
until Monday, which was agreed to.
Production Steadily Grows.
In response to questions about the
hazardous nature of the oil business ow
ing to the possibility of failure of supply.
Mr. Rockefeller said thai the production
of crude oil In the Pennsylvania field had
steadily Increased from 12 to 1900.
Mr. Kellneg read figures from an of
ficial report showing that the Pennsylva
nia field reached Its highest point of pro
duction In lW. Mr. Rockefeller denied
that the supply of crude oil had always
been ample and asserted that It had fluc
tuated, but that the supply Is larger now
than when he was actively engaged in
business. He was asked about the devel
opment of oil fields In Ohio and Okla
homa, but said that he knew little about
them, as they had been actively worked
since he retired from business. He de
scribed the drilling and production of oil
as of the character of a mining business.
He said it was the policy of his company
to pay for its oil at the wells and that the
larger part of the oil it refined was pur
chased from the producer.
"You have been prosperous since the
beginning." asked Mr. Kellogg. "Do you
consider a business hazardous that on an
original investment of JK7.00OAX) paid div
idends amounting to $oll.&.0O) and had
left a surplus of J30u.O00.000r'
"I don't consider the amount of money
made determined whether the business is
hazardous or not." said Mr. Rockefeller,
j Big Mock Dividends.
He was then asked about the trust
agreement of 1SS and whether the
trust certificates did not show a value
of $70,000,000 and that the stocks held
under the agreement had an actual
value of J55.710.SJS.
Mr. Rockefeller said he believed
these figures to bj .-orrcct. Mr. Kelogg
then asked whetner the sto..' certifi
cates Issued thereafter were for stock
dividends or for additional properties
.cquired, but John G. Milburn, ot Mr.
Rockefeller's counsel, objected cr the
srround this was not within the jcope
l Mr. Rockefeller'a direct testimony.
Mr. Rockefeller replied:
'l suppose so."
After Mr. Milburn had again ob
jected. Mr. Rockefeller said that a
stock dividend of J15. 700.000 was paid
In 1SS and that the' stock of the com
pany was then -.8.3:S.OOO.
"Then up to the present time there
had been Issued 113. 310. 000 for cash or
property?" asked Mr. Kcllor.
I cannot tell you."
"Well, that would make the stock
'Concluded on Page &.) J
TELEPHONE FOR
TRAIN DISPATCHING
I.ULROADS TO SUBSTITUTE FOR
TELEGRAPH.
American Railway Association Finds
It as Safe, More Efficient
and Economical.
CHICAGO, Nov. 20. (Special.) The
use of the telegraph as an instrument
for the dispatching and operation of
trains on American railroads will soon
become obsolete as the result of an action
of the American Railway Association at
its meeting in Chicago this week. After
an investigation extending over nearly a
year by a committee appointed to con
sider the subject it has been found that
the telephone Is not only as safe as the
telegraph for directing the movement, of
trains, but is more efficient and eco
nomical. In consequence the railroads
will proceed to substitute the new sys
tem for the telegraph.
This does not mean that every tele
graph instrument is to bo thrown into
the scrap heap at once, as the. installa
tion of the telephone will necessarily take
time and Involve considerable expense.
It was learned today, however, that the
railroads are planning to put the recom
mendation of the association, which rep
resents over 540,000 miles of road. Into
effect as soon as possible, with the ulti
mate Intention of completely abandoning
the use of the telegraph.
REORGANIZE BIG CONCERN
Xew Westinghouwe Company Starts
With $12,000,000 Candtal.
NEW TORK. Nov. 20. The readjust
ment committee, which ha- been at work
on a reorganization of the Westlnghouse
Interests, today declared the reorganiza
tion plan effective from this date.
The stockholders of the Westinghouse
Electric & Manufacturing Company will
meet in Pittsburg next Tuesday to elect
a new board of directors. It is said
that the receiver had accumulated more
than $4,000,000 from collections and the
sale of manufactured products. The re
organized company will start with J1I.
OflO.OOO in capital and with no floating
debt.
MORE WOKE FOR S.' P. SHOPS
Machinists at Sparks Pot-on Xine
Hour Basis.
RENO. Nev.. Nov. 20. The Southern Pa
cific has established a nlne-Jiour day at
its railroad shops in Sparks, after operat
ing for years on an eight-hour basis. The
move was necessary because or increasea
business, which puts extra work in the
shops. It Is estimated that $10,000 will be
added monthly to . the circulation in this
vicinity.
WINS - MISSOURI BY 1206
Tart Victorious ' In Show-Me State
by Closest Margin.
JEFFERSON CITY. Mo.. Nov. 20 W.
H. Taft carried Missouri try a plurality
of 102i?. according to the tabulation of
the official returns made by Governor
Folk today. The tabulation, was made
only on the fiiyt elector. Tihe vote for
the first elector follows:
Taft. 346.916: Bryan. 846.8S9: Debs. 15.-
308: Chafln. 4222; Hisgen. 7; Watson,
115; Preston. Socialist-Labor, 60.
In the face of official returns, including
precinct corrections. Jacob - F. Gmellch,
Republican, wns elected Lieutenant-Governor
by 30 votes, and the other minor
Republican candidates were defeated.
-This vote does not Include amended
relations, which give Painter a net gain
of 63. which If counted far him by the
Legislature will elect him Sy 33 votes.
The corrected vote on Governor fol
lows: Hadley. Republican. 3f5.932; Cow
herd. Democrat, 340.053. ttidley's ma
jority, 15.S79.
FORGERIES ARE $1539,423
Extent of Van VlissingeoVs Crimes
Grows With Investigation.
CHICAGO. Nov. 20. After an exam
ination of the various documents In
the office of Peter Van Vlissengen,
convicted forger of mortgages, notes
and trust deeds on his own. confession,
William C. Niblack. vice-president of
the Chicago Title & Trust Company,
received for the Van Vlissengen prop
erties, declared today that the forgeries
amounted to $l.i39.423.
Only a thorough examination of all
the papers, which Include loan numbers
2016 to 3244 Inclusive, will disclose to
the receiver and creditors how many
have been taken up by Van Vlissengen,
who is now a convict .n Joliet Peni
tentiary. Since the confession of guilt,
which startled the business world and
preceded his sentence only a few hours.
Van Vlissengen has asserted repeatedly
that $250, 00d would cover the forced
paper which he disposed of.
FIRE SWEEPS PRAIRIES
Five Hundred Square Miles in In
dian Territory Ablaze.
EL PASO. Tex., Nov. 20 (An area of
6t square miles of grazing land lying
north of Roswell. I. T., is on Are and
ranchmen living In the burning country
are fighting with backfires to save their
homes. No loss of life has been reported
as yet.
HOLD POPULATION AT BAY
Robbers Rule Ohio Town While
Blowing Open Safe.
ATTICA. O., Nov. 20. Robbers held
several citizens at bay here early today
while they blew open and robbed the
safe of Rennlnger & Wilcox's office of
JS0O0 In cssh. The robbera were fired
upon, but escaped. ;
PnPTi ivn nREGOy. SATURDAY. KOVE3IBEB 21. 1908. PRICE FIVE CENTS.
EARTH UPHEAVES;
25 ARE ENGULFED
Frightful Disaster in
Brooklyn Street.
MEN BURIED UNDER DEBRIS
Gas Explodes in Cut Where
Gang Is Excavating.
WOMAN AND CHILDREN DIE
Pedestrians Swallowed When
Ground Opens ITnder Feet.
Foreman Roasted to Cinder
While Attempting: Rescue. .
XEW TORK, Nov. 20. Twenty-five
persons are believed to have lost their
lives In an explosion of gas which tore
up a great section of Gold street,.
Brooklyn, today. It. is definitely
known that 15 persons were burled
under the hundreds of tons of earth
and timber thrown into the air, and
ten more are reported missing:. The
exact number of dead cannot be de
termined until tomorrow, for those
working to recover the entombed bodies
must dig through 50 feet of dirt, rock
and a tangle of pipes and timber.
Bodies Sticking Out.
The explosion occurred in a 60-foot -deep
excavation that had been made
in Gold r.treet, between York and Front
streets, where a water main was being
laid. The gas main sprang a leak re
cently and In a manner unknown a
spark came Into contact with the escap
ing gas. Immediately there was a
terrific explosion which lifted the sur
face for half a block in both direc
tions, and shot dirt, paving stones and
debris Into the air.
When the smoke and dust cleared
away it was seen that the street had
been opened from doorstep to doorstep
over an area of nearly a block. The
loosened earth and debris had fallen
Into the excavation, burying tho score
of laborers who were at work when
the accident occurred. Great oiuoa
vT flame nhnt out f f'e .r vices, ar.d
beside- them geysers of water leaped
Into the air from a water roeiri tiiat
had been shattered. Two bodies were
sticking out of the wreckage.
Man Rousted to Cinder.
Gold street was crowded with school
children when the explosion occurred and
that scores were not killed or injured Is
remarkable. A woman and three chil
dren were almost over the excavation
when the earth crumpled under their
feet and they were swept down into the
(Concluded on Page S.)
i,,,,,,..i...M,.i....... . 4
1 .
THE ANNUAL NUMBER
The Oregonian will issue on
January 1, 1909, an Annual
Number of unusual attractive
ness, excellence and complete
ness. It will be essentially a
PORTLAND EDITION, for it
will tell the story of Portland;
but it will neglect no impor
tant industry or interest of the
state at large.
It will not be a maritime
number, but it will pay partic
ular attention to the wonderful
progress of the port of Portland
during the year, and its present
position - as- a- great shipping
center.
It will not be a real estate or
"boom" number; but it will
show the marvelous advances
made by 'Portland in the con
struction of new buildings, in
manufactures, and in produc
tive activities of all kinds. -
It will not be an immigration
number; but it will show what
has been done in tevery variety
of agricultural and horticultural
industry throughout the state.
Nor will the wheat farm or the
sawmill, or any other phase of
real life in Oregon, be neglected.
The Annual will have articles
about things every one wants
to know of Portland and Ore
gon, from men prominent in the
affairs of the state and there-,
fore f,ully qualified to know
and say. It will .have other ar
ticles by staff writers on sub
jects of interest and' impor
tance to all who care to inform
themselves about Portland and
Oregon.
A special feature will be the
numerous and beautiful illus
trations, which will be new, ar
tistic, finely engraved and well
printed. The pictures will, in
deed, be the most conspicuous
and meritorious feature of an
Annual Number that is certain
to equal, if not to excel, the
best efforts of The Oregonian
on past New Year's days.
NAVAL OFFICERS ON GRID
Personal Misconduct in Japan Is
Charged Against Two.
MANILA. Nov. 21. A court-martial
with Rear-Admiral Seaton Schroeder as
president and Major -Williams as Judge
Advocate, convened on the battleship
Louisiana today for the purpose of try
ing Lieutenant-Commander Jewell, of
the Louisiana, arid Lieutenant Bowers,
of the Rhode Island, on charges of per
sonal misconduct during the visit of
the fleet to Japan. Lieutenant-Commander
Jewell will be tried first.
WOULD ABOLISH
LUMBER TARIFF
House Committee Has
Strong Leanings.
WILL AT LEAST REDUCE RATES
Shabby Treatment Given Pa
cific Coast Men.
FORDNEY ONLY CHAMPION
Strongest Argument for Protection
Made by Men Who Admit Own
ing Canadian Timber Bat
tle Will Be in Senate.
OREGONIAN NEWS BUREAU, Wash
ington, Nov. 20 it was strikingly ap
parent to Pacific Coast men who at
tended the hearing today before the
House committee on ways and means
that that body is strongly inclined to
reduce, if not altogether remove, the
duty on lumber. Chairman Payne, who
conducted the hf:aring, showed glaring
partiality towards those who appeared
to advocate -reduction or removal, and
his treatment of lumbermen who ap
pealed for retention of the Dingley rate
was at times little short of brutal. Of
all members of the committee, he was
most hostile to American lumbermen.
Coast Men Badly Treated.
Pacific Coast lumbermen were shab
bily treated. None of them was given
a hearing until 6 o'clock this evening,
when C. M. Nibley, of X.a Grande, was
accorded a scant 20 minutes. Lumber
and shingle manufacturers from Wash
ington were likewise shut off without
full hearing, all in marked contrast to
the unlimited time granted to those
who want the duty lowered.
As a matter, of-fact,-the strongest ar
gument for maintaining the Dingley
rate was prerented by those who ap
peared in opposition to It.. All but one,
a theorist, are men who manufacture
lumber in Canada and are seeking free
entry to the market in the United
States, and these very men admitted
under cross-examination that if the
duly. ftould be removed the 'consumer
would receive no benefit, for they be
lieved the price would not be lowered.
Republicans for Free Lumber.
Representative Fordney, of Michigan,
is the only member of the committee
who showed Interest In the lumber
men's cause Ke himself is a lumber
man, representing a big lumber-producing
district. Other Republicans, Mr.
Payne In particular, appeared to favor
removal of the duty. The Democrats
are divided, some favoring removal,
others reduction of the duty to $1. the
(Concl u ded on Page 5.)
HOTEL BLOWN UP
BY GAS EXPLOSION
LIGHTED MATCH DISCOVERS
LEAK VERY PROMPTLY.
Guests Imagine Earthquake and
Flee in Terror Four Persons
Burned and Bruised.
REDDING, Cal.. Nov. 20. (Special.)
At the touch of a lighted match gas
exploded at 7 P. M. in a room in the
third story of the Loienz hotel. The re
port of the explosion shook 'the four-story
brick building and was heard all over
Redding. The Injured are:
Mrs. H. A. Jones, chambermaid; Walter
Erskine. porter; John Rule, bellboy, and
D. A. Lancaster, ex-supervisor, of San
Francisco, who occupied an adjoining
room. ,
The injuries are confined to burns
and severe bruises. Lancaster's eye
brows and hair were singed. Erskine is
badly burned on the face, arms and
hands. Nearly every vestige of hair was
burned from his head. Mrs. Jones was
knocked to the floor by the explosion.
Her face and bare arms ate burned, but
not deeply. John Rule's burns were ex
tensive enough to send him to the hos
pital. The explosion was due to a leak of gas.
Erskine lighted a match as he and the
chambermaid and bellboy entered the
room.
All the guests ran from their rooms
and downstairs, knowing not whether
they were fleeing from fire or earth
quake. CRUISERS ON LONG CRUISE
Destination Is Believed to Be St.
Pierre Inland.
CHERBOURG, Nov. 20. The French
cruisers Admiral Aub and Gurgon today
received orders to take on board pro
visions for a long cruise. The destina
tion of these warships is believed to be
St. Pierre, Miquelon.
DISGUISED SECESSION' MOVE
French People Believe Islands Want
Other Protection.
PARIS, Xov. 20. The interpellation in
the Chamber of Deputies by M. Guernier
regarding the Separatist movement that
has manifested itself at St. Pierre,
Miquelon, wa postponed today at the
request of M. Mllleux-Lacralx, the Co
lonial Minister.
. In an interview M. Guernier says that
the troubles at St. Pierre constitute
a movement for separation from Fit. nee
under the guise of religious agitation.
The people are contrasting their eco
nomic situation with that of their neigh
bors, and they believe they would be
better off under Great Britain or the
United States. w
CANNON MUST BE SHOWN
Does Not Believe Taft Will Mix in
Speakership Fight.
DANVILLE, 111., Nov. 20. Speaker Jo
seph G. Cannon's attention was today
called to the story sent out from Hot
Springs, Va., that Mr. Taft woula oppose
Mr. Cannon's re-election to the Speak
ership on the groiwd that "Uncle Joe"
would not undertake in good faith a re
vision of the tariff. Mr. Cannon said:
"I do not believe that the President
elect will undertake to organize the
House. In common with the President
I indorse the Republican national plat
form and am entirely willing to abide
by the action of the Republican caucus
to determine the organization of the
House of the Sixty-first Congress.
DEFINES FOOTBALL YEAR
Iowa Supreme Court Says It Ends
With Thanksgiving.
DBS MOINES, la., Nov. 20. (Special.)
Judge Weaver, of the Supreme Court, In
writing an opinion relative to the con
tract of a teacher of athletics in the
Johnson County schools, today defined the
football season to be that part of the
school year ending with Thanksgiving.
The Judge wrote:
"The remainder of the year of the uni
versity student may be devoted to the
study of football, but the football sea
son properly ends appropriately with' a
general Thanksgiving." A contract in
volving salary and interest, was con
strued by the court.
RUSSIA LIKES AEROPLANE
Wright Machine May Be Used by
Czar's Military- Forces.
ST. PETERSBURG. Nov. 20. An effort
is being made here to sell the Russian
rights in the Wright aeroplane to the
Russian government for military pur
poses. The proposed contract with the Rus
sian government is similar to that under
which the French rights were sold to a
Paris syndicate.
Several Russian officers recently vis
ited Wilbur Wright at Lemans, France,
and It is stated they have reported fa
vorably on his machine.
IRRIGATED LANDS READY
First L'nit of Klamath Project Is
Prepared for Settlers.
WASHINGTON, D. C, Nov. 20. The
formal opening of the first unit of the
Klamath project, consisting of 31,153 acres,
is announced by the Secretary of the In
terior. Plats showing the location and
area of farms which may be entered- are
on file in the land offices at Lakeview,
Or., and Redding, Cal. Water right
charges are fixed at $30 per acre in an
nual installments of 3. A maintenance
J charge of 75 cents per acre per annum.
SALEM PHYSICIAN
IS SHOT BY THUG
Dr. C. H. Robertson
Likely to Die. .
IS WAYLAID ON DARK STREET
Assassin Flees When Victim
Falls to Ground.
OFFICERS ARE ON TRAIL
People tit Capital City, Aroused,
Will Try to Drive Out All Men
Who Have Xo Means
of Llvelihood-
SALEM, Or., Nov. 20. Dr. C. H. Robert
son, one of the best-known physicians in
Salem, was shot through the right breast
by a footpad, tonight, and will probably
die.
The shooting occurred on Fourteenth
street, one block south of Slate, at 8
o'clock. Dr. Robertson had been called
to see a patient on Trade street, near
Fourteenth and was on his way there.
As he was passing along the sidewalk,
near the F. E. Shafer residence, where
there is no street light, a man wearing a
black mask suddenly stepped out of the
darkness and commanded "Hold up your
hands."
Shoots Victim in Back.
Instead of complying, Robertson turned
and fled, whereupon the footpad fired, the
bullet entering Robertson a back below the
right shoulder, passing through the right
lung and out of the right breast. Robert
son fell, and the robber fled south on
Fourteenth street. The doctor as he lay
bleeding on the ground fired five shots
from his own revolver to attract attention
to his plight.
F. E. Shafer, Homer Smith, Supreme
Court Commissioner W. R. King and
others residing near by rushed out of
their homes, and hearing groans' went to
thi scene and found Robertson. He was
carried to a nearby residence, where
physicians attended him. Later he was -removed
la.JVIllamette Sanitarium.
Xo Description of Assassin. , '
As Dr. Robertson can give no descrip
tion of his assailant It Is doubtful whether
the highwayman will be caught. ' Sheriff
Minto. Chief of Police Gibson and Night
Officer Murphy were on the scene a few
moments after the shooting and are
making every effort to apprehend the
assassin.
Citizens Are Aroused.
The shooting has created intense excite
ment in Salem and all along the Btreets
(Concluded on Page 3.)
INDEX OF TODAY'S NEWS
The Weather.
YESTERDAY'S Maximum temperature, 69.0
degrees; minimum. 48.8 degrees.
TODAY'S Occasional rains; cooler; south
erly winds. .
Foreign.
Prince Chun rules China with iron hand.
Page 5.
National.
House committee hw' arguments for and
against lumber ta, a. Page 1.
Politics.
Senator Scott says Taffs policy will in
crease prosperity. Page 3.
Snort.
Y. M. C. A. boys start relay race New York
to Washington. Page 7.
Domestic.
Inquest on Haas falls to solve mystery of
how he got revolver. Page 3.
Twenty-flve persons killed by gas explosion
in Brooklyn. Page 1.
Three killed, six missing In fire In Red
Lodge coal mine. Page 2.
Rockefeller tells of enormous proflts of
Standard Oil and about rebate contracts.
Page 1.
Labor Federation backs up Oompers and
calls on Socialists to tell source or cam
paign fund. Page 3.
Defense In Lamphere trial argues Mrs.
Gunness burned house to hide murders.
Page 5.
Railroads to substitute telephone for tele
graph in moving trains. Page 1.
Gas explosion In Redding hotel Injures four
persons and causes earthquake panic
Judgment given against Cook County. Illi
nois, for damages caused by riots ot
1S94. page 1.
Sports.
Official averages or Coast League players
Issued. Fags T.
University of Oregon plays O. A. C. today at
2.'30 P. M. Page 7.
West Slde beats Portland Academy by
core of 14 to 0. Page 7.
Commercial and Marine.
Portland second In rank as American wheat
- - port. Page 17.
Upward tendency of wheat prices at Chi
cago. Page 17.
Sharp decline in stock market. Page 17.
Trade expanding in all lines. Page 17.
Norwegian Vice-Consul sued by John Grant
for libel. Page 16.
Tortland and Vicinity.
Old system of laying water mains to be
revived. Page 10.
Watchman murdered on schooner Washing
ton was shot In back. Page 16.
paving war in City Council grows bitter.
Page 12.
Southern Oregon clubs will work for elec
tion or Republican Senator. Page 10.
New Oregon banking law to take effect
next Wednesday. Page 12.
Man tries to kill former sweetheart, then
commits suicide. Page IS.
Socialists to take constitutionality of
move-on" ordinance to higher courts.
Page 11.
Consumers- League holds annual meeting
and election. Page 0.
Four wives granted divorces on grounds of
desertion. Page 11.
Eight conventions to be held In Oregon In
next seven weeks. Page 16.
Ruers chauffeur loses nght against extra
dition. Page 8.
Ida io4.o