V VALLEY-MILLMETi DENOUNCE RATES Southern Pacific Tariff Is Blamed for Steadily Dwind ling Trade. MARKET WEAK FOUR YEARS Kail road OmcUU fray Klr Kl pens ol Traffic Over Crooked M-kljoa Deiuand Increase. Water Shlpeaenta Harmful. "Why la the lumber business In tha Wniametta Valley In an unrmun,r- atlve roadulaa so far a tha sto-cknoia rwm cvf tha lumber corporation ara coo- re rr.wl T" That Question u asked A. C. Ptxon. general maotrr of tha Booth-Kelly romtsnv by Attorney J N. Teal yes- terrier afternoon. after Mr. PI on bad Bid tha lumbar business Mi been in an unl.fai torjr condition since 10T. Air. I'lion was a witness before Exam iner ITouty. of tha Interstate l'ommrrt CnmmlMloa. la tha hearing- of tha Wll lam'tla Valley lumber rata raaa. In whl'-h tha SoulRera Pacific Company la attempting to enforre a rate of . tin on shipments of lumber to Van Francisco and other California points. Milling Kxpene Leaps. "Tha continued operation of tha mllle.- fid Mr. Plxon. "haa led to a decrease In tha quantity of easily avail able etumpacr. We have bad to ao fartber bark for our loss at Increased expense. The cost to u of practically atl supplies haa Increased. The coat of tabor he increased and efficiency haa decreaerd." Asked to explain hla meaning, Mr. PI on said: "A labor becomes scarce men ran more easily eecure poeltlona and can earn more a day. They ara mora Inde pendent, quit mora frequently because they ran eecure other employment eaaily. and do leea work an hour. "Our markets haire been restricted by advance In ratea and In nearly every district where we hare been doing; busi ness have been threatened with still further advances. This haa made tha market more unstable and pl-iced us mora la jeopardy where we took large contract. In a number of Instances tha ratea were raised while we bad large contracts en hand, and w lost a largo amount of money. I la tea Cut Down Profits. "All those thins hare made a de creasa In tha apparent profits or an increase In looses. In our case It haa bean an Increased Ion. Since the Fall of tha lumbar bustnasa haa never been back upon a firm foundation. "From lv to 107 wa had a con stantly Increasing- demand east of Chl rtro for double and triplecar lengths. Comparatively little was shipped south of Ashland. Then the Increased ratea came, and "put a atop to tba ship mentav" "Is tha SJ.fv rata mora than a rea sonable one to flau Francisco and way pointer asked sir. Teal. I think It la." "Then yon think the advance from 11 la to 11.40. allowed br the Commis sion, waa unreasonable?" -Yes. slr." 5bJptnenU on Decrease?. Mr. Dixon, when asked If lumber shipment to San Francisco from Coo Hay had affected tba shipments of tha Hooth-Kelly Company, said that they had. He aald .001 feet was the total shipment In 10J. and tl.000.0o feet the shipment la 110. These Btilp ments were larrer than the shipment for UOt. he said. R. A- Booth told of the building of a railroad line to the compeny'a new mill several yeara aero, when the J ! rate was established. He said tba southern Facinc refused to put In tha road unless his company would agree to ship exclusively by It lines. The S).li rate waa tried for a year, and then established permanently, ha aald. On the etrengta of It bis company built three mil la and placed them In oper ation. .Railroad Tide Told. John Daley, an official of the Illinois Central Railroad, compared traffic con ditions on that line with those on the Southern Fartflc south from Portland. He spoke of an Increase of from 1 per cent to 41 per cent In wages since 1I. and said supplies were higher, too. "Is laal true?" qaerled tiemlner Prouty. "As I remember the testimony at the Illinois Central hearing, supplies are lower now." - Mr. Daley said that steel rails ara the same price they have been for years, that "locomotives may be cheap er If you order them right now." that "lumber was down In lfvi. up In 190$. and la now down." He aald "the Increase In wages haa been more In the rail road business than la other lines, be cause we have been attacked more by labor unions-"" The Increase In wagea did not show all concessions g- -ited labor, he aald. because concessions In overtime had been granted. Stallion Line Worst. U R. Fields, of the Oregon Division of the Southern Facinc. and J. U. Pavts, of the California Division, testi fied yesterday morning. Mr. Davis said he considered the Siskiyou line the worst mountain railroad he knew of. From Ashland to lied Bluff. Ji) miles, he said tbere are li)7 miles of curves and about 100 miles of tangent. In some places there are It-degree curves, he said. There are It tunnels, segre gating; In length 11. 4 feet. Loads higher than 11 feet from the track will not pass tha tunnels, so he has to keep a force of men at Ashland all the time, he said, reducing the loada that tha cars may go through the tunnels. Last year 11.17 brakeshoes were removed at Ashland, he said. Four locomotives are necesary to haul tha IS and 40-car trains. Formerly the trains were of IS and St) cars, but heavier locomotives, and more of them, permit longer trains, be said. A statement of the amount of lum ber shirred south through Ashland was Bled with Examiner Prouty yesterday afternoon by Attorney W. W. Cotton, wbo represents the Southern Faclflo at tha hearing. LITIG.IXT MCST BE RESIDENT PlalntUf or Defendant Required to I.lve la Federal District. The Federal law requires that either the plaintiff or defendant In a suit brought In the I'nlted 9atea Court s-:i be a resident of the Federal dis trict In which tne suit la brought. If the plaintiffs are not residents, and one of the defendants Is not a resident, tba suit cannot, be brought la tfcat (lis- trtct, provided the non-resident de fendant Is a material party. This was the decision of Judge Bean yesterday morning In the suit of Duncan and Roderick WeAuley against S. F. Moody, M. A. Moody and John McAuley. Tha plaintiffs are residents of the Isle of Sky. Great Britain; the Moodys are residents of The Dalles. Oregon, and John McAuley la a resident of Mon tana. The suit was brought to re cover 5o on a note given to the Me Auleys by the Moodys. John McAuley. refusing; to Join his brothers In tha suit for recovery of the note, wss made a defendant. Judge Bean ajso overruled a demur rer to the complaint In the case of K. C. Bolln against the United Lumber Company and It. N. Smith, and on re hearing changed his former rutins; la the case of William E. Fearson against A. C. Hough, saying that In making up his previous decision he overlooked HE-inrxT or poRTiisn roil JSOKK THt 1II.F CK.t TIHT IS DKAD. : V i Late Oearse Hartaesa. With the passing away of George Hartness Saturday, an other of Portland's pioneers Is gone. Mr. Hartness had lived In Portland since 1J4. Hla father, Thomas Hartness. came to Port land from Ohio In lsis. (Jeorge Hartness waa born In 1S44. After coming to Portland he entered the brick manufactur ing buslnesa with his father. Later he became Identified with the Northwestern Transfer Com pany, holding tha poaltloa of sec retary until he retired from busi ness) because of advancing age. Mr. Hartnesa had been ill for three and a half years. The funeral services will be con ducted Jointly by the Scottish Rite Masons and Hsssalo Lodxa of Oddfellows- Mr. Hartnesa waa a thirty-second degree Mason, and Joined the Oddfellow In 1872. The funeral will be held Tues day afternoon. Interment will bo made la Hlvervtow Cemetery. an affidavit which was in fact evidence. The decree now entered la la favor of tba plaintiff. LAWS RULE AT ONCE CO CRT HOLDS INITIATIVE ACTS IV VOGl'E -AIIE.Y PASSED. Judge) Dean Decides That Intent of Voter Make Measure Effec tive After Count. The employere" liability law went Into effect at T o'clock November t. tha moment the polls closed, according to a decision rendered by Feberal Judge Beaa yesterday. Under hla ruling; all Initiative laws which do not set forth when they shall become effective began to operate the minute they ara passed. The question arose in tbs sutt or Wall ace K. Bradley against the Union Brldg-e It Construction Company to re cover 1:5.000 damages for the death of Roy K. Bradley, hla 10-year-old son. November . the day after tha passage of tha new law, young Bradley atepped off a barge used In laying the piers far the new O.-W. H. X. bridge and was drowned. He was at the time working for the construction com pany. The sutt was brought on tha ground that the barges were not light ed properly. It being alleged that the company thereby violated the provi sions of the employers' liability law. The company sought to quash tha complaint by a demurrer, contending that the law did not go Into effect un til the official count of the vote waa completed and the Governor signed tha proclamation. Judge Bean held that the law became effective aa soon as the vole waa complete and tha polls closed. The official count and proclamation are merely confirmatory, ha said. "The Initiative right la a constitu tional right. Invested In them by the fundamental law of the atate." said Judge Bean, "and Is to be exercised independently of tha Legislative As sembly. When the people exercised such right and enacted a law at tba polls, it became the expressed will of the law-making power, ana it cannot be postponsd or delayed by the Legislature." NEW SCHEDULE TO Seattle, Tacoma and Intermediate Points. Effective Sunday. February 6th. . W. Owl" on o.-w. H. . -roget nd Route." wlU leave Portland at p. M. instead of 11:41 P. M. for ttle. Tacoma, Centralla, Chehalls i .11 . Mnunil nntBtL Hleenln KHU i . u - ' ears open for passengers at Union lie pot at :! P. M. as usual and pas. sengers may remain In these sleeper after arrival at Seattle and Tacoma until $:! A. M. -O. So It Sea an Repentant Youth Paroled, rtav van da Bosrard. a youth of 21 years, who participated soma time agro In riot at tft. Johns against a gans; of Hindus, was admitted to probation by Circuit Judge Oantenbein yesterday after pleading guilty to his offense and asserting bis repentance. It waa abowa that the young roan had . never pre rloudy been In trouble and that he supports his parents, who are unable to work because of alckn. rvcmoMt roLLOwi a cold But never follow the use of Foleyl Honey and Tar. which checks the couth and expels the cold. M. ptock weiL Hannibal. Mi), says. "It beats all the reme.lles I ever used. I contracted a bed cold and rouali and waa threat ened with pneumonia. One bottle of Foley's Honey and Tar completely cure! mi." No opiates, just a reliable household moJlciuo. bold DX tu urug Menu-By Request, Tomato Soup with StocK. Crou r.nnkinP School Today at lO A. M. tons. Xante Muffins, CHilli Con Carrie and Coffee We Are Agents Libbey Cut Glass-Haviland, Lamoge. Royal Doulton China-Rogers Bros. Silverware Stv,r1H Sf,wlnri Machines Sold on the Club Plan at S5I.OO a WeeK-TaKe Lunch in Our Tea Room 4th Floor The Greater Olds, WortmsiEi & Urn tore liriitlerimattioinial Puire Food! Fair Afternoon Concert at 2;3Q P. M. by Ruzzi's Orchestra amct Sale of Hitcir&em Goods an d H ouise- Hold Necessities of Every Description Come and supply your wants at this great sale Every thing' from a feather duster or step ladder to a cut glass dish or Haviland China dinner set is on sale in the de partments for household needs On the Third Floor Unusual Savings on Dinner. Sets Dinner Sets with gold border pat tern, small vine and full gold line. Fancy shapes; choice designs of white and gold. Very pleasing patterns and exceptional values, offered special at these prices : 50 -pc. set, $ 7.85 val., g 6.25 60 pc get, $10.50 vaL, 7.05 100-pc. set, $15.50 val., 11.35 Dinner Sets in fancy shapes, bor der patterns of green vine and 6inall rosebud; full gold line on both sides of border; gold-traced handles and knobs. Very dainty designs; special at these prices: 50 pc. set, $ 7 85 val., g G.25 60 - pc. get, $10.60 val., $ 7.95 100-pc. set, $15.50 val., $11.35 Dinner Sets with green border, gold design over border and full gold line, making a rich design and very effective decoration. During this sale we offer them at the following very low prices: 50 - pc. set, $ 8.70 val., g 6.85 60 - pc. set, $11.25 vaL, g 8.75 100-pc- set, $17.10 val., g!4.25 Dinner Sets, Grindley's English semi-porcelain, with plain border patterns of conventional design and neat lines. Great values, of fered special during this sale at the following very low prices: 50 -pc. set, $ 7.85 val., g 5.95 60 - pc. set, $10.00 val., g 7.60 100-pc. set, $15.50 val., 11.80 500,000 Pieces of Tinware Every Article at Reduced Prices Miscellaneous Household Needs 35o Potato Ricer for only 27? 75c Wood Carriers, special at 60 7c Cake Turners for sale at only 5 80 Flesh Forks, ipecial, each 6 15e Kitchen Knives for only 11 10c Can Openers, special only 8 35c Butcher Knives at only 2 7 6c Asbestos Mats priced now at 3 lOc DishMops redaced to, each 7t 6c Toothpicks now on sale at 3 2c Sink Brushes, special, each 1 lOo Qas Tapers, special price 8 15c BngBeaters reduced to 1 1 45oWash Boards now for 35t 75c Mirrors reduced to only 60 35c Baskets priced at, each S7? 15c Polish on special sale at 25c Enamel now priced at only 1 9 $1.00 Food Chopper for only 79 $ 1.25Food Chopper for only 98 8c Vegetable Brush at only 5 15o Scrub Brush now for only 1Q 30c Dust Brush, special price 24 50c Floor Broom reduced to 39 35cFloor Broom reduced to 19 25c Stove Brush on sale for 19? 15c Towel Roller on sale for Wash Basins, lOy-inch, regular 12c values, special at 9 Colanders, 10-inch size, regular 15c values now only 11 Lipped Kettles, 3-quart size, regular 18c values, now 12 Lipped Kettles, 4-quart size, regular 20c values, now 15 tipped Kettles, 5-quart size, regular 23c values, now 17 flM Pierced sizeo.JLO values, special now at 8 MouldsCake or Jelly, regular 60c values, now only 48 DeepHLoaTCake Pans, 20o values, on special sale at 15 Milk Pans, heavy, 2-quart size, 8c values special only G Milk Pans, heavy, 4-quart size, 12c values, special each 10 Milk Pans, heavy, 6-quart size, 17c values, special only VZc Deep Dish Pans, 10-quart size, regular 35c values forS7j Deep Dish Pans, 14-quart size, regular 40c values for 32 MuffinPans, 6-hole20cyalues, on special sale for, each 15 MuffiiPani7"9hole, 25o values, on special sale for, each 19 Deep PuddingPansJ3uaj DeeplPudding Pans, 4-quart size, regular 15o values at lit? Lipped Sauce Pans, 2-quart size, regular 14c values for 10 Lipped Sauce Pans, 4-quart size, regular 20c values for 15 Lipped Sauce Pans, 6-quart size, regular 25o values for 19 Bread Raisers covered regular 95c values now for 75 Scoops for tea or Bpice, regular 8c values, special for G FlatSkimmers, 4y2 size, regular 8c values now, each 6 Water""Pails7i0-quart size, regulaj5cyalue8 jiowjit19? DeeFBreadPans, regularly sell" for 10c, special now for 8$ Jelly and Cake Pans, our regular 10c values now only 8fl Crisp Roll Pans, regular 15c values on sale now for litft Coffee Pots, 2-quart size, regular 18c values, special at 12 Coffee Pots, 4-quart size, regular 25c values, special at 19 Steamers, yo8, our regular 35c values, special for, each 27 Soup a train ers, -mca siso, icgmox j.a.y Deep Jelly Cake Pans, regular value 6c, special now for 4 Deep Jelly Cake Pans, regular value 8c, special now for 6 Deep Pie Plates, regular 5c values, on special saje now 4.$ Perforated Pie Plates, regular 10c values reduced now to 8 Wash Boilers, copper bottom, regular $2.75 values S2.2Q Wash Boilers, copper bottom, regular $1.95 value $1.55 Oblong Covered Dinner Pails, regular 35c values now 27 Covered Tin Pails, 3-quart size, regular 15c values at 11 Tin Oil Cans, l-gallon size, regular 25c values, special 19 Galvanized Oil Cans, l-gallonsize, regular 25o values at 19? AppIeCorers, our regular 5c values, on special sale at 3, . Tin Cups, 1-pint size, our regular 4c values, special only 2 Biscuit Cutters, our regular4c values, specially priced at 2 Fancy Cake Cutters, regular 4c values, now priced at 2t? Tin Dippers, our best regular 10c values, special only 8? Enameled Sink strainers, our regular 25c values, only 19? TjnFunne3, 1-pint size, regular 5c values, special only 3 Tin Graters, our regular 8c values now reduced to each 6fr Combination Graters, regular 10c values on sale at, each 8fr Milk Cans, our regular 45c values, reduced now to only 32 Tin Graduated Measures, regular 10c values, special at 8 Brown Bread Moulds, covered, regular 45c values at 32 Pudding Moulds, covered, regular 55c values, now only 43 Tjafants'BathB, regular $"L"60 values, reduced to only $j .20 Foot Baths, regular 40c values, on special sale now at32? Bread or Cake Boxes, regular 55o values, special each 43ft Cash or Bond Boxes, regular 70c values reduced to 56S Flour Boxes, 60-pound size, regular $1.25 values for SI. CO Sugar Boxes, our regular 85c values reduced now to G7 Tea and Coffee Canisters, regular 20c values for only 15 ' Dust Pans, regular 8c values, on special sale now for only Oft - - N II. I . . , . ' I SECOND WRIT IS INVALID OX THIS DEFENSE DEPCTT BEATTa "WILL REST CASE. Contention Upheld r Tentative De cision' of DlMtrlct Attorney Who Think Kidnaping Igal. That two wrlta of habeaa corpua ean. not b pandlnc in tha aama court at tba am a tlm. la for of on man, 1 tha contention upon which Deputy Sheriff Beatty will rest bla defense, on tha accusation of bavins; kidnaped F- H. Lasher, an Arlsona prisoner, whom ho spirited away from tha courtroom at the conclusion of hearing- Saturday afternoon. He la sustained by a tenta tlTO decision of tha District Attorney and action ag-alnst tba officer Is held up for tha present. Lasher, after having been tried for local offenses and paroled by Judge McGinn, waa held hera to ba returned to Arlsona. where ha I wanted for a tetany. Hi attorney secured a writ of habeas corpus while hla client wa beinr held aa a fugltlva and whlla the matter waa pending, tha Arlsona officer seeured a warrant for extra dition from Governor West. A new writ of habeaa corpus was then issued to cover the Oovernor's warrant, whlla tha first writ was still at issue. Lasher was discharged from custody on tha first writ and was Im mediately whisked away by Beatty In an automobile, to b met at Salem by tha Arlsona Sheriff, who, by this Urn a has tha prisoner in the territory. In carrying tha prisoner away. Beatty disregarded the second writ, and tha District Attorney is of tho opinion that ha waa warranted in doing so, for tba reason that when It waa 1. tied tba prisoner was In the custody of the court from which tha writ Is sued, and that the court thus cited it self, a manifest irregularity. H0LL1STER HOME RAIDED Thieves Take Advantage While Doc tor Is Away at Sea. Balked by a heavy oaken door, which barred their progress, burglars In tho bouse of Dr. O. C Holllster, 768 Kear ney street, cut through a panel in tha door with a butcher knife, secured from tho kitchen, aa a preliminary to thoroughly ransacking tha house. From tha crudeness of tha work, which was dona Sunday night, the officers believe that the criminals were juveniles. Dr. Holllster and family are on a tour of tha islands of the Pacific and tha house is closed. Yesterday morn ing Mrs. EL W. Hall, living next door, noticed that all tho blind were down, which they had not been before, and he notified Patrolman Bale. Tha of ficer entered the house and found that tho intruders hd entered through tha basement, to the kitchen above and then to tha dining-room through tha hole in tha door. They had pried Into every part of tha bouse, but had passed by valuable silverware on tha buffet. Tha extent of tho theft cannot ba de termined until the family, returns, but it I pot believed to ba large. FIRST FLAG MADE IN 1850 Steamer Lot Whltcomb Said to Have) Flown Ensign. ' Who tnada tha first Union flag in Oregon is Just now a question. The statement which appeared In tho Semi Centenary edition of The Oregonlan, that tho flag made by Mrs. Bills In ll wa the first Union flag ever sewed In thl elty or state, 1 chal lenged by Mr. K. Walta, of J55 East Oak street, daughter of Mr. and Mrs. Hector Campbell, pioneers, who came to Oregon from Massachusetts. Mrs. Walte recalls the fact that her mother made a flas; for tho steamer Lot Whit comb, at Milwaukie, the first boat built In the territory. Tha craft was launched on Christmas day 1850. "My parents," said Mr. Walte, "wera pioneers of 1849 and lived In Milwaukie, where they took a claim. They were living thera when tha Lot Whltcomb wa launched. Mr. Lot Whltcomb, the owner of tho boat, wished to have a fine flag made and my mother con sented to undertake the task. My brother, H. B. Campbell, now residing in thl city, assisted in planning it and helped to cut it out I do not remember its dimensions. It was first flung to the breeze on tha occasion of the. pleasure party to tho Cascades, which is referred to In the Oregonian' annual edition. I was a member of the party and remember every Incident vividly." . Jacob Kamm, of this city, Installed the machinery of the boat and well remembers tho flag incident. J-'c-Ainaworth. of the United States Na tional Bank, was the first mate of the boat and recalls the trip. Tho boat was sold to a San Francisco firm later and piled acros the bay for years. T had been troubled with constipa tion for two years and tried all of the best phyplclans in Bristol. Tenn., and they could do nothing for me. writes Thos. E. Williams. Mlddleboro, Ky. Two packages of Chamberlain e Stom ach and Liver Tablets cured me. r-or sala by all dealers. Edlefsen Fuel Company sells the fa mous washed Gale Creek Steam CoaL Railroad Man Writes Remarkable Letter W. H. Ladt President T. B. Wacox Vice-Pres. January, 1911, Shows 62 Increase Over January, 1910, in new business issued LCookingham, Vice-Pres. M. M. Johnson, Secretary S. P. L0CKW00D, VICE-PRESIDENT AND GEN. MANAGER Harry Ricbey, Mgr. Portland Agts. Home Office, 9th Floor Spalding Bldg. Portland, Or. In 1903 and 1904, I waa a terrible sufferer for about five months with kidney and bladder trouble. I could not deep nights and was obliged to get up ten or fifteen times to urinate, passed mucus and blood continually. One doctor said I was going Into consump tion and gave me up to die. Had two other doctors but received no help from either of them and am sure I would have been In my grave had I not seen your advertisement in the "Daily Eagle Star." After taking several bottles of Dr. Kilmer's Swamp-Root I was entirely cured. In the last two years I have been a railroad fireman and have passed two examinations for my kidneys success fully so that I know that my kidneys are in excellent condition now as a re sult of your great preparation. Yours very truly, GEORGE KENSLER. 1422 Mary St,- Marinette, Wis. Personally appeared before me this 25th of September, 1909, George Kensler, who subscribed the above statement and made oath that the eame is true in substance and In fact. HENRY GRAAS, Notary Public, Door County, 'Vrit. Letter to Dr. Kilmer & Ct Blngbamton, X. Y. Prove What Swamp-Root Will Do For You Send to Dr. Kilmer & Co., Bingham ton, N. Y., for a sample bottle. It will convince anyone. You will also re ceive a booklet of valuable Informa tion, telling all about the kidneys and bladder. When writing, bo sure and mention The Portland Dally Oregonlan. For sale at all drug stores. Price fifty-cents and one-dollar.