7 .n rORTLAXD. OREGON.. THURSDAY, JUNE 1, 1911. PRICE FIVE CENTS. VOL. LI NO. 15,761. i GREAT MERGER IS PLANNED BY HILL Great Northern to Own All of Burlington. NEW BONO ISSUE IS MEANS Debt of Both Roads Funded, N. P. Interest Bought. ' EXTENSION'S TO BE MADE By AsUtorlslng 900. 000. OOt La Bonds, Hill bjstrro Has Larf Margin for Katenkn North ern raclflc Uaa w Ally. IIOIRES CC THE XntGEH. Barimatoa M!le. IOl: .took. Iiio.icw.noo: beads, ijt.poo.ooo. lM Nocth.r- M tl-... T": liM-ki. 12:0.000.000; bond., $100.- T-tl hums. . lTfto: nock. $3jn 0U.0"O; (mod.. JI3.0O.0X. Tola! capitalisation HI2.0OO 00. mirAOO. May It (Special.) On of l blsseat railway mr;rs of rcr years. Involving; tha Great Northern an .M.-. no. Burllnston Qulnry Rail rrwls. a total of ! miles of (Inc. was reported a blnc In prospect ystrdaj. TT.a report cam at a ruU of an an nouncement by Jamas J. Bill tn Bt Fa i I of th execution of a fcjOX'VO.OO ftrt and refunding roort-ag coveriny th bond Issues of tb two roads. Although Prealdent Partus Millar aid other official of th BurIln(toa d rlined to confirm th. report, th ar aouncement la construed In many Quar tara aa tha flr.t atep In a plan whlcn ha bn undar discussion In railway -Irct.e for soma tire. It baa bocn pre llcted that th Great Northern oull tak orar th Northern Pacific" ha f laterat la th Joint control of th Bar -Icgtoo by th two companies. Statu of Burlington Shown. Nlnty-v a per cent of th Burllnf ton'a capital atoek. or $107.tll.00O, waa jlred Jointly In rt by th Oreat Nortr rn and Nurthern Pacific at CO a ahar nd tfepoalted with th Standard Trut Company of Nw Tork aa collateral f.r an ban of Ci." WO 4 per coat bond. Iu USX and guaranteed Jointly by U two companies. Mr. HHPs statement declare that sf :h $.000.000. Ki0.000.0V0 la to b ua J Tor refunding a Ilka amount of outstand ing oblcations of th company, which would Include th Great Northern'! bond laau of r-0O.00P.0O and th Burllnrtcn Isau also. X. P. and Xorthwestern to Join. Th rsmor that tha Orrat Northern proposed to take over th Northern Pa cific's Interest In th Burlington wsa ascribed In soma quarters as th rea son for spectacular rt.ee of aa much aa elcht points tn tb Northern Pacific stock In December and la also said to b connected with recent reports of n- gntlatlons between tha Northwestern and Northern Pacific for through pas senger car serrlc to th Pacific Coast. Th Northern Partftc'a through trmlas run between Chlcaso and St. Paul oyer th tracks of th Burlington. C. W. Bunn. general counsel of th Northern Pacific at St. Paul, was In conference with President Miller aad the Burlington attorneys during tha day at Mr. M!llera offle her and Howard KUIott. president of th Northern Pa cific, waa a visitor her on his return from New Tork on Saturday. Mr. .Mil ler, however, declined to entertain th reports of a merger. Burlington Pea! Pay. Th purchase of th Burlington by th two road tn 1901 actually paid for It self, aa the Burlington atock waa ac quired at $100 a ahar arftl exchanged for douhle the amount of collateral trust bonds paying per cent,' wbll th Bur lington atock fcaa paid t per cent. Th bend are subject to call at 10 and Intereat on any Jnly 1 or January 1- In the tranafer l.t'tUli out of a total of 1.10S 191 shares wer exchanged. Th statement of Mr. II. n announcing the borv! lean fnltow: "Hle- Great Northern Railroad Com pact as of date May 1. 111. ha exe-r-vM its first and refunding mortgage. -rurlnc a total authorised Issue of 4eo.0.eA bond. Tne elae of the mortsajre la ex plained by the fait that the outstanding obligation of th comi-any. which ar to he re fun dd amount approximately to t31a.0O4.0O4. Included, however In th figure last named ar the direct acd contingent obllgatlona of the company on th Burlington Joint fours, maturing In 1!I1 and aggregating $::.40.000. -Covering a futur of SO years, approx imately .: 70. .. In bonds therefor wUI be aval'aMe for general corporate purr, double-tracking and ad Utlonal mileage. Pipe Ita bectnatngi I- years so, th Great Northern has expended Aetneen i:S0.0v.(N and !M.0O.ftO out if capital and earnings. Tb prcrtsk n mad for th future, tn consideration of 3e rapldly-growtng territory which r.reat Northern llnea aert. vvgM seta Intelligently conservative. 'Tb railway company evidently has snad ampi financial prorlakm to n aHje It to keep It facilities and exten sions eual to all demant'a that a rap- ilwda e bm a STORM SCATTERS DEATH ON LAKES rOtR KTIXED AT CLEVELAND AXD LORAIN; S AT PITTSBCRO. Boats Capsize and Occupant Fcr lb Girl Drops From IVicbt. Magnate Among Victim. CLEVELAND. Ohio. May 11. Four dead and 2 Injured wss th toll of th teniflo wind and rain itofm. which swept over Cleveland and vicinity to cr Thre Uvea wer lost at Lorain. All of th dead wer In row boats which war capsized by a sudden wind which sprang up out of th calm. Th body of a woman, on of thos drowned, was Identified as that of Mm. Ethel Early. She. with David and Thomas Longstreet, her brothers, wer oat on th Ink in a row boat. Two more empty rowboats wer picked up by a tug. Twenty bathers at Edgewater Park, who took shelter In the boathouse, were burled when th roof fell. On man had both legs broken when a wagon was blown on him and another was struck by a piece of cornice, blown off an Il-story building. His skull waa fractured. PITTS BtrRO. Pa, May 31. With th wind blowing 4 miles an hour and with rain that fell In torrents today, a storm swept over this section of th stat. leaving death and destruction In Its wake. A young girl was whirled Into the door of her bom by th wind and fell dead from fright. Oeorge A. Martin, president of the Pittsburg Tub Com pany, la dying In a hospital with a fractured skull, caused by a falling sign. 0. C. RICHES IS DYING Portland Man Victim of Tubercular Meningitis at Spokane. SPOKANE. Wash- May 11. (Spe cial. O. C. Riches, of Portland. Acting Poatofflc Inspector during the absence In Los Angeles of Inspector James O'ConnelL lies In a dying condition at th horn of E. J. Bowers. 1I0S Thlr teenth avenue. At hla bedside ar Mrs. Riches and daughter and a brother who arrived laat night from Turner. Or. Th other flv children hav been sent for and will arrive from Portland tonight. Mr. Riches arrived In Spokane May & and waa almost Immediately stricken. Two weeks ago he took to his bed nd has been sinking slowly. lie has been unconscious for Br days and la st th point of death, a victim of tuber cular meningitis. Mr. Riches Is 40 years old and has been a poatofflc Inspector for ten years. He haa been In the service for almost 10 years and holds an enviable record. PAINTINGS ARE LOANED Press Club and Commercial Club - Get Pictures From Louis Hill. Louis W. Dill, president of the Great Northern Railway, haa loaned flv oil painting of scenic points along th line of that road to Portland clubs and other Institutions. Although th pic tures ar "loaned." It is understood that they will remain In their respec tive place Indefinitely ao long as they are well cared for. Probably the most handsome paint ing Is that given to the Portland Press Club. It pictures Lake McDonald. which Is acknowledged to be on of th prettiest spots an the American contin ent. The Commercial Club, was simi larly remembered by Mr. HI1L The others havs been placed tn tha Oregon Hotel, the Portland Hotel, and th North Bank ticket offlc. Th picture were carried on Mr. Hill's private car for some time snd wer left In Portland on Ms last visit. OFFICE HELD .35 YEARS PrxtmaMrr at Gilmer Retains Job Longer Than Any In Washington. HCSUM. Wash.. June. 1. (Special.) The town of Gilmer, six miles north, boasts of retaining its postmaster. George Gilmer, for IS years, that being the longest continuous service of sny postmaster In the Stat of Washington. The postal Inspector on hla occasional visits declares that the offlc la con ducted in better ahape than the major ity be Investigates. Whit Salmon is said to be the oldest postofflce in the county, while Fulda comes second 'and Gilmer third. FRANZ JOSEF IMPROVES AuMro-IIungarlan Emperor Enter tain Premier at Luncheon. GOKDELLOE, Hungary. May SI. Emperor Franz Joaef received In audi ence Count Khuen von Hederwary. the Hungarian premier, this afternoon and eubsequently entertained the Hungarian statesman at luncheon. Th emperor, whose appearance belied he recent scares published concerning nla health, will leave the royal palace tomorrow for the Austrian capital. GOTHAM NOT CONSIDERED Mrs. narrlman Will Not Establish I'nlverslty In New York. NEW TORK. May 11. A report that Mrs. E. H. Harriman contemplated founding a university In New Tork City has gained widespread circulation. Mrs. Harriman'a office today gave out Information that she never has had any idea of such aa undertaking. i E RULE NIL IN DRY ZONE Second Vote Needed Says Supreme Court. LOCAL OPTION PARAMOUNT Decision in Joseph Case Is Affirmed at Salem. CITY AND COUNTY UNTIED Justice Moore Holds That Town Councils Cannot Issue Licenses Vntll People at New Elec tion Vote "Wet." SALEM. Or, May 11. (Special.) Af firming Judge Knowles. of Wallowa County. In th case of th state against E. T. Schleur, appellant, tha Supreme Court. In la opinion written by Justice Moor and concurred in specially by Justice Burnett, held that under th "Horn Rule Amendment" an Incorpor ated city or town cannot, without hav ing a favorable election by legal voters, through ita city council, pass an ordi nance allowing th sal of liquor for beverage purposes when the county within which that city or town is lo cated la "dry." "Giving to each word of th amend ment the importance to which it Is en titled." write Justice Moor, "it will be seen that while the legal voters of every city and town ar authorized to license or prohibit the sale of Intoxicat ing liquors therein the clause, "but such municipality shall within Its limit ba subject to th provisions of th local option law of tha state" Is a limitation upon th power delegated, whereby It can be exercised only in the manner prescribed la tha law referred to. . . Rescinding Vote Required. "We ar of th opinion that an em ployment of the power conferred Is subject to all of th consequences that may have resulted from an adoption of the local option law. so that an order of prohibition, made In the county aa a whole, cannot be modified or vacated except by subsequent vote of the quali fied electors of th incorporated city or town cast against prohibition at an election regularly called for that pur pose In the municipality. "No election of this kind having been held In the City of Joseph, the license Issued to defendant Is Invalid and henc th Judgment 1 affirmed." In thla oase the City of Joseph Issued a license to Mr. Schleur following an ordinance passed by th City Council purporting to be under the Home Rale amendment. The contention was raised that the Council had no power to pass such an ordinance until after the legal voters of the city had voted to allow Conoluded on Page 4.) M LAW i ' INDEX TO TODAY'S NEWS Tb Weather. TESTERDAT8 Maximum temperature, 14 decrees; mini XT. am. 00 dasrees. TODAT'8 Increased cloudiness, followed br Uht eaowara; cooler; souihwsstarly ' i wind. Ferelga. la tsar,' Dlaa say good-bye to soldiers and tn Unlrik Pan S. Pans correspondent telle how Portland j.wel.r waa robttea or ta-uv oy dence same. In Paris. Paz 3. Paris correspondent tells how Portland Jeweler was robbed of 13200. Page 4. Damsstie. rfit mar, mrr I. nlafined h H11L Page 1- Seymour gets writ restraining Ban Fran else Folic Board tn nick or time. Pa. 3. Storm cause loss of life and much damage at Cleveland. Page L Associate Judre Harlan to celebrate 71th blrtbaay today, rage a. nat commlttM rt drnllon tram lobrlsu. &f alost reciprocity P4r - WlcJcershun ptvparea to prosecute trust of-f.cJ--J. crlmljia:iy. Pace 2. Fend between Genermle Wood and Alne worth la bitter. Pace 2. Sport. Pacific Cout T-e,ru results yesterday: Portland ft, Oe-lc'and 4: ban Francisco 7. Leoe Angelas 1; Sacramento 6. V ernon 2. Page 8- Korth western Lea rue results yesterday: Tacoma ft. Portland 1; Vlctori a Seat tle 3; Spokane 5, Vancouver 4. Fae 6. Many women to compete In swimming championships. Paa-e & raclflo Northwest. Appropriations amounting to $4,709,246.06. rec.lus.ve of two funds referred, passed by recnt Oregon Legislature. Page 7. Locks! y Hall, hotel at Seaside, is destroyed by rire. rage o. Municipal League of Eugene gives banquet at which prominent speakers discuss in terests of University of Oregon. Page 7. Southwest Washington Development Asso ciation convention to open at Chen alia today. Pass . State Supreme Court holds home rule law is applicable In dry" towns only when second election puts towns in "wet" column. Page L Ex-Chief of Police Wappenstein Is favored by witnesses for prosecution in opening or trial. Page L Vancouver Elks dedicate new $65,000 home. Pag . Gasoline launch in Port Orchard explodes, two men save seven girls, all of party. Page L Commercial and Marine. Hide market firm and prices advancing. Page 1. Close of May wheat deal at Chicago. Pags , -l Tobacco stock drops 82 points on New Tork curb. Page 21. Portland leads all Puget Sound ports com bined in wheat export Page 20. Portland and Vicinity. Women of Woodcraft hold drill competition at Armory. Page ill John C. Carson, octogenarian pioneer; dies without warning, i'age 14. Mount Scott district to get Bull Run water today. Page 14. Socialists expect heavy rote In Portland campaign. Page 12. JI1x Injured in explosion at Mount Bcott je-meiery. rage li. Sot hern and Marlowe present "Romeo and Juliet" at the Helllg. Psge 12. Norman brothers sell their lnteit In Hotel Portland to Day brothers. Pag a. Industrial statistics for May show Port- land s continued growth. Page L MILE LOPPED OFF OCEAN Jap Steamer Makes 4213 MJIes Where Globe Mark Is 41313. TACOMA. May J 1. Arriving in Ta coma thla morning on her maiden voyage and bringing" th first shipment of the new tea crop, the steamer Canada Marti, of the Osaka Bhosen Kalsha virtually won a race with tha composita great circle by one mile and incidentally broke a record in trans pacific navigation that will probably stand for many years. When Captain Horl made his com putations en rout from Victoria to Tacoma. be found, much to his sur prise, that the distance traveled be tween Yokohama and Victoria had been 4111 miles, whereas the distance by the composita great circle would have been 4211 miles. The nearest tfny other steamers of tha line have com waa 21 miles. THE SIMON CORNERSTONE. STATE WITNESSES I E ST Prosecution Puzzled by Turn of Case. VICE DISTRICT LAID TO GILL Two Councilmen Also Blamed . for Redlight Taxes. . POLICE SERGEANTS CALLED Both Testify Counting Seattle's Fall en Women for Superiors, One Saying List Was for Health Board's Use. SEATTLE. Wash.. May 11 (Special.) Th prosecution of C. W. Wappen stein, ex-Chief of Police, wan duro founded todav. their flrsf witness testl-fvlna- that Wappenstein was not re sponsible for the location of the vice district. J. E. Crlchton, City Health Commis sioner, declared that Councilmen E. F. Blaine and Max Wardall save the first word that Seattle's fallen women were to be examined and taxed. That the state's attorneys were dis concerted was evinced by a hurried con sultation and several recurrences to the same question In the hope of getting either a different or a Qualifying an swer. They wer disappointed keenly in this, as well as in attempts to prove bv Dr. Crlchton and his secretary, A. A. Bramer, that Wappenstein, when Chief of Police, had a hand in establishing tha llnea of the restricted district. Both witnesses were positive that Mayor Gill had told them that ho (the Mayor) had fixed the boundaries. Police Sergeants Called. Wardall. referred to by Dr.' Crlchton. was Acting Mayor during the absence of Mayor Gill on a fishing trip to Alas ka, and ordered the district closed and attempted to remove Wappenstein from his position at the head of the police department. Blaine, also mentioned by Dr. Crlchton, was a member of the late Council investigating committee. Blaine was at tha time the ranking member of the finance committee. Both are now rival leaders of the purity brigade In the City Council. A. A. Bramer, chief clerk and secretary of th City Health Department, gave the same testimony. The first testimony connecting wap penstein with the restricted district was brought out in the examination or po lice Sergeant E. L. Hedges, who was placed In c,.rge of the so-called dis trict March 11. t2e day Wappenstein as sumed his duties as Chief of Police. Intent to Segregate Told. Heda-es testified that the only disor derly house operating th night of March El in th King-street district was the Midway, the house that Wap pe n stein Is charged with promoting. (Concluded on Psge S.) . HA RAW. riuftrwU LAUNCH EXPLODES, 7 GIRLS RESCUED MAX DIVES OFF 30-FOOT DOCK, SAVES ONE WHO JUMPED. Helmsman on Port Orchard Craft Quiets Six Panicky Toung Women Who Hang to Wreck. PORT ORCHARD, Wash., May 11. (SpeclaL) Peter F. Norcey, Jr and Gilbert McNeil, the former In charge of a gasoline launch, with seven young women as guests, the latter casually walking along the shore, became he roes and saved seven lives when the launch exploded early this evening. Without any warning there was a deafening detonation which almost de molished the craft. That it did not kill some of the party is miraculous. The shock of the explosion, with Its deafening noise, paralyzed the young women with fear and they collapsed. There was one exception. One of the passengers became hysterical for a few minutes, then sprang wildly into the water. This performance drove the other girls into a panic, but young Norcey managed to convince them that they would drown if they did not stick by the remnant of the vessel, meantime assuring them that the danger was over. Gilbert McNeil chanced to be looking at the launch from ashore when it blew up. He stripped off his outer clothing quickly, made a .run, sprang from the wharf in a 30-foot dive and swam 50 yards to where the young woman was managing to keep afloat. By a heroic effort he seized her and swam ashore without difficulty. JOHNSON BUYS 'GLAD RAGS' Chicago Tailors Busy Making Coro nation Wardrobe for Champion. CHICAGO, May 11 (Special.) Chi cago tailoring establishments will be pushed to their capacity this week. The reason is Jack Johnson, the champion, unexpectedly and unheralded, arrived in town tonight to make final prepara tions for his trip to England, where he expects to Join in the coronation fes tivities. Naturally, he wishes to be properly attired, and has places orders, for 20 suits and a startling number of bats and caps of various styles and colors. On bis last visit to Chicago the big fel low superintended the construction of an assortment of wearing apparel. Consequently, when he starts across the water his trunks will be burdened with at least 50 suits of clothing. On bis Eastern trip Johnson signed several theatrical contracts. He has completed arrangements for an automo bile trip from New Tork to St. Louis via Chicago. He will appear at theaters in big towns along the route. His re numeration for this work will be 11750 per week and 65 .per cent of the theat rical receipts. HAMMOND JQUITS YALE Rich Engineer Leaves Sheffield Faculty When Huntoon Resigns. NEW HAVEN, Conn., May SL (Spe cial) Trouble In the faculty of Shef field Scientific School, Tale, which re cently resulted In the resignation of Professor Louis D. Huntoon, has been followed by the withdrawal of John Hays Hammond from the faculty and consequent loss of his financial sup port. Mr. Hammond gave the school his metallurgical laboratory, the largest of any American university and founded its school of mining. He was at the head for a time, but later brought about the appointment of Professor Huntoon for that position. Several weeks ago there arose a dif ference of opinion between Professor Huntoon and Professor Russell H. Chit tenden, director of the school, and Pro fessor Huntoon's resignation from Sheffield faculty was tendered and ac cepted. Mr. Hammond has taken Professor Huntoon's part and has finally followed Professor Huntoon In severing all connection with the Institution. BUTTER "BRANDS" FARCES Product All Alike, Bought in Bulk and Then Given Different Labels. KANSAS CITY, May 31. It is useless for the consumer to tell the grocer to send a certain brand of butter and no other. Practically all the butter sold by the retailers Is purchased In tubs in carload lots, taken to the place of busi ness of the big distributers and there molded into packages and branded. Lit tle of the butter distributed by any one company with a particular brand is manufactured by that company. This was the testimony of Walter L. Grush, a produce dealer, today before Judge A. F. Evans, special commis sioner here In a suit to dissolve the Kansas City Fruit and Produce Ex change on the ground that it is an Il legal combination. LINER BEACHED, ALL SAFE C. P. Steamer Amur Hits Wrangle Xarrows, Finds Haven. VICTORIA, B. C May 31. The Cana dian Pacific steamer Amur struck a rock on Wrangle Narrows late today. She floated off in a short time and was run ashore on a sandy beach at North flat. There was no danger to passen gers or crew. The steamer Princess May, now on her way from Skagway from the south, will reach there tonight. The extent of the damage to the Amur Is . cot known. BUILDING IKES BIG GUI. M Exports of Flour Also Break Record.' BANK BALANCES INCREASE Month's Statistics Show Con tinued Growth of City. GRAIN SHIPMENTS LARGE Export of Flour and Cereals by Port land Larger Than Total of Any Month for Two Years and Ex- ceed Sound by 50 Per Cent. Maintaining its position as one of the most prosperous cities in the United States, Portland advanced to first place in flour and grain shipments for th month of May and made a correspond ingly strong showing in postal receipts, bank clearings and building permits. The flour and cereal export buslress was larger than the total of any month for two years and exceeded by 60 per cent the total from Puget Sound ports. One of the surprising features of the month was the Increase in the number of building permits over the totals for May last year. During the month just closed 677 permits were issued, for buildings costing a total of 11,868,130, compared with 598 permits and a total of $1,803,445 for May, 1910. The percent age for the month was Increased large ly with yesterday's volume of business, when 29 permits were Issued for build ings of a total value of $182,450. Building Record Noteworthy. Taking into consideration the situa tion of the money market throughout the country and the general retrench ment of building operations, Portland's record is considered noteworthy. It Is believed that no city in the United States will show as great a percentage of increase in building permits. In postal receipts the gain was so marked that there remains no doubt as to the sustained and steady growth of the city. At the close of business Tuesday night the receipts for th month amounted to $76,056.47. On ac count of the mailing of campaign lit erature yesterday, the receipts for the day were unusually large, amounting to approximately $4000, making the to tal receipts for the month in round figures $80,000. The receipts for. the corresponding month of last year were $68,260. The gain of more than 18 per cent is one of the largest increases in the history of the Postoffice. City Financially Sound. Evidence of the sound financial sit uation In Portland is shown in the sub tantial increase in bank clearings for the month. At the close of business at noon yesterday, the totals for May reached $44,518,677.47. In May, 1910, the totals were $41,395,362.13. The la- crease Is 7.5 per cent. Balances for the month were 15,231,482.5. compared with $4,707,440.94 Ma- of last year. The total i ? the five rr.w.hs of y year is $?2,' '"3,098, as aeainsL 1207, 665,604 for f 1 j same period In 19in, an iucreasei of ii.ore than 13 per cent.' One of tlje noteworthy records for May was mdsde In foreign cargo ship ments of flour and cereals. The largest gain was mr.de In flour shipments. 115,800 barrels having left this port. as compared w'th 11,067 barrels in May, 1910. Foreign I'jirber shipments showed little change, while coastwise shipping exceeded t!ia; lor May of last year by a good marsain. Real Estate Still Active. Activity of the realty market was satisfactory, there having been more transfers than in May of last year, though the total was slightly smaller. The total valuations represented 'n the 1688 transfers amounted to $2,641,950. For May of last year there were 1663 transfers and $2,804,142 as the total valuations. In addition to the healthy business and industrial conditions of Portland, a large amount of municipal improve ment work is in progress in all parts of the city, including street paving, extension of sewer systems and park improvements. MRS. TOY T0GIVE BOND Portland Chinese Woman Finds Au- . stralian Exclusion Law Strict- SAN FRANCISCO. May 3 (Special.) An interesting passenger on the Brit ish steamer Maitai. which left this morning for Australia and New Zealand, was Mrs. Lucy Toy. a Chinese woman, who makes her home in Portland, where she is a teacher. Although Mrs. Toy has a perfect Eng lish education and considers herself a citizen of the States, she was compelled A to put up a bond of $1000 to guarantee that she did not intend to remain in the British colonies, where the Asiatic ex clusion laws are very strict. Mrs. Toy will visit her brother in Sydney, who went to that country before the prohibition. 1 1 m i o7.o