Morning Oregonian., July 01, 1913, Page 2, Image 2

THE MORNING OKEGONIA3T. TUESDAY, JULY 1, 10l3.
COURT AGREES TO
"MERGING" PLAN
CAUCUS AGREES ON
'INCOME TAX BILL
PROMINENT ATTORNEY WHO BECOMES PRESIDENT OF
PORTLAND RAILWAY; LIGHT & POWER COMPANY TODAY.
Broadway and Morrison
Federal Judges, by Unexpected
Action, Make Dissolution of
Railways Complete.
PLEA FOR DELAY UNHEARD
Provision Made That Union Pacific
Shall Exchange $38,000,000 ot
Its Holdings for Pennsylvania's
Baltimore & Ohio Stock.
-ST. PAUL, Minn.. June r.O. Federal
Judges Walter IT. Sanborn, William T.
Hook and Walter I. Smith, sitting- a
the District Court of the United States
for the District of Utah, late today ap
proved the' plans agreed upon by Attorney-General
McReynolds and Attor.
neys for the Union Pacific road, and
the famous Union Pacific-Southern Pa
rifle merger, known as the Harrlman
combine, practically came to an end.
The decree signed today "will become
: effective with its Illim? in the Federal
Court at Salt Lake City, Utah, which
probably will take place next Wednes
day or Thursday. The suit was filed
in that court in 1908.
The decision today came as a sur
prise. There was a brief hearing; this
morning- at which the Government was
represented by G. Carroll Todd, special
assistant to the Attorney-General, and
the Union Pacific byvI. H. Loomla and
IT. W. Clarke. Then the court took the
rase under advisement. There was no
hint that a decree would be given.
One Exception Taken.
Shortly before 4 o'clock Judge San
born presiding, called in the respective
attorneys and announced that the court
had decided to enter a final decree, ap
proving the plan as presented by the
Attorney-General and th Union Pacific
rounsel, with practically but one ex
ception. This was the naming of Louis C.
Krauther, of New York, as a commis
sioner of the eourt to see to it that
the letter and spirit of the plan is car
ried out. The court also directed him
to report to it from time to time.
In brief the plan, which had the ap
proval of President Wilson, presented
by the Attorney-General and counsel
of the road, and approved by the court,
provides that the Union Pacific shall
exchange 38,000,000 of its J126. 000,000
holdings in the Southern Pacific for
the Pennsylvania Railroad's entire hold
ings in the Baltimore A; Ohio virtual
ly an equal amount: that the remain
ing $88,000,000 shall be sold to the gen
eral public through the Central Trust
Company of New York; that no present
stockholders, in the Union Pacific, con
tinuing as such, may buy any of the
Southern Pacific stock so sold; that the
transaction should begin November 1,
3 913, and if not complete by January 1
IMS, the court should direct the dispo
sition of any Southern Pacific stock
remaining unsold. .
Court Refuses to Delay.
By the decision today, the court dis
regarded the desire of the Attorney
General that final decision be withheld
for the interposing of objections by
interested parties, to whh portion of
the Attorney-General's ptan Mr. Loomls
made objection at the hearing today as
unfair to the road. The Attorney-General
also had asked in this connection
that there -be publication of the plan
as in the American Tobacco- Company
rase, calling the attention of interested
parties that objection might be made,
but this also was overruled by the
handing down of the decree by the
court.
"We deem a docree of dissolution
more necessary at the present time than
any other action." said Judge Sanborn
after announcing the decree.
The Government, however. : in the
plan presented today and approved by
the court, expressly stipulates; that
should any illegal conditions arise from
. the exchange of stock, either under ex
isting or future legislation or future
interpretation by the courts of present
statutes, the Government would have
tho right 'freely. to assail" the arrange
ment. Tn presenting the plan to the court
today Mr. Loomls said:
"The previous pla-ns contemplated the
completion of the dissolution in five
years. By throwing restrictions about
the use of the stock certificates, this
plan will make it possible to complete
the dissolution by January i,j 191b.
Suit Ktled In 1008. '
The suit of the Government to dis--e
the. Union Pacific-Southern Pa
' ,r was filed in the federal
ha District of Utah
1908.
, for the Kighth
rnposed of Judges
. now on the Su?
er Tf. Sanborn. St.
.took. Leavenworth,
rni Klmer H. Adams, St. Louis, ap
pointed an examiner to take testimony.
Witnesses were examined in all
parts of the United States, the evi
dence was submitted to the Circuit
Court, and in October, 1910, the case
was. argued in St. Paul.
On June 24, 1911, the Circuit Court
banded down its decision. . The ma
jority of the court held, that the case
of the Government was not sustained,
but Judge Hook filed a dissenting
opinion, holding that the merger of the
two railway systems was a violation
of the Sherman anti-trust law. The
Government appealed the case to the
Supreme Court from the decision of
the Circuit Court, and in December,
1913. the Supreme Court handed down
a decree reversing the lower court,
upholding in the main the dissenting
opinion of Judge Hook and sendinsi
case back to the Federal Court
y
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Photo by Grove.
FRASKLIS
GRIFFITH,
that such an extension be granted, and
shortly after the Supreme Court did
so, placing as a time limit July 1, 1913.
On June 12. 1913, two plans for the
dissolution of the roads were presented
before Judges Sanborn, Hook and
Smith at a hearing in St. Paul at which
Attorney-General McReynolds appeared
in person for the Government. Objec
tions were made to the plans in part,
but out of the suggestion made then
that Southern Pacific stock be traded
for Pennsylvania holdings of the Bal
timore & Ohio came the plan today,
agreed to both by the Attorney-General,
attorneys for the railroad and
finally by the Federal Court.
FAIRBANKS LAUDS NATION
(Continued From First Page.)
to President McKinley, characterizing
his policy in the Spanish-American
War, when he used all his power to
bring about a peaoeful adjustment, and
his attitude toward the dependencies
which came into our hands from that
war, as typical of the highest quali
ties of Christian citizenship.
The precipitation of the Spanish
American war he attributed largely to
an ' element which he said sought to
bring about the appropriation of Cuba
for commercial exploitation, and de
clared that this same element i3 re
sponsible for the most of the war talk
that arises from time to time.
During the latter part of Mr. Fair
bank's address considerable annoyance
was caused by persons in tha audience,
most of whom were women, rising from
their places and passing up the aisles
of the grandstand..- On the wooden
floors of the big structure the sound
of their moving about was magnified
until it threatened at times to make it
very difficult ..for others to hear.
. Speaker la (iood-Natured.
Mr. Fairbanks took the interruptions
good-naturedly and the disorder soon
ceased, with the exception of a party
of girls and several young men who
rose and left the stand shortly before
the close of his talk. The same diffi
culty was experienced in the afternoon
session, and the Rev. H. C. Mlnton, who
presided : over the session, was twice
during the afternoon obliged to remind
groups of women and men in the aisles
of the grandstand of the courtesies due
the speakers.
Dr. Jobn Lamond, who preceded Mr.
Fairbanks on the evening programme,
spoke of the ruling characteristics of
the Scotch people and the influence
that they have had in the development
of Christian civilization. He outlined
the changes in conditions in Scotland
during the past century and declared
that he believed the application of the
principles of Christianity to social and
economic Questions will afford a solu
tion of many of the problems which
his countrymen new find confronting
them.
Chorus Work Magnificent.
At the opening of tne programme.
Professor W. H. Boyer directed the
conference chorus in a magnificent
rendition of the "Hallelujah Chorus,"
from the "Messiah."
The attendance last night was the
largest that has been gathered in the
stadium thus far in the conference.
The grandstand was well filled and
the overflow of the crowd packed the
scats in front of the grandstand and
about the speakers' stand, while many
ethers were standing on the outskirts
of thi3 "bleacher" crowd.
GRIFFITH
CHARGE
New Head of Great Corpora
tion Takes Office.
ACQUAINTANCE HERE WIDE
B. S. Josselyn, Retiring President of
Portland Railway, Light & Power
Company, Recipient of
Many Good Wishes.
I CLCB TO GIVE XCJTCHISOX.
J B. S. Josselyn and F. T... Griffith,
r 'successor of 11 r. Josselyn . in ths
Portland Railway. Light & Power
f Company, will be entertained with a
I complimentary luncheon at the Port
4 land Commercial Club tomorrow
t noon. Reservations are to be made
Sat the Commercial Club and friends
of the guests and business men of
Sthe city -will be invited to participate
in the testimonial luncheon.
the
ipr tne j istriot or L tan Tor an en
forcement of the decree dissolving the
merger.
Circuit Court Abolished. ;
Between the time of the filing of
the original suit and the decree of
the Supreme Court. Congress had abol
ished the Circuit Courts and assigned
their jurisdiction to district courts,
providing that the Circuit Judges, who
constitute the Circuit Court, should sit
also as District Judges. It is under this
law that the Circuit Judges, in this
case, sat as the District Court of Utah.
After the first tentative plan of dis
solution was presented to the court at
St. Louis February 21. 1913. a number
of modes of procedure providing for
the separation of the interests of the
two roads were suggested, to all of
which there were objections. The prin
cipal point upon which the Govern
ment and railroad representatives-were
unable to agree was the disposal of
Union Pacific holdings of Southern Pa
cific stock, amounting to $126,000,000.
In March, with the change of adminis
tration. Attorney-General McReynolds
succeeded Attorney-General Wickcr
slism in the. case.
Kitrmlnn Is Granted.
On April 21, 11S, representatives of
the union Pacific made application to
Judges Sanborn. Hook and Smith at
St. Paul for an extension of time with
in which to present a plan of dissolu
tion. The judges recommended to the
Supreme Court of the United States
70 MILES IS DAY'S WALK
Dan O'Leary, Aged 7 0, Leaves
Youthful Companions Behiud.
Leaving his youthful companions in
the rear, Dan O'Leary. the famous pe
destrian, walked to Mount Hood Sun
day. 68 miles from the west end of the
Madison bridge. He figures that he
walked another two miles to the start
ing point from his home, which makes
his total TO miles.
Yesterday was his 70th birthday and
despite his climbing years, OXeary
still makes it a habit to walk one mile
for each year on his anniversary.
The start was made at 4 A. M. He
reached Government Camp at the
mountain at 6:30 P. M. He was ac
companied it the start by James Smith,
W. F. Woodward and Edward Donovan,
all of whom he dropped ou( long before
the end of the march was reached.
When the cargo of the Hamburg
American liner Saxonia is out she will
be fumigated and then haul down from
the North Bank dock to that of the
Crown Flour Mill, later going to Albina
J dock. Montgomery dock No. 2, Oceanic
dock and the plant of the Portland
Flouring Mills Company.
Georgia must pay off $3,670,000 in bonds
In 1916.
A new executive is in charge of the
Portland Railw-ay, Light Power
Company's affairs today.
He is Franklin T. Griffith, for many
years attorney and Vice-president of
the company, who, a few months ago,
was chosen to succeed B. S. Josselyn,
who resigned as president.
Mr.-Griffith has arranged in the last
few weeks to assume the duties and
responsibilites of the office now laid
down by Mr. Josselyn and this morn
ing will be prepared to take full and
active charge. His long association
with the company makes it possible
for him to go into power without im
pairing the efficiency of the present or
ganization. Mr. Griffith in well known through
out the territory served by the Port
land Railway, Light & Power Company.
Previous to coming to Portland about
30 years ago he was located at Oregon
City. It was there that he began his
career as a lawyer. Soon after coining
here he became associated with the
local traction companies as attorney
and in that way rose gradually until
he became chief legal adviser for the
present great public service institution
Mr. Josselyn's retirement has been
the occasion for much regret, both
among his associates within the com
pany, as well as among his many
friends throughout the Northwest. Mr.
Josselyn is personally popular where-
ever he is known. . Many officers and
employes of the company called upon
him at his office in the Electric build
ing yesterday to bid him farewell.
AGITATORS STILL BUSY
IXVESTIGATIOX OF EAST SIDE
PLANT TO BE MADE.
Clause Exempting Mutual Life
Insurance Companies Is
Stricken Out.
DEMOCRATS AVOID TANGLE
Superintendent of Factory AVhere
Strike Is in Progress Makes
Charges Against Police.
Repeated efforts of a gang of In
dustrial Workers of the World agita
tors to break up the operation of a
packing plant at East Eighth and Pled
mont streets, were reported yesterday,
and complaints were made that women
working in the factory are being- in
suited as they go to and from their
work. There is no picketing bv th
striking girls, of ' whom about 50
walked out last week, without making
any demands for increase of wages,
according to the management.
Meanwhile the Industrial Welfare
Commission, at the request of the pro
prietors of the plant, is making an in
vestlgation of the pay and working
conditions given the girls in the plant,
and win maKe an early report.
The Commission held a conference
with about a dozen of the strikers yes
terday, at which the girls said that
their demand is for increased wages
and snorter hours. They had been re
eeivlng 10 cents for picking the stems
and grading about 40 pounds of cher
ries. They were able to earn from $1
to -.(! a day or 10 hours at this work
The superintendent of the plant de
clares that girls reported to hini that
policemen had not only encouraged the
Industrial TV orkers of the World mem
bers to interfere- with the girls who are
working but had themselves tried to
dissuade the girls from evatinulng their
employmaat. '
lively Debnte as to Amount of Levy
on Persons "With Families Threat
ens to Disrupt Party Com
mittee " Report Taken.
WASHINGTON. June 30. Democrats
of the Senate in caucus tonight ap
proved the income tax section of the
tariff bill as revised by the majority
members of the finance committee,
voting, however, to strike out the
amendment which would exempt mu
tual life insurance companies from the
tax.
The action of the caucus came in
the midst of lively debate which earlier
had threatened to be nrolonKed. there
Deing wide difference in opinions ex
pressed as to the amount of the income
exemption- As approved by the caucus.
tne senate finance committee amend
ment stands. exempting incomes of
$3000 for single persons, with S1000 ad
ditional for a married man or woman,
with a taxable income and $500 for
earth dependent minor child not to
exceed two.
After many suggestions to extend
tne exemptions for dependents upon a
family, the Democrats finally concluded
that they were getting into deep water
and agreed to the committee change,
which reduced the normal exemption
as proposed in the House bill from
J4000 to 53000.
Action to Be Reconsldrred.
The action of the caucus in striking
out the mutual life insurance company
amendment was agreed on just before
adjournment and is to be reconsidered.
In the House bill mutual life in
surance companies were not exempted
from terms of the income tax and
vigorous protests were made by all the
great mutual life insurance companies
to the nnance committee. It was
finally agreed by the committee that
mutual companies not conducted for
profit should have been exempted from
the tax, the earnings being applied for
the benefit of policy holders.
Senator Pomerene tonight made the
motion to strike out this amendment
and it was carried by a vote of 13 to 11.
Because the caucus was so slightly at
tended, members of the committee
thought that the matters should be
presented to the full Democratic mem
bership and Senator Lewis, of Illinois,
who had voted for the Pomerene
motion, moved to reconsider the mat
ter. It will be taken up again tomorrow.
Senator SImmona Elated.
Chairman Simmons ot the finance
committee was elated tonight over the
quick action on the income tax section
and he does not expect much trouble
over the administrative feature of the
bill, to be taken up tomorrow. This
will complete the entire tariff bill with
the exception, of a few amendments
which the-committee has under consid-j
eratlon, among them Senator Hitch
cock's graduatd tax on tobacco pro
posal and one by Senator Newlands, 1
which would provide for . gradual re
duction of the tariff in lieu of the
pending bill. The prospect now is that
the caucus will get through tomorrow
night and that the bill will be reported
to the Senate next week.
Chamberlain Amendment Lost.
Before taking up the income tax, the
caucus completed the free list with
the exception of the provisions relating
to paintings and works of art, which
were referred back to the committee
for further consideration. An amend
ment by Senator Chamberlain for a
countervailing duty on lumber was
voted down by the caucus by a. large
majority.
Senator James Hamilton Lewis, of
Illinois, submitted to the finance com
mittee tonight an amendment pro
posing general countervailing duties in
lieu of the anti-dumping clause which
was stricken from the Underwood bill
by the finance committee. The amend
ment was suggested by the Illinois
Manufacturers' Association. The com
mittee has not yet considered it.
Eyeglass
Accidents
will not happen to you if your
Glassps are equipped with the
Shur-On.
You will also learn what eye
glass comfort really means
your glasses will not slip, pinch
or tilt.
The velvety suction contact fea
ture is - insurance against the
breakag-e of lenses.
Factory on Premises.
THOMPSON
OPTICAL INSTITUTE,
209-10-11 Corhett Bldg., Second
Floor, Fifth and Morrison.
be taken from the Bering River within
the next two months. This coal also
win be tested on the Maryland.
E TIME IS WANTED
HOUSE TO THINK OVER CUR
HENCY BILL FOK WEliK.
HOLMES WILL -TEST COAL
Director of F'eUeral Bureau of Mines
Goes to Alaska.
WASHINGTON, June 30. Dr. Joseph
A. Holmes, director of the Federal Bu
reau of Mines, left today for Seattle,
Wash., to take personal charge of the
expedition which is to sail from that
city July 5 for Alaska to get 1000 tons
of coal from the Matanuska field to
be tested by the Navy.
The trip will be made on the steamer
Admiral Sampson with 30 men, horses
and mining equipment under the direct
charge of George W. Evans and John
T. Ryan, mining engineers. Arriving
at Knik, in the south central part of
Alaska, the party will proceed by pack
train 60 miles to Chickaloon in the
vicinity of the coal field. It is expected
that the desired quantity of coal will
be obtained by Fall. It will be taken
over the ica next Winter to tidewater
and later be given a thorough test on
the cruiser Maryland, now in Alaskan
waters.
Eight hundred tons of coal taken
from the Bering River coal field a
year ago is now at Stillwater and will
Speed or Legislative Machinery
'Slowed by Majority Members
of Committee.
WASHINGTON, June 30 The speed
of the smoothly geared legislative ma
chinery planned to rush the Adminis
tration currency bill through the
House with dispatch was reduced to
day at a conference of the Democratic
members of the House banking and
currency committee. The majority
members decided to allow themselves
a week to think the bill over. They
will meet again next Monday.
Meantime, Chairman Glass was au
thorized to select an expert to advise
with the committee. H. Parker Willis,
of New Tork. may be the expert.
Some Democratic members thought
today a little more time for considera
tion of the bill would be advisable,
but others evinced a willingness to
vote at once.
"There is no disposition on the part
of any member of the banking -and
currency committee to delay consid
eration of the bill," said . Representa
tive Wingo, of Arkansas, a new Demo
cratic member of the committee.
"Every member seems to be anxious to
take up the bill and proceed as fast as
possible.
On the Senate side, members of the
banking and currency committee said
today they expected to begin work on
the bill within two weeks, although no
aennite plans would be made until
the House committee had begun con-
siaeration of the measure.
BULGARS ASSAIL GREEKS
(Cohtinued From First Page.)
u u a ir. u i1 i ir- n rv
CLOTHES
So good that when
you've worn them it will be
hard to satisfy you with any
other make. Only the reliable
materials are used, and then they
are tailored so well that Ave give
a guarantee that is worth some
thing. If the Coat of Suit does
not hold shape we will give you
a new Suit for the old. Theu we
have the furnishings to go with
the clothes, Manhattan Shirts,
Imported and Domestic Under
wear and 'Hosiery, Knox Hats
latest in" style and right in pricel
Come and see the new store and
inspect the stock displayed. We
would like to supply your clothes
needs.
5
343 Morrison
arms immediately. This grave step has
been taken in consequence of the Bul
garians attacking the Greeks along the
whole line. Without formally declar
ing war, the Greek government has de
cided to address a vigorous protest to
the Bulgarian government.
The Greek fleet was instructed today
to sail forthwith to Tazagesl. a small
port near the Gulf of Saloniki. King
Constantino of Greece started today for
Saloniki.
Attack Opened in Nigh.
The Bulgarian troops opened their
attacK at 2 o clock this morning on the
Servian advanced posts before Istip
and a couple of hours later their artil
lery was brought into action.
The Bulgarian attack gradually
spread until there was fighting ' at
Retna, Boukva, Zletovo, Neogasi and
Valandovo.
The Bulgars appeared intent upon
seizing the railroad.
According to a later message the Bul
garians also attacked the Greek troops
along their whole front. Large masses
of troops participated in the fighting,
which was of a very bloody nature.
Heavy fighting is reported in prog
ress in Macedonia between Servians and
Bulgarians nea.r Istip and between
Greeks and Bulgarians hear Dratam.
' Bulgara bain Strategic Point.
It is reported that the Bulgarians
have occupied Guevghsli at the point
of tho bayonet. This is an important
strategic position where the Greeks
and Servian lines join.
It is understood that Bulgarian
strategy aims to hinder co-operation
between tho Greek and Servian forces
and to prevent Servian communication
with Saloniki.
A Saloniki dispatch says:
-It Is thought here that the Bulgarian
policy was directed at gaining time tot
complete the concentration of forces'
and that a general attack commenced
immediately this was achieved. Out
post affairs in the Paughaion djslrlcA
and. on the river Glaovo were under
taken by the Bulgarians to secure im
portant strategic and tactical positions.
"In accordance with instructions pre
viously received, the Greeks, who were
greatly outnumbered, fell back on the
Struma River before the Bulgarian at
tack, and the whole Panghaion region,
including the town of Klenteri, has
fallen into Bulgarian hands.
"Thirty-six thousand Bulgarians at
tacked Guevgheli at 5 o'clock in the
morning and defeated the Servians,
thus cutting railroad communication,
and it is reported thnt a strong Greek
force is surrounded by Bulgarians and
in a critical position at Nigrita.
Strike IJiot Trial Begins.
PATTERSON, N. J.. June 30. - The
second trial of an Industrial Workers
of the World leader, charged with in
citing to riot during the silk strike,
was begun today when Elizabeth Gur
ley Flynn, Indicted with Patrick Quln
lan, William D. Haywood, Adolph Les
sig and Carlo Tresca, faced a "foreign
jury" drawn from citizens of another
county. Qulnlan has already been con
victed and is awaiting sentence.
Forty-nine years as teacher in the pubtln
schools of fhicago is tho record of Harriet
K. Winchell.
llRniiifi
I I r l j r-i
Good
Cooking
is an Art
Food that naturally
just melts in the mouth
delicious. . aDoetizin?.
wholesome and nourishing
is an art to prepare.
Perfect leavening is the great secret.
The best leavener, by test, is
V) J T - : -i j u
and, best of all, makes wholesome, digestible food.
Itcmp
THIS WHOLESOME
BAKING POWDER
mm
y3 ra '
Hotel Multnomah
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Re-engagepient
DIANA B0XNAR-, Prima Donua
HERBERT JOHNSON, Pianist
MISS VERIIAGEK, Soprano - .
with the
MULTNOMAH HOTEL ., REVUE GIRLS
and !
HERiv HERMAN HELLEK, Musical Director
Presents the
GREATEST CABARET ENTERTAINMENT
in This Country During
LUNCH and DINNER, After the Theater
H. C. BOWERS, Manager
, Gainer Thig-pen, Assistant Manager
Big Reduitipn in Prices
G.-I. Mak
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in
get these
Lamps tht
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Put a G. I. Mazdi
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SJXTIfSTA
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each 35C
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