Witt VOL. LIT. NO. 1C8S8. PORTLAND, OREGON, SATURDAY, JANUARY 9, 1915. PRICE FIVE CENTS. WILSON SAYS HE IS CAPTAIN OFTEAM Warning to Democrats Gravely Issued. PARTY SOLIDITY DEMANDED President Says He Knows Temper of Americans. PEOPLE TOLD: FORGET WAR Nation Advised to Get Own Affairs In Order So as to Be or Service In Final Settlement Plea for Mexico Made. MONEY SO PLENTY RATE IS REDUCED COAST RESERVE BANK TO DIS COUNT AT 4 PER CENT. INDIANAPOLIS. Jan. 8. President Wilson voiced today what a crowd of more than 4000 assembled here to hear him make a Jackson day speech Inter preted as a hint that he might be a candidate for the Presidency again In 11. The people leaped to their feet and cheered until the President him elf raised his hand and called for quiet. The President had been discussing the Mexican question and referred tol Continnin his belief that he knew the tempera ment and principles of the American people, adding that he would not be fit to stay where he was If he did not understand. Tisse May Coaar," lllata President. "There may come a time," he went en. "when the American people will have to Judge whether I know what 1 am talking about or not." There was a slight pause, and then the crowd, which included the mem bers of the Indiana Legislature. Jumped up and began shouting and Figure lowest of Any District In United States Sign Is Encour ing, Says Portland Banker. WASHINGTON. Jan. 8. The San Francisco reserve bank today secured the approval of the Federal Reserve Board to the lowest rediscount rate yet named by any of the 12 bank; 4 per cent on maturities up to 30 days. Money apparently is plenty all over the country and the board is Inclined to approve low rates In order that the banks may be able to do some redis- counting to make expenses. Other rates approved today were: San Francisco. S per cent on maturities up to CO days; 6 hi per cent on 60-90 days and 6 per cent on longer maturi ties. Minneapolis, iVz per cent on up to 30 days 5 per cent on 30 90 days and per cent for longer. "Reduction of the discount rate Is an encouraging sign." said A. L. Mills, president of the Portland Clearing House Association and also ' of the First National Bank, last night. "It shows plainly that the banks In the Pacific Coast district are not in need of assistance from the Federal Re serve Banks and that the banks of our district are in an excellent condition. I do not know of a bank in the North west that has asked for any aid from the reserve banks. The decision to lower the rates should result in creat ing much more business for the re serve banks." BATTLE OF LODZ IS BLOODIEST OF WAR INDEX OF TODAY'S NEWS Tan n en be rgS u rpassedl F"oS in Number of De?. The Weather. TODATS Unsettled, probably occasional rain; southwesterly winds. YESTERDAY'S Maximum 'temperature. 17.2 degrees; minimum, 40. 0 degrees. War . Scores of Cs" mans . V JETTY PLAN IS AGREED RUSSIAN LINE ONLY BEN Von Hindenberg Admits Foe Is Still Formidable. EARLY VICTORY EXPLAINED Held Marshal, Hero of Germany, Attributes Disaster of Samsonoff to Inactivity of Rennenkampf at ' Critical Juncture. Contract Basis Is vldcd by Committee. Pro- I cheering. Realizing the construction I has Informed the committee that II,- that had been put on hit. words, the I 350,000 will be ample to carry on work I 'resident held up his hand tor silence I on the north jetty during the coming and said: "I did not mean to stir up anything. That was merely preparatory to saying that for at least two more years I am free to think I know the American people." Deeaaeratle Victory Aswerted. Previously the President had at tacked the Republican party, defended the record of his Administration on the Mexican policy and the tariff and currency questions and declared that a careful examination of the returns from the elections last November showed that if It had been a Presi dentlal year a Democrat would have bad a majority of about 80 in the Electoral College. GERMAN ARMY HEADQUARTERS, Posen, Dec. 19 (delayed In transmission. via London, Jan. 8.) "Even the occu pation of Warsaw and of the Vistula line would by no means signify the end of the campaign. The Russians, with their immense territories, can fail back indefinitely. Defeated at Warsaw, they can fall back "on Kiev, from Kiev on Moscow and eventually even 'on Vladi- vlstok. Of course, we cannot follow that far." Thus spoke Germany's popular hero, Field Marsha! von Hindenburg, to the Associated Press correspondent in the course of a four-hour conversation to day. He explained how the mid winter Poland campaign, in which the Russian advance was checked and rolled back, had involved frightful bloodletting. Losses of Rnsslaas Enormous. Never in the days of the battle of Tanneberg and the retreat' of the Rus sian General Rennenkampf's army from the Mazurian Lakes did the Russians lose so heavily as In the sanguinary fighting around Wlocawek, Kutno, Lodz and Lowicz, the Field Marshal said. He added that at least 140,000 Rus sians had been killed or wounded since November 13 and that 110,000 other Russians had been made trisoners. The contest, according to Von Hindenburg, had been proceeding everywhere fa vorably to the Germans and Austrians since the fall of Lodz and the com MAN ATTACKED IS SILENT Field Marshal von Hindenburg declared that not all the fight had been taken priests murdered by Gar- . teigians. rags . . tells of Infantry ad. ' perlor work by artillery. - nffAaif t TN. ." tt-atrial v.fl llson warns opposing remocrats that ha . I "raalaln of team" at nresent Paae 1. Britain's preliminary reply to American note is Inconclusive. Page 1. Domestic. Witnesses for engineers say railroads are well able to pay increase demanded, out of savings by increased efficiency. Page o. Steam schooner. Eureka goes on rocks near San Francisco. Page o. Rediscount rate reduced by Pacific Coast reserve bank because money is so plenu. Xul. Page x. Sports. Coveleskie. star pitcher for Spokane last year, added to Beaver staff. Page 12. Six Coast athletes chosen for all-American team. Page 12. Portland hockey stars prevented from acting as officials at Vancouver game. Page 1. Cowier once down and out. but not so now. Page 12. Pacific Northwest. ' Clarke County Sheriff arrests 17 saloon mea to test dry law. Page 5. Commercial and Marine. Marked strength of coarse grains In local market. Page lo. Wheat climbs at Chicago on excited war buying. Page 10. Stocks and bonds continue forward move ment. Page 15. Santa Catatina may be rebuilt earlier than contract requires. Paga 11. rortland and Vicinity. Beamer S. Pague dies, following operation. page i. Pender's mother yet holds trust in Justice to prove son not guilty, page lo. Bakers expect no Immediate rise rn bread prices, page 10. Hosarlans put Portland to fore as one of most progressive cities on coast, says w, J. Hofmann. Page 8. One mill slate tax likely to be only plea of Irrigation Congress. Page 1. At least two bills to be Introduced to re vise taxpaying laws. Page 10. Weather report, data and forecast. Page 15. OREGONIAN NEWS BUREAU, Wash. Ington, Jan. 8. It is understood the Senate commerce committee, of which Senator Chamberlain is a member, has informally agreed to report an amend' ment to the river and harbor bill placing the Columbia River north jetty project on the continuing contract basis- When the committee reports the bill to the Senate, it is expected this amendment will be incorporated. In view of the fact that the Acting Chief of Engineers fiscal year, it will bev difficult to se cure the full appropriation of J 1,750,. 000 originally recommended by the Chief Engineer. Senator Chamberlain today proposed an amendment to the river and harbor bill, authorizing a survey of the Ump qua River. Albany Laborer Found on Street Badly Cut by Policeman. ALBANY. Or.. Jan. 8. (Special.) Found on the street this morning with cut in his neck from which he was . . , ... bleeding profusely, Neal Harrigan, a '" r'l,'"a "epuuI":" laborer on the Corvallis & Eastern Railroad bridge crew, steadfastly re fuses to tell who inflicted the wound. He says there is a woman In the case. At St. Mary's Hospital Dr. Wallace took 10 stitches to close the wound. Harrigan recovered rapidly and Is much Improved tonight. Had th weapon penetrated a trifle further the jugular vein would have been severed. Indications are he was struck with broken bottle. After taking Harri gan to the hospital Officer Marshall found the room of a woman covered with blood and filled with broken bot tles. Whether the woman wielded the weapon or some men were mixed ud tn tne affair is not known. enators opposing the Government ship purchase bill, whom he characterizes as "self-styled friends of business.' He said the Republican party had not had a new idea In 30 years, and that "the Republicans do not know how to do anything but sit on the fid." He added that the country wanted the hip purchase bill enacted Into law. and "will have It." Democrats Seriously Warsfd A warning to Democrats not to break up the solidity of the party was given gravely by Mr. Wilson. He declared that any such men will gain an unenvl able position for themselves,' and men- Vr.l"mlr' e ln.dJ!i f PERSIA SENDS ULTIMATUM to He awake nights thinking about He continued that "if a man won't play on a team he must get off the team, and later spoke of himself as "the cap tain of the Democratic team for the present." The President spoke briefly of Mex loo. He said that the people there are entitled to liberty, "no matter how long they take in determining It. Sneaking slowly and carefully, he de clared that "so far as my influence goes, while I shall Interfere with them." Ha said that until the revolt against Diaz 80 out of the Russians. Field Marshal Forgets Care. So large of frame is the Field Mar shal that he seemed under Instead of over the average height. He has a large head and rugged shoulders and wears a heavy, sweeping muistache, less aggressive in curve than the Em peror's but equally characteristic. The correspondent dined with Von Hindenburg and during the meal the conversation was informal, the cares of the army leader seemingly having (Concluded on Page 4. WOODEN CARS ARE BARRED Notice Follows Investigation of New York Subway Accident. NEW YORK, Jan. 8. The Public- Service Commission today sent virtual notification to the Interborough Rapid Transit Company that wooden cars must be withdrawn from the subway. The Commission asked how soon all- steel cars can be substituted for the 478 composite cars now in, use. The action of the Commission fol lows an investigation into safety con ditions in the subway in connection with the accident last Wednesday, when 200 persons were injured and one killed in a panic. . . MAVY-YARD IS REORGANIZED Portsmouth Fourth Under Rale of Separating Activities. WASHINGTON, Jan. 8. Secretary Daniels today designated Naval Con structor L. S. Adams as industrial man ager of the Portsmouth, N. H., navy yard. The Portsmouth yard is the fourth naval plant to be reorganized under the new system whereby the commandant, a naval line officer, com mands the station and directs all mili tary features, while tne purely in dustrial administration is' under the direction of a naval constructor or an engineer officer. The other yards already reorganized are those at New York, Norfolk and New Orleans. BRIT! REPLIES TO Friday's War Moves AMERICAN DEMAND Preliminary Missive Inconclusive. Is FURTHER ARGUMENT LIKELY Some of Points Raised Call for Additional Light. nn HE Winter storms and floods, while X they have put an end to any mil itary operations on a large scale, have not been able to prevent the armies in the east and west from pursuing the offensive at isolated points along the two extended fronts. In the snow-covered hills of the Cau casus the hardy Siberians ar search ing out the routed Turks.who are re ported to be surrendering by thou sands, while In Flanders, which is vir tually all under water, the allies assert that they have found It possible to make some headway. Only in Poland, where Field Marshal Von Hlndenburgs offensive Is held up on the banks on the rivers which flow between him and Warsaw, and In Ga licia, where the Russians have been compelled to call a halt in their ad vance, does there seem to be an almost entire lull In the fighting. SPIRIT GENERALLY FRANK The Russians continue their forward movement In the Carpathians and In Bukowina, while In France Infantry at tacks have been made at many points. followed by artillery engagements and sapping and mining operations. The French have advanced a few yards in Emphasis Placed on Necessity of I the vicinity of Rhelms, but were com polled to give ground in the Argon n as a result of the Germans havlu 1-MILL TAX LIKELY TO BE ADVOCATED Approval of Irrigation Delegates Apparent. LEGISLATORS MAKE MOTION No Further Aid From State Will Be Asked Now. REVOLVING FUND IN DOUBT Careful Search of Suspicions Cargoes Previous Posi tion Is Reiterated. WASHINGTON, Jan. 8 Secretary Bryan announced today receipt of the note from Great Britain replying to the American communication or De cember 28, respecting American commerce. The note, which is of about the same length as the American communication, will be made public Sunday by mutual agreement between the State Depart ment and the British Foreign Office. Note Regarded as Inconclusive. Officials of the State Department read the note carefully, but agreed to make no comment on it whatsoever in advance of the publication of the text. Secretary Bryan will discuss It with President Wilson on the latter's return tomorrow. That the British communication is in conclusive In many respects and will lead to a further exchange of notes was learned from authoritative quarters. Al though many concessions of neutral commerce have been made by England through embargoes on re-exportation recently completed with Italy and Hol land, some of the points raised in the American note, such as probf at the time of detention of ships and length of time required for examination, will necessitate further argument between the State Department and the British mined some of their first line trenches. With the reports of progress by th French in Alsace, where they are being strenuously opposed by the Germans, the names of some German places are beginning to appear in the official communications, which would Indicate that the advance although slow is be ing continued. Viscount Haldane, the British Lord High Chancellor in the House of Lord today made the interesting announce ment that British experts were busy producing a satisfactory equivalent to the German 42-centimeter gun, which did such execution against the Belgian fortresses at the beginning of the war, and that recruiting was so satisfactory that the necessity had not arisen for conscription. The chancellor would not disclose the strength of the British army, but military experts estimate that it cannot be less than 3,000,000 men, counting the regulars, reservists, the territorials and Lord Kitchener' new army. The reported arrest of Cardinal Mercier, Primate of Belgium, continues to attract widespread attention. The Germans explain that he was not ar rested, but that he was requested to refrain from Inciting the populace of Belgium. The Dutch newspaper which first published the report of the cardl nal's arrest Insists, however, on the correctness of its correspondent's statement and says that even now Foreign Office before a deflhlts under- CarJlna, Mercler is not permitted to standing is reached. Second Reply to Follow. The British note is preliminary, in the sense that It is confined to a general statement of the situation In answer to the American document, and will be fol lowed later by a more detailed state ment on specific cases. ' While the communication points out the peculiar necessities of belligerents in the momentous struggle in Europe, it is phrased in a spirit of frankness and friendliness. Much emphasis is placed by the Brit ish government on the necessity for careful search of all cargoes which ap pear suspicious. In this respect Great Britain has reiterated her position with an amplification of Drevious statements. Great Britain appreciates that the leave Mallnes. From Paris comes ' a report that Roumania and Italy have reached an agreement to enter the "war slmul taneously. OFFICIALS WATCH BREAD Reports of Contemplated Rise Cost Interests 'Washington. in (Concluded on Page 4.) Minister Says Oountrj- Is Overrun by Kurds and Turks. ROME. Jan. 8 The Glornale d'ltalla has published an interview with the I Persian Minister'to Rome. In the course I of which the diplomat said Persia de sired to remain neutral throughout the I war. but that its territory was being Invaded by Kurds and Turks. Persia had sent an ultimatum to am President, nobody I Constantinople, the Ministry said, the result of which was unknown as yet. I The telegraph is interrupted . and it! per cent of the Mexicans never had a takes seven weeks for a letter to travel I look-in as to who should be their gov ernment. Mexico lias K rape's aZxasaple. "Have not European nations taken as Jons as they wanted and spilled as much blood as they pleased to settle their own affairs?" he continued. "And hall we deny the same right to Mex ico? No, I say. from Teheran to Rome. FLOUR AT LA GRANDE $1.95 Price for Sacked Product Highest iu More Than 1 7 Years. LA GRANDE. Or.. Jan. 8. (Special.) Much of Mr. Wilsons address Flour prices reached a record today devoted to the Independent and Pro cresslve voters. He said that about one-third of the Republican party Is progressive and about two-thirds of the Democratic party was progressive. "Therefore." he added, "the Demo cratic party is more progressive than the Republican. He declared most of the voters of the country were independent, but that it was bis ambition to have them vote with the Democrats, ne spoke of hlm- se'f as an "animated conservative. Referring to the European war. the President said that the people of the Vnlted States should not pay too much attention to it, but should get their own affairs In such order that they can be of the greatest assistance to the countries fighting. He closed his ad dress with the prayer that the time might come when the United States could be instrumental in restoring peace. Depreaaloa Called "State of Mlad." Business conditions were 'taken up briefly. He characterised talk of busiaess depression as a "state of mind" and said that the Democratic party had already done much to free business and that Its programme was Concluded va Pass 2. in this city, when the product of local mills was boosted to 11.95 a etA. The price of wheat Is responsible for the rise. This price is the highest ever paid for flour in La Grande in more than 17 years. Further increase is expected. ROUMANIA IS MOBILIZING X at Ion to Go to War Even if Italy Does Xot, Says Writer. LONDON. Jan. 9. The . Morning Post's Bucharest correspondent says: Roumania is mobilizing 750.000 men. of which number 00,000 form the field I army. Roumania will strike even should Italy decide not to enter the I war. Northwest Postmasters Nominated. OREGOKL1N NEWS BUREAU. Wash ington. Jan. 8. The President today I nominated the following postmasters: I Oregon Cornelius Buchanan. Florence.! Washington J. E. Janosky, Connell: William Rouse, Stanwood; John J. Car-I ney. Aberdeen: W. ' F. Roberts. Jr., Klina. "Idaho James Campbell, Hope;! Kenneth G. Phelps, Rlchiield. r ' WITH THE IRRIGATORS. wl i M ml nil. . rTrTA all JO TO Jru otowccIT TwA ' : r?1 I i for . suh w"-' i I J W -nr- SJJ? I J .. "r WASHINGTON, Jan. 8. Department of Justice officials expressed Interest tonight in reports that the price of a loaf of bread was about to Jump from 5 to 6 cents In New York, Chicago and possibly other large cities. No complaints had reached the Depart ment, however, and no action Is In mmediate prospect. Attorney-General Gregory has kept a close watch on any efforts to in crease the cost of living through com binations of producers in any line, and it is considered certain that a rise in bread would be looked Into at once. Concerted action that Involved bakers in different states would al low prosecution under the anti-trust act. HUNTER PLUNGES TO DEATH In Snow Storm Man Falls Over 500- Foot Precipice in Cascades. EVERETT, Wash., Jan. 8. William S. Vail, aged 19, fell over a 600-foot precipice yesterday near Oso in the Cascade Mountains while hunting mountain goats and was Instantly killed. He left his two companions yester day and did not return to camp at night This morning his assistants traced his footsteps to the edge of the cliff. They then went to the foot of the precipice and found Vail's man gled body. Evidently he had lost his 'way dur ing a snow storm. Former Members of Lcglslatore Say Tumalo Appropriation Was to Ilo Returned to State Fund and ! This View May De Accepted. ' PROGRAM MR FOR ORK.ttOX 1RR1UATIO t-ONtiHKSS Toutr, S.S0 A. M. Continuation of 10-minute talks by appointed representatives of delegations. Western Oregon counties; ad vance report of resolutions com mittee: state and Federal co operation, discussion lcii by J. N. Teal of Oregon's rights and needs with reference to Federal reclamation expenditures. 2 P. M. Address, Ira P. Engl hart. North Yakima, chalrm Federal Reclamation comm sion: address, J. CI. Camp, project 4 manager. United Htates Rerlama- f tlon Klamath Project; Address, Herbert D. Newell, project man- I ager. United States Roclama- tion Umatilla Project; final re- port resolutions committee; clec- tlon of officers. , 4 nan I ilia- I A state-wide tax levy of 1 mill doubt less will be recommended to the Legis lature by the Oregon Irrigation Con gress now In session at the Imperial Hotel. This action was Indicated yesterday by the repeated utterances of Irrlgs tionists from various parts of the slat and seemed to meet with the audible approval of the great body of delegates. The suggestion was formally launched at the afternoon seaslon by Joseph T. Hlnkle, of Hermiston, and was seconded a fewa moments later by Frank Davey, of Burns. Backers Are Leclalatora, The significant fact about the posi tion of these two men on this subject Is that both will be members of the next Legislature. It is probable, however, that the ree- mmendations of the congress will and with the proposed I-mlll levy. Most of the delegates fert that the congress should not ask too much from the state, and declare that It the plan for the direct levy is approved It will be all that reasonably can be expected from the Legislature. Single Recosssaendatloai I.lkely. While the urgent necessity of reliev ing several of the most promising arid regions will be pointed out by the reso lutions, no specific appropriations for ny of these districts will be asked for. It is probable, too, that th move ment to turn th ItsO.OOO expended within the last two years on th Tu malo project Into a revolving fund will be abandoned. It may be brought up at some future seaslon, though. According to th terms of the Tumalo ppropriation the first payments from the farmers will not be due for several ears and members of th congress feet that action on th disposition of this money can be dererred ror a rear or more. In spite of the opinion held by many lrrlgationists that the Tumalo appro- l.'uncluriVd nn i'sse 11.) X-RAYED CARGO IStPASSED Cotton Ship, Tested by British Con sul, Sails for Bremen. GALVESTON. Tex., Jan. 8. After X ray tests had shown no coniraoana concealed in her cargo, the American stRsmer Nebraskan sailed today for Bremen, carrying a cargo of 10,317 bales of cotton. The tests were made under the supervision of the British Consul In order to avoid possible delay by British warships searching for con traband. The Nebraskan is the second vessel to sail from Galveston for Bremen dl rect since the outbreak of the war. ITALY FIRM WITH VIENNA Austrian Protest Against Occupation of Avlona Is Answered. MILAN, via London, Jan. 9. The Se- colo asserts that Count Leopold von Berchtold, Austrian Minister of Foreign Affairs, has sent a note to Italy pro testing against the Italian occupation of Avlona, Albania. ' . Baron Sidney Sonnino, Italian Min ister of Foreign Affairs, has sent a reply, thepaper adds. IMPORTANT UK ALT Y DK.tb VIVF.S TA.MilBI.K F.VIOKX K OK P H O R K S . A deal of importance was con summated In Portland yesterday when H. T. Prltchard. of Grants Pass, and Kd. J. Vanderhoof, of North riatte. Neb., acquired from H. C. Mueller, proprietor of the Lace House Laundry, two pieces of property, ono at Fourteenth and Jefferson, facing on Jeffer son and abutting on the Virginia Hill Hotel property, and the other near First and Madison, the con sideration for the two pieces be ing In the neighborhood of ItiS.OOO. Prltchard and Vanderhoof ar planning to improve both pieces of property. Within th next 0 days they will begin the con struction of a concrete building of two or more stories on the First street property, and later on, pos sibly before the end of the year, they plan to Improve th Jeffsr-son-street property with a mod ern brick apartment house. The deal was made through th agency of Lueddemanu Company, with whom L. K. Moor was asso ciated in the deal. As Dart nay lent for the property Mr. Muel- J Ier took tltlo to the well-known "Consul Orchards" property near Grants Pass, this property repre senting a valua of $50,000, and consisting of (88 acres highly Im proved, nearly 140 acres being In fruit and over 90 of this In Bart lett and Anjou pears. 4