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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (Sept. 21, 1916)
THE MORNING OEEGONIAJT. THURSDAY, SEPTEMBER 21, 1916. GEHENT TRADE WAS SPLIT IS CHARGE Anti-Trust Suit Reveals Interesting Collection of Business Letters. an SECRETS COME TO LIGHT Correspondence Brought to Court to Support Allegations of Collusion and Price Agreements. " "We are quoting $2.10 per barrel," dis count of 1 per cent for cash. I had this matter up with the other cement com panies and they all told me in making quotations to railroads that all quota tions are on a basis of 1 per cent dis count for each 10 days; therefore, to be on equality with them, we are doing likewise." This excerpt from a letter written by C. W. T. Hollister, assistant sales manager of the Oregon Portland Ce ment Company of Oswego. Or., to Clark M. Moore, salesmanager, was one of many others taken from the company's files and read yesterday in affidavits submitted at the hearing before Fed eral Judge Wolverton of the applica tion by Aman Jtioore, vice-president and treasurer, for a temporary restraining order ousting six defendant officers and directors from all participation in the affairs of the company. Aman Moore and Clark M. Moore are not relatives. Neither are they friends. Quite the contrary, Aman Moore charges in his application, for an in junction, which occupied its second full day in court yesterday, that he was removed as sales manager of the com uany in favor of Clark M. Moore be cause he, Aman Moore, had offended in trying to build up a good business for the company in competing territory. As soon as Clark M. Moore succeeded him. It was asserted by Aman Moore in personal affidavits read in court by his lawyers, the many inquiries he had re ceived from individuals and firms in Seattle, Olympia, Walla Walla, and as far distant as San Francisco and Hono lulu, were Ignored, -or prices inflated eo as to be above those of the cement concerns to whom the territory had been allotted, and his promises to send representatives remained unfulfilled. Lines Are Tightly Drawn. Among other allegations, Aman Bales manager to sell cement in Van couver, Wash., brought on his head the disapproval of R. P. Butchart, the pres ident of the Oregon company, because Vancouver was supposed to be In the "territory" of Washington concerns. Another of the excerpts from the company's letter files quoted in the af fidavits was the following, taken from e. telegram from J. E. Moore, a brother and assistant of Clark M. Moore, to Clark M. Moore, under date of August 29, 1916: "Bitter complaint in directors" meet lng because we don't sell In Vancou ver. Our lawyers also kick to beat the band. Don't you think it best to establish agency there? Don't see how we can get around It with things going the way they are. I advise it." W. W. Cotton, who, with Wirt Miner. Is representing the six defendants, R. P. Butchart, president; M. J. Ballard, vice-president and director: L C. New- lands, superintendent and director George Macdonald, secretary: Clark M. Moore, sales" manager, and Charles Boettcher. director, objected to this line of testimony. "The reading of Isolated letter picked up out of the files and of ex cerpts taken from them is manifestly Unfair, he declared. John F. Logan, one of the attorneys xor Aman Moore, replied that the com plainant had served the affidavits on the defendants three days previously, and that the defense had had time to put in answers from the same letter files. The hearing was otherwise enlivened fcy a sharp skirmish between Attorneys Logan, Isham N. Smith and Coy Bur nett, for Mr. Moore, and W. W... Cotton and Wirt Minor for the defendant off! cers and directors, as to whether Judge .Wolverton should order the postpone ment of a meeting of stockholders of the company set for yesterday after boon at 2 o'clock. ; Stockholders Adjourn meeting;.' Mr. Moore's side scored a point when Judge Wolverton formally, ordered postponement of the meeting until Thursday afternoon, or until the court bearing Is ended. When the stock holders met later in the company's offices at 1104 Wilcox building, they adjourned in accordance with this order to Thursday at 2. One of the allegations made In Mr. Moore's application for an injunction against the defendants was that they were attempting to control this stock holders' meeting with a view to ob taining adoption of a resolution in v Btructing the directors to dismiss the action at law brought by Mr. Moore on August 28, in behalf of the com pany, for treble damages of $1,500,000 against these defendants and 14 ce Jnent concerns belonging to the alleged cement trust, for injury caused the Oregon company by actions in alleged restraint of trade. Mr. Logan declared to the court that If the stockholders were permitted to meet pending the outcome of the in junction hearing, before settlement of the moot question as to whether the R esmo. the tested skin-treatment I f you want to experiment on your skin, there are plenty of treatments to experiment with. But if yoa want something whose value has been proven by years and years of suc cessful use, if you want a treatment that doctors prescribe constantly, that you know contains nothing harsh or injurious, you will find it in Resinol Ointment, aided by Resinol Soap. It usually stops itching in stantly, and rarely fails to clear away all trace of eczema or similar tormenting skin-eruption. Resinol Ointment and Reftinol Soap are sold by all druggists. For trial free, write to Dept. 27-R, Resinol, Baltimore, Md. defendants should be allowed to partic ipate in the meeting with their own stock and stock alleged to be under their control, the purpose of the in junction hearing would be defeated. lie read from the printed call for the meeting that among its purposes , vo.a mo removal ox ivir. Moore as vico president and treasurer, and also the removal as vice-president of Paul C Bates, one of the directors who Is on Mr. Moore's side in the steps taken against other directors and officers. Mr. Cotton and Mr. Minor explained that severfal stockholders, including W.' J. Kerr of Corvallis, had come at much inconvenience from a distance to attend the meeting. They argued that at most the stockholders could only make recommendations, and that , their action was not binding on the directors. But Judge Wolverton took the view that harm might result from the meet ing at that time and ordered its post ponement as related. Bond Is Required. At the request of Mr. Cotton, speak ing as a stockholder, however, the court directed Mr. Moore to file a bond of $1000 against possible damages result ing from the postponement. Judge Wolverton also made it clear that his ruling in no wise was to be taken as suspending the defendants from per forming their functions as officers and directors of the company. In support of Aman Moore's conten tions as to collusion and -existence of territorial and price agreements among the cement companies in restraint of trade, the following excerpts from let ters taken from the company's files. among others, were quoted in affidavits read to the court: In a letter from Clark M. Moore, the new salesmanager, to Colorado Port land Cement Company, dated August 1, 1916: "Enclose check for S200, which was advanced the Government on plac ing bids for the Oregon Portland Ce ment Company on reclamation service work." Thanking you for the courtesy extended." Territory Was Divided. The following quotation from a let ter written by Clark Moore to R. P. Butchart, president of the company, i was cited as supporting the allegation that, although California cement com panies could send cement to Astoria, Or., at lower freight costs than the Oregon Portland Cement Company from its plant at Oswego, Astoria was in the territory allotted to Portland, and the California concerns accordingly raised their prices so as not to compete with it: "Meet with Boettcher, Portland, to settle important . matters once and for all time. Advance at Astoria by Cali fornia companies to meet Oregon prices. one dollar and forty-six cents per bar rel was for contract sold by Washing ton company." In evidence of the several cement company connections of Clark M. Moore, sales manager of the Oregon Company, the following excerpt from a letter from Mr. Moore to C. W. T. Hol lister, assistant sales manager, dated April 27, 1916: Advising printing of BOO envelopes with Clark M. Moore's name in light blue because Colorado Company's are white and Three Fork's are buff. Regarding the Washington and Olympia cement companies selling cement in Portland again on a tempo rary arrangement. Would say for your information. . it is my understanding that they have some contracts they are completing." Another letter, which, according to the defense, however, shows that busi ness was solicited for the Oregon Com pany in wasnington territory, as far north as Aberdeen and Hoquiam. was .quoted. It was written by J. E. Moore to Clark M. Moore. August 12. 1916. and, the excerpt reads: Critical Time Stated. I -understand this is a critical time and I do not wish to do anything to hamper present arrangements or ar rangements which you expect to make in the very near future I certainly hope the' new terms will go Into effect at once, as we can get Fisher and other business Hollister made no sales on his trip north but made quite a thorough canvass as far north as Aberdeen. and Hoquiam." Another excerpt from a letter by J. E. Moore to Clark M. Moore, dated August 21, 1916, read: "Statter has letter making price to steam railroads $1.60 instead of J1.70 with one "per - cent discount for cash. Is this correct?" "That's what I would like to know." observed Mr. Cotton. "Is it correct? Is what correct? Nobody knows, though any explanation Is possible when ex cerpts are taken at random from iso lated letters and read into affidavits like this." A telegram from George Macdonald. secretary of the Oregon company, to President R. P. Butchart, was quoted as follows: "Long threatened suit filed yester day by Aman Moore as vice-president on behalf of and in the name of our company against yourself, Mr. Boett cher, Ballard, Newlands, myself for damages. No receiver asked. Suit is absurd and contradictory. Majority di rectors request Minor handle until your return, wnen, as president, you can or der withdraw suit and with directors take steps prevent repetition suob ao- tion. Director Wilson would only agree shareholders' meeting be called September 20 settle everything, but your presence gives us directors' ma jority. Act immediately. No need hurry. Everything going nicely. Au gust sales about $20,000." Another Warning Sent. , Still another telegram, from Secre tary Macdonald to H. A. Ross, was quoted as follows, under date of August zs, iie: "Nothing done. Directors deadlocked and referred whole matter to share holders' meeting September 20. Aman as vice-president on behalf and in. the name of the company today filed papers in suit for damages against Mr. Butchart, Beottcher, Clark Moore, Newlands, myself. This action proves my contention our danger lay in his vice-presidency only. Now necessary us call directors Mr. Butchart's arrival, remove Aman and order withdrawal suit, otherwise company may be deeply involved financially. Aman will have suit proceed at once so as to make all possible amends. What defense you propose Mr. Butchart. In another personal affidavit, Aman Moore charged that at one stage in the reorganization of the Orepon Port land Cement Company, Charles Boett- cher, who was to aid largely in fi nancing the deal, suggested to Mr. Moore that he permit the company to go through bankruptcy. Mr. Moore de clares Boetcher promised to protect Mr. Moore's investment of $50,000, and pro posed to bid in the plant after it had gone through bankruptcy. This affidavit by Mr. Moore, in which he also gave a complete history of the Oregon company, ended his case. The defense late in the afternoon be gan the reading of affidavits by Vice President Ballard, Superintendent Newlands, Sales Manager Clark M, Moore, Wirt Minor, director and at torney. Joseph N. Teal, W. W. Cot ton. J. C. Ainsworth, Franklin T. Grif fith and others. The allegations made In these affi davits were covered at length in The Oregonlan of Tuesday morning. They were filed with the Clerk of the United States District Court Monday. The hearing will continue at 10 o'clock this morning. TWO FIRMS FILE DEMURRER Causes of Action Said to Be United Improperly In Complaint. A demurrer to the complaint filed against 14 cement concerns by Aman Moore, treasurer of the Oregon Port land Cement Company, charging a con spiracy in restraint of trade, was filed Tuesday in the office of the clerk of the United States District Court by Bayer-Tablets -N A AY E R R Your Protection Is "The Bayer Gross" Aspirin is made by only one Company. When you buy Aspirin Tablets Get the Genuine. Counterfeits and substitutes may be in effective, and even dangerous. Unscrupulous dealers have adulterated Aspirin. They have even substituted for it some harmful drug. Bayer-Tablets of Aspirin contain only the genuine product, your protection be sure that every tablet bears larvestTimein Oregon 55TH ANNUAL STATE FAIR S Fast Trains S "Trains - Stop in the Heart of Town." DAILY BETWEEN For "The Bayer Cross ryy Your Guarantee of Purity" Pocket Boxes of 12, Bottles of 24 and Bottles of 100 Th trademark "Aplrin" (Re. O. 5. Pt."Office) Is a guarantee that the monoacetlcacldeater of aalicylicadd in tbeaa tablets ia of the reliable Barer manufacture. two of the firms alleged to be members of the so-called "cement trust." These two firms are the Standard Portland Cement Company and the Santa Cruz Portland Cement Company. The demurrer recites that two causes of action, improperly united, are con tained in the complaint filed by Mr. Moore. It is said that the charges against R. P. Butchart, president of the Oswego plant, and P. Boettcher, of Denver, that they attempted to defeat the reorganization of the Oswego com pany and tried to injure it by improper alignment of machinery; and that they have conspired to restrain the trade of the Oswego concern, cannot be con tained in the same complaint. Such is the assertion of the attorneys for the demurring defendants. STUDENT BODY INCREASES McMinnvllle College Registration Unusually Large. M'MINNVILLE, Or.. Sept! 20. (Spe cial.) Registration began at McMinn vllle College today with an unusually large, number of new students on hand. Indications are that the student body this year will be one of the finest, if not the best in quality, that the col lege has had. President Riley, who. on account of his health, was obliged to leave his work and go East last Spring, is now back in his office di recting the work. The recorder of the college has pub lished a statement showing the com parative grade averages made by the several fraternities in the school. The women's Greek societies took the lead, averaging 89.32. The men averaged 86.955. Fraternity people as a whole excelled the marks of the non-f rats. the former making 87.87, while the lat ter made 87.297. 1000 PLEDGE HUGHES Med ford Alliance Is Biggest on Pacific Coast. WOMEN ARE - IN CAUSE HEALTH SERVICE IS ADDED Oregon Agricultural College Stu dents to Have Medical Care. OREGON AGRICULTURAL. COLLEGE, Corvallis, Sept. 20. (Special.)' A health service maintained by the college is a newly created department at Oregon Agricultural College and will be avail able for the use of the students this semester for the first time. Dr. Wendell J. Phillips, ex-resident physician in St. Agnes' Hospital, Phila delphia, will head this service. He will give his full time to applicants for medical attention and will have definite office hours each day. when he will of fer medical advice and treat all medical conditions. He will also be subject to calls from the student residences. Pre scriptions will be filled by the depart meat of pharmacy at nominal cost. A nurse will be on duty at the dis pensary to aid Dr. Phillips and all stu dents will be required to undergo a thorough medical examination. FACULTY MEMBERS SWIM Eearly Morning Hours Chosen by Oregon Instructors. UNIVERSITY OF OREGON. Eugene, Or., Sept. 20. (Special.) Health, hap piness, longevity and prosperity are the slogans of a swimming class organized among the faculty. The class meets in the wee sma' hours of each morning on the banks of the mi 11 race clad in conventional swimming tights. A half hour is spent in canoeing and the next half hour In disporting in the cool running waters of the race. The idea originated with -A. C. Shel- ton, of the zoology department, and J. D. Foster, secretary of the campus Young Men's Christian Association. Now Lm. C. Rosenberg, art instructor in the school of architecture; Paul Spangler. a sophomore in the univer sity, and his father. Rev. A. M. Spang ler, or me Eugene Congregational Church, are members of the class. E. J.. DANNELS PASSES Native of liinn County Dies at Moth er's Home In Albany. ALBANY. Or.. Sept. 20. (Special.) Elmer J. Dannels. a native of Linn County and resident of Albany all his life, died at the home of his mother, Mrs. O. P. Dannels, here today, aged 39. When a youth he entered the employ of the Corvallis & Eastern Railroad and became a conductor, having charge of the Albany-Detroit run until illness forced his retirement a few years ago. He was a member of the Albany Lodge or t:iKs. Me is survived by his mother and the following brothers and sisters: Clyde Dannels and Mrs. Flo J Merrill, of Albany, and Mrs. Nellie Kirk and James DannelB. of Portland. Mrs. E. B. Hanley Declares She Trusts Republican and Believes Few of Sex Will Yield to "Sob Sister" Plea of Democrats. MEDFORD. Or., Sept. 20. (Special.) . With the organization of a branch of the National Hughes Alliance in Med ford of more than 900 members, which. according to Walter L. Tooze, state or ganizer of the alliance, is the largest organization of the kind not only in the state of Oregon, but on the Pacific Coast, one thousand enthusiastic sup porters of the Republican ticket gath ered at the Natatorium tonight and amid great enthusiasm pledged them selves to work for the success of Hughes and Fairbanks in the present campaign. Mrs. E. B. Hanley. vice-chairman or the state organization, presided at the meeting and in an introductory address explained why she believed the women of Oregon should support Charles E. Hughes. "The Democrats think the women are going to fall for the sob-sister stuff they are handing out." said Mrs. Han ley, "but they are very much mistaken. Women Can Judge Good. "Women are not the sentimental Idiots our Democratic friends think them. They can discriminate between what sounds true and what is true. They know the difference between talking about economy and simplicity and the most . wasteful and extravagant Ad ministration in recent history. They believe in spending money and getting value received, they believe in better schools, better human conditions and they don't believe in pork barrels and rewarding deserving Democrats. "I did not raise my son to be a sol dier, but I raised him to be a man and an American citizen, and I expect him to protect an American woman whether she is in Mexico or Africa, or P THE EASLEYS Photography and Art Dollar Day Special 3 Sepia 7x11 Portraits, 3 poses made for ONE DOLLAR Regular $5.00 Value. 407 Morrison Street Ground Floor. Phone Mar. 826. Assortment Ladies' Waists 31.00 TODAY ONLY Former Prices $2.50 to $6.50 Sizes 34 to 44 C.E.H0LLIDAYC0. 355 Alder St., Corner Part at home along the border. I did not raise my son - to be a soldier, but I raised him to be a useful and patriotic citizen, and if the time comes when it is his duty to protect the flag of his country. I expect him to do it and I know he .will do it. Hagbu Is Trusted. "And that Is one reason why I am for Hughes, because I trust him, be cause I know that he will keep this country at peace if a strong will, firm and skillful management can assure it, but that no dream of a false and dis honorable security will impel him to shirk a National responsibility when that responsibility is placed upon him." The principal speech of the evening was made by Colonel R. C Washburn, of Table Rock, who declared that the Republican party in Charles E. Hughes had obtained the most honest, fearless and capable statesman in the country today and that with the watchword, America first and America efficient, a victory for the Republican ticket was assured. Walter L. Tooze congratulated Med ford and Jackson County on the splendid showing that had been made and predicted amid applause that Hughes would carry the county in spite of its reputation for Democratic sym pathies, by a safe majority. A male quartet sang a song dealing with the Democratic Administration. which made a great hit, and Dick r-osey, 01 Asmana. recited an original poem entitled, "Salt on His Tail," clos ing with a reference to Hughes, that brought down the house. Previous to the programme the following officers were elected: Chairman, Mrs. Ralph vvooaiora: vice-chairman. L. L. Cath- cart; secretary. Mrs. George T. D. O'Brien; treasurer. Frank C. Elliott. WHISKY TROVE DESTROYED Eighteen Hundred Bottles Smashed and Auto Truck Held. SEATTLE, Sept. 20. Eighteen hun dred bottlea of whisky were seized by the police today. Just after they had been removed from a freight-house by a - transfer com r n v n H .,(rnr. under orders from Mayor Hiram C. lrlll. An automobile truck, in vhirh Of the liauor -wnn fminri Ttr - .aM k- the police pending proceedings to con- i i . . , r v .in it. PORTLAND and SALEM C?0 round pf trip and reduced fares from all Oregon Electric stations THURSDAY, SEPTEMBER 28 PORTLAND DAY Excursion Tickets Sales Dates to Salem From Points on The North Bank Road Oregon Electric Ry. Oregon Trunk Ry. From Willamette Valley points, Deschutes River and Central Ore gon, and also the North Bank Road, from points between Fall bridge, Wash-, and Rainier, Or. Round-trip tickets sold daily, Sept. 21-30. Good for return until October 4. Portland Ticket Offices North Bank Station, Tenth and Hoyt; Tenth and Stark; Fifth and Stark; Tenth and Morrison; Seward Hotel, Tenth and Alder; Jefferson-Street Station. ONE DOLLAR Hundreds of Btyles men's or- women's Low Shoes and Pumps, to close short lines. See windows. ONE DOLLAR OFF Regular price on any Men's or Women's Black, Tan, Gray, White or Brown Oxford Tie in the house. FALL STYLES ARE IN. Sample OhoeStore rom Here's a store that will make "Dollar Day" the biggest value-giving event of the entire year! Simon has more than rrerared to srive real cV guaranteed merchandise at the biggest saving in your history. The items quoted below are real bargains and limited. If you wish them, to Simon for Real Dollar Day Bargains S1.2S MEN'S UNION SUITS Sl.OO MEN'S " SHIRTS 25 POCTTDS OF RICE $1 60c TABLE DAMASK :h varus 20 BOXES SARDINES 14 POUNDS OF WHITE NAVY BEANS 3.V BATH TOWELS 40c MEN'S WOOL SOCKS THREE PAIRS 12 OUTIVIi FLA.WEL YARDS' ai.RO MES'S GLOVES $1 I $1 SIT 1 - pnrD CANS BAKING POWDER THREE NIE pound SACKS OF FLOl'R 33 BARS OF WHITE LAUN DRY" SOAP SEVEN POUNDS OF GOOD COFFEE mm gyp- Simon Salvage Store SSSc Corner Alder and First Streets mm U Jmr XT' lilt jar