VOL. LVII. xo. 17,793.
PORTLAND, OREGON, TUESDAY, DECEMBER' 4, 1917.
PRICE FIVE CENTS.
WAR CONGRESS IS
READY FOR WORK
INHERITANCE TAX
REVENUE DOUBLED
HEW OFFENSIVE It!
ITALY IS EXPECTED
AMERICAN TROOPS
INVADE MEXICO
SOLDIERS ARRIVE TO
GERMANS FAIL TO
BREAK HAIG'S LINE
AID SPRUCE DIVISION
BROOKLYN
DOCKS
SWEPT BY FIRE
Four Large Buildings
Are Destroyed., '
LAW'S ' PROCEEDS COMPUTED
AT $350,000 FOR BIEXXITJM.
OUTLAWS FIRE ACROSS LINE,
WOtXDIXG CAVALRYMAN.
MEN WILL BE USED IX FIELD
ONLY IX EMERGEXCY.
President's Message to
Be Given Today.
ADVICE IS TACITLY AWAITED
Declaration of War Against
Enemy Allies Not Expected.
POLITICAL DIVISION CLOSE
Spirit of Confidence Apparently Per
vades Members Leaders Say-
There. Will Be Iiittle Time for
Other Than War Problems.
WASHINGTON-, rec. 3. Congress is
ready to take up again its part in the
prosecution-of the war and to stay all
the 'year if necessary.
The second session of the 65th Con
gress began today at noon with 'brief
routine sessions marked by the receipt
of appropriation estimates for next
year's war and ordinary expenses ag
gregating the vast sum of ?13,50O,O00,
000. President's Message Awaited.
Tomorrow the Senate and House will
meet in Joint session at 12:30 P. M. to
hear President Wilson deliver his an
nual address. Guidance of the Presi
dent in the work ahead is awaited by
tacit agreement. Congressional leaders
tonight admitted' that his recommenda
tions, awaited with profound" interest
by the, world, virtually would outline
the session's programme.
It: will be the- President's' first ap
pearance before Congress since the
night meeting of April 2, at the open
ing of the special session' called to per
mit him to ask for a declaration of war
against Germany.
Advice to Be Followed.
Speculation as to the nature of the
President's address centers, largely upon
the question whether he will recom.
mend declarations of war by the United
States against. Germany's allies. Gen
' eral belief i that he will not. at least
for the present, and that Congresa will
follow his desires.
Sentiment for such action Is wide-.-spread.
however, and individual mem
bers probably will introduce war reso
lutions. One . or two Senators were
prepared .today to offer such resolu
tions, but were prevailed upon to with
hold them.
War Lesrtslatlon to Jir dominate.
A spirit of confidence apparently per
vades Congress. Returning members
exchanged views with declarations of
increased determination to lend every
aid in vigorous conduct of the war. The
leaders predicted that legislation would
be confined largely to war measures.
Senator Martin, Democratic leader
in the Senate, said there would be lit
- tie time for other than war problems,
and Representative Kitchin, the House
floor leader, announced that he was
disposed to fa.v-r the plan. The under
standing, however, is that the first few
weeks of the session will be open to
general legislation.
Prohibition and Suffrage Vie.
The House Judiciary committee
meets tomorrow and as consideration
of National prohibition and woman
suffrage measures was postponed at'
the- last session on the basis of action
at this session, the disposition of many
of the committeemen is to vote on
them now, one way or the other.
A. wartime aspect was given today's
sessions by the presence of many uni
formed men among spectators in the
crowded galleries and of women bus
ily plying knitting needles during the
opening ceremonies.
Senate Proceedings Brief.
Senate proceedings were unusually
brief. After adoption of routine reso
lutions, the Senate adjourned out of
respect of the late Senator Husting, of
Wisconsin. The House remained in
session until the Joint committee ap
pointed to notify President Wilson of
the return df Congress reported, and
then passed the resolution for tomor
row's Joint session. The usual crop of
bills, resolutions and petitions was re
ceived in the House, including a reso
lution by Representative Martin, of
Louisiana, proposing Congressional in
vestigation of the sugar shortage.
Representative John K. Fitzgerald,
of Brooklyn, N. T., .chairman of the im
portant House appropriations commit
tee, prominent Democratic leader and
i member of Congress of 18 years'
service, announced late today his in
tention to resign, effective December
U, to resume the practice of law. Hit-
successor to head the appropriations
committee probably will - be Represen
tative Swager Sherley, of Louisville,
Ky ranking Democratic committee
man.
Kew Members Join House. N
Several new members Joined the
House today. Representative Lufkin,
Republican, of the Sixth Massachusetts
- District, succeeding Augustus P. Gard
ner, Republican, who resigned; Repre
sentatlve Beshlin, Democrat, of the
28th Pennsylvania District, succeeding
ex-Representative Bleakley, Repub
lican, who resigned, and Representative
Merrltt. Republican, of the Fourth Con
necticut, succeeding Representative
Ebenezer Hill. Republican, deceased.
Tomorrow will come the great flood
of bills, resolutions and petitions.
Among the latter are many petitions
accumulated during the recess, demand
tng the expulsion of Senator La Fol
(Concluded on Pass 2, Column 2.)
Swelling of Receipts Will Make Path
of Next Legislature Easier as
to Tax Limitation.
SALEM, Or., Dec, 3. (Special.)
With the new Inheritance tax law
passed by the last Legislature in oper
ation a little over six months, it ap
pears the Increase in fees provided for
in the act will probably about double
the revenues of the act to the state,
according to a statement made today
by Stanley Culver, who has charge of
the inheritance tax department In the
State Treasurer's office.
Last year the revenues of the In
heritance tar department were about
$S9,000, and. estimating upon double
revenue for the future under the new
law, the inheritance tax department
would bring in about $350,000 for the
blenniam.
This swelling of receipts will make
the path of the next Legislature some
what easier, in the light of the 6 per
cent limitation ' amendment. The In
surance Commissioner's office also will
show greatly added receipts, owing to
amendments in insurance laws by the
last Legislature. -Automobile license
fees also will be greatly increased, but
the receipts from those fees go into
the highway fund and cannot be taken
into consideration in making up the
tax levy.
TREASURY BALANCE HUGE
New High Mark Attained, Of fiicals
Reporting $2,515,000,000.
WASHINGTON, Dec. 3. The working
balance in the Treasury was raised to
day to a new high record of $2,515,000,
000 by receipts of $685,000,000 from the
latest issue of certificates of indebted
ness due next June, and $42,000,000 from
liberty loan payments.
The previous high record was $1,968,
000,000 on November 23.
Funds reaching the Treasury today
raised the total receipts during the
present fiscal year, or since July 1, to
the huge sum of $7,185,000,000. Of this
only $467,000,000 came from the ordi
nary source of revenue, nearly all of
the balance being derived from the sale
of liberty bonds or certificates of in
debtedness. Receipts from the second
liberty loan Have been $2,724,000,000, or
abo.ut 70 per cent of the $3,808,000,000
total.
Disbursements since July 1 have been
$5,807,000,000. of which $1,831,000,000
was ordinary .. Government expenses,
mainly for the war; $2,279,000,000 con
stituted actual payments to the allies
on credits previously authorized, and
$1,656,000,000 was for redemption of
certificates of Indebtedness issued tn
anticipation of receipts from the second
liberty loan.
14 HAVE NO CERTIFICATES
Members of Crew of Tiverton Al
lowed to Proceed to Portland.
- ASTORIA. Or, Dec. 3. (Special.)
When the steam schooner Tiverton
reached port this morning from San
Pedro she was boarded by customs and
naval officers, and 14 members of her
crew were found without certificates of
nationality. In order not to delay the
craft, all the crew excepting one Ger
man were left on board, and the vessel
was permitted to proceed to Portland so
that the men can procure their certifi
cates. '
The German was Karl Schwerinbeck,
a young man who had been making his
home with Fred W. Opperman, a ranch
er In the Lewis and Clark River dis
trict.
LONG HOLIDAY PROPOSED
Manufacturers Say Nation-Wide
Shut-Down. Would Do Good.
I
PITTSBURG, Dec. 3. Proposal that
all manufacturing plants in the coun
try shut down from noon Saturday,
December 22, until Monday, January 7,
has been made to the Pittsburg Cham
ber .of Commerce by a group of large
manufacturers.
The suspension, it is said, would re
lieve railroad congestion, raise embar
goes, enable plants to clean up, pre
vent worse shipping conditions and
produce a more satisfactory business
condition. -
30 SCHOOLS DROP GERMAN
California High Students Indicate
Strong Dislike for Hun Tongue.
SACRAMENTO, CaL, Dec. 3. German
has been dropped from the course of
study in 30 high schools of the state
since the opening of 'the present school
year because pupils have discontinued
studying the language. Will C. Wood,
State Commissioner of Secondary
Schools, announced today.
. He predicted that "popular objection
to German may lead to the banishment
of the language from every schoolroom
In the state, at least while the war
lasts."
MUNITIONS MUST BE MADE
Coal Mine Operators -Ordered to Sup
ply Powder Manufacturers.
WASHINGT(JN. Dec 3. To insure a
steady ' stream of munitions to the
American Army, the fuel administration
today gave direct orders to all the
mines supplying the Dupont powder
plants to deliver demands in full.
The operators were reminded that the
order is obligatory and must be abso
lutely complied with.
Airmen Report Activity.
AO"
Among German
& 1
QUIET PREVAILS AT PRESENT
Indications Are That Verdun
Tactics Will Be Repeated.
ENEMY LOSSES TERRIFIC
Constant Transfer of Austro-German
Troops Reported From Plains to
Mountains to Fill Gaps' in
Decimated Ranks.
WASHINGTON'. Dec. 3. An official
dispatch from Rome today says Austro-
German attacks on the Italian front
have ceased entirely
Although "the Teutonic invasion was
launched under rain and snow, the Ger
man press explains ' the sudden inac
tivity to unfavorable atmospheric con
ditions. The truth is, according to the
dispatch, that the Italian army, reor
ganized after the crisis, is now holding
the line.
New - Offensive Expected.
Another offensive by the enemy on a
still larger scale is believed to be im
minent, however, and the Italians are
preparing to meet' it.
"The-enemy has tried to break
through our line at every point," says
the messaged ' '"It 'appears clearly now
that Boreovica divisions hoped to push
the Italians beyond the Piave by sys
tematic violent attacks Which were reg
ularly repulsed.
German Lossest Heavy.
"Later General Conrad tried to make
the most of the advantages gained on
the Asiago plateau, while our troops
were retreating to our line of resist
ance, but when the Austro-Germans at
tempted to break, our. defensive barrier
at Melitta and Magnaboschl, they suf
fered staggering losses without gaining
any ground.
"Numerous divisions were sent out in
vain assaults upon the positions des
perately defended by our soldiers.
Italian aviators report continual trans
fer of Austrian troops from the plain
to the mountains to fill up the gaps in
their decimated ranks. The enemy is
very actively preparing elaborate de
fensive systems.
Verdun Methods Followed.
"It is believed that the recommence
ment of the offensive on a larger scale
is imminent. It is expected that Gen
eral Conrad will strike In the direction
of Vicenza, aiming at an encircling
movement against the fourth and first
Italian army corps. Such alternate
blows on the right, left and center re
call the methods against Verdun, and it
is trusted that it will have the identi
cal success."
WITH THE FRENCH ARMIES IN
ITALY, Dec 2. (By the Associated
Press.) General Diaz, chief of staff of
(Concluded on Page 3, Column 2.)
Ii eprisal, Twelve of Bandits . Are
Killed and Little Settle
ment Burned.
INDIO. Tex., via Army Telephone to
Marfa, Tex., Dec. 3 Mexican outlaws
opened fire . on one of the American
cavalry patrols five miles from here
late today,' wounding Private Kelst in
the thigh and leg. American troops
stationed here immediately crossed the
river into Mexico, opened f Pre on the
little settlement of shacks and killed 12
of the bandits. Including Felipe Romero
and Rafael Venaslado. The shacks
where the outlaws sought shelter were
burned after the occupants had been
driven out.
Reinforcements consisting of a bat
talion of mobile Infantry and motor
cycle machine '- gun- troops, equipped
with Vickers-Maxim and Lewis type
machine guns, have reached here and
were preparing for action tonight
should the bandits reassemble and at
tempt to resume the firing across the
line.
MOUNT HOOD IS GLORIFIED
Rift in. Dark Clouds Reveals Hill
With Golden Sunshine.
A rarely beautiful eight was pre
sented to Port lenders late yesterday,
when through a rift in the dark clouds
that hung over the city the golden sun
poured out its light, directly upon
Mount Hood and other sections of the
Cascade Range.
Everyone who noticed the unusual
sight wan enraptured, and the atten
tion of others was called to It- The
rays of the setting sun. were reddened,
but the coloring was more that of sun
rise. Mount Hood, charming in all its
phases, was probably never more beau
tiful than for a, time after 4 o'clock
yesterday.
WHEAT WAY UNDER NORMAL
Kansas Has Nearly 0,500,000 Acres
Planted to Winter Grain.
TOPEKA. Kan., Dec 3. Nearly 9,500,
000 acres of Winter wheat was sown in
Kansas this Fall according to an esti
mate made public today by the State
Board of Agriculture.
The statement says the condition of
the state's growing wheat is 70.1 per
cent.. This is lower by 6.8 points than
was reported for what a year ago. and
is under any Fall condition reported by
the board in recent years.
ALL GERMANS DRIVEN OUT
East Africa. Completely Cleared of
Enemy, Official Report Says.
LONDON. Dec 3. ''East Africa has
been completely cleared of the enemy."
This official announcement was made
tonight.
Fuel May Be Requisitioned.
WASHINGTON, Dec. 3. State fuel
administrators, failing to obtain on re
quest from producers coal supplies for
emergency needs, were instructed today
to call' on the fuel administration for
requisition. They were told, however,
to first make every effort to get coal
by request.
FULL SPEED AHEAD GET BUSY.
ESTIMATED LOSS $1,000,000
Morse Drydock and Repair
Company Are Losers.
ORIGIN OF FIRE UNKNOWN
En i ted States Soldiers on Duty at
Plant. Declare Blaze Started Sud
denly in Carpenter Shop Where
Hundreds Were Working.
NEW YORK. Dec. 3. Four large
buildings at the Morse Drydock & Re
pair Company, on the South Brooklyn
waterfront, were destroyed by fire to
night with an estimated loss of $1,000,
000. The origin of the fire is unknown.
United States soldiers on duty at the
plant declared that . the fire started
suddenly in the carpenter shop, where
hundreds of men were working, and
then qnickly spread to other buildings.
The Morse Company was working on
large Government orders. Firemen,
flreboats and members of the naval
reserves, fought the fire.
Municipal, state and Federal authori
ties are conducting an investigation
Into the cause of the fire.
FRENCH PRAISE AMERICANS
Gallant Conduct of Army Engineers
in Recent Battle Wins Tribute.
WASHINGTON. Dec. 3. High tribute
to the gallant conduct of the American
Army engineers in France who were
caught in the German encircling at
tack on the British lines near Cambrai,
Is paid In an official communication
from the French government, received
here totvjjht by cable; -
The communication says:
"Many .died there bravely, arms in
hand, before the Invader. All helped
to repulse the enemy.
"There is not a single person who
saw them at work who does not ren
der warm praise to the coolness, discip
line and courage of these improvised
combatants."
THREE-CENT FARE TO END
Rise in Cleveland to Fonr Cents An
nounced for December 15.
CLEVELAND, O., Dec. 3 President
John J. Stanley, of the Cleveland Rail
way Company, announced today that
the streetcar fare In Cleveland will be
increased Saturday, December 15, to a
4 -cent cash rate, three tickets for a
dime and penny transfer, with refund.
The present fare is 3 cents."
Colonel Disque Explains That Uni
formed Contingent Has Nothing
to Do With Aviation Corps.
From Fort Custer, Mich., the first
and probably, the smallest contingent
of troops for spruce production activi
ties reached Vancouver. Barracks yes
terday and went into quarters, await
ing orders from Colonel Disque, com
manding the. special division of the
Signal Corps, created to handle this
important feature of airplane work.
His headquarters are in Portland,
where he has organized a staff of ex
perts. In confirming arrival of the men.
Colonel Disque explained that they are
not to be used for aviation purposes
andthat. at this time, no flying work
Is to be done here. They will be used,
if necessary, in various ways to pro
duce spruce up to the minimum pro
gramme of 10,000,000 feet of perfect
specimen each month.
It Is the purpose of the spruce pro
duction division not to use troops In
the field unless it becomes necessary
in order to maintain the ratio stated.
Riving contracts are soon to be let
at headquarters, as specifications are
to be 'completed for this feature by
Thursday or Friday of this week.
"Colonel Disque hopes at least 1000
farmers will help in this work. There
will be more than 'the mills can handle,
should this number of men go Into the
riving actively, he says.
Meanwhile, organization of the Loyal
Legion of Loggers and Lumbermen is
progressing well, according to reports,
specially-assigned officers having been
put into the forests of Oregon and
Washington for the purpose.
SALEM. Or., Dec. 3. (Special.)
The necessity of filling spruce orders
for the Government has caused the
Hammond Lumber Company to request
that the Public Service Commission
take speedy action in granting it the
right to put in four grade crossings
on a logging road it plans to construct
in Clatsop County.
VARNEY JURY COMPLETED
Husband of Woman Nurse Accused
of Killing to Testify.
DEDHAM. Mass..'Dec. 3. The Jury in
the trial of Miss Harriet A. Varney. a
nurse of West Upton, charged with the
murder of Mrs. Pauline A. Keyes. of
... uniiu tl I..I11I101CU fti Lilt, lire
day's session today.
Miss Varney, who sat with her coun
sel. took an active interest in the ex
aminatlons. -
George H. Keyes, husband of the
woman whom Miss Varney is alleged to
nave shot because of jealousy, is ex
pected to be one of the chief witnesses
lor the prosecution. ('
INDEX OF TODAY'S NEWS
The Weather.
TESTE RTAT"S Maximum temperature, 50
aegrees; minimum. degrees.
TODAY'S Partly cloudy; gentle easterly
winas.
War.
German Generals predict victory for central
powers. Pace 2. .
New offensive expected In Italy. Pace 1.
Germans in general charge fall to break
through British lines. Page 1.
United States engineers d raised by French
lor gallantry In action. Page 1.
Mr. Gibson tells of seeing wreckage on
battlefield of Haelen. Pago S.
Armistice in operation on part of Russo
Girmu front. Pago 2.
Secretary Baker issues war review. Page 4.
Foreign.
American troops invade Mexico and punish
. bandits. Page 1.
National.
War congress, again in aessron, awaits Pres
ident's message. Page 1.
War budget calling for more than $11.
000.000,000 presented to Congress. Page 4.
Essential industries to be assured fuel and
freight facilities. Page 4.
Army and Navy sends harrp-op call for
thousands of skilicd men. Page 1.
Domestic
South Brooklyn waterfront has $1,000,000
fire. Page 1.
Another Army balloon escapes; both are
captured. Psgo 3.
Defense In Means' trial endeavors to prove
Mrs. King fired fatal shot. Page 6. .
Sports.
Official Coast League batting averages given
for 1917 season. Page 8. ,
Besdek Is asked to coach Marines. Page 8.
Johnny McCarthy. San Francisco boxer,
"breeaes" In for Friday's go. Page 8.
Pacific Coast Intercollegiate Athletic Con
ference to meet In Portland in 1U13.
Pago a.
O. A. C. and Oregon fare well In all-Coast
football selections. Page 12. -
Grammar School Soccer League dies. Page 8.
Pacific Northwest.
Violence bred by pspermlll strtko at Oregon
City. Page T.
Judge "Mackintosh to be Seattle's Chief of Po
lice if acceptable to War Department.
Page 3.
New Inheritance tax law doubles state's fees
in that department. Page 1.
Josephine County dedicates Courthouse.
Page 6.
State tax limit for 1018 expected. Page S.
National Improvements In Pacific Northwest
heavily scaled this year. Page 4.
v Commercial susd Marine.
Bids on largo quantity of forage asked for
Psge IT.
Hogs decllno at North Portland stockyards.
Page 17.
Potato markets weaker in spite of smaller
shipments. Page 17.
Portland shipbuilders need no stimulus at
present. Pago 14.
Great injustice done Oregon in river and
harbor estimates, says Representative
Haw ley. Page 14.
Portland and Vicinity.
Hilt Military Academy stucents hear Joseph
Patterson talk on war. Page 9.
Red Cross conference plans membership
campaign. Page 13.
Heir testifies of growth of intimacy with
Mrs. Faling. Page 1-.
Methods of conducting coroner's office here
tofore criticised. Page s3.
Portland Poultry Show biggest on record.
Pago 6.
T. M. C. A. needs secretaries for dutyin
huts at front. Page 11.
County adlsory budget committee condemps
Frazer Home administration. Page 13.
W. B. Ayer. Oregon Food Administrator,
returns to duties after -Wash tng ton con
ference. Page 14.
First of soldiers to hells get out sprue ar
rive. Page 1
Fierce HunChargesAre
Repulsed.
HEAVY LOSSES ARE INFLICTED
Teutons Resume Offensive on
- Cambrai Battle Front.
BRITONS HOLD POSITIONS
Fighting Exceptionally Severe on
Long Section of Line, but' Enemy
at All Points Is Compelled to
Fall Back In Disorder.
LONDON. Dec. 3. "From Gonnelieu
to Marcoing," Field Marshal Haig's re
port from France tonight says, "the
enemy delivered attacks in great
strength with large forces and has
been repulsed with heavy losses."
"The enemy resumed the offensive
on the Cambrai battlefront with gneat
violence," says the statement. "Fight
ing of an exceptionally severe nature
has taken place today. Our positions -have
been maintained everywhere ex
cept at La Vacquerie and east of Marco
ing. where our line has been slightly
withdrawn.
"South of Marcoing the enemy broke
through at one point, but the situation
was restored by an immediate counter
attack. British Line Advanced.
"On the Tpres battlefront there was
local fighting southeast of Polygon
wood. As a result we advanced our
line slightly and secured prisoners.
"In a minor operation yesterday
north of Passchendaele we took 113
prisoners and a few machine guns."
WITH THE BRITISH ARMY IN
FRANCE. Dec. 3. (By the Associated
Press.) The Germans today were
making their second great attempt to
break through the British defenses in
the Gonnelieu sector and pinch off the
salient which General Byng recently
drove into the enemy territory a little
further to the north. The German as
sault was launched against La,
Vacquerie shortly before 9 o'clock in
the morning and spread rapidly.
Within two hours a heavy, battle was
in progress over a considerable front
from La Vacquerie southward toVard
Vendhuile.
The enemy was employing great
forces of infantry which were sent
forward under terrific artillery bom
bardments from a concentration of
guns which the Germans had perfected
since the smashing of the Hindenburg
line.
By noon there were indications that
the German onslaught might equal, if
not surpass, in fierceness their drive
which carried them through the Brit
ish front south of Gonnelieu last Fri
day. "
Shock Brilliantly Met.
The British infantry and artillery
had met the shock brilliantly and
were holding their own strongly
through the first grim hours of fight
ing. The Germans approached La
Vacquerie from the east and southeast
and at the outset it appeared that the
attack was comparatively local. In
their initial charge the enemy came
up against a stone wall and were
forced to fall back. They kept coming
in waves, however, and finally secured
a footing in the town, but immediately
were ejected.
Intense fighting at close quarters
followed and as this progressed the
Germans developed an offensive opera
tion further down the line. By 11
o'clock their artillery was maintaining
a drumfire against the whole front
Involved.
PARIS. Dec 3. The official com
munication from the War Office to
night says:
"There was great artillery activity in
some of the sectors north of the Chemin
Des Dames. The artillery action was
Intermittent on the right bank of the
Meuse. After a violent bombardment
the enemy delivered an attack against
our positions north of Flirey. Our fire
checked and drove back the enemy, who
suffered heavy losses. Prisoners re
mained in our hands.
Attempted Raids Fall.
"In the Vosges attempted raids
against our small posts In the neigh
berhood of Violu failed.
"Rtls-isn communication: The usual
artillery actions took place yesterday
and today.
"Eastern theater. Dec I. There was
moderate artillery activity along the
Vardar and North of Monastir."
LOST GROUND IS RECOVERED
British Forces Reoccnpy Trenches
Near Bonrlon.
LONDON'. Dec 3. "Hostile attacks
delivered yesterday evening against
our positions In the neighborhood of
Moeuvres (Cambrai sector) wero re
pulsed after sharp fighting," says to
day's official report.
Successful minor encounters during
the night In the neighborhood of
Bourlon resulted in the capture by
London troops of 12 German machine
guns and a number of prisoners.
Beyond considerable artillery activity
by both fides on the southern battle
(Concluded on Page 5, Column 1.)