T11E MOltMSG OliKUUMAM, FKlUAi, -MAY 14, 1SJ30 DANIELS SAYS NOTE TO SIMS IS FORGERY HEAD OF GRAIN CORPORATION IN NORTHWEST WHO RECEIVES COMPLETE EXONERATION IN FINDINGS OF UNITED STATES ATTORNEY. E! 'Our Store Opens at 9 A. M. Our Store Closes at 5:30 P. ftl. "The Store That Undersells Because It Sells for Cash" Agents for the Butterick patterns and Delineator. All styles and sizes now showing". Blail orders receive onr prompt and careful at ten-' tion same day &s received. lit FREIGHT COi mm 5 s l!t!t BIG RAILROADS Statement on Convoys . Branded as False. Is APOLOGY DECLARED DUE Original Dis-patch Icclarcl to Have Been Ir'oiind in Britisli Kmbassy After Investigation. TVASHfXGTON'. May 13. Charges that a cablegram, produced before the senate naval investigating committee during the testimony of Rear - Ad miral Sims, bore a forged signature were made today by Secretary Daniels. He referred to. a message which Ad miral Sims had presented as part of his criticism of the navy department and which purported to have been signed by the secretary. "Somewhere somebody was guilty of signing my name to an official dis patch, which the original, here pro duced, shows I never signed," Mr. Daniels told the committee, "or of alterating a dispatch by erasing the real signature and substituting Daniels." " t The concluding paragraph -of the cablegram read: "In regard to convoys, I consider that American vessels having armed guards are safer when sailing inde pendently." Investlcrallon la Conducted.- - - Mr. Daniels testified that Immedi ately upon reading the admiral's tes timony he knew he never sent such a cablegram and be started an inves tigation. The secretary said he finally found the original dispatch in the British embassy through which it had been sent and that the name signed to it was "A. F. Carter, by directions of the chief of naval operations." "The statement that it was sigrned 'Daniels,' is untrue," said the secre tary. "No such telegram signed "Daniels." was ever sent to Admiral Sims. Jn his testimony he reiterated that this dispatch made him, 'about ready to jump overboard, and that it was signed with my name, conveying the Impression that the civilian secre tary of the navy had personally passed upon the question of a par ticular method to protect shipping and was resisting the adoption of the convoy system. I knew I never en tertained the opinion stated in the dispatch he displayed." A polony Is Held Doe. Admiral Sims should produce the person who changed the signa.tu.re, Mr. Daniels declared, adding the. ad miral owed "'an apology to me and to the country for the impression under taken to be made by.hls testimony based upon a false signature." Much of the secretary's testimony today was devoted to the controversy over convoying troopships. He in sisted that the admiral's course re garding the protection of troopships caused the department "much anxiety" and finally he "bluntly" told Sims that everything was secondary to th safe guarding of vessels carrying Ameri can soldiers. Mr. Daniels charged that Admiral Sims withdrew the dpstrovr Rrnrt from the first convoy as soon as it arrived abroad, leaving the transports without protection for the return voy age. Admiral Sims, he said, finally was instructed to protect the ships when they left France. Attack Accounts Presented. Referring to Sims' testimony that the first trip convoy, sent over in June, 1917, was not attacked by sub marines and that there was no sub marine within 300 miles of the place where the attacks were said to have occurred, the naval secretary present ed messages from Admiral Sims giv ing accounts of such attacks. The first of these messages was dated June 30, 1917. and said: "First group attacked by sub marines, longitude 25 degrees 30. be fore arriving at first rendezvous. Second group attacked Jongitude 8. Strongly believe that enemy obtained information Dy intercepting and de ciphering dispatches sent me in naval anaone s code. un me next day. Julv 1. 1917" Mr Daniels said, "Admiral Sims sent this cablegram: "It is practicallv certain that the enemy knew position of the ursi rendezvous and accordingly sent Ruomarme to intercept before June ture with destroyers." 'We. had no reaeson then and have no reaeson now, to doubt Admiral Sims' own positive statements, made ii ine time, that the convoy was at lacKea, me reports of Admiral u .eaves ana the official report of th jrrencn general staff to the effect." Sims' Attitude Discussed, Mr. Daniels also testified that Ad miral Sims had objected to the use of tw-ici iiiu iiner jeviaman as a troop ship on the ground that her great length made her a better target ior torpedoes than smaller vessels. He bibo saia ine admiral had contended that the ship should be operated to Liverpool rather than to Brest be cause of better facilities for handling her cargo.- The department, the secretary said, followed the admiral's advice with the result that the Leviathan had to await nn enure lunar month at Liverpoo before she could set out of th v,r. bor. Later the Leviathan operated out of Brest, where her turn around was measured in hours Instead ot weens ana she broke all records in inn numDer or troops transported. iir. uunieis presented various offi cial documents to support his conten tion that the convoy system wns nrir. inally sponsored by the American navy "u.uii ii was not adopted fullv until several months after the United States entered Jhe war and had sent many destroyers and nthpr nroft ' thus providing the ships to make the operation oi tne convoy system pos sible. MR. HQUSER -EXONERATED GRAXD JURY CHARGES FOliSD WHOLLY GROUNDLESS. Alleged Misuse of Federal Position and Manipulation of Wheat Market Held Unproved. (Continued From First Page.) same SIMS WITHHOLDS COMMENT Recall or Admiral for More Test! mony to Senate Expected. NEWPORT, R. I., May 13. Rear Admiral William T. Sims- today re- iusea to cqmment on the- statemen by Secretary of the Navy Daniels he fore the senate naval investigating cummmee mat tne secretary's name naa been forged to a telegram at tributed to him by Admiral Sims. . . It was said here that naval officers expect Admiral Sims will be recalled bctore the committee for further tes timony. v River Service Discontinued. SALEM, Or., May 13. (Special.) Because lack of patronage service o the Portland Navigation company be tween Salem and Portland was dis continued today. The service wvll not " resume until the movement of hops and other produce begins in August. S - R. greet) Holman Fuel Co. Adv. tamps for cU Mats SS3. 0-J ' if v. :'X;-. I I f . ' - -f r, , , ' J ( I ft - II - 4 - . A' i h - MAX H. ROl'SER. publication by Mr. Humphreys yes terday follows: Max H. Houser was accused in a special report by the grand jury at Spokane of having made Improper use of his position with the United States grain corporation, to the end that im mense profits were made by the Port land Flouring Mills company and the Pacific Grain company. No indictment was returned. Mr. Houser owns these wo companies and their subsidiary companies. They do a business ex ceeding $50,000,000 annually. Mr. Hou ser is vice-president of the grain cor poration, and .has charge of zone 10, which includes Oregon, Washington and Idaho. Under instructions from the at torney-general I have investigated his matter. Inquiry has been made nto all facts asserted as supporting" the charges contained in the special report. All rumors which have come to my attention have been traced. This inquiry was made with access to all the books and records of these com panies, to income tax reports and to bank records and statements, with he assistance and co-operation of George R. Mayo, special bank "ac countant, who was sent from New York specially to do this work. In quiry was made among the competi tors in grain and milling of Mr. Hou ser's companies, and In all places where information might be expected. Xo Manipulation Found. I find that Mr. Houser personally and through his companies did not make immense profits. The profits were small. There was no violation of law, no improper use by Mr. Houser of his position, and no evidence of manipulation of wheat prices by of ficials of the grain corporation. On the contrary, the evidence, indicates that Mr. Houser sacrificed his time and business to the work of the grain corporation. It was asserted that Mr. Houser had caused the publication in news papers, August 9, 1919, of an article saying thai wheat growers who did not sell would be liable to prosecu tion. Such an article was published. Some growers were undoubtedly in fluenced by .i to sell. There is no evidence that Mr. Houser either in spired or approved the article. As soon as it came to his notice he denied it positively and sent a bulletin of denial to all newspapers in zone 10. All Charges Groundless. The charges made by the grand jury reflecting on Mr. Houser are all summed up in the statement that he was able by reason of his position with the grain corporation to manip ulate and operate his mill and grain companies to an immense profit to himself and associates. These charges are without any foundation in fact. I have not attempted to pass on the recommendations made by the grand Jury to the president and to con gress. Special Bank Accountant George K.. Mayo summarizes his findings as fol lows: "The final analysis of my investiga tion as to Max M. Houser, second vice- president of the United States Grain corporation, and his activities in the grain and milling business, is summed up in the following paragraph: "Mr. Houser s grain and muling In terests represent an invested capital of $3,720,000, and are capitalized for this amount. During the six months ended December 31, 1919, the net profit of all these interests was $179,- 106.16, equal to 4 4-6 per cent on total capital stock. "The charges contained in the grand jury report are herewith "stated sep arately, together with the result of the investigation as to each specific charge: The majority or tne mills in the north west are owned by half a dozen concerns. "The investigation, shows there are in the zone comprising Washington, Oregon and Idaho 1086 licensed ware housemen, grain dealers and brokers, also 273 mills with 232 different owners." We believe that S3 per cent of the 1919 wheat crop went into the hands of these half-dozen grain companies, and was pur chased prior to October 13 before any material advance in price. "(a) It- is very likely true that 85 per cent of the wheat crop of J919 was sold by the farmers previous to Octo ber 15, if the price was satisfactory. "(b) The investigation shows the six large concerns mentioned pur chased only 40 per cent of the crop during the entire season. "(c) The Pacific Grain company paid, in August premiums ranging from 13 to 18 cents, from .13 to 20 cents in September, and from 16 to 28 cents in October." These grain companies have been able to advance prions by air-jl to each other and through manipulations. "The records of the Pacific Grain company do not show any manipula tions. It sold wheat to nine grain companies, but there were no repur chases, with the exception of one lot of 15.000 bushels." Although the greater part of the wheat was purchased around yj.07, etc. "The average price paid for hard wheat by the Pacific Grain company was $2,172, country basis, equal to $2,413 No. 1 coast, sacked basis, and for soft wheat $2,024, country basis, equal to $2,264 No. 1 coast sacked basis." The grain companies are selling ths wheat to their own milling concerns at the prevailing mnrket price. "The 12,000,000 bushels of wheat purchased by the Pacific Grain com pany were sold at an average ad vance or 1 4-iu cents over the cost price (i.e. the price paid the farmer brought to a No. 1 coast, sacked basis). Prices Based on Coot. Their own mills are asserting the rlcht to manufacture flour on the basis of this price (prevailing market price). "Investigation of the books of the Portland Flouring Mills company shows that the prices of flour were not based on the prevailing market price, but rather on the actual cost of the wheat. ' "Two general statements covering these charges of the grand jury wouia oe: "1. That .the Pacific Coast Grain company sold to the United States Grain corporation, at the government basic price, 65 per cent of all the hard and 40 per cent of all the soft wheat, bought by the grain corporation, amounting in all to 1,300.000 bush els and it is hard to reconcile this with the charges made that Mr. Houser and his grain company antici pated a material advance in price. "2. That Mr. Houser's personal wealth and credit were not used to anything likj their full extent, proved by his having financed in 1916-1917 31,000,000 bushels of wheats Aid of Congress Sought to Keep Production Going. REMEDY IS ' SUGGESTED Interstate Commerce . Committee Would Allow Iiines .15 ..Years Instead of 5 to Pay Debt. WASHINGTON, May 13 Congress was asked today to help the railroads overcome the freight congestion so as to keep production needed to put down the cost of living going full tilt. As a means of enabling the roads to provide equipment, shortage of which is said to be largely responsible for failure to move mountains oi freight piled high at the principal gateways in the east and middle west, tha senate interstate commerce committee) approved an amendment to the transportation act under which the railroads would be given 16 years instead of five to pay back advances under the $300,000,000 revolving fund. Railroad officials said this would help, but they pointed out that the immediate trouble called for heroic measures to relieve congestion and that the carriers, for instance,, re quired 226,000 care to reach normal. Most Itoada Swamped. While most of the roads -were swamped with freight at Junction points and big gateways. American Railway association officials said a perceptible improvement was shown by reports received from all sections. Complaints still came from shippers, however, and the car service commit tee or the association, which directs the car movement, endeavored to al locate equipment to sections and in dustries in greatest need. There was no embargo on the move ment of coal, livestock and perish ables and these commodities had a preferential rating and right-of-way next to passenger train service, which thus far has not been affected. Gov ernment agencies in touch with the transportation system put forth every effort to help relieve the situation, admittedly bad. but not quoted so bad as a week or 10 days ago. Demands for coal were general. This was kept moving, while orders were issued for the quick dispatch of cars to the northwest for shipment of grain and refrigerator cars for California and Florida to take care oX perishables. South Only Section Free. The south seemed to be the only section free of congestion, the roads reporting a steady flow of south bound freight, with the north-bound movement regulated at eastern and western gateways by the ability of connecting roads to accept it. At the Potomac yards here the southern gateway used by all lines in and out of Washington officials reported that 2.500,000 cars were handled. The movement north and south was about equally divided, but the northward flow was stopped suddenly at mid night last night by an embargo on all except the three favored commod ities. Freight officials said they rpped to sae daylight ahead by the middle of next week. Particular attention "was given to the New .England situation because of reports that the tie-up was gen eral and that the number of cars waiting to be movd now exceeds 30,000. Swamped as they are at some points, officials, said it was natural to expect confusion, especially with a shortage of labor, which has ser iously retarded work at junctions. MR, HOUSER. XOT SURPRISED' Xews Receive in San Francisco by Grain Ofiicial. SAX FRANCISCO. May 13. Max H. Houser, second vice-president of the United States grain corporation, re ceived news tonlgnt that charges that he had used his office to manipulate grain prices had not been sustained with the statement that he had never "entertained a shadow of a doubt as to the outcome of the investigation if the true facts ware uncovered." "Those base insinuations against me were conceived In an ignorance and a bigotry beyond understanding," he declared. "It is significant that !t was I who asked for the Inquiry. Mr. Mayo made a very thorough and searching inves tigation and his report speaks for itself. I have always felt the truth would prevail." Mr. Houser added that "the price of flour in the Pacific northwest to the housewife Is lower than in any other section of the United States," and that "this can be verified by reference to market figures." IFUEL INQUIRY IS ASKED Chinese Boycott Extends. HONOLULU, T. H., May 13. (Spe cial.) The local- Chinese merchants' boycott of all Japanese goods has be come as extensive in Hawaii as in China, according to the son of the president of the, Chinese Merchants' association here. The Japanese mer chants are feeling the strain, espe cially since the Japanese plantation laborers' strike has reduced their in come from their own people. Senator Cummins Moves for In- formation on Xary Equipment. WASHINGTON. May 13. An in quiry by the senate naval committee to determine whether American naval and merchant vessels now equipped; to burn, oil fuel will have to return to the use of coal because of the oil situation and whether In that event it would not be well for the govern ment to acquire suitable coal stocks to guarantee the fuel supply is pro posed in a resolution introduced today. Senator Cummins, republican of Iowa, is the author. FOWNE NAME IN EVERY PAIR "They keep their good looks" is what people say of our SILK M APE TNI U. S A gloves . . a worth while superiority that always makes friends of our GLOVES FOR MEN, WOMEN & CHILDREN r' you look back over the past few years of style history you will find that there has always been an Earl & Wilson Collar lead- -ing the changes for Ameri can men. Collars EARL. 6f WILSON TROY, N.Y.. EXTRA EXTRA EXTRA EXTRA EXTRA Great Sale 4000 Pairs of ' Well-Known Makes of W omens Fine Silk Gloves 5()c 1-3 Regular Price Grejat Mid-Season Underpricing of Women's Stylish Stout Suits Dresses and Coats Our En tire Stock Selling Friday at Vs Off SUITS From $45 np to $85 COATS From $37.50 up to $85 ALL AT ONE-THIRD LESS DRESSES From $27 np to $75 A saring too positive and too jrreat to miss! A sale that prudent women wiTl not fail to profit by. Those who appreciate materials of the better sort styles of distinctive character especially designed to conform large or stout figures to fashionable lines and tailoring that compares with the finest of custom work, will be interested in this sale. THE SUITS Come in several fashion able models in belted and novelty lines especially de signed for stout figures. Made of fine navy serges and in sizes to 50. - THE COATS Are of fine quality serges, tricotines, duvetyne and other popular materials in black, navy and reindeer. All are finely tailored garments, in sizes 42Ya to 50. THE DRESSES Include the season's most favored styles in fine taf fetas, crepe de chine and silk metaor, in navy, black, Copen hagen, taupe, etc. All sizes from 42 'a to 52. AH are on sale at One-Third Less Than Regular Price and a Perfect Fit Is Guaranteed. It's a Great "Clean-Up" of Odds and Ends and Broken Lines, Bargain Friday, in Women's and Pnv-m n-nT-ol children's vjarmentsi Everyday necessities 700 of them, to be exact and my, what sav ings! The assortment to us is not complete, because we have only a few garments of this style and a few of that, and we must needs concen trate our stocks to proper form. Therefore, Mrs. Consumer, the savings to you at this sale are immense! Many of the garments in the following list worth double the price you pay Friday 75c: 1. Dainty Corset Covers in lace and embroidery trimmed styles. 2. Drawers, open style, embroidery trimmed, medium or extra sizes. 3. Camisoles, of good quality silk and poplin, in many styles. 4. Smart Bloomers in batiste and silk mull; generous size. 5. Large Bib Aprons of heavy scout percale; trimmed with ric-rac. 6. Small Sateen Sales Aprons, best grade, fast black and well made. 7. Children's Dresses of fine ginghams, this season's styles, 2 to 6 years. 8. Toddlers' Play Suits of devonshire, ginghams, poplins; 1, 2 and 3 yrs. 9. Kiddies' Overalls, all colors, in twills, chambrays, galatea; 2-6 yrs. 10. Girls' Bloomers, of sateen and twill, pink, white and black. 11. Children's Straw Hats, entire stock to be closed out; worth doable. 12. Women's Petticoats, fine muslin, embroidery-trimmed, limited quantity. 13. Brassieres, embroidery or cluny lace trimmed. Sizes S6 to 50. 14. Infants' and Children's Heavy Outing Gertrudes and Waist Skirts. 15. Dresses for kiddies, slightly mussed, but splendid values. 16. Scores of other garments too numerous to mention. Oh! Look! See What 75 Will Buy Friday Section NIAGARA MAID AND MILADY SILK GLOVES IN ALL SIZES Just think of it! At this -out-of-the-ordinary sale you can purchase standard first quality Silk Gloves .with double finger tips at One Third Regular Selling Prices. The reason is that we Were over stocked on long Silk Gloves and, in order to adjust this condition, we had about 4000 pairs cut down to the popular two and three-button styles. Colors are white, black, gray, navy, brown, tan, Copen hagen, champagne, mahog any, etc. AH sizes in the as sortment, but not all sizes in each color. This is without doubt the great est bargain ever offered in this city in fine heavy Milanese Silk Gloves. It is a sale that no prudent woman will miss. We advise that you come early in order to secure first choice, and to avoid the afternoon crowds that are sure to be here. Purchase as many pairs as you wish as long as they last. Bargain Friday Dont Fail to Profit by This Sale of Silk Remnants Friday's Sale Half Price Hundreds of Them! Both Plain Colors and Novelties Desirable lengths for waists, dresses, skirts, scarfs, etc. Included are Goetz Satins, Stearns Messalines and -Satins taffetas, novelty and sport weaves; in fact, most any need can be supplied if you attend this sale early. No phone orders, none sent C. O. D. or by mail. EXTRA Men's 4-in-Hand Ties 65c Two for $1.25 . An extensive -assortment of exceedingly pleasing patterns in colorings to suit all. They come in plain colors neat stripes and fancy patterns. They come with large open end fastened with bar and with slip-easy band. YouH want to purchase a full year's supply when you see what extraordinary values they are at the above price. 50c All Sorts of Desirable Laces, Embroideries In Friday's Sale at 1-3 to 1-2 Less Than Regular Selling Prices A busy season in our Fancy Goods Section leaves us with quite an assortment of broken lots and short bolts of dainty Laces and Embroideries all of desirable quality and patterns; in fact, many of our best selling numbere all go on sale Friday at the above great price concession. Be sure to secure your share. . Embroideries at 35c Yard Included are such wonderful values as 36 inch Colored Voile Flouncing, Wide Corset Cover, Flouncing and Skirting Embroideries. Also fine Baby Sets and well-finished edges. Both domestic and imported embroideries in swiss, cambric and longcloth. Come early for best choice they are sure to sell rapidly. Ha nd k ere h iefs At 45c Dozen Handkerchiefs for both wom en and children of good size and of fine lawn styles hemstitched and with roll edge. Laces at 39c Yard Both Cot on and Silk Laces, such as imita tion crochet, filet, cluny, beading top, camisole laces wide bands 12 to 17-inch silk and silk mixed flouncings 17 to 27-inch cotton net flouncings, etc. Just such laces as most every woman has need of for immediate use. All sensationally underpriced for Friday's sale. HAIR BOW RIBBONS AT 37c YARD Less than today's manufacturers cost. All staple colors in plain and Moire Taffeta Ribbons, with plain or corded edge. Fine 5-inch Ribbons that will make up into dainty hair bows, sashes and for other purposes. Pair Positively none will be sold to dealers no phone orders filled none sent C. O. D. or exchanged. No refunds. None fitted. See Our Special Window Display. Our Store Now Opens at 9 A. M. The Most in Value The Best in Quality Store Closes at 5:30 P. M. Saturdays at 6 P. M. i-i I, I'l'i iilili (.',: ". 1 i.vi