rni T TV Xf"i 1)1 71 Entered at Portland (Oregon)
. AIJj. LiA-V KJ. XO I JJ Po.Tofrlef 8wind-C;ir Matter
PORTLAND, OREGON, WEDNESDAY. FEBRUARY 2, 1921
PRICE FIVE CENTS
MRS. HARDING PICKS
urn lunif nn nnnnnr
WILSON AT THEATER
AFTER LONG ILLNESS
TE VOTES FOR
MASKED YOUTH ROBS
WOMAN STOREKEEPER
LEGISLATURE URGED
TO SPEED UP WORK
ntrc HLVV VVrtKUKUDLl
S
S
SENA
SHADOW
RENEWS
GERMANY TO
BALK
ROAD CONTRACTS
i EXCEED 500,(1
DEI!
AT BIG INDEMNITY
, - 0
Rejection Is Forecast by
Foreign Minister.
NEXT "FIRST LADY" BEGINS
"ABRAHAM LIXCOLX" FIRST
PERFORMANCE IX 18 MONTHS.
ROBBER FLOURISHES PISTOL,
TAKES $25 FROM TILL.
522 BILLS ARE SOW BEFORE
HOUSE AND SEXATE.
SELECTING CLOTHES.
I
V
V
Awards Include 6 Bridges
and 15 Miles Pavement.
BOARD REJECTS MANY BIDS
12 Counties Send Delegations
i to Session of Commission.
WORK ON PACIFIC HIGHWAY
8.6 Miles or Hard Surface From
Monroe, to Junction City to
Cost $218,558.
Contracts for more than half a
million dollars" worth of road work.
Including construction of six bridges
and the laying- of 15 miles of pave
ment, were ordered entered into yes
terday afternoon by the etate high
way commission following the open
ing of bids upon the proposed work.
Bids on many other Jobs were opened
and rejected, and a second advertis
ing of the work ordered.
The letting of contracts proved the
most important feature of the day's
session of the commission at the
county courthouse, although the com
mission was busy a good portion of
the day listening to delegations from
12 counties of the state.
Of the contracts which were let.
the most important were two for pav
ing work on the Pacific highway.
The first, for 8.6 miles of hard-surface
from Monroe to Junction City.
was awarded to the Pacific Bridge
company, at a figure of 8248. 5S8. The
second, for S3 miles of paving from
Walker to Divide, was given to the
Blake, Compton company, whose fig
ure was (178.540. Bituminous pave
ment was specified in both cases.
Bids Referred to Engineer.
Bids on a stretch of 6.2 miles of
paving from Roseburg to Dillard
were ordered referred to the state
highway engineer, with possible re
jection by the commission. The bids
were In the neighborhood of $190,000
up for the work and were Dot con
sidered satisfactory. Only one bul
was received for 1.2 miles of pave
ment from Oakland south. In Douglas
county. As this bid, approximately
140,000, was not considered satis
factory, it was ordered rejected and
new bids called for.
Construction of two bridges also
Upon the Pacific highway were in
cluded in the contracts awarded. One
of the bridges will be over Canyon
creek in Douglas county, whVle the
other will be over the South Umpqua
river near Myrtle creek, also in Doug
las county.
The contract for building the first
structure was ordered awarded to
Parker and Banfleld, at 813.1j9.50,
while the second bridge will be put
up by the Union Bridge company,
which submitted the low bid of 837.
164. Both bridges will be of con
crete, in keeping with the durable and
artistic structures put up on the Pa
cific highway in the past.
Four Wooden Bridges Awarded.
The bid of James F. Clarkson for
four wooden bridges over the John
Day river on the John Day highway
was accepted, the figure for all four
being 839,177. Other miscellaneous
contracts let for highway work in
cluded a guard fence on the Colum
bia highway near Arlington, which
went to McCall and Sheerin at 83375.
Bids for laying of culverts at the
Horse ridge section, near Bend, were
ordered referred to the state high
way engineer.
The total of contracts let for road
work aggregated 8520,873. Of this,
8127.098 was for paving. 890,200 for
bridges and 83375 for the Columbia
highway guard fence.
The commission also opened bids
for construction of a concrete bridge
t Park Place, on the eastern high
way between Portland and Oregon
City. These bids had been advertised
at the request of Clackamas county,
whlcn is putting in the structure, and
following tabulation were ordered
referred to the Clackamas county
court. The lowest bid 849.264, was
submitted by Parker and Banfield and
indicated that the structure will be in
the 850,000 classification.
91,000,000 ! Bonds Sold.
One million dollars in 4 ',4 per cent
state highway bonds was sold yester
day morning by the commission, fol
lowing the opening of bids. Them
was keen bidding for the bonds and
the competition was reflected in the
sales price, which was 8920.500, said
to be the next highest figure bid for
this type of bond within a year. Cars
tens & Earles, Inc.. and William R.
Compton & Co., were the purchasers.
Delegations from 11 counties of the
state appeared before the commis
sion to present road matters of one
kind or another,' but in practically
every instance no definite action was
taken in cases in which considerable ,
sums of money were involved. The
various petitions were taken under
advisement or referred to the state
highway engineer for study and
recommendation to the commission.
Little is being done by the com
mission at the present time in map
ping out its programme for the fu
ture, as much depends upon what
actio i may be taken on road matters
and appropriations by the state legis
lature, now In session.
Many of the Oregon projects also
have been dependent upon national
s'd. and the commission Is awaiting
(CuociuJcd on Fags 6. Column X)
Audience Recognizes Country's
Chief Executive and Rises
and Cheers.
."WASHINGTON, Feb. 1. President
Wilson tonight made his first appear
ance in public since his speaking
tour in behalf of the league of na
tions was interrupted by illness at
wicnita, ivan.. September zo, . lais
Accompanied by Mrs. "Wilson and her
brother, John Randolph Boiling, the
president went to a theater and saw
"Abraham Lincoln," the American
historical play written by John
Drinkwater, the English playwright.
The president, with his - partv,
reached the theater shortly before
the play began, and walking with a
cane, made his way through a stage
door to a lower box. which had been
reserved. H's appearance was a sur
I rise to the audience.
"When he entered the box he was
recognized and the audience rose and
cheered. He responded by bowing and
sat down. He did not arise until the
final curtain and then was aided to i
his feet by Mr. Boiling. The audi
ence cheered and he again bowed.
In leaving he used his cane and
leaned upon the arm of Mr. Boiling.
News of the president's attendance
leaked out during the day and i
large crowd expecting him to leave
from the front entrance had congre
gated there. Only a handful had
thought of the stage exit which he
used and these were kept back by
police.
The president appeared to enjoy
the play and sm'led at the humorous
rarts. "White House attaches after
the president returned to the White
House said that he seemed to have
suffered no ill effects frem his ap
pearance in public.
Prior to his illness Mr. "Wilson at
tended the theater regularly. During
his illness he has been forced to con
tent himself with motion pictures
shown in the "White House.
Rear-Admiral Cary T. Grayson, the
president's physician, said more than
a month ago his patient's health had
Improved so much that he might at
any time attend the theater.
With emotions induced by the closing-
scene depicting President Lin
coln's assassination still reflected on
hundreds of faces, the audience on
rising to leave the theater, turned.
as by a single impulse and facing the
president, cheered and applauded
while he rose from his seat.
The audience seemed to carry over
sentiments induced by the play's por
trayal of the martyred In contem
plating tire somewhat worn counte
nance of the present chief executive
then plainly showing the effects-of
his long illness In rising to his feet.
That the president was refreshed
and cheered by his first theatergoing
treat in more than 18 months was
indicated by his animated betwecn
act conversations with Mra. Wilson
and his brother-in-law.
AID BRINGS GRATITUDE
American Relief to Hungarian
Children Is Appreciated.
PARIS, Feb. 1. Gratitude for Amer
ican relief to the children of Hun
gary was being expressed in a mes
sage to the United States to which
the signatures of 1,000,000 children
had been obtained, said a Budapest
dispatch today.
Fetes are being planned in schools
in celebration of the American in
auguration day, March 4.
DANIELS OBEYS EMBARGO
Bill Prohibiting Export of Crude
Oil Products Approved.
WASHINGTON, Feb. 1. Secretary
Daniels has given his approval to a
bill by Senator Phelan. democrat.
California, authorizing the president
to embargo petroleum exports. The
Phelan bill is pending before the sen
ate naval committee.
Exportation of California oil to
Japan caused Senator Phelan to in
troduce his bill.
AIRPLANE IS DEMOLISHED
Engine Stops, Machine Crashes to
Earth; Aviators Escape.
EL PASO, Tex.. Feb. 1. An all
metal airplane making a flight from
Hollywood. Cal., to Mexico City was
demolished and the American avi
ators, Thompson and Williams, were
injured, not fatally, when the plane
crashed to earth after the engine
stopped near San Luis Potosl.
This is according to advices re
ceived today by the EI Paso Herald.
OUTLAWS ROB POLICEMAN
Gun, Auto and $18 Taken and
Beating Given When Star Seen.
CHICAGO, Feb. 1. Frd Schoel, a
policeman off duty and in plain
clothes, was kidnaped, robbed of his
automobile, gun and 818 by two high
waymen last night.
When they saw his star they gave
him a beating and threw him blind
folded, from the machine, he said.
WOMAN IDENTIFIES BODY
Ragged Stranger Killed by Carl
Wanderer Was Earl Kesee.
CHICAGO, . Feb. 1. The ragged
stranger whom Carl Wanderer hired
to stage a mimic holdup the night
Mrs. Wanderer and the stranger were
shot to death, today was identified
by Mrs. Cora Oppendorn of Danville.
111., as .her nephew. Earl Kesee oi
Danville.
His. identity had remained a. mys
tery since last summer.
ROOSEVELT ROAD
$2f500fM0Highway Bill
Passed; Vote 26-4.
HOUSE TO DECIDE LATER
Measure Declared Not Sec
. tional in Character.
RESOURCES HELD TAPPED
Failure of Federal Government to
Match Fond Regarded as No
- Reason to Quit.
STATE HOUSE.
Salem, Feb. 1.
fSDeclal.) Bv a vote of 26 to 4 the
senate this afternoon passed the bill
introduced by Senators Hall and Nor.
blad making available 82.500.000 with
which to start construction of the
Roosevelt military highway. Oppos
ing the bill on final passage were
Senators Lafollett. Strayer, Porter
and Vinton.
Senator Hall, In explaining the bill
on the floor of the senate, declared
that the measure was not sectional in
its character, but that its approval
by the legislature would prove to be
an Important and decisive step in the
future development of the entire
state.
"The states of Washington and Cal
ifornia long ago realized the neces
sity of coast development," said Sen
ator Hall, "and to that end they are
now constructing highways which
eventually will become a link in the
trunk path extending from the Do
minion of Canada to the Mexican
border.
Voters' Approval Cited.
"The voters oi Oregon, at a special
election held In May, 1919, voiced
their approval of the Roosevelt high
way contingent upon the federal gov
ernment matching states to the ex
tent of 82,500,000. For some reason
the government has failed to respond
to our appeal for assistance, but that
in no reason why we should sit In
'Idleness while our sister states con
tinue to proeress in the march of de
velopment." Senator Hall then called attention
to the vast wealth along the route of
the proposed highway, the scenic at
tractions and oi portunity for luring
to Oregon the thousands of tourists
who now pass their winters in California-Senator
Vinton said he agreed
with Senator Hall that the law
enacted ty the voters at the special
election was a handicap in the con-
(Concluded on Page 4), Column 1.)
WANTED: TO
u (arm ...
t tm'v, mmiw .w .wmi rsr if v . t
Police Records Show Ransom Gro
cery, 87 West Killlngsworlh, was
. Held Vp Last' September. -
Just after she had waited on a
customer early last night, Mrs. J. C.
Ransom of Ransom's grocery, 87 West
Killingsworth street, was held up at
the point of a pistol by a young man
whose face was masked with a white
handkerchief. The robber took 825
in cash from the till and ran from the
store. His Improvised mask dropped
from his face as he reached the
street.
Inspectors from three stations, the
St Johns, east side and main head
quarters, hastened to the scene, but
the robber had escaped. Police have
no clew to his identity.
. Sits. Ransom told the police that
when the youth commanded her to
"throw up your hands" she thought
he was joking and did not comply.
Belief that the robber was In jest was
dispelled when he repeated his order!
in a gruff tone and shoved the pistol
forward into shooting position. She
described the robber as being youth
ful, height shout five feet six inches.
I ......
' weignc 130 pounds, tie was wearing
a brown suit and dark brown hat.
Police records show that the
Ransom grocery was robbed by a
masked man In a similar manner be
fore September 8, 1920.- At that time
Ransom was in the store and as the
burglar made his "getaway" Ransom
reached below the counter grasped a
pistol and took a chance shot. The
fugitive was wounded in the thigh.
Captured a few moments later by
police he gave his name as Russel
Deck. He was convicted, but records
do not disclose his sentence.
VENDOR TO GET FORTUNE
Oakland Police Look for Pencil
Seller Heir to Big Fund.
OAKLAND, Cal., Feb. 1. Police
here were searching today for Alfred
Newsome, a shoe string and pencil
vendor, well known about the streets
of Oakland, who has fallen heir to a
fortune upwards of six figures. A
communication received by police
from a Philadelphia attorney, John
B. Landberg, "told of the peddler's
good fortune, and asked that he be
notified at once.
Newsome disappeared from Phila
delphia, according to the letter, about
five years ago.
SENATOR QUITS HOSPITAL
Chamberlain Tukes Short Walk; to
Resume Seat Soon.
THE OREGONIAN NEWS BUREAU.
Washington, Feb. 1. Senator Cham
berlain has left the emergency hos
pital, which he entered more than
five weeks ago to undergo a serious
operation, and Is back at his apart
ments under the care of his" physician
and a nurse.
He was permitted to take a short
walk today and the hope was ex
pressed that he would be able to re
sume his seat in the seriate in two or
three weeks. I
SELL OR TRADE ONE WHITE
Congestion During Last Two Weeks
Probable Unless Committees
Handle Measures Better,
i '
STATE HOUSE, Salem. Or.. Feb. 1.
(Special.) With 622 bills before
them -in various stages of digestion,
legislators will have to speed up or
be confronted with a congestion of
business in the last two weeks of the
session. ' To forestall such a situa
tion, President Rltner and Speaker
Bean have Commenced to apply a
little gentle pressure, with the ex
pectation that tomorrow morning the
senate and house will speed up.
This was the principal reason why
the senate and house each took an
early adjournment this afternoon In
order that committees could get to
work. All the late afternoon and
tonight the committees were in ses
sion". There were . meetings every
where in the state house, but there
were no Important bills under discus
sion In any of these gatherings.
The president and speaker have
called in the chairmen of the com
mittees and explained the necessity
of reporting out bills. Some measures
have been sleeping In committee more
than a week instead of being report
ed out and disposed of. The accumu
lation of measures has attained a
somewhat staggering peak load, and
each day new bills are offered.
One of the weaknesses being dis
played is the improper manner in
which bills are being reported out of
committees. It Is a not Infrequent
occurence for a bill, reported favor
ably, to be sent back tor amendment
because the committee has failed to
observe the rules" governing the
preparation of bills. There have been
bills with an emergency clause which
was not mentioned in the title of the
act, and similar slipshod methods are
constantly developing. President Rlt
ner has warned the senate committee
chairmen that bills must come Into
the senate in regular legal form, for
referring bills back to committee for
amendment is adding to the delay.
Tonight the senate has 219 and the
house 303 bills. There are also in
the senate 19 senate resolutions.
eight memorials, nine senate joint
resolutions and eight senate concur
rent resolutions.
Tomorrow morning scores of bills
will be reported out, and the houBe
and senate will proceed with full
speed ahead for at least a day.
CHURCH TO AID CHINESE
Advcntists Set Aside February 2 8
for Taking Offerings.
WASHINGTON. Feb. 1. The gen
eral conference committee, Seventh
Day Adventists, announced today that
February 26 had been set aside for
taking an offering from all churches
of the denomination for famine suf
ferers In northern China.
Missionaries stated, the letter add
ed, that 15,000,000 people 'would diel
within the next few weeks without
aid.
ELEPHANT.
Two New Letters Threat
en Immediate Death;
LIPMAN AND SELLING MARKED
Blackmailer Posts Mail at
Central Postoffice.
MAN IS BELIEVED, INSANE
Police Admit Futile Attempt
Capture Was Made Again
Last Saturday Night.
at
Despite every effort of the police
to run him to earth. "The Shadow,"
Portland's mysterious and daring ex
tortionist, is still In Portland, and
has continued to send his threatening
letters to prominent Portland resi
dents in his efforts to blackmail tnem
out of large sums of money.
It was learned from authentic
sources at police headquarters last
night that "The Shadow," in the course
of the past several days has sent let
ters to Will F. Lipman and Ben Sell
ing, well-talown merchants, in which
he has threatened them with imme
diate death unless they complied with
his previous demands to pay him 825,
000 each.
The letters, It was learned at the
police detective bureau, were mailed
from the central postoffice in this
city, which proves beyond doubt that
"The Shadow" is still operating in
Portland.
Chief Identifies Letters.
Although he was loath to discuss
this new angle to the gigantic black
mail plot. Chief of Police Jenkins last
night admitted that these latest let
ters from "The Shadow" are Identical
in writing and contents with the first
letters written more than two weeks
ago and which baffled the entire po
lice bureau as well as private de
tective agencies.
It w,as further learned last night
that a squad of police detectives with
shotguns staged a mysterious man
hunt for "The Shadow" last Saturday
night, but their search was fruitless.
The police believe that he will con
tinue to send his threatening letters
until he finally is captured.
That the man is Insane Is the belief
of Chief Jenkins, who declared that
in his opinion no sane person would
be so persistent in his blackmailing
efforts after he had twice flirted
with death with police posses close
on his trail, as occurred when he first
began to operate in Portland.
Terms Are Indefinite.
It was said last night that in his
latest letters "The Shadow" has made
no definite terms to his intended vic
tims. Instead, he is contenting him
self with sending his threatening let
ters and telling them that death is
near unless they comply with his de
mands. He has not sought to arrange
a meeting place as he did on two
separate occasions with J. Wesley
Ladd, whom he twice threatened 'with
death.
It was said at police headquarters
that Mr. Ladd had not been molested
either by letters or by telephone mes
sages from "The Shadow," and the
belief prevails that the blackmailer
will make no further efforts to extort
money from that source. It Is known
that on several occasions a man call
ing himself "The Shadow" has called
Ben Selling by telephone at his store
and attempted to talk with the
clothier. On each of these occasions,
It is said, Mr. Selling hung up the
telephone and refused to have any
dealings with the unknown and baf
fling extortionist.
Police Lose Outlaw.
The ! operations of "The Shadow"
reached a climax about two weeks
ago when police detectives kept a
rendezvous with the man on the Base
Line road after "The Shadow" had
commanded Mr. Ladd to meet him
with a package containing 825,000 in
currency of small denominations. The
police jumped from several automo
biles when they received the flash
light signal which the extortionist
had announced he would give, and
fired shotguns at him as he fled into
the deep underbrush skirting the
road.
All that night and until daylight a
posje composed of more than 100
police and deputy sheriffs scoured the
woods in that district in an effort
to surround the man, but although
deputy sheriffs exchanged shots with
him near Montavilla, he escaped into
the darkness. His identity remains
as much of a secret as it did the
day he first began to operate In Port
land. Letters Are Printed.
The letters which "The Shadow" is
sending to well-known Portland resi
dents are printed, and the work is
cleverly disguised. In each instance
during his . operations several weeks
ago, he commanded his Intended
victims to answer his demands
through the personal columns of the
-local newspapers, thus being able to
keep himself advised of their deci
sions, and at the same time keeping
himself In the background and thus
preventing the police from establish
ing any possible clew.
If the theory that "The Shadow" Is
a crank is true, the police believe it
will be only a matter of time when
(Concluded on rage 2, Column 3.)
Modistes, Tailicurs, Furriers and
Jewelers Follow One Another
Into Hotel Suite.
NEW TOEK. Feb. 1. Mrs. W. G
Harding today began selecting the
contents of her White House clothes
cabinet. She did not go Bhopplng, but
conducted a hotel suite campaign for
clothes. Modistes, tailleura, furriers
and Jewelers followed one another
into her rooms, ( where she passed
nearly eight hours Inspecting their
offerings.
She granted admittance only to
photographers and reporters, besides
the salespeople.
Style dictators, pondering over the
Impressions they received, predicted
that the laws of fashion will be blue
after March 4. That is the favorite
color of Mrs. Harding? She selected
a tea gown and evening gown of
blue today.
Mrs. Harding also made it clear
that there will be no foreign frills
in her wardrobe.
MIAMI, Fla., Feb. 1. President
elect Harding returned from the
Cocolobo fishing grounds today with
a sun-blistered face and a formida
ble catch of fish.
He was a guest tonight at a fare
well dinner given by ex-Governor
Durbin of Indiana. The president
elect's return to St. Augustine will
begin tomorrow.
BANK ROBBERS MAY DIE
Arkansas Senate Passes Bill to
Slake Offense Capita!.
LITTLE ROCK, Ark., Feb. 1. The
senate this afternoon passed, without
a dissenting vote, a bill providing
capital punishment for bank robbery.
The bill puts bank robbery on a
parity with murder In that it give.s
Juries the right to fix either life Im
prisonment or electrocution as a pun
ishment. CHICAGO, Feb. 1. Half a doren
robbers held up the Kenwood Trust
& Savings bank on the South Side to
day and escaped with a sum which
bank officials estimate at 830.000.
WIRELESS T0BE TAUGHT
2 2 Chicngo High Schools Install
Radio Instruments.
CHICAGO, Feb. 1. Radio telcphon
and telegraph Instruments are to b
installed In Chicago's 22 high schools,
the board of education announced
today.
The board estimates that the school
wireless system, the first of Its kind,
will cost about 850.000.
RACE PARITY BRINGS FINE
Street Railway Company Penalized
for Not Segregating Negroes.
NASHVILLE, Tenn., Feb. 1. The
Nasliville Railway & Llght company
was fined 82000 today In a case In
which'it was alleged to have violated
the statute providing for the scpara
tlon of the races on streetcars.
The case will be appealed.
INDEX OF TODAY'S NEWS
The Weather.
YESTERDAY'S Maximum temuerature. 52
degreei: minimum, aegrcr..
TODAY'S Ruin; Incrcaoine southeasterly
winds.
Forelcn.
Germany to balk at huge Indemnity
demands. Page 1.
Barbados is tranquil In world of chaos.
Page i.
National.
Harding plans to speed up new organl
zatlon. Pans 2.
Controller of shipping board denies fraud
In war expenditures, rune .
Wilson attends theater first time In 18
months. Page 1.
Hard blows lnnded on tariff bill In sen
ate. Page 4.
Domestic.
Mrs. Hardin begins picking new ward-.
robe. Page 1.
Labor board avoids threatened clash.
Page S.
Legislative.
Senate passes $2,500,000 Roosevelt high
way bill. Page 1.
Legislature urged to speed up work.
Page 1.
Hosford opposes port bill In house. Page (.
Public may decide tenure at election.
Page 8.
Idaho senate votes repeal of two-mil
highway levy. Page 8.
Normal schools attacked sharply. Page 8.
Motion picture men gather at Salem to
fight thres bills. Page 7.
Parifia Nortfcwewt.
Fifty million feet of timber around Ver
nonia felled by terrific wind. Fags 10.
Vattle held cheated in purchase of car
line. Page 13.
Sports.
Rwlmmers sign up for state contest.
Page 12.
Huntington retained as Oregon's coach.
Page 12.
Thye twice pinions Carl Nelson to mat.
Page
Commercial and Marine.
Bulk of northwestern wheat crop shipped
to Portland. Page 18.
Chicago wheat market breaks, owing to
big drop in Argentina. Page 18.
Stock market lower with movement slug
gish. Page 18.
Portland's January exports valued at
ji.aoa.asa. Page 18.
Portland and Vicinity.
Warrant charging perjury Issued for
arrest of Kd Goneau. witness for
Thomas Lotlsso, wife-slayer. Page 11.
Profit In garbage plan offered city.
Page 11.
S'xteen are Indicted for drug and dry
law violations. Page 9.
3 000 W0 In bonds Issued by Portland
' Flouring Mills company. Page 20.
Attorney Earl C. Bronaugh assumes duties
as trustee for creditors In Morris bond
house case. Page 110.
Prospects of Portland discussed by mayor
in annual message. Page 7.
The Shadow again attempting blackmail.
Page 1.
Contracts let for road building exceed
toOO.OOO. Page 1.
Masked youth robs woman storekeeper.
Pase 1.
Rota riana raise nearly $30i,OOO for children's
hospital ward. Page 4.
Mother loses fight to regain daughter.
Page 4.
WHOLE NATION IS AROUSfr
Demands Regarded as Fan
tastic and Impossible.
CABINET IS PUZZLED
General Opinion Is That Govern
ment Cannot Agree to Terms
Fixed bv.AIIied Council.
BERLIN, Feb. 1. (By the Asocl-
ated Press.) Dr.
Walter bitnons,
Germany's foreign minister, declared
in the Reichstag today that the gov-
ernment would refuse to negotiate on
the basis of the entente decisions re
garding rep rations and would formu
late counter-propositions. His po
sitlon was supported by all the party
leaders except the communists, who)
heckled and jeered him when he con
cluded speaking. '
Dr. Simons said the German gov-j
ernment was unable either to refuse
t- agree or to part'cipale In the Lon
don conference, because It had not
yet been Invited to send representa
tives. Germans regard the reparations de.
mands as fantastic and Impossible of
execution and it was the general
opinion the government cannot agree
tc them.
Cabinet Holds Sea-.loa.
The cabinet which received tho text
of the allied note yesterday was In
executve session until late last night.
"Madness" was the term relchstag
leaders used in discussing the repara.
Hons conditions. Simons declared the
terms would "produce chaos, not only
In Germany but throughout central
Kurope. as the bankruptcy of Ger-,
many would also bankrupt part of
Germany's war creditors, anion
whom is France." (
"It Is greatly to be deplored," h
continued, "that the great American
nation was only a bystander during
the negotiations concerning repara
tions at Paris. The settlement of this
question determines the fate of the
world's economics and of world cuU
ture."
Flfforrs Held Absurd.
Herbert Guttmann of tho Dresdencr
bank said the reparations figures are
absurd, and the tax levy on exports
is absolutely beyond understanding.
"The latter would kill Germany's ex
port business, and how does the en
tente expect Germany to pay if she
cannot export her products? It is n
concelvable that America and Eng
land will permit Germany, their best
customer, to be ruined by the enforce
ment of such terms."
ThevGerman mark showed a slight
decline towards the close of yester
day's session of tho bourse, when the
terms became generally known.
Berlin newspapers were as one In
voicing the opinion that the repara
tions conditions sound the commer--
clal death knell of the German na
tion and the economic ruin of central
Europe, including France, Belgium
and Italy. The press, however, does
not presume to aovise me caoinui a
to Its course, reaching the conclusion
that Germany Is powerless to oppose
this victory madness."
Tax Animosity Is Shown.
Some conservative organs, discus
sing the probable effect of the en-
forccmcnt conditions, suggested they
would leave Germany a plaything to
the extremists. The newspapers dis
played animosity against the provi
sion for a 12 per cent tax on German
exports. This provision, Vorwaerts
declared, will. In five years, force the
world to desire free trade.
The Vossische Ze'tung declared the
plan as a whole means perpetual
slavery for Germany. It casts a
cloud over the European situation,
engenders new hatreds and opens the
way toward worm revolution, mis
paper insisted. Only Great Britain
would profit, it declared, but the
Tageblat did not agree with this,
saying, on the other hand:
Lloyd George has betrayed the in
terests of the British people?'
The Nord Deutsche Allegemeine
Zoltung declared that oil circles of
Germans have been united In the
spirit of revolt by the new condi
tions. '
The Tages Zeitung concluded by
saying:
"To yield to brutal forces Is no
disgrace. The entente cannot humjile
us; only ourselves can do that."
IMPOSSIBLE, SAYS JJRITOX
Envoy to Peace Conference Says
Germany Can't Meet Demands.
LONDON, Feb. 1. It will be Impos
sible for Germany to pay the repara
tion debt fixed by the supreme allied
council at Paris last week, said Pro
fessor John Maynard Keynes, princi
pal representative of the British
treasury at the Versailles peace con
ference. He argued that Germany, to
have surplus exports worth 200.0(10,
C00, must have total exports worth at
least f 700.000,000. Twelve per cent of
this amount would be 84.000.000 and
therefore, he said that with I TUO.OOO.
000 of exports yearly against 500,-
(Concluded on Page 3, Column 1.)