Entered at PortUn d' (Oregon)
Peg off Ira as Second-class Matter.
PORTLAND. OREGON, TUESDAY, DECEMBER o, 1922
28 PAGES
PRICE FIVE CENTS
f
EX-KING CONSTANTJNE
COMING TO AMERICA
S
$1,700,000 SOUGHT
OREGON IS SECOND
ABDUCTION STORY
CLOTHING SALESMAN
JOLTED BY "YOKEL"
URGED
FOR CHANNEL TO SEA
IN LITERACY GRADE
IS-E
S TOLD BUTE
BY OREGD
MEM
ii i
FORJIER GREEK RILER MAY
MAKE HIS HOME HERE.
COXGRESS ASKED TO ASSIST
PORTLAND HARBOR WORK.
EDUCATIONAL SURVEY GIVES
SIMPLE-MINDED ONE GETS
AWAY WITH LOOT.
STATE HIGH PLACE.
VOL. LX XO. 19,358
iiLfi hh
CLOTURE
uira
New Imperialism Arising
Says Clemenceau.
ECONOMIC STRUGGLE Bl
Fear That Commercial Dom
ination Will Provoke New
Conflict Is Expressed.
ALLIED UNITY HELD GONE
Tiger Proposes Seizure of
. Foreign Bonds Owned by
Germans to Pay Debt.
1 .
'Copyright, lf22, iUnitPd States, Great
Britain. Canada anfl South America by
Nftw i'ork WnWd f.f'rens publishing com
pany) and ?i '-r;f; American Newspaper
Allien.-. AiJ rosTvd. Unlicensed
risiir'Kv.lA: 'n-i u':i ui ia part expressly
li!K GEilMA.V KEVOLT."
-.'.-tgbobces .e:ii:sceau.
Trr.s ar!;:li? ;s ttie fourth of s series
Tvvj'Srn ?X'.'lasiV'ly or the North Ameri
can ws-jmper Alliance by Georges Clem
Hi.eau. The series breaks a sitence
which dates back to the signing: of the
treaty of Versailles. Not until the pres
ent visit has the "Tiger of France" ex
pressed himself upon international af
fairs in either speech or writing, not
even in the pages of his own journal.
Echo Nationale. His words are being
read eagerly today in France. England.
Holland. Switzerland, Argentina, Japan
and many other countries where these
articles are being released simultaneously
for publication, Editor's note.
On May 7, 1919, fourth anniver
sary of the torpedoing of the Lusi
tania, we handed the German pleni
potentiaries the peace conditions.
In presenting them l said: "This
second peace of Versailles, which
is about, to be the object of our de
bates, was too dearly bought by the
peoples represented here for us not
to be unanimously resolved to ob
tain legitimate satisfaction by all
the means in our power."
This satisfaction had been al
lowed for in the treaty, and Ger
many had signed it. But whoever
could have thought that that would
be sufficient ? One may insert into
a solemn pact all sorts of clauses
duly agreed upon; one cannot insert
the will to respect and execute
them. That is partly a question of
loyalty, honor and good will and
partly a matter of confidence, guar
antees and sanctions.
Moral Revenge Enjoyed.
After the war of 1870 France
scrupulously and rapidly fulfilled
all her obligations. Pressing down
in her heart the despair caused by
the loss of Alsace and Lorraine,
she understood that she could only
get on her feet again by work, and
she set about working with a view I
to acquiring compensation in a
more intense production for the
loss of her two rich provinces. All
the world knows how she succeed
ed. Ever since 1878, at the time
of the great success of her inter
national exhibition, she began to
enjoy a mdral revenge.
Scarcely four years have elapsed
since the second treaty of Ver
sailles and, with the exception of
its territorial clauses, the treaty
has been outrageously turned and
twisted. By a tragic coincidence
having nothing to do with chance,
the German reaction hits France
just where she is most directly
threatened. Whereas France re
quires reparation and security,
what one sees across the Rhine is
an economic evasion and military
reaction. First the economic eva
sion. The American public is too
well informed to credit Germany's
plea in justification of her inca
pacity to pay that the collapse of
the mark is exclusively due to the
obligations imposed upon her by
the treaty.
Mark's Collapse Wished For.
The American public knows that
actual gold payments made by Ger
many to the reparation commission
have amounted only to $375,000,000
and that in the internal budget of
the Reich the total sum paid out
under the treaty is less than the
figure spent by the German gov
ernment in the purchase of raw
materials and on railways and in
the postal administration. The
collapse of the mark was wished
for and precipitated because it was
at one and the same time a means
of eluding the reparational pay
ments m rendering the execution
of the treaty more and more diffi-
(.Concluded on Pago 5. Column 1.)
Europe Considered Unsafe Now,
With Punishing War Guilty
a Popular Pastime.
BY RAYMOND FEXDRICK.
(Chicago Tribune Foreign News Service.
Copyright. 19T2, by thChicago Tribune.)
PARIS, Dec. 4. ftx-King Constan
tine of Greece is planning to go to
America in the early spring and,
possibly, to make his home there, as
the king business is not looking up
in Europe.
He will be the guest of his brother,
Prince Christopher, and his wife.
Princess Anastasia, formerly Mrs.
Leeds, who are sailing on December
12 on an extended visit to the United
Suites. Their original passage in the
Majestic, which sails on December 6,
was canceled for' fear Prince An
drew's head might fall.
It is reported from Palermo that
ex-King Constantine feels unsafe
p.ny where in Europe with punishing
the war guilty becoming a popular
spcrt, especially in Greece, Spain, and
1 ulgaria.
Princess Anastasia's son, William
B. Leeds Jr., is also going to Amer
ica early in the spring, with his
V'fe, Princess Xenia.
Even lucky Prince Andrew, now
en route for Palermo, may be taken
along.
IOWA STATE GETS PRIZE
Stock-Judging Team Wins Inter
national Event.
(By Chicago Tribune Leased Wire.)
CHICAGO, Dec. 4. Restlessness of
100 anxious students came to an end
Sunday afternoon when it was an
nounced that the quintet from the
Iowa State college won the huge
bronze trophy in the students' live
stock judging contest at the inter
national livestock exhibition's open
ing day. The Haw-keye team crowd
ed Purdue university into second
place by a wide margin of 77 points.
Iowa students scored 3970 points;
Purdue, 3893; Kansas, third, 3869,
and Nebraska, fourth, 3843.
The Iow-ans not only made the
highest collective score In competi
tion with the other 19 teams, but
annexed the individual prize. This
was won by J. C. Holbert, who
registered 860 points out of a pos
sible 1000.
MAN, 87, BU1LDS HOME
Michael Moehnke, Oregon City,
Erects Residence Vnaided.
OREGON CITT, Or., Dec. 4. (Spe
cial.) Michael M e o h n k e, well
known resident of Oregon City, left
today for Eagle creek, Clackamas
county, where he is to improve
several buildings on the farm of
M. C. Glover. Mr. Moehnke, who is 87
years of age, is unusually active. He
has just completed a two-story resi
dence on his farm at Beaver creek.
He erected the buildings unaided.
Although Mr. Moehnke has lost
three homes by fire he has never
become discouraged. One of the
homes burned in a forest fire in the
Beaver creek country years ago, and
destruction of the last home was
due to a defective flue. During the
forest fire Mr. Moehnke and his
family were residing on the place.
STARBUCK BANK ROBBED
Outlaw Obtains About $500 From
Counter, Says Report.
SPOKANE, Wash.. Dec. 4. The
Bank of Starbuck, at Starbuck,
Wash., 170 miles south of here on
the Oregon - Washington railroad,
was held up this afternoon by a
robber, who escaped with approxi
mately $500, which he took from the
counter.
The man threatened bank em
ployes and customers, according to
information received by a detective
agency here.
WABASH TRAIN WRECKED
Number of Passengers Reported
Hurt in Iowa Mishap.
OMAHA, 'Neb., Dec. 4. A number
of passengers were reported hurt
in the wreck near Imogene. Ia., at
S:45 o'clock tonight of Wabash
passenger tra'.n No. 14. According
4o first reports, the baggae-e car
and two coaches were derailed. Doc
tors were sentito the scene of the
wreck.
The train was bound for St. Louis
and left Omaha at 5:55 P. M.
Imogene is 65 miles south of
Council Bluffs.
LAST FLING JOYOUS ONE
Veteran, Near End, Gives Asso
ciates Good Time.
NEWARK, N. J., Dec 4. Six
weeks ago Percy Evans, -.ounded
worlJ war veteran, invited a score
of his wartime and boyhood friends
to dine with, him.
"This," he told them, "is my last
fling. I am slowly slipping under
neath the daisies. Eat all you want.
Sing a lot and fight if you wish,
but don't wreck the place."
He died in his wheel chair today.
HARDINGS TO TAKE REST
Departure From Washington Will
Follow End of Congress.
WASHINGTON, D. C, Dec 4.
President and Mrs. Harding will
leave Washington for a rest after
congress adjourns next year.
This was learned today at the
White House.
Irish Constitution Is Ap
proved by Lords.
ROYAL SIGNATURE IS NEXT
Measures Passed Without
Rollcall Being Asked.
GOVERNOR IS SELECTED
: f
Choice Is Declared to Be Particu
larly Good, as He is in Sym
pathy With Aspirations.
LONDON, Dec. 4. (By the Asso
ciated Press.) The centuries - old
struggle between England and Ire
land ended tonight when the legis
lation giving- the sanction of law to
the new settlement with Ireland
passed its final stages in the house'
of lords, which for generations has
bitterly opposed any accommoda
tion with Ireland.
The constitution bill has gone
through both houses of parliament
without any amendment and even
without division being .challenged.
Lord Carson alone, whose influence
was mainly responsible for failure
to settle the Irish question in 1914
and who has throughout his politi
cal career been the bitterest op
ponent of home rule, persisted to
the very end in his role of "last
ditcher," even when such traditional
anti-homerulers as the Marquis of
Lansdowne and the Duke of Devon
shire had gracefully yielded to the
government view and resolved to
give Ireland a chance to prove her
sincerity under new conditions.
Royal Assent Is Certain.
There now only remains royal
assent, a matter of formality, and
everything will be ready for the
new'Irish government t-o come into
existence with excellent omens in
the expressed desire even at many
of the -'dte-hard" statesmen in Eng
land to give it every opportunity to
succeed in its work, not only un
hampered, but aided by England.
Even the appointment of Timothy
Healy as governor-general of the
Irish free state, which is momen
tarily expected to be announced of
ficially, is, on reflection, recognized
as an auspicious event. When Mr.
Healy's name was first mentioned
it was received' with astonishment
and some incredulity. When a governor-gent
ralship is in question the
British mind turns naturally in the
direction of some titled personage.
Now it is admitted the .-,ppointment
of Mr. Healy would be singularly ap
propriate. Irish Stand Supported.
In the first place, Mr. Healy
throughout hs political career has
been one of the strongest oppon
ents of British connection and there-
(Concluded on Page 2, Column 1.)
THIS PROMISES TO BE
Chief of Army Engineers Reports
Funds Xecessary to ImprcV
Other Northwest River ,
-
THE OREGONIAN NEW . AEAU,
Washington, D. C, Tf -In set
ting forth the amo necessary
to be appropriated V cne contin
ued improvement ers and har
bors in the Pac' o .orthwest, dur
ing the fiscal. t ending June 30,
1924, the chief" engineers of the
United States army, in his report to
congress today, calls for $1,700,000
for the Columbia and Willamette
rivers below Portland and Van
couver. Other sums which can be
expended profitably during the year
under authorizations already made
by congress, according to the engi
neer's estimates, include tho fol
lowing; Coos Bay, $1,210,000: Coos river,
$300; Yaquina river, $139,000; Ne
halem bay, $352,000; Umpqua river,
$276,000; Columbia river and tribu
taries, above Celilo falls to mouth of
Snake river, $13,500; Snake river
(Washington and, Idaho), $26,500;
Willamette slough (Multnomah
channel),- $23,350; Clatskanie rfver,
$9120; Willamette, above Portland,
and Tamhill river, $29,600; Lewis
river (Washington), $12,400; Cowlitz
river (Washington), $6000; Ska
mokawa creek (Washington), $2000;
Grays river (Washington), $78,850;
Willapa river and harbor (Wash-'
ington), $2C, '00; Grays Harbor and
bar entrance (Washington), $60,000;
Hoquiam river (Washington) $260,
000. River and harbor needs for the
fiscal year ending June 30, 1924, are
covered in today's budget estimates
as submitted to congress in a lump
sum of $27,625,670. As it is likely
that congress will make a lump sum
appropriation for this purpose, there
Will be no hearings before the com
mittees of house and senate on in
dividual projects. Representative
Hawley said.
This will save Oregon projects
from the necessity, he said, of send
ing representatives here to make
presentations before the commit
tees. Amounts mentioned are those in
dicated in the authorization bill
passed previously an which carried
no appropriations. In the $1,700,000
for the Columbia and Willamette
rivers below Portland and Van
couver ia comprised estimates for
carrying on diking, the construc
tion of another dredge and a fleet
of steel fuel barges to supply the
dredge fleet. Funds for channel
maintenance and the diking project
already under way were provided in
the regular bill this year.
"I
OREGON PROJECTS BENEFIT
Federal Budget Liberal Toward
1 Irrigation in State.
1 THE OREGONIAN NEWS BUREAU,
Washington, D. C Dec. 4. (Spe
cial.) Oregon irrigation projects
fared well in the 'estimates of the
budget director for, the next fiscal
year, submitted to congress today
by the president. The Baker proj
ect, which is the newest irrigation
project in the west, under the esti
mate would receive $500,000, as
against $400,000 this year. The
(Concluded on Page 3, Column 5.)
AS HOT A SESSION OF CONGRESS AS THE LAST ONE.
Co '23
Pacific Slope Is Among Lowest
of All Districts In Matter of
Unlettered Persons.
Oregon ranks second only to Iowa
among the American states in the
low percentage of illiteracy among
its inhabitants. Only 1.8 per cent
of the Oregon population can neither
read nor write, according to statis
tics received by President Scholz of
Reed college from the National
Education association in the inter
ests of education week, which be
gan Sunday.
The survey of the National Edu
cation association reveals that, the
Pacific states, with an illiteracy
average of 3.1 per cent, rate among
the lowest of all districts of the
United States. This figure is half
the percentage, of illiterates in the
country as a whole, and less than
the average of France.
The United States . harbors a
greater proportion of illiterates
than any nation of Europe. This is
revealed glaringly by the statistics.
The 1920 census showed 5,000,000
persons unable to read and write, a
decrease of only 500,000 in the pre
ceding decade. Compared with
western European countries this
country rivals onlj' Franca In this
respect.
Germany and Denmark have least
illiteracy, with two-tenths of 1 per
cent. Switzerland is flve-tenths of
1 per cent and Sweden 1 per cent.
The. French population is 4.9 per
cent illiterate, and that of the
United States 6 per cent.
It is notable that the percentage
of illiteracy was much higher in the
army draft examination, the aver
age being 24.9 per cent. In this
case, however, actual tests were
made, whereas in the census per
sons only wer'e asked to state their
capacity.
DRY AGENTS SENTENCED
Offieers'Pay Dearly for Violating
Prohibition Law.
NEW -YORK, Dec 4. Seven men,
including two former prohibition
enforcement agents, convicted last
week of substituting 160 barrels of
ginger ale for Canadian whisky
while the shipment was being
moved from a New York railroad
station last April, today were sen.
teuced by Federal Jud e Mack to
two years each in Atlanta peniten
tiary. The enforcement men, Harry
Meade and William Walsh, also
were fined $2000 each.
POSTAL FORCES BENEFIT
Saturday Half-Holiday Ordered
During Entire Year.
WASHINGTON, D. , C, Dec. 4.
Postmaster - General Work today
authorized postmasters throughout
the United States to grant Satur
day half-holidays to postal em
ployes during the entire year, when
ever possible without injury to the
service.
This privilege will be granted
wherever the employe, by his own
efforts, or through a situation that
may exist on' Saturday, can finish
his work earlier than the required
time.
's , Farewell Lays
Flight to Threat.
CRUMPLED PLEA IS FOUND
Husband of Slayer of Moon
shiner Comes to Defense.
FEDERAL MEN ON TRIAL
Warrant Reported Out for Greer
on White Slavery Charge Some
Time Before Shooting.
BEND, Or Dec. 4. (Special.)
"I am leaving, not of my own free
will, but at the point of a gun."
This was 'the farewell written to
her husband by Mrs. I. A. Nichols,
held in connection with the Robert
Greer killing, when she left Ellens
burg with Greer some six weeks
ago. It was the last Nichols could
learn of his wife,-despite the fact
that Pinkerton and department of
Justice men were on the trail, until
he was advised by telegraph Satur
day night that Mrs. Nichols had
shot the man she considers as her
virtual abductor.
Two notes were left by Mrs.
Nichols when she fled with Greer.
Nichols said when he arrived in
Bend today ready to assist in his
wife's defense should she face a
criminal charge. Both had appar
ently been dictated by Greer.
. . Note Found Crumpled.
Then she had apparently started
a third note, writing the single sen
tence, when she had evidently been
interrupted, the note taken from
her, crumpled and thrown into the
stove in the Nichols home in Ellens
burg. The paper had failed to burn,
however, was recovered by Nichols,
and is now in the hands of depart
ment of justice officers in Seattle.
Corroborating Nichols' statement.
Sheriff Roberta today received a
telegram from the United States de
partment of justice in Seattle stat
ing that a warrant for Greer had
previously been issued charging
him with white slavery, specifically
charg'ng taking Mrs. Nichols from
Washington into Oregon and ab
ducting her at the point of a gun.
In leaving Ellensburg Greer had
jumped a $500 bail on a moonshine
charge. He had been moonshining
at the Summit stage station when
tho quarrel occurred which ended
in Mrs. Nichols shooting him to
death.
Wife Is Visited.
Nichols visited his wife at the
Mountain View hospital this morn
ing, then retired, having . had no
sleep since Saturday night. Greer's
body was taken to Crescent this
afternoon for the inquest, which will
be conducted by Coroner Whltlock
of Klamath county. Witnesses will
be picked up at La Pine.
With a warrant waiting for her
in Klamath Falls, and the grand
jury there wa'ting to take up in
vestigation of her case, Mrs. Nichols
in custody of Sheriff Roberta and
accompanied by her husband and by
her attorney, W. P. Myers, will
leave by automobile early tomorrow
morning for Klamath Falls, starting
from the hospital here, where Mrs.
Nichols has been "a patient since
her nervous breakdown Saturday.
The four will go as far as Cres
cent, attend!ng the inquest for Greer
to be held tomorrow. frs. Nichols
will be turned over to the Klamath
county sheriff, and with her hus
band and lawyer will continue her
trip to Klamath Falls.
BROTHER LEAVES FOR BODT
J. M. Greer to Arrange for Fu
neral of Shooting Victim.
ELLENSBURG, Wash., Dec
(Special.) J. M. Greer, brother of
Robert Greer, shot to death Satur
day near Bend, Or., 1y Airs. Mabel
Nichols, both of Ellensburg, left this
morning for Bend to arrange for
burial of the slain man In Bend.
L Nichols, husband pf the woman
held in custody for the killing, has
gone to Bend to be with his wife.
Greer, 45, and Mrs. Nichols, who
but 23, left Ellensburg together
after Mrs. Nichols had left a note
indicating that she had left to com
mit suicide. Instructions were left
to have her sister in Seattle care
for their 5-year-old child. - Officers
searched several days for her body
before it was discovered that "she
and Greer had left the city together.
Greer previously had been con
victed in justice court of violation
of the prohibition law and appealed
the case a few days before his dis
appearance with Mrs. Nichols. He
was again arrested on a similar
charge, but was at liberty pending
the fixing of his bonds.
Kittitas county authorities tele
graphed throughout the northwest
for information regarding the
whereabouts of the couple without
success. Greer leaves a widow
and six children in this city, one
of whom Is married. The $500 cash
bond posted by .Greer when he ap
(Concluded oa Page 3. Column 2.)
Supposed Bumpkin Flashes Re
volver and Escapes With Lot
or Clothing and $120.
A "yokel" Bought $65 worth of
clothing and a suitcase from Max
Zuckerman, clerk in the Bialkin
clothing store at Sixth and Oak
streets last night and paid the bill
by sparing Zuckerman's life, Zuck
erman told the police.
Zuckerman said that when the
fellow entered the store he thought
he was a ."yokel," but when the
customer departed with the bill of
goods and J120 from the cash regis
ter the clerk changed his opinion.
The change came when the cus
tomer, taking advantage of a mo
ment when no one but the two were
in the store, poked a revolver In
front of Zuckerman, forced him to
open the cash register,: backed him
down the cellar and then locked
him in. '
The. holdup was not particularly
well dressed. When he entered the
store he asked first for a suit.
"Oh, something for 45, $50 or
$60," he drawled, indifferent to
petty eums.
"I thought he was a yokel. I told
him not to talk like that in stores
or someone might take advantage
of him, said Zuckermao "I sold
him a $30 suit. He bouflt a suit
case and I put the suit into it.
Then he bought shirts, socks, col
lars, shoes, etc., and I put them
into the suitcase. I had sold him
a pair of dress shoes and he said
he wanted a pair of work shoes.
When we were back in the shoe
department he pointed the revolver
at me and told me not to eay a
word. He backed me down cellar.
Then he made me come out and
open the cash register. Then he
backed me down again and locked
the door. I guess I was down there
five minutes before I could make
anyone hear me."
E. W. Fehlberg of the Montana
hotel was walking along the side
walk over the basement when he
heard Zuckerman's shouts. He un
locked the door and . Zuckerman
rushed to a telephone to call the
police. The customer, Zuckerman
said, was quite fastidious. An hour
of patient salesmanship was con
sumed in making the "sales."
SHOE STYLES WASTEFUL
Million and Half Varieties Worn
by American Women.
CLEVELAND, O., Dec 4. Women
of the United States wear more than
1,600,000 different styles of shoes.
William A. Durgin. chief of thS di
vision of simplified practice of the
department of commerce, declared
in an address here today before the
annual convention of the Shippers'
Warehouse and Distributing asso
ciation. Hundreds of thousands of dollars
would be saved, ' he said, if the
sizes and types of containers used
in packing shoes should be Teduced
to as few as possible.
INDEX OF TODAY'S NEWS
The Weather.
TODAY'S Rain; variable winds.
YESTERDAY'S Maximum temperature,
42 degrees; minimum temperature, 37
degrees.
Foreign.
Control of straits by Turk Is demanded
by Russia. Page 3.
Irish win ancient goal when constitution
passes parliament. Page 1.
lEx-King Constantino coming to America
Page 1.
National.
Mellon scouts charge that he is protect
ing rich tax-dodgers. Page 6.
Six more rmy camp builders sued for
fraud. Page 3.
Daugherty investigation Is ordered by
house. Page 2.
Congress begins regular session. Page 11.
Chief of army engineers asks congress
for funds to improve Pacific north
west waterways. Page 1.
Oregon men testify for rail nnmerger.
Pago 1.
Tiger of France reaches -capital. Page 2.
Harding may name home town banker
for federal reserve governor. Page 13.
President Harding tells congress success
of budget system rests with Its fiscal
policy. Page 20.
Domestic.
Gold world menace, says Clexnencean.
Page 1.
College professors make millions In oil.
Page 18.
Burch and Mrs. Obenchaln released on
request of district attorney. Page 6.
Loyalty of labor is derided by Ford.
Pago 20.
Pacific Northwest.
Husband, finds woman's crumpled note
temng oz aDaucuon Dy moonsntner
' Page 1.
InaueBt into death of Jacob Dahenden. In
Washington county, Oregon, leaves
murder unsolved. Page 20.
Sports.
Slki attributes victory over Carpentier
to fighting pride. Page 15.
Winged M basKetshooters will begin
'practice next Sunday. Page 14.
Multnomah dab to enlarge seating capa
city on field to 15,000. Page 14.
' Commercial and Marine.
Exchange rates in sharp upturn. Page 27.
Last week's wheat shipments season's
heaviest. Page 26.
More cars available for apple shipments.
Page 26.
Speculative railway bonds sell lower at
New York. Page 27.
Atlantio lumber dealers increase their
demand of northwest fir. Page 12.
Portland and Vicinity.
School and port budgets approved with
out cuts. Page 20.
Trade of future in rient, says Julian
Arnold. Page 17. .
Seventy restaurants are rated above 95.
Page 13.
Oregon ranks second lowest among states
In illiteracy. Page 1.
Bonus probe begun by United States
grand Jury. Page 17.
Chest solicitors facing big test now.
. Page 28. -Crowds
of women flock to The Orego-
nian's cooking .school. Page 18.
Chief Jenkins orders cleanup of city and
police department. Page 15.
Supposed yokel in clothing store proves
to be holdup man. Page 1.
Rail Divorce Held Key to
State Development.
MORE CONSTRUCTION ASKED
H. H. Corey Pleads for Open
. Competition in State. 4
NEEDED LINKS ARE CITED
3. E. Shelton, Eugene, Questioned
at Hearing on Newspaper's j
Attitude on Separation.
THE OREGONIAN NEWS BTJ-
REAU, Washington, D. C Dec 4.
(Special.) Several Oregon wit
nesses were heard today In favor
ofhe dismemberment of the South
ern Pacific and Central Pacific rail
roads In the unmerger hearings be
fore the interstate commerce com
mission. H. H. Corey, members of the Ore
gon public service commission; J. S.
Magladry, lumberman; Bruce B.
Brundage, banker; J. E. Shelton,
businsss manager and part owner
of the Euge ie Guard, and E. C. Sim
mons, Ford dealer, the last four of
Eugene: William Pollman, banker
and stock man of Baker, and J. K.
Beckley, stock man of Chiloquin,
gave testimony favoring dismem
berment. The appearance of Mr. Shelton on
the witness stand caused the at
torney for the Southern Pacific
Fred H. Wood, to renew his attack
started earlier in the day, on the
method of campaign conducted by
the Union Pacific railroad for the
separation of the Southern Pacifia
and Central Pacific lines.
Mr. Shelton Questioned.
Attorney Wood sought to show by
questions directed " at Mr. Shelton
that the Eugene Guard had changed
its editorial policy on the dismem
berment controversy almost concur
rent with the publication of a two-
page advertisement inserted in that
paper by Arthur C. Spencer, general
counsel for the Oregon-Washington
Railroad & Navigation company, a
subsidiary of the Union Pacific.
' Mr. Shelton said frankly that he
had become active in circulating pe
titions in Eugene in favor of the
dismemberment In September and
admitted that he had talked the mat
ter over with the editor of the
Guard, Charles H. Fisher, after tha
latter had run editorials favorable
to the retention of the present re
lationship between the Southern Pa
cific and Central Pacific. The South
ern Pacific attorney, it was obvious,
was undertaking to show that the
Guard's policy was altered by pres
sure from the business office, which
received valuable advertising pat-,
ronage from the Union Pacific rail
road. Mr. Shelton and other Eu
gene 'witnesses were examined on
their direct testimony by Charles
A. Hardy, Eugene lawyer.
On dtre'ct examination Mr. Shel
ton said . his object, like) that of
other business men of Eugene, had
been to set up competition through
the dismemberment of the Southern
Pacific and Central Pacif io and to
bring about the building of the lines
in central Oregon essential to the
state's development.'
Union Pacific Bnya Space.
Several witnesses for dismember
ment admitted during the morning1
that the Union Pacific Railroad com
pany had paid for large display
vertlsementa Inserted In newspapers
along the lines of the Southern P-
cific and the Central Pacific, which
purported to be the voluntary peti
tions of local committees for a
separation of the two roads.
Mr. Corey, testifying for the pub
lic service commission, said the com
mission's position was that it de
sired the dismemberment of the
Southern and Central Pacific as .the
best means of securing long-needed
railroad development in eastern
Oregon to Include the Natron cut
off, to be constructed by the Central
Pacific and to be ' operated as a
common user between Klamath Falls
and Eugene to give eastern Oregon
a connection with the Willamette
valley. The direct examination of
Mr. Corey was conducted by J. M.
Devers, assistant attorney-general
of Oregon.
Development Required Links.
Mr. Corey told of the enormous
timber resources of Oregon and how,
in the opinion of the commission,
their development depended upon,
the completion of B&veral missing
lines of railroad' in eastern Oregon.
The lines necessary to be con
structed he said Included: Central
Pacific from Kirk to Oakridge
(Natron cut-off); a line from Crane
to Odell on the Natron cut-off ; aline
from Bend to Odell and another line
from Lakeview to Klamath Falls.
In connection with this testimony
a resolution of the Oregon state
chamber of commerce Indorsing the
position of the state public" service
commission was placed in the record.
Open Competition Desired
"In the Judgment and opinion of
the public service commission," Mr;
Corey said, "the interests and wel
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