' rilE SUSPAY OREGOXIAX, PORTLAND, OCTOBER 31, 1909. 5
audi
wildcat -Bankers
UNDER INDICTMENT
Grand Jury Returns True Bills
Against Officials of Oregon
Trust & Savings Bank.
LOWITT IS ALSO ACCUSED
Manager of Golden Eagle Included
in Llt of Alleged iCmbezzlcrs.
All Furnish Bonds, Though
Cashier Morris Has Trouble.
Arrairninsr the various business "deals"
and other manipulations carried on In
the wrei-lipd Oreson Trust Savings
Bank as shameless larceny and attribut
ing to the otflcials or tne institution caso
hardened" consciences, the erand jury
N.niiara ttm flrini Tfnnrt unon the investi
gation of the bank wreck yesterday
afternoon and accompamea us atnuncn
tion of the bank's officials with wholesale
indictments.
W. Cooper Morris, ex-cashier, was In
riWnt nn 1? counts: Waiter H. Moore,
ex-president, 'on 11 counts, while Klmer
Lytle. Leo FTiede and Henry a. jiuuic,
directors, were each indicted on six counts.
In addition to these bank officials, Gus
Lowit. who was formerly president of
the Golden Easle Dry Goods Company,
was indicted. The charges Involved are
receiving funds in a bank knowing same
to. be insolvent, embezzlement and lar
ceny by embezzlement.
Bench warrants were Issued by Judge
Earl C. Bronaugh immediately and soon
after the Jury had made its return several
of the indicted bankers surrendered them
selves in the courtroom and were released
as soon as the papers for their bonds
could be arranged. Gus Lowit has not
yet been arrested. He is In Denver.
Colo., and news that he has been taken
into custody is hourly expected in Sheriff
Stevens' office, the Denver authorities
having been requested to arrest him.
Heavy Bonds Kequlred.
The bonds required from the various
indicted officials, the amounts of which
were set by Judge Bronaugh upon the
recommendation of District Attorney
Cameron, are as follows: W. Cooper Mor
ris. $38,500: Walter H. Moore. JSi.500; Gus
Lowit. HO.OC-O; Leo Friede. JGuOO: Henry A.
Moore. SfiuOO; Elmer E. Lytle. ISuOO. All
the indicted men in Portland appeared at
the Courthouse except Mr. Lytle, who
for some unknown reason was neither
present nor represented by counsel.
Walter H. Moore and his brother, Henry
A. Moore, and Leo Friede had little dif
ficulty in arranging their bonds, which
were supplied immediately, approved by
Judge Bronaugh. and they were allowed
to go without having been taken into
custody except for the formality of read
ing the warrant to them inside the court
room. Mr. Morris, however, experienced
some difficulty in arranging bondsmen. A
number of friends who had rallied to his
upport hustled about in the rain for
several hours to get bond while Mr.
Morris was detained at the County Jail.
After waiting until nearly 7 o'clock las;
night Judge Bronaugh left. At this time
Morris had secured J26.00O of his bond.
The Judge returned again at 9:30 o'clock,
when the remainder of the bond, amount
ing to 112.500. was secured after vigorous
skinnishiMT. Of this. John A. Jennings
furnished J5000 and J. W. Hurley f7rt.
I. tie "ot Served.
As all the directors were out on
$5000 bonds, given when first arrested
and arraigned in Municipal Court, the
failure of Mr. l.ytle to appear and cause
his bondsmen to requalify is not re
garded as significant. Mr. Lytle was at
his home last night, and said the rea
son he had not appeared 'was that he
had not been served with any papers,
inquiry at the Sheriffs office brought
out the fact that some one in the court
had overlooked requesting the service
of the bench warrant for Mr. Lytle, as
this document had not been sent to the
Sheriffs office.
True bills were found In each case.
Mr. Moore and Mr. Morris are charged
with feloniously embezzling and fraud
ulently converting to their own use the
$32,000 used ' in the Board of Trade
deal: with larceny' by embezzlement of
$80,734.74 In the Pacific & Eastern Kail
road deal; with larceny by embezzle
ment of $75,000 of their personal notes,
and of the $50,000 which mysteriously
disappeared; with embezzlement of the
money allowed the Golden Eagle Dry
Goods Company on overdrafts; with
willfully, maliciously and feloniously
injuring, mutilating and destroying the
personal property of the bank in the
case of the notes made by the Golden
Eagle Dry Goods Company, aggregating
$S6, 638.04. the names ef the makers of
which were torn off.
Mr. Morris is' indicted Individually
for the larceny by embezzlement of
$42,000 sunk into the rapacious financial
maw of the insolvent Order of Wash
ington. Gus Lowit was Indicted joint-'
ly with Mr. Moore and Mr. Morris for
embezzlement of the thousands of dol
lars taken from the bank for the
Golden Eagle. In the cases of the
counts on the charge of having unlaw
fully received deposits In an insolvent
bank, the names of six depositors are
cited. Each deposited in the bank on
August 17, 1907. Their names and the
amounts of their deposits are: Abe
Henkle, $2000; Tom Paulous, $180; Min
nie -Mltchel, $220; Marie Veal. $150;
Gusta Rogers, $310, and Harry H. Bean,
$18.
Pitiful Cases Kecalled.
Two pitiful cases among these are
pointed out in those of Minnie Mltchel
and Harry H. Bean. Miss Mitchel was
a cTlpple, who was wheeled Into the
bank at 4:'30 o'clock in the afternoon,
after the bank had closed. She had a
draft on a bank in Butte, Mont., for
$250 all the money. she possessed. She
had been 'recommended to the Oregon
a drust clerk, now employed at Wood
ard, Clarke & Co. Mr. Watts, who had
known the invalid woman in Montana,
took pity upon her unprotected condi
tion here, and. thinking the Oregon
Trust & Savings Bank one of the best
institutions at the time, telephoned to
the bank after it had closed and asked
if they would receive any more money.
Miss Mitchel received $30 in cash and
deposited the balance.
The case of Harry Bean, an old and
poor veteran of the Civil War, aroused
much sentiment among the grand jury
at the time It was brought up. Bean
had received bis pension by check, and
went to the bank to get It cashed.
After he had arrived at the bank he
thought perhaps it would be safer to
deposit it. and they took it, assuring
him that theirs was an admirable place
, to put it. Tom Paulous is the proprie
tor of a small restaurant. Mrs. Veal
and Miss Rogers are both residents of
this city.
It was after 3 o'clock when the Jury
left the office of District Attorney Cam
eron, where Its chamber is located, and
walked up to the Circuit Court. Judge
Eronaugh, Presiding Judge of the Cir
cuit Court, received the report of the
Jury and looked over the indictments.
After reading the recommendations, he
discharged the Jurymen. Before he did
this, however, he complimented the
Jury upon its work performed and its
attention to duty., "I wish to thank all
of you, gentlemen, for the manner in
which you have discharged your duty,"
were Judge Bronaugh's words. "I
know of no higher honor nor no more
Important duty than at times fall to
the lot of the grand Jury. The welfare
of the community is largely in the
hands of the men who are selected to
comprise this Jury, and by their acts
and decisions the. public had much at
stake. I wish' to thank you again for
the close attention, interest and con
scientiousness shown in this investiga
tion." Leo Friede's bondsmen were Henry
Hahn and M. Baruh. who are associated
with Mr. Friede in the firm of Wadhams
& Co.. wholesale grocers, corner of
Fourth and Oak streets. Bond for the
two Moores was supplied hy Charles
Hilton, ex-State Senator; H. Gersen.
cigar manufacturer, corner of Sixth and
Everett streets; B. F. Allen, president
H. W. Wells, lumber and cattla dealer,
I. afayette building: J. B. Laber, lumber
dealer. Lafayette building: C. K. Coch
rane, real estate dealer, Corbett build
ing, and S. S. Hayes, a capitalist of this
city.
Personnel of 'Hondsmen.
Those who supplied bonds for Mr. Mor
ris were: John F. Shorey, president of
the City Messenger Company and presi
dent of the National LivestocK Associa
tion; Arthur L. Finlty. of J. P. Finley
& Son. funeral directors: Clayton Fallas
saloonkeeper. Mascot Saloon, corner of
Seventh and Morrison street, and Thad
T. Sweek. a stock broker, brother of At
torney Alex Sweek. Alex Sweek is one
of Mr. Morris attorneys.
The case against the directors brought
In Municipal Court will not be dropped.
The Information which had been filed at
the. time was merely a precautionary
move on the part of the Prosecuting At
torney to prevent Mr. Morris' return to
Tacoma, Wash., taking him outsiae tnis
state, and to hold them under bonds
until after the? final return had been made
by the grand Jury and opportunity had
been afforded to rearrest them. Tester
day's action was the preliminary step
In the case.
Within a week they will be arraigned in
Circuit Court and dates set for their
trials. No statement has been given out
by any of the defendants. It has been
intimated repeatedly that one would be
made as soon as it became known what
charges they would have to face. Mr.
Morris said last night that in case his
attorneys would permit him, he would
make a statement throwing some light
upon the. transactions In which he is
charged with crookedness.
What will be the outcome of the search
for Lowit is being speculated upon by
the deputies in Sheriff Stevens' office.
Advance Information to the effect that
Lowit would be indicted and that his
apprehension was t immediately desired
was sent to the Sheriff's office yesterday
several hours before the jury returned
the indictments, with the hope that the
authorities in Denver might receive the
message and apprehend the man before
nightfall.
Ixro-it Xot Tet Found.
One telegram was sent at 12 o'clock
noon and another in a couple of hours
and then a third, worded in very strong
language, was sent before 6 o'clock last
night, urging Lowit's arrest. Up to a
late hour no reply had been received at
the Sheriff's office from Denver and some
doubt is now entertained about Lowit's
presence In Denver yesterday. The in
tention was kept a very closely guarded
secret until yesterday and It is thought
no one would have bad an opportunity to
inform him. He submitted to arrest once
before and was brought back to this city
In connection with the affairs of the
Golden Eagle. His indictment came as
considerable surprise to his friends and
to the officials of the bank indicted with
him.
In addition to its report on the Oregon
Trust & Savings Bank the Jury draws
attention to alleged cruelty meted out to
patients at the Crystal Springs Sanitarium
and recommends that It be placed under
public official surveillance. -
ONWARD MARCH OF
PORTLAND STEADY
Building, Banking and Postal
Receipts for October Set
New High Marks. .
BIG PROJECTS HELP STATE
GILLESPIE ASKS INVESTIGATION
Says Grand Jury Has Done Him In
justice In Report.
Dr. R. L. Gillespie, of the Crystal
Springs Sanitarium said last night he
thinks the grand jury has done his Insti
tution an Injustice in making its report
without giving the charges made any In
vestigation whatever. He says it has
taken for granted the statements of a
discharged patient, who is a self-confessed
degenerate, and who recently
wrote letters commending in the most
exuberant terms, the kindness of the
treatment he had received at the hands
of attendants and officials of the institu
tion.
Dr. Gillespie, through his attorneys
Carey & Kerr, notified the office of the
District Attorney that he would be
pleased to have the grand Jury at any
time. Investigate the institution from top
to bottom. This Invitation applies to any
later grand Jury, which may wish to in
vestigate the charges that have been
made.
Dr. Gillespie agrees with the grand
Jury that it would be a good thing for
the Legislature to enact a law as sug
gested, which would have all private in
stitutions for the insane Inspected by
competent neurologists. In the case of
the Crystal Springs sanitarium, How
ever, this is done frequently by officials
of the United States Government, who
look carefully after the, treatment ac
corded their wards who are kept in this
institution.
SUIT FOR $25,000 IS FILED
Crystal Springs Sanatorium Sued by
. Former Inmate.
Suit for $26,000 damages for personal
injuries was filed against the Crystal
Springs Sanatorium In the State Circuit
Court yesterday by Louis Turjon, a
former inmate of the place, who alleges
that he was beaten half to death and
frequently maltreated while in the Sana
torium. Turjon recites a long list of
brutalities. Once ho was taken into a
bathroom by brutal attendants and
severely beaten and f kicked, he says.
Another time, he declares, he was
strapped down and pummeled until the
blood ran from his noes and moutn. as
a result of frequent chokings he has par
tially lost control of his voice. It Is set up.
By reason of the suffering that ensued
from the alleged brutal treatment at the
hands of hired attendants, Turjon con
tends that he is entitled to an award of
$20,000. Dr. Henry Waldo Coe, Dr. R. L.
Gillespie and R. M. Tuttle are named as
the owners aid proprietors of the institution.
Ttrjon '.e one of several former patients
of the place to complain of gross brutal
ity and incompetence In the conduct of
the Sanatorium, which is a retreat for f
Insane people and sufferers from nervous
disorders.
Year Will Be Best in City's History
and Business Men Predict
Growth and Prosperity Will
Know Xo Lull.
(Continued From First Page.)
yereoatfi
BACK TO JfATTRE.
Nature' supplies a remedy for most
diseases, and when such a remedy Is
found it should be used. Oregon Herbs
(a tea) is a combination of herbs Dre-
scrlbed by nature for kidney and blad
der diseases, and should be used as
nature intended her medicines to be
used, namely as a tea. No alcohol to
Irritate, no pills to dissolve and punish
the system. Just a good old-fashioned
tea. easily prepared and easily taken.
All dealers should hav it. Price 60c.
provement of buildings, aggregating?
$1,711,675, were Issued from the office
of. the Building' Inspector during: Octo
ber, or more than double the amount f
these permits granted in the same
month last year, when the total was
only $829,755. The previous high rec
ords in building permits in the history
of the city was reached last April when
these permits aggregated $1,651,195.
This record furnishes Irrefutable proof
of the continued growth of Portland.
While the activity in building opera
tions has continued ever since the
Lewis and Clark Exposition In 1905, few
citizens, who had become accustomed
to the wholesale erection of business
blocks and residences In the city, sus
pected that the record for the month
Just ended over-stepped former records.
Property Also Active.
While the aggregate of considerations
represented in the transfer of real es
tate for the month fell slightly below
the record for the same month in 1908,
the actual value of the property chang
ing hands exceeded that of the corres
ponding month a year ago by approxi
mately $1,000,000. This is explainable
from the fact- that the consideration
named In the deed, by which the Ladd
estate sold Laurelhurst, and-which was
filed during the month, was only $100.
The consideration for which this prop
erty was sold was $1,300,000. As it is,
the records show that the aggregate of
real estate transfers for October, 1908.
was $2,446.1-84. as against $2,362,205
for the same month this year.
For the reason that another day's
sales are to be accounted for. Post
master Young yesterday was unable to
announce the total receipts from stamp
sales for the month. Receipts from the
same source during October, 1908,
reached a total of $57,809.12. The rec
ord for the same month this year will
exceed that amount by not less than
10 per cent. It is estimated by Post
master Toung that the total receipts
from stamp sales for the 12 months
ending June 30 next, will be not less
than $750,000 as against about $680,000
for the year ending June 30 last.
Puget Sonnd Ports Beaten.
In the exportation of grain, the rec
ords for the month of October show
that Portland leads all Puget Sound
ports by a comfortable margin. Re
duced to a' bushel basis, these ship
ments from Portland during October
were: Wheat. 1,910.998 bushels; flqur,
175,288; barley, 121,891. This makes , a
total of 2,208,177 bushels, representing
a value of $2,044,614, as against 2.188,928
bushels from Puget Sound ports. In
creased shipments from the Sound
points for the month are due in a large
measure to the burning of the plant of
the Portland Flouring Mills Company
which necessitated forwarding one'
large cargo of flour from the Puget
Sound cities. Shipments, foreign, of the
same products from Portland for Octo
ber, 1908. aggregated 2.157,682 bushels,
of the value of $1,878,270.
Coastwise shipments of grain from
Portland to California for last month
were: Wheat, 397.677 bushels; flour,
14.426 barrels. From Puget Sound,
wheat, 367.320 bushels: flour 30.422
barrels. During the month ending to
day, lumber shipments, foreign, from
this port, aggregated 9,670,618 feet.
value $107,034. In the same month the
coastwise shipments of the same pro
duct amounted to 10,154,000 feet.
Heavy Exports to Continue.
In grain shipments from Portland,
the record for November Is certain far
to eclipse that of the same month a
year ago when approximately 750,000
bushels were forwarded from this port.
Steam tonnage will enter largely Into
next month's shipments and will carry
approximately 1,000,000 bushels from
this city, while the sail tonnage, al
ready chartered will add another
1,000,000 bushels to next month's ship
ments from this port.
Approximately $2,000,000 win he ex
pended by the City of Portland during
the-, year 1910, as indicated by Mayor
Slmon'a budget, now under considera
tion by the ways and means committee
of the City Council. However, tire mu
nicipal tax levy for next year will be
only 6 mills, as compared with 6.E mills
for 1909, the Mayor having decided that
every department can be properly con
ducted by the revenue raised from auch
levy.
Aside from the expenses of operating
the city, which Include all department
work, salaries and maintenance, pur
chase of new equipment for the various
branches of the government and Inci
dental Expenses, several large projects
are to be undertaken, which will total
large amounts. Among these are the
Broadway high bridge, to cost approxi
mately $1,250,000; the Madison-street
bridge, now in progress, to cost $450,
000; the garbage crematory, to cost ap
proximately $100,000, and improvement
of the park and boulevard system.
which will run into many thousands of
dollars.
City to Be Beautified. -Mayor
Simon is planning a systematic
campaign for a city beautiful, and Is
bringing together the various forces at
his command to push forward hard-
surface pavements on a large scale. He
is also arranging, through the proper
committees, to have these pavements
well cleaned dally, he having recom
mended In his budget the employment
of additional men and the purchase of
extra equipment for the street-cleaning
department.
Several new fire department stations
are to be built, and the police depart
ment will be installed In the new Mult
nomah County Courthouse, this seeming
to be the best solution of the problem
in that respect. It will effect a large
saving to the taxpayers.
There Is also the great expenditure
to be made by the Water Board, under
the direction of the Mayor, in Installing
a second pipeline to Bull Run. augment
ing the water supply. This will cost In
the neighborhood of $1,500,000. There
is an appropriation of $3,000,000 for the
purpose, however,, but It is expected
that it will not cost so much as that.
The Board of Education, although not
a part of the city government, operates
within the citV limits. It will spend
more than $1,000,000, it is expected, as
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The trained t6uch of the
Master Tailor is shown in
every stitch and' hem of
every garment we sell.
They will give you more
clothes comfort and satis
faction than youvever
dreamed possible in ready-to-wear
clothes.
Modestly Priced
$15 to $40
Boys' Overcoats
$5 tO $15 :
Boys' Rubber Capes
S2
qipif if iTjw;
LEADING
CLOTHIER
the expenses of operation, maintenance
and construction of new buildings are
immense.
Business Men Optimistic.
Satisfied with the remarkable record
which has been attained, representa
tives of every class of business in this
..(.. --a ,nnv)n,rt that Portland is con
fronted with an era which promises in
creased activity in an lines oi Dusinesu.
There is every indication, they unani
mously agree, that this year's record
Line -voIiittia fit business will not
only be equaled, but surpassed, in 1910.
jjiscusslng this subject, men promi
nently identified with various phases of
the city's, commercial life yesterday
said:
O. E. Heintz, president of the Manufac
turers' Association and proprietor of the
Pacific Iron Works Business conditions
in Oregon, and in fact the entire North
west, show a marked improvement over
conditions existing at any time for the
past two years. Good crops everywhere,
with high prices, and the extraordinary
Immigration from other sections of the
country to the Pacific .Northwest, have
combined to make this season an un
usually good one for the manufacturers
of the Pacific Northwest. The general
prosperity of the entire country has
loosened the purse strings and Eastern
capitalists are sending millions of dollars
into this region for investment and im
provement purposes.
The wonderful development of Portland
has resulted in a tremendous call on the
Iron and steel works of the city. The
erection of skyscrapers, warehouses and
large buildings of all classes has forced
the manufacturers of all sorts of build
ing materials to their utmost endeavor
to keep abreast o orders. Nothing better
Indicates the general prosperity of any
community than the volume of building,
and Portland at this time is making a
wonderful showing in this and other di
rections. The prosperity not only Is reflected in
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For sale at all drug stores at 50 cents
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my line, but on all others. The member
ship of the Manufacturers' Association
includes every line of manufacturing in
dustry and without exception our mem
bers report an unsually heavy demand,
even for this season of the year, when
business in most lines generally Is good.
I look for even better conditions in
Portland for 1910. 'The development of
the country is in its inception, and, unless
something unforeseen happens, next year
Bhould prove to be the best year Port
land and the Pacific Northwest ever has
had. Old-established manufacturers are
improving their plants and making bet
terments in order properly to care for
the heavy prospective business, 'and new
establishments are coming to the city
to "get in on the ground floor," as It
were, of the upbuilding of the city and
tributary territory. ,
E. "W. Wright, manager Merchants'
Exchange Both in volume and value
of business handled, all previous ship
ping records for the month of October
were broken in the month ending to
morrow. Up to the close of business
tonight, 146 vessels entered and cleared
at Portland in October. These vessels
carried outward more than 28.000.000
feet of lumber, 2.308,676 bushels of
wheat, 121,891 bushels of barley and
53,629 barrels of flour. This is more
than 200,000 bushels in excess .of the
wheat shipments for October, 1908, and
is nearly 600,000 bushels more than in
any corresponding month prior to Oc
tober, 1908.
'Gain in Lumber Greater.
In lumber shipments an even greater
gain is shown, foreign exports alone
this month being nearly equal to the
10,000,000 feet sent coastwise and for
eign in October, 1908, while the coast
wise shipments this month were more
than 18,000,000 feet. The destruction
of the Portland Flouring Mills, which
necessitated diverting a regular Ori
ental liner to Puget Sound, cut down
the flour shipments of the month more
than 40,000 barrels, but, including on a
wheat basis the flour which did go for
ward, there was shipped from Portland
during the month 2.550,000 bushels. An
especially gratifying - feature of the
coastwise traffic was the heavy in
crease in inward cargoes, nearly all. of
the coasters coming for lumber bring
ing full or part cargoes of miscellane
ous freight. Tonnage under charter or ,
available for grain and lumber loading
in November is sufficient to bring ship
"ments for next month up to even
greater proportions than those of Octo
ber. Crops Bring Good Prices. .
Henry Hahn. president Wadhams &
Co. Business is in a healthy condition.
Crops of all kinds, especially grain and
hops, are bringing good prices. The I
market price for sheep and hogs Is
good. In fact, it is only as to cattle
that the market is not what it might
be This is due, of course, to the dis
position of farmers at this season of
the year to unload their cattle onto the
market rather than to keep them
through the Winter. With this single
exception, top prices are being paid the
producer for everything. All lines of
business are good and there is not the
slightest reason why the present satis
factory conditions should not continue
with the possibility of a further im
provement. Charles B. Merrick, secretary Retail
Grocers' Association The Jobbers of
this city never did a larger business
than they are now enjoying. When the '
wholesalers prosper It follows' that the
retailer naturally is sharing that pros
perity. There is every indication of
prosperous conditions among the re
tailers. Collections are good, while the
volume of business generally has in
creased at an astonishing rate. In the
last year our association has gained 100
members, and in the same time has lost
very few. With the high prices that
are being paid the producer for every
thing he has and the general feeling
of prosperity, retailers regard the out
look exceedingly bright for present
conditions to continue during the re
mainder of the year, with even better
things to hope for next year. I
Germany ha .pent more for aviation
than any other fjnvernment.
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you can buy clothes very cheaply but with wool
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clothes, and look it. Our clothes are not cheap.
They are made for you as an American gentleman
with self-respect for his personal appearance. They
fit, they have dignity and style, they are thoroughly
well made.
Try them on in our store before our glass.
Suits, Overcoats and Cravenettes
$20.00 to $50.00
Washington at Fifth