Section One
Pages 1 to 16
74 Pages
rv.
Six Sections
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.. ttat cnvn A V irnRTPr. FKRRTTARY 7. 1915. IMIICE FIVE CENTS.
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BRITON FLIES OLD
American Flag Used in
Irish Sea. .
VOYAGE MADE FULL SPEED
Passengers Tell of Lusitania's
Ruse to Avoid Foe.
CAPTAIN JUSTIFIES ACT
Washington Stato .Department Ex
amines Laws and Precedents,
Finding That Misuse or Stars
I- and Stripes Is Not Illegal.
LONDON". Feb. 6. The British
teamer Lusitania, of the Conard line,
-which sailed from New York January
SO and arrived at Liverpool today, flew
the American flag from the time she
passed Queenstown until she entered
the Mersey. This 1 vouched for by
.American passengers who crossed on
her.
According to a statement by Will
Jrwin. an American writer, the Lusi-t.-inia
carried the regulation large
American flag at her stern, -with a
small American flag and mail pennant
at the forepeak.
Fact Accepted by All On Board.
Ex-United States Senator Young, an
other passenger, while he did not per
sonally see the flag flying, said it was
accepted as a fact by all on board.
The Lusitania received a wireless
message from the Baltic, of the White
Star line, that two submarines had
"been sighted from that vessel.
The captain of the Lusitania, in reply
to a question of one of the passengers,
declared that he had a right to fly the
Jlag of a neutral country for the pro
tection of neutral passengers and mails
which his ship was carrying.
Yoyajce Made Full Speed.
After being delayed by heavy storms,
which raised seas deck-high and in
jured 11 passengers, the Lusitania ar
rived off Queenstown late yesterday,
the cruised oft the Irish port for two
hours, and without picking up a pilot,
as Is usually done, proceeded for Liver
pool at full speed, arriving at the
Mersey channel at daybreak, with the
Stars and Stripes still flying.
The British merchant shipping act
passed in 1S94 contains the following
paragraph:
'If a person uses the British flag
and assumes the British national char
acter on board a ship owned in whole
or in part by persons unqualified to
own a British ship, for the purpose of
making the ship appear to be British,
the ship shall be subject to forfeiture
under this act, unless the assumption
has been made "for the purpose of es
caping capture by the enemy or by a
foreign ship of war in the exercise of
some belligerent right."
MAC'S MISUSE NOT FORBIDDEN
Mate Department Kinds Ruling by
Secretary Evarts in 1879.
WASHINGTON. Feb. 6. Federal of
ficials examined United States statutes
tonight, following the report from
l.omlon that the Lusitania went into
-port flying the American flag, to see
what provisions are set down for such
rases. They found that there is no
law prohibiting the misuse of the
American flag by foreign vessels,
though the Department of State has in
the past ordered its Consuls always to
(Concluded on Page 5.)
GLORY I
N WAR ZONE
CGEE I Got
AfOrt&Y S -A OfZUCr
NOTE WRITTEN ON
WARLIKE PAPER
CHINESE BKAW SINISTER CON
CLUSION FROM WATERMARK.
Warship and Cannon in Under
ground of Japanese Demands lor
New Leases, More Open Ports.
PEKIN. Feb. 7. A newspaper article
by Liang Chi-Chiao, ex-Minister oi
in th r-hinese cabinet, emphasizes
the statement that the paper on which
the Japanese demands upon Liima
written is watermarked with warships
anH cannon
It is said from a source which is
nnnsir.H reiiahiA that the outline of
the Japanese demands, which appeared
in the Tokio newspaper. Asani snim
Dun, in a special edition, which was
promptly suppressed. Is correct. Re
garding these demands, the Asalii
Shimbun said:
"Japan asks China to solve the Man
churian and Mongolian questions by
of the lease of the Port
Arthur, Darien & Scuth Manchuria
Raiiwav zone to 99 vears. and by grant
ing to Japanese the right of residence
and land ownership in Mongolia and
Manchuria, and to solve the Shan-Tung
question by transferring to Japan the
concessions hitherto held by Germany.
Japan also asks for the opening of ira-rwti-tant
cities through the country as
treaty ports and the opening of various
rivers to foreign navigation. She asks
also railway concessions.
Japan declared her sphere of influ
ence over Inner Mongolia three years
ntrn thrrcbv offsetting the Russian
recognition of the autonomy of Outer
Mongolia. Chinese of high oinciai ranK
HMcired that the Japanese demands in
cluded a participation in the policing
and general administration or the country-
and concessions conflicting with
those of other nations. Including Great
Britain.
RUSSIANS CHANGE TACTICS
Night Attacks in Carpathians New
Order In Fighting.
VENICE, via London. Feb. 6. A tel
egram from Budapest says that the
Russians appear to have changed their
tactics. Contrary to their usual cus
tom, they are now making night at
tacks, it is said.
They made three desperate attempts
one night to force the Austro-Hun-garian
front and break through Dukla
Pass in the Carpathians.
The Russians have collected large
forces there with the object of panalya
iitr the Austrian offensive. Severe
fighting is in progress, but the opera
tions are Impeded Dy snow.
ISLAND TO BE THEATER
Pjthians Will Produce Play Willi
Crater Lake Scenic Surrounding.
ALBANY, Or.. Feb. 6. (Special.)
Dn the Island In Crater Lake this Sum
mer "The Lesson of Friendship." based
on the story of Damon and Pythias,
will be presented by members of the
order of Knights of Pythias.
Th Mndford lodge will be the hosts
and the lodges of Grants Pass, Ashland
and Klamath Falls are planning to at
tend. Many officers of the Grand
tjxrisro of Oresron are expected, with
scores of members from various parts
of the state.
NEW MONOPOLIES FAVORED
Russian Control of Matches, Tea, Oil,
Tobacco and Insurance in Sight.
pETnnr.RAD. via London. Feb. 6.
The ways and means committee of the
Duma unanimously recommended toaay
that the government declare a monop
oly on tea. tobacco, oil, matches and
insurance of all kinds.
The recommendation virtually assures
the passage of the bill by the Duma,
it is said.
Ashland Dogcatcher Disappears.
ASHLAND. Or.. Feb. 6. (Special.)
Bill Cook, municipal dogcatcher, has
disappeared, fook U about 25 years
old and slightly deaf.
CARTOONIST REYNOLDS
-Tl
OA W"
ii yeas -iTxw rrretrj- it v a .cpn ioziaw i - n. vrovww i i i i - .
WHEAT PRICE IS
DOUBLED BL1R
Traded Say Farmers
Have Reaped Profit.
WINNINGS WIDELY DIVIDED
Quotation 87 Cents in July,
Recently Around $1.70.
MANY ARE WAITING FOR $2
Growers as Well as Speculators Op
timistic, but See Possibility of
Drop if Allies Should Open
Passage of Dardanelles.
CHICAGO, Feb. 6. (Special.) In the
six months since the war began the
price of wheat has about doubled on
the Chicago Board of Trade. The nw
point for cash grain last Summer was
around 87 cents. In the last week the
prije has varied between J1.55 and
$1.70.
Not all the wheat has brought the
top price. Millions of bushels were
shipped to Europe months ago, more
millions were ground into flour, and
that process has gone steadily on while
the price of the grain has moved up
ward. Many Have Been Enriched.
Still there are many millions of bush
els left and wheat in the bin today is
worth almost twice what it was six
months ago. The rise from 87 cents
has enriched a great many.
Who has made all the money?
The best informed men at the Board
of Trade say the American farmer has
reaped the richest profit. Some of the
farmers assert that the "gamblers at
the Board of Trade" have benefited
most and there are wild stories afloat
about the fabulous winnings of a lot
of Wall-street speculators who have
been active in the Chicago market.
Traders "frightened Out. -
It is true that both Wall street and
tbe Board of Trade have made money
out of the rise in the price of wheat
In the aggregate the farmer's profits
are believed to have far outrun all that
the speculators have made. For the
farmers have lost nothing by the ad
vance and many a speculator has.
Some of the biggest traders were
frightened from the market before the
wheat passed $1.60 a bushel and they
failed to get the real cream of the
rise.
James A. Patten says he has had no
wheat since the price left $1.40, but he
had a lot before it got there and his
profits have been estimated from $250,
000 to $1,000,000.
Armour's Fronts Large.
J. Ogden Armour has been a bull on
wheat since the war began. Estimates
of his proflts are futile, but when he
trades it is usually on the large scale
his enormous wealth makes possible.
C w". Partrige, brother of the cele
wrtaA "jr. in renorted to have cleaned
up $250,000 before wheat reached $1.50.
Around the Board are many men who
have won from $50,000 to $150,000. and
numerous small fry are reported to
have picked up from $20,000 to $50,000.
Advance has brought the usual stories
of "pikers" running "shoestrings" up to
$20,000 and $25,000.
Wall Street In Market Early.
Wall street got into the market early,
and, being closer to the export buyers
than Chicago, has been consistently
bullish.
Foreign speculators are believed to
have made large . winnings also, but
their deals, like those of the Wall-street
crowd, have been handled over private
(Concluded on Pape 2.)
ONCE AGAIN CARTOONS SOME OUTSTANDING EVENTS IN THE NEWS OF A LIVELY WEEK.
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INDEX OF TODAY'S NEWS
The Weather.
YESTERDAY'S Maximum temperature, 52
degreea; minimum, -42.6 degrees.
TODAY'S Probably occasional rain; south
east wind.
War.
Old culture burled in ruins of Dixmude,
still under incessant fire of heavy suns.
Section 1. page 1.
British liner Lusitania files American flag
while crossing Irish Sea at full speed.
Section 1, page 1.
German governor of Belgium admits people
live in hope of liberation. Section 1,
page U.
Petrograd believes Germans and Austrlans
have inaugurated tremendous offensive
movement in Poland. Section 1, page 0.
Germans Issue official statement Justifying
anion in declaring war zone. Section 1.
page 5.
Mexico. .
Carrania's effort to remove capital to Vera
Cruz causes anxiety in Washington. Sec
tion 1, page o..
Legislatures.
House has disposed of three big Issues and
has four on calendar for tins week. Sec
tion 1. page 1.
Oregon legislators pass 30 acts In 27 days.
Section 1, page 1. '
Appropriation bills pending, including those
approved by Joint committee, amount to
-.:i.0(tt,Su4 Section 1, page 10.
Wets undaunted by passage of prohibition
bill in house. Section 1, page 10.
Wets plan tax on liquor to pay for special
Washington election. Section I. page 11.
Senate to have busy week in considering im
portant measures. Section 1, page 11.
Idaho House passes $800,000 appropriation
bill for state schools. Section 1, page .
Foreign.
Japanese note to China written on paper
water-marked with warships and cannen.
Section L. page 1.
"National.
Plan agreed on to extend clearing-house
functions of. reserve banks. Section 1.
Page 2.
fnique international question involved in
Vnlted States' aid to wrecked Japanese
cruiser. Section 1, page 2.
German war zone proclamation makes I ex
ception of route north of Shetland
Islands. Section 1, page 5.
Domestic.
Price of wheat doubled by war: farmers
chief gainers. Section 1. page 1.
Pacific Northwest.
Solution of civic and rural problems sought
at conference. Section 1, page 9.
raclfic University students start new semes-
ter-activities. Section 1. page 8.
Answers to eight "posers" asked of tjnlver-
slty of Oreegon law students, bection l,
page .
Boise grand Jury returns 28 indictments.
Section 1, page 8.
Governor greets editors of Willamette Val
ley at Agricultural College. Section 1.
page 2.
sports.
Pat Eastley sold to Salt Lake City. Section
2, page 1.
Hockey war ends in complete victory for
Coast League. Section 2, page 2.
Hayward seeking four quarter miles to rep
recent Oregon in Pennsylvania games.
Section 2, page 2.
Stewart gives Aggies chance In thousand so
win title. Section 2. page D.
Hope of boxers for Mecca in New Orleans
wilts. Section 2, page 5.
Oregon team now is on way to Moscow to
play Idaho. Section 2, page 3.
Leonard Myers to carry motorboat's club ap
peal on Astoria faces. Section 2, page 4.
imperial Amateur' Club lifts ban on to--.
-baccc--for tomorrow's smoker. Section 2,
page 5.
Hockey Is game of speed and courage, says
manager of Uncle Sams. Section
j.age 2.
Golfers from two Portland clubs plan days
sport at Gearhart. Section 2, page 4.
Football rules concerning forward pass
changed. Section 1, page 5.
Automobiles and ltoadsl
Support of Portland auto dealers won for
Yellowstone Trail. Section 4, page 6.
Automobile tiro prices are cut 25 per cent.
Section 4. page 6.
Samuel Hill gives out Interesting data for
benefit of autolst who would visit Fair
in car. Section 4, page 6.
Commercial and Marine.
Unusual advance In wheat and heavy barley
selling in local market. Section 2, page Id.
Chicago wheat lower because of uncertain
export situation. Section 2. page 13.
Fewer than 100 lives lost in 1914 marine
disasters along pacific Coast. Section 2,
page 6.
Honolulan makes fast voyage between coasts
and carries record cargo for flag. Section
2, page 6.
Beal Kstate and Building.
New buildings costing $1,000,000 to rise. Sec-
P.ealty transfers indicate market activity.
Section 4. page a.
Superstructure of new Meier Sc. Frank build
ing now complete. Section 4, page 8.
rortlana and Vicinity.
Portland hearing by frultmen shows all are
for co-operation. Section 2, page 16.
Schools and societies prepare to honor
anniversary of Lincoln's birth, February
12. Section 2, page 16.
City beautiful committee offers 31.000
rose tiushes at cost. Section 1, page 14.
Mrs. l.-jella Sauers bound over on kidnaping
charge. Section 1. page 15.
Annual report is made on Associated Char-
ilies. Section 1, pago 13.
Mr. Dieck wants authority to hire good
men and discharge poor ones. Section 1,
pa-;e 12.
City Auditor to ask removal of Precinct 37
election officials. Section 1. page 13.
Ordinance -revived by Mayor to make
movies obey censors. Section 3. page 13.
' 1
OLD CULTURE LIES
E
City Under Incessant
Hail of Shells.
PEOPLE LIVE UNDERGROUND
German Commandant Barri
caded in Damaged Mansion.
WAR CONDITIONS TERRIBLE
Earth Trembles, Walls Crumble and
Fall, and In Midst or All Quaint
Clock Chimes: "Only Sub
mit to Will of God."
BERLIN. Jan 23. (Correspondence
of the Associated Press.) William
Scheuermann, one of the best-known
of the German war correspondents,
has recently visited Dixmude, which
has become famous through the heavy
fighting around it in October and No
vember, resulting finally in its cap
ture by the Germans. He writes:
"The enemy greets any and every
movement along the road to Dixmude
with a prodigious rapid fire. For more
than a mile this road runs parallel
to the French trenches, 400 yards dis
tant. In order to present as unfavor
able targets as possible we broke up
our party into a long chain, with in
tervals of some 20 paces between each
two men. Often, too, when the rapid
fire grew too hot we had to go forward
by Jumping from one tree to the next,
although these were not large and had
been mostly shot oft by the artillery.
They offered little protection, and, be
sides, the numerous branches strewn
in the road were a great hindrance
to our progress.
French Have Exact Aim.
"Thus we approached Dixmude, until
we Anally gathered In a bunch for a
moment near the ruined railway sta
t!on;for here was -the most dangerous
point in our Journey. The crossing Is
peculiarly exposed to the French fire.
At their intrenchments the French have
set up rifles exactly tried out and
aimed for this bit of ground, and they
Are these whenever any living thing
shows itself here. We got across safely
and soon had the protection of the
ruined walls of the houses,
"Dixmude presents a picture of de
struction such as I had not regarded
possible, notwithstanding all that I
have seen in this war. No house here
has escaped. The large market square
is strewn with shells and in order to
reach the point where the beautiful
town hall and the parish church of St.
Nicholas used to stand, one has to pick
one's way among deep holes gouged
into the pavement by the heavy shells.
The church Is still to be recognized
from an arch In the wall and a piece
of the apse. Inside the debris lies as
high as a man's head.
Dixmude Grave of Culture.
"Dixmude is dead, the grave of an
old culture more touching than any city
of the antique world unearthed after
thousands of years, for here one sees
everywhere mementos of men still liv
ing, whose household goods are scat
tered in the streets and whose most
precious belongings, half-charred, are
rotting away in the rain.
"I got some idea of the loss from an
examination of the archives which I
discovered half-buried among the ruins
of the town hail. Manuscripts on fine
old hand-made paper and parchment
reaching far back into the Middle Ages
lay there, singed, torn and thrown
topsy-turvy by exploding shells, being
(Concluded on Page 7.)
BURIED
Saturday's War Moves
NEUTRAL opinion of Germany's
threat of a submarine blockade
of the British Isles, together with
possible action by the governments of
the United States. Holland and the
Scandinavian countries, is today com
peting with the big battle In Central
Poland . for first place in the public
interest in England.
The threat itself has not yet dis
turbed the sea-borne trade of the coun
try; steamers are running as usual, in
surance rates remain as they were;
shipowners declare that there will be
no change in schedules.
In fact the general belief in Iondon
Is that Germany is not in a position to
interfere to any great extent with ship,
ping and the possibility of Germany be
coming involved with neutral countries
over this action looms large in British
minds.
What effect the action of the captain
of the Lusitania in flying the Ameri
can flag will have on .the question Is
yet to be seen. The Lusitania crossed
the Irish Sea, according to American
passengers, with American flags at her
stern and forepeak, but this fact rs
not yet known to the English public
Of the battle in Central Poland,
little news has come through from
either Petrograd, Vienna or Berlin. It
is believed that the fighting con
tinues and that it will be some days
before a final decision la reached,
if the Russian success in crossing the
Bzura River is strongly supported and
pushed it might lead to the shortening
of this engagement.
From all accounts the Germans flung
great masses against the Russian lines
and although they gained ground at
some points, the assault did not succeed
in breaking through the Russians, and
the latter were able to take the offen
sive in parts of' the field. With the
tremendous concentration of artillery
and rifle fire and bayonet work, the
losses must have been great. One cor
respondent at Petrograd places the Ger
man loss at 30,000.
In the Carpathians and in Bukowina
hard fighting is also going on. The
Russians, wilh a strong force, are
making desperate efforts to drive the
Austrians from Dukla and other passes,
and although the snow lies deep in the
mountains, the battles continue night
and day. ,
Along the Western front, so far as
official reports disclose, this has been
one of the quietest days for weeks. The
artillery, of course, has been busy, but,
as if by mutual consent, the armies
have refrained from infantry attacks.
There has been no further fighting
in Egypt, but statements from Turkish
prisoners show that the Turks brought
a great number of boats across the
desert, drawn by oxen. They were
somewhat surprised to find a strong
force awaiting them, and were com
pelled to surrender when troops got
behind them and hemmed them in. In
some cases the Turks were allowed to
launch their boats before the Britl
opened fire and sank them.
Earl Grey, addressing a meeting yes
terday said that War Secretary Kitch
ener in August asked him to appeal to
the miners of Northumberland for five
new battalions. Instead, they raised
20 battalions.
COLON'S COMPANY IS SAFE
Cruiser Maryland Transferring
Those on Board to Shore.
OM BOARD U. S. S. SAN DIEGO. Feb.
S, via radio to San Diego. All of the
passengers and crew of the steamer
Colon, which is aground Inside the
breakers off Topolobampo, Mexico, will
be saved. The cruiser Maryland and
the gunboat Annapolis are standing by
and transferring the passengers and
crew from the grounded steamer to the
Maryland and ashore.
The Colon is fast In the sand and
leaking badly. Passengers aboard the
vessel bound for Topolobampo are be
ing put ashore in small boats from the
Maryland and Annapolis. Those bound
elsewhere will remain aboard the Mary
land and will be landed at Mazatlan.
There is little prospect of floating the
stranded vessel, as her captain. It. J.
PaulBen, reported her in an unfavorable
position.
m
THREE BIG ISSUES
PASSED BY HOUSE
Liquor, Compensation
and Irrigation Out.
FOUR IMPORTANT BILLS LEFT
Appropriations, Game Laws,
Roads and Taxation Next.
SAVING PLANS HAVE FOES
General Fund Act 1 O. K.'d and
Sent lo Senate Ieonomy In
Ho Kffcclrd Principally by
Halting Improvements.
STATE CAt'ITOL, Salem. Or.. Feb. .
(Special.) Three of the moat Impor
tant Issues before the present Legisla
ture were disposed of by the House this
week. They are: Prohibition, work
men's compensation and irrigation.
Four Important Issues wltl be up for
consideration next week. They are.
Game laws, appropriations, roads and
taxation.
Prohibition legislation Is considered
by many persons In and out of the
Legislature as the most imporlant Item
of all. Inasmuch as it affects every part
of the slate and virtually every claaa
of society. So far as the House Is
concerned, It Is through with this sub
ject. Tha average House mrmber Is
satisfied with the bill parsed, drspltw
the contentions of some that it Is not
sufficiently drastic.
Accident Prevention Aimed.
The House also utte-cd Its last word
on the subject of workmen's com
pensation. Tho bill passed early In
the week provides a series of amend
ments to the present law, reclassifying
the industries and graduating the rales
in proportion to the risk. It also is
intended to prevent accide.iti by offer
ing rewards to employers who Install
safety devices and providing punish
ment for those who do not. The al
most unanimous vote on this measure
is taken to indicate thst tie House
will not act favorably on the Bingham
bill In the Senate, which la said t
resemble the Michigan law and which
would permit casualty companies t-
compete with the state. The Michigan
law was criticised severely on the floor
of the House in the debate on the
other measure. If the Senate does not
concur in the measure sent over by the
House it Is probable that no work
men's compensation law will be en
acted by this Legislature.
Irrigation Kuad Falls.
The House disposed of the Irrigation
problems by rejecting the propoird
appropriation of $450,000.
There still remains before the ways
snd means committee the bill to levy
one-half mill for Irrigation purpose,
fcut the decisive vote on the direct
appropriation Indicates that this meas
ure will not win the favor of the
House.
"We still have a lot of light left In
us," aald Representative Hinkle. who
is conducting the Irrigation campaign.
A few minor concessions to the Irri
gation interests were granted this
week, however. Four Irrigation bills
were passed. One gives irrigation dis
tricts the right to sell surplus elec
trical power, another makes state
lands subject to Irrigation assessments,
another gives Irrigation districts the
power of municipalities for bondlns
purposes and tho fourth empowers the
state to buy approved Irrigation bonds.
i;rsrnl Kunal Bill I'aaard.
Another Important Mil passed by the
t'oiicluld on Has JO.)
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