10
THE SUNDAY OREGOXIAN, PORTLAND, SEPTE3IBER 7, 1919.
ISTIi IS AGAIN
CHARGED 10 DISH
Spruce Work Considered Crim
inal Loss of Lives, Time.
RAP IS TAKEN AT BENSON
Portland Lumberman's Investiga
tion Is Declared by Loggers to
Have Been Superficial.
fConlinaed From First Page
line could
dubitable proof that such a
' be constructed.
This witness also testified, in refuta
tion of General Disque's assertion that
rail transportation wti to be utilized
for the delivery of the north line haul
ape to the Toledo mill, that bunker
for dumping- log, in addition to trestles
and wharves for rafting operations,
'had been constructed at the Yaquina,
bay terminus. All indications and
preparations, said this witness, pointed
to the definite arrangement for rafting.
Operations Held Extravagant.
George M. Hall, who was government
guide in the Siletz country for two
years, and special agent investigating
homestead filings, testified to facts
essentially as Mr. Ball had given them.
although estimating timber available
more generously. He characterized the
conduct of operations as the most ex
travagant imaginable, told of the in
experience of soldiers who were In the
engineer corps, and said the Otter Rock
route was the most Impracticable in
that section. .
Mr. Hall told of a conference he had
in Portland with Major Hitchcock, on
the occasion of which that official said
he had been informed there was no
spruce in the Siletz. In reply to a ques
tion, the witness said Major Hitchcock
must have come from a prairie coun
try. Certified cruises were prepared
for his perusal, but these only served
to bring the statement that people of
Newport would telegraph the president
if the road to Otter Rock were not
built. The construction and abandon
ment of Camp Chitwood was touched
upon by the witness, who said the night
the workers were preparing to occupy
the place word was received from
somewhere transferring them to Ya
quina.
Efforts Tailed Criminal
On cross-examination Mr. Hall ad
mitted he owns about 27.000,000 feet of
timber in the Siletx.
B. Gildner. a resident of the Siletx
district, gave similar testimony, char
acterizing as a criminal waste of Time,
lives and money the construction of the
roast route Instead of extending th
Miller logging road. He sjtid Major
Hitchcock had told him that he (Hitch
cock) and General Disque had found the
spruce did not justify the northern
road, and a map he presented was held
to be Of no consequence. Mr. Gildner.
when questioned as to airplane stock
cut by mills there, said none had been
cat. as mills were engaged in cutting
material for roads. He said he did not
know the reason for construction of the
roast road, but declared such a course
to be a big mistake.
While Mr. Gildner was testifying
Representative Magee and Representa
tive Lea left the meeting, leaving
Chairman Frear to complete the ses
sion, with the understanding that they
have the privilege of recalling Mr. Gild
ner if such is found to be necessary.
Yaqnina Lokh ow In Water.
Reverting to the testimony of the
former proceedings as yesterday's ses
sion opened. Representative Magee
questioned General Disque again re
garding the Yaquina northern road. He
developed the fact that of the 40.000.
000 feet of cost-plus logs, unsawn at
the time of the armistice, all those
from the Yaquina operations, or a large
percentage, are in the water at the
southern terminal.
Mr. Magee said he had understood,
from the testimony and information of
District Supervisor Holland, in charge
of spruce production operations at Ya
quina bay, that it had been the Inten
tion to raft the logs up tide water to
the Toledo mill, a distance of 12 miles.
General Dicque had testified that the
actual plan. as. known to spruce divi
sion headquarters, had been to ship the
logs by rait, connection being effected
at Yaquina with the Corvallis &. East
ern railroad.
Keason for Trestles Given.
Yesterday General Disque reiterated
his statement that such had been the
plan, whereupon Representative Magee
pressed him lor an explanation of the
logs already m the water, of the
wharves, salt water terminals and tres
tles, pointing to these as an indication
that the project contemplated railing
the haulage trom the north line.
"If it was true that the logs were to
have been shipped by rail." insisted
Representative Magee, "what was the
reason for this construction?"
The witness answered that the tres
tles were to permit ferry connections
with a trestle on the south snore of
the bay, where the northern terminal
of the south road to the iilodgeit tract
was located.
Offer Closed After ArmUtlce.
The discussion was dropped, and tes
timony turned to the Riodgett tract,
tapped by the south line from Yaquina
bay. General Disque testified that ne
gotiations had been under way since
-April. 118, and that in September an
offer to sell had been received, Mr,.
Klodgeit retaining the mineral rights.
The offer was not closed until after
tiie signing of the armistice, other tes
timony nad shown, and alter the owne
had been threatened with commandeer
ing proceedings.
"The fact that you began to build the
railroad two months betore." said Mr.
Magee. "was clear notice to .Blodgett
that you intended to take the timber,
was it not?"
General Disque admitted that such
might be the interpretation. Blodgett,
he said, was not anxious to sell, and
had previously turned away an offer
made by .. S. Potter of Jackson. Mien,
totter owned an abandoned logging
road in Washington and wished to
move it down J or operations in Lin
coln county.
v-i. Permitted.
"It was good business to give that
railroad the values that it had cre
ated." answered General Disaue, when
- n.tire saie nad been forced
after the signing of the armistice.
"That is. you bought the land to sell
the railroad?" asked Mr. Magee.
"Not exactly, no."
The witness was then asked If the
Blodgett tract wa9 not listed among
the spruce production properties ad
vertised for sale on September 2. 191,
He answered that it was. but that he
had not been in touch with the spruce
corporation policies after his resigna
tion.
It was shown that the Blodgett tract
contains approximately S70.0uu.000 feet
of spruce, while the spruce tributary
to the Yaquina northern road is about
150.000.000 feet, or a total of tZa.OUO.OO
feet available from the two operations
in Lincoln county.
Telede Capacity Large.
"General Disque testified further that
the minimum capacity of the Toledo
mill Is (00.000 feet daily. He estimated,
from factory statistics, that the daily
eutat sprue lumber would create
90 De Havlland planes, which consume
1600 feet of spruce, or approximately
3000 such planes each month.
"How long would the supply of
spruce keep the mill going?" asked
Mr. Magee.
The reply was that spruce operations,
based on the three-shift policy, would
have kept the mill busy for 600 days.
A great reserve of spruce in addition
is situated in the Siletz basin to the
north and this had only been counted
upon In the light of probable continua
tion of the war.
"During the first nine months of
1918." testified General Disque. "the
French manufactured 32,000 planes
from our spruce and fir."
British Columbia Output Shewn,
Concerning the commercial value of
such a mill. General Disque ventured
that forestry records will show suf
ficient timber tributary to the Toledo
district to keep the plant busy for 40
years, counting all available timber of
all commercial varieties.
Harking back to the testimony of
Frank R. Pendleton, former super
visor of spruce production in British
Columbia, a lumberman of Everett,
Wash.. General Disque introduced
telegram from General Menoher, pres
ent chief of the American airplane
service, relative to comparative pro
duo tion.
This message stated that British Col
umbia, or the Canadian operations, bad
produced 18.175.000 feet of spruce and
8.1S2.000 feet of fir. The United States
cut-up plant at Vancouver, Wash, ran
the figures, had produced 36,159,143 feet
of spruce. 37.504.857 feet of fir and
3.353.4 6 feet of cedar. Approximately
98 per cent of all airplane material
supplied to American factories passed
factory inspection, stated General Men
oher. As to the percentage of ultimate
rejections of Canada's finished product
by the English, no figures were avail
able. Knarland Gets Most Spruce.
Allocation to our allies of the air
craft lumber produced at the Van
couver plant, according to General
Menoher's telegram. ras as follows:
England. 12,770,308 feet of spruce,
11.597.630 feet of fir, 2,100,695 feet of
cedar.
Italy. 2,320.398 feet of spruce, 4,510,
51 feet of fir.
France. 9,722.025 feet of spruce,
1,787.927 feet of fir.
Later In the hearing Chairman FreaT
pointed out to General Disque the dis
crepancy in spruce production as com
pared with that of fir, and as further
compared with that of Canada's air
craft lumber results. It was evident,
said the chairman, that Canada bent a
majority of effort upon the production
of spruce.
To this General Disque replied that
there was an active demand for Ameri
can fir for airplane material, Italy, for
example, insisting upon it for use in
the huge Capronl bombing planes.
Wage Discount Reealled.
At a previous hearing a soldier wit
ness had testified that soldier laborers
at the Vancouver cut-up plant were
forced to submit to a 15 per cent dis
count from their pay checks, the money
thus derived being utilized in a fund
to increase the pay of kitchen police
and clerks on service at Vancouver,
who were not drawing civilian pay.
Representative Magee sought for
further light upon this arrangemen
from General Disque, who was unabl
to give details. H. E. Walker of the
headquarters staff came forward . to
testify regarding the wage discount.
In brief. Captain Walker said that
headquarters had nothing to do with
the arrangement, but he denied that i
was compulsory. If the pay checks
were cashed at the cut-up plant station,
said Captain Walker, the deduction was
made. They could be taken to any
bank, however, and the full face value
received, if the soldier objected. Many
en did this, he said. Also Captain
Walker believed that the deduction was
only 1 per cent. At any rate the
checks were penciled with the notation
that a deduction was to be made.
IaJnsMee to Soldiers Seea.
I think any young man whose pay
has been deducted without his consent
has a valid claim against the govern
ment, asserted Representative Magee.
"No, sir," objected Captain Walker.
'He has indorsed his check."
"Well. I don't thir.k 111 modify the
statement." returned Mr. Magee. "I
think the government wouldn't be dis
posed to quibble In the case of these
boys. I think" the government would
recognize it as a Just and valid claim
The old man of mystery, a frequent
character In testimony and interroga
tion, came to the fore when Mike Don
lln, spruce production superintendent
for the biems-Carey-Kerbaugh opera
tions in Clallam county. Washington,
was again mentioned by Mr. Magee.
What about Donlin?" asked Mr. Ma
gee. "Do you know where he's from?"
Ryan's Action Touched I'pon.
unlr In a general way," answered
General Disque. "I think he came from
Montana."
"Missoula?" asked Mr. Magee.
"I don't know."
Here Mr. Magee touched again upon
the refusal of John D. Ryan, director
of aircraft, and an official of the Mil
waukee road, to sign the Siems-Carey-Kerbaugh
railroad contract for the
Lake Crescent spruce route, indicating
that Mr. Ryan wished no finger pointed
at his connection with a transaction
that might be said to have been in
fluenced by the Milwaukee, prospective
purchasers of the spruce line.
Mr. Don tin's Removal Asked.
"He still continued as director of
aircraft." commented Representative
Magee. "and to all intents and purposes
the results were Just the same as
though he had signed."
The questioning drifted back asrain to
Mike Donlin. General Disque said that
he had talked with Mr. Ryan regarding
Donlin In Washington. D. C.
I asked Mr. Ryan if he know Don
lin, said General Disque. "He told me
that he had known him some years
ago, but that Donlin, previously em
ployed by him, had left his service
under circumstances that made his re
turn Impossible."
The witness added that Mr. Ryan
had sought the removal of Donlin from
the spruce superintendency when he
learned that his former employe was
working for the Slems-Carey-Kerbaugh
corporation, but that Donlin had left in
the meantime.
At this Juncture Representative
Frear stated that the testimony of Mr.
Kerbaugh, before the Ray hearing, held
last winter, was that Donlin had been
recommended to him after a conference
with Pliny Fisk, New York financier,
interested In the Olympic peninsula
contracts.
Testimony shifted again to the choice
of Olympic peninsula railroad routes
and General Disque's reasons for aban
doning the Deep Creek route, which he
had highly recommended, and taking
up the Crescent Lake route to Lake
Pleasant.
"Well, you changed your mind over
night, : didn't your' Inquired Mr.
Magee.
"No." retorted the witness. "I
changed my mind over a period of two
weeks and after careful consideration.
If I hadn't changed my mind the road
would have been built via Deep Creek."
Construction Held Justified.
Continuing the Inquiry, Mr. Magee
questioned General Disque regarding
the construction work along the west
shore of. Lake Cresoent, on the route
chosen to Lake Pleasant. General
Disque insisted that the line at no place
was located any further from the lane
shore than was demanded by the neces
sity for meeting the rise which must
be crossed.
"Well, they blazed a pathway along
the side of the mountain, didn't they?"
demanded his questioner. "Thy ex
cavated a table land and then built
the road, didn't they?"
General Disque smiled as he disagreed
with Mr. Magee's terminology, but ad
mitted that it about fitted the nature
of the construction, and declared that
such construction was Justified by the
exigencies of the case.
Report Is Criticised.
How far would it have been neces
sary u extend the road from Deep
Creek?" asked Mr. Magee, referring
to the once approved extension of the
Milwaukee to Lake Pleasant.
'A total of 25 miles."
'That would be about II miles shorter
than the other route?" continued Mr.
Magee.
Ys."
So far as the value of his report on
the two locations is concerned, Rep
resentative Magee contended that
Roberts, the engineer who represented
the spruce corporation in selecting the
Lake Crescent route, "might Just aa
well have written it in his office."
When Chairman Frear asked the wit
ness why it was that Frank R. Pendle
ton, supervisor of spruce production for
British Columbia, was able to produce
approximately one-third as much
spruce as were the entire American
operations. General Disque replied that
there was no question about the au
thenticity of the American record in the
percentage of accepted aircraft lumber,
but that Canadian quality and system
of Inspection was not known locally. He
did not believe that the reported Can
adian' cut could have been achieved
with ordinary milling facilities, aa had
been testified. '
IllillllliUlIIlJJIIIlllllllllllllllllllllIIIIIIU
I Don't Order Wool
or Coal Till You 1
Have Seen the I
I MANNING I
I GAS MAKER I
E DEMOX8TBATKD AT OCR SALES-
ROOM, 69 SIXTH STREET.
Mors than half the labor of houM
keeping Is due to the preparation,
and cooking of food. It would be
worth your while to save yourself &
large portion of that labor and
lighten the rest wouldn't It?
Designed especially for use In Cook
Stoves, Ranges and Heating Stoves.
Can be installed In two minates by
an inexperienced person. So slmpl
a child can operate it. Flame can be
. regulated at any heat desired. No
'soot. NO SMOKE.
Agents wanted everywhere. Small
capital nerSiSary. See daily factory
demonstration.
Disque Defends Quality.
To Chairman Frear's reply that Mr.
Pendleton's repute as a lumberman is
of the highest degree, General Disque
countered with the offer to produce
any number of letters, all from success
ful timbermen, testifying to the extra
fine quality of lumber produced at the
cut-up plant.
To correct the record, said General
Disque, he desired to. introduce two
telegrams. These he said, would refutt
the charge that the American Inter
national company, of which John D.
Ryan is a director, ever had any in
terest in the firm of Siems-Carey, or
of the firm of Siems-Carey-H. S. Ker
baugh, builders of the Lake Crescent
logging road and holders of a $25,000,
000 spruce contract.
Interest Is Denied.
They would also serve the purpose of
refuting the intimation that General
Disque had received his present posi
tion, that of president of G. Amslnck
tk Co., of New York, owned by the
American International company, by
reason of any obligation on the part
of Mr. Ryan.
The first telegram was from John D.
Ryan. It stated that Mr. Ryan had
never had any interest in either ot tne
Siems-Carey firms.
The seoond telegram, from Charles
A. Stone, president of the American In
ternational company, asserted that that
company had never had any interest
either the Siems-Carey or the
Siems-C'arey-Kerbaugh company. It
added, however, that the American In
ternational hatd in 1916 purchased stock
separate concern, the Siems-Carey
Railway & Canal company, of China,
where a railroad construction project
was under way.
As I understand it, the American In
ternational owns 50 per cent of the
Siems-Carey Railway & Canal com
pany," said Mr. Frear. General Disque
replied in the affirmative.
Old Charges Recalled.
And owns all the stock of the
Amsinck company?" continued the
chairman, again receiving confirmation.
Inasmuch as Major Charles R. Sliglt,
formerly in charge of spruce operations.
at their inception, had been criticised
by General Disque at the previous ses
sion. Chairman Frear said that he felt
it proper to read into the record an
account of an address delivered by H.
C. Coffin, former director of aircraft,
at the Old Colony club in Washington,
D. C, on September 12, 1917.
General Disque's comments on the
testimony of Major Sligh, which was
taken at the Chicago hearing, had been
fired by the personal nature of Major
Sligh's criticism. 'Jhe latter had made
many charges against him and had
testified that General Disque had writ
ten a certain blameful letter to the gov
ernor of Michigan, while warden of
the penitentiary at Jackson.
Coffin Letter Read.
Against the objection of Representa
tive Lea. the chairman read the re
port of the Coffin address Into the
record. At the Old Colony club ban-
net Mr. Coffin, as director of aircraft.
Price complete outfit with eitht
gallon tank and all necessary fitting:.
$30; mail orders solicited: send $5
with order, balance C. O. D. express,
with privilege of examination at ex
press office.
SEE DAILY DEMONSTRATION.
I H. W. MANNING I
Inventor and Manufacturer.
69 .Sixth Street, Portland, Oregon
aiimmmNiimimmmiimmmiimmii-
had praised Major Sligh warmly, not
only for the worth of his efforts In
spruce production, but for his general
efficiency and capability.
"May I ask, Mr. Frear." commented
General Disque, tensely, "if when Major
Sligh was testifying in a. very deroga
tory way concerning me, did the com
mittee attempt to put anything in the
record in my defense?"
Chairman Frear replied that the com
mittee was not interested in the per
sonal bickering of General Disque and
Major Sligh, but that he as chairman
merely wished to show that the opinion
of the director of aircraft had been
that the latter was competent in his
capacity. Interpolating, Representative
Magee assured General Disque that he
had objected to the character of Ma
jor Sligh's testimony regarding the
general at the Chicago hearing.
Letter to Governor Denied. ,
Apropos of the governor of Michigan,
General Disque informed the commit
tee that he had never written any let
ter of any sort to the governor of
Michigan, save one that requested an
assignment within the Michigan state
troops when they went to war. Inas
much as his record as warden of the
Jackson prison had been . assailed by
Major Sligh, . General Disque asked
leave to read a newspaper Interview in
which Governor Albert E. Sleeper of
Michigan expressed his high regard for
his capability.
Governor Sleeper was .quoted in the
interview, from a Jackson (Mich.) pa
per, as keenly regretting the impend
ing departure of Warden Disque, who
had received a commission as lieutenant-colonel
In the aviation section. He
said that his post would remain open
for him, and that' he would be wel
comed back. As warden credit was
given to Disque as the originator of
progressive innovations and splendid
system.
"Well, there's nothing the matter
with that eulogy," was Chairman
Frear's reflective comment.
The chairman turned then to General
Disque's charge that certain Puget
Sound lumbermen, who had sought to
log the Blodgett tract, were profiteers
of the worst stripe. He asked the wit
ness if it is not true that these same
men, after their proposal had been re
jected, actually contracted to log the
Blodgett tract for a total profit of $20.
which would be the. relinquishment of
all benefit to themselves.
General Disque replied that they had
made such an offer, that it was ac
cepted, and that the Puget Sound lum
bermen were at work on the Blodgett
tract when the armistice was signed.
It was true, he said, that they had con
tracted to log the tract for a total
profit of $20, but he ,dld not construe
this as particularly patriotic. They
were to be allowed 15 per cent depre
ciation on the value of their equipment;
be related, and a 10 per cent rental fee.
Lower Costa Doubted.
General Disque insisted that these
provisions would have benefitted the
loggers. John E. Frost, 'the superin
tendent, he indicated, was to have been
paid a salary of $1000 per month. He
believed that the operation would have
cost the spruce corporation) as much
as any of their cost-plus contracts,
comparatively considered. I
The chairman nodded, and reminded
8
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