The Oregon daily journal., December 03, 1905, Image 2

PORTLAND, OREGON, SUNDAY MORNING, DECEMBER 3, 1905. FOUR . SECTIONS FORTY-FOUR PAGES. ,
; PRICE FIVE CENTS.
m mms
G
HOUSANDS
S. A D Puter and H. G. McKinle New Wholesale Timber Frauds
VOL. II. NO. 88.
GATES -
FM WILL HOT BLOCK
BRISTOL'S C0I1HAT1
"A Good Man" His Expression Concerning
' nil'-- i . r ', r. . a . . f?i i '
; ..tne New u. o. uistnct Attorney aneni
, . as to. the Roseburg Appointments.
HE FEELS VERY KEENLY SLIGHT-
PUT UPON
Heney Renamed Special Assistant to Attorney-
7 General: and Will ,
1.:-; Cases' After
(Wubinxtoa Iomi ef Tee Jeorsal)
Washington, Deo. Wl do not intend
to make any effort to prevent the con
f lrmation-f Bristol me v United States
, attorney. He la a good man, and while
I have not been consulted concerning
tile selection and appointment, . I will
not endeavor to- b inder-n la-con f I i-matton
- by the senate. As to the other ap
pointees! do not care "to say at this
- time what I will do."
.... While Senator Fulton would not'
.press any opinion of the action of -the
president in going over hie head in
making the Oregon federal appoint
ments. It Is evident to his friends that
1 he feels the situation keenly and that
A U of the optnl nfhnt. treat In Just toe
la being- done the state of Oregon by
this refusal to recognise US represent.
Mn In ennirresa. .
; Although -Senator Pulton would not
indicate his course of action In refer
ence to approval or of rejection by the
Lawrence for the Roseburg hrad office
places, it la believed lj win' not under
take to prevent the confirmation. ; That
he could prevent ths'Cdnflrmation is not
doubted. He la a member of the public
lands committee, which primarily will
pass on the nominations and could un
doubtedly secure from this committee
an unfavorable report on the nomina
tions. - - O'
Will ITot Beaea Slight.
Senatorial courtesy would enable hint
to at leaat tie ' np ' the nominations
throughout the entire time of the com-
ing- session, and forte another recess
appointment at Ita close. It is believed
Fulton will not do this, but will allow
the slight Thlch haa been tut upon him
to go unresented by the adoption of
dilatory tactics, and will permit both
nominations to go to confirmation.
the administration executed an unex-
pected coup In Oregon affairs by the
appointment of three federal officers
- Just prior to the assembling of con-
- gress. vTbe appointments are the result
of a conference hekt Wednesday even
Ing last In which President Roosevelt,'
Seoretary Hitchcock- ,nd District AU
torney F. J. Heney took part The
conclusions of this conference were con
fidentially kept from the publlo untU
11 o'clock last night whan announce
ment was made through the medium of
a press association that William C
Bristol had been appointed United States
attorney. Benjamin U.Eddy of Tilla
mook register and James M. Lawrence
of Bend receiver of the land office at
Roseburg. , . -
The significance of the appointments
st this particular time, within a few
days of the opening . of congress. Is
. "pointed out to be that they are recess
ran SAILS TO
GET HAMILTOH -
Secretary-of New Yo'rk Life Will
Bring Back Hamilton If His .
' " Health Will AllowVc . :
pecll PLpstch hr wlr to ,ndrn,l)
New York, Dec. l.-John, A. McCall.
secretsryof the New TorK Ut Insur
snce compsny. sailed on the Cunard liner
Lucanta today for - Paris to Induce
"Judge" Andrew Hamilton to return and
explain to the Armstrong Investigating
committee .what he did with all ths
thousands thst were sent o hlm'at Al
bany by the company's officials.
"I -do not believe that Hsmllton will
return," -said Mr. McCall.-"ButX. will
do my very best to bring him. If he will
not comeand I cannot force him to do
so I shall ask him to .give me a de
tailed statement of his Albany expendi
tures so thst I msy giver it to Mr.
Hughes." , - r
It wss reported," ' Mr. VeCall was
toId.,"that Mrs. Hamilton on her return
here some weeks ago, said that Judge
'Hamilton would never com back. '. Is
thst rlrhtr -
"I do not think ho will.. I mesn to
try to do my best to bring him pack,
If his health will allow." . -
HIM BY PRESIDENT
Finish Land Fraud
the Holidays.;'. ;
appointments and consequently each of
ficial .can assume the duties of his of
fice immediately and without awaiting
the confirmation of the senate. Had the
action been delayed until the opening
of congress, the appointees would have
had to defer performing their official
duties nntil confirmed by the - senate
and it 'la regarded as a clever move, to
outwit the opposition welch might Arise
to the confirming of any or all of the
new officials, r. -. , ; ,
... . i Xeaoy Official Advise. ' j V .
' The- appointments -caused - a - general
surprise among ..those persons, at the
capital who are intereated in ' Oregon
affaire. and to none less than Benator
Fulton whose advice waa not-emjgnl urf
wishes followed exoeptlng In the case
of Register .Eddy, In. making the ap
pointments. , -.'
Heney toJReturm Soon. r "V
District , Attorney Heney, .who Is
looked
uuou as 1 the MiiMf Pf SUITS-
tary Hitchcock and President Roosevelt
In Oregon federal patronage affairs, de
clined to dlsouss the appointments. : H
stated, however.' that he was today, re
appointed to bis former ' position V as
special assistant to the attorney-general
and was assigned to -take' charge of the
Oregon land fraud cases now pending
In the federal court In Oregon. '
- The principal cases to be tried are the
Blue mountain reserve ease, in which
Mitchell, Hermann, Kays and others
have been indicted; the "11-7" cases. In
volving Puter. , Mitchell, Hermann.
Loo mis and others; the land-fencing
case,' involving Btelwer, Hall, Mays,
Hermann and Hendricks, and several
conspiracy .cases. In which Indictments
have beenfdfind against Pierce Maya,
Sorenson. Puter, Thayer, . R. A. and
Henry Booth. -
Mr. Heney , will be engaged here in
eases before the supreme court and
does not expect to return te Oregon
until after the holidays. When he does
return he will press to trlavall the
cases m which grand juries have found
Indictments under direction of the dis
trict attorney' and will not let up on
them until ' the ' cases are disposed of
and completed. .... -
Beeoauneadee Bristol.
Pressed to discuss' the president's ac
tion in Oregon appointments to his own
hands, Mr. Heney stated - that ' he
thought the president- had recognised
the peculiar situation, existing In Ore
gon ana naa aeciaea to act inaepena
ently In making these appointments. In
the. appointment of the district attor
ney, Bristol, he had selected hln from
among the , young attorneys who had
(Continued on Page Two.)
COLLEGE ATHLETES
SHOULD BE PAID
Dr. Albert L Sharps Advocates
the Doing Away With Rules
Governing. Amateurs.
(Sperlal PUpateli tj teued Wife ts The Joarssl)
Annspolls, Mr.. Dec I. In an address
before, the Convention of Colleges and
Preparatory Schools of the - Middle
Statex, which Is in session here, I)r; Al
bert U Bharpe, one of tha best known
athletes tliat Tale eer produced, and
now physical exsmlner for Penn Charter
school. Philadelphia, advocated the do
ing jaway with, rules which prohibited
one who had received an athletic smolu
merit from any source representing his
college Jn a contest and the substitution
of lmply touts based on the player's
work as student;
"1 bWleve that many worthy fellows
have' -been compelled to leave college In
debt when by making use of their ath
letlo ability outside the college term
they need not have dons, so," said Dr.
Bharpe.
"Why should a man be. declared In
eligible to represent his college In an
Intercollegiate test because ha' has made
a little money as a member of a summer
baseball nine, while he Is trying to gsln
an education In collene undf-r perfectly
proper conditions snd. doing his work
.1
A
Circuit Court Gives' Judgment
Against Wells, Fargo & Co.
in Old Suit.
Judgment ' for sums anDroxImatlnc
$25,000 in cash which had Involved the
handling of $1,500,000 of money and
property waa given in favor of the
plaintiffs yesterday against Wells
Fargo at Co. by Judge A. F. Sears. Jr.,
of the circuit court. Tha plaintiffs
were oeorgs it. Williams, Cleveland
Rockwell, Perry Hlnkle, Henry Weln
hard, H. C Leonard, Ella C. Durham as
administratrix and. George IL Durham.
The ease haa been in the courts of
the state and nation for six yenrs and
was of deep Interest o the bankers of
me unitea oiaies, oeoause it involved
the legal question as to whether or not
the, board of directors of a hanking cor
poration were empowered- to call for an
assessment against the shareholders.
Plaintiffs contended that such Authority
rested solely with xha-stockholders and
the courts sustained their position, hold
ing that the assessment which was
levied In this Instance waa a fraud
against the owners of the slock.'
gtatoa of the Case.
Wells Fargo it Co. purchased the ma
jority of the stock of the Commercial
National bank, then existing in Port
land, 'after which the capital stock was
Increased at the suggestion of Wells
Fargo ec Co, from $260,000 to $500,000.
The bunk waa administered by Wells
Fargo- Co. for several years, until the
fall of 1S9 when at the suggestion of
Wells Fargo Co. the board of directors
of the ' Commercial - National bank
adopted a resolution - -requesting the
controller of the cuiTeney to call for
an assessment of $50 a share, which
amounted to 1360,000. r
The Portland . stockholders, among
whom 'were the plaintiffs, protested
against the assessment, claiming that It
was a schema of Wells Fargo ac Co. to
f reese them out. The resolution of the
directors; however. ' was sent to the
controller of the currency and he noti
fied ths bank to make the assessment
Ths board of directors mt snd levied
the assessment The plaintiffs in this
case refused to pay It, the stock was
sold and Wells Fsrgo at Co. bought tt
Shortly after this stock wss sold Wells
Fargo Co., being owner of "practically
the entire stock Issue, liquidated the
Commercial National bank, taking over
the entire assets, which amotmted to
$1.50.000 face value., and commenced
business under ths nme-oftheWells
Fargo bank. ' ' ' : 7"
(Continued on fags Two.)
L0GAE:0PTIDN
JOKESr
FAMOUSBANKCASE
IS DECIDED v
THESE ARE SENATORS
Nice Pair of Dromlos
BILL SO
IT'S ONE LONG LAUGH
Hidden Points - In 'Proposed
'Amendment Which Liquor
Dealers Are Urging. '
TRICK TO COUNT BLANK
VOTES FOR RUM CAUSE
. 1 r.
i " . '
Wholesale v Selling In , Prohibition
Quarters Permitted by New Meaa-
. ore Double Negative Destroys the
Meaning of One Vital Paragraph.
The liquor dealers of the state are
seeking to secure sn amendment of the
local option law, professing that the law
is unjust in- Us operation and that It
does not give rtal local option. A, bill
amending the law ia to be submitted to
the voters at the general election next
June, for enactment by means of the
initiative, providing the necessary num
ber of signatures is obtained In-the
mean time.
The conspiouous features of the bill
are, first, the substitution of precinct
local option only, for local option by a
group of precincts or a county, as pro
vided by the present law; and second.
the raising of the number of votes neo'
essary to call a prohibition election from
10 per cent to SO per cent Advocates of
the bill direct attention to these two fea
tures, and other provisions have hith
erto escaped publlo notice. They cer
tainly deserve consideration.
A Wholesale Joker.
Under tha present law when ths ma
jority of voters In a district hsvo voted
In favor of prohibition, tt shall there
after be unlawful to sell or give away
intoxicating liquor within the district
either In large or small quantities, ex
cept for sacramental and medicinal pur
poses. Under the proposed law only
the retailing of liquor is .prohibited.
and Intoxicants may still be sold and de
livered by wholesale after the majority
of the voters have declared themeelves
In favor of prohibition." Absolute pro
hibition - of the liquor traffic would
therefore bo unobtainable under the pro
posed law.
A second change whloh the liquor deal
ers -propose to make Is . strongly sug
gestive of a trsp. Under, the proposed
amendments, the quittton . whether a
precinct shall be Mw'-or 'Mry- shall
be Bubmltt?dtqtthe voters only at the
time of a general stats election. Expe
rience has shown that a considerable
proportion of the voters who go to the
polls will vote for only two or three
offices and will leave the remainder of
their ballots blank. In any precinct
where the prohibition Issue had been
raised It Is safe to say that there would
be a number of- ballot -which' would
hot be marked either for or against pro
frtMtonv-ytiheJlguor men's bill pro-
.(Continued on Page Four.) -
FULL OF
SMART SETPRQVED
4 EASY MARKS
Four Hundred Mulcted Out of
Thousands for Privilege of
Being in Fads and Fancies
(Special Dispatch by Leased Wire Is The Jearaal)
-.New York, Dec. I. "Choke $'em and
take It away; they daasent yell," Is the
way "Chuck" Connors would describe
the methods revealed In polloe court
today by Jthe topmost members of the
400 wno were mulcted of thousands of
dollars for the privilege of appearing
In that triumph of frensled literature.
"Fads and Fancies."
Mr. "Chuck" as yet has issued no of
ficial - statement however, on the evi
dence pro and con in the' suit for libel
brought by Colonel W. D. Mann,' pub
lisher of Town Topics, against Peter
F. and Robert Collier and Norman Hap-
good. Among other things heard was
the following section of a letter:
"General Fitzgerald la a very pompons
and vain - man and very - rich and -1
think if approached In the right way
can be, captured. .You did not go to
Boston, but Thayer Henry haa Hlgglns,
and II. K. Blgelow ought to be a good
victim. .
"Spencer Traak of this city Is rich
and vain. You must pounce on William
8. Cromwell the minute be returns from
Parts.
"Neldrlnerhaus of 8t luls was at the
Waldorf-Astoria yesterday. Ho is ths
great tlnplata manufacturer: very rich
and a very 'able man. Oo after him.
Bernard Baker of Baltimore. If you do
not mention Dr. Emerson to him, and
If you do show such men as Grlscom.
Morgan. J. - M. Woodward, Pembroke
Jones, etc., I think you can get htm,
notwithstanding he declined it." -i-
Colonel Mann said "he might have
written" the above bunch of gentle tips
to Mr. Wooster, the subscription agent
for "Fads ahd Fancies."
Perhaps -the most Interesting revela
tion of the day, however, was that Jus
tus Joseph Deuel of the court of spe
cial sessions of this city Is ths ownef
of "Fada and Fancies."
Colonel Mann testified that he owned
only one share of "Town Topics" . stock
and that either Justice Deuel or Mrs.
Deuel owned 80 shsres.
'Fads and Fancies", waa printed by
the Town Topics" company. Other let
ters purporting to show that Justice
Deuel wss interested in - the euocena of
Fads and ' Fancies" were read by the
attorney for the defense. Among them
wss one slleged to have been' written by
Justice ' Deuel and addressed to Mr.
EASTERN BANKERS FOOLED CV
CLEVER COUKBlS
Swindlers"Borrow"LargeSumson"Spuriou3
School Land Paper Bearing Imitated
-: State Seal Signature of'W. H. Odell
INVESTIGATION BY
OSWALD WEST
Capitalists Investigated v Lands; and Paper,
Found; Both Apparently All Right. Then
Had No Hesitancy in Making Laans ;
Wholesale forgeries of stats school
land certificates, whereby eastern , bank
ers have been defrauded-, of Immenso
sums of money, have been unearthed" by
State' Land Agent . Oswald West 8. A.
D. Puter and Horace O. McKlnJey, who
were convicted only a. year ago In the
federal court on the charge of conspiracy
to defraud the - government ' of.' public
lands, were' the eentral figures- - and
moving spirits , in the extraordinary op
erations which have now been brought to
light -' . -
' By duplicating genuine school land cer
tificates issued by the state board, coun
terfeiting the signature-of W. H. Odell,
4haormor - clerk of the land board, and
tha state seal, ths swindlers were able
to borrow large sums of money from
bankers In Wisconsin, Minnesota and
other eastern states, using ths counter-
felts as collateral.
was Hiram Qoddard, a lumberman and-
banker of La Crosse, Wisconsin, Horace
McKinley's native state. Goddard h
already forwarded to the stats land agent
forged eertl flea tea for nearly 7,000 acres
of school lands, on which he loaned a
large sum of money. He is supposed to
have still more of the forgeries In his
possession, though full Information, on
this point has not yet been received. H.-
M. Delaittre, a Minneapolis banker, was
another victim and holds a number of
tha counterfeit certificates. 1 , -
. Porgerleg Were BxeeUsat.
Extraordinary care was taken In mak
ing ths fraudulent Instruments corre
spond as olosely ss possible In appear
ance to the genuine ones. The forged
signature of W. H. Odell, the former
olerk of the land board, ia so good an
imitation-that in some eases he himself
has not been able to distinguish the
spurious from the genuine. But there
are evidences which clearly show that
the certificates are counterfeits, aside
from the fact that they are duplicates
of genuine Instruments, covering . the
same land.
As yet 1st Impossible to estimate the
extent of the frauds, for hundreds of the
bogus certificates may be scattered
through the banks of tha eastern states.
Puter and McKinley usually employ
agents to hypothecate the paper, and
appear to have been careful to hide their
own tracks as far as possible. The names
of other persons who were concerned
with them are In -the possession . of State
Land Agent West, though whether these
were accomplices or merely tools cannot
now be stated positively. Some of them
figured as codefendanta with Puter and
McKinley In their trial last year. One
man who placed large numbers of the
forged certificates in eaatern banks left i
ATTEMPT Oil LIFE
OF-PRESIDEIIT
Missile is Hurled Through Car
V Window at Man Who Re
sembles fhe Executive. " 1
(Special Dispatch by Leased Wire to The Journal)
Washington. Dec. 1 What appears to
be an attempt on the life of President
Roosevelt by some unknown person oc
curred today while ths president's spe
cial train was speeding through Phila
delphia. . The train waa whirling along
at about miles an hour, bound south,
when there was a crash of glass and one
of the windows of the coach waa smashed
with a loud report and a dsrk obiect
about the else of a pound shot, waa
hurled - Into the car. landing upon the
other side of ths vehicle.
Bitting it the window through which
the aalssllo sped was Webster Hares, eon
ot the late president and who bears a
striking resemblance to president Roose
velt k
It is thought that the person who hurled
the missile mistook Hayes J for the presi
dent for this reason. - -
The missile waa a great lumo of lead.
which had been fashioned seemingly Into
a alungahot or black jack. Thr train Wss
not stopped, for the attempt had for
tunately pot been made tipon. the jrvl-l
dent s car, but one la front
1
LAND AGENT
EXPOSES FRAUDS
for Canada about two months ago aad
la - now In the Northwest territory, be
yond the reach of the state authorities. -
Innocent May Tet Be Caught
' The most unfortunate feature of the '
business Is that It la utterly Impossible
to ascertain the number of bogus cer
tificates that are now afloat or to warn -tbe
public adequately against them, so
that many Innocent persona may 'yet be
Induced to loan money, on them. The
state land agent haa written to some of
the bankers known to have been victim- .
lsed and haa urged them to commence
criminal proceedings. ' Inasmuch as tbe "
frauds were committed outside f this
state it seems that the, Oregon, authori
ties are powerless ' to 'proceed against
the swindlers. 1
The method by which the frauds' were
accomplished wss simple and the risk
of Immediate detection was almost nil.
SUte school lands were formerly sold
at 11 21 aw a. wroirong-TfftS down. T
one-fifth in one year, one-fifth In two
years and two-fifths on .demand. wtth
Interest ot six per cent Large buyers ,
of school Isnds usually prefer to make .
only the first three payments, letting-
the last Installment run at six per cent.
since by so doing they escape the pay
ment of tsxes on tbe land. 1 They do not
make final payment and take their deeds
until ready to dispose of the land, for
so long as title remains in the state
the land cannot be taxed.
- Easy to Oet Usta. '
Lists of school lands which had been
sold and on which only the final pay-
merit of SO cents an acre was due. were
easily obtainable at tha state land of
fice, where the records are all open to
the public. Oswald West had not been
long in office when his attention waa at
tracted to the fact that Puter and Mc
Kinley were having numerous lists
copied from the records, but though hie
suspicions were s roused he was not then . -able
to discover their purpose. Later he
learned tbe nature of their business.
Much of the school land covered b
these outstanding certificates contained
valuable timber and was worth far more
than the price aaked by the state. The
real holders were content for the moot
part to wait for the still areater values!
which the future will bring, and so there
was little danger that the genuine cer
tificate would be sent In to tbe land
office. - - i.
, Procuring a genuine certificate, the .
counterfeiters caused it to be photo
graphed., and a sine etching waa then
made from which prints were struck ,
off. Theee prints bore an exaot-fae -simile
of the signature of W. H. Odell,
tbe former clerk of the land board.
oui mere were some points in whlcn
(Continued on Page Five.)
CAN'T FORCE THEL1
OUr OF SEMITE
'; -;
Piatt and Depew Deny That
- They Have Any Intention of
Resigning Their Seats.
(8pclal Dispatch by Leased Wire ta The Jonraat)
New York, Deo. I. Benator Chauncey
M. Depew, on the eve Of leaving for
Washington. D. C, this afternoon, de
mod that he f ed resigned .from the
United Btatea senate or contemplated
doing so. 1 Mr. Depew was told of a re
port to the effect, that he had resigned
and said: - .
"There Is absolutely ne foundation
for the report Therlla no reason, log
ical cr visionary, why-, I should resle-n.
I am going to. Washington now snd will ,
tuke my eat In the snnte not Mon
day and hope to r.' mil my lerm."
Btnce the Insursnre dlm-lour wlfV '
regitr-l to Benator IJnw It bus IWi
repeatedly -reported tht he ouM re
sign his seat ' In the srnuie, tint lite
friends bsve alwnya maintained IMt he
was not the man tn retire tint-r fire
HIS own denial to-liiv. however. Is Oe .
first authentic declratlon upon the
suhjeet.
Hnstof Plait of Nw York. ', 1
askl to.l concerning tt' rr"' I . '
he lnlenl'l ti f'"'K'i M ' ' In '
imt. rep.i-.i: f'ium rfi'ni I I , , . -said
te amy. t -------
(Continued on Page Two.)
........... . :
- A
J".