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About The Oregon daily journal. (Portland, Or.) 1902-1972 | View Entire Issue (Dec. 2, 1920)
lt All Here and f All True
THE WEATHER Tonight and Frldsy.
rainj southerly winds.
Minimum temperatures: '
Portland....... 48 . Kew Orleans ... 44
Helena . 28 New York ...... 40
los Angeles .... 54 St.-Paul Zi
Today's Newt Today
What uo-to-date people want ia up-to-
date news In other words Today's News
l ajul uir ii. -mats ina
way. See lor yourseir.
VOL, XIX: " NO.
Entered u' Second CUta Matter
Pwtoffiee, Portland. Oregon
PORTLAND, OREGON, THURSDAY EVENING,
1920. TWENTY-TWO PAGES
PRICE TWO CENTS
ON TRAINS AND NtWI
STANDS' riVI CENTS
YEARS OF FIGHTING; GRAIN TO ;
Interstate Commerce Commission Which Decided Columbia Basin Rate
Joseph B. Eastman Winthrop
. I VX'f
Pfesident-Elect Signifies Willing-
: I ness to Confer With Presi4
' dent About League.
Bj George R. Holmes
r "Washington. Dec. 2. (I. N.. S.)
'Materializing apparently out - of
-thin air, but nevertheless material
izingr, it ;was Tegarded as very prob
able in "vv'ashington today that Pres--,tdent
Voodrow Wilson and President-elect
"Warren G, .Harding will
meet and confer at the White House
following . the senator's arrival in
" the: capital ' ou ; Monday from his
Panama trip. ; - ' .-
" Pforn the "White House this morning
rame 'the unexpected . - announcement
' that President Wilson ' "would be very
glad to receive ., his successor when he
arrives -in , Washington.- '
; HARDING IS WILUSO
Almost at the same time- Secretary
Joseph P. Tumulty was making' this
announcement at the 'White House
Ihers came a wireless dispatch from
.i the . steamer Pastores, on which Sen
's tor Harding is .returning to this coun
try, saying that President-elect Harding
.has "signified his willingness to confer
J -with - the president on the league of
The prospects of such a momentous
conference just a,s the expiring congress
of the Wilson administration is getting
ttnder. way. aroused tremendous interest
in Washington and sjarted a flood of
- conjectures over its possible results
PRESIDENT HAS TREATT 1
v; President Wilson still -has in his per
sonal possession the original-treaty nd
league covenant which were' returned to
the White House immediately after their
'-' rejection at the hands, of the-senate. The
president has never sent them to the arL
chives of the state department for safe-
keeping, but has kept them with" .him,
V and this has at various times caused re
J ports that he intended "to resubmit the
treaty to his Jast congress. If he had
- no such intention, it hag been pointed out.
he would have-deposlted the treaty with
', other official documents in the state de
partment. Senator Harding already has confer
'J rnces scheduled with Senator Lodge and
other Republican senatorial leaders upon
his arrival Mere, i If a conference is ar
ranged between the president and his
successor during his. stay here, one of
; the things the president could learn from
Mr. Harding is whether there is any use
in resubmitting the treaty at this session.
Fiye Mil Tax f or
Road Purposes Is
Mxt'i Voted at Mosier
Mosier, Or., iec. 2. At an enthusiastic
meeting of 40 taxpayers of Mosier dis
trict at Georgs .'Chamberlain's' home
Tuesday, a S mill tax was voted for road
purposes in the .district. AC good reads
. association was formed,- witli the fol
lowing officers : Mark A. Mayer, presi
dent ; R.. D.' Chatfield, secretary, and
Ij. J. Merrill of the Mosier ?Valley bank,
- -treasurer. The new association will
' start- off with between BO and 100 mem-
bers with the object of the jtnprovement
-. of air roads In the district.!.
A vote of thanks' was extended Road
Supervisor Charles T. Bennett for his
work and the county court was requested
to reappoint Bennett ' A fmeeting will
be held Saturday at the Fruit Associa
'4 - 1.1
- I I '!
on building to make further plans for
H. Daniels Balthasar H. Meyer
Rebounds in Car;
H. J. Bonie Hurt
II. J. Eonie'a,, head- was injured
and he received minor cuts when a
trolley on a Montavilla car. broke
on ; Mdrrison street between Front
and First street, struck the pave
ment, rebounded through a window
of the car and hit him on the back
of the head, at 8:0 o'clock this
Bonie was 'seated in the-rear of the car
when the .trolley jumped its wire.; In
flying from the power line it hit a' guy
wire, broke and fell back to the street.
Flying glass scattered among other
other passengers, but did no injury.
Bonie lurched forward and fell on: the
car floor. Without, regaining conscious
ness he was taken by the Arrow Ambu
lance to the hospital.
. Bonie Is the Portland representative
for the Ajax Fire Engine works, and
has his office at 1124 Y eon building.
Sacramento, Cal.', pec. 2. (ILP.)
-Wilf ord . W. Morin, charged with
passing) 16 bad checks in Oregon,
is under -arrest here today. Held
with , him are Earle L. Fre.il, Miss
Delia Christian of Portlarid, and
Miss Mabel " Randall of Billings,
,11. S. and Canada Open
War on Rum Runners
I . . m
- VV I rX CP I lofT'rtit KlTTOT
XAXvi-ft iuuiuiu xtix v ui
Detroit, Mich., Dec. 2. (U. . P.) A
Joini warfare on rum-runners along the
Detroit river was planned at a confer
ence here between officials of the
Ignited States and Canada'
It '. was agreed that an officer from
either side can hereafter pursue a pro
hibition violator into the: other country,
providing he turns" the case over to an
officer of the' other scountry as soon as
he enters. " - '
Extra police will patrol both sides of
Shipping Board to
Act in Rate Case
Washington, Dec.- 2. (WASHINGTON
BUREAU OF THE- JOURNAL.) The
shipping board will hold a public hear
ing Monday on the further suspension of
the, application of section 23 of the ship-
pink act, providing for rate discrimina
tion against goods carried in foreign
vessels. , Commissioner Teal is expected
to preside. s
Medical Men Hear
Public Health Talk
Hartley Fiske Peart, attorney for the
California State Medical society, met
with various medical men at a luncheon
today at the Benson to discuss estab
lishment of a league for the conserva
tion of public health in pregon; The
next meeting will be held' Monday and
will be addressed by Celeste J. Sullivan,
head of the league.
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WINS COLUMBIA BASIN RATE CASE AFTER .
Edgar E. Clark
Policy of Contract Poor, Says
Secretary of Interior After.
Hearing Oregon Men.
"Washington. Dec. 2. (WASH
INGTON BUREAU OF THE JOU.R
NAL.) Before Secretary Payne and
Assistant Secretary "Vogelsang of' the
interior department and officials of
the reclamation service the. power
contract - of the Oregon-California
Power company, in connection with
the Klamath reclamation project,
received an extensive'hearing, which
promises to last the greater part of
the day. "
After Senator. Chamberlain had pre
sented a history of the matter and de
clared that had he suspected when gov
ernor of Oregon that any such '.use
would be made of Klamath lands, he
would have vetoed the act of the Oregon
legislature which conveyed them to' the j
government. Senator Payne declared :
POLICY CALLED BAD !
"I agree . absolutely with Senator!
Chamberlain as to the policy of this con- ;
tract. From the standpoint of govern
mental policy it is bad Even if It cost
-great deal more, the government
should Itself build the dam and do the
"If this came to me as a new propo
sition I would refuse to enter into such
a contract. What bothers me now is
that it dates back for " two or three
years and considerable money has been
invested. Usually the courts will uphold
contract when a large Investment is
already made if there is any ground
"I am not committing myself, mind
you, as . to: what I shall do about this
contract. which from the utilitarian
standpoint of public policy is bad."
Chamberlain argued the matter at
length, asserting that the primary pur
pose of the contract is power.
In view of the history,- which he re
viewed, he contended the government
is without, authority to make such a
contract, and that it is against public
policy and void. He represented no in
terest, he "said, except protection of the
people of- Oregon and protection of
their : respurces from outside forays,
but the subject is close to his heart
and he appealed for definite action to
stop execution of ' the contract.
POWR COMPANY REPLIES
Attorney Flager followed with an ad
dress in behalf of the power company.
His contention was that the government
is getting the value of the concession in
the building -of the dam and that no in
jury will result from use of the water by
the power interests. Congressman Sin
n?tt challenged the right of "the govern
ment to enter into a-power contract for
more than 10 years, asserting that con
gress placed this limitation many years
ago.- Reclamation officials Replied that
they do not consider it 'the lease of a
"That is mere subterfuge." said Sin-nott-
'"The language of, this contract
indicated that it was drawn for the pur
pose of avoiding the plain letter of the
law." ' Sinnott closes, the argument this
Four Bandits Loot '
Mail and Express
' Chattanooga, Tenn.i Dee. 2. (U, P.
Four masked bandits held up and robbed
passenger tjain No, on the Southern
railway a tt Oneida. Tenn early today.
The mail and express cars were looted.
xKTtV v n - , rM - r --f' -12 rnrr - - . - . T , i v' ' i-HiWwif n,,... f 1
JL1 111,' f ,4 If v W ' ju ' J-v,P''- w. - s - ' -T- .
Clyde B. Aitchison ! Charles
Exporters Sell and Gamble on
Lower Prices, but Are ' Forced
to Pay Higher Prices.
By Hyman H. Cohen
Wheat short sellers are facing
staggering losses today In the place
of profits which they had nicely fig
ured on paper."
The wheat grower is elated at the
new turn of affairs and while! it is
too early to state definitely how far
the advance In wheat will be forced,
the fact remains th'at the trade in
general openly expresses the opinion
that wheat prices have not only gone
low enough, but too low.
Two cargoes of wheat were recently
sold in Portland, by an export house here
at an extremely, low-price to go forward
to England. This sale is said to have
been made "short," or without the wheat
on hand. The sellers hoped, or gambled,
that the market would go still lpwer.
FARMERS ARE WIXXIXG
They have lost their bet : the farmers
are winning and the situation which ap
peared to be undermining the American
Wheat trade is gradually -changing.
In order to "cover" or deliver' their
short sales of wheat to England, the ex
porters who forced the extreme price
here have been forced to go into the
country for actual- wheat. Wheat they
had figured on paper as being able to
secure at very low prices was not avail
able for real loading. Heal wheat was
held by the farmers and. they have their
(Concluded on Pace Threie. Column Bis)"
Washington, Dec. 5. (U. P.!) -All
immigration . would be suspended
for two years by a bill submitted
to; the house immigration commit
tee today by its chairman. Repre-.
sentatlve Elbert Johnson, "Washing
ton. . ,
Johnson, who has been making !a thor
ough study of the immigration situation
for several months, said such action is
necessary to prevent "hordes of for
eigners," many of whom are Undesir
able, from entering the' United States.
Fugitiye Youth. Is.
Arrested in Act
Of Robbing Store
. V :j : .
Alfred Lyons, 17, a fugitive from the
Washington state- training ' school,; was
arrested shortly after midnight ; this
morning by Patrolmen (Sanders and
Thurber while robbing the grocery, store
of D. Lw Poindexter- at 443 Goldsmith
street. Police say be had stolen -automobile
tools and broken the glass In
the door with the tools to - gain en
trance. 'When the officers passed h
was preparing to make a "cleanup.:,
. Police . say Lyons : confessed W rob
bing stores at Vader ' and Hemlock,
Wash., also, since he escaped from the
school at Chehalia
C. McChord Henry C.j Hall
Is Forfeited. to
.. . V- - ' ' -
Beonuse one of the players of the
Washington ': high school ' foptball I
team was not high enough in. his
studies to make him eligible to play
may cost the east side institution the
1920 championship of the Portland
Members of the school board, tai ses
sion Wednesday, after a thorough in
vestigation, recommended , that the
Washington high-Colvmtrta university
contest be forfeited to Columbia. One
of the pupils was not up to the re
quired scholastic standing for- that par
ticular game, the- board announced.
Hugh J; Boyd, principal of Washing
ton, was npt blamed for the playing
of tsie star, inasmuch as this was his
first "year as director in the league and
his knowledge of the rules, it is said,
was to the effect tljat a' pupil was eli
gible If he passed . two-thirds of his
studies: .' '
Washington defeated Columbia 21 to
0, but in case the directors of the
league Vote to forfeit the contest, a
three-cornered tie betweep Colombia.
Franklin highland Washington high
will be the result, i
Charges that two (of the Washington
players were over age were investigated
by the school board, but it was, found
that one was born iri 1900 and the other
in 1901. C. E. Cleveland, president of
the Portland Interscholastic league, is
expected to call a meeting of the di
rectors some time next week for the
purpose of going over the 1920-21 bas
ketball schedule. The Washington-Columbia
affair may be thrashed out at
In making his report. Superintendent
of Schools L. A. Grout said he felt that
the present size of the league was too
large, inasmuch as too many games were
played to permit a high school athlete to
keep his studies up to the passing mark
throughout the season.
London, Dec. 2. (1. N. S.) For
the first time in, years the gigantic
iron gates of the foreign office were
closed today to all but those having
official business inside. This pre
caution was taken as a result of evi
dence discovered by the police m
anti-Sinn Fein, raids.
It is probable that Westminster Abbey
may be closed to visitors. Scotland Yard
officials isaid that '"important names"
had beeni found in the police raids.
The home office has barred Archbishop
Mannix -of Australia from .making an
address at Bootle, where incendiary fires
occurred last Sunday morning.
Senate Needs New
More Than Cabinet,
Says Senator Lodge
Washington, Dec. I 2. (I. N. S.) Sen
ator Henry Cabot Lodge today issued , a
public statement expressing the "hope"
that Senator Harry j S. New. of Indiana,
would not become a mpmber of the
Harding cabinet. . -----
Senator New Ii too valuable a man.
Senator Lodge said,, to be lost to the
FEAR RA D
senate. - I .
' The Lodge statement-was looked upon
in political circles in Washington as very
Robert W. Wooley
Railroads Will Obey Commis
sion's Order Without Protest
or Appeal, Is Belief.
Portland is jubilant over the fa
vorable decision of the Columbia ba
sin rate case by the interstate com
merce commission.,' . ,
. "A wonderful victory that will go
far to increase and stabilize bur
prosperity," was Mayor Baker's
comment. ' .
"Fine," said President H. B. Van
Duzer of the Chamber of Commerce.
"This is ffie best news we have' had
in a long time and it comes just
when it will go farthest to strengthen
our ' confidence in the present and
future of Portland."
Former Governor Oswald Westf who
represented the Inland Empire Shippers'
league, said :
WHEAT GHOWER' HELPED
Press reports Indicate that Examiner
Thurtell's findings had been approved by
the commission. If this is true it means
that wheat shippers from the Columbia
basin Bouth of the Snake will enjoy bet
ter rates to Portland than to Puget
Sound. .The territory., farther east In
Oregon and Idaho receives no reduction.
This is duer undoubtedly, to the failure
of the shippers in this territory to show
any interest in the case.
"The! decision, while not giving us all
we asked, is a great victory for Port
land and other Columbia river ports. We
are at last coming into our own."
GRAIN IS INCLUDED ,
"I have no doubt that the order in
cludes grain as well as other commodi
ties and classes which constitute the
traffic of th sone south of Snake river,"
said W. C. McCullough, associate coun
sel with J. N. Teal in representation of
the traffic association and the Portland
Chamber of Commerce. "It Is an un
mistakable victory for Portland and for
the people of the district who will get
the benefit of rate reductions."
"We laid stress upon the proposition
that cost of haul should be the govern
ing factor In ratd making," said J. O,
Bailey,, who as assistant attorney gen
eral represented the Oregon public serv
ice commission irt the rate action. "The
commission has undoubtedly recognised
that the carriers are entitled , to a fair
CoocWaed on pat Two. Column fill)
FIRED ON BY POET
Milan. Dec. 2 (I. N. S.)- Puring
a demonstration by Italian warships
off Flume, Gabriel e D'Annunzio's
troop fired upon the warships with
rifles, said a dispatch from Flume
today, ' -."'. . : :
. The transport Cotellazso of D'Annun
zio's "fleet" is reported to have been
sunk at the entrance to Flume harbor.
This incident followed a threat .'of
D'Annunzio, military dictator of Flume,
that he would formally declare war
against . Italy, effective Friday, if the
-.government i at Rome should decide to
uphold General Caviglia's blockade of
Fiume, said a diatatcb from Fiume .to
AT RATE NEWS
M iuiiii a i-inrui riYfirinr 1 11
II PORTLAND'S TERRITORY
i r- ft . . , !- !
All Territory in" Columbia River Basin South of Snake River to Be
Given Ten Per Cent Lower Freight Rates t6 Portland and Van
couver Than to Puget Sound Ports; Rates From 0her Sections
of the Inland Empire to Coast Ports to Remain Unchanged.
COLUMBIA BASIN RATE DECISION MEANS
That Portland gains advantage In Northwest race for seaport ami
distributing center supremacy, i
That area producing 10.000,000 bushel of grain annually 14 'added
to the Portland- Vancouver non-competitive territory, thereby increasing
probable wheatvreccipis at this port by million of bushels a year.
That -Astoria will be grouped with Puget Sound In respect to zone
south of Snake river. J
That important recognition of Columbia water grade Is granted hy
interstate commerce commission. ,, -
That beginning of break In artificial, discriminatory Northwest rate
structure, now based on half mile or more lifts of mountain routes, has
been made. . 1 - . j
. That expected saving in grain rates is 1 rent a bushel, or 30 cents a
ton, to Portland and Vancouver. f . '.: .
That new Portland-Vancouver rate ; will . be 80 per , t-ent of Puget
Sound-Astoria rate. Change to be reached by lowering Portland rate
5 per cent and Increasing Puget Sound rate S per cent.
That campaign for rate reduction and Columbia watbr grade recog
nition .launched by The Journal has been won for the' people of the
Columbia basin. - '
- By Carl Smith
. "(Washington' Staff Correspondent of The Journal) - - v
Washington, D. C, Dec. 2. Portland's' contention for lower '
rates from the Columbia Basin than Puget Sound and Astdr'.a
ripened into permanent vic'tory today when the! interstate com
merce commission handed clown a formal opinion cdnfirmyig- in
all essential respects the tentative report of Examiner Thurtell,
made 'some months ago. ' . -
A differential of 10 per cent In all class and commodity rates Is ordered
in favor of Portland and Vancouver from points south of. Snake river,
the same territorial division being retained as made in the Thurtell report.
Thurtell recommended a 10 per cent differential in commodity rates and
graded percentages on class rates. The Pf ina decision adopts the 10 per
cent rule for all traffic. , i,
I ' - 'i - - ;
A new feature is that the commlssloiir holds that the 10 per cent dif
ference should be reached by a 5 per cent decrease in existing rates to
Portland and Vancouver and 6 per cent increase in the rates to Seattle,
Tacoma and Astoria. I
COST OF OPERATION1 IS CONSIDERED , . . j, ; '
The opinion, written by Commissioner Eastman, follows the reasoning
of the Thurtell report, but places father more emphasis upon this higher
cost of operation of the wfhding mountain routes to Puget Sound as com .'
pared with the water grade of the Columbia river. . i i r
There is emphatic statement that Jhe advantage held by Puget Sound
lines on traffic density is in part due to an advantage they hold in rates.
Summing up on comparative cost studies In the- TCorthwest situation, the
opinion says: .. - " v -- ,
"While the study of operation,
costs by the Oregon commission is
not to be taken as an exact demon
stration, it follows a line of logical
reasoning which has often been
urged by the defendants themselves
in a manner less conservative. "We
think it has been shown that the
added cost of operation over the
mountain routes, as well as distance,
is a factor to be taken Into consid
eration in passing upon the ' rate
structure and that this added cost
is not counterbalanced by added
density of traffic. Present differ
ences in tonnage are in part a prod
uct of the rate structure itself. "We
are of 'the opinion that ' the added
cost of operation over the mountain
routes largely affects the distinct
advantage of Puget Sound in the
territory north of and including
GRAIN IS INCLUDED
The decision follows the Thurtell
report in holding that the rates from
Portland to the Inland Empire are
not in, themselves unreasonable and
denies Portland any rate advantage
in the Spokane distribution territory
north of Snake river. - The grain
rate case, which was combined in
the same proceeding, was ordered
dismissed on the ground that grain
rates are not shown to be unreason
able but grain, of course, shares
with all other commodities, in the
10 per cent differential which is to
be established. ' '- .
The opinion of the commission
was Unanimous except that Corh
missioner Aitchison, the Oregon
mem,be, refrained from participa
tion lin it. f
The commission, instead of issu
ing formal order directing the dif
ferential to be put into effect, says
that the railroads will be expected
to file' revised rates within 90 days
in accordance with the commission's
Considerable ' attention is given
Astoria's position, the Astoria case
decision is quoted at length and As
toria's claim to take the same rate '
as Portlarid is stated. The commis
sion proceeds:. '
"Our decisions which hold in sub
stance that a locality or i-bmmunltyi
may not lawfully be deprived in the
adjustment of rate of : its natural
advantages, and pur decisions which'
in substance approve ' the practice '
of blanketing rates are not in con
flict, we have never held thai it Is
necessary in order to preserve ad
vantages of location j that rales '
should be based rigldlyon mileage'
or on "cost of service. rU this were '
necessary, many of the freight rates
of the country would be unlawful. i'
REASONABLE LIMITS FIXED
'Such a system of rates woulvl
indeed, as a practical matter, be lm-
possible of - application and. we do
notj understand ; that :' cdmplalnants,
are" contending for such a 'system
here. There are limits of reasona
bleness inthe making of rate s which '
a certain degree f flexl
their adjustment for the
sake of convenience 'or simplicity - or ,
for the purpose of meeting commer
cial and-competitive conditions. Out
of such - situations rate blankets
grow and , there is nothing unlaw-
(Conetadrd on Pan Two. Column Tbrw )
Current Events t-
IIow the country views - the
varying phases of the questions
;f the day Is set forth ln brief
in the Daily Editorial Digest that
appears on the editorial page of
.The - Journal. . ' t- ;'; yr.?ys ',
w For ischool children, students,'
the w-orklngman. the professional
man, the business- man, in fact,
: for all raembers of the home cir
- pie, the Daily Digest provides a
course of reading of exceptional