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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (May 8, 1920)
tflk THE WKATHKR Probably rain, cooler west, in creasing cloudiness and cooler east portion; moderate westerly winds. tote Tbe BUImidii receives k leased wire report f the Associated Praaa. the greatest aad raMt reliable press aaeoetatloa la it world. PHICE: FIVE tVVW ............ . t, 4, jr 'SEVENTIETH YEAR o..... ? - . saij-:m, oiu.(;o., katiud.w Moitxixt;. nv h. ip-jo. t GRAND JURY RECOMMENDS NEW BOARD State Treasurer Hoff Cen sored for Certain Transac tions, but System Mainly : Target of Inquisitors FARMERS MUST HAVE ACCESSTO FINANCE PRESIDENT MUXX URGES SPEED ING FOOD PRODUCTION Capitalization of Mi-tfortunea of II n. ral Folk Created Nonpartisan League, He Ac, J ONDS NOT EXISTING BOUGHT BY OFFICIAL Elimination of Middleman in Security Deals Is Urged in Report Recommending that a' board of at least 'three members be created by the legislature to invest etate mon eys in securities, is one of the recom mendations in the report of the Marion county grand jury. on Its In vestigation into - bond transactions made between the office of . State Treasurer O. P. Hoff and the firm of Morris Brothers - of Portland. The report fays the right to invest bonds should not be left to any individual person. , The jury would have the board conrist of incumbents in state offices already existing; . State Treasurer Hoff is censured for baying from Morris Brothers bonds Oat were not yet in existence st aa exorbitant profit to the bond ing firm, though -' delivery of the bonds was secured by collateral se curities Reference ie made particu larly to f 100.000 in water bonds of the town of Reedsport which - were old to the state treasurer by Morris brothers at the "enormous cross pro fit of $16,019.90." It Is shown that retort exist of bond .transactions Tita ihe same firm that gave the Ann a profit of $84,076.09 and that there were other, transactions on Vhich the jury did not ascertain the profit to the brokers. Open Market Becommended It is recommended that the state to into the open marKet for its bonds (eying them directly from municipal ities or school districts, eliminating the middleman. ( , Methods of bookkeeping that have existed in the treasurer's office for rears. are criticized by the jury on the basis of the auditors' reports. The fact that there was no indict ment or charge of a criminal nature was not a surprise. The jury stated tUt the report might not be final but U is understood any farther ln. Wlry will be relative to minor de tails The report amounts to a criti cism of the existing system more thsa of the state treasurer himself, though it is declared - that bonds blch wefe not yet Inexistence were old by Morris Brothers. Inc., to Mr. Hoff, at an exorbitant profit. The report sets forth that State Treasurer Hoff purchased from Mor is Brothers, Inc.. exclusive of epe- UI a. . . ... transactions", from January v. 1119. to March 15, 1920.: bonds of tas par varae of $1,106,629.09. at a Wsuto the state of $1,172,223.12. which bonds Met Mnrrls Brothers tt.88M47.03. making a gross prof It to Morris Brothers of $84,076.09. Some Profits Unknown "In addition thereto." says the re port. -Mr. Hoff purchased from Mor Brothers, Inc.. at a cost to the ate of,$i55,263.55 city of Ontario Wring gold bonds, city of Rainier wtterment gold bonds, city of Rain ier refunding bonds, city of Scio elec trle ligat and water bonds. The last mentioned bonds have been paid Tor t the commencement of our examin ation, bat had not been delivered to statd treasurer; however, IJiey renow In thfrOoasession of Mr. Hoff treasurer of the state, having "wen delivered to him pending our wmtigation. The auditors' report- ,' nt various securities were eld. by, the state treasurer -as ol . rt1' Pending delivery of the afore ua bonds. We are not advised aat said bonds last referred to cost orris Brothers, Inc., nor were we "ItJainted with ' Morris' . Brothers' Profit thereon." a ' recommending the creation of Hoard whose duty it would be to ?Bey,a bonds in comment and ree nimendations to the governor, the 7 uyi. "The right to invest the jnoney of the state In bonds should - ?u 10 no individual person." says V report. VA man may be ever so "onest and yet if he lacks business lBtnea as sometimes is the caw '"vag public officials he, is liable "V&e raisled into making poor in Ttments." Excessive Profits Ieplored lU t4te for the purpose of in l. money consiiiumi .m th. urlal weMent funds, purchases IIom o( its own agencies twu bond dealers at excessive Profit" th r, .. tan snonId be remembered that the tomSf couns. school districts and . -7 and the state, as principal, has D I rani, i- . . interest in each ana an ft M. D. Mimn. president of the na tional dairy council, who was in the city yesterday, is a firm believer In speeding up the production of food. To do this, he said, more, money must be made available to the dairymen and grain farmers of this country. -"The nation's food suunlv 1 now threatened. ' he said. "The nation al wheat crop is one-third short and dairy products are falling away short of the increase in population." Mr. Munn pleads for the co-operation or bankers in solving the far mer's problems. Referring to the Nonpartisan league, he said this organization is the result of an . unscrupulous and skillful man who capitalized the misfortunes of farmers. "The remedy," he said, "is to be lound in rendering the rarmers the necessary assistance to market their products successfully and also to help them overcome whatever wrongs and difficulties they :may nowf be suffering." Mr. Munn attended the Jersey jubilee which ended in this city on Thursday night. FAMOUS OX SELLS HERE AT $10,500 Gertie's Poppy's St Mawes, From Doerfler Farm, Is Auctioned to Thomas Mor an of Dnngerness, Wash PRINT PAPER FINDING FILED Department of Justice Will Take Such Action As Is Warranted REGISTERED JERSEYS go at High figures Silver Chimes Gwendola and Other Blooded Beauties Change Hands WASHINGTON. D. C. May 7. The picture of the country press, which Includes the little four-page paper from back home, fighting with its back to the wall and almost ready to go under because of the print paper shortage was presented to a senate investigating committee to day by Cortland Smith, of New York, president of the American Press as sociation. . Along with his. picture of the troubles of -the country editor, Mr. Smith made the direct charge that the print paper market had been cor nered and that the print paper inter ests had conspired to regulate pro duction so that prices might continue to mount. In the face of this situa tion, he frankly declared there was little hope for the small town papers and that unless quick relief was pro vided half of them would be wiped out of existence. While other witnesses had charged that the market had been cornered. Mr. Smith, whose association largely suoDlies the country press, was the first to alledge a conspiracy to regu late outnut and price. The federal trade commission's findings In its investigation of the news print paper situation were sent today to the department oi justice. Chairman Murdock would not dis cuss the report further than to say he believed it embraced the details of a thorough examination by the com mission representatives. At the de nartment of lustice It was said the reoort was being studied "with view to taking such action as it war ranted." Urge Merchants to Attend San Francisco Convention PORTLAND. May 7 Through the frort of Fred Harris, memoersnip secretary of the National Retail dry rnnd flR.aoclation. who visited Port land today, a representative number of merchants from this city and tne chief cities of Oregon will be urged to atten l the association a convention a Ran Krancisco June 2 and3. 7.. Swett on behalf of the cloak and suit house1 pnd C. B. Dinpmore, have been chosen a committee to round up tne Oregon delegates, uinsmore reprtr- eents the department stores. The Jersey Jubilee was brought to a close yesteday by the sale of 25 registered Jerseys, the highest priced animal going at $10,500. Nineteen of these fine specimens of the Jersey kind were from the Frank Doerfler herd and six were from the Fox Bros, farm. Both of these Jersey special ists live near Silverton. These animals were sold at public auction at the state fair groundns, the sale commencing at 1 o'clock yesterday. Over 600 prcspecttive buyers were present. A number came from Brit ish Columbia. Washington and Idaho. The auctioneers were Col. J. W. Hughes of Forest Grove and Col. Ben Sudtell of Holsey. E. A. Rhoten. livestock editor of the Pacific Home stead, was sales manager. The Jerseys put up for sale, were all In the register of merit class. They were bred for beauty as well as for recognized standard type and large production. The bidding was brisk from the start on several of the finer animals. The total selling price of the 25 head amounted to $31,555. The 19 Jerseys from the Doerfler herd total ed $27,410. being an average of $1442 for each animal. The Jersey bringing the highest price was from the Doerfler farm This sire is known by the name. Gertie's Poppy's St. Mawes. He is ai most 5 years old and was sold for $10,500 to Thomas M. Moran of Dun geness. Wash. Silver Chimes Gwendola. a beauti ful Jersey cow, was purchased by C. B. McCully of Aumsvllle. Gwendola Rosalre will make her home on the farm of I. P. Lardon. east of Salem. Gwendola Rosanre so captivated Mr. Lardon's eye that he was Induced to pay $2050 for her. BUnEWITNESS CREATES STIR las Medal Said To Have Been Issued to Gun Men at Centralia SOCIALIST TO ENTER CONTEST convention is uuiea to de lect Presidential Condi-dates Rose Festival Officials Will Be in Salem! Monday fe&cles. "So county, school district or mu- HIM.-..-""""' toi ; 1 , y of an' kind should be per to sell Us security without lt Notice to the state and pub- ' (Continued on jalge 4.) Ilirectorr of the Portland Rose fes tival. including Eric V. Hanser. pres ident of the Rose Festival association will be glints of the Salem Commer cial clnh at the Monday noon lunch- n. Having heard or tne miertwi club and the Chrrrians the Portland men are coming down to taiK iuines over in detail. Yakima School Directors Fix Teachers Salaries YAKIMA. Wash.. May 7. Yakima t,titv crhnol directors. rawi hri trur aaoniea a kdcuuio i aries for teachers and agreed to an .rrnrt n have it"unlformly adopted H...H)init h countv. tnus enain - - , th rnmDetition inai now a reult of which has been an nnpre 'aa .hltinK about of teachers -n hnt.v ni. nf ineir coniiin wn... hoards The schedule adopted provides that first year ehers .r-PT 11150 to $1300. de- nendlne on preparation; grade teach ers of experience $1300 to $100 and NEW YORK. May 7. The Social 1st party of America will enter the presidential campaign tomorrow with the opening here of its national con vention. called to select candidates for president and vice-president, of the United States, adopt a national platform and perfect the party ma chinery for the "big fight of 1920. Two hundred regular delegates from all parts of the country aug mented by "fraternal delegates from "sympathetic" international bodies of organized labor, will go in to session at 10 o'clock. From that time until the convention closes, some time late next week, socialist forces will be made ready for battle. Unusual emphasis has been at tached to this year's convention by socialist leaders because of attacks on the party's attitude during tne war. ousting of the entire socialist delegation from the New York legis lature, a refusal of the house of rep resentatives to seat Victor L. Berger elected after his conviction for "vio lation of the espionage act. and gag" legislation which socialists claim has been generously oppres sive to the exercise of free speech free press and free assemblage. Eueene V. Debbs, -now serving ften-year term in the Atlanta, bo.. penitentiary for violation of thees- pionare law during the war. will be named to head the socialist ticket.' ac cording to the virtually unanimous prediction of party leaders tonight. Seymour stetdman, cmcaso attor ney and general counsel of the party. and Scott Nearing. formerly profes sor of economics at the University of Pennsylvania and University f To ledo, are the "favorites" lor nomina tion as candidates for vice-presiaeni. although Mrs. Kate Richards O'Hare of Kansas City, now serving a sen tence for violation of the espionage act in the Jefferson City. mo., iea eral prison, is mentioned favorably. The interest of socialists centers in the platform to be adopted by the convention. Because of the activities of members of the communist party which soranr from the old left wing of the socialists, great care will be exercised in presenting the principles and nlatform. It was said. The national committee, or wnicn Morris Illllquit is chairman, already has finished drafting a "declaration of principles'' and a "party program" for presentation to the convention. GilRTlK'S I-()IlVS ST M ;K iv ;,t.-rl .Ier:i-y l.uil I'm: v..-.;; ,.iU a! fair t?roMmUAuHiuiive!pnl.iv Lv K. A. !mIt f "lvrrtn.i " TI:-ij M-n "f I)ungcnc-s, Wash., for 10,rO0. A to al of M l-l )rcys chatipol himh at fancy prieen ami 11) of them from the I-rnr farm went at :m nv.raicr of 144.i. The sale wax a culmination of the Oregoi Jercy Jubilee. I '.taiVS-rr '; ! -. ' REBELS BEGIN MARCH ON MEXICO CITY Carrania GoTercmest Totter ing and 200,000 Sonora Troops HaTe Started cn Their Soatnern Sweep MORE STATES JOIN REVOLUTIONISTS General Jose Escobar Now Commander of Juarez Military Post WATSON ADMITS MURDER OF SEVEN Alleged to Have Confessed Murder of Agnes Wilson Alberta BUTTE. Mont.. May 7. Five members of the I. W. Wi who admit ted they were not clttltens of the United States testified at the coro ner's Inquest In- the death of Thomas Manning, who died from wounds re ceived In the strike riot of April, 21. inia uaiua. one or. tae witnes bad In bis possession an I. W. W medal, which he said was Issued to members of the organization who took part in the armistice day shoot ing in Centralia. Wash. He stated he had bought the medal. Several of the witnesses testified that they received from 18 to $12 day while working in the mines. The strike was called for a ware of '17 day for six hours. Dick Tarbuk testified he was member of the I. W. V. and shouted to tne men on Anaconda road to 'stick" despite commands of Sheriff K. O'Rourke for the crowd tto dis perse. Halmar Alvin, a striker, said stout looking man who wore a dark suit" led the mine guards and com' manaded them to fire into the crowd Acting Coroner John Do ran ad Journed the inquest this afternoon until 10 o'clock Monday morning. ALL CLASSES HELPING ARMY This Is Special Day for Salva tionists and Doughnuts Will Be Sold This will be Salvation Army day in Salem. Kettles will e stationed at three of the principal street cor ners, into which friondj of this be nevolent organization may drop their contributions. A Salvation Army service booth 111 be stationed at the intersection of State and Liberty trtreets where doughnuts and coffee will be served in ezebanae for such a donation as the recipient may care to make to ward the completion of Salem's quota. Contributions are now being made freely by all classes. A single sub scription of $T0 was received yes terday from one man. un tne other hand, one a;tel wo man who is a paralytic and speech Ie, cheerfully gave 25 cents. Th' solicitors who have been canvassing districts where the more Impover ished people live, report that some lamilies now living in Salm are in distress. Yet these same families are trying their utmost to help the Salvation Army at this time. One of the women solicitors, a clerk in a dry goods store, fonnd a mother trying to sweep her porch, but her physical strength was not equal to the task. She swept the porch for the housewife, who then expressed her thanks by contribut ing $2 to the campaign. LOS ANGELES. May 7. Two ad ditional murders were admitted to day by James P. Watson, daring a closely guarded conference held In the office of Thomas Lee Wool wine. district attorney,, according to stories the Los Angeles morning papers wlU print tomorrow. Mr. Woolwtae de clined tonight to make any statement as to what transpired at the confer ence. The newspapers, however. claimed to have obtained the infor matlon from a county official pres ent when Watson was reported to have made the admissions. These two alleged murders bring to a total of seven the slaylngs re puted to Watson, who has confessed the murder of Nina Lee Deloney. and who is alleged to have confessed the murders of four others of the score or more women be is said to have married." One of those said to have been named today by Watson as dying by his hands was Agnes Wilson of Al berta. Canada. He was quoted as saying be could not remember" the name of another woman whose murder he was alleged to have admitted. Each of them, however, he Is said to have told the officials, he bad taken for a boat ride on Lake Wash ington, near Seattle, where each was "drowned." Four of the five women Watson is said to have admitted drowning Bertha Goodnlch. D-atrlre And wmrtba. Agnes Wilson and Ihe one whow name he "could not remem ber" met death In Lake Washing Ion. according to admissions credited to him. The fifth. Alice M. Ludvig son. he Is said to have confesseu drowning in a river In Idaho. When asked why the body of none of them was ever recovered, he Is said to have responded that bodies seldom were found when death had I taken place in deep, cold water. iniiciais were said to incline to tne belief that the one whnne name he coolud not remember" wa either Mrs. Gertrude W1lon. Mrs. Kmily J. Rose or one who was known to the officers only ss "Eleanor." Mrs. Gertrude Wilson was a widow lib. a young son when in 191? at Seattle. Watson was said to have married her. ulng the name of James P. WatsJn. under which he was indicted here for murder. He left her and the boy on a farm In the Hood canal region in July. 1917. but later had them Join him in Seat tle, it Is alleged. Nothing has been heard of either. PR0FI1MING IN FOODSTUFFS Government Able to Feed Army Man on 49 Cents Day Says Wood EL PASO. May 7. Tbt Camas government at Mexico Ctty la totter lag while 20t.o9 Soaora rerolsllea lrts have bersa their southern twee toward the aatloa's capital. Teodala R. Bettram. cotaxnertial agent here for the revolutionists, declared to day. from J a ares comes the report that the lsthmas of Tthaaatepee la the late ef Oaxaca: Oixaca, the rapttxl city; Cordoba. Vera Cras aad Arara- bars, Gaaaajnalo, have LtUea tat the hands of the revolatloalsts. ac cording to an svaaoaaceoeat tonight by General Jose Coatalo Escobar. commaaader ef the Jaares military district. NEW YORK. May 7. There Is no question that profiteering la food staffs Is general la some sections 1 the country. Oeneral Leonard Wood said here today. "We are still able to feed a man la the army tor 9 cents a day very well," "tie added. These, fig a res are Inconsistent with the prices which you have to pay la civil life. County Taxpayers9 League Meets at Court House Today The Marlon County Taxpayers league has called a special meeting today it the courthouse at 1 o'clock te hear rtatementa from candidates as to it cir position on matters importance at the coming primary election on May 21. and taxpayers and citizens generally are Invited U be present. It will be the first general politi cal gatherin of the primary campaign and th league, through its executive romtnlt'e. composed of It. P. llotae. Isidore Creenbaum. R. L.Endicott. JoMpb' Haker and E. M. CroUaa has sent out a statement to taxpayers or tbe country, with the name of the fonrtevn candidates and their l'V Kan, anj asked for a straw ballot to Indlcite the choice of the taxpay crs anions the candidates, which will be made public. Landis Attacks Federal Reserve Bank Salaries CHICACO. May 7. Js3reK.ce- saw Moaatala Laadls attacked sal aries paid by the Chicago Federal Be- serve bank today whea Homer B. Whitehead, maaager of pabllcity ana la charge of the beak a maiUag de partment, appeared la toart to plead gailty to padding his departaeatu pay rolls. Whitehead told the court he re ceived II a week. That's aav eatr," Jadge Ldl declared. "Here Is a mas. Baaager of a department that has more than II saea la It. The salary Is a dis grace. I waat Ihe cashier of the baac brought lato this court to explain why this maa Is sot belter paid. Sterling D. Kramer, eastier of the bank, was iiamessd. la response to qaestloalag by the jadge Mr. Kramer Id his aalarr was t a year aad that of the governor of the beak. US.OOO. Jadce Landis deferred sea trace oa Whitehead aaltll May 12. If. of 0. and U. of W. Teams Clash at Seattle Today SEATTLE. Wih.. May 7. Track team, of th fniversliy of Oregon and I'niversity of Washington will clash at I'niversity field here tomor row in what sjort followers expect will be one of the closest and hard est fouuht meet of the conference reason. It will al o h iheMast ap--arancn of V Washington si aad on the home field this )rar. Oregon' team numbers several unknown athlete, and It Is this un known i lament that l worrying Washinston coll.gin. The final re lay will be the deciding event of Ihe hiert. in the opinion of Coach Ed raunson. ct Washington. Report of Labor Shortage - In SawmUts Is Denied PORTLAND. Or.. May 7. Offi cers here from the Westers Plae Manufacturers' aaeortatloa tod4y made a denial of the report which they wer Informed was la circula tion in the middle west to the effect that a shortage of labor exists la sawmills ia Oregon aad Waahlagtoa. According to the statement mills here are well supplied with help at present. Tbe statement said la part: To the best of oar kaowledt there la nowhere la the aorthweat stx-h a shortage of sawmill help as rrported In Minnesota aad ad Jot a lag states. Mills here are running to capacity, fully manned, aad It rwems untortaaate that mUIaformalloa of this character sboald be disseminat ed to the detriment of the ladlvldaal worktngmaa who may be deceived by lt.- New Mexico Newspaper Reduces Cost of Living ALBUQUERGl'E. N. M.. May 7. The Morning Journal lias purchased 20.000 pounds of beet sugar which will be placed on sale next Tuesday morning at 15 cents a pound. Only rifty cents worth will be sold to each person. Sugar is now retailing here at 22 to 25 cents a pound. Portland Gun Experts Are Called in Coos Murder Case MAUSHFIELD. Ore.. May 7.- Ei- pert gunsmiths have been brought from Portland by the prosecution in the Harold Howell murder case to teatlfy regarding the bullet taken from the body of Lillian Iuthold. The bullet is said to bear peculiar scratches and it was held at the pre vious trials that these macks could only be made on a bullet fired from the gun owned by the Howell boy. which was originally a .22. but which had been rebored to shoot a . 2 - cali ber bullet. The experts will lenity about the marks on the bullets. The defend has declared It will show that there are several other rbored guns in the countny beside the one owned by Howell. m.M.KK KTIIIKKRH IlELKAHKI LONDON. May 7. Fifty hunger strikers were released from "the Wormwood Scrubbs prison today. Member Parliament Wear" Overalls in House Comment LONDON. May 7. Major General John Rolerly Prettyman-Newman. member of par!!mit fo- the Flneb ly divirttn of !lldletev. who aa- noimeed that he would wear overall In Ihe houe of common, carried out h!s threat thl afternoon. i e Salem-Dallas Paving Is Ordered to Stop Paving on the Falem-Dalla high way will lie stopped at Rl'kreall. npon n ordT iued eterdy by tbe Mate hichway commission. Work will not le resumed until the polk county court provide for grading that sTtlnn of the Pacific highway from Monmouth south along th" lO'ite fMabiished by Ihe commission. ,Snrh drafti- action was derldd on at a !pe"tal m'-etlng of th rom rt!ifn in Portland yesterday morn ing, follow, r.g the return of Chair man S. I ten son and Commissioner TL E. Kiddle, who have been Inspecting the work uorth from the California Lne. Two Killed, One Injured in Valley Logging Camp ItlLIjfinOKO. Ore.. May 7. The coroner waa notified today of aa ac cident which occurred late yesterday In a logging ramp la the moaatalas wet of here, whereby two men were killed and one Injured by a reboaad Ing log which was being felled. The dead: Letier Ridge. 20. of Beaver- ton. Ore.; William Lane. 21. Cnaxies Crtmicaa. 39. was the maa In J a red. Important Festival Events WUlamette Program Today Today 1 lh real day of the Wil lamette May Festival. Tbe da f pleasure will roarart' at -" a m with a May mora;cg bteakfatt ta ihe eamp. Breakfaat will be rved to all comers by tbe roiUce Y. W. C. A at very nominal rvl between the hours of : ana :30. The ternis tournament comee at to between the Tniertity f Oregon and Willamette. Frehmen cere moniouniy discard their green rape at 2 p. m. The f rehman-ophemor tna-o-war acroes the mill race will follow Immediately at about 2:2d. One of ir.e larger events'of the day will be tre baseball um blwea Mtltsm.ua cleb and Willamette ns wevitnl fl'ld at 2 o'tlnk. This eeniDK will wtn the pro duction ef "Yokohama Maid." the Japanese comic operetta to be given at tbe Gtaad Opera house al 1:1 by the students la the department of musle aader the direction of Prof. Joha IL Elle. high school teachers $lso to