S in inn -in -r n i-ii i in n .inmi niimmmmmtmimmmmmianmmtiimammammKmmmmmmmmm . f. rTf .. f r iiiiitamn-iminiMlilimssasr TW nr n ir ji 11 . .... ... i.iim ujjjummu mni ' inn n 1 1 viirTimim-mnii nn i - r "i mil - t i 1111 ami Wave - YoirDcsfdod, ToJtJJaUo.A Contribution To The tatesman'o ChpiDtmao Cheer Fund For ftoc'dy Folko? f ' "VJ ft, . "WEATHER FORECAST Clearing weather; colder; decreasing northwest wind. Maximum. 61; minimum, 43; River, 3.6; Rainfall, .35; atmosphere, cloudy; wind, northwest. First Section Pages 1 to 8 Three Sections 24 Pages INTY-SIXTH YEAR SALEM, OREGON, SUNDAY MORNING, DECEMBER 12, 1926 . PRICE FIVE CENTS 5 TIL1ER1G CREDIT BILLS Treasury Surplus Will Be Applied to Reduction of Public Debt MINORITY IDEA R EJECTED Benefits to Be Felt by All Taxpay. ers Instead of Those Limited to Paying Income Tax Assessments WASHINGTON, Dec. 11 (AP) Thumbs were -turned down by the republican membership of the bouse ways and means committee today on all tax reduction legisla tion including President Coolldge's tax credit plan, for the present session. As a result, by a strictly party vote, the committee adopted a motion by Representative Hawley, of Oregon, ranking republican, to table all revenue proposals. It carried after brief but sharp de bate had brought out that the president's suggestion would be lnVV$"d among those to be tucked away .into a legislative pigeon hole. . r . . This means that, under existing law, the treasury surplus will be applied to reduction of the public debt at the end of the fiscal year, June 30. . Such disposition was- recom mended by the president as alter native for tax credit. In his mes sage to congress he estimated the surplus at 1383,000,000 while democrats hare placed it at 1500, 000,000, P'vito action on the Hawley nfC.i another clear . cut party lifiVcp rejected a move .hy Repre sentative G artier, or Texas, rank ing minority on tfcefee-mmtttee, to hold hearings on the $338,000,000 democratic tax reduction bill, ; Garner, author of the, proposal, precipitated the discussion, urging the commission first to take up his bill, drafted with approval of all democratic leaders. He then vainly sought to use the presi dent's proposal as a vehicle to bring the subject of . tax revision before the -committee. Jfc After the, meeting Chairman Green ieeuec a statement, assert ing the republican committee members felt the surplus ."best could be used to reduction of the , national debt, rather ' than for a credit. . "They 'recognise that there is much to be said in favor of this proposal." he said, "but of neces sity the benefit of this reduction would be limited to Income tax payers." FLAX ACREAGE , BEING SIGNED FIELD MAN MEKTH UNKXPECT ED DEMAND FOR CONTRACTS Polk County to Double Amount, Farmers Plan for Rotation of Crops . The signing up of the flax acre age for the state flax plant for next year is going to be an easy and pleasant task. ,7 Col. W. ; B. Bertram, field pan for the. state and the Oregon Linen Mills, Inc., is finding a rather unexpected de mand for acreage on the part of farmers for contracts to grow flax. Polk county will easily double her acreage of this year. What Col. Bartram calls the Au rora district is asking tor a large Increase over this year. In that section Butteville had two con tracts for this year and asks -for eight tor. next year. Backsburg had one this year, and wants nine for next -year. sSL J'anl had two, and will sign for eight; and rather large tracts, with good land to grow flax. . , :r" ft:f " v Angel ' will more than fie her acreage of this year. -; A Very Good Sign -actlcally every farmer who Is applying for flax acreage proposes to follow a rotation scheme which It Is the wish ot the state to have followed. Nearly every grower will apply fertiliser peat year.; "; :.. It & likelv that there will have to j bet some rejections; or cutting down of acreage, before the plant Ing season arrives. The-indications are that there will be more acre age offered than the state can ac cept -more than the state fiax plant iha lhe.JaeUlties o handle though there Is likely to be a con b 1 d e r a b 1 y Increased capacity. through (be addition of newma- LOCATE GRAVEL BOUNDARY LINE COMPANY .TO PAY STATE ROY- ALTY FOR SOME SAND Surrey of 1890 'Used Largely, Complaints Made to State Land Board In . accordance with recommen dations made by the state engin eering department, the state land board entered into a contract with the Ross Island Sand and Gravel company for the locating of a new boundary line in the Willamette river yesterday. The contract settles the con troversy Involving the various sand and gravel operators in Port land. The new line being along the 1800 survey with a few minor changes, and the Ross Island Sand and Gravel company shall pay royalty on all sand and gravel re moved from the river outside the new boundaries. "In reaching our conclusions," read the report of the state en gineer to the land board, "we con ferred with the representatives of the Rosa Island Sand and Gravel company, members of your board and others. We felt it was of mutual advantage to agree upon straight lines as far as practical, in order that in dredging these locations the line could be indi cated by dolphins and the state would be able to keep close ac count of the material for which the state is entitled to pay. "The engineers and your com mittee, with W. G. Brown, repre senting the Ross Island Sand and Gravel company, straight lines on the south end of the property which we believe are as nearly accurate as is possible to make them, based on the 1890 survey. "The engineers also have drawn a straight line across the north end of' the high water channel be tween Ross and East Islands, 200 feet south from the harbor line, which encloses as much ground as la embraced in the regular ship in let at the north end of this high water channel. : "Owing to the condition of the river it has not been practical to survey the present low water; litte surrounding this property- It is also possible that this line has, to some extent at least, been changed by dredging. - The -Ross Island Sand and Gravel company is ready to agree with your board that if the dines indicated- are adopted that they will enter into an agree ment that this shall not prejudice Che rights of either party, but that should your board wish o survey this low water line it may do so and that when such survey is made such further action by either party may be taken as conditions at the time may warrant without prejudice by reason of this pres ent settlement." Investigation of the operations of the Ross Island Sand & Gravel company was ordered by the state land board, after complaints had been filed by other operators that the corporation complained of was operating on state property with out paying royalty to the state. It was charged that this was un fair competition. SMITH HAS HARD LUCK Unlucky Day for Supervisor of Pasadena Schools PASADENA, Cal.. Dec. 11. AP) This was hard luck day for Earl R. Smith, attendance su pervisor of Pasadena schools. lie started to lunch and his car broke down. He cracked his head on the door while climbing out of the ar. He slammed the door and broke the glass. He went to lunch and broke a tooth while eating oysters. He discovered he had bitten into a pearl and had bitten it In two. SEVEN CONVICTS ESCAPE 9 -, Deputy Sheriff Brutally Assaulted By Prisoners ST. LOUIS, Mo., Dec. 11. (AP) Seven prisoners in the St Louis county jail at Clayton,;' a suburb held on various charges Including murder and robbery, e caped late today after brutally as saulting Deputy Sheriff Rudy Ban mer, acting deputy. He was knock' ed unconscious by a blow on the head. 4 YESTERDAY IN WASHINGTON Prosecution and defense rested In the Fall-loheny oil trial, i . Prospects of, tax legislation by congress received a definite set back. ; . .. president1 Coolidge asked lon gress for J75,000,000 to finance lax icfoi b New York Harbor Gets Shock as Explosion Rips Oil Carrier Apart TWO SERIOUSLY INJURED Hundreds of Families Uving in Tenements Along Waterfront Flee From Homes Fearing Monition Discharge NEW YORK, Dec. 11. (AP) A series of explosions aboard the oil tanker Agwisun, anchored in Buttermilk channel, off Brooklyn, tonight shook New York harbor. Two men were seriously injured and taken to a hospital. Fifteen men of the crew of 38 were on board the vessel at the time, but due to the alertness of Thor Brage, oiler, they all escaped. A fev.- re ceived injuries. Alter the first explosion Brage flan' a line to a tug 30 feet av.ay and the men aboard the Agwisun climbed hand over hand to safety before a second explosion crsaie which twisted the steel plates of the fore part of the vessel apart Algot Johnston, machinist on the boat, received a fracture cf the leg. Joan Walters, a shipyard worker, who was about 10 blocks from the scene of the exioion, also suffered a broken leg when thrown to the pavement b tho force of the blast. Botta, men, residents of Brooklyn, were taken to the Long Island College hos pital. Windows were broken within a halt tnile rsdlus of the: scene. Hundreds of families living in traraent8"?al omghe-twutert ront fled from their homes fearing that munitions explosion hd o'curred. An the tanks of the ship had been emptied of ail when the ex plosion occurred and were being cleaned preparatory to refueling. It is believed . that the explosion was of gas accumulated in them from the acid used in cleaning. About an hour after the explos ion the Agwisun sank. DISTRICT BONDS SIGNED State officials yesterday signed 953,000 of Oregon district interest bonds which were Issued recently to care for the interest due on securities voted by the various ir rigation districts. LONGVIEW SPAN GETS APPROVAL SEN. McNARY LOSES FIGHT AGAINST MEASURE Bill Would Authorize Engineers to Build Bridge and Collect Tolls 1 WASHINGTON, Dec. 11. f AP) The senate concluded its first-real controversial legislative task of the session whether to allow construction of a .bridge across the Columbia river between Longview, Wash., and Rainier, Ore. by approving the measure today after almost two days of wrangling and sending it to the house. Quorum calls followed each other rapidly as Senator Jones, republican, and Dill, democrat, Washington, sounded the merits of the nroposal and Senator Mc- Nary, Oregon, dwelt at length on the calamity which he said con struction of the bridge might bring by blocking traffic between Portland and the sea. When opposing senators had finished answering and assailing each other, the senate, without even the formality of a record vote, calmly approved the bill and then got into a fight as to what to consider next, the maternity (Continued on psg 8.) , PORTLAND WANTS STATE BUILDING LEGISLATIVE APPROPRIATION TO CAUSE DISPUTE Rose City Claims Need for Exten- tion Offices of State Departments Following the recent agitation for the erection of a new state office building to accomodate the increasing state departments, boards and commissions, reports were received here yesterday that in event the proposed new struc ture is approved by the. next legis lature an effort would be made to have It located in the city lot Port land, f It was argued that in locating the proposed new building in Portland it would provide accom modations for the state game com mission, state fish commission, state historical society, state wel fare commission and a large num ber of other departments which are now housed in privately own ed .structures. Persons favorable to having the proposed new building located in Portland also contended that such a move would provide branch offices for the state insurance commission, state corporation commission, state superintendent of banks and other departments (Continued on Dg 2.) THEY CAN'T "KID" AL! SCHOOL OFFICERS PRAISE TURNER ASPIXWALL ELECTED PRESI DENT At county meet Take Action About Transportation of Pupils and Payment for Directors Resolutions were passed in the meeting of the Marion county school officers yesterday after noon for several legislative acts benefiting the district schools of the county. The two most important improvements voted on were concerning transportation of pupils and paying of district school directors. At the present time a director of a district is not allowed under any circumstance to accept money for work done in in terest of the schools, which in some cases of repairing of build ings and other material aid ren dered, either forces the school to go without repairs or else the dis trict fs forced to pay excessively for the work. The directors being in a position to assist If compen sated for time lost at their regu lar work. Also at the present time a dis trict cannot vote funds for trans porting high school pupils into other district schools or any dis tance without being forced to pro- (Continued on page 8.) POLICE WRANGLE OVER RADIO MAN ORMISTON'S CUSTODIAN'S RE PORT HOI WILLING CAPTIVE Los Angeles District Attorney Re ported Due in Chicago Today CHICAGO, Dec. 11. (AP) WTiile Kenneth Ormiston rested today in a suite afforded "by his captors from the journey which followed his detection at Harris burg, Pa., officials ot Chicago and Cook county bickered over the disposition fcf the unarrested pris oner. The former radio operator, charged in California with : sub ornation of perjury and conspir acy to obstruct justice in connec tion with the Almee McPherson case, eluded with complete suc cess all newspaper men except these whose guest he is, and ap parently was undisturbed by the asperities which he aroused be tween the chief of police and the state's attorney. The latter official, Robert - E. Crowe, telephoned today to Chief of Police Morgan A. Collins, said that he understood that Ormiston had been brought: to Chicago -last night in the company of but not in the custody of Harry Donnelly, a city detective and directed that (Continued on pgo 4.) EVIDENCE ENDS INMSPH TRIAL OF FULL Conclusion Comes Four Years to the Day of Sign ing of Oil Leases NOTED SINGER TESTIFIES Counsel Agree Jury Must Convict or Acquit Both Although in Case of Conviction Penalty May Vary WASHINGTON, Dec. 11. (AP) Four years to the day from the signing of the celebrated Elk Hills naval oil reserve lease, presenta tion of evidence was concluded today in the criminal conspiracy trial of Edward L. Doheny, veter an California oL'. man, and Albert B. Fall, former secretary of the interior, which grew out of that transaction. Twelve hours of argument evenly divided retween prosecu tion and defence counsel, rdualn before the jury 'scharged to file into its quarters late Tuesday or early Wednesday to write, the ver dict which will terminate first criminal trail born of ther senate's senatorial inquiry into the oil leas ing policies of the Harding admin istration. Conviction wouli carry for each defendant two years imprison ment, or a fine ot $10,000, or both. Counsel are agreed tha jury must convict or acquit both al though, in the event of a co .mic tion, the penalty may be varied as between the defendants. There is no authority for a prosecution r.p peal, an acquittal would end ihe criminal case forever. A convic tion likely would be followed by an-appeal to the United States suprfetne court. -The defensenderits cas day with dramatic swiftness with out calling to the stand the for mer cabinet member in whose jur isdiction the naval oil reserves were vested by President Hard ing's executive order of May 31, 1921. Only two witnesses, Postmaster General New and Charles N. liass ctt, El Paso, Texas, banker, wera called in behalf of FalU Both tes tified they knew .the defendant to be of -good repute lor honesty and integrity. ... The abrupt termination o: the efense-ease followed announce ment by Owen J. Roberts, special government prosecutor, ; - that ha had abandoned tentative plans to summon former Secretary of Staur liughes for further inquiry con cerning the 1921 Pacific war scare which impelled the navy, accord ing to defense testimony,, to. push s plan for a 4,000,000 batrel oil storage plant at Pearl Harbor. Ha waii. Linked with the Pearl HarT bor award to Doheny's Pan-Ameri can Pet 'oleum and Transport com pany, in April, 1922, was tho Elk Hills, Cal., lease of December 11 (OontiaMd on psg 6.). MELLETT TRIAL STARTS Jury Locked Up Over Week-End Under Guard CANTON, Ohio. Dec. 11. (AP) After six months' investigation into the murder of Don R. Mel lett, Canton editor, the state Mon day will lay its case before a Jury in the common pleas court of Judge Edwin J. Diehl. Prosecutor C. B. McClintock. in bis opening argument, will tell the jury that he seeks to prove that Patrick! Eugene McDermott, first of three co-defendants to be tried, was' an underworld hireling who joined in the counter attack of organized vice against the ed itor's cmsadew , The defense, counselled by E. L. Mills. James Ems ley and Ho mer C. Durand, will declare that McDermott not only did not kill Mellett, but that he does not know who were .the conspirators. CALGARY STORM CENTER Snow Driven in Drifts Throughout Manitoba Area WINNIPEG. Man,, Dec. 11. (AP) While snow -was driven In drifts throughout Manitoba, AI berta and. Yukon territory today; 'rain' accompanied ahaw In Sas katchewan. The street of Regina Sask., ran -with wateY.? ; Snow continued to fall In Mani toba. Two and a half inches had fallen in Winnipeg by 3 o'clock. ?The cold wave which, folowed a warm Spell,, dropped the thermo meter from 54 above to 10 below 4a Calgary, the vortex of the storm. ' : Trae Statesman CHristmas Chj eer Fund II Is growing each day as yoajig and old decided to as sociate themselves with Santa Claits in spreading' happiness. TheJ f realize Santa cannot reach all ! of the worthy kiddles and so lare willing to- enter into partnership with him. Tlie Cheer crowd grows long er ek.ch day as people work for an tinselfish Christmas. B eing or send yourcontribu tions to the Christmas Cheer Fund) editor. Amo'tnt previously acknowledged ...... 229.00 ChecJk 25.0Q Marvfln I. Stokes 25 Unselbsh Boy, No. 2... 1.00 Cash y M .60 CHRISTMAS CHEER FUPfD INCREASING SANTA CLAUS PARTNERSHIP GROWING DAY BY DAY Clothes, Food and Bedding Ac cepted as Part of Christ maa Cheer Work Yesterday another unselfish boy came into The Statesman office and gave of his meager savings that' others might have a little happiness on. Christmas day. When he left his fiace was wreath ed in. smiles because of the good he wjas doing. Other contribu tions came in during the day and so many formed a - partnership with Santa Claus to assist him In caring for the worthy kiddies. . Many people have clothing, food and bedding to give away. There are needy families throughout the community, who really appreciate such things. .The Christmas Cheer editor has decided to include such contributions: on the list and so has made arrangements for all such things tp be delivered to the Salvation Army rooms on State street. The Army will see that they are placed where they will do the most good. With the nrivi- lege ot such added contributions tne unselfish spirit of Christm. IsTrywTnTraJtdW.v' Another good thing about this Bplrit' of unselfish Christmas is to be found in the fact -that some have asked for names of young sters and will play Santa them selves. This is fine and we wish that more would follow their ex ample. ( . t.' The time is growing shorter In which to join the Cheer crowd. Comtiaved on p&f 8. .-' HOT TEXT FIGHT COMING . . - 5 - Bill Being Planned to Furnish -- . Free School Books One of the spirited fights of the next legislature, probably will cen ter on a bill now being prepared by an Eastern Oregton legislator providing for free textbooks for the school children of ( Oregon. In event the bill is approved by the legislature the textbooks would be printed in the state printing office and distributed thrdugh the, state educational department. Reports received here indicated that the sponsor of the bill has not yet determined definitely the amount of mnnT It wnnlrl nit t 'print the. textbooks, nor the ex pense that would be entailed in eauinniner the stats nrintinr nlant to handle the undertaking. It was said that these figures were being assembled. .. j ELECTION OF OFFICERS Nominating Committee Appointed to Report Ihe annual election ot officers of the Salem business men's league will be Thursday, Decem ber 23, at 8 o'clock in the cham ber tot commerce roams. A nom inating committee has been ap pointed by G. E. McAfee, presi dent. The chamber ot commerce annual election is scheduled for Monday, December 20. The president of the business men's league, and thu King Ring of the Chcrriana will automatically become directors of tbc chamber, as these two organizations are auxiliaries of the chamber. - The Cherrian election is sched uled for Tuesday. December 14. ": "Red Robin" and "Fine Manners" had bifhouses at the Elsinore yesterday. And satisfied ones. Wonderful presentations. . Last times today. TEXTBOOK RDliI DEVELOPS fJEUlf IIIFICJITIOU Kozer and Turner Decide Not to Fight Against Court Injunction - PIERCE STANDS ALONE Signatures of All Education Board Members Needed to Mako State Contracts with Pub lishers Valid A new ramification in the state text book problem loomed yester day as a result-of an action tak en by R. R, Turner, superintend ent of public instruction, and Sam Kozer, secretary or state. Mr. Turner and Mr. Kozer represent the majority members of tho board, while Governor Pierce, tha third member, is opposed to their present action. They reauested the attorney general not to ap pear for them in the Injunction suit now pending In Mulnomah county. Also, the attorney gen eral was asked not to show cause why the injunction suit should not be made permanent. This In junction' suit is at present tem porary and restrains the board ot education from signing, contracts with publishers of books adopted at tho . meeting ot the textbook commission. Atorneys said the refusal of two members of the board ot edu cation to appear in court .would mean that the temporary iniuhnc- tion would become permanent, and that the signing ot any contracts for text books for the next six year period necessarily would have, to be deferred until remedial legisla tion Is enacted at the 1927 session of, the! legislature- . rd of education from eritertnc Into contracts with the publisher for textbooks adopted at the Nov. ember meeting of the state text books adopted at the Novembet meeting of he state textbook com mission, was filed by P. J. Gal- lagner. Portland Attorney, 'on be- nair or David L. Graham, t&x rav er and school patron of Malheur County. It -was alleged in the complaint that the text-book com mission was not legally constitut ed, and that samples of text-books up for adopion at the recent an- nual meeting, were not in the hands of members of the commis sion 0 days prior to the adoo- tions. . : v. - 1 Mr. Koxer's ieiier to the atlor- CENTRAL OREGON STRUCK BY WIND NEAR BLIZZARD DESCENDS ON, DESCHUTES COUNTY . . Power Service Intermittent at the Dalies During Rain Downpour v; BEND. Ore., Dec. 11. (AP) Central Oregon tonight was in the; grip of a atorm of wind-drlveh ' snow which has whitened the mid state country. The near blixzard, the first Teal storm of winter In central Oregon followed la the wake of a high win a which whip ped over the Deschutes country last night and this morning. Tha gale of last night, which reached a -velocity of 60 mile-an hour in places, felled a great many trees la the pine forest dT the Deschutes basin, - j,- THK DALLES, Ore , Dec 11. (AP) High winds and rains were experienced last night and today with little storm damage reported. Power service 'was Intermittent early this morning. No slides of consequence : were reported - on highways; .extending : ironi The Dalles. EUGENE, Ore.; Dec 11. (AP) Intermittent ehowera that had been falling today, ceased at 9 o'clock tonight, after threatening to break s two-year snowless rec ord when a. chill northwest wind sprang up but brought only dar ing skies. Heavy snowfall is re ported from . the high levels In he Cascade- mountains. , ; WALLA, .WALLA, Wash., Dec. (AP) Walla Walla got only a sip of the tempest which has been sweeping , sections of. -the state, the maximum velocity In the i city being 18 miles aa hour today This "Is heavier" than usual and outside ,the.JicItyi.the wind blew harder.: . A drop in . temperature , was .predicted , lor tonigh,it - 5