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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (Feb. 3, 1927)
DID YPU KfCl7 4iict& on Imrrjcncd SirrsIi 1hl'!jdc?- C rt rl WEATHER FORECAST: Rain; mild f temperature;, southeast gales oh the coast, Maximum yesterday, 56; minimum, 45 ' liver. 15: rainfall, .04; atmosphere, clear; ' wind, northwest.'- v-vi- v-;, . . It doesa't seem possible, when one looks at great-erandmother's portrait at eighteen And then looks at daughter, same age. that It costs more: to dress 'em now than it did then. Loa Angeles Times. 5- . 3" - ?, SUyEOTT-SIXTir YEAH SALEM, OREGON, THURSDAY MORNING, FEBRUARY 3. J927 PRICE FIVE CENTS mm 3Qi 'A 'I C0KSSL1 put m lODO ICIIII1E r..ove Originated Asking Res- bluticrrfcr Separate Peace i ' WiihBivais .'. . :E not READYTO TALK ProfMMal Blade- by KepvesentatlTe . - Homers W'oukl Go Farther Thaa " . .-4 SecreUry Kellogg' An- .j , , noancement , . ! WASHINGTON, Feb. 2. (AP) While the Chinese situation again marked time so far as the Ameri can roTernment was concened, a new congressional iron was thrust into the fire by Representative Somen, democrat. New York, In the form of a resolution proposing to put congress on record as favor ing negotiations for new treaties with the rival factions in . China. Independently of each other if nec essary.y...;v: yy; -r;-:-r:, yfi,' The proposal goes considerably beyond . Secretary , Kellogg's an nrnnd .proposal of readiness to ' ; negotiate -with a delegation to be ' appointed by agreement between ; ; the Peking and Cantonese lead ers, and there is no indication1 that the state department will adopt the course suggested in it. f i Dr, Alfred Sze. Cblnese mlnls ' ter in Washington, refused to oom- " ment until he had an opportunity to study the Somers resolution. In a recent statement he urged that an American treaty . negotiation delegation be named ? without awaiting overtnrea from China as an evidence of a desire to restore to China diplomatic equality. . - w' i pending- developments in - con- ft Section with. American hopes of u Scniating Chinese nationalistic I plratlon through treaty discus? slops, Attention nere; was cenwreu largely upon the rupttore in British-Cantonese negotiations at Han kow. 1 1 s -is' v h'- ' Secretary Kellogg does not re gard the action of the Cantonese in breaking off these negotiations as having much bearing: upon Ain- ericanChinese relations. LONDON, Feb. 2. (AP) The British government tonight cabled fresh instructions to .Owen O'Mal ley the British charge at Hankow, in an effort to break the deadlock which; developed ; in the Anglo Chinese negotiations there when the Cantonese foreign minister, (CftatiBM oa s .J 1 IRRIGATIONISTS SEEICLNG RELIEF Flto3I OCHOCO DELEGATION ATTENDS HEARING Hazlett Bills . Fropose ; Change J From General Obligation , Bond Flan " I.'.- - ' Ifoping to find in bills now be "fore'j the legislature some." relief from the critical finandal dlff f cultles ; under which they, are struggling for existence, about two dozen settlers and land owners on the lOchoco project attended the j loint &etrin ortn irrigation ana . houses last nlrht. iRJepresentatlre James H. Haz fl lett's two house- bills. Nos. lit andj 115, which seek . to provide relief by abolishing the present ; system of general obligation bonds and: thus preventing the pyramid ing pf taxes upon settlers who do manage to make their payments, and which seeks to reconcile the ' settlers and bond holders to ad justment of district liabilities, wen discussed thoroughly. Some irrigation districts unfor tuaately are covered with blanket assessments on Irrigation - lands, and the landowners who choose to pay bff the , bonded Indebtedness, BJ(fr the 'present laws. also" pay - r Indebtedness against the land v Vcd by' his neighbor i perhaps, vl 1 4Sj; is years behind In his pay 4:riug, and who" may never intend to. pay. JJ O. Powell of PrlncTille said ) that the people ail wanted to pay every cent they owed against their land, and nonef of them felt that r the state should be asked to pay - their debts.- He-further said that ' he did not see any reason why the- bond holders: should ask the state to pay.thcia either. Representative Billtnssley of - Pntario ,madd a 'short -but -effec- J FLORENCE BANK MYSTERY DEEPER WARRANT ISSUED 'FOR TWO MISSING. OFFICIALS Embezzlement Charges Filed by ' , State Banking Officials After Probe - EUGENE, Feb. 2. (AP) -A warrant for the arrest of Henry Ik Bergman, president and fMiss Harriett Weatherson, cashier; of the. Florence State Bank -t ;Flor-i ence, charging them- with ; em bezzlement, was issued, here' this afternoon and the officers are en deavoring: ' to. jocate them. They disappeared ; from a . local hotel' Monday evening " and have not been ' seen here since. : It. . was learned today that -Bergman bor rowed an automobile from -C. -H. Farris, lumberman operating near Florence; stating that he wanted to drive to Portland, and that he would be! back :Tuesdayafter- noon. . ; , , i' Last Thursday afternoon Tilss Weatherson reported v to the sheriff over the telephone that the bank had, been robbed by an un masked man who had locked her in the vault and had taken near ly all thej money in ; the bank. Bergman was In Portland at the time and Miss Weatherson also telephoned. to" . him. . He came home at once and said he had ob- . . (Ooatlsved a part 8.) SCRIPPS CASE IN COURT Widow Of Newspaper Manager ue salt Against Brother ; LOS ANGELES. Feb. 2. fAP SHit for the recovery of $6,000, 000 was filed In federal court here today by Mrs. James G. Scripps of San Diego, member of the wealthy family of newspaper publishers. The action' was taken against her brother -.in- law, Robert 'Paine Scripps - of Cincinnati, executor and trustee of the estate of the late E. W. Scripps and -includes a demand -for -an accounting" nt the profits of 34 newspapers control- led by Scripps. ' -' ; Mrs. Scripps U the widow of the late James G. Scripps, a brother of the defendant and at one time manager of , the newspapers con trolled by the millionaire publish er:.;, I '."""f The suit; isased upon an al leged agreement between James G. Scripps and .his lather for a per centage of ; the Increment in the value of the properties under . his management, t . POST, 661 AFTER HIDE McMinnvllIe 'ow Holds Famous- Trophy; Yeta Hold Meeting , . J ' - Mustering of new members and plans for larger quarters occupied the attention of Marlon Post 6 SI, -Veterans of-Foreign Wars at the regulartmeeting at the Armory last night. r I Following ttfeir unsuccessful raid on-: McMinnvllIe Post," two Weeks ago, te local veterans are making plans for a determined crusade for! the - Pacific Coast tro phy, Tuesday, February 8. The Veteran's Pacific coast tro phy, is a ibeafr hide, once the prop erty ' of the Washington depart ment but recently seized by th Oregon department and now held by McMinnvllIe Post. The trophy is awarddVto the post having manpower -enough to seise it and has been the cause of much rivalry in veteran circles. J , 4, YESTERDAY IN WASHINGTON Asielatd Ptms i t : The naval supply bill was sent to conference; w. ' f' , Republlcaa prospects for 1928 were . discussed at the White House.. ' v - , -The Fords declined to sell their stock for $1,000,000,000, the tax' board was told. ' ' - - The house military committee temporarily rejected, two Muscle Shoals lease proposals. j - Construction - oT-'the Boulder canyon dam was urged by Recla mation Commissioner Mead.. , .' ' . ' . .. . - v Government loans on bonus cer tificates-were favored by the house ways and means committee. The treasury's medicinal liquor proposal was rejected by the house ways and means committee. - FuhJs-to' maintain diplomatic representatives in Canada and Ire land were sought by the state de partment. . : ! ; ' " - ' ." '; ,T'.csenate agreed to act by FriJay on the democratic tax re ductiou resolution' and ' milk iru ruorcnnp ll.liL GET 5500,000 $1 50, 000 Appropriated for Dormitory, at -Southern . Oregon School FARM HOME TO GT FUND Vole ToJteport Out Bill Red act ng Age- Limit Of Orphans And -.Foundlings From 17 J : ; : -To -16 ; Tears f--. Appropriations for. capital out lays -occupied the attention of the ways and means committee . last night and three state normal schools came in for' a $500,000 allotment. The new, normal school to be located at LaGrande came In for its share of attention and $1 75,000 was .authorized .for the construction of a necessary, build ing and Its equipment. It is on- derstod that the city of .LaGrande i pla ns to erect , a dorm Itory for the school. In addition to the build ing allowance for the . Eastern Oregon .school, .the 'committee ap-. propriated $40,000 to be used in maintaining the Institution during the blennium. 1- 1 "'.' '" ;. "V " For a new j d6rmitorr - at, the Southern Oregon Normal school at" Ashland the committee appropria ted $150,000. The millage tax for this institution aggregates ap proximately $33,500. ---- There was appropriated for the construction- of class rooms l and library at the Monmouth normal school $175,000, while the appro prlatlon for salaries and. operat ing expenses was Increased from $90,000 to $121,000. Senator traye,r aaid that It -was hls opin- xooiisn program wnen it autnor foollsh programme when ft author ized the establishment of two nor mal schools in addition to the one located at Monmouth. "The sensible thing to' have . ' (Ooaa pmn all MALARIA HITS MARINES Detachment in Nicarasnia Has 63 Men Down With Disease , MANAGUA, Nicaragua; Feb. 2 (AP) Malaria has stricken 65 of ; the American marines sta tioned in Nicaragua, the mn be ing infected while ' on ? duty , at Rama. A force of 1 00 additional marines arrived heye from Corinto today; while the local detachment from the Galveston, which ,was used as a legation guard, la being returned to Corinto. i " THE I lillLL tJUl fell; ill A TTENTION, PUPILS - The Statesman will pay ?5 a, week, till further notice, to .the high school or grade school boy or girl in Marion or , Polk county who'submits the best article on the current week's Slogan subject. See"" subjects on Slogan pages ; Articles must be in by, Tuesday noon of the week of the , Slogan subject. ,A11 articles submittedvto belong to The Statesman. The editor. to judge as to the best, in decid t ing on Abe one to receive the $5. Perhaps other prizes will be arranged later, 'Let every teacher take notice. This is a great opportunity to make the growing generation acquainted with the many and great advantages of this district. . ' U MOVIES TO TALK, IN NEAR FUTURE !NEW "PHOTOPHOXE SAID TO BE COMPLETE SUCCESS General Electric Company Gets Six Contracts for Speech Invention -Just Perfected . " ! SCHNECTADY, N. Y., Feb; 2, (AP) -Talking motion pictures eoon are 'to be an actuality on. the silver screens of -theaters. : ; The General Electric company, producers of- the new "photo phoae, are working on a half a dozen contracts calling for imme diate production of projection ma chines and tne only problem, as the producers view the new .inven tion, is one of adaptation to a new and different' method in creative art." ' ' ' "- ir-l . At a second demonstration of the new pictures today." it was ex plained that directors, find come difficulty in excluding from the film extraneous noises not meant to be in the -talking pictures. Act ors must be cautioned not to make unnecessary noise and must be coached to speak their mparts at the proper moment as they would do were they on the stage of the spoken drama. . In the experimental pictures to- MAN MAY BE STRANGLER Suspect Held at Los Angeles ; Wit - nesses Being Brought , LOS ANGELES, Feb. 2 -(AP ? Several witnesses will be brought here front Santa r Barbara, police said today-,. in an attempt to iden tify SteveKelmas arrested yester day as I a saspect -in connection with' the slaying of, eight women in four Pacific coast cities -during recent, months. : Kelmas: was. said to . resemble the "dark., strangler" accuse4 of the murders. y- A search of Kelmas' apartment, police said, resulted in the discov ery, of a 25 foot cotton rope, simi lar to that used in the "dark strangler's" killings, and under -a pillow, a complete newspaper ac-' count of the murders.. t. r . I RETREAT FROM WASHINGTON r. NARCOTIC LAWS' PROBE SOUGHT TONGUE POINT MEMORIAL HT NORBLAD MEETS APPROVAL Unfinished Federal Highways in : California Are Subject of r New Measure The; citizens of Oregon will be called 1 Upon to decide, whether .all persons who vote in-the state must be previously registered or' not. This is the result of the adoption in the; senate yesterday of a reso lution ; introduced - byi Representa tive Collier on this question. The resolution had been adopted by the house some time before. ' Some opposition developed in the senate to the Collier Tesolu tion concerning elections and among; the opposition leaders were Senators Butler and Strayer, who alleged .that such -a law would de prive thousands of permanent resi dents of the state from exercising their1 franchise at the polls.. "I can see no demand for this drastic! legislation," said Senator Butler, "and I predict, that its enactment would work to the dis advantage of many persons . who otherwise are -qualified -to partici pate In elections .in .this state." fi Seaatorr 'ifitrayer- supported -the views expressed by .Senator Bntler and added . that the - defects now apparent in the . registration , laws could, be .remedied, by, legislation. He said .that approval .of the .reso lution would decrease, rather, than Increase the voting strength. .Senators . Eddy and ' Joseph .ar- UUMBER UNION PLANNED 4lr Companies in Northwest In volved. in Proposed .Union ; CHICAGO, Feb. 2 (AP) Plans for tlie .ultimate consolida tion, of L41 , lumber .companies. rep resenting, the Douglas fir industry of Oregon, -Washington and . Brit ish Columbia, were .made .hers to day at a conference Lof the. heads. of, these- concerns, those attending the- conf erea ce vannounced tonight. FOOD DEJECTS THREE OFFERS DILL1QFJ EACH Expert in Industrial Securi ties Discloses Information in Suit : : ' PLANT JdELD . UNUSUAL Motos 'Company in 1913 Declared to Be Equal in Value to United States Steel or Standard v ' OH Companies WASHINGTON, Feb. 2. (AP) Wall .Street's reactions to bal ance ; sheets s of the Ford Motor company provoked no less than three distinct offers of 21,000, 000,000 each for the big plant during the last five years. Each was summarily turned down by both Henry and Edsel Ford. Information -that these -offers had' actually been made came from John W. Prentiss of New York, an. expert in Industrial securities, who , was the . chief ' witness. Intro duced today by,-counsel for .appel lants in the action brought to re strain the government from col lecting 1 3 0,0 1) 0,0 00 additional taxes on the sale to Henry Ford in 1919 of minority stock in the Ford Motor company. Mr. rPrentissstartled spectators by t he nonchallant ' manner in which he testified -that the Ford familyi had coolly -turned down tore '.distinct ..proposals 'to take' over the plant for a cash consider ation of one billion .dollars. The Ford Motor company began opera tlons In 1903 with a cash, capital of 228.000. ' l iUtVlS, HlwniutHuejeiiuEuw given by Mr., Prentiss that the of-. fers.fc .were -made indirectly by Hornblower and. Weeks, New: York.brokers, whose confidence in the, further expansion, and earning capacity .of the Ford , plant' justl f led the. valuation put .upon it by New .York bankers. . , ? , . . "The Fi)Tdv Motor - company Is the. most remarkable, industrial es tablishment ever created, in . the Wstory of the world," Mr.-Prentiss sald4n the course of testimony af fecting the. valuation of the stock as. .predicted, .on its earning capac ity ?and future ..prospects. , As-acredit proposition, it was the equal: in. 1913 of the United States Steel corporation or the (ObBtiansd a psgt 4.) , AUTO THEFTS COriTINUE Police Prepare to .Take- Drastic Steps to.;Curb Wave ; ' Salem's epidemic of-autopobil thefts, steadily Increasing in re cant weeks, reached its climax -Wednesday night when three ma chines had been reported stolen up to midnight, and waa assuming a seriousness which may cause , the police department-to take drastic steps inan effort to;curb it. : One . of i the cars ; taken was . a Packard- belonging :to Marshall Field of Eugene, and was one, of the- cars ila whlcblthe University of Oregon- basketball . players had come to Salem. It Was stolen from the . Jitreet in front, of the Willamette university campus while the basket bail games were In progress. . , . . . The others, a Ford Toadster be longing to J.! D. -Rice fo Salem with license number, 124-072, and a, Buick roadster-belonging to C. Edwards and bearing license num ber 129-904, . were taken f rom Church street. The license on the "Packard was numberedrl48-68.6. HEINE INJURED IN FALL 3Ian Working . on Fuel Conveyor 4 When Accident Ilappened I Falling 20 feet and striking head foremost on , the pavement. Henry Heine, fireman at the. pa per .mill here. received a possible fractured skull. Heine was work ins on the fuel conveyor at the mill when the accident occurred. i He was prying with a crowbar, it was learned, and-, the crowbar apparently . slipped, causing Mm to lose his footing and fall the, 20 feet. ; - ' " : ,s i Heine was rushed to a local hospital by the Golden ambulance. Hoepital officials . reported i last dsht that he was still partly un consclons, and that it .was rcry probable he had a fractured skull. J The acciieat occurred last rlsht at 6 o'clock. " ' " Heine Is a married-man, and Uvea at 303 Nf?rtU 2 let street. BILLPORLUXURY TAX MEETS FATE NUMBER - S52 ASKS TAX ON PICTURE THEATERS Committee, to Await .Action of Governor on Other Taxa ation Questions The. theater, ; tobacco, and. phar macy representatives appeared at the meeting . df the committee on taxation and. re venue last -night and .with a spendid grouping- of logical arguments were successful in persuading the ? committee to report j. that .bills 213 . and 252 do not: paesJ These jbtll proposed a tax on. luxuries and one on-moving picture theaters. . . . Geo.; -G, j Guthrie, representing; the Oregon . Theater association. was; the principal speaker In oppo sition .to . bill , number 2 . which proposes, a .tax on moving picture theaters. He said that the measure would work a ' hardship v on ...the small theater man .and. that. . in some cases would - put them out of business completely. This would epable, the chain theater, to come in - and . take the business as they buy tn large 'quantities and - can get their films: cheaper. According td.Mr. Guthrie thls'ls not a license measure but a ;revenue .measure as it takes. the money and gives .noth ing iq return. "This tax ; would probably .throw forty .theaters Into bankruptcy;"; Mrf " Guthrie 4utfd, "the tax is. unfair in that it taxes a theater that runs sixteen hours a day the same as : one that .runs three or four." : T ; . ; Bill 213 by Roberts levying - a tax on luxuries was ; attacked by retail, tobacco, men. Oscar Olsen of Portland, reminded the cbmmitteo (Continued on psm 3.). SMITH CAUSE OF, RIFT Senate .Elections Conamittee Fails , . to Aj. on Seating . , WASHINGTON, Feb. 2 (AP) The ' Benateelections committee f ound'I fself. ln sucfiu complete dis agreement; today on the case - of Frank L. Smith, senator-designate from , Illinois,; that .it :: postponed further consideration until ..to morrow: : " ":;. ' :..? :' For .nearly two hours, senators making up a. .majority discussed whether they, should -make nn jm mediate report recommending the administration ot the oath,, as re quested by Smith's counsel, or pro ceeds with a further inquiry as'to contributions to Smith's senatorial primary 'campaign by public n tili ties ojerators. ;. . . . Several. members of . the com mittee , took ; the .position that It would'be .useless to."make.a .partial repofrt,- since.the vote .of. the senate two .weeks ago refusing. Smith -the oath, injadvan.ee ot an inaniry in dicated clearly , that it would not accept such jl xeport. h BONUS LOANS: APPROVED Bill - to A uthorize .In trodaccd , in - House ToUowing Action, ; WASHINGTON; Feb. 2(AP) Government loans to war veterans on bonns certificates rwere a pprov ed by i the house .ways and means committee today -.and Chairman Green later introduced a bill to authorizn them.' f ' -. His proposal, which Is expected to quickly get the formal approval othe committee, added the Tet erans' bureau to the 'means al-Teady-aathorlxed 'to make' loans on certificates at -6" per cent interest. It: wpuld set up a special S 2 5,00 0 .-000- 'life insurance- fund" from which; 'the bureau director might make loana. ; MEMORIAL STATUE URGED Ijocation Planned Near. Western . ".Terminus Of .Highway v Congress was urged in a mem orial. Introduced by Senator Upton to appropriate 4 2 ,0 60 'la. assist; in the erection of a jme. mortal statue, in memory of Theodore Rooseyelt, on Battle-Rock : The site forthe Btatue ls; pn I ".he Roosevelt high way, nearits western" terminus, f ' The memorial set our that the Spanish American -war veterans have, raised $i.00b of the .350'. 0 6o! that will . be. req uired :to jcom pletc and Jngta'l the statpe. ' - ENGINEiKll-LSEnGin EER Min 'Crushed , to i fey Ijoco- ; Jnotire .WhcnFwtius islips . -' .-. - .. v- v--r. - PaOATCLLO Jduhor Feb. 2- AP) Edgar C. 7Ca.Tta. n t, loco tn o tlye foreman rapliycd by thv Oregon. Short , Cine; . iwas crushed to clcath 'neatttbli enfrius at lAm.'llot-- today.,' , Inf onnallan given; out-at the .reilread.ffie?5 here " said the ' rain spparptstly missel, His footing. .while. att?-irt- ing, to boWril th cr,fnV which was. s wiiclit'?r .c-'"?.' . J- on TI : 'HIEFl Favors .Strict Control of Ex penditures by State Bud-. ; ' " .get Official MAXIMUM R AT E LOW Program Calls for Five Per Cenll Tax on Fees and .licenses l-1 ;,. as Method of Meeting. , i " rjresent Needs " " : ! At a Jolnt.meetlng of the senate and house of representatives yes terday afternoon : Governor J.- It. Patterson recommended the adop tion of an .income tax with a graduated low rate the maximum J-not to exceed 3 per cent, .as . a means nf .meeting, the flnancia.1 situations which is facing Oregon at the .present ,tlme. . f Realizing that the Income tax, if, approved by the people, could not supply funds for the state un til 1.9 2 S the.governor offered some suggestions as ' to , meeting the present financial - need. His pro gram . calls for , the placing of a five per cent tax on the fee and license revenues of state -boards and commissions, then ;after tho income tax operates, reduce thin from five per ce'nt.ta 2. per cent. . . ---;;,- -, , i ,-'-i Governor Patterson .also .recom mended; careful - supervjsian ot state expenditures by the state budget official with responsibility being t placed upon the governor, i'lla opening his -message at the Joint session yesterday afternoon. Governor Patterson dwelt at some length, upon -various tax "measures which -had been -proposed to ir.eef the existing emergency. Ila' called special attention to: I An Impost -on the tees and 11 censes -of state boards and ; coo missions, I i , -1 Corporation franchise tax on what is termed corporate excess. Tax on xnovln g pictures , ' :Tax on so-called luxuries, r -' I Withdrawal of Intangibles from scope of property tax. and placing a special levy on them, P "Use -of, -a market road tax .for f - (OoUnd A PX T.) : GLADSTONE ROW STILL UNABATED SON OF .FORMFJt u PREMTEH ' WON'T DENY CHARGES . Shades of : "Gra nd Qld :' Man's" Contemporaries .Evoked in Ubel Case Lit j' tONDONV Feb. , 2.(AP)--Viscount Gladstone. 73 year old son of the late William E. Glad stone,' England's "grand old man," today vigorously; defended tto moral reputation of, his father, and bluntly declined to withdraw his characterlation : of Captain Peter Wright, who is suing him fori libel, as a; "liar, coward and foul fellow." i 'The shades of some of the most emlnent- of , the elder Gladstone's contemporaries. Including t Queen Victoria and Disraeli, were evoked d urlng ; testimony, although Jus tice Avory quickly refused to al- iow the name of the late sovereign to? be- brought into the case, even ndlrecyy. :. - : - - . i Frank .Merrimani counsel for Captain Wright, whose book con tained a passage -casting Asper sions on. the . moral character of the elder. Gladsone which aroused the anger- of 4h latter's son, ia cross examining the defendant, suggested that -Queen Victoria had Ally concealed .distrust for the .elder Gladstone. ' Justice Arm ory .thereupon quickly interposei : . "So, no, we must observe here the 1 same rule as the house cf commons, -and not brisg la tba name of the sovereign." ; : Before leaving the stand. Lord Gladstone eaid of Captain Wrfa' t: '. 'lie' -made a foul and loath.-'..; charge against my father. It " aJdeadly insult to-every mei;-: r of ; my family. A charge r .:rs Joathsonae could only have I-:: a maie by a foul minded man sr.J I repeat-' that-: because of that l.a was 'a 'fouMdbr.- That's .11 ciy ha t word." Lord GU : " ' -1 r-t a mere a'mts . ' - - ..' ; - oi, his ' tiiukt I; . : I. :e . " '. ., liati Harcourt :: "a r&thsr c -ntal Chr!.-tli: warmed up. h a ' CI. vever. J, C;'