Capital journal. (Salem, Or.) 1919-1980, January 23, 1920, Image 1

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Oregon: Tonight and Satur
day fair, continued cold,
gentle northeastern winds.
Minimum. 19.
Average tor Quarter Ending
December SI, lilt
5 4 SB
Member Audit Bureau of Circulation
Maximum, 42.
I U 4i- L-diS:'- .. i . . J Associated Press Full Leased Wire j
- - i i i i
American Capital To Help Re
establish European Pro-
: duction As Business Prop
osition, Banker States.
Washington, Jan. 23. American
' capital will be employed In aiding
Europe to "get back .to productive
work" not because of attractive rates
of interest, but to restore normal con
ditions and to open marketg for Am
erican export, Governor G. P. Hard
ing of the federal reserve board said
today, speaking before the second
Pan-American financial congress.
"We cannot, however, export things
which we do not have," Governor
Harding said. "During the past year
we have witnessed an unprecedented
era of extravagance in tills country;
there has been a continuous rise in
prices and while the value of our
products expressed In dollars has been
greater than ever before in history,
the physical volume of goods produc
ed was less than the production of
any year since 1916. Our domestic de
mand has been competing with ex
port demands and the result has been
that prices have been bid up on both
the foreign and domestic consumers.
Looks to Future '
"Our people must be aroused to the
. consciousness that wa mat be living
in a fool's paradise and that more
work, economy and liberal invest
ment in foreign securities are neces
sary if we wish to make our present
apparent prosperity real and perma
nent. It is important that the world
should get back to work in order to
provide steady employment for the
people of our country even."
V. Governor Harding, called attention
to the new "Edge act" "providing ma
chinery for financing these .under
takings which he said gave exporters, ,
producers, manufacturers, and Ameri
can investors the means of coopera
tion to solve the problem before
"The basis of world commerce Is
an exchange of goods," Governor
Harding said, pointing out thai Am
erican loans must be on terms to per
mit the borrowers to repay in pro
ducts. Foreign Credit Valuable
"European nationals enn produce
many things which we either do not
produce at all, or cannot produce as
cheaply as they can," he continued,
w it may be they can produce things
needed in South American oountrljs
m the far east. As American import
ers have constant dealings with South
American and oriental countries it
follows that European credits avail
able in China and Japan. Argentina,
-"Ile, Brazil and other Latin Ameri
can nations will be Just as effective
' liquidating European obligations
the United States as direct Euro
pean credits in New York would be."
me speaker pointed out that the
l.nited States I fivo yeara haJ paHg.
" from a borrowing nation with five
., ' ' outstanding debts to a cred
"Of With fourteen billions on its
"oks and the national debt had ris
en from one billion to twenty 'five,
''change rates abroad were far be-
Z Tma'' he nrtl,ed' aa n
W nMM ro,ei ,he UnIted
lT,tl Db,er"8 which were unknown
Hlum dav8C""11t0r na,'nS f ante"
CdX'T16' Ja"' "-Turkey
tter th i , 0n 0?"ir.y's side
Z a'1" haa to join
TZT0 '1 t0 ""Omenta be
PublUhe.' h pai'"amentary committee
"hinai'ons of new8ae'-s. The
E"ver pil" the war Party, led by
l'.,";,r mlnlstfr 1 1914,
front. Si0'18""e for the change of
Kl!v,rr brke 0l,t' the nc
bl cabin. wf'?3rlty of tne Tur-
'WstonS; howeve''. began at
e ftiniStPr, 'h ufflclent number
""'re the r Turkey should ac-
lak 'he Hap.," Crul8er Geben to
h bee rZf ,?urklsh hiPs which
'on wa8 ' Ured by
-t Em J p "nder Turl"h col
r.der0f ,v asha declared the
"nw'f not t ciuis5'- had pledged
, oi was" ttk! any u attack.
U Oe aChed b the cab.,
rlnd on the L e" Turkey took her
"'ndherfit- the entente the
I ft, , 'e,J bj' the Eosphoru,
IS" nm1 h,owver. made
CrXT ? W"h the Germans
1! the Black se
Mexico City, Jan. 23. Strong
earthquake shocks were felt in
. the ctly of Vera Cruz from 3 to
S o'clock this morning. There
were no casualties although
some residences were damaged.
Reports from Vera Crux state
the tremors demolished at
Coustlan all , structures which
were not destroyed in the earth
quake of January 6, while
shocks lasting 20 minutes
caused further damage at Sal
moral and San Francisco De La
Relief for the car shortagt situation
in the Pacific northwest promised by
the federal railroad administration two
weeks ago has failed to materialize, ai
last so far as this state is concerned,
according to Fred G. Buchtel, chair
man of the Oregon public service Com
mission, who has telegraphed Max
Thelen, director of public service of
the railway administration, calling his
attention to the situation in Oregon.
.Approximately only thirty to thirty
five per cent of the requirements in
this state are being supplied at this
time, Buchtel states in his telegram,
calling attention to the administra
tion's promise of 600 addiional empty
cars dally for the Pacific northwest
from eastern lines, which, he states Is
"apparently not bting complied with."
The Milwaukee line reports less than
200 empties moving westward while
the Great Northern reports approxi
mately 1800 cars coming westward
along its .line. On the O-W. R. & N.,
which was to have delivered 75 emp
ties daily no cars have entered Oregon
to date under the administrations'
promise of January 10th. T,he first
twenty days of January this region re
ceived approximately one thousand
empties less than during the same per.
lod in October and shipped about 44000
loads less, Guchtel explain. The ad
ministration is urged to check ,up on
its recent promise of relief and Insist
upon the co-operation of eastern lines
in aiding shippers from this section.
The labor conditions in Salem are
the best of any city on the coast, ac
cording to information issued Friday
by City Recorder Race, head of the
municipal labor bureau. There are
plenty of jobs, and a scarcity of work
men, that just about balances the .sit
uation, Mr. Race said.
The addition of crews to the Ore
gon Pulp & Paper company's mill,
and the employment of numerous
men on the lines of the Oregon Elec
tric railroad aided materially in end
ing unemployment In the city.
Among the positions open Friday
were: three married men for farm
work, several single farm hand jobs'
woodchoppers and a woman cook.
School t?achers of Hood River have
organized an association for the pur
pose of securing better salaries.
Death Toll of
Flu Epidemic
Mounts Higher
Chicago, Jan. 23. The epidemic of
Influenza and pneumonia from which
more than 10,000 persons in Chicago
are suffering today continued to spread
but there was a slight decrease In the
number of new cases reported. The
death list, however, showed a consid
erable increase during the last 24
Pneumonia caused 43 deaths in the
last 24 hours and influenza 36. New
Influenza cases numbered 2086 and the
new cases of pneumonia 251.
London, Jan. 23. Sergius Sazonor,
former minister of foreign affairs of
Russia, has arrived in Warsaw to con
fer on st.ips to be taken in opposing
the bolshevik!, according to a Copen
hagen dispatch to the Exchange Tele
graphy company. It is said that from
Warsaw he will go to southern Russia
to begin negotiations with General
Nayal Advisory Body Unable
To Support Award Of High
Decorations To Officers
1 Who Lost Ships In War
Washington, Jan. 23. The Knight
board is unable to agree with Secre
tary Daniels that naval officers who
lost their ships through enemy sub
marine action and performed meri
torious service in connection with
such loss should be awarded , high
decorations, the senate investigating
committee was told today by Rear
Admiral Austin M. Knight, chairman
of the board.
' Admiral Knight said a high decora
tion was not deserved unless the sink
ing was accompanied by offensive ac
tion against the enemy.
Admiral Knight said that in the
case of Commander D. W. Bagley,
Secretary Daniels brother-in-law, no
decoration was recommended for any
ciroumstance in connection with the
sinking of destroyer Jacob Jones be
cause Commander Bagley did not en
gage the enemy. A navy cross was
was recommended for the officer, he
said, for good seamanship displayed
in taking off the crew and passengers
of the torpedoed British steamer Ora
ma. Commander Bagley was not rec
ommended by his Immediate super
ior, he said, for any' decoration in
connection with the sinking of the
Jacob Jones.
Officers whose vessels were torpe
doed, but who by good seamanship
and discipline, succeeded in saving
their Bhips earned the D. S. M., Ad
miral Knight declared.
"It is true that the board recom
mended awards for several of the of-
Willi U Jilt
fleers referred- tu byt1wiim:ietary fts4WH4hg' wasrtorir years general jett
commanders of ships which were lost
or seriously damaged by enemy sub
marines or mines," Admiral Knight
said. .'.'But In each case there was a
special reason. Captain Vernon of the
Cassln, Captain DIsmukes of the
Mount Vernon, Captain Chase of the
Minnesota and Captain Graham of tho
Finland, saved their ships by excel
lent seamanship and discipline after
the ships were disabled."
No information was available to
guide the board in making recommen
dations for Captain Satterlee of the
Tampa, and Commander Ghent of the
Antilles, nor were any circumstances
known that would justify such award,
Admiral Knight said. Secretary Dan
iels awarded D. S. M.'s to both offi
cers. The Tampa and Antilles were
torpedoed and sunk.
"Commander Foote's case is the
only one in which the board recom
mended the award of a D. S. M. for
circumstances connected alone with
the actual loss of a ship," Admiral
Knight said, "and this recommenda
tion was based chiefly upon the rec
ommendations of Admiral Gleaves
and Admiral Mayo."
The award recommended for Cap
tain Christy, the admiral said, was
based not only on his conduct at the
time of the .sinking of his ship, the
armored cruiser San Diego, but for
his later service in command of the
battleship Wyoming. Commander
Conn was not recommended for
award In connection with the loss of
his ship, the yacht Alcedo, the witness
continued but -was recommended for
a navy cross under the general cita
tion given destroyer commanders.
Eugene, Or., Jan. 23. The State
Dairymen's association before adjourn
ing its annual session, elected the fol-,
lowing officers for the current year:
t,., r. t w,io fnrw
first vice-president, George A. Cressy
of Hermlston; second vice-president,
Robert Burkhart of Albany; secretary
and treasurer, P. M. Brandt of Cor
vallis. Hawley accepted by telegrams the
Invitation of the association to become
a candidate for state food and dairy
commissioner. Resolutions were pass
ed regretting that John D. Mlckel had
decided to retire to private life at the
close of his present term. The asso
ciation unanimously agreed to support
Maimed And Ecpen Once
More Under Belgian Rule
Brussels, Jan. 23. The territories of
Malmedy and Eupen, which had beet
annexed by Germany but were re-
the peace treaty, now are under the -v
absolute sovereignty of Belgium. The'lfg chief a move toward the refusal In,
rwal rnmmissioner who Is to admlnis-
ter these d istrlcts is taking measures their chief. At the last meeting of the
to make the transition easier for the council a petition, asking the council
inhabitants, and the customs of the to appoint Mr. Rowe chief of police,
population are not in any way to be. signed by the other members of the de
interfered with. It is declared. ' partment was submitted.
Steiher Resigns as Warden
Changes To Be Effective Within Coming Two Weeks Will
See Sterner Returned To State Hospital As Superintendent;
Record As Warden Marked TO Long List Of Efficient
Dr. R. E. Lea Steiner, superintend
ent of the-stats hospital here, who
was placed in temporary charge of
the state prison Jon the resignation of
Warden Stevenstlast May. will be suc
ceeded as warden within the next two ,
weeks by L. H. Compton, state parole
officer, according to an announce
ment made by Governor Olcott today.
It is expected that the chaned will he
made about February first Dr. Stein
er relinquishes jjte wardenshlp under,
an agreement entered into with Gov
ernor Olcott and the state board of
control at the time he consented to
assume ths wartlenshlp. '
' Varney parole Officer
Percy tl. Varaey, until the first of
this week chief iof the Salem police
department, wilt succeed Compton as
state parole officer. Dr. L. F. Grif
fith, assistant superintendent at the
state hospital under Dr. Steiner, and
who has been Ui charge as supsrin-4
tondent of the institution during the
temporary absence of Dr. Steiner
will remain witB ths hospital as first
assistant superintendent.
: Compton, who succeeds to the war
denshlp, was nanwd parole officer
when Dr. Steiner took charge of the
institution last . May., Previous to that
retary of the Salem Y.. M. C. A. At the
outbreak of hostilities between the
United States and Germany Compton
went across as first lieutenant of head
quarters company, 162d infantry, the
Old Third Oregon, and saw fourteen
months of service in France, fivo
months of that time on duty in th)
front line.
1 Steiner's Record Good
In the nine months time during
which Dr. Steiner has been In charge
of the state prison he has -made a
(Continued from page nine)
Acting Chief Rowe Says His Only Interest Is In Securing
Head Acceptable To Force; Moffitt, Rumored As Can
didate, Denies He Seeks Office; Wright And Welsh Mentioned.
Rumors that several candidates for
the position of chief of police are being
considered by members of the city
council has attracted much Interest to
the contest that has reached a pitched
stage. While discussion among coun
cilmen on the subject of a new chief is
rife, Acting Chief of Police Harry A.
Rowe, in a statement made Friday,
makes it plain that his Interest in the
affair is not personal.
No mutter who the council appoints
chief to succed Mr. A'arney," he said,
'"my only hope is that they name a
man who Is acceptible to the other
members of the department and WHO
can work in harmony with the coun
cil." Acting Chief Rowe displays little
, ,V ,1,, . th ,.LyZ. 7 .iT
(anxiety that the wishes of the
bers of the department that he be re
tained as their chief will not be acted
upon favorably by, the council. He
avoids discussion of the affair.
Joe Wright, candidate for the posi
tion of chief of police in the race with
Mr. Varney, Is said to be considered
hv members of the council for chief.
Mr. W right is at present serving as a !
guard at the state penitentiary.
Jack Welsh, rormer chief of police,
is also mentioned as a candidate for
the post ot cniei. air. weisn is now
employed at the plant of the Wltten-burg-King
company as engineer.
It was rumored that a pettilon, ask
ing the council to retain Mr. Rowe as
chief of police, had been drawn and
was being circulated among the busi
ness men of the city.
Several members of ths police de
partment have expressed regret that
the council did r.ot appoint Mr. Rowe
their chief at the last meeting.
They J
I . I ,t.A u n),i, ntn,Anl r.fc klm o- a n- I
vuii ""
E .
Thomas Luther Davidson, 86, for
mer county judge, and for many years
identified with civlo and fraternal
movements in the city, died at the
home of his son, T. L. Davidson, Jr.,
In Mornlngslde, Thursday evening.
Death followed an illness of short du
ration. The funeral will be held at
the chapel of Rlgdon & Son at two
o'clock Saturday afternoon, Rev. An
derson officiating. The Elks, of which
Mr. Davidson was a member, will
have charge of the services. Burial
will be in the Odd Fellows cemetery.
Mr. Davidson was born in Green
county. 111., in 1833 and came to Ore-
gon in 1847. He led an active life in
political and civic affairs In the coun
ty until the death of his wife ?0 years
He was a member of the Method
ist church , the Elks and the Masons!
He' 1b survived by his son, T. L. Dav
idson, and two grandchildren, Lester
Time For Jugo-SJav Reply
Regarding Fiume Extended
Paris, Jan. 23. The time In which
the Jugo-Slav government must give a
deflnte reply as to whether It will ac
cept the settlement of the Adraltlc ques
tion reached by the supreme council
early this week was extended today for
three days by the British and French
governments. The extension was
granted upon the request of Foreign
Minister Trumbitch of Jugo-Slavla,
Sacramento, Cal., Jan. 23. After
General John J. Pershing has coin
pleted his brief Inspection tour of
Mather Field this afternoon he will
find awaiting him In Sacramento a
strenuous program of entertainment.
The train bringing General Persuing
and his party from the northwest is
timed to arrive in Sacramento at 4
o'clock this afternoon and from the
depot he will go at once to Mather
Field. It has been arranged that the
general shall drive through the city's
main thoroughfares on the way to the
! field and school children will be mass
ed along the way.
General Pershing will be guest for a
space of Governor William D.
Stephens and later will speak at a pub-
nc dinner. The closing incident -of the
regular program will be a talk at the
Harlan Fined $450; Had Deer
Meat In His Possession
William Harlan, arrested on
charge of having venison In his pos
session, was fined $450 and costs,
which will amount to probably $75, by
Judge Unruh Friday morning. Harlan,
U I- 1. t .... I. VfA
mm. ;, u,
roe and Hugh Jenkins, were arrested
" uc,.uij u.iu. , iu
mer and Constable De Long several
days ago at their homes near Idanah,
In the Cascade mountains.
Jenkins, Monroe and Jackson were
"-"Willi WILIItL
Following reports of Commercial
club committees and on explanation of
plans, the Salem Home Builders asso
ciation to build homes to relieve the
housing shortage was launched last
night when 18 of the 2( business men
present at dinner at the Hotel Marlon
subscribed $12,500 in stock in ten
minutes and appointed a committee of
five, composed of T1. B. Kay. chairman:
J. F. Hutchason. F. a Lamnort. 8. B.
Elliott and Frederick W. Schmidt to
solicit the balance of the $50,000 re
quired for organization and operation.
The association has been Incorporated
for $100,000 with stock at $1 a share.
and by night It is expected that at lean
$25,000 will have been subscribed.
The subscriptions are made condi
tionally, that the association does not
engage in real estate transactions and
that no commission is paid for itooki"". "V"' """""
sales. Houses are to be built for per- rety- t0Jwhlch Bh '."not Pttrt 14
sons who own W who n learned hers. Neither ths Dutch
of the cost of building and receive a
contract for deed, the balance to be
paid in installments as desired. When
fully paid, title Is delivered. The plan
insures a profitable Investment for the
subscriber and helps solves the build
ing shortage, as It will make possible
the Vuildlng of from 60 to 100 homes
during the year.
The Salem Home Builders associa
tion is the result of the campaign in
augurated last fall by The Capital
Journal to relieve the housing shortage
and is launched by the Commercial
club as the result of exhaustive inves
tigations by special committees. The
incorporators are David Eyre, Theo
dore Roth and C. W. Nelmeyer, who
were on the comm!tteeof inquiry,
Secretary T. E. McCroskey presided
at the directors dinner, held last night,
in the absence of the president, and
outlined the plan proposed. Operation
of a similar association In Havre,
Mont., which has built br remodelled
104 homes and paid from 8 to 10 per
cent annual dividends, was described
by James Holland, formerly of Havre,
who Is now organizing a similar asso
ciation in Eugene. C. W. NIemeyer.
related the plans of the building com
mute and nearly all present partici
pated In the general discussion, which
followed. H. H. Haynes of Portland
made a talk on building costs and
bayoiiingbya$2ooo.tockubscriP..irs. Helena Siemens, Natiye
tlon, Daniel J. Frv fnllnwml w th a .-, . .
similar amount and other present sub
scribed Iram $1000 to $250 apiece.
When $00,000 has been subscribed, ft
stockholders meeting will be held, offl.
cors elected and policies determined.
Among the subscribers were T, B.
Kay, Daniel J. Fry, J. W. Chambers, B.
B. Klliott, F. S. Lamport, U. G. t.'tt
E. W. Hazard, J. F. Hutchason, P. E.
Fullerton, C. B. Clancey, H. H. Haynes,
C. W. NIemeyer, Frederick W. Schmidt,
Isadore Ureenbaum, V. G. Shipley, Jos.
A. Albert. G. Putnam and Wm. Gahls.
While returning home Saturday
night L. C. Eastman and wife of Su
verton thought the end of the world
was coming when they saw a meteor a
"big as the moon" shoot across the
" , gt J A J
OaSt jUar U Jnd
Navy Are Given
Advance In Pay
Washington, Jan. 23. Increase of
approximately one-third in the base
pay of all enlisted men in the navy
and the coast guard, except recruits, Is
provided for in a bill passed today ey
the house and sent to ths senate. The
vote was 311 to 10. The Increa .
retroactive to last January 1, would
continue until July 1, 1921.
No increase for officers was provid
ed by hte bill. Representative Kelley,
republican, Michigan, explaining that
It was dasired to hurry pay relief for
enlisted men who are leaving the navy
at an alarming rate." He added that
officers might be provided for later.
The Inert ace for men was estimated at
Because of complaints that census
enumerators had fulled to list a good
many Individuals, the city council tf
ROseburg Is taking steps to have a
more complete count.
vJrAr in 1 1 u rift
Reply Of Dutch Goveresl
To Extraction Repast Is
Received By Supreme Ccsa
cfl In Paris Today.
' The Hague, Jan. S3 The Batch
government has refused the de
mand of the allied powers for the
extradition of Former Emperor
William of Germany.
Paris, Jan. 2S. The reply of th
Dutch government to the note of th
supreme council demanding the extra
dition of the former German empensr
was received in Paris today and d-
r.lnhArAll fit th nntnh lamtlnn TfeA
contents of the reply have not yet bean
., National Honor Pled.
London. I Jan. 23. -Holland's rnJ
to the entente demand for the extradl-
tin ot EmPerp William declare, that
constitution nor tradition permit of her
powers, the not sets forth.
The national honor, the reply de
clares, does not permit the betrayal oft
the confldehce of those who entrusted
themselVDS to Holland and her free in
San Francisco, Jan. 23. The army
transport Mt. Vernori, formerly
German liner Kronprinsessen Cecils,
sailed from here today under sealed or
ders that were to be opened when sh
was four miles off shore. Members of
the crew were said to have reported
that the vessel's destination was Vladi
vostok. The Mt. Vernon, said by shipping;
experts to be the largest vessel to en
ter the port of San B'ranalsco, was re
paired recently at Mare Island follow
ing her nrrlval , her In November.
Prior to hpr departure 800 members of
the crew which brought her here from
New York were discharged and a new
crew shipped.
Of Russia, Called BeycrJ
Mrs. Helena Siemens, 88, who has
made her home with her son, Peter
Siemens, Jr., at Dallas for the past sev
eral months, died there late Tiiursimy
night. The body Is at Rlgdon & Son's.
Funeral arrangements have not y
been made.
Mrs. Siemens came to this country
from Russia 40 years ago, and with her
husband, Peter1 Siemens, who died
seven years ago, made their home In
Washington. Mrs. Siemens came to
the home of her son in Dallas from
Rlchvillo, Wash.
Four sons, ' Peter, Dallas; Julius,
Fresno, Cal.; J. P. Siemens, Othello,
Wash., and Henry of Salt Lake ttty,
Utah, and one daughter, Mrs. Helena
Schelly, of Walla Walla, Wash., sur
vive her.
Vl iien Governor rilcott Thursday aft.
ernoon completed his labors over the
fi'ist oi mils ground out by the legisla
tive mill last week, forty-one measures
wr-re dead, laid low by tWe executive
veto, and the remaining flfty-slx had
been permitted to go their way rejoic
ing toward a safe refugo on the statute
b.ioUs of the slate. Of these latter 39
have gona forward bearing the signa
ture of the governor as a sign of his
ofllclRl approval, the other 17 beins
permitted to go their way by virtue nf
the governor's favor but without the
j'flcial stamp of approval.
Hulary Bills Killed.
. Salary bills were singled out for exe
cution by the governor yesterday aft
ernoon, four such measures coming un
der the executive's disapproving eye.
One of these, house bill 38, by Smith of
Multnomah county, would have given
the state highway commission author
ity to regulate and Incidentally increase
the salary of the state highway engi
neer. The present law limits thp sal
ary of the engineer to $5000 per year
which amount Is being paid to the in
cumbent, Herbert 8. Nunn.
Other salary bills which' fell under
the governor's veto yesterday weret
H. B. 19, by Home Increasing sal
aries of the deputy labor commission-
(Continued on page seven)