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About Capital journal. (Salem, Or.) 1919-1980 | View Entire Issue (Feb. 23, 1920)
: -WEATHER "FORECAST nreeon: Tonight and Tuesday fair. Jdera.e north. .wind CIRCULATION Averafrs for Quarter Sadist . . December 1. Hit , 54 5 8 Member Aadit Bureau of ClrooSatlon Associated Press Full Leaa4 Wire .THIRD YEAR. NO. 46. FORTY SALEM, OREGON, MONDAY, FEBRUARY 23, 1920. PRICE 2 CENTS. FEDERAL BANK T& CURB -CREDIT ABUS. I 1 -""V II If II II f -SK, - II - - T n-- I -I SB IKlliiOlll UPPER MICHIGAN iREGi REVOLTS ; AGAINST DRY LAW Prohibition Director of Cen tral States Ordered to Pro- fpwl in Enforcement of Prohibition Regulations MHOA xa vriitMu Iron River. Mich., Feb. jj. "There hasn't been such t hoax put over on the coun try since the fake armistice report as this report of the rum rebellion' in Iron coun ty," said District Attorney Martin McDonough in an in terview today with a corre spondent of theMllwaukee Journal. Continuing McDon ough said: "There is no rebellion in Iron county. Prohibition Is be ing enforced to the limit and my office is giving the feder al agents every aid possible." Chicago, Feb. 83. Major A..V. ..Dalrjniple, federal prohibition commissioner for the central states, received word nt 12:sa o'clock Ihnl telegraphic milliwlzft tmn fur him to lend an armed expomllllcin of t'nltpd States wills into lln- upper peninsula of Michigan liml la-en sent from Washington. Prohibition Director Kramer, at tlio coplliil, was in cotninimlou linn M Mr. Diilrymplc by long itlstanee telephone. Daliymple, with about tlilrtj men, will leave Chicago at 8 p. trt. (or Negaimee, Midi., whore they will lie joined by a troop of Mich igan stale constabulary. Chicago, . .KebiS. Major- A. V. Dalrymnle, federal prohibition direc tor (or the central states, with six armed aids today was en route to Iron emmy, In the upper Michigan penln iila, to quell what revenue aeenta re garded as an incipient whisky insur rection. The prohibition director in formed Washington last might that ttie county was "in open revo.i" asalnut federal authority after he had received reports that prohibition ?enu leading a party of Michigan state constables 'were held up Feoru- 10 by Iron county offioialg and wine they had confiscated was taken (Continued on Page Five.) El Paso, Texas, Feb. 23. Fresh joluiion threatens Mexico as a remilt 1 the coming presidential elections "cording to Excelsior, one of the ,e;Jl"g newspaper of Mexico Cltv. To judge by the indications," Ex says, "there Is not left the !! ,,hPe that th cml" ele 'Z. wl" """"re the triumph oi y- NaV' "ot fven lh PuWfc IT ?ef,m8' wiU be assured by the C if declaratin ot the great """J (the people). tioifw'1"18 the present) revolu u lt,ered lnto thousand WUre rending each other with a fury' units nr .i, v ls 01 tne same whole, ,'' of the same act. lv. ' are coping forwaro .,.,- K with ' r,e"",ti,m' wlth0- rec- reg on ,akrWpath' ver a rug- "en Z "lent tempest in which h-v bwn f ''"riotlsm seems to " Clean ,TOm ,he " BY KEW REVOLUTION Congress Recesses To Honor First President tZ Feb- 29-Both -te ""Won day "-'rained from dis ""rt to vmaUers b'ore them long "m,? addre88' other ' cel.., 81 ,he '"P"01 were clos-4t,-, fi a'6 the birthday of the K'""-ren. , Prldent. Senator Mor, lh. 0hl read the address rLaTaif- WhiIe ,n the house Ulin, P'ePreBntative Roden Use. Vint"'- Representative Mon '"""ifc an?"1.' t"oke on Washing-' 0tbur4dC:'ara""- adine c ,u P1laU!f Punctuated hmc"!arlv farewell address in 1,Jr 1monlt!aPPlaUdlnB Washing-; mnitions against foreign al Harding Blames Wilson Delay In Ratification Of Treaty By Senators Columbus, Ohio, Feb. 21. Declar ing the republican party "will wel come" the responsibility of American izing the peace treaty, United States Senator Warren G. Hariilnr at a of his home state republicans here to day, held President Wilson solely re sponsible for the senate's delay iri i. ifying the treaty. "Essentially alone he negotiated the surrender of American nationality and still essentially alone, one In a hundred mililo, he blocks Its fial disposition," Harding said. While democratic senators from ne south generally have supported the president In this stand, Harding said the people of the south are for pr tecting America's rights. Senator Harding enumerated a num ber of things which her declared the Montesano, Wash., Feb. 23. Six of the ten alleged Industrial Workers of the World, on trial here for the mur der of Warren O. Grimm, Centralia Armistice Day parade victim, spent today in solitary confinement for throwing their food into the Jail cor ridor. Jail officlnls said the six prisoners were satisfied with the food but threw It away Just to show their contempt for the prison rules. Before being placed In solitary confinement the men were made to clear the corridor of the fooif and utensils they threw out. , The six were Elmer Smith, O. C. Bland, Cert Bland, James Mclnerney, John Lamb and Eugene Burnett. New Juror To Serve. Montesano, Wash. Feb. 23.-r-Trlal of ten nlleged Industrial Workers of the World charged with the murder of Warren O. Grimm Centralia Ar mistice Day parade victim will be re sumed here tomorrow with a new Juror chosen by lot from the alternate list, sitting in the plnce of Edward Parr. Juror, whose Illness halted the trial Friday. The new Juror will be either A. R Johnson, Hoquiam, or James A. Ball, Montesano, alternates selected to serve in case of Illness among the permanent Jurors. The selection will be made by lot. Announcement that an alternate juror will be chosen was .made by Judge J. M. Wilson, who Is trying the case, yesterday, when Dr. J. H. Fits, county health officer, reported that Pnrr, who Is suffering Influenza, would be confined to his quarters for ten days. ' Observance of Washington's birth day prevented the resumption of the trial today. When court opens tomor row, Parr will be excused from Jury duty, the new juror will be named and the defense will resume presentation of its case, according to the program outlined today. Private Control Success Depends j On Restrictions Minneapolis, Minn., Feb. 23. Suc cess or failure of private operation of the railroads of the country depends upon the liberal administration of the present railroad legislation, Ralph Budd, president of the Great North ern railroad told members of the Northwestern General Contractors as-' sociation today at their annual con vention here. "The amount of credit the railroads will be able to obtain during the next few years will determine their success or failure." said Mr. Budd. "In my opinion the failure of the railways to obtain sufficient money and credit to make needed improvements ana vide adequate service will mean the end of private ownership." liances. A score of democrats Joined with the republicans in cheering the pronouncement that the "great rule of conduct" for the United tSates -was to have "as little political con nection as possible" with foreign na tions. An innovation In the day s obser vance was the decoration of the Washington monument with the flags of the 48 states and a pilgrimage to Mount Vernon by the Southern So ciety of Washington. The program In cluded an address by Former Speaker Clark, of the house of representatives and the laying of a wreath on Wash ington's tomb. 1 republican platform should contain. Chief among these were; , "Perfected ' Americanization to be held rejoicinly American hereafter." r Adequate national defense with an ample navy as a first line of defense, world leadership in aviation, stronger army than heretofore and voluntary military training for young men. Repeal of every extraordinary war statute. End of bureaucracy "crowned with autocracy." Opposition to government owner ship and nationalization of industry. Curbing of government extrava gance and "get to thinking again in millions instead, of (incomprehensible billions." Government subsidy for the mer chant marine. Sailors Rescued ' . After Drifting In Disabled Vessel New York, Feb. 23. After having drifted helplessly for two months in the schooner- Rostellan with Its rudder gone, its sails carried away and the hull leaking, the captain and eleven men were brought here V today by the American steam- er Weep Water,, bound from Genoa, which picked them up 460 miles east of Bermuda February IS. The Rostellan was bound from Loango, Afrl- ea, to Liverpool with a cargo of palm oil and Ivory w hen she met with misfortune. WAGE PROPOSAL OF WILSON BITTERLY By Washington, Feb. 23. President Wilson's proposal for settlement of the railroad wage controversy and the comprise railroad bill, pending in the senate, were bitterly asasiled In the conference here today of the railroad union officials and grievance commit tee men who were called to Washing ton to discuss the settlement' policy, laid down by the president. Indications were that perhaps a ma jority of the union leaders would de mand that railroad labor stand to gether in an appeal to the president to veto the Cummins-Esch measure because of tis labor provisions. Some regarded It as destroying all progress made during the negotiations with Di rector General Hines toward a settle ment of their demands for higher pay. Representatives of the fifteen or ganizations concerned in the settle ment proposal met in secret session in as many different halls. Their pur pose was to formulate their own views by majority rule and later meet In a general conference. Heated arguments which were admitted to have develop ed In virtually every meeting, were ex. pected to be continued in the main conference. Chinese Charged With Being Head Of Drug Sellers Vancouver, B. C. Feb. 23. J. J. Wing, Chinese, was held by police here today while an Investigation was made of charges that he is the head of a ring which has been selling drugs ceded by presentation of statistics cat to customers in Vancouver, Seattle,' cuated to indicate what he called the Tacoma, Butte, Spokane, Denver and "heartbreaking underpayment" pf other cities. school teachers. Police raided Wing's house yester day and reported they found drugs estimated worth over 120.000 at wholesale, secreted beneath the floori of a bedroom. The officers reported! transiatea leuers iuunu in ?im rooms contained orders from several cities for drugs quoted at from $75 to jso an ounce. The officers said that during the! hour and a half they were n WmiR T Plckptt, drlver of tne Hotel house they received about thirty reported an accident calls for drugs. The calls can, from Saturday night all parts of the city and the parties Bellevue street, who made them were impatient when;" lztn ,nd , . the police, who answered the phone. A horse drawn vehicle, in which a put them off with excuse, while they!n. man Bnd " "" , .v i ' , Mri dren were riding, was struck a glanc- t0WI hg:'thneampol.ce daa.ddrrmet.me.;ing blow by the bus. and that no on. use. the Chinese name of Chan Chlnjwa, Injured, was con.idered fortu The officers said the drug haul was; "ate by thow who witnessed the dr one of the largest ever made on tmv Pacific coast. SENATOR PENROSE IX.h . Philadelphia. Feb. 23. Se-nator Boise Penrose left today for "The Bungalow" on Ind'an river. Florida, after being ill at hi shome nere tor nearly two months. The trip is e. made in a private car. HOOVER STATES OPPOSITIOil TO :RESpiO!IS - i Declares: Injection of Treaty Issue Into Campaign Would "Obscure Pressing Domes tic Questions at rolls . Baltimore, Md., Feb. 23. Herbert C. Hoover, former food administrator, declared today in an address at Jons Hopkins university his opposition to making the ratification of the treaty with Germany an issue in the presi dential campaign. He insisted the in jection of the arguments for and against reservations would "obscure our pressing domestic issues by conflict over a question in which the country already has made up its mind," and added, "it is my impression that there is no party credit in this position." Hope for immediate ratification of the treaty -rested, he said, in the ac ceptance by the "lesser reservation ists" in the proposals of the "mild res ervations." The two combined, he said, could secure ratification, Reservations Scored. "It also appears to us," he continued "that even from the point of view of the lesser reservationiBts they .w 11 have secured all of the major func tions and values of the league. For my part, if the league cannot prove Its value under the latest proposals of the 'mild reservationists' it will never prove them under the proposals of the 'lesser reservationists.' " The present danger Europe is tun ing, Mr. Hoover said, Is not so much a revolutionary catuclysm as ..e "steady degeneration of the standard of living and the slow decay of the forces of stability." Restored productivity, he insisted, Is essential If the allies are to receive the maximum reparation. "Until then we shall not have real peace," he said. "It will be delayed as long we hang the treaty In the air for we are a part of It." . Charges Petty Quibbling. ', "It would appear to an outsider that both sides were in agreement on all the great major Ideas of the league and the major Ideas of reservations, but that they are in disagreement mostly over secondary questions In the reservations. In the meantime the world Is held In suspense. Inflnttn misery goes on accumulating. Forcea are set iu motion that many yield new conflicts. Already the distrust and un dermining of confidence and credit In I the wohld has crippled our export marKet. Regardlg the part of the United States will take in the rehabilitation of Europe, Mr. Hoover counseled moder ation. "eW have two extreme views among our people," he said upon tin. policies we should adopt in all the matters. One contends that the Ideal is Isolation of Europe to herself; the other contends for at least moral dom ination as a mission of international Justice. Many of us want neither ex treme." Holies for Ratification. Assuming that the treaty would be ratified "some day," In "some form" he reached a hope that It might serve to bring about a reduction of ail ment and the "development of engiui of conciliation, of arbitration and codes and courts of international Jus tice." Except where the interes of the Uniled States are vitally concerned, Mr. Hoover declared himself as op posed to American members on t missions provided for in the treaty for the settlement of questions recom mended by the war. The loaning- i money except to alleviate d'stresi was also opposed. "Our best assistance n healing Europe's economic wounas lies In the promotion of the great pro cesses of private commerce," he said, "not In loans from our governnif nt." Mr. Hoover's reference to the peac- treaty and Its ratification were pre- 'J Uftirf Df I irrh-f l USVIILG JI L,lgll A 1 C D .... t S. P. Drivewa HI J. I Ul lVZ,WU,y Causes Accidents Avoiding a serious accident only by .......i.,-, t, .i,. tu..ii.. ... This is one of many mishaps which have been reported from this locality, the cause belnjf an entire absence of light at this point. Drivers who use the driveway to the Southern Pacific depot have reported to council mem bers and to the police that the dan trerom condition exists, but to date j no relief has been afforded by the jcity council. Republicans Of Ohio Organizing For Big Campaign Columbus, Ohio, Feb. J. Plant for the national, and state campaigns were sizsllng here today in connection with the Washington's birthday ral ly of Ohio republican. Of major importance among the events was to be reorganisation of the Ohio Republican Editorial associ ation, perfection of the state league ot republican clubs, and organisation of the republican - women ot the state. Major General Leonard Wood, re publican candidate for the presiden cy, had carried the tight Into Ohio to day by filing his declaration ot can didacy for the republican presiden tial nomination and also a statement authorizing candidates tor delegates to pledge themselves to his support at the republican national convention. IN RUN AUTO; ACCIDENTS ON STREETS HERE GROW The Increase of auto accidents In the city is noted by records at police headquarters Monday morning. Sat urday night and during Sunday four auto collisions or accidents were re ported to police. Saturday evening Mrs. W. E. Kurtz 1105 Leslie street, reported that the machine she was driving collided with another at the Intersection of State and Liberty streets. The other car did not stop. Mrs. Kurtz's ma chine was slightly damaged. Woman is Hurt A woman, whose identity ha not been determined by police, was thrown to the pavement and slightly Injured Sunday when she stepped backward and in front of an auto driven by Frank Borgelt, route. 3, Sa lem. The accident occurred near Lib erty street, on State, Mr.- Borfreldt told polloe. He; gald that he thought the womart was clear of the matMne when she" suddenly stepped baok and Into the fender of the car. She walk ed to a nenrby drug store and pro cured liniment for her bruises. Boy Run Down Wholly Chenoweth, a small boy residing at 700 North 16th street. had a narrow escape from Injury ounuay wnen a umyuio no w iiu- lng was struck by a swiftly Passing miln Tha mil a slid nnt at rrt (ho lorl V, , , torn ponce, wno i sum wmt .i Uirguil incline liuiii uri iauv. hid wt'j escaped wunoui any n.jmy, uul in oicycie was oaa.y oaumgeu. rauuy paring requirements w - httd becn the tradlalonal method of trlbuted to be the cause Sunday of aldt c(mtr0, Tts UBP how.Ver. pre clusion on State between High and ' ,npp0Be normttl conditions and these Liberty streets, of an auto driven by D. Takagl. 445 Ferry street, and E. Roberts, Vidlng a motorcycle. The collision occurred wnen lanagi una Roberts strated their machines at the same time, Takagl swinging the poslt direction Roberts was going, i causing the machines to come to- gether. Both machines were damaged But neither Takagl or Roberts were hurt. Wilson To Make Adriatic Notes nlL f' O ( lUDllLy IXC pi)! I . . Washington, Feb. 23. The notes ex- the entente powers on the Adriatic question will be made public by Pre.l-, dent Wilson within a few davs It was aent wuson wunin a icw aays, it was. stated today officially. The nubllca - tlon, it Is understood, will be mude with the consent of the foreign gov ernments. It Is expected that the notes will be given to the public as soon as tho president's latest reply to the entenU premiers is delivered. It will be sent to Ambassador Davis at London who will deliver it to the premiers. Visitors Barred At Penitentiary, i No visitors will be admitted Into the state prison here until the pres ent Influenza epidemic has abated, ac cording to Instructions Just issued by Warden L. F. Compton. There are no Influenza cases In the penitentiary yet and the quarantine order is made with the object of keeping the dis ease out of the Institution, according to Compton. . j The ban is still up at the state hos pital here where, reports Indicate, there has been no material increase in the number of influenza patients since this emergency action was taken a wtek ago. ' JOHNSON TO BIGGIN CAMPAIGN MARC H 1 Sioux Falls, 8. U, Feb. 23 Senator , Hiram W. Johnson of California, i dependent fc-pulA'can candidate for j president at the March primaries will j open his South- Dakota campa'gn j March 1. It was announced here today. J Senator Johnsin will deliver only four; speeches on this trip, but will return to the state Just beforje election for an other series of speeches, it Is said. RESTORATION OF PRE-VAR STATUS i IN INDUSTRY TO BEAnc ;PHD THRU : WliT Of RESERVE SYSTEIi Board Announces Determination "To Test Ability Of System To Check Expansion And Induce Healthy Liquidation? In Annual Report Made Public Today. Washington, Feb. 23. Determination of the federal reserve board to exert the full power of the reserve banking system in regulating and-controlling the credit situation, a course designed to aid commerce and industry in restoring a pre-war equilibrium was disclosed in the board s annual report, made public today. The board was prepared to test I (he ability of the system to check expansion and to Induce healthy li quidation." The . board explained it was aware ot the Implied power to rectify the condition which con fronts the country. This power neces sarily followed the authority for and employment ot an elastic system of reserve credit and note issue. It was added. Amendment Asked Recommendations also were made to congress for amendment ot the re- erv act which would permit reserve banks to establish normal maximum lines ot credit accommodation for member banks. An ascending scale of rates would be provided In event money was borrowed above the max imum line. This, the board believed, would work to the end that credit expansion on a large scale would be stopped. Warning was given that the coun try must guard against too rapid de flation. It whs pointed out, however, that some remedies employed to con sequent deflation might create con ditions worse than Inflation itself, i "Deflation merely for the sake of deflation and a speedy return to 'normal' deflation merely for the sake of restoring socurlty tallies and com modity prices to tlielr pre-war levels without regard for other consequenc es would be an Insensate proceed ing," the report said. Must Control Credit "It must never be forgotten that modern business is done on credit. One of Its lifo giving princi ples If credit. The ultimate test ot a credit system must be found in what It does to promote and Increase the n.niliiAdnn n anniim Pi.ii. In aAMAwnt truth of ob,orvatlon delerv. n.r,.or n,ilnlnrf I- t deranged state of world ' I Industry and ttjade when production "',, tne crylnK need ot the hour every Whr6 j exp)lmaHon of fts increase in discount rates, the board . said this It was pointed out, do not all exist at this time. While a high reserve bank rate was shown to act nn a r entrain - ; ,ng lnrIuBnc9 upon borrowings, It y ttttract creait from other cen. op-'tera u H ths condltloti, among oth- ers, that was said by the board to imnratlv the nan of Its now. er , controing credit and starting deflation. fVnneriillnn Needed In checking expansion, the board declared much depended upon co operation of business and the commu nity generally. "There Is, however, no need for drastic or precipitate act- ' ion" the report continued. "There ,neei be no ap-prehenslon as to our ability to affect the transition from war time to peace time conditions if reasonable safeguards against the abue of crem nro respected. Our -economic and financial posit Ions Is, " the bottom, safe and sound. The .v- , iProcges oi nujusu. . .u. credit to a normal basis should effected In an ordorly mnnner." A plea was made for complete ab- orptlon by Investors of As " . ,u. these pass into the hands of perma nent holder and the national debt re duced tho operation of the sinking fund, thero gradually will come a (Continued on page two) Capital Journal's Straw Vote for President Vote for One, placing X after name; then cat oat and mall or bring to Capital Journal Office. - BRYAN COX . PALMER . GERARD PERSHING HARDING POINDEXTER HOOVER POMERENB JOHNSON . TAFT LOWDEN 1 WILSON McADOO WOOD I I Party Affiliation Name ,,, Address FULL HONORS PAID HEHOBY OF PEARY AT FUNERAL TODAY Washington, Feb. 23. The body of Rear Admiral Robert"' E.- Pearr. discoverer of the north pole, was laid to rest In Arlington national ceme tery today with full naval and mili tary honors and with high officials of the officers of the government and diplomatic corps present. There cere monies were in charge of the navy department and Captain Carroll Of. Wright, chaplain at the Washington navy yard, conducted the rellgtoua Bervices. The casket was carried to the cem etery on a gun limber, draped In the. national flag which Admiral Peary raised at the north pole. A troop of cavalry and a battery of artillery formed the military escort which led the way, while a long procession of official and private automobiles; carried the distinguished piournera to the graveside; At the' cemetery a company of bluejackets fell Into line with the army escort and the thre volleys of the, last salute wore ttrert by a squad of sailors from the presi dential yacht Mayflower. ' A navy bugler sounded taps. ' The honorary pall "bearers Included Vice President Marshall, M. Jules Jusserand, French ambassador; Chief Justice White of the supreme court; Speaker Glllett of the house ot rep resentatives; Secretary Daniels and Assistant Secretary Roosevelt; Secre tary Lane, Rear Admirals Colby M. Chester, M. T. Endlcott and C. W. Parks; Gilbert Grosvenor, president of the National Geographic Society; Al lan R. Hawley, former president of the Aero Club Of America; Captain Robert A. Bartlett. Vlllijalmur Btef- ansson and Donald MacMlllan. MURMANSK IS TAKEN BY BOLSHEVIKE AND SHIPPING IS SIEZED London, Feb. 23. Bolshovk forces) have seized Murmansk and shipping In the harbor there, foltowlag a rev olution which broke out at that port Saturday afternoon, according to a Lloyd's dispatch from Vardo, Nor- way. rntur . brought News of the capture fought (to Vardo by a Russian steamer, it n the nn v vessel to escape seizure be but was riddled with machine gun . -- ... .,. fire and the captain was wounaea. Murmansk Is situated on the Mur man or Kola penlnsdla, Jutting east ward from Finland and north of th White sea. It Is northwest of Arcn angel. Last year Murmansk was the base of operations for allied forcea fighting the bolshevlkl along the west em shore of the White sea.