Image provided by: University of Oregon Libraries; Eugene, OR
About Capital journal. (Salem, Or.) 1919-1980 | View Entire Issue (Nov. 21, 1922)
OREGON SIAl'E LIBRAS V WW 23 There Is no substitute tor . CIRCULATION Dally average for October 6122. Member Audit Bureau of Circulation. Member Associated Press Full leased wire nervice. " THE WEATHER OREGON: Tonight and Wednesday rain west, cloud east portion; moder ate southeasterly galea. Local: Rainfall, none; max. 49; win. 31; part cloudy; river 1.5 ft. "qrTYFOURTH YEAR NO. 277 SALEM, OREGON, TUESDAY, NOVEMBER PRICE TWO CENTS ON TRAINS AND NEWS BTANDS FIVE CENTS n 1 V, 21, 1922 : IJ L L i.ij L, ill S I j Li - j, , I I j L-J V J m--mr t-r,. ,n,,J : KLANSMEN OF CHICAGO FIND CREED COSTLY Judge Bars Kluxers From Jury Duty And Banks Feel Weight of Oppos ition Sentiment. . Chicago, Nov. 21. To be member of the Ku Klux Klau In Illinois, and particularly In Chi cago, these days is to invite social ostracism and business disaster. The fact is slowly but surely be- lag driven into the minds of the 60,000 or so members of the secret organization in and around this city. The opposition to the Ku Klux is well organized, persistent and unrelenting. In a city in which the foreign born predominates, in which the negro population alone ia in excess ot 110,000, in wnich the members of the Roman Cath olic church numbers approximate ly 1,200,000 and the Jews 125,- 000 or more, it is not surprising that there is deep-rooted dislike of the Ku Klux Klan and the prin ciples for which it stands. The foreign-born, the Catholic, the Jew and the negro constitute a powerful foe to the Ku Klux Klan and are a unit in opposition to It. Judge Bars Kluxers. As a consequence Chicago is witnessing some curious happen ings. One judge refuses to per mit members of the klan to serve as jurors in his court,' business men known to be members of the organization are being boycotted, and one of the big banks is losing business because some of its di rectors and officials are suspected 01 affiliation with the klan. So powerful is the vvave of re lentment that within the last few weeks the president of another hank, one of Chicago's larger fi nancial institutions, was forced to resign when his name was list ed as a member of the klan by a periodical which is the official organ of the anti-klan organiza tion. This publication bears the name of Tolerance, and is the of- (Continued on Page Ten.) Residents of Scio want a paved road over the six miles between Green's bridge . and Scio, and to "ture the endorsement of the fealem Chamber of Commerce, sev- "ai Prominent citizens of that community met with the Chamber , Commerce directors last ven tag. -from Jefferson to . Green's nlge l3 three miles all In Marion county. This road has been grad with a macadam base and will , Probably included In the pav as next summer by the county court. 'ter the river la crossed, the "M to Scio la In T Inn rntintl n"I it is this six miles that the 'o tolks would like to have :'wa by the state highway ""uiUlBBlOn. h A ear'y date will be appointed y the Chamber of Commerce of 'em to cooperate with the Scio "Presentatives in their appear- ,C8 0,re the commission, urg 8 that the six miles b paved by the state. STUDENTS S TO STAGE PLAY AT BOYS SCHOOL ftCCnrHanA. 1.1- . 1 ., In G . wii.n me policy of i Soclofsky as secretary to Marion county Y. M. C. A., om 0Tl(1 an entertainment of C ,for "e boys of the end t lninK school every aec- numb of w- Sfcmh. l,niT'rslty students, d.w of th6 Public speaking tio, . ' W1U K l Institu- tonight and giv. abort Si ASKS AID SECURING AD Salem Perfects Attack In Air; Dope Minus On Mix With Vanderbilt to Get Fortune Friday Portsmouth, R. I., Nov. 21. William H. Vanderbilt on his 21st birthday, Friday, will come into possession of the for tune left him by his father, Al fred G. Vanderbilt, wfio lost his life in the sinking of the Lusl tania. g: 5 Holders of Small Accounts in jueiunn, Banks Are Preferred Creditors. Savings depositors are prefer red creditors in the distribution of the savings assets of an insol vent state bank and share ratably with commercial depositors in the distribution of all other assets and resources of the bank. Thus reiterating its previously expressed opinion upon the Btatus of a depositor in the savings de partment of a state bank in Ore gon, the supreme court this morn ing, in. an opinion written by Jus tice McCourt denies the petition for a rehearing of the, appeals filed by C. R. Upham, Mary Steel hammer and Grace A. Doxsie, ren resenting commercial creditors in the defunct bank, against Frank C. Bramwell, as superintendent or banks. Savings Separate . The Oregon law covering the regulation of state banks, the opinion points out "enjoins upon a bank maintaining a savings de partment the duty to keep all sav ings deposits received by it and all securities in which the same are invested, separate and apart from all other moneys and funds of the bank. The investment cf savines deposits is expressly re stricted to specifically described securites of recognized financial soundness and readily convert ible into money. "The statute further imposes the strict obligation to . hold all such investments, funds and as sets solely for the repayment of savings depositors and expressly prohibits the use of the same to pay any other obligation or lla bility of the bank, until after the payment in full of all savings de positors." Offsets Illegal "Diversion of savings assets to a prohibited use or purpose does not result where a savings depos it is offset by a debt to the sav ings department or to the commer cial department or where a com mercial deposit is offset by a debt to the commercial department and in those cases the right of set-off is not affected by the statute,' Justice McCourt points out, al though holding that a depositor in the commercial department of the bank may not set oft his de posit in that department against his debt to the savings depart- rment. PETITION FOB STATION AGENT IS REFUSED The petition of the citizens of Liberal, Clackamas county, for the maintenance of an agent by the Southern Pacific company at that point is denied in an order issued by the public service com mission today. The order of the commission holds that the busi ness of the railroad at Liberal does not justify the expense inci dent to the employment of . an agent. Other orders issued by the com mission today provide for the construction of two new grade crossings in Benton county and the elimination of four xisting crossings. SAVINGS AP RATED Ff Eugene High Although there is some "paper" dope available, the football team of Eugene high school arch-rival of the Salem high school is more or less of an unknown quantity and local dopesters are reluctant to step forward and annbunce Just what ' will happen when the two elevens clash here next Saturday for the first time in two years. Of course, scores may be given the once-over, but in this case the result isn't very satisfactory. It is known that Corvallis high school put Eugene to rout with an 18 to 0 score while Corvallis de 'eated Salem only 3 to 0. How 0ar, it will be recalled that the igene eleven made some costly g moles while in whispering dis a ,nce of the Corvallis goal line. ? he game was not so one-sided as he score would indicate. . ! Salem's line is fairly big and 'ather fast but so is Eugene's. Reuorts from the universitv citv indicate that the preppers are in .'good condition and are being J whipped into shape. Likewise Coach "Scrub" Huntington, his eye alert for the rough edges, Is watching his charges perform each evening and their condition wiU be of the best. Ringle, end, who was carried from the field in the game with Corvallis, is again in shape and will be started in the game with Eugene. Lllligren, half, who has suffered some from injuries dur ing the season, is also entirely re covered. Coach. Is Silent. Today Coach Huntington would offer no- predictions "concerning the Eugene mix-up, but he admit ted that the local eleven is in bet ter shape than it has been at any time during the season. Against Eugene, Adolph will be shifted to a wing berth but will be pulled back to do the kicking. In prac tice Adolph has been getting bis kicks off, for 50 and 60 yards. Ringle will be used on the oth er end. Jones and Morman will be at the tackle positions, Hamil ton, Coffee and Osman are avail able as guards, and Harris will be used as center. In the hacK field will be Patterson, full; Lllli gren and Post, halves, and Brown quarter. Paper Dope Favor Salem. During the past week Hunting ton has made an effort to perfect his over-head work and it iB pos sible that Salem's aerial attack will be greatly Improved by the time it meets up with its ancient enemy. , With Eugene-Salem games al ways difficult to dope, the stuff available on paper would indicate a victory for the locals. HEED $250 FOR Only $250.00 will be asked of merchants and banks of the city to finance the annual Marion county corn shew to be h'eld In Salem December 14, 15 and 16. This figure was placed as the necessary amount, at a meeting held last evening by the board of directors of the. chamber of com merce. And as the corn show is regarded as a great advertise ment for the county, it was thought that no difficulty should be experienced in raising the $250.00 through small contribu tions by every merchant In the city. The money to tn raised is to be used in necessary expenses and in the offering 01 casn premiums. The exhibit win oe piacea in rooms over the Salem Hardware company, on commercial vri. The committee appointed to make all plans i for the show and to secure money, consists oi ueoriso Griffith, Charles R. Archerd, Dan J. Fry, Z. J. Riggs and p. W. GiBer. Washington, Nov. . 21. The fifth shipment of American Red Cross supplies for war refugees from Asia Minor will leave for Greece on December 4, it was an nounced today and will comprise 1000 ton of flour, the first sec tion of a 2500-ton purchase destined-for Greece. N SHOW HERE Z3 HEARING ON MERGER PLEA OPENS Espee Attorney Charges Body Seeking Inter vention Is Controlled By Union Pacific, , Washington, Nov. 21. Half a dozen states and scores of com munities and traffic associations In Pacific coast and Rocky moun tain territory took a hand today in proceedings before the Inter state commerce ' commission by which the Southern Pacific rail road hopes to retain control of the Central Pacific despite the disso lution order of the supreme court. Fred H. Wood, counsel for the Southern Pacific, made no objec tion to the swarm of intervention requests until the California Pro ducers & Shippers association was announced. Charges Trickery. "I'll not object at this point," he declared, "but in point of fact that so-called association is noth ing more than the Union Pacific railroad, operating under an alias, and that alias is resorted to for the UBual purpose that people use aliases. At the proper time I'll move to strike its petition and participation from this record." "We'll meet the gentleman s argument when he does it," re plied E. F. Tread well, represent ing the association, . Officials of Colorado, Idaho, Utah, Arizona, California and Wyaming petitioned the commis sion for authority to intervene when Commissioner Meyer opened the hearing, as did representatives of nearly all the coast cities. Arrangement Explained. L. J. Spencer, director of traf fic for- the Southern Pacific, ex plained in detail the financial and lease arrangement vhich have re sulted in the close interlocking of the two corporations since 1885. By joint issues ot stocks and bonds, exchange of securities and absolutely unified operation, he said a situation had been created in which dissolution under the supreme court order would give rise to inumerous perplexing and difficult problems. Analyzing traffic statistics, Mr. Spencer said that withdrawal of Southern Pacific ship for the Cen tral Pacific route would divert more than a half million tons of transcontinental freight per year from the Ogden-Utah route to the south. Competition Denied. Since the opening of the Pana ma canal, he continued, the South ern Pacific has not been a com petitor with the Central Pacific' northern transcontinental line be cause the freight had been divert ed to the water route. He insist ed that the supreme court in find ing the Southern Pacific and Cen tral Pacific had combined two competing transcontinental lines and thus reduced competition to the point that made the merger unlawfuVhad been dealing large ly with conditions which were no longer existant. In general, he declared, the two lines have been complementary in the transporta tion service and not competitive. Following a brief appeal made by Harry Levy, president of the Associated Charities of the city, at the luncheon of the Klwanls club today at their weekly lunch eon, just before the main speech by Aon. J. K. Churchill, superin tendent of' the Oregon schools, a total of approximately $335 was subscribed without personal solici tation, by members of the club. "Top many In giving money act like the money was being given to the officers of the organization and not to help the needy," Mr. Levy said. KWAMS CLUB AIDS CHIT E PORTLAND MINISTER EXONERATED Supreme Court Holds Dr. Morrison Not Guilty Of Fraud In Selling Land For School. Dr. A. A. Morrison, prominent Portland Episcopal minister, was guilty ot neither wrong doing nor fraud in his connection with the transaction which resulted in the acquisition of 100 acres of the old "Charles Ladd farm" in Yamhill county "by the board of school trustees of the Episcopal church in 1.908, for use in the establish ment ot a school tor boys. Such is the holding of the su preme court in an opinion written by Justice McBride and handed down this morning affirming ne decree of Judge Gatens of the Multnomah county circuit court which had dismissed the case brought by the board of trustees against Morrison to compel restor ation ot the $25,000 to the trust fund from which the purchase was made with a view to establishing an Episcopalian school tor boys in Oregon. . , Sold Land for School. Dr, Morrison, together, with E M, Morgan and W. B. Streeter held an option on the purchase of (Continued on Page Seven.) PORTLAND MUST suit brought in the Marjon county circuit court by the City of Portland against Sam A. Kozer, secretary of state, and the f Associated OT company, wherein the city of Portland al leges, that it should not be com pelled to pay the one cent gasoline- tax on vehicles used by the cityj Judge George G. Bingham has .entered an order dismissing the suit and taxing costs against the plaintiff., It .Is understood that the City of Portland will soon appeal from the court's decision to the su preme court of the state. In the suit, the City of Port land asked that the secretary of fltatej be enjoined and restrained from-.collectlng the one cent gaso line tax, alleging that the city should be obliged to pay as the gasoltne purchased was used for public -purposes. The statute of 1919 reads: "To provide a license tax on gasoline, distillate, liberty fuel and other volatile and lnflam mable liquids produced or com pounded for the purpose of oper ating ; or propelling motor vehicles." SUIT TO BANISH Tnnka. Kan.. Nov. 21. Legal proceedings which may make it unlawful for any person m Kan sas to become a member of the Ku Klux Klan are forecast today in th( announcement last night by Gdvernor H. 3. Allen that be had 'been assured by the state at torney, general's office that ous ter proceedings against the klan would be filed in the state su preme" court. It is thought at the state, house that the suit prob- mji would be begun some time today 1 Th suit aealnst the klan will be brought on the ground that thi organization is a Georgia corpo- atlnn and If not registered to ao business in Kansas. PAY GAS TAX ON JCITYMACHINES In the KLAN PENDING Newberry Formally ; Resigns from Senate Washington, Nov. 21. Res ignation from the senate ot Senator Truman H. Newberry of Michigan, the center ot a bitter election contest for tha last four years became effect ive today when his letter of resignation was presented and read in the senate. E 1997 VOTES Offical Count of Ballots Cast In Marion County Completed Here By Canvassers. Walter Pierce led Governor 01 cott by 1997 votes in Marlon county in the election on Novem ber 7, and the so called compul sory school bill was defeated in this county by 1178 votes, ac cording to the report of the offi cial canvassing board, completed this afternoon. Mr. Pierce receiv ed a total of 8522 votes In Marlon and Mr. Olcott 6525, A total of 6442 persons voted for the school bill, while 7620 voted against it. Other votes cast were as fol lows: .. -. ' Superintendent of public In struction J. A. ' Churchill 10, 282; S. S. George 3739; Churchill's lead 6543. Mr. State treasurer O. P. Hoff 9393; F. L. Tou Velle 4589. Justice supreme court George Burnett 12,463; John McCourt 11,227; John Rand 11,038; Roy Shields 3; S. M. Endlcott 3. For congressman W. C. Haw- ley 9293; Elton Watklns'9; M. J. Van Volkenberg 2; A. W. Nor blad 5. For labor commissioner C. II. Gram 9841; B. H. Hanson 2802. For public service commiHsion- er Thomas K. Campbell 8330; Gus E. Erickson 1907; T. M. Ker rigan 2567. For circuit Judge George G Bingham 11,966; Percy Kelly 10,711. For state senator Sam Brown 11,572; A. M. Lafollctte 11,077; Louis Lachmund 3; George Hubbs 5; Fannie Kay Bishop 4. For representative Thomas B. Kay 10,276;L. H. McMahan 10,- 986; L. T. Reynolds 10,898; O. J. Wilson 10,849; Ivan Martin 3; J. C. Perry 6; Mrs. F. K. Bish op 17; Frank Bowers 4; William Taylor 3; George Crlffith 2; Clarence ' Blakeley 2; Henry Downing 2 . For county commissioner Jim Smith 11.4-12; Andy Slgman 2. Amendment permitting Linn county a tax levy to pay outstand ing warrants Yes 5320; no 4691 Amendment permitting Linn and Benton counties to pay off outstanding warrants Ves 5055; no 4394. Single tax amendment Yes 1699; no 9880. Exposition tax amendment Yes 3882; no 9880. Income tax amendment Yes 3421; no 7883. For the city of Salem the vote was as follows: For mayor J. B. Giesy 2996; H. H. Vandevort 2460. For city recorder P. L. Frai ler 2396; Mark Poulsen 2688. For city marshall W. W. BIrtchet 3598; Verdcn Moffltt 1910. For councilman, fifth ward Jos. N. Smith 278; G. W. Thomp son 309. For measure making police chief apointive Yes. 2599; no 2368. For measure authorizing bond Issue for purchase of fire engine- Yes 3359; no 1479. DR.' UTTER REMAINS HERE Although Dr. F. L. Utter, Sa lem dentist, and his brother. Dr. E. H. Utter, will open a dental office in Newberg, the Salem of fice will not be closed, it was ex plained today. As a result of his announcement that a ' Newberg office would be opened, a misun derstanding concerning Dr. Ut ter's Salem practice developed. "We are here to stay," Dr. Ut ter declared this afternoon. LEAD HARD NG SAYS h' MARINE MEASURE NEEDED FOR NATION! PROTECT! President, Addressing Congress in Person, Declares Proposed Legislation Would Result In Monetary Savings Foreign Influences Behind Opposition, He Asserts. Washington, Nov. 21. Enactment of the administration merchant marine bill was urged upon congress today by President Harding as necessary to relieve the government of present "staggering losses" in operation of the war built merchant fleet and to establish a program of assured ship ping to serve the nation in war and give a guarantee of commerce independence in time of peace. Personally addressing a joint session of the senate and house, the executive declared an actual monetary saving to the government would result 'from the proposed law. He challenged every insinuation of favored" interests and the enriching of the special few at the expense of the public treasury. The legislation, he asserted, automatically guarded against enrichment or perpetual bestowal. "If success attend, as we hope it- will, he added, "the government outlay is returned, the inspiration ot opportunity to earn remains and American transportation by sea is maintained." The president said concern about , the American merchant marine policy was not limited ''to our own domain,'' adding that the maritime nations of the world "were in complete accord with the opposition here to the pending measure." lie declared those nations had a perfect right to such an attitude but that he wished to stress the American viewpoint, which he said should be the viewpoint "from which one sees American carriers at sea, the dependence of American commerce and American vessels for Amer ican reliance in the event of war." Urges National Unity Mr. Harding declared It would be most discouraging if a measure of "such transcending national importance" must have its fate depend on geographical, occupa tional, professional or partisan ob jection. A commercial eminence on the seas and ample agencies for the. promotion In carrying of American commerce, be asserted, were of no less Importance to the (Continued on Page Ten.) The Marlon county court has Just completed two Jobs of diking that the court is very proud of, according to J. F. Hunt, county commliisioner. One Is the West Stayton dike and the other on the Abiqua, three miles northeast of Sllverton. Afiout one year ago, just east of Stayton, a flood washed out three county bridges, a railroad trestle and did great damage to farming property. To prevent a recurrence of an other flood, the county court has built a dike 350 feet long, which under ordinary circumstances would cost $3000. With the coun ty putting in 11000, the railroad furnishing the donkey engine and the farmers in the vicinity adding their labor, the dike has Just been completed. It is made of a crib of logs, nine feet high and 12 feet wide. Then the crib was filled with rocks and covered also with rocks until it is hardly noticeable. Tbe second dike Just completed along the Abiqua northeast of Sil verton, consists of piling and heavy planks and the dike is val ued at $600. However, with the county furnishing the pile driver and half the material, farmers to be benefited by the dike gave their labor, the dike was built with but small expense to the county. Last spring the river threatened to overflow its banks and destroy the county road north east ot Sllverton. COUNTY BUILDS BARKERS ERCHANT WOMAN GETS SENATE SEAT Mrs. W. H. Felton Wins Honor of Being First Of Sex To Sit In Upper House of Congress. Washington, Nov. 21. Mrs. W. H. Felton, the "grand old lady of Georgia," won her fight today for a seat for a day as the first worn-. an senator. Without objection from any senator but after a long delay dur ing which the status of her ap pointment to the senate was re viewed in the light of the prece dents Mrs. Felton took the oath of office at the vice-president's desk and wrote her name in the-senate membership book. A large crowd applauded as the 87-year-old woman raised her hand and bowed to the oath ad ministered by Senator Cummins ot Iowa, president pro- tempore and acting in the absence of Vice President Coolidge. The seating of Mrs. Felton was delayed until an hour and a half after the senate convened by an address in support of her claim by Senator Walsh, democrat, of Mon tana, and by a recess for attend ance of the senate at the joint ses sion to hear President Harding's message. The question as to whether a bank, under certain circumstances can endorse ft check for a party, accept tbe money and then credit it to another person's account, la now on trial before Judge Percy Kelly in the suit entitled Amos Yoder against the State Bank of Hubbard. In his complaint, Mr. Yoder al leges that on December 24, 1920, the Hubbard bank endorsed his name without his authority on a check for $1615.90 and that in stead of being deposited to hia account, was deposited to hia brother's account. Mr. Yoder ia suing for the entire amount. In its reply, the bank alleges that Mr. Yoder, who lived In Ida ho and his brother, Noah J. Yoder ot Hubbard, had sold some land, near Hubbard and that on author ity of the brother, the bank en dorsed the name ot Amos Yoder and applied part ot the proceeds In paying some ot the expense and other obligations in the joint land deal. CHARGES BANK MISUSED 1--ai 8- V n, - i' id ' td it. ' ce P i- f-' ICS .da