Capital journal. (Salem, Or.) 1919-1980, September 11, 1929, Page 1, Image 1

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    .A.
CIRCULATION
Dally average distribution for the
month Hiding August 11. 1929 ,
10,153
Average daily net paid f,T78
fimtxr Audit Bureau ot Circulation
FAIR
Tonight and Thursday: sot and!
change in temperature. Moderate
northwesterly winds.
Local Max., M; Mln, M; tain, I;
river, -2.$ feet; hazy; no wind.
42nd YEAR, No. 217
SALEM, OREGON, WEDNESDAY, SEPTEMBER 11, 1929
tieJ0
"7 O ;o ,
STANDS TlVa CKNT .
man
BANKER PLAYS
R0BIIIH00DT0
-AID DEPOSITORS
" ; President - of Telluride
Bank Takes Full Blame
For $500,000 Fraud
Swindle Perpetrated -To
Save Institution. Is
Ready for Penalty
New Castle. Wyo. unC. D. Wag
goner, president of the Bank of
Telluride, Colo., arrested here in
connection with the transaction by
which he obtained (500,000 credit
from New York banks on authorized
telegraphic orders from six Denver
banks, said Wednesday he engin
eered the deal in hope ot protecting
depositors of bis bank in Teuunae.
"I knew exactly what I was do
ing," said Waggoner. "There Is no
one to blame but myself. I was the
one who sent the fake telegrams
out of Denver to the six New York
correspondent banks, and neither
my wife, my family, nor any of the
officials ot the bank had any con
nection with the transaction.
The bottom had dropped out of
things in Telluride and a desperate
move was necessary.
"At one time the bank had de
posits of $1,750,000. Then condi
tions In the town went from bad
to worse. I wanted to get some
money and put it in the Telluride
bank eo that the banks of New York
couldn't possibly get It back."
Waggoner said that ha was think
Ing only of the creditors ot his bank
concluded on page 11. column 7)
DR. TULLY BACK'
FROM FAR EAST
TELLS OF TRAVEL
National unity and a stable gov
ernment, a, stabilized monetary
system, higher standards of living
and uniformity of language -are
among the things most needed by
- the Chinese people, in the opinion
of Dr. Norman K. Tully, pastor of
the First Presbyterian church, who
baa just returned from a tour ot
the orient.
"The squalor and poverty among
the people is distressing." said Dr.
Tully. "Money Is of doubtful value,
the people of the north cannot
understand the people of the south
and filth and disease are every
where." This condition. In the opinion of
Dr. Tully is largely the result of ad
herence to the old Confucian Ideas.
"I came home much more fav
orably Impressed with western in
fluence in the orient." he said.
"The Chinese need our Christianity
beyond doubt, and the missionary
movement Is progressing. I stopped
at the navy Y. M. C. A. at Shang
hai, and It la doing a good work.
I visited some of the native Chris
tian churches and found them
progressing.
"As for the progress of national
Ism one hears conflicting rumors.
My impression was that progress
la being made. The foreign popu-
iConciudcd on page P. column 4)
HOOVER CONFERS
ON NAVAL CUT
Washington (IP Instructions re
tarding naval disarmament which
the United States la expected to
isend Ambassador Dawes at London
before the end ot the week, were
the subject of a conference of high
officials called by President Hoov
er at the White Home Wednesday
morning.
Cancelling other engagements, the
president at 10:30 a. m. received
Secretary of State Stlmson. Under-
Secretary of State Cotton, Secre
tary of Navy Adams, the full mem
bership of the navy's general board,
and Rear Admiral Hilary Jones, U.
S. N. retired, who has advised Mr.
Hoover on naval questions.
. PROBE FLOGGING OF
UNION ORGANIZERS
Charlotte, N, O. Investigation
of the kidnapping and flogging of
communist union organizers was
being conducted by state authorities
Gardner Wednesday, while labor
pmnnra to carry tnrougn
their program In North Carolina's
' textile tenters despite purported
threatt (gainst their Uvea.
Good Evening!
DON UPJOHN
OFFERS
Sips for Supper
We read in ' the" "Journal ' where
there's an English family with three
cops In It. Imagine trying to bring
up a family with, three Walt
Thompsons In It.
Being entertained by Ike at a re
ception should be ample compensa
tion to Doc Willing for losing out
on the amateur championship.
We hope Ike will remember to
present the stricken doctor with a
basket of Eola's best peaches.
This morning we met a promi
nent professional man on the
street and after conversing with
him a few moments politely in
formed him be" had some egg on
his upper lip.
"There couldn't be," he said, "as
he viciously rubbed his lip. "I didn't
have any egg for breakfast this
morning. But there might be, too,
be added, as an afterthought. "I
had some egg for breakfast yester
day morning. -
In making an accident- report at
police headquarters a tourist gave
his sex as "white." We presume be
belongs to the male race.
Bert Ford and Dwlght Parr, both
young fathers, led us into the First
National cigar counter'thia morning
and taking out their handkerchiefs
demonstrated to us some new
wrinkles they had learned In the
matter of taking care ot their ba
bies. Bert and Dwlght had quite an
argument over the relative speed
and value ot the four and two pin
hitches, Dwlght insisting that his
two pin hitch was a lot faster to
make up and Just as efficacious as
Bert's four pin hitch.
Us, ot course, with our ex
perience In a field ot seven be
' hind us, just stood by and
listened to 'em argue. - Those
two boys are starting' off well
bat they got a lot to learn.
John Rlngling now owns all the
circuses in the world. He'll save a
lot ot money on the newspaper boys.
having to Issue 'only one pass to all
the circuses.
100 00UKH0B0R
PRISONERS OFF
FOR VANCOUVER
Nelson, B. C. UPh-Ou twit ting
Doukhobor pickets about the Jail,
authorities have spirited more than
100 members of the cult aboard
train for Vancouver to serve six
months' jail sentences.
Two coaches and a baggage car
were used to transport 104 Douk
hobor men and women sentenced to
jail for indecent exposure for tak
ing part in a nude procession.
In addition to the prisoners the
party Included eight children being
taken to an institution where they
will attend school. They were tak
en from Doukhobor parents who
refused to send them to public
schools.
On the way to the train, guards
said, several of the prisoners at
tempted to disrobe. Appearing in
public without clothing is one of
the practices of the cult which the
authorities have sought to suppress.
A week ago a band of Doukho-
bors camped outside the town en
gaged in a battle with police citi
zens during a demonstration in
protest against the incarceration of
fellow members of the cult. -
Governor Proclaims
Deer Season Closed
Until Danger Passed
Governor Patterson's official proclamation suspending
the open season for hunting as a precaution against the fur
ther spread of forest fires was issued Wednesday. The close
down on the season is to be effective until a future procla
mation opening it.
The governor gave notice several days ago that he
would take this action unless there-
was a rainfall prior to September
19, the date on which the deer sea
son was supposed to open. Tues
day he was visited by Harold Clif
ford, state game warden, and Ben
Dorrta, a member of the state game
commission, who. It la understood,
were against the closing of the
season. When informed, however,
that all na tonal foresta were to be
closed to recreation Wednesday,
they were disposed to take a dif
ferent new of the matter.
SENATE VOTES
PROBE OF SHIP
BUILDERS ACTS
Order Inquiry Into Inter
ference at Geneva
Conference by Shearer
Not a Question of Propa
ganda But of Interfer
ence With Policies
Washington, (IP) The senate
Wednesday adopted the Borah re
solution authorizing an investiga
tion on the activities of the Ameri
can shipbuilding companies at the
ujeneva preparatory disarmament
conference in 1927.
The investigating resolution as
dratted by a committee of senators
including Chairman Borah of- the
senate foreign relations committee,
would authorize the senate naval
committee to "make tull Investiga
tion" of Shearer's activities at the
Geneva naval conference In 1927,
the meeting ot the preparatory
commission on disarmament and
In all matters in econnection
(Concluded on page 4, column 5)
INDIAN DRIVER,
RESPONSIBLE
: FORURASH
A warrent for the arrest of John
Slmtustus, Warm Springs Indian,
on a charge ot reckless driving was
issued in the court of Justice ot the
Peace Brazier Small, Wednesday on
a complaint filed by W. J. Mulkey,
state traffic officer.
Mulkey's complaint was filed fol
lowing his Investigation of the head-
on collision which occurred a short
distance north of Oervals on the
Pacific highway Tuesday morning,
in which J una Slmtustus, II years
old, son of the elder man, received
fatal Injuries.
Mr. and Mrs. Slmtustus and Baby
Lindbergh Slmtustua are still m the
Salem hospital suffering from In
juries received in the accident Two
other children were not so seriously
injured.
Robert Bishop, Salem youth, and
Donald S peers, Aumsvllle, were also
Injured In the accident.
Juna Slmtustus died Tuesday at
the hospital a tew hours after the
accident.
RELIEF SENT
FIREFIGHTERS
Communication -with the Silver
Falls lumber company properties
above Silverton has been cut off
due to burned telephone poles and
a special logging train with a crew
of section men left In the direction
of Camp No. 14 early Wednesday
morning to check the damage to
logging railroad property.
Another bridge was destroyed by
fire Tuesday afternoon and It Is
planned to provide temporary
transportation across a creek so
that supplies can be taken into the
camp where nearly 100 men are
engaged in battling the fire In
slashings and to prevent its en
roachment In the green timber.
The governor's proclamation
states that the Ion by forest fifes
la daily growing greater and more
menacing, not only to timber but
to livestock, grating ground, per
sonal property and human life. It
upholds the contention ot State
Forester Elliott that the use ot fire
arms and the building of camp fires
by hunters are liable to cause for
est fires.
VARE OUSTING
SIDE TRACKED
FOR THETARIFF
Senate Defers Consider
ation of Vare Case
Until December 3
Five Democrats Vote
With Republicans To
Secure Postponment
Washington (P) Resuming con
sideration of the tariff bill, the
senate Wednesday adopted a reao
ration to take up Its administrative
provisions first.
The motion of the republican
leader. Senator Watson, ot Indiana,
to defer the case was carried by a
vote of 41 to 34.
The decision permits the senate
to resume consideration of the tar
iff bill Immediately.
Five democrats voted with 38 re
publicans to defer the Vare Issue,
while republicans voted with 25
democrats against postponement.
Washington (IP) Efforts to reach
a compromise on the Vare case so
the senate could get back to tariff
bill discussion, failed In the senate
Wednesday aa democrat manifest
ed a restless attitude toward the
tariff delay.
A proposal was made by Senator
Plttman, democrat, Nevada, that
tne vare case be put oft tor two
weeks but it was rejected by Sena
tor Reed, republican, Pennsylvania,
who said such a brief respite still
would Interfere with tariff action
during the special session.
Finally Senator Simmons, ranking
minority member ot the finance
committee, served notice that unless
the Vare matter is disposed of with
in a few hours, he will ask that
it be laid aside temporarily so he
can make his speech on the S600,-
(Copcluded on page 10. column 1)
BOYS IN BLUE
NUMBERS FEW
STAGE PARADE
Portland. Maine UP) The -Boys
in Blue" marched In review Wed
nesday In the official opening of
the 63rd national encampment of
the Grand Army of the Republic.
Less than 1000 were afoot. Another
500 rode In automobiles.
Their ranks depleted and their
years showing In their faces, the
aged men who marched galley away
to the Civil war, renewed their mem
ories aa four abreast they paraded
for a mile and then passed the re
viewing stand where they aaluted
ineir commanaer, uonn iteese, 01
Broken Bow, Nebraska, Governor
William Tudor Gardiner, his staff,
and civic officials.
Forty-four years ago the veterans
encamped here, living under canvas.
The parade of 1885 outdid in
numbers that of today, but time
and depleted ranks could not dim
the spirit of the comrades.
With smiling faces they received
the tumultuous greeting from the
thousands that lined the streets and
were in the stand at city hall, but
military regulations were fully ob
served aa they passed the reviewing
stand and aaluted Commander-in-
Chief Reese.
After the police escort which led
the march and was headed by Cap
tain Hugh P. McDonough, who
headed the line In 1885. came a
band from a Texas post of the Sons
of Veterans.
TEXTILE STRIKE
DECLARED OFF
Marion, N. C. IIP) The Marlon
textile strike Is over and Tuesday
1300 men and women work era pre
pared to return to their Jobs In the
mills of, the CUnchtleld and Marion
manufacturing companies.
Strikers, In a noisy mass meeting
Tuesday night, approved terms ad
vanced by officials ot the two mills.
and union leaders declared them
selves well satisfied with the out
come of the dispute which had kept
the workers Idle for nearly two
months.
The settlement was on a basis of
reduction In working hours, non
discrimination against union work
ers, and recwmitlon of a workers'
grievance committee.
The gains achieved, It was said
by labor leaders, compensated for
the fact that the mill officials re
fused to recognise the union offi
cially.
Wreckage of Plane as Found in Wilds
. y A.
Associated Press Photo
First close up plcturea of the wreck ot the Transcontinental Air transport's City ef San Francisco, which
dove headlong Into the ragged tree-grown slope ot ML Taylor in New Mexico last Tuesday, killing the live
passengers and crew ef three - A photographer who scaled the mountainside snapped the scene and they
were brought by airplane to Los Angeles. The crowd la the group of searchers examining the wreck. Jagged
holes can be seen In -a wing ot the ship, caused by trees puncturing the metal aa the plane crashed.
SEEK TO CUT
RATES PAID FOR
Washington (IP) Postmaster Gen
eral Brown Wedneaday summoned
air mall contractors to a conference
beginning September 30 at which
he will endeavor to reduce rates
paid by the government for air mail
transportation. .
At this meeting It was decided the
post office department should sub
mit to the contractors a question
naire to secure information on which
to base a revision of rates downward.
These questionnaires are now in the
hands of the postmaster-general.
Mr. Brown said that In air mall
there waa not "the fundamental rea
son -for subsidy that exists In ship
ping where foreign competition and
ship construction and cost of opera
tion are essential factors."
Mr. Brown said he was prepared to
bring about an adjustment which
was expected "to greatly reduce the
present excessive cost for this ser
vice to the public."
The postmaster general under au
thority given by the air mail act of
May 17, 1928, wiU begin, negotia
tions to extend airmail contracts
for a period of ten yeara from the
date they began operation.
On May 37, he told a conference
ot air maU contractora that while
the government was not disposed to
drive a hard bargain, the disparity
between the amount earned and ex
pended by the government for air
mail and also the difference In pay
to contractors called for a read
justment.
SOVIET TROOPS
DESTROY CITY
Shanghai, WV-Harbin dispatches
to the semi-official Tachung News
Agency Wednesday said 10,000 Chi
nese troops "valiantly attempted to
save the city Pogranlchnaya from
the Soviet Invaders."
The Chinese were said to have
established the second line of their
defense at Mulin, concentrating
there a "still larger force."
While communications with Po
granlchnaya were disrupted the dis
patches said it was known the Rus
sians "gradually were reducing the
city to ruins while the populace
evacuated."
It was stated also thrt the Soviet
troops were advancing toward Po
granlchnaya from Tunchlng, on the
8ino-Siber!an border south ot Po
granlchnaya. The Russians were
said to have -captured and burned
Tungnlng Sunday night."
PREMIER BRUCE
: PLANS RESIGNING
Canberra, Australia (in Premier
Stanley M. Bruce asked the governor
general for dissolution ot parlia
ment Wednesday,
Premier Bruce, whose nationalist
party was defeated by the labor par
ty Tuesday In a vote on the govern
ment's bill to abolish compulsory
arbitration of Industrial disputes by
federal government, told the house
that he had given the governor gen
eral "certain advices" which the
governor general was considering.
It was believed the premier was
considering resigning. He has been
In power for six years.
-
Bob Haired Girls
Most Successful
Spouse Grabbers
Detroit, Mich, OP) Women
with hair are Irrevocably at
tracted to serious minded
men, MIm Georgia George,
Los Angeles, told delegates
attending the annual con
vention of the National Hair
Dressers and Cosmeticians
association here.
"On the other hand," she
added, "bobbed haired girls
find the ephemeral type ot
gentleman more Irresistible
and get their men quicker
and with greater frequency
than their old fashion Bis
ters." She attributed the greater
deadline! of the bobbed hair,
ed girl to the fact she waa
the aaacy, feminine epitome
ot flaming youth, that the
percentage of America's som
bre dlspossUoned men are
steadily decreasing and that
tn thto hygienic era "I be wife
bunting Urtharlo recognises
the taper quaUfkatlena f
the shingled spouse."
CONGRESSMAN
BURNS TO DEATH
IN MINNESOTA
Battle Lake, Minn. mO. 3.
Kvale. 60 year old congressman
from the seventh Minnesota dis
trict, was burned to death In his
sleep Tuesday night when fire de
stroyed his summer cottage near
Otter Tall lake north ot nere.
The body waa round in the ruins
by Coroner Vlgen, although it was
so badly charred that definite Iden
tification was impossible at tne
time. ,
Coroner Vlgen said, however, he
waa certain the body was that of
the congressman, who neighbors
said, was alone in the cottage Tues
day night. The coroner planned to
remove the body to Fergus Falls.
The ruins of the cottage were
discovered this morning by a neigh
bor who talked with Mr. Kvale
Tuesday night and was told to re
turn Wednesday to tlx a fence.
Mr. Kvale was serving his fourth
term In congress to which he was
first elected In 1022 with farmer
labor and democratic endorsements.
He defeated Andrew J. Volstead,
father" of the national prohibition
enforcement act,
Mr. Kvale stepped from a minis
ter's pulpit Into congress, having
been ordained In, the Norwegian
Lutheran church ot America before
entering politics.
HON UNION CAB
TOTALWRECK
Portland P) The first serious as
pect of a threatened warfare be
tween union and non-union taxlcab
drivers in Portland waa seen Wed
nesday when a non-union cab, tak
en by force from its driver Tuesday
night, waa found lying at the bot
tom of a precipice, a total wreck.
It had been run over the bank from
Willamette boulevard.
A second cab. owned by the same
company, waa found in an isolated
district, Its windows smashed and
the body badly battered.
of New Mexico
"s. - . . I.N.
FIGHTING HEAVY
IN FAR EAST BUT
REPORTS VAGUE
London, W) Communications
between the city ot Pogranlchnava.
eastern terminus of the Chinese
Eastern railway, and Harbin. Man-
churian railway center, has been
disrupted, leaving military happen
ings along the eastern Manchurtan
border much In doubt.
Last reports from the frontier
city told of Intermittent heavy
iignung Between Chinese troops
and the Soviet frontier army since
last jnursaay, witn pogranlchnaya
itself changing hands several times.
Sporadic fighting and bombing
from the air, both at Pogranlchnaya
ana at Mulin, were said to continue.
It waa clear from such meager
reports as were obtainable that the
Manchurian-Russian frontier, from
Pogranlchnaya, north to the mouth
of the Sungaii river,- and west to
Manchuli, western frontier city, re
mained much disturbed by the hos
tilities, although observers were
skeptical that the two armies had
met in a general engagement.
one recent report, unconfirmed.
said the entire city of Pogranlch
naya waa In flames. Press dispatch
es said it waa much damaged by
names, aneuing and bombing, al
though Chinese still held their
positions there.
The Russian air attack at Mulin
was said to have been for the pur
pose of crippling the Chinese East
ern service by damaging the coal
mines In that region. The railway
depends on these for fuel. How far
the attack succeeded was not clear.
POLICEMAN SUED
$50,000 DAMAGES
Portland, Ore. ( Charging al
ienation of the affections of his
wife, Edward M. Schrader Wednes
day filed suit for $50,000 damages
against Police Lieutenant William H.
Breuning. At the fame time ft suit
for $2500, charging assault, was filed
against Breuning by Schrader's
wife, Anna 8. Schrader.
Faulty Mechanism
Gives Murderer Stay
In Electric Chair
State Prison, Milleilgeville, Ga. (UP) Faulty mechan
ism in an electric chair, ftave a hold-up murderer, Malcolm
Morrow, his final thrill of life Wednesday.
The horrified man, seated in the chair at 12:15 p. m.
saw white faced witnesses stare at him as the switch turned
the current on. The transformer
hummed but Morrow sat solemn-
eyed alive.
Ten minutes later, however, ad
justments had been completed, and
the condemned man who had re
mained atrapped In the chair
through the awful Interim, was
electrocuted.
He was followed by hit compan
ion In a bank robbery that resulted
in the fatal shooting ot a cashier.
Homer Simpson, former Cleveland,
Tenn, police chief.
Prison officials later aald that
while the death dealing current
flowed smoothly In the first at
tempt to kill Morrow. It failed by
FLAKES RAVISH
COOS, CUM
OjRBELTS
Fires in 40 Miles of Finest
Fir and Cedar Timber
Out of Control
National Guard May be
Called Out Elsewhere
Conditions Unchanged
Portland, Ore. (JPi A fresh out
break of forest firea In Oooa and
Curry counties on the Oregon coast
sent new crews of fire fighters Into
that sector Wednesday to attempt
to cope with the most eerloos situa
tion yet reported. The tire warden
at Marshfield said It waa possible
call would be made tor the state
national guard unless the danger
was soon averted.
The fire was raging In the Rock
creek forest area between Oooa Bay
and Roseburg In Camas valley. Wed
nesday morning the flames were be
yond control and were burning in
forty square miles ot the finest fir
and Port Orford cedar timber In
the district. All available men were
sent there Tuesday night and by
dark 250 men were on the fire Une.
The force hat been Increased to 600
and calls were made for additional
help from Coos and Douglas coun
ties. A new fire near the town ot
Powers waa reported Wedneaday but
(Concluded on page 10. column 6).
RAID REVEALS
BOMBING PLOT
OF BERLIN REDS
Berlin V-A dangerous conspir
acy of terror against the German
republic organized by nationalist
fanatics who were members ot the
notorious "consul crganlatiou
founded by the ex-naval Captain
Bhrhardt, it Is believed has been
unearthed by the police, who nave
arrested twenty men tan plicated In
recent bomb outrages In various
parts of Germany, In eliding the
attempt against the Reichstag build
ings. The leader of the alleged conspir
acy la the former Stuttgart police
captain named Nickels, whom the
police followed from the Luneburg
provincial government offices. A
house Nickels visited was searched
and a bomb supposed to be intended
for another outrage was found. The
tenant of the house was arrested
and the police followed Nickels to
Krambe near Hamburg, where he
was taken into custody.
The search of the house where
Nickels stayed revealed documents
compromising others. Those arrested
included ex-Lieutenant Waencnke
and Bruno Von Salomon, publisher
and editor of a small Agrarian
newspaper. In Berlin police arrest
ed Ernest Von Salomon, brother of
Bruno; Dr. Salinger and Hans Te
ch ow, brother of the murderer of
Foreign Minister Rathenau, togeth
er with several workmen. The police
also raided the offices of ex -Captain
Ehrhardt, but said it could not be
stated as yet whether Bhrhardt was
implicated In the conspiracy.
-
some unknown reason to reach the
electrodes.
The scene In the death room waa
Indescribable, witnesses aald. Sto
ically the bandit killer allowed him
self to be placed in the chair. At
a motion from the warden the cur
rent was thrown on.
The condemned man waa seen to
shudder aa If bracing himself for
the fatal shock. Attending physi
cians however, aald It waa obvious
the current was not reaching him.
After a minute had elapsed the
switches were r'ued out and hasty
adjustments made.
Morrow was officially pronounce
dead at 19:34 o. m.