1 .- CaoitalJl Jommsil. ClltCUlJlTiON Dmllf sveragt distribution for tht nionU) sod ins October 31 1928. 10,303 - Averast dally net paid 9.909. Member Audit Bureau oi Circulation FA IK tonight and Friday, tog Friday morning, no change in temperature. Moderate easterly winds. Local max. SO: min. 24; rain ; river -2 8 ieet; clear; calm. 42nd YEAR, No. 278 Bntered aa second eiMa matter it Salem, Oregon SALEM, OREGON, THURSDAY, isu l2.o A 21, 1929 PRICE THREE CENTS &5JS!!ttP,:8 0 ami olcD a. GLASS PLACES PANIC BLAME ON MITCHELL Chairman of National City Bank Held Re sponsible in Senate Senators Strike at Cri tics WItd Blame Con gress for Stock Slump Washington WK-Cnarles E. Mit chell, chairman of the board of the National City bank of New York, was blamed in the senate Thursday by Senator Glass, democrat, of Vir ginia, for a leading part in the stock market collapse while senate lead' ers of all factions assailed those who were putting the responsibility on the doorstep of congress. Glass, a former secretary of the treasury, said member banks of the federal reserve system had nothing to do with the crash, but "Mr. Charles E. Mitchell of the National City bank was the chief offender." "He is the man," Glass asserted. "more responsible than all others together for the excesses that have resulted in this disaster." Republicans and democrats in the senate struck out Thursday at cnt les of the senate and more partlcu larly at those who would blame con gress for the recent stock market collapse, the debate Including an at tack by Senator Harrison, of Miss Concluded on page 15. column 7) I. JR. SUCCEEDS EDGE IN THE SENATE Newark, N. J. IIP) David Balrd. Jr., of Camden, Thursday was ap pointed United States senator to succeed Walter E. Edge, by Gover nor Morgan P. Larson. He will nerve until the next general election In November, 1930. At that time a special election will be held to elect a senator to serve until March 4, 1931, when Edge's reuglar term expires. Baird is a wealthy lumber dealer and the son ot a United States sen ator. It was Edge whom Baird now succeeds that appointed the elder Balrd to the senate to fill a vacancy caused by death, The son has nev er held public office. A political leader in the southern section of the state, Balrd was largely credited for the victory which United States senator, Ham ilton F. Kean won in the five cor nered fight of 1928. His late father served from March 1918 to March, 1919, as successor to William Hughes. Like his father. his paramount interest in life is politics, SCHOOL CLERK'S ACCOUNLSHORT Astoria (IP The circuit court grand Jury, which convenes Decem ber 3. will Livestigate a shortage ot $1,41650 in the accounts of W. C. Irk. clerk of the Seaside school dis trict. The matter was referred to the arand iurv by the county court after O. Ziegler, accountant for the county, had submitted a written re port. Mr. Zieglers report indlcat ed that school officials at Seaside have declined to take any action In the matter, although he brought the matter to their attention last July. The missing money ' consists of check which Mr. Kirk drew on the Astoria Savings bank, now defunct eight months ago, and which never has been deposited in any bank. Zieglers report stated. Kirk, he says, claims that the money was secreted among some books and files several months ago. SILVERTON MILL FORCED TO CLOSE gi'.verton. Ore. (IP) Forest fires last AugustThursday had forced officials of the Silver Falls Timber company to close the company mill. Fires destroyed several logging railroad bridge, and only a few trains have been able to run, which brought a scarcity ox logs. Otflclals announced that all re construction work should be com pleted before the first of December and that soon anerwara me mui will resume opera-ion. Good Evening! Sips for Supper By DON UPJOHN Joe- Keber, the well known Mt. Angel banker, was over in Salem yesterday distributing to a few friends circulars advertising the celebration of the completion of the Qervais-Mt. Angel road, the cele bration to be held Saturday night. At the same time Joe attended a closed door meeting with the coun ty court at which was discussed among other things the taxes his and other county banks have not paid to the county yet. We couldn't help but think that this Gervats-Mt. Angel road lust completed was improved at a heavy expense to the county out of the pockets of the taxpayers. We don't pretend to know any thing about law on the subject of just why the banks that don't pay their taxes don't pay them or we don't give a hang. All we know is that according to the tax rolls some of them haven't paid for a couple of years while the rest of the folks have been pungling up right along. Maybe as the state banks say it isn't fair for them not to pay when the national banks haven t paid All right, assume that's true. Then all the rest of us boys who have to pay our little share can Jump up and say It Isn't fair for us to pay when the state banks don't pay and "keep the magic circle in tact. But the banks that haven't paid have benefited by the taxes that other people have paid, are benefit ting right now and will tomorrow and the next day and so on. Per sonally It looks like a lot of crust to us just to hang back and hang on. And for the benefit of the bankers we'll say from what we hear on the street we're not alone In this matter by a long shot. Incidentally we wonder about that secret session Ju't why the bankers should be preferred and have their public business talked over in private. Every taxpayer In the county Is interested. When a poor down and outer has to go on the charity, roll he has his name published In the papers every month, Just how much he get?. But when a banker doesn't pay his taxes he can talk it over behind the closed doors in the pri vate office. And the boys all shake hands a- round that nobobdy shall ever know what happened. It's a good Idea that this tort of business be transacted so Uie people know what's going on. ' MRS. DOWIE TO OPPOSEVOLIVA Zion. 111. UPi Mrs. Alexander Howie, widow of the founder of the Christian Catholic Apostolic church. has accepted an invitation to return to Zion, seat of the church, and lead the group that opposes the overseer ship of Wilbur Glenn Voliva. Mrs. Dowie wrote Tuesday irom Greensburg, O., she, was convinced the healing power of her late hus band had been transmitted to her. She plans to conduct services in Bethesda house, headquarters of the "independents," and bless and lay hands on the afflicted who wish to be healed, her friends said. There are about 100 In the group opposing1 the overseership of Voliva, who succeeds to leadership upon the death of Alexander Dowie. In recent years Mrs. Dowie has lived away from Zion with, her son Gladstone Dowie, an Episcopalian minister. Sinclair In Jolly Mood As He Emerges From Prison Walls Washington (AP) Harry aside the compulsory duties of Columbia jail for the freedom aire oil baron and proprietor oi racing horses. His sentences for contempt of court and of the senate arising from the oil scandals of the Harding administration were completed Wed nesday night at midnight and a few minutes later he emerged from the Jail, to be greeted by a few close friends and hasten at once to the Mayflower hotel where Mrs. Sinclair awaited him. His plana were somewhat Indef inite, but he expected to go first to New Jersey, where the stock farm 27 LIVES LOST BY TIDAL WAVE QUAKE CAUSED Newfoundland Towns Demolished as Houses Swept Away Wide Destitution Report ed With All Fishing Property Destroyed St. Johns, N. F. OP! Iso'-atcd since a tidal wave ravaged the; Bruin peninsula district after Mon- j day's earthquake, and a storm shat- : tered all means of communication. striken communities of the south-1 ern coast of Newfoundland, were known Thursday to have suffered loss of at least 27 lives. In addition there has been serious property damage. First word of the disaster reached here Thursday in wireless messages from the steamer Porta. Eighteen dead were reported from Lord's Cove and Lamaline, in the district of Burin West, and nine lives were lost in the district of Burin East. The latest news to trickle through from Bruin East reported seven people drowned when seven houses were swept away at Portaubras. Entire waterside premises at Burin and vicinity were destroyed. Four bodies were recovered there. The extent of the disaster at St. Lawrence was not learned, but no deaths were reported from that place. Every effort was being made to ascertain details of the havoc. The government steamer Daisy was first to render aid. All the places mentioned Li the Concluded on page 13, column 6) VIOLATIONS OF CIVIL SERVICE TO BE OPPOSED Washington (LP) Abolition of compulsory secret session of the fenato in considering presidential nominations as a result of United Press publication of secret roll calls last winter, will bring a new deal in selection of government officials, Senator Black, democrat, Alabama, said Thursday. Black pointed to the rejection of Robert C. Gruwell to be postmaster at Dillon, Mont., as an example of the usefulness of open executive sessions, made possible by a recent change of rules. He served notice that efforts to evade civil service requirements in naming postmasters would be fought vigorously In open session hereafter. "Here we had the case of a man named by the republican leadership of the state who obtained an aver age of only 70 per cent In his civil service examination," Black said. "The present occupant of the of fice had a grade of 62 per cent witU the five per cent allowance made for ex-service met. Yet the postoffice department recommend ed the other man. "Heretofore we have been unable to prevent confirmation of such appointments because the nomina tions were considered in secret ses sion. "Such a system is pernicious, un just in its nature and so partisan it can not stand the test of public scrutiny in the opinion. "It is my intention in the future .c- jcall attention to each parlcular instance. F. Sinclair Thursday laid pharmacist at the District of and leisure of a multi-million of the Rancoca stables is located and then to his Long bland home and New York office. The booming flash lights of news paper photographers hailed his emergence from the Jail and re porters clustered about him anxious for a statement. "I have nothing to sav," he told them, "I came to Jail fur not tell ing, you know." He was greeted as the door by his brother. E. W. Sinclair and T. (Concluded on pkQ 4, coljnm 3j Ambassador WALTER E. EDGE Washington VP) The nomination of Senator Walter K. Edge of New Jersey to be ambassador to France was confirmed Thursday by the senate ASKS HILL LINE TO USE ESPEE ALTURAS ROAD San Francisco iff) The state of Nevada Thursday invited the Great Northern and Western Pacific rail roads to connect their lines by making use of the Southern Pa cific's Alturas branch diverting tramc irom tne. western racmc at Flanigan, Nev., northward to con nect with the Great Northern sys tem at Kiamath Falls, Ore. The proposition was made by John F. Shaughnessy, chairman of the railroad and public service com mission of Nevada. It came in the closing minutes of the morning ses sion of the interstate commerce commission hearing into the neces sity of the proposed construction by the Great Northern ana western Pacific of a line from Klamath Falls to Keddie, Calif. Nevada, one of the interveners opposing the Klamath Falls-Keddie line, followed the cross examination of A. G. Mott. chief engineer of the California railroad commission. Mott was questioned by E. J. Foulds, Southern Pacific attorney, on a series of maps and charts intro duced several days ago. He said his conclusion that the Shasta route of the Southern Pacific would have to be doubled tracked by 1936 or 1937 from Geber, Calif., to Eugene, Ore., was based on the Southern Pacific's action In double tracking in Ogden route. Asked by Foulds if he did not think the Southern Pacific's Black Butte-Klamath Falls line would be used to relieve traffic on the Shasta route, Mott replied: "I would be surprised if the Southern Pacific did that. The management is. too careful of op erating economy to move much freight over that winding line with heavy grades." CHICAGO PAYS G000 TRIBUTE Chicago IIP) James W. Good, late secretary ot war, was borne home Thursday to the scenes of his early political triumphs. For an hour his body lay In state in a downtown railway station while his former associates In gov ernment and bar and hundreds of the public who knew him less Inti mately gathered about his special funeral train to do him a last hon or. Among the hundreds who stood silently about the train were dele gations from the American Bar association, the Union League club. General Nathan William MacChea ney and George Woodruff, chair man of the National Bank of the Republic and advisors ol Mr. Good while he directed the western pres idential campaign for President Hoover, and Mrs. Jacob Baur. re publican national comrnittccwoman from Illinois. The special train pulled out at 9:52, shortly before the time scnea uled. and was to make no stops on the five hour run to Cedar Rapids, arrival at his early home was sched uled at 3 p. m. TREASlERKAY IS DOING WELL State- Treasurer T. B. Kay. who recently underwent a second sur gical operation at the Salem general hospital, has returned to his home. He is reported by his physician to be progressing toward good health in a very satisfactory manner, and is no longer conlined to his bed. Mr. Kay became ill last summer while in Europe and was in a ser ious condltVm when he returned to the United States. INDIAN VALLEY ROAD OPPOSES HILL EXTENSION Counter Attack Launch ed. Half Million Invest ment Made Worthless San Francisco Offers Final Evidence in Be half of Proposed Line San Francisco (IP) A sudden un expected counter-attack Thursday was launched In the hearing of the northern California railroad build ing project. The Indian valley Kanway com pany, appearing without a clearly predetermined status and therefore placed at the midpoint between pro posing and opposing forces, turned out to be a bitter enemy ol the Western Pacific plan to build in main line northward from Keddie, Calif., to Biebe. At that point the Western Pacific plan to buna a systems would be united by the Great Northern projected extension south from Klamath Falls. Attorney John L. McNab placed on the stand O. H. Bru, general manager of the Indian Valley rail road, who testified that a large part of that concern's investment of $485,000 would be made useless if the Western Pacific should build Its proposed line. The condition of his railroad is good, It serves its terri tory well and Is able and willing to build branches to serve the sur rounding territory, Bru declared. He said further that the new line would not serve any territory that his own line could not serve. Furthermore, he added, on of the objects In (Concluded on paKe 15. column 8 DROUGHT CUTS SOUND POWER Seattle IIP) As the recalled air plane carrier Lexington lay at an chor In Pugct Sound, officials of Seattle and Tacoma were in con ference with Rear Admiral H. J. Ziegemeier. commandant at Brem erton, in an attempt to show him that a crisis requiring the Lexing ton's service as an electric poer frenprator exists. The electric vessel Is wanted to supplement water power In the two cities. Messages from Washington Thursday indicated that the navy department's final decision on whether the Lexingtons services ould be loaned depend largely on Admiral Ziegemeirs recommenda tions. With clear, cool weather pre dicted by the weather bureau for at least 36 hours more, both Puget Sound cities were preparing to cur tail use of electricity as mucn as possible. The situation has been reported aa becoming more serious in Tacoma dally. Although Seattle has felt no shortage, vet. light oe- nartment officials said that a short age would become apparent witmii a lew days. OREGON GRIPPED BY COLD WAVE Portland (If) Oregon, and par ticularly eastern and central Ore gon, was still In the grip of winter temperatures Thursday wun dui iii lle prospect of a change In sight, according to the weather bureau. The lowest temperature in trie state reoorted in a United Press survey Thursday was an unomciai 18 degrees below zero at Fall River, south of Bend. La Pine reported a minimum of 13 degrees below sero. Meantime the clear, sunshiny wea ther caused ttoe streams throughout the state to drop to new low levels. There have been but 3.18 Inches ot rainfall at Portland since Bcptem ber 1 against a normal of 8 98 Inches a deficiency of 8 8 Inches. Among Thursday's low tempera tures In Oregon were: Fall River 18 below; La Pine 13 below; Bend one above; Baker I above; The Dalles 12 above; Med ford 18; Roscburg 30; Portland 36 Eugene 18, WILL REWARDS LADY ! FOR HER KINDNESS San Francisco UP) As a reward for her kindness to him "when he was penniless and 111." Ralph Mc Rae, former Seattle tailor, left Mrs Bale N. Thorte, Oakland, 120,000 In his will filed here for probate. Mrs, Mary J. MrRae. his estranged wife and their three children were left II each. RAISES IN WAGES SSSSSK35r8aE8 1s3l!3i Fords Contribution to KB F3 .83 : KS S3 S S3 ' S3 KB UPLIFT PROGRESS Washington (UP) Henry maker of Detroit, announced here Thursday he intends to make directly a wage increase among his workers. Setting what he regards as a.n example for other large capitalists, Ford announced after President Hoover's business confer- ence Thursday that he will under take to give this practical Impetus to business at this time. Ford announced a general wage increase would be put Into effect in his plants at once. The exact amount is to be announced later. Ford made hls announcement shortly after attending the presi dents conference ol heads ol me nation's greatest industries. The conference decided to stand firmly against any reduction in wages In order to protect the buy-, ing power of the American home. Ford went one step further and in sisted upon not only maintaining but expanding the purchasing pow er of labor so far as he can bring it about. Ford disclosed his intention to boost wages at once Just as heads (Concluded on page 14. column 7) OREGON GIRL OKLAHOMA BOY PRIZEWINNERS Chicago ffh-Louise Bailey of Eu gene, Oregon, and Theodore k, Lorenz of Hitchcock, Oklahoma, have been chosen the outstanding girl and boy members of 4-H clubs for 1929. Miss Bailey Is 15 years old, the state champion canning club girl of Oregon. She will enroll in the Oregon State Agricultural college next fall. Lorenz. is 20, a student at Oklahoma Agricultural and Me chanical college. The pair were selected by a na tional committee for their eminent achievements in rural leadership for the year. They will be awarded the filver trophy offered by Horace A. Moses of Mittineague, Mass., at the an nual congress of 4-H clubs here December 3. It was the fourth time a club member from Oregon had won a trophy and the third time an Ok Iahjoman had been chosen. The contest began in 1924 among the approximately 750,000 boy and girl members whoso motto, "4-H' stands for "Head, Heart, Hand and Health." Mis Bailey has been a member six years and a leader five, and has won $1,049 in prize money on her Club exhibits. She has com peted in 33 judging contests and made 148 public demonstrations of her work, with addresses Deiore audiences totaling 20,000 persons in the last three years. JAPANESE LIFT GOLD EMBARGO Oaka, Japan CPl Official an nouncement was made Thursday the gold embargo would be lifted January 11. Simultaneously with the announ cement of lifting of the gold em bargo the premier and finance min lstcr Lssued statements dealing with the subject. Premier Hamaauchl explained that precautions had been taken to insure that no ill effects would follow and emphasized the neces sity of Japane-e continuing the practice of economy. He stated that the government had amassed reserves of specie amounting to 30.000.000 yen (approximately $150, 000,000) and had also contracted for credits in London and New York for a further 100.000.000 yen. WALES NARROWLY ESCAPES AIR CRASH London IIP The Prince of Walrs narroaly escaped a collision In the air while he was making a practice (light In his Moth airplane at Hcs ton Wednesday. There was a sllRht mist over the ground as the prince circled over the air Held before landing, and It obscured his lew of another air plane preparing to come down. The prince and the other pilot saw the danger In the nlrk of time and avoldrd each other by a very slight magln. The prince had a chat wllh the pilot of the o:her airplane before he left the field. Ford, billionaire automobile EXPLOSION IN WASHINGTON WRECKS BLOCK Washington IIP) One nerson In dead, four others are reported near death In hospitals and 25 hurt as the result of an explosion Thursday in the basement of a five and 10 cent store. Washington "V An exnlaslnn In the downtown commercial district of Washington wrecked a portion of a city block Thursday and Injured numerous persons. Police at the scene estimated that some 20 pa-ssersby and employes of a iwcurory live and 10 cent ttore under which the explosion occurred had been Injured.- Whether any fa talities had occurred was not de termined Immediately, as all of the victims were rushed to hospitals in private cars and ambulances aa last as they were located. The explosion lifted a part of the concrete sidewalk about 40 feet square high Into the air. Firemen arriving Immediately began digging oeneatn me ruins lor bodies. No explanation of the exoloslon was found, but police expressed the opinion that an overheated boiler beneath the store might have been responsiDle. At 2 o clock 10 persons had been removed from the ruins. Fire apparatus, ambulances and privately owned automboiles were used to take the injured from the scene which Is one ot the busiest spots in the city. Meanwhile hundreds of persons attracted by the sound of the explo sions and apparatus gathered around the place and the police were forced to hold them back. Po lice reserves first called were aug mented by reserves from all adjoin ing precincts. FRENCH FLIERS BACK IN PARIS Lcbourgct. France fP) Captain Dleudonne Coste and his compan ion, Maurice Jacques Bellonte, landed here at 11:35 a. m., setting a new record of four days. 50 min utes from Hanoi, French Indo china, to Paris. This was six hours and 20 minutes faster than Coste and Joseph Lebrix traveled the same 7.500 miles last year on their round the world trip. The two fliers Thursday were re turning from their flight over Asia a few weeks ago which ended with a forced landing at Tsltsihar, Man churia, creating a new record dis tance endurance fUtiht. A huge crowd kept to the edge of the field by the police broke into enthusiastic cheering as the avia tors landed. M. Laurcnt-Eynac, air minister, and representatives of President Doumergue greeted the fliers. "All France presses you to Its heart," said the air minister and then permitted Caste to pin Hie rib bon of tiie Lgon of Honor on Bel- lonte's coat. Coste already had been decorated for his aerial feats. Rogue River Bridge Plans Approved By War Department WafOiinffton, D. C. (AP) The war dcp.'utment Thurs day approved plana of the Oregon hi:hw;y rommission for a bridtre across the Rogue river at Gold Beach, about three- fourths of a mile from its entrance to the ocean. The bridge over Koguo river on the Rnoxevrlt coait highway at Oold Beach will be the most expen sive bridge on the Oregon state highway system and one of the most ornate. Its estimated cost will be ftO0,0O0, shared 60 per cent by the federal government and- W per cent bv the state. Bids from contractors will be opened early next spring, and It Is estimated that two yeara will be re quired for completion. FIVE BILLIONS EXPENDITURES NOV PLEDGED Captains of Industry Pledge Cooperation for Progress to Hoover White House Statement Says Construction to Be Expanded LARGE PROGRAMS Washington LP Premise of nearly 5,000,000,ftM in business expenditures already have come forward from all parts of the country In re sponse to President Hoover's appeal for forward industrial activity in the next year. Some of the larger are grams provide: Jl.GOO.OOO.OOO by railroads. $1,000,000,000 to $3,MMM, 000 for general constmctiow. $1,000,000,000 bj New York City. $500,000,000 for federal buildings $12,000,000 to $20,0M,ov$ for Government ocean mail eon tracts. $16,000,000, of a $100,0O,Wfl electrification program of tno Pennsylvania railroad. Washington, (ffyA White House statement Issued Thursday alter the conferences of President Hoov ed with more than a score of busi ness and industrial leaders said It had been found that construction should be expande In every pru ent direction both public and pri vate so as to cover an slack of employment. A preliminary examination, the statement said, Indicated that con structive activities could in 1930 be extended even over1929." Arid "jConcludetl on page 14. column 4J CO-OP OFFICERS OF STATE HEAR DUAKU o fLANo Portland, (&) Asking for per sonal acquaintance with Oregon farm leaders as well as familiarity with marketing problems, Charles S. Wilson, first member of the federal fnrm board to come to this state, apiitured Thursday morning before the largest group of co operative marketing ofUcials ever assembled In this state. More than 125 men from all sec tions of the state were present for the opening session of the Oregon cooperative council at the Portland chamber of commerce rooms, which gathering will continue throughout today as spf-cial open meeting for discussion of specific problems of agricultural marketing in this slate. With Wilson, who represents fruits and vegetable Industry on the board, is Jamej R. Howard, newly a pointed organization se--ialist for the board, who is here Instead of Samuel R. McKeWie, grain representative, first scheduled to come west but later retained in the middle west. J. O. Holt, of Eugene, president of cooperative council introduced Wilson as the opening feature this morning. The visiting mem ber jpoke briefly saving he would .Concluded on p:K 14. column Si The brldire will consist of seven 230 foot anhes to which will be added a IR4 foot approach at each end, making a total length of 1938 feet. The roadway will be 27 feet wide with a sidewalk three and one half feet wide on each sule. The bridge will be entirely of re inforced concrete, It was said at the bridge department of the atata highway commission, and. because of the sand and gravel formation of the river bed, will be founded on piling. At the Junction of the ap '(Conclutieu ou 'pug 14, cotuma )