Medford Mail Tin
The Weather
Maximum yesterday 8.1
Minimum today 40
Predictions
ill
Fair.
Fiftieth Year. Daily Fifteenth Year.
MEDFORD,' OREGON, WEDNESDAY, MAY 19, 1920.
XO. 50
IRS START OFFER!
L.
BUTN
BANK
SVE
FED.RESERVE
GETS MR
PROFITEERS
Withdrawal of Credit From Food
Speculators Urged by Governor
Harding Bankers Are Expected to
Act at Once Will Reduce Prices
Quicker Than Any Remedial Legis
lation Cut Out "Frozen Loans"
Declares Harding, Avoid Disaster.
WASHINGTON, Muv 19. Adop
tion by Amei'ieun bankers of the
recommendations of Governor Hurtl
ing of tho federal resorvo board, to
liquify frozen louns was expected by
the board officials to allcviato the fi
nancial sitnution and to go far toward
bringing down prices.
Governor Harding uppliedthe term
"frozen loans" ot credit extension
; which was permitting largo stocks of
merchandise to be held in storage for
speculative purposes. Additional ac
cumulation of goods in storage, he in
dicated, could be prevented bv strict
supervision of credit.
Although legislation designed to
drive foodstuffs from storage is now
pending in congress, it was said to
day that careful withdrawal of credit
from speculators in food products
might accomplish more than statu
tory regulation. It was emphasized,
however, that bankers should discrim
inate inasmuch as in many lines the
summer months see nn accumulation
of commodities for . tho following
winter. ' '
" Curtail Frozen Loans
WASHINGTON, Mav 19. Curtail
ment of long term loans covering
"non-essential operations" and dis
couragement of unnecessary borrow
ings of all kinds will be tho founda
tion of tho federal reserve system's
new policy designed to deflate the
national finances. American bank
ers have pledged themselves to co
operate with the reserve board in the
effort to carrv out the plan.
Governor Hnrding ofthe board be
lieves liquidation of superfluous loans
will go far toward rectifying present
inflation. Expansion of banking
credit due to war requirements, lie
said, amounted to $11,000,000,000
while money in circulation had in
creased about $1,900,000,000 during
the war period.
The slowing down of "industrial
effort," as indicated bv decreased
production in important lines, repre
sented tho most unsatisfactory cle
ment in the country's economic prob
lem, ho said.
Avoid Real Crisis
Governor Harding warned of im
pending dangers in the cycle of con
tinued borrowings and speculation
and appealed to bankers and public
alike to be conservative in its de
mands for banking credit.
"It is evident," Mr. Hurding said,
"Hint the country can not continue to
advance prices and wngesi to curtail
production, to expand credits and at
tempt to enrich itself bv non-productive
operations and transactions with
r.ut fostering discontent and radical
ism and Hint such a course, if persist
ed in, will eventually bring on a real
crisis."
Tho federal reserve banks, Mr.
Harding declared, could do much In
the direction of curtailing credits of
member banks by informing- them of
the normal amounts thev could bor
row from tho rescrvo institution. He
said this would compel the individual
banker to examine carcfiillv all ap
plications for loans.
FORD WILL BE
FOREST PATROL
SALEM, Ore., May 19. That air
plane forest fire patrol service will
bo resumed in western Oregon as
early as June 10 of this year is indi
cated in a letter received yesterday
by F. A. Elliott, state forester, from
western department of army air strj
vice with headquarters at San rran
cisco. Precious information received
in Salem was to the effect that tbic
year's airplane patrol would be con
fined to California.
Included in the letter received by
Mr. Elliott was a blank contract pre
MAYOR GATES ISSUES
A PROCLAMATION FOR
EF.GI0N WEEK DRIVE
AMKK1CAX Iil-XilOX WEEK
This week has been set aside
as American Legion week. A
membership drive is being made
to Induce every soldier ot the
Great World war to join the Le-
gion. This order is due to be-
come the largest In the world.
Thoy have passed the oxperl-
mental stage and have function-
ed long enough to have proven
their stability and worth. I
appeal to the patriotic citizens
to assist our noble boys In every
way possible to increase their
momborship and to all ox-bo1-
diors to affiliate with this or-
ganization, which Is the pride of
this, tho groatest country In tho
world.
.(Signed) C. E. GATES,
Mayor.
SWEEPSil. S. A.
Wearing Apparel, Shoes and Silks
Reduced From 20 to 50 Per Cent
Scramble to Gratify Demand for
Lower Prices Sweeps From Texas
to Chicago, New York to Pacific
Coast Fresno, California, An
nounces Reduction in Silk Prices.
CHICAGO, May 19. Reports of
p:3 cutting in wearing apuarel con
tinued to sweep the country todav.
Owners of department stores an
nounced reductions ranging from 20
to 50 per cent. The price of shoes
was reported in somo quarters to
huve been cut one-fifth, while n
ready-to-wear establishment in Oma
ha announced it was offering its stock
at figures from' 30 to 50 per cent be
low the market price. Dentists ulso
have stepped into the procession and
reports from Omaha show some den
tists have cut their scale '25 per cent.
Silk shirts and suits for men were
reported to have suffered 20 to 30
per cent cuts in Indianapolis. Ready
to wear clothing for women and chil
dren were also offered at greatly re
duced prices.
Terre Haute, Ind., reported twentv
nor cent reduction in all men's and
boy's garments and shoes bv one of
the largest outtitters ot men unci
boys in that territory.
In Youngstown, Ohio, all but one
of the larger department, stores
placed on sale todav their entire or
greater portion of their stocks at dis
counts ranging from 20 to 50 per
cent.
A report from the Pacific, coast
said retailers of Fresno. Cal., had an
nounced general reductions on silk
goods of from 20 to 25 per cent, while
KI Paso. Texas, sent word that 33 1-i
per cent had been taken off the price
of staple shoes and 25 per cent off
the price of clothing, (he latter an
nouncement coming from the largest
department store in the city. There
was little material price chango in
Chicago, but nn officer of one of the
(Continued an Page Six!
MRPLANE
SUDDEN
BOOM
PRICE
CUTTNG
STARTING ON JUNE 1 0
pared bv the government, which, if
signed by the Oregon forestry offic
ials, will bind tho state to furnish
proper landing fields, euurds to car.
for the planes when thev arc not in
use, radio operators to uccompanv
the pilots in their flights, auto serv
ice at the bases and free telephone
and telegraph privileges.
If the contract is signed, it was
indicated in Mr. Arnold's letter hat
bases would be established at Eu
gene. Medford and Portland and that
the service would be conducted along
the same lines as last year.
F
SECOND
WA
E
French Marshal Warns France She
Must Prepare for Future Conflicts
Can't Trust a Nation Whose Na
tional Industry Is War and Who
Makes Might Right Must Main
tain Big Armies on German Frontier
in Future.
PARIS, Mav 19. Wurning that
France must, in tho midst of pence,
make preparations for future wars,
was uttered by Marshal Foch, who
presided at the annual meeting of tho
Polytechnic school for army engineers
today. He suid the present economic
struggle in the first part of the pence
program, but preparation for war i
the second part.
"Which of us," he asked, "dare
believe Germany is renouncing war
on the morrow ot her ruin?
Germany's neighbors, whether thev
wish to or not, will be forced to kcey
up armies and maintain strong fron
tiers, because there are historic reali
ties and racial appetites, just as there
are geographical realities.
"How can we help mistrusting a
nation," he continued, "which, re
duced to impotence bv the great Na
poleon, was able, bv its martial ar
dor, to re-estublish itself and bring
about complete overthrow of the co
lossnl Napoleonic empire, and bv su
perlative militarism and methodic de
velopment, extend its authority from
the cast Prussian marshes to beyond
the Rhine? Making war is its na
tional industry and might is its right."
BERLIN, May 19. The German
war criminals on tho list recently
presented the government bv the al
lies have been summoned bv the chief
imperial republic prosecutor to ap
pear before the supremo court nt
Leipsic between June 7 and June 20.
according to the Tagclilatt.
BERLIN, May 19. Surety police,
consisting of 400 men and fortv of
ficers have taken possession of the
barracks at Frankfort as a result of
the withdrawal of French and Bel
gian troops from that city, according
lo advices received here.
HOUSE REFUSES TO
FEDERALIZE GUARD
WASHINGTON, May 19. The
house refused today to approve a
compromise agreement with the sen
ate permitting states to federalize
the (National Guard. Tho vote was
209 to 106.
'By its action tho house sent the
army reorganization bill back to con
ference with Instructions to its man
agers to Insist against changing the
pre-war basis of the guard organiza
tion. WASHINGTON, May 19. Presi
dent Wilson today signed tho army
and navy pay bill, providing for a
temporary adjustment of pay scales
for officers and enlisted men pending
permanent legislation on th6 subject
at a later date.
: I
WASHINGTON. May 19. Repub
lican leaders In the houso agreed to-,
day to accept the peaco resolution
adopted by the senate as a substitute
for tho house- resolution and decided
tentatively to call It up Friday for
final action.
L
IXM....OX, May 10. Hobhcvik
forces landed from thirteen ships
near Knzcll, in Ten la, on the Caspian
.sea, yesterday. It whh learned here
today. The officer in chat-Re of Kn
zeli was compelled to accept the
bolshevik terms, owing to the super
iority of the holshevikl, and the ftnmo
night the IlrllWi evacuated Knzelf.
WITH
PERSIA
CALIF. RETAIL SUGAR
PRICE BOOSTED IIP TO
26 CENTS PER POUND
SAN FRANCISCO. Muv 18
The price of sugar was increased
today to $23.25 a hundred
pounds to the trade, it was an-
nounccd bv the California and
Hawaiian Sugar Refining com-
pany. This is nn increase of SO
cents a hundred in price, the last
allotment having been '2.75.
The recent announcement bv
Attorney General Palmer that
a fair profit under the Lever
act would bo one cent a pound
on sugar to ibbbers and two
cents to retailers, would indi-
cato a "fair price" on this al-
lotmciit to bo twenty-six' and
one-fiiartcr cents a pound.
1
I
SAN FRANCISCO, May 19. Tho
breaking out of seven forest fires in
the stato within tho past fow days
has compelled the air service office of
the western department of the army
to cancel tentative arrangements to
send a detachment of air planes from
the ninth aero forest patrol squadron
to the aorial landing field celebration
at Eugene, Oregon1; Way- 20,- it was
announced hero today. The fires
were all said to be controlled with
little damage except at Big Gulch
a tributary of tho Salmon river in
Siskiyou county, whore a blaze start
ing in a ditch-tender's cabin destroy
ed the cabin, a small saw mill and
500 feet of mining flume. A force of
25 men controlled this fire after it
had burned over 1500 acres.
Of tho remaining fires two were re
ported in the Angeles forest In south
ern California, three In the Lassen
peak region and one on the southeast
side ot Mount Shasta. The air ser
vice was said to have been invaluable
in the detection ot these fires and in
transmitting directions as to how
they should be fought.
IS REBEL REPORT
'HOUSTON, Texas, May lf. ticn
eral Carranza Iiiih been captured by
revolutionary forces and ha been
Kivcn a wife conduct to Vera Cruz
provided ho leaves .Mexico at once,
according to unofficial messages re
ceived today by a local newspaper.
The report could not be confirmed.
IS
REFUSED BY PARKER
BATON ROUGE, La..-Mnv 19.
Governor Parker has declined to ac
cede to tho request of President
Wilson that ho nsk the Louisiiini'.
legislature to ratify tho federal suf
frage amendment.
President Wilson vcslerdnv wired
the governor urging him to use his in
fluence to bring about the adoption
of the federal amendment.
Census Returns
WASHINGTON, May 19. Salt
Lake City 118,110, increase 25,333
or 27.3 per cent.
Plttsfield, Mass., 41,534, Increase
9413 or 29.3 per cent.
Rhlnelandor, Wis., 6654, increase
1017 or 18 per cent.
Roanoke, Va., 50,842, increase 15,
968 or 45.8 per cent. -
North Bridge, Mass., 10,704, In
crease 1267 or 14.4 per cent.
Have those tin cans and other rub
bish been piled up yet in front of
your homes for the city cleaning wag
ons and trucks to call and gather up
next Saturday, the city's cloan-up day
ODESSA IS
REGAINED BY
BOLSHEVIK
Important Successes Over Poles Also
Reported Alonq Dvina River by
Soviet Government Capture of
Odessa by Poles Reported May 1 1
English Labor Leaders Denounce
Great Britain's Complicity In Polish
Offensive.'
LONDON, Muv II). Tho holsheviki
won iiupor'.-it successes over the
Poles iii passing Iho Dvina river at
I'ololzl;, in t lie government of Vitebsk
according to an 'official statement
sent out bv the soviet government at
Moscow todav. The Poles wore forrod
to withdraw, the statement adds anil
the population received the holshe
vik troops with enthusiasm.
CONSTANTINOPLE. Ma vl!).-
(Rv (ho Associated Press) Odossi
is still claimed bv the Russian holshe
viki and rumors of its capture by
Ukrainian forces have not been sup
ported by siibseciuct messages. Allied
commissioners here arc without ol't.c
ial information.
Capture of Odessa bv tho Ukran
ians was reported Mav 11 and what
purported to he official cuntirmn
tion was, received in Paris and London
tho next day."
Tho British war office issued n
statement M'iiv 14 declaring that re
ports that Ukrainians had occupied
Odessa had not been substantiated,
LONDON, Mav 10. Denunciation
of (ho Polish attack on bolshevik
Russia and what is regarded as Great
Britain's complicity in that offensive.
is contained in a manifesto issued
here by a number of labor leadcsr.
The British government is accused
of violating its pledges bv sending
munitions to Poland, the manifest n
declaring, "tlie ferociously cruol
blockade of Russia is actuallv main
tained, although legally non-existent..
while n stream of goods is flowing
into Poland."
The tri-ennial conference of tho
docker's union has adopted a resolu
tion forbidding the loading of liny
more munitions to bo used ugniii&l
Russia.
WOMAN TO BE MEMBER
NKW YORK. Mav 1!). A woman
will be a member of a crow in Amcri
ca's cup race for the first time in
history, it was learned today. Mrs,
W. P. Burton, wife of Captain Bur-
ton, skipper of the Shamrock IV.,
has been appointed bv Sir Thomas
Lipton as a member of the after
guard of the challenger.
Mrs. Burton won many prizes in
regattas of the Roval Corinthii'.n
Yacht club.
Chicago Eats Imported Meat.
CHICAGO, M'ay II). Chicago
meat center of the world, is catin-j
meat imported from Australia., and
New Zealand.
Tho price of lamb has been forced
clown two cents in t he Chicago mar
ket, packers say, bv large importu
tions of frozen lamb from the nnti
Podc.S. ;
W. D. FENTON, PORTLAND
IS VERY SERIOUSLY ILL
PORTLAND. .May 19. William D.
Kenton, formerly chief counsel for
the Southern Pacific company in Ore
gon, Is seriously ill of pneumonia
which he contracted Monday. Ills
condition has been considered grave,
hut last night it was reported at his
home, where ho Is confined, that he
was considerably Improved.
Mr. Kenton was operated on three
weeks ago for appendicitis. Compli
cations were feared but his condition
progressed favorably until pneumonia
developed Monday.
GENERAL WOOD WINS
A
MONTl'ELIEll, Vt., May 19.
Incomploto returns oaiiy to-
day from Vermont's prosldcn-
tial preferenco primary yestor-
day gave Major Genornl Leon-
ard Wood approximately 70 per
cent of tho republican voto,
the total of which was about
one-twontioth of normal. Tho
democratic voto was negligible.
Senator Hiram W. .lolinson,
California, and Herbert C.
Hoover wore in a cioso raco for
second place, their names holng
! wrltton in. Govornor Calvin
Coolfdgo of Massachusetts and
William Giant Wobstar, nn at-
tornoy of Now York, woro con-
tosting tho noxt position
General Wood, whoso namo
was. alone printed on tho ballot,
ran bettor In tho country towns
than in tho cities.
U.S.EXCHANGE
F
E
Fixing ,of Germany's Indemnity Has
- Immediate Effect on Foreign Ex
change, Both in New York and
Paris, Allies for First Time As
sured Bosche Will Pay.
NEW YORK, May 19. Exchange
on Germany wap vory actlvo and
strong today, bills on Berlin rising to
2.19 cents to the mark, the highest
quotation since tholr dccllno to one
cent in Kebruary last.
Dealers in exchange ascribed the
strength of these remittances to tho
fact that tho terms of Gormany's war
indomnlty finally has been fixed. As
a result it Is believed the bankers and
Industrial Interests of Germany will
now bo ablo to formulato a definite
program of reconstruction, involving
hoavy purchases of raw matoriul
from thoir former onomlcs.
Dollar Declines
PARIS, May 19. Anothor marked
dccllno In foroign curroncy occurrod
In tho Paris market this morning.
Tho pound sterling oponod at 4S
francs and tho Amorlcan dollar at
12 francs, GO centimes.
Yostorday closing quotations woro
r3 francs for the pound and 13 francs
74 contlmes for tho dollar.
A high official ot tho Bank or
franco expressed tho vlow today that
tho sharp decline of tho exchango
rate meant tho beginning ot a roturn
to tho old equilibrium, ruled by the
law of supply and demand. Ho con
sidered that tho French government
decree prohibiting Importations of
luxuries from England and tho Unlt
od States was tho starting point and
that other reasons wero tho results
of tho Hytho conference whero tho
scltlomont of tho Gorman indomnlty
question began to tako dofinlto shapo
tho Kronch business world becoming
for tho first, time confident that Gor-
(Continued on Page Six)
RANGE DROPS
MARKS
STRIKES IN 1918 COST U. S. LABOR 725
NEW YORK, May 19. An incom
plete list of direct losses duo to
strikes In 1919 places tho cost to
labor In wages at nearly 1725,000,000
and to Industry at more than ono and
one-quarter billion dollars, Francis
II. Slsson, vice president of tho Guar
anty Trust company of New York,
told the silver jublloo convention of
the 'National Association of Manufac
turers horo today. The chief daagor
In the present situation Mr. Slsson
said Is that the desirability of low
prices as an end In Itself may be so
exaggerate as to lead to tho attempt
lo force prices aown inru nmmiui
measures for the control of credit.
DEMAND OF
RAIL LABOR
III DENIED
U. S. Railway Labor Board-Flatly
Refuses to Hear Petitions of Out
law Leader for Raise in Wanes
Lawless Strikers Wont Be Listened
to Serious Coal Shortage In Chi
cagoOnly Five Day's Supply on
Hand Birminaha mStrlke. , , .
CHICAGO, Mav 19 -Tho United
States railway labor hoard today
flntlv refused to bear petitions for
increased wages presented bv John
Griinnu, president of tho Chicago
Yardmen's association, and officers
of other organizations which went on
strike recently in defiance of orders
from the Nutionul Railroad Brother
hoods. ! "'
The hoard, in a ruling hnnded down
by Judge R, M. ISarton, chairman, an
nounced that: . '
"It must be thoroughly understood
that the board can not and will not
undertake to hear any disputes or
controversies except those which it it"
authorized bv law to hear, and cannot
and will not hear tho application' of
parties who nro acting in disregard ol!
tho law and who are not complying
with the law and "tho Tuloff -of ytho;
bourd. i i '
Tho ruling bars representative o
all the strikers who utllt Work last
month from a hearing. It sustains
tbo contention ot tho brotherhood of
ficials that the strikers could obtain
representation before tho bourd by
returning to their own organizations.
A. K. Muhonoy, vies president of
tho Cleveland Yardmen's association,
which, ho said, has 2,000 members on
strike, characterized the board's de
cision as "an outrage." Tho board
is rcadv to hear everybody but the
men who could Ircstore truffle to
normal conditions, ho snid.
Coal Crisis Chicago
CHICAGO, Mav 10 Tho coal snp
ply here reached tho lowest mark
in recent history today, eoul dealers
declared, Iiccuusc of tho freight con
gestion and car shortage. Practically
all coal received iH rushed to manu
facturing plants nnd orders for coul
for homes are not being accepted,
doalcrs declared.
. William II. Lcland, vico-prosidont
of ono of tho largest fuel companies
in the city, estimated that tho supply
on hand would hardly Inst five dovs.
Officials of several ruilrotids con-,
tering in Chicago denied emphatically
charges bv some doalcrs that they
were hoarding coal by storing it iu
"cars. -i
BIRMINGHAM. Ala., Muv lOv-He-tween
'2000 and 3000 men ouit work
todav in widely separated sections of
the Alabama coal mining district, ac
cording to deports received - here.'
Opcrutions have been suspended in
a number of mines.
NEW YORK, May 19 Final prices
today On Liberty bonds ware: 3Vi's
90.30. First 4's 83.30; BOCond 4's
82.00. First 4V4's 84.50; second
4's 82.20; third 414's : 86.30;
fourth 44's 82.60. Victory 3's
94.92; Victory 4's 04.94.
The banker analyzod the effect ot
industrial unrost on tho country's
economic condition, blaming strike
favors for high living costs and In
creased rents.
"We have heard much about ront:
profiteers," Mr. Slsson said, "but
organized labor either does not. real
ize or closes Its eyes to the fact that
every time mon employed 1 In the
building trades go on a strike or
shirk at their tasks thoy penalise so
ciety which Includes themselves
by Increasing the cost of building,,
thus Increasing rent and as ft result.
make prices for goods and Services
higher."