L AILTM The Weather Prediction; Generally cloudy Maximum yesterday 83 Minimum today 45 EBFOEO ti,i, Weather YeaFI Maximum Minimum t 48 Oally Eighteenth Tt. Wwikly Fifty-Third Year. , MEDFORD, OREGON, THURSDAY, MAY 17, 1923 NO. 48 M M BUNE IDEALS OF MILTON ARE URGED President at Unveiling Statue of First Treasury Secretary, Asks Substitution of Hope for Hate in International . , Affairs Want Financial ' Honor. : ' iJ&i; WASHINGTON. May 17. Alexan der Hamilton's conception of finan cial integrity and the sanctity of ob ligation was invoked as a remedy for present world conditions by Prest t dent Harding In an addresB today at the unveiling here of a statute of the first treasury secretary. Such prin ciples as Hamilton lived by, com blned with "a leadership which arises above prejudiced opinion, whether that prejudiced opinion had its beginnings in war or is emphasiz ed by geographic divisions," the president declared, "would turn hu manity to the rational and only way of restoration. "There will be the substitution of hope and resolution where hatred and resentment are, now hindering re covery," he added. "There will be less thought of yesterday and more of tomorrow. "Without mentioning directly the pressing problems incident to Inter national financial obligations, Mr. Harding dwelt particularly upon the value of Hamilton's services in put ting "the seal of sanctity upon the financial honor" of the American re public. I He stressed the rugged iionesly of this patriot-statesman, "because hon esty will cure ten thousand ills of to day," and asserted that V honesty among nations will dissolve their dif ficulties so that new and laBting friendships may be bound by the ties of fraternity and mutual trust." "Honesty of leadership will spare us the popular misconceptions which are ever menacing democracy, he continued. Honesty in statecraft will point the way to impregnable heights . . . Honesty in politics will reveal unerring public opinion and honesty in public service every where will diminish public waste and extravagance. "Honesty of manhood and woman hood will abolish Iho sources of dis content which threaten the world's ctvlliatlon and will bring us to con viction regarding the fundamentals of tho social fabric, without which i fundamentals there can be no human progress." The president deplored the devel opment of factionalism and pointed to the seemingly Inspired fear of fac t tionallsm held by Hamilton who, he said, "fought it in the making, and warned us of today against its devel opment." Despite this warning, Mr. Harding said, factions have arisen which would Invade the constitution al rights of others or subvert the con stitution Itself. '( "We have our factions which seek to promote this or that Interest with out regard to the relationship to others and without regard for the common weal," said Mr. Harding. "We have the factions of hatred and prejudice and violence. We have tir coalitions which would Invade the constitutional rights of others or sub vert the constitution itself. We have our factions challenging both civil and religious, .liberty, and. without them both made everlastingly secure there can be no real human liberty. We have the factionalism which con ' templates obstruction to the execution - of the laws. ' IX' .. 1 .. ... 1 1 .. .3 V. 11.1- tyu uuuuii nil Bin vivtj wiiere lulu factionalism Is endured. Hamilton j warned us that however such combin-j til ions or associations may now and. then answer popular ends, tVjy are likely themselves to usurp the relus of government, fUttroylng the rc:y (Continued on Page Six) " an in run OLYMPIA, Wash., May 17. Reins of city government today were taken over by students In the civics classes of the local high school. Every office In the municipal administration was filled by a young man or young worn 1 an from the school, including plnces on the City council, In the police and fire departments and in the minor ad ministrative offices. The Olympia Injunction Launched Stop, Payment Tax Refunds to Astoria PORTLAND, Ore., May 17. Injunction proceedings designed to stop payment by the. state of Oregon of the tax refund, award ed to Astoria by the last legisla ture, weer to be filed In Marion county today by a group of tax payers represented by John W. Kaste, Portland attorney, accord ing to a statement made by Mr. Kaste last night. The injunction seeks to stop Secretary of State Kozer front Issuing a warrant for the refund ing of $)I5,000, the installment now due, to forbid State Treasur er lloff from cashing it, and the city of Astoria from receiving or negotiating it. FOR RICH IN 12 Bankers of Omaha and Denver Found Guilty and Sentenced to Leavenworth Minister Among Those Convicted. OMAHA, Neb., May 17. After a hearing extending over an eight weeks period and a jury deliberation of over 2j hours, all but one of the 13 defen dants in the Guaranty Securities mall fraud case in federal court here were found guilty 1 Wednesday afternoon. Due to the prominence of the defen dants the trial attracted nation-wide attention. Vogel Gettler, 2S, Charleston, W. Va., accountant, was the only one acquitted. Immediately after the return of the verdicts, Federal Judge J. W. Wood rough sentenced the defendants who were convicted as follows: Thomas H. Matters, Omaha attor ney, five years In Leavenworth fed eral penitentiary and fine of $10,000. Walter L. Stlekel, Kearney. Neb., millionaire lumberman, two years in federal penitentiary and $10,000 fine. Willard V. Matthews, Omaha, for mer president of the Guaranty Securi ties company, five years in federal penitentiary and $5000 fine. Ralph E. Sunderland, former Omaha coal merchant, one year and one day In federal penitentiary and $10,000 fine. Harold Crozier, Omaha accountant, fined $1009. George L. Roach, Denver accountant fined $1000. . L. Robert Eckelbom, Denver banker, fined $1000. Homer Molineaux, Denver banker, fined $1000. John 13. Hecox, Omaha banker, fined $1000, Luclan B. Fuller, tltlo examiner, Kansas City and his brother, Harry L. Fuller, accountant, Lincoln, Nob., and the Rev. Charles -H. Rogers, Congrega tional minister who were also found guilty were not sentenced yesterday, but will learn their fate when the fed eral court convenes today at Lincoln. All defendants announced that an appeal would be made. The Guaranty case was an Inquiry into the promotion of the Colonial Timber and Coal corporation, organ ized by several of the defendants and with headquarters at- Charleston, W. Va. It claimed a title, in fee .simple, to approximately 700,000 acres of lands in that stnte, rich in timber, oil, coal nnd gas. The corporation bonded 148,000 acres of the tract In the sum of $3,000,000, marketing a portion of the issue through the Guaranty Secur ities company of three states and sev eral subsidiary banks. The government contended that the (Continued on pace sis.) m w ey high Daily Recorder Is also being published today by students, Cleo Deckwlth took the office as mayor and Wilbur McGuIre was sworn In as chief of police. The officials were selected after a stirring cam paign and election at tho high school. John G. Gerwlck, head of the high school history department, and Mayor George W. Graham of the city wore responsible for the plan. CELLS AND F NES IN STOCK FRAUD DEMOCRATIC F. IS New Senator From Colorado Not Approved By Wilson Or McAdoo, But Good Man Favors Farm Bloc Till Detri mental and Endorses World Court Plan. DENVER. Colo., May 17. (By tho Associated Press) Alva B. Adams of Pueblo, is Colorado's new United States senator. Ho was appointed to day by Governor William B. Sweot. Senator Adams, who Is a democrat, will succeed the late Samuel D. ftlch oIboh, republican, who died in April. The new senator is ranked as a conservative. He is an attorney. He was born in Colorado and is a son of Alva Adams, three times governor of Colorado. Governor Sweet Ignored . recom mendutluns of ex-President Wilson, William McAdoo and William J. Bryan in making tho appointment. Huston Thompson, a member of the federal trade commission, was urged by the former president, while Mr. McAdoo and Mr. Bryan asked the governor to appoint Morrison Shaf roth, son of ex-Senator Shafroth, 1 Senator Adams will serve until after the election to be held In the fall of 1924, whon a senator will be elected to complete Senator Nichol son's term, which expires In 1926.. The appointment was carried thru by Governor Sweot despite last min uto efforts of a group of progressive democrats who opposed Senator dams. ' The hew senator Tuesday night met a committee of five progressive democrats who submitted the pro gram of- the progressive element, modelled along lines similar to those advocated by United States. Senator LaFollette. A portion of this pro gram was accepted and endorsed by Adams and somo of it was rejected. As n result of the Tuesday night meeting, the progressives were said to have been divided. Senator Adams Is 48 years old. He was graduated- from Yale university in 1880 and completed his law course at Columbia university ln 1899. Re turning to Pueblo, he practiced law there. During tho world war. Mr. Adams served as a major in the Judge advocate's general department. In a statement Issued following his appointment Mr. Adams said: 'As ,10 tho operation of railroads, it may bo that government owner ship nnd control is the solution of the transportation problem, but I believo that a further test of private owner ship of the roads, with continued government supervision, should be made before our system is changed "Somo parts of the Esch-Cummlns railroad bill I do not indorse and 1 think they ought to be repealed. 1 favor tho repeal of the clause creat ing tho railroad labor board. It has not worked well. Our railroad situ ation is rather difficult. We like to see the employes get good wages, but wo also like to seo low rates. "I am in favor of law enforcement and that applies to the eighteenth amendment. It is a part of tho con stitution and should not be dodged. Bootleggers are a menace, but they are not so much of a menace ns tho saloon. We should do something to eliminate the bootlegger. There is less drinking now than there wns be fore prohibition and people generally are more prosperous as a result. "I om In sympathy with most of the economic purposes of tho farm bloc, but I do not 'think that blocs should exert their influence to the detriment of tho whole, and I doubt their wisdom and propriety when considered as political units rather than as economic blocs. "I nm in fnvor of on adequate and effective lino of defense. We ought to ie better prepared than we were in 1917. "The international policies ot Sen ator IaFollette and thoBe who agree with him' do not meet my approval, "Tho government should stop child labor of the kind that stunts the child's growth, denies him the oppor tunity for education and robs him of nis childhood. 'The courts have upheld the leg islative right to limit hours of labor In many occupations, but the United Stntes sunremn enurt rAi-onti., t.aa nied the right to fix a minimum wage ror women, saying that the right of private contract could not be ao limited. I have difficulty In under standing how a woman can be pro tedted against being required, to work for more than eight hours but cannot be protected against working for a wage upon which she cannot de cently live, "I hope thf( senato will give Its consent to fio protocol establishing United Rtatei membership In the In ternational court of Justice." LAl'SAN?E Preliminary stens were taken fu? the negotiation of a trentv of nmltv nmi tween Turkey and tho United Btates.j HUE IGNORED BEAUTIFUL PEERESSES --"OF BRITAIN FIGHTING. ; OVER LEITER ESTATE, I ' ... in., i rf IS ( ... ,v?rigmv--.-...... mm U LATY HYDE, COUNTESS OF SUFFOLK AND BERKS, WHO AC CUSES HER liltOTHEH. JOSEPH LBITBR, OF MISMANAGEMENT OF LEITER fcsTATB LADY CYNTHIA MOSELY, DAUGHTER OF LORD CURZON, AND A RESIDENT OF WASHINGTON, WHO 1U CO-DEFENDANT WITH HER UNCLE, JOSEPH LEITER. ' ' 1 . . .J . CHICAGCV-Every effort is being made to keep secret details of tho suit brought by Lady Hyde, Countess, of Suffolk and Rerks nKfttmrt-her' brother, Joseph Letter of Chicago, for an accounting of tho Slu0,uw,0u0 estate of their father, Levi Z. Loiter. SUo is opposed In tho suit by her niece, Lady Cynthia Mostly. . Grave charges are made against Joseph Letter and another slft'i, Mrs. Nancy Carver Campbell, of Santa Barbara. Cal. The beautiful Lady Cynthia Mosely, duughler of Lord Curzon, whose mother was Mary Leiter, is co-defendant with her unelo WOMAN HELD IN CHICAGO, May 17. - Charles "Chuck" Palmer, well known north western .football player, said to have told a young woman that be knew what became of Leighton Mount, Northwestern university freBhman who disappeared after a clasB rush In September, 1 92 , was taken Into cub today by attaches of the state's at torney's oftlcei today according to John Sbarbaro, assistant state's at torney. The name of the woman, who Is being held, Sbarbaro said. Is Mrs. Vio let Dachman. She Is not a student nor a former student, but was friend ly with Mr. Palmer before her mar riage, Sbarbard said. The assistant attorney said she had told him that shortly after Mount's disappearance that Palmer told bor he was safe. Later she asked him about the case, according to the as sistant state's attorney and Palmer replied: "Don't ask me, I can't tell you anything." Mrs. Dachman's name before she married and at the time she know Palmer Sbarbaro Bald, was MIsb Vio let Lawson. E RUI VANNCYS. Cal., May 17. The charred remains of a man's body was found early today In the ruins of a residence here that had been owned and occupied by James E. Guernsey. Police said Indications were that tho building caught fire from the explo sion of a still. They bellove the vic tim was Guernsey, Berlin Pay Day BERLIN, May 17. The fourth pay ment by Germany to meet the trea sury bills advanced to Belgium for settlement of Belgium's claims (luring the last half of 197,2 was made by the government yestordny. This Install ment amounted to G8, 500,000 gold marks, ABDUCTION PLEA OF WOMAN SLEW BOOTLEGGER KLAMATH FALLS, Ore., May 17. Declaring Robert Groer whom she ad mits she killed at Summit Stage sta tion Decembor 1 lost abducted her at the point of a gun from her home la Ellensburg, Wash., last October, Mrs. Mabel Nichols, 23, told the story of the shooting of Greer on the witness stand today. The defendant was on tho stand for an nour and a half fol lowing the close of the state's case. She finished her testimony and the defense rested. When District Attor ney Urovver, la opening tho final argument showed tho Jury Greer's blood-stained coat, tho defendant was seized with violent nauBea and col lapsed. The defendant said she became acquainted with Groer when be came frequently to her home to deliver liquor to her husband. She took occa sional drinks with him, she said. On October 23 Greor came during her hus band's absence and asked her to elope with him. She refused and ho drew a gun. He made her write a Bote say ing she was going of her own free will. She testified she surreptitiously en deavored to write anothor note toiling her husband she was forced away at the point of a gun, but Groer discov ered her and tore the note from her and threw It ln the stove. Both notes were Introduced. Tho witness declared Greerinado her take a drink of liquor and she knew no more until she found herself in The Dalles. MEMPHIS. Tenn.. May 17.-C!ar- nnrn Himnrlf.rH. Iiroftlflent nf 1'ilZntV Wlggly Stores,, Inc., would nolther affirm nor deny today that tho Na tional Tea compnny was tho pur dinner of the Chicago unit of tho I'lggty Wipgly, which Mr. Saunders has announced had been disposed of for a consideration of more than a million dotiurs. Canadian "Red Tape Blocks Rifles at Funeral of Gunner WINDSOR, Ont, May 17. Ca nadiun customs officials at Walkerrilte yesterday refused to permit a squad of United 8tatoa marines, serving as a guard of 4 honor for E. 'Q, Bureauguord, until his death, a gamier in the American navy, from carrying tholr rifles across the border without special permit, Action of the custom officials became known yesterday when Canadian veterans registered a sharp pro- tost against "rod tape." APPEAL SLATED EARLYHEARING Supreme Court to Decide if National Laws Protect From Price Juggling By Profiteers New York Housewives File Resolution. WASHINGTON. May 17. Hearing by the supreme court of the govern ment's appeal in the sugar case is to be pressed by the justice department On the earliest day convenient to the court. The department's motion, to be presonted to the court Monday, will declare that the injunction against the New York sugar exchange presents "a question vltul to the wel fare of the American, public," t, Tho court must decide, tho motion will Bay, .whether under existing, atat- uies mo Eiiveriinient nas rne power to protect tho public agaiiiBt sudden and artificial fluctuations In the prices of necessities of Ufa directly occasioned by purely speculative ope rations of future exchanges. "If tho power oxlBts," continues the text of the motion as made public to day, "It should be brought to boar on tho sugar situation as early as prac ticable, if t does not, congress should be appraised of It before its next as sembly, In ordor that It may give con sideration to tho enactment of addi tional legislation." The court will bo told further that tho conditions complained of stilt obtain. NEW YORK, May IT. An appeal to President Harding to remove the duty on sugar has been drawn by Mrs. Louis Welsmulter, commtsHtonor of markets and will bo submitted to a vote before tho executive board of the New York housewives sugar com mittee. E II PORTLAND, Ore., May 17. Bert E. Haney, former United States attorney for tills district today had the endorse ment of Portland business interests and politicians, who had been asked to recommend a successor to George E. Chamberlain on the shipping board, who will retire In June, Following the action late yesterday of the chamber of commerce In recom mending Haney or Edgar W. Smith, the latter today withdrew to give Hanoy Ills support. Opposed to Haney for the appointment will be a candi date for Puget Sound, It was said here. SUGAR GOUGING WILL HAYS, MOTION PICTURE HEAD, AMONG INDIANAPOLIS, May 17. (By As sociated Press). Presbyterian church leaders representing 301 synods tn America and 22 foreign missions opened their 135th annual general as sembly today, partook ot the sacra ment of the Lord's supper, ant heard the annual sermon of the retiring moderator, the Iter. Calvin C. Hays. -This afternoon they will select his successor, organize their convention and appoint standing and special com mittees. Tonight Will 11, Hays, presldont of the) Motion Picture Producers' and Distributors ot America, will address the first "popular meeting" and launcn ft campaign to ratBO a laymen's fund of 1S,000,000 to add to the endowment FEAR BANDIT DEFEAT WILL ENOCAPTIVES Anxiety Over Fate of Foreign Hostages increased Chi nese Outlaws Withdraw to Hills Pekin Regime is Blamed for Situation Dip lomats Worried. (By the Associated Preas" Anxiety over the foreign captives hold In tho Shantung hills by Chinese bandits was heightened today (Thurs day! when word reached Tien Tain from Tsao Chwang of a clash between troops of the Chinese government and members of the outlaw band. A detachment of bandits, attempt ing to loin the main body at the Paotzaku mountain stronghold, was Bald to have been driven back, after a sharp fight with the soldiers. Thla incident, it is feared, may add fuel to thj smouldering vindlctiveness of the bandits, who already are described la an unconfirmed report to have buried three Chinese captives over a cliff to their death as a warning to the au thorities. The brigands repeatedly have threatened to kill all their pris oners It the troops Investing the hllia wero not withdrawn and the bandits, in accord with the terms drafted by their chieftain, granted Immunity and enrolled In the natfona! army. Further advices from Tsao Chwang confirmed the report that the bandits had moved their captives further back Into the mountain wilderness. Troops had not withdrawn today, but remained surrounding the territory occupied by the bandits, and commu nication with the captives was be coming increasingly difficult. ' The American consuls at Llncheng and Tsao Chwang have Imposed a eenorHhii. On ail outgoing telegram and letters. . c The bandits are reported to blame the Peking government for temporis ing in .the promised withdrawal of troops. The Turbun of Shantung province renewed his assurance that the troops would be moved away, bat the bandits are quoted as saying they will hold the captives two weeks longer. ....... Another phase of the situation which is causing worry in official cir cles Is dissatisfaction among the gov ernment soldiers, many . of whom have not been paid for more than year and are on short rations. Paotiuku mountain, to which their foreign hostages is thirty mites from. Tsao Chwang. The latest message from there was from Leon Friedman, a captive and said: "Don't expect release for several weeks.: Negotia tions progressing slowly , Health good." In Poking tho diolomatlo corns sent tho Chinese government another urgent communication expressing natonlshmom. at Its failure to obtain results and repeating a previous no- ' tlflcatlon that the government would be hold responsible, while further de lay In effecting the release of the for eigners would cause additional penal ties to be exacted. Reports to Pe king were not optimistic. Negotia tions with the bandits were reported at deadlock. . Tho bandit chief war said to be communicating with the notorious bandits of Honan province, with the object of combining and thus further Intimidating the government. Indef inite delay In the liberation of the captives is feared In diplomatic circles, . . PEKING, May 17. fBy Associated Press). , V. Barube, a Frenchman, who was among the captives held by the Suchow bandits, has been released on parole and has arrived at Tsao Chwang with further-demands frost the captors for the removal ot the (Continued on Page slx.l of the board ot ministerial relief and suBtentatlon. Mr. Hays, an elder of the. church In, hit borne tows of Sullivan, lad., is a delegate to the assembly. H Is on of five men three ministers and two laymen most prominently mentioned as a possible successor to Dr. Calvis C. Hays as moderator. The other four are William J. Bryan, former secretary ot state; Dr. Charles F. Wtshart, president ot Wooatsr col lege, Wooster Ohio; Dr.-William H. Foulkes of New York, genera) secre tary ot the New Era. movement; and Dr. Hugo Kelso Walker, pastor ot the First Presbyterian church ot Los An geles. ' The pro-convention gossip favored Dr. Wtshart as the probable choice.