AIL the News that's Fit to. Print THIRTY-SEVENTH YEAR, iUiuniiiiL DISMISSED Court Holds State Suffered Nothing by Reason of Handling Money. DIFFERENT IF STATE LOST MONEY Then There Would Be Grounds to Sue for Amount, Says Judge Kelly. Holding that the state of Oregoi suffered no loss by reason of the irregu lar manner in which the state board iiandlcd the penitentiary revolving fund Judge Ke)ly this morning sustained the motion for judgment in the case of the state against Governor West, Secretary of rf'utj Oleott and Treasurer Kay and ordered the suit dismissed. In rendering ui., ilocitiou Judge B1 ly hold however, if the pleadings bad shown that the state had lost or been injured on' account- of the revolving fund having been used irrogularly, the defendants would have been at fault and that judgment would have been awarded the plaintiff. Qr, declared the court, had there been any felonious motives shown in the use of the funds the stute would have boon entitled to recover. Sufficient evidence was shown by the defendants to convince tho court that the state has not bcon injured in any way and that while tho funds were Iiandlcd in an irregular manner, tho state has no grounds on which to base an action for recovery for the roason it has not been reliovod of anything, j Crawford Blamed. . It was strongly hinted today that Attorney-General Crawford has been at- tempting to uso the lawsuit as a club with which to knock Governor West in the event the latter announced himself j as a candidate for ro-olcction. It was .said that the attorney gonoral purpose- ly delavcd the final hearing of the case l)v holding up his answer to the de- fendants' reply hoping to tide tho mat - ,., .. til offnr h. l.rlmnrv Wt. ion in May. These charges were made in open I 1 infill fl ?lf o fl rl jtF rt i I ? w w3oESS' f ,.. FUND CASE conrt when tho motions were argued by 1 ortiand. fonnsel for the plalntiifs. Assessed Valuation Important. What Court Bald. Justice McNary said on the first prop- , ositlon as follows: The court said In deciding tho case: , , .. . . "The assessed valuation of county "The view tho court entertains on ,, , ., . . .u t. 1 the valuation shown by the assessor, these motions is that whore there has J ' , ... i plus the valuation of those public utll lieeu admitted by the reply an affirma- ' r .. . ... ., , itics ascertained by the Tax commission live defense, if such affirmative do- ..... . . , . ... . , til an,l tnat wnm tne legislature used the ...,'. , . . the action as set forth in the complaint, ,., . . , , . it would be proper to ontor a judgment " , ,, . .. , , , . upon the pleadings for tho defendants, "Tho allegations of the complaint which tho attorney-general has called the court's attention as being put at issue are either allegations of conclu sions of law, or an allegation of dam age, which Is refuted by the affirmative matter set np In tho answer which af firmative mutter is admitted, applying of course, me view of this court .to the question of tho mcaiura of damages, which should toatrol the ease. " . ' Measurer of Damages. 'It Is the view of this court that the measure of damages in this case would lo tho difference between the value of the services and the property obtained lv tho use of tho funds in question and the amount of such funds used, and the allegations of the further and separate annwer are to the- effect that there is no difference, or tht the market value was the amount raid and that the prop rty could not have been obtained for lens and that it was nocessary to ob tain the mm in order to maintain a public Institution, and for that reason it is the opinion of the court that ths pleadings disclose that ne damage haivotRrt relied upon the statute, con (Continued on page four). IE IS T Irregularities in Clatiop Coun ty Election Not Sufficient to Throw It Out. LENGTHENING OF HOURS UNIMPORTANT Question as yto Registration Also Held to Be Unimport ant by Court. Besidos donying two petitions for rchearings, the supreme court this morn ing handed down eight opinions among them that of T. L. Parker against the county of Clatsop, and its ofifcials in which the opinion' was written, by Jus tice McNary. By the opinion rendered today, Clat sop eounty is now authorized to ex- pond $100,000 upon the permanent Im provment of three of its main highways An appropriate proceeding was brought to annul a special eloction held in the county on the 4th day of November, last, upon the ground of certain Irreg ularities in the election sufficient to prevent tho court from expending the I money to be derived from the sale of the bonds. The legislative session of 1013 passed ' a law providing that upon the petition ' of one-twentieth of the registered vot-1 ers, the county court must call an eloc-1 tion and that the poople could vote bonds for the road improvnients, provid-' oding the outstanding bonds and the bonds to bo voted for road improvmonts I would not exceed two per cent of the ass08scd valuation of tho countyy. The' eloction was called and hold on Novem- j bor 4 1913 at wulth timo the I'col,le of Clatnop county voted in favor of, the iance and snlo of tho bonds, Error wa claimed that the assessed valuation of the county was to be taken from tho assessors roll and that two I,or eent of the valuation as shown by tho ro11 voM be um lc thttn wor .000 - and 1,190 tliat 1,16 election was void Oil BCCOUllt Of being held Under the Gill I80' nc'(' unconstitutional the latter part I ' November in the caso of Coffey vs. j expression 'the assessed valuation of a ... county,' it meant the consummated acts ' ' of all tho agencies employed in doterm- 'ing the amount and value of property available for taxation." Finally, the decree of the lower court is sought to be overturned for the reason tho polls were kept open from eight o'clock in tho forenoon, until eight o'clock in the afternoon as pre scribed in the general laws for 1013, page 6S.1, also, that' the registration books were elosed 'pursuant to soction 5 of act fifteen days before the date of election.' 'This law, otherwise known as the Gill act, was by this court hold unconstitutional in tho ease of Coffey vs. Portlpnd, dooidod Nov'cmbor 25, 1913. Three weeks had intervened between the result of the election and the do termination by this court that the law iroverning the election was void. No question is here raised as to the want of jurisdiction la the county court to call the election, nor to tb lack of qualifications of those participating there in, save the Indictment that those voting registered under the law subse I qpnt)y declared void. Tho officials conducting tho election as well as the ROAD V I (Continued on pa PLOT TO $5,000,000 AND EIGHT Encouraging Reports as to Im proved Conditions Are Coming In. PICKS UP STORMBOUND Steamer Busily Engaged In Bringing to Safety Persons Marooned at Two Points. united rnitss leased -wiri. San Francisco, Jan." 27. California was recovering today from one of the worst storms in its history. Beports from everywhere were encouraging. The storm left a long record of damage and loss of life, however. It -was conserva tively estimated that the monetary loss would be $5,000,000. Eight per- An- ... Ifnnvn f a naA m nf aath I . The skies were cloudless hero today. The Southern Pacific, shortly before noon, chartered the Pacific Mail steam ship Santa Clara, which will leave this port at 2 o'clock this afternoon for San Luis Obispo. There it will pick up 175 storm-bound passengers and . convey them to San Pedro and Los Angelos. Returning from the southern port, the steamer will take on the marooned pas songers at Santa Barbara. " Elvers Are All Tailing. . ' , Sacramento, Cal., Jan. 27. Most en couraging reports are being made at the United States weather bureau here re garding the flood situation. The river stage at this point at 10:30 o'clock was 27 feet, 8 inches, only one-tenth of an inch rise in almost 12 hours. The Feather, Yuba and American rivcers, tributaries of the Sacramento, are all falling. All levees are holding, no ero sion being manifest, and all danger, if there over was danger of a flood in Sacramento, is pant. From Walnut Grove to the lower San Joaquin, the river is at flood stage and at the San Joaquin bridge it is above the flood stage. No damage, however, has been reported. It is expected that tho predicted cold weather tonight will check tho flow of water into tho uppor roaches of the Sac ramento, and cause the water to fall at all points. Millions Dollars Damage. Los Angoles, Cal., Jan. 27. Million dollars was tho conservative estimate of the damage done to southorn Cal- fornia by the throe days storm that swept through the ontiro state south of the Tchachapi. The skies weie clear ing today, and it appeared that the backbone of the storm was broken. Eight persons are bollovod to have boon drowned and scores have been compelled to abandon their homes, Half a hundred trains are stalled i'l tho interior. RESCUE FOOLISH KITTEN. vxited mass liascd wiki.1 Los Angeles, Cal., Jan. 27. Firemen again roscued a rainxoukod kitten that climbed a telephone polo and yowled for help. The same kitten -was taken from the same pole the day before. ' HE IN SECONO SUIT FOR !E FILED (CMTKD rnKSH LCASID WIHE.) Pan Francisco, Jan. 27. Answer to a suit for divorce filed by his wife, Ani ta, was made here today in a cross complaint by Nat Llc henstein, a brok er. He denied his wife's allegations that he had failed to provide for her, and sIko that his income is as large as stated in Mrs. Llchenstein 's complaint.. Tho Liohensleins, a year ago, filed cross-suits for divorce, Llchenstein charging infidelity and Mrs., Llchen stein a conspiracy. A jury found Llchenstein gui'ty of criminal conspir acy, but neither was granted S divorce, .Eyebody SALEM, OBJBOON, TUESDAY, JANUARY Labor Wants Its Own Party Now Proposition Will Be Fully Discussed At Meeting of Delegates From All Over Great Britain. EXITED PRESS LEASED WIRE. Glasgow, Jan. 27. A proposition to build up a separate and distinct elector al organization in all the industrial centers of England, entirely independ ent of the Labor party with, which it is al'ied in Parlta'iient, is one of the chief questions to be considered at the 14th annual conference of the Labor' raity of Great Bniau which began s throe days' session rere today. If this leconimendation of the executive com mitter should be adopted, it would mean a largely increased number of three turner contests Unionists, Liberal and 1 nbor in the iiecc geneial election, which will probably take place in 1915. Tho Labor party is pledged to work and vote with tin Liberals in Parlia ment, but there is no obligation to re frain from putting up labor candidates against Liberals a, ths pells. In sev eral lecent elections in districts hither to represented by Liberals, the Union ists have won becausa o' the Domination, for the first tinn of Labor candidates. Notwithstanding these rlefcsts of the "government coalition" the Laborites argue that they are entirely justified in offering their own eaud. dates, espe cially in constituent ;S vhere the popu lation is overwhelmingly Industrial. Among other resolutions to be con sidered are: That 1 ul.or member! i f Parliament shall "out -.bine to the parly funds $250 out of their. yearly salaries of $2,000; legislation 'or a gvnoial min imum wage, reduction of hour of labor lo 48 per week; tho prevent'on of tin omiloymcnt; anl the luildmg up of healthy homes for all wikmen; and r.o'ests against 'n-.i'.'h fuelling and the proposed introduction of 'the syi .em of conscription a ndvecated by tho National Servi',3 league. It is nj- effary that tho party will reiterate its advocacy of suffrage for women on the same terms as that accorded mon, and that it will take a strong stand against tho international increase of armaments IS FOR $5,000 FOR 1 united rnrss MUSED wins. Orogon City, Or., Jan. 27. Alleging that tho former contender for the light weight championship of tho world hud alienated the affections of his wife, Guy n. Pace, a barber, today brought suit against Bud Anderson for $"000 In the circuit court here. In Aufust, 1913, Taco secured a di vorce from his wife on the same allega tions named in the alienation suit. Paee alleges in tho suit filed today that Anderson sought out and became acquainted with his wife In September, 1911, and subsequently held secret meetings with her. It is further al leged that, after he and his wife moved to Tsleton, Cal., Ander'nn wrote letters to Mrs. Tace and called her on the long distance telephone. Automobile rides alleged to have been taken by Mrs. Tace and Anderson in Los Angeles and Oregon City are al so recounted in the complaint. XSHELMAN CANDIDATE. San Francisco, Jan. 27. President John M. Eshelmnn, of the California railroad commission, today announced his candidacy for the lieutenant gover norship on the ticket with Governor Johnson. The Weather The Dicker Itird anys: Oregon, un settled for tonight and Wednesday, priiiiawy rain or snow and westerly wimlit, I VIWJ HMD Reads the 27, 19H. cc L Fl ING EDICT Railroads Which Allow Spe cial Privileges Canr.ot Hope for Gain. MUST PROVE ASSERTIONS Beads Performing Services for Lees Than Worth or Free Will Have No Standing la Court. DNIT1D PRESS LEASED WIRI. Washington, Jan. 27. The Interstate Commerce Commission. served notice on the railroads today that it will author ize no increase in freight rates unless assured that tho companies are insist ing on full payment for their services that is to say, that they are perform ing no services free or for less than the services are worth. The management must show, as the commission expressed it, that they are requiring "a reasonable contribution to their revenues for every service they perform and that, even with this full exaction, their revenues are shrinking." The commission also found fault with the eastern railroads' rule, relative to "Industrial lines" short railroads or tracks owned by various industries and connecting their plants wifh the regu lar railroad companies' tracks. Would Add XfUUoaa, M Service over the "indnstrial lines," said the commission, would add millions annually to the railroads' incomes I "if charged for." "No substantial part of the woll In formed, reflecting public would deny to the owners of railroads a reasonable return on thoir investments,'-' continued the report. "Nevertheless, before they may fairly ask tho general public to sharo further in carrying their bur dens, it is manifest that the railroads must thomsolvcs properly conserve their sources of rcvomie by making every ser vice rendered by them reasonably to their enrnlngs. " Bates Must Be Reasonable. "This having been done, the com mission, upon adoquate showing of the need of additional revenue, will not shrink from the responsibility of sanc tioning such monsures. Including oven a general advance in rates, as may he accomplished under rates and charges that are reasonably just alike to ship pers and carriers. "But if further burdens, through an Increased scale of rates, may justly be Imposed on the gnneral public, all must agree that unlawful concessions, re bates and preferences in the Intercut of a small proportion pf tho shipping public ought to bo eliminated from tho practices of carriers." Ruling Very Important. The commission. 'a ruling was consid ered by exMrts here as one of tho most Important It has mado In years. It laid down tho principle that service by the rnllroads beyond a reasonably convenient terminal was entirely a ship per's service, and ought to be charged for as such. The custom of rendering It free was denounced as giving an un fair advantage to concerns owning "In dustrial lines." PANAMA ZONE IS frxi-rno niEHS t.KASun wnm.l Washington, Jim, 27. President Wil on issued this afternoon a formal ex ecutive order establishing civil govern ment on the Panama cannl zone. The making of Colonel Oeorgo W, (loethals as governor of the zone was expected to follow soon. BATTLESHIP AERIVES. Washington, Jan. 27. Dispatches re ceived here today by the navy dcrt ment reported the arrival at Very Cruz of the battleship Minnesota, with 4fi0 marl dos aboard. H EKTA Daily Capital - Journal DDirF mtf l IVAL, I1TU EXEC Up AH Night Directing His Me n and Conspirators Had Plans All Made and Only Awaited Signal to Slay TyrantSaid to Have Ordered Execution of Everyone Concerned in Con-spuracy-Ferdinando Gonzales and Five Others Secretly Exe cuted Carranza Insists He Will Name Provisional Presi , dent. UNITED PBSSS LSASED WIHSJ.l Mexico City, Jan. 27. That Ferdi nando Gonzales and five others sus pected of having been Implicated with him in the plot to assassinate President Huerts had been secretly executed here was repoitod today. Huert himself was said to have or dored the execution, and that of every one else connected in the conspiracy. Today's developments Indicated that the president had an extremely close call. He was up all night, directing his men, and receiving reports. The conspirators had all their plans completed, arms and ammunition ready, and only awaiting the signal for thoir coup. ' Would Name President Cullacan, Sonora, M'ex., Jan. 27. (Via Npgalos, Ariz.) "If there is to be s provisional prosideut in Mexico, I shall name him." This declaration was the outstanding feature of a public address toduy by General Venustiano Carranza, the lead er of the Mexican constitutionalists. GENERAL BE TO "Groatly encouraged by the support the road bonds are rocoiving from all parts of tho county, Hon. J. L. Cnlvort, chairman of the Committee of One Hundred, has Issued a call for a gen eral meeting In Salem next Saturday," said Ralph Moorca, assistant secretary of the promotion department of the Commercial club, today. "This matter will be for the purpose of outlining tho real campaign. Tho committee's efforts np to now have been mainly concerned with getting tho names to put the measure on the ballot. This meeting will elect an executive conimitteo of five or eoven, which will have actlvo charge of 'the real work of educating tho voters of the county as to the merits of tho proposed bond Is sue, The various towns of the county sre prgorossing splendidly with tho work of filing the petitions. Woodburn has turned In several hundred, and signa tures are being secured as fast as the voters register In Sllverton, Oervals, Mt. Angel, Jefferson and other towns. "A committee of good rond enthusi asts will close the campaign hero In Salem with a whirlwind finish and ex pects to add the nnmes of several hun dred registered voters. It will be tho aim of this conimitteo t(i corral tho sign ers and escort them under custody In to thn jurisdiction of Clerk Max Gi'hlhar for early registration." NINETEEN-YEAR-OLD BOY ON TRIAL TOR KILLING OIRL I'MITltD rSKSS l.BAHKD WIHE.) Lns Angeles, Cal , Jan. 27. Lewis Bundy, IN years old, confessed slayer of Harry Zoische, fifteen years old, went on trial today In the superior court. The early session was spent in n effort to securo a jury. Karl lingers, counsel for Bundy, ad mitted his client's guilt, but Indicated that hi) will plead Insanity and try for a verdict of second degree murder. ftundy last Christmas eve, lured Zdlicho to a lonely spot and killed him ri-rc ON TRAINS AND NWWB STANDS. FIVM CENTS. Three thousand persotis heard the gen eral make his first public remarks sine leaving the American border, where ho conferred with William Bayard Hale, Carranza broadly Intimated that Americans suffering financial loss in Mexico cannot expect reparation if the constitutionalists are victorious. Ho charged that the American government has needlessly prolonged the present struggle, causing heavy and unnecessary loss of life, and that, as a result, they should not expect unusual consideration from his party. Regarding the proposal that a pro visional president acceptable to all Mexican factions be named until per manent government may le estab lished, Carranza, aftor declaring his po sition, added: "Governments and Individuals have been ready always with suggestions as to the conduct of affairs in Mexico, but never with the tangible aid they might give. I shall wage a war of ex termination upon the Huerta forces. Our success Is inevitable, and, there fore, I shall listou to no peace pro gram." to got money to purchase a Christmas prosont for a fifteen-year-old Ventura girl. WIDOW OF ANARCHIST IS ACQUITTED OF RIOTING- UNITED rilBNS I.HASKD WIHE, San l''runcisco, Jan. 27. Holding that thero was nothing to justify the ar rest of Mrs. Lulu Parsons on a chargo of rioting when stio attempted a meet ing hero a wcok ago, Police Judge Sullivan today ordered tho caso dis missed. "The evidenco In this caso," said Judge Sullivan "shows that Mrs. Par sons wns ateuipting to avort trouble sous was attempting to avert trouble start a riot." SATS MOP IS DOPED. UNITED rUHSS LSASID W1K1. Portland, Ore., Jan. 27. Rod popper placed on a handkerchief with which Iiudolph Kubiscu wiped his perspiring brow caused such paroxyms that he bad John Victor, a bar tendor, arrested. Ho alleges Victor "doped," his ",mop" with the sneeze producer. r&OCK COAT BADLT NEEDED. UNITED riBSS LEASED WIRE.) Portland, Ore., Jan. 27. "Can't get a job without a frock coat and can't get a frock coat without stealing it." The police say Lee Gross, a jobless act or, made this explanation when arrested for tho alleged theft of a coat from Waltor Ilex, a vaudeville singer. JINX AFTER MURPHY. UNITED MESS LEASED Wilts.) San Francisco, Jun. 27. Harlem Tom my Murphy thinks a jinx Is ou his trail. After three postponements of sceduled bouts with Champion Ritchie, the New Yorker's proposed eight weeks theatri cal tour wns cancelled because of pro hibition agninst stngo boxing in Chi cago ami the middle west. TPI) REFUSED TO PROVIDE. UNITED rilESS LEASED WIKR 1 Los Angeles, Cal., Jan. 27. Mrs. ( hsuncey llntler got a divorce because ltutler, although he a chef, refused to provide. "Ho pocketed his wages, while I used what I made as a chorus girl to pay the bills,". Mrs. Butler. testi