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About Daily capital journal. (Salem, Or.) 1903-1919 | View Entire Issue (Feb. 9, 1916)
OVER 4000 DAILY
SALEM, OREGON, WEDNESDAY, FEBRUARY 9, 1916
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BELGIUM DECLINES THE
Germany Was Ready to Grant Very Liberal Term, $ o Con
quered Nation Assistance In Rebuilding I, royed
f Property and Guarantee of Neutrality Dui Re
mainder of War PromisedThe Hague Given As source
of Rumor Which Seems To Be Well Founded, Although
Denied By Belgium Officials
London, Feb. 9. Belgium has rejected overtures for
a separate peace with Germany, according to a Rome
Cardinal Mercier, it was reported, conveyed this in
formation to the pope.
Terms on which Germany wanted Belgium to conclude
the separate peace were said to be:
An agreement for complete restoration of Belgium,
with certain privileges for the Germans at channel ports.
Germany to pay a large sum for rebuilding destroyed
structures in Belgium, and for maintenance of Belgium
neutrality during the remainder of the war.
King Albert, however, indignantly rejected the pro
posals and declared he will not consider peace until the
allies are victorious, it is reported. Belgium sources
recently denied any overtures had been made, but The
Hague reported that negotiations were actually under
way and proceeding satisfactorily from the German
Substance was lent to the peace reports from the fact
that Sir Douglas Haig recently went to Havre on a
"special mission" to meet King Albert. No announce
ment of the result of his trip has been forthcoming, how
ever, though it is thought he must have determined Albert
against acceptance of separate peace, if indeed the Bel
gian king had seriously considered acceptance.
London, Feb. !. Tn a sudden smash i
in the Artois roy ion, the Hermans cup-l
tureil 800 yards of 'French trenches,
snid the Berlin official statement to-1
day. They greatly improved their po-.l
sit ion on tne miy heights and provid
ed further safeguards against aa al
lied offensive toward Lens from the
The Paris war office conffrmell ths
attack, lint claimed the Teutons after
ward were driven out by counter
moves. The German chimed to have
captured 100 prisoners and five ma
chine guns; Paris said the attack was
preceded by a heavy bombardment of
a three iniie front north of Arras.
Artillery battling in the Vosges was
announced, too, by -Paris.
Amsterdam, Feb. P. Destruction of
two Zeppelins recently was reported
today by the Kcho Beige. This paper
said French fliers siiot down one near
Aith; and tiint another returning from
the. Paris raid of Jinuarv 29 struck a
tree near Lignc, collapsing and hittingl
houses as it fell. Lveryone of the crew
were said to have been killed.
London, .Inn. 22. (By mail.) Lord
Edward Seymour, second lieutenant in
the Koyal Warwickshire regiment, was
acquitted of the eiiarge of drunkenness
by a court martial at Grantham today
because he was able to say "round the
rugged rock a ragged ruffian ran,"
without a foozle.
Witnesses testified that Lord Ed
ward wis a littb slow in rounding the
corners, but was able to walk straight
and could enunciate "royal artillery"
as fast as thev desired.
Lincoln Bound For London.
London, Feb. 9. Ignatius Lincoln,
Th' louder a feller talks th' les he
knows. Miss Fawn Lippincut is keepin'
company with a young Ford owner.
an alleged German spy, who escaped
from New Vork, is en route to Europe
incognito, according to an unconfirmed
report today. His wife is reported to
be en route to Germany.
England Balded Again.
London, Feb. 9. Two German aero
planes bombarded Eomsgate and Broad
stiirs at 3:30 o'clock this afternoon,
but the admiralty announced that they
'.id no damage.
Ramsgate is a seaport town of Kent,
G7 miles from London. Broadstnirs is
a watering place two miles from Kams
Kflte. That the aeroplanes were the new
Fokker type which England has feared
would raid her coast, is likely.
Kitchener Rumor Denied.
London, Feb. 9. Well informed per
sons denied today Earl Kitchener, war
lord, is going to Egypt soon or that
Lord Derby is to succeed him in his
present post. It was said no changes
in the ministry are contemplated.
Italy Will Declare War.
London, Feb. 9. Italy is expected
to declare wir on Germany and an
nounce iier participation in the Balkan
campaign ns a result of Ifrem er Bri
a nil's trip to Home, Paris repoits said
today. Briand is leaving Paris for the
Italian capital today.
General Townshend Safe.
London, Feu. 9. General Towns
hend 's British garrison at Kut-elam-ara.
Mesopotamia, are in no danger of
capture, said dispatches today. Though
they are surrounded, they could join
the Aylmer relief expedition 20 miles
to the east, with only slight losses.
NEW MEXICAN CAPITAL
Washington, Feb, H. Queretiro, 110
miles northwest of Mexico (.'ity, has
been decreed by General Garranza as
the temporary Mexican capital, said a
message to the Mexican embassy to
day. After the republic is completely
org mixed, the capital will again be es
tablished at Mexico City.
(aiieretaro is somewhat of an unusual
city, capital of the province of the
same name. It was there that the em
peror, Maximillian, made his last stand
ahd was shot to death.
. TODAY'S ODDEST STOBY. ..
Minn., Feb. 9.
get this blindfold
ott, I'll show you a
points." said Louis W
president of the Great Xorth
ern railroad, equipped with a
pair of boxing gloves while
ing 1 ii i tinted int the
Some fellow in front of
had tapped him several
with a gloved bund. Just then
tho blindfold was snatched off.
Mike Gibbons, probably world's
middleweight champion, stood
in front of Hill, who fought.
WHERE FLOODS HAVE
Back country near San Diego, Cal., where floods have played havoc.
Scores of lives have been lost and property valued at hundreds of thousands of dollars has been destroy
in the flood which has just viaited southern California. The storms were most destructive in the vicinity cf Sk
HANDS ARE CLEAN
hian Francisco, Feb. 9. German Con
sul Bopp and Vice Consul .Schack, in
dicted in a wholesale "clean up" of
alleged bomb plotters and neutrality
violators declared today they have
nothing to fear from the government
action. Both indicated that, their hands
are clean, but government authorities
intimated in return that the case
against these men and the many others
indicted is "air tight."
Business circles were stirred at the
extent of tho indictments. Many of
the most prominent men in shipping and
other lines here as named as neutrality
violators in connection with the expedi
tions of the steamers Sacramento, Ol
son and Mahony, Aetrievcr and Mazat
lan as alleged supply ships for German
Named in indictments charging con
spiracy to violate the Bherman anti
trust law by attempting to dynamite
munitions plants and thus thwart trade;
and likewise charged with setting on
foot a "military expedition" to Can
ada to blast railway tunnels were the
following: German Consul Boppj Vice
Consul Von Bchack; Attache Von
Brincken of the local consulate; Johan
nes H. VanKooilbergen, alleged Ger
man spy, said to have been engaged to
blast the tunnels, but now held by Can
adian authorities ns an alleged forger;
C. C. Crowley, consulate detective and
his secretary, Mrs. Margaret Cornell
(both of whom were under previous
bomb plot indictments).
List of Accused.
The list of alleged neutrality iolat
ors, as announced by United Mates Dis
trict Attorney Preston were:
Vice Consul Von Schack; Chancellor
Henry W. E. Kaufmnnn. of the German
consulate; Turkish Consul Hall; Local
Manager Robert Capelle of the North
German Lloyd Steamship company;
John and Julius Rothschild, prominent
local grocers; George and James Flood,
well known shipping men; Attorney J.
I. Bied; Dr. Simon Keimer; C. D. Bunk
er & Co., customs brokers; Northern
& Southern Steamship company;
Swayne & Hoyt, shippers and customs
brokers and. individually, R. H. Swayne
and John O. Hoyt of the company;
President Thayer of the Northern 4
Affects Market Little
(Copyright 191fl by the New York Ev
New York, Feb. 9. On the whole, it
must be said that additional Washing
ton particulars regarding American ac
ceptance of the German terms in the
Lusittania fell rather flat on the stock
exchange today. This may have been
because this outcome was expected ,or
that there was nothing in the settle
ment to excite more than perfunctory
Most of the activity today again
occurred in industrial shares, but even
they declined and recovered alternate
ly and then movement was indefinite.
Railroads were in the background. Some
abrupt activity in the closing hour car
ried up railway and industrial issues
and the market closed strong.
TAKEN SCORES OF LIVES NEAR SAN DIEGO j
; r i,v 4t:
Southern Steamship company, C. D.
Bunker and Joseph u. Bley, of C. D.
Bunker & Co.; Captain Anderson of the
Sacramento; Benno Klocke, Adolph
Wimmel, Gustav Traub and T. R. Johan
sen of the Sacramento crew and Fred
Williams and George Phillips.
' A.S in the recent Hnmkiircr- A nrneinn A
neutrality violation cases at New York, I
the defendants here are said to bo j
charged with use of false clearance
papers in their alleged outfitting of a
German snuadron bv sending nut snnnl
ships from tho Pacific coast. f
Indictment Expected. J
Hints that Bopp would be indicted i'
had been current for oome time. Wash-1
ington dispatches recently indicated,
however, that the federal government.
wa3 withholding action until o,i.i, ;,o,
as the Lusitania case was settled. An
nouncement of the indictment against
him followed directly upon word of a
satisfactory ending to the Lusitania ne
gotiations. This is the firut indi.fmnn4 A . I
foreign official since the government
started probing alleged nationwide
bomb plots. ,
In most of the cases, tha federal of
ficials will merely serve notice of the
indictments as soon as they are public
ly recorded, and rely upon the promin
ence of thfl defendants to insure their
remaining in the city for hearing later
Ships Wera Supplied.
Revelations in the Hamburg-American
case tended to strengthen tho be
lief of authorities here that money, di
rect from Germany, had been sent to
nan Francisco for the iiinnlv
Previously, some of thoan n m .1 .
present indictments had been indicted
iu me nacrnmento expedition" case.
The Bunker company is snid to have
acted a disbursincr airont nf , ,.!:.
tioa. Williams and Phillips arc desig
nated as purchasers of supplies for the
expeditioa, while Dr. Reimer is reported
to be a German naval officer who
helped load the supply ships. ;
iruun ana luocne are said to have
had only a small part in the case.
tederal officials suggested today
that the Sacramento case will be prov-1
en even more easily than, were the cases
acrninst the Ham iiir.(.inin... i
- -n ..Mniu iii'ims
at Iew lork, where sentences were
Among other charges iu connection'
with the bomb plot indictments are
thit the parties named conspired to
blast the Hercules Power plant at
Pinole, Califorin, and plants at Gary,'
Indiana, and rshpeming, Michigan, as
well is conhnirinff in onimMtUn ;.(.'
destruction of a munitions laden barge
at Seattle some time ago.
During tiie day, a number of those
iiK'ted offered to Hnrrender them
selves, but as no warrantu hn.l vat v.
issued their proffer was not accepted.
Headquarters at Boston.
Boston, Mass., Feb. It. That German
agents, active against Canadian and
Ameri'nn munitions plants, have moved
their headquarters to this city is be
lieved here today. Indeed, reports say
that Federal Agent Schmidt, acting on
a tip from British Ambassador Spring-
(Continued on I'3ge Five.)
OREGON If IIEtl
OF LIGHT BEEH
Internal Tax To Be Used For
Construction of Hard Sur
ASSEMBLING DEPOT TO
BE MADE IN DISTRICTS
New Plan Will Reduce Cost
of Handling Crop to Grow
ers 50 Per Cent
The Oregon Hop Growers' associa
tion went on record at their business
moeting yesterday aiiernoon as favor
ing an amendment to the law of this
state which would permit the manu
facture of beer and to put on a tax of
1 1-2 cents per quart to be used in the
construction and maintenance of hard
surface roads in the districts where the
sale was made. A resolution was also
passed favoring national legislation in
the interests of Amorican hop growers,
and recommending that all imported
foreign grown hops be stamped with
the name of the country and province
in which they are grown.
As to the manufacture of beer in this
state the resolution asks that the state
law be amended to permit brewers to
make beer which would contain not in
excess of 2 12 per cent alcohol and thnt
the beer be distributed from the brewer
ies and not through snloons. The reso
lution recommends that the beer be
sold under the provisions and limita
tions of stringent laws against exces
sive indulgence and the association in
no way favored the re-establishment of
saloons in the state.
As an aid to the stnto wide movement
in the interests of good roads it was
advised that the tax of 1 1-2 cents per
quart be exempted in the district where
the beer was consumed for hard surface
roads. The growers consider that all of
the money now being sent from Oregon
to California points could be well spent
in this state and also tin' money spent
for the shipment of tho liquor could be
saved and invested in the form of a tax
to be put upon the Oregon roads.
Will Organize Hop Centers.
It was decided at the business meet
ing to lease or erect five or six ware
houses in the most convenient points
of tho hop growing sections of the
state where the hops could be received
from the grower, sampled nud inspect
ed and the samples scut in to the head
quarters of the association where they
could be graded and put into shape for
more successful handling nnd selling.
It is proposed to eliminate the expenses
of. sampling and double inspection by
this means and also to relieve the in
(Continued on Page S t.,
IS ALMOST CLOSED
Only the Arrangement of Technical Details Now Awaited
Before final Agreement Will Be MadeReport of
Colonel House Said To Have Greatly Influenced Presi
dent to Accept the German PropositionSettlement
Will Form Basis of International Law Governing Sub
marine Warfare In Future
Washington, Feb. 9. The
day awaited only the arrangement of technical details for
a final, satisfactory ending.
Berlin will receive shortly by cable America s provis
ional acceptance of the German "last word" in the case;
and this acceptance will be complete when Foreign Secre
tary Von Jagow at Berlin
the informal memorandum Ambassador Von Bernstortf
presented to the administration.
The memorandum, which President Wilson yesterday
agreed would be acceptable when it was translated into
a formal note, specifically concedes American demands.
In effect, it is a real disavowal of the torpedoing, with
loss of American lives. But, what the president consid
ers is even more important,
precedent and basis for international law to govern sub
The immediate cause for this satisfactory termination
of a dangerous controversy is known to have been the
report Colonel House forwarded as President Wilson's
While the contents of this report may never be made
public, it is understood that the colonel emphasized condi
tions he found in Germany to have been:
A spirit that Germany had made her final concessions.
A growing demand for resumption of unrestrained
submarine warfare as a result of the' feeling agaisnt
A feeling that severance of diplomatic relations would
inevitably result in war.
Ambassador Gerard also forwarded pessimistic re
ports of what would happen if the president did not ac
cept Germany's "last word." The two sets of reports
therefore convinced the administration that Germany
would not offer any further concessions in an effort to
settle the case.
WHAT THE LUSITANIA
The informal Lusitania mem
orandum, sent to Berlin to be
formally made into a note, re
plying to the American note,
says in effect:
"Alt'uougli the sinking of tho
Ijiisitiinia would have been
justified as an act of reprisal
Mguinst the illegal British
blockade, the fact that Ameri
cans were aboard made tho
sinking unjustifiable in this in
"Therefore. Germany admite
financial liability for the denth
of American lost aboard her.
"Germany expresses the hope
that, in line with suggestions
mado by tho Vnited States in
its formal Lusitania note, it
will be posible for the two
countries to co-operate in ef
fecting greiter freedom of the
seas. ' '
While the German proposals arc ac-
i 1" -J. '":. .... i" ,"'
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The forthcoming reply from flcr
ininy, it is understood, will not contarn
the word disavowal, though the admin
istration all along insisted that tnis
must be a disnvowal. Instead, it will
set forth in effect that belligerents can
not legally order any act, even a re
prisil, that endangers neutral lives. It
does not specifically admit that tiie
Lusitnnia incident was illcgnl.
In the mutter of reprisals, America
held that they may be justifiable some
times, but never legal. In this con-
i . THE WEATHER J
A i iii( c A .AN
'S 50VE x4
night and Thurs
day rain; south
Lusitania negotiations to
substitutes a formal note for
is that the reply furnishes a
noetion, however, Germany has agreed
to 'admit that reprisals are un.justifi
ablo when involving neutrals; and this
means, therefore, that the Lusitania
sinking was illegal. America pointed
out that illcgnl acts include unjustified
acts, and therefore the administration
icccpted Germany's admission that the)
Lusitania case was unjustifiable a
equivalent to an admission that the.
case was illegal.
EngUsh Not Pleased.
London, !Fcb. 9. Lacking official
confirmation, Washington reports that
president Wilson had virtually accept
ed Germany b latest proposals in the
Lusitania case were accepted reserved
ly here today.
Tho newspapers, however, expressed
the hope that Wilson had not receded
from his demand for a disivowal of
" It is obvious" said tho Daily News
"that he cannot now surrender on tha
Lusitania issue without suffering irre
parable personal disaster and without
gravely discrediting his country. If
he aecptsc anything short of a decisive
victory, his persistence will hive been
that of a man who entered tiie struggle
without counting the cost. We do not
iiiiikr lit? 19 (I
think he is that sort, and we do not
think he will surrender the great hu-
mnn trust, of which he is the cham
TRENCH BUYING HORSES
Los Angeles, Cal., Feb. 8. A French
government commissioner will arrive
bore Thursday to sieud $2,000,000 buy
ing every horse ho can get in Arizona,
Southern California and Lower Califor
nia, according to tho statement today
of K. K. Cassab, horse contractor, hi
has been looking over the ground for
never it weeks. Spot ca.-ii is to be paid
for all accepted. They will be placed
on fast trains here and will be on the
firing; line 22 days after they are pur
chased. WAR NEWS or ONE
TEAR AGO TODAY
The prelude to tho big Teu
tonic drive on Russia was be
ing executed in some of the
fiercest fighting of the war, in
the Carpathians. The I'. S. was
considering asking Germany
whether American lives and
ships would be safeguarded
from submarines in Germany's
underseus blockade of England.