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FTtythlrd Year-No, 136-Pr.cc Fivo Cento. OGDEN CITY, UTAH, THURSDAY EVENING, JUNE 12, 1913. Zntered a. Zm Matter ,t the Po.toff,ce, Ogden, Utah I
MUST DIVORCE THE
S. P. AND C. P. LINES
Attorney General McReynolds Says Union
Pacific's Failure to Take Over Road From
Ogden to San Francisco Will Compel the
Government to Institute Another Suit
ATTORNEYS SUBMIT PLAN TO DISPOSE OF STOCK
Company Will Exchange $38,000,000 Worth
of Baltimore and Ohio Stock Will Prevent
Dumping Large Block on the Market Court
Announces No Decision Before Adjourning
St. Paul, Minn., .Trine 12. Union Pacific railmad attorneys ap
teared before TTnited States Circuit Judges. Sanborn, Hook and
Smith today and explained the additional plans for disposing of tin
road's holdings of Southern Pacific stock. Attorney General Mc
Reynolds, on behalf of the government, expressed unalterable opposi
. tion to those plans which he said were "no plans at all but were
merely propositions of something they intended to try to do."
The court adjourned without announcing any derision. Presid
ing Judge Sanborn indicated that no order might be expected until
the attorney general had decided whether the government would ob
ject to a proposed exchange of part of the holdings of Southern Pa
cific stock for Baltimore and Ohio stock held by the Pennsylvania
railroad.
St Paul. Minn.. Jane 12 Attor
ncys for the Union Pacific presented
at the opening of the dissolution hear
1 lng here today a new plan for the
disposition of $38,000,000 worth of
Southern Pacific stock to the Penn
sylvania railroad in exchange for $21,
000,000 worth of Baltimore & Oblo
stock.
The new plan proposed was supple
mental to the two plans reconvy sub
mitted The amount of stock Involved
in the exchange represents only 14
per cent of th" total Southern I'ar I fir
stock. The present holdings of the
Union Pacific In Southern Pacific com
mon stock represent about J12r,unn.
nno
N. H Loomis. of counsel for the
Union Pacific, said that the Union
Pacific did not guarantee to carry out
either of the two principal plan', pro
posed even though th- court approved
both of them. If If should be found
that to follow either would Involve too
gTeat a sacrifice to the Union Pacific
stockholders, the disposition of the
stocks" would bo left to th court
"How long a time do you think the
Union Pacific should bo given to dis
pose of the slock?" inquired Judge
Smith.
"I think the court should be 'liberal
with us In tho matter of time because
of the present condition of the money
market " replied Mr Loomis
He thought the railroad should
have one year In which to offer the
stock and complete the disposition
of It.
Attorney General McReynolds. op
posing the plans proposed by the Uni
on Pacific, said that the railroads had
been unable to effect a deal s horebv
the Union Pacific would acquire the
Central Pacific, operating from Og
den to San Francisco, In exchange for
its Southern Pacific stock He de
clared that this failure would compel
the government to Institute an expen
Blve litigation to compel the Southern
Pacific to relinquish its hold over the
Centml Ppriflr
May Not Object to Exchange.
Mr. McReynolds thought the gov
ernment would not object to the pro
posed exchange but. he wanted to In
vestigate the holdings of the various
roads before making any definite
state He said ho probably could in
form the court within three or four
davs.
"The time has come for the court
to order something done," Bald 'ho
attorney general. "The Union Pacific
does not even guarantee to carry out
either of the two so-called plans now j
before the court; it asks a year to:
try to accomplish one plan, provided,
T mark, i conditions will permit such
It action without loss to stockholders
The railroad counsel say that to
I dispose of tho market at present mar
ket conditions would be at a great
I f-in-rilice It less i Incurred it will
I ' t i),, re: ult of wrongful action as
construed by the supreme court
II which has ordered ibis conn to dis
pose of th" stock within reasonable
time. Approval of either proposition
submitted probably would find the
situation Just as it Is now at the end!
of the year."
Judge Sanborn asked the attorney,
general what action he thought fro
court should take. Mr. McReynolds'
said the court should either appoint I
' receiver to dispose of the stock or
W s-hould itself devise some means of
I disposing of it
The primary plan proposed provided
! for tho sale of Vie stock by popular
j subscription similar to city bonds
while the alternate plan provided for
' placing the disfranchised Stock with
. a trustee and tho issuance of certifi
cates of interest against It Those
certificates would be exchangeable
L only on the filinjr of an affidavit Urn'
the holder did not own any Union
I Pacific stock
I The Pennsylvania Railroad company
I savs
I "The arrangement is that the com
t mon stock of the Baltimore and Ohio
11 railroad held by the Ponnsylvaula
I railroad would be cold at par and the
i preferred stock at $St) per share and
the Southern Pacific stock to bo wur-
f'jiiu'd .'it par
"The whole transaction will involve
I in transfer to the Pennsylvania of
SS2.r24 t-hares Southern Pacific com
i 1'V.vj iiDC-V and will xmTHBem the de-
livery by the Pennsylvania railroad
J to the Union Pacific of the entire
j holdings of the Pennsylvania railroad
I system in the stock of the Baltimore,
and Ohio railroad."
No Transcontinental Road.
.New York, June 12 Local repre-!
-entatives of the Pennsylvania dis- i
Claim any idea of the establishment of
a transcontinental road should the
Southern Pacific stock be acquired
by the Pennsylvania rond. It was
pointed out that even were this de
sirable, the phslcal means would still
bo lacking Pennsylvania's farthest
western connection, even through its
leased lines, is many hundreds of
mlle3 away from the Southern Pa - j
clfle's nearest eastern point
According to the last annual report
of the Pennsylvania railroad company
It had 142,7fi2 Bhares of preferred
stock of the Rcltlmore & Ohio with
a par value of $14 273,600 an.! 57,250
shares of common with a par value
of $5,725,000. Including the Pennsyl
vania company, which controls lines
west of Pittsburg, the Pennsylvania
intereBt9 own about $43,000,000 of
Baltimore & Ohio stock.
Confirms the Report
Philadelphia. June 12. Pennsyl
vania railroad officials confirmed the
statement that an arrangement had
heen entered into for the exchange of
the company s holdings of Baltimore
and Ohio railroad stock for $38,000.
000 worth of the Southern Pacific
stock owned b;. Union Pacific. Ii wan,
stated that the exchange, if approved
by tho court, would be made on the;
basis of the relative market value Ol
Baltimore and Ohio and Southern
Pacific stock.
It was stated tint the Pennsylvania
ha9 no interest In ihe management
of the Southern Pacific and that the
arrangement Is purely a business one I
designed to prevent the throwing on
the market of such an Immense block
of Southern Pacifc stock.
It was stated that the Pennsylvania
has no Interest In the mauagenieut
of the Southern Pacific and that tho
arrangement is purely a lmslne-ss one
I designed to prevent the throwing on
the market of such an immense block
I of Southern Pacific stuck
no
SUBSTANTIAL
COMPETITION
New York. June 12 "Substantial
competition" existed between the
Carnegie and Federal Steel companies
at the time they were acquired by the
United States Steel corporation
Judge Elbert H Gary so testified on !
cross-examination todav In the gov
ernment's dissolution suit against the
corporation.
They were substantially In com
petition, I don't want to minimize
that especially in rails," was his
testimony, "but when ou consider 1
they respective territories of the two
there was not so much competition
as would apiear."
Judge 'Iar added that during one
period the Carnegie company sold
rails in the Chicago district at Vs
a ton.
"I willingly admit. " he said, ' that
this had a gTeat effect on the Illinois
Steel company a subsidiary of the
federal i Ii forced the Illinois to sell
theh rails below cost and they were
fast getting into bankruptcy."
The Federal and th.. ('arm ,.lo com
panies each produced rails, sheared
plates, tin plate bars, billets and
merchant steel. Judge Gary said be
did not think the Carnegie company
made any profit by Belling rails In
I the ( ftllcagO district.
" Would you be surprised to learn."
asked Jacob M. Dickinson attorney
for the government, "that the records
show that rails were the chief busi
ness of the arnogie compauy and
showed ihe most profit.'"
! "I would like to say tnat In tho old
days meihoiia oi bookkeeping were
SENATORIAL IMPRESSIONS OF THE LOBBYIST.
-
j t- B-SY-l-W - aTN
' Lyp)
To Bfr A KOHSTCR- v.ulHC (J ikl L
such that the books frequently show
ed a profit where there was no profit
In justice to Andrew Carnegie wish
to Bay that since 1S97 there has been
a very material change In this re
gpect, largely due to Charles M
Schw ab.'
TO RELEASE
CURRENCY
"Washington, June 12 Secretary
McAdoo said today that his state
ment announcing that $500,000,000 ol
. n ergency currency would be forth
coming should banks need It, was
made In response to numerous In
quiries from bankers who were anx
ious to know whether additional cur
rency would be available for crop
movements.
The treasury department, it was
stuted today, had been Informed by
bankers within the last few weeks
that some stringency might be experi
enced in moving the crops if they had
assurance tlii relit I could be had un
1 r the provision of the Aldrleh-Yree-land
act. they would be able to meet
that situation, and that It would be of
great value to these generally if they
were informed now of the depart
ment's attitude.
Causes Much Surprise
New ork. June 12. Secretary Mc
Adoo's overnight offer to issue emer
gent currency completely surprised
the financial districts. None of the
bankers would express an opinion on
the subject but it was clear that the
BeCrotary B announcement was inter
preted, even before his explanatory
statement today, as an act to reas
sure the legitimate Interests of the
country, especially those of a mer
cantile and Industrial character
Local banker- believe that the of
fer will have the effect of releasing
large amounts of tme money, In which
a severe stringency was threatening
No later than yesterday over-year
money was utterly lacking in this
market, while the rates for four, five
and six months hardened perceptibly.
(,,,,. i-itVi (,' the proposed meas
ure was a sharp rally In stocks today
and stock exchange houses reported B
better Investment demand than at any
i ini" Bince the recent depression. No
email part of the Inquiry came from
out-of-town sources, whero the ef
fect of Secretary' McAdoo's announce
ment appears to have been received
with greater eucouragemeut than In
local circles.
, uu
TINKER SUSPENDED
Cincinnati. O. June 12 President
ugust Hermann of the Cincinnati
National league team received word
todaS from President Lynch of the
;, ague th.it Manager Tinker had tben
suspended for his conduct In yester
day's game pending the receipt of the
umpire's official version of the affair
Tinker had a fist fight with Second
Baseman Knabe of the Philadelphia
team.
SAN FRANCISCO
WITHOUT LIGHTS
Sou Francisco, Jun. It -A large
part of the residence portion of this
city was without electric light Lib?
night because of an explosion in a
tower conduit The downtown busi
qi bb section wbb not affeded
Officers of the Pacific r;as and Elec
trie company, acainst which a strike
has been in progress for several
weeks, declared their belief tbet
striken were responsible for the ex
pic sion.
MINE PROBE I
VIEWS SITES
Senators Go to "Bat
tlefield" of the West
Virginia Coal Districts
Operators Caused
Interference With the
Mail of Strikers
Charleston, V Ya , June 12 Five
Lnlted States senators today started
ba(k into the West Virginia hills to
view the "battlefields" of the coal
strike on Paint Creek and Cabin
Creek.
A special train on the Chesapeak
& Ohio railroad was provided and an
itinerary was arranged which Inclu
ded the principal mines on both the
Paint Creek and Cabin Creek spurs
of tho railroad
The commltteo heard one witness
on the subject of Interference with
the postal service John Goldsbor
ough told that his letters had been
opened at the High Coal ostoffice
in the Boomer mine field.
No further witnesses were on hand
and the committee adjourned to pre
pare for the trip to the mines
Interference With Postal Service.
Charleston. W Ya . June 12. Down
from the sunbaked hills of West Vir
i ginia today came a hundred brawny
j coal miners to tell the senate coal
I mine investigating committee how
j their country was transferred into a
theater of civil war Thev thronged
the lobby of the hotel where the com
mittee of former Governor Glasscock,
I the star witness of the day Governor
1 Glasscock was chief executive of the
; :Uato when the mine, workers struck
! on Paint Creek and Cabin Creek, and
issued the. proclamations which placed
j the strike district under the dominion
I of tho state militia. From him the
committee desired to secure the rec
ord evidence as to conditions which
I preceded the declaration of martial
I law and the proceeding under martial
law.
Through the testimony of Governor
Glasscock the mine operators planned
to place in the record their conten
tion that when the militia superseded
the civil courts In the strike district
the civil authorities had notified the
governor that they were unable to
cope with the situation.
I'rped by their desire to cut as short
as possible the hearings al I barleston,
the committee members today planned
! to hear hut a few of the small army ol
: witnesses summoned and in attend
ance. The ruling of the committee
thai no witnesses should be compelled
to answer questions tending to In
criminate himself had the effect of
eliminating much of the cross-examination
of witnesses by the attorneys
of the operators.
I This becamo qpilte apparent In the
examination of John Seachrlst, a
young miner summoned to testify as
to Interference With the postal serv
ice Attorney Knight for the opera
tors undertook the cross-examination
himself. Ho began with a discussion
of the mine owners' plans of Issuing
scrip to minors as an evidence of
work done, negotiable at the com
pany stores Seachrist sad that to
negotiate scrip for cash at a 10 per
cent discount waB a pretty good
trade " When Attorney Knight elicit
ed that Seachrist had admitted that
h wa one of a party that, attacked
the village of Mucklow on February j
10 of this year
"How many men were there?" he
was asked
' About 100,' said the witness.
"Were they armed?"
"Yes."
"How many shots were fired?"
"Well I reckon I just couldn t say "
"Didn't vou fire any shots?"
"Yes."
'With what""
"With a pun."
"Where did vou get it?"
I bought it," said the witness,
shifting a cud of tobacco, and reach
lug for tho committeos official cus
pidor He explained that he bought the
gun "on the road" from a man he had
never seen before shortly before the
strike began last April. Attorney
Knight wanted to know who told him
to KO to Mucklow hill lo attack the
town and where he got his ammuni
tion for his gun. He said he just
"happened along there" and that
"most of his ammunition be bough;
In Montgomerv
At this point two questions brought
the committee to its feet and resulted
in a ruling that the witness need no
answer questions tending to Incrim
inate him. Attornev Knight wanted
to know of Walter Diehl had ordered
Seachrist to go to Mucklow bill for
the battle and If G F. Parsons had
furnished him and other men with
ammunition. Neither question was
answered. Attorney Knight urged in
vain that he expected to prove a con
spiracy involving meu now present
before the committee" connected with
the Mucklow hill battles
The committee expected to keep
down the list of witnesses as much
as possible in order to shorten the
hearings and the scores of miners
who crowded the room, although un
der subpoena, wero not expected to
be heard at length. The committee
hopes to conclude the hearings here
this week
cu
TRY TO SAVE
FRANKESOLA
San Francisco, Juno 12. Five sus
pended policemen are willing to plead
guilty to conspiracy with bunco men
If the sentence to be Imposed on their
fellow officer. Frank Ksola. convicted
of grand larceny in the same set ol
cases, can be lightened.
District Attornev Flckert said to
day the offer had been made to him
It has not been accepted as the view
Judge Lawlor and Judge Dunne of
the superior court might take ot
such a motion Is unknown
All five ofucerB, while asserting
their willingness to plead guilty main
tain their Innocence to their personal
trlends as well as to counsel They
protest that (hey will make no con
fession, nor any statement Implicating
anybody else.
In return for pleading guilty, the
fhe would receive six months sen
tence. Instead of the year possible on
conviction and all felony charges
would be dropped. Two offieen of the
seven uuder Indictment refused to
listen to any proposals
A decision must be reached today
or tomorrow, for on Saturday a da'e
will otherwise be set for the trial
en masse of all seven men. and Judge
Dunne will rule on Esola's pending
motion for a new trial
ALFONSO WANTS CABINET
Madrid June 12 King Alfonso has
requested Count Alvaro de Romanones
to remain In office as premier and to
form a new cabinet.
MOROS KILL !
AMERICANS
G e n e ral Pershing's
Forces Meet Stubborn
Resistance From Na
tives Under the Lead
ership of the Sultan of
Jolo Tribesmen Take
Up Positions in the
Mountains
Manila. June 12. -The entrench
ments of the rebellious Moros under
the sultan of Jolo at Bag6ag wer
taken by the American forces today
after a fierce battle In which tho
rnerlcnn casualties were six killed
and twelve wounded.
The killed were two privates of
companv M. Kighth United Stales
Infantry, three members of the Fit
ty first company of Scouts and one
member of the Twenty-ninth company
of Scouts. Lieutenant Edwin H
Rackeley was wounded in the leg
The casualties are regarded as few
In view of the stubborn resistance
which the Moros made to the Amcri
can advance. The attacking forces
had been made unusually strong ap
a precaution, there being in addition
to the company of regular infantry,
a troop of cavalry, seven companies
of Scouts, two companies of con
stabulary with a battery of fou
mountain guns and a machine gUD
platoon
The main position of the Moroc
was taken. Although there remains
nno point still occupied, In the mouc
fains, the mountain guns will be In
B position to shell it easily. Brigadlei
General John I Pershing, commander
of the department of Mindanao, who
led the forces, declares h will con
tinue operations In Jolo until all the
i tribesmen's gnns have been taken, and
the Island Is wholly peaceful.
Wood Calls for Report.
Washington, June 12. General
Wood has cabled to Major General
Bell, commanding the Philippine divi
sion, for an Immediate report on the
operations Brigadier General Persh
Ing Is conducting against the Moros
in the Jolo archipelago.
The war department knows nothing
of the details of the operations, as
General Pershing had beu given a
free hand to deal with the problem
Of disarming the Moros in his own
way. and the distance from Zamboan
ga. the Jdlo capital, to Manila, Is so
great and the communications so un
certain that reports from the seen5
are very meager.
The general staff Is considerably
disturbed by the mention of the sultan
of Jolo as leading the hostile Moros,
for It had been understood that lie
had thrown his Influence with the
Americans in the disarmament pro
iram.
ROOSEVELT
PLANS TRIP
Buenos Ayres. June 12 It was an
nounced here today that Theodore
Roosevelt is coming to Argentine to
lecture on the progress of the United
st ites
I Confirms Report.
Now York. Juno 12 Colonel Roose
velt'fl private secretary today con
firmed the report that the colonel con
templates a trip to Argentine but add
ed that the details had not been set
tied
Present plans call for his departure
this fall.
"That's all we care to say about it
now," said tho secretary
on
PEACE DOVE
IN BALKANS
St. Petersburg, June 12. The Ser
vian and Bulgarian governments have
both agreed to accept Russian arbi
tration in their dispute over the ter
ritory acquired during the Balkan
war.
To Mobilize Their Armies.
Belgrade Servia, June 12 The
Servian government sent a note to
tho Bulgarian government today pro-j
posing that three-fourths of the ar
mies of the Bulgaria and Servia be
demobllxed to relieve the existing j
tension and to facilitate a settlement
of the differences between the two
got srnmenta.
May Lose All Gained
London, June 12 Sir Edward Grey,
the. British foreign secretary, speak
ing in the House of Commons today,
expressed the hope that both Bulgaria
and Servia would accept tho offer ol
Russian arbitration.
Ho xaid it uas impossible to ex
press too strongly the feelings of dis
appointment, aud disapproval the out
break of a war between the Balkan
allies would cause. It would he
continued, alienate tho sympathy of
Europe and Involve 'he risk to tho
Balkan stales of losing all they had
gained in tho war with Turkey.
00
Richmond. Ya., June 12. - Delegates
to the Travelers' Protective Associa
tion of Amcricn convention went down
fames river for an all-day excursion
to Jamestown Island today.
LOBBY HUNT I
AND JUGAR I
Clashes Between Wit- :
nesses and Committee
on Wednesday Brings
Announcement That
the Investigation Will
Be Limited to Ques
tion of Whether a
Lobby Is Being
Carried On
Washington, June 12. Free raw
wool immediately and free sugar In
three years as endorsed by President
Wilson and adopted by the house were
approved today by the majority mem
bers of the senate finance committee.
The action sustaining the administra
tion on both schedules was taken af
ter amendments to alter them had
been voted down.
Washington June 12. Truman G.
Palmer. Washington representative of
the United States Beet Sugar indus
try, testified today before the senate
lobby investigating committee that
a series of charts prepared by him ar
gumentative against free uugar and
published as a senate document ha. I
attained a circulation of 320.00"! copies '
under the franking privilege of Sena
tor Lodge.
The charts first appeared In the
senate during a speech Mr. Lodge
made last July It developed on
cross-exam (nation that after Mr.
Lodge had secured permission to print
the documents. Palmer got a proof
' from the government printing office
and somewhat revised them.
( hairman Overman announced that
officials of the government printing
office would be summoned to tell how
such a document had been sent to
private hands for revision and that if
Senator Lodge wished to testify he
would be allowed to do so.
"The mailing of this document. T
find, would cost five cents." explained
Senator Reed to Palmer, "and you,
therefore, saved $16,000 for your em
plovers." "I'm very glad to know it" replied
Palmer
Washington. June 12 The senate
lobby Investigating committee planned
to confine the investigation to the
scope of the senate's instructions
when the hearings were resumed to
dav. References to President Wil
son's attitude on the sugar tariff and
frequent clashes between witnesses
and committee members which char
acterized yesterday's sessions, led
members of the committee to limit
the investigation to the question
whether Insidious lobbying is being
carried on In Washington.
Witnesses connected with the Lou
isiana Sugar Planters' campaign
Bgalnat free sugar were ready to be
heard when the session opened
Paul Christian secretary of the
Louisiana sugar planters offices In
Washington, testified today that all
industries in Louisiana were required
to Join in writing to President Wil
son what disaster tbey believed would
follow the free admission of foreign
sugar BI
Truman G Palmer, secretary of the
United States Beet sugar industry,
testified he had been In Washington
since 19ii2 when he came here to op
pose the Cuban reciprocity bill.
Palmer gave a long list of beet su
gar men members of the association
he represents, which has for its ob
ject the promotion of the beet 6ugar
Industry. jf?
Part of the work of promotloa was
to look after legislation, he said.
00 x
TODAY'S GAMES
Senators Take Game.
Washington. June 12. (American.)
R. H K.
Chicago j ' J j H
Washington H - MM
Batteries Clcotte. Scott and jSS
Schalk; Groom and Henry. iff
Athletics Beat Naps.
Philadelphia, June 12 l American )
RUE
Cleveland 1 5 :! H
Philadelphia 0 KKS
Batteries Falkenherg. Blanding
and CarlBCh, O'Neil, Plank and Lapp.
Red Sox Beat Browns.
Boston. June 12 (American l
R. H. E.
St. Louis J I ifl
Boston 4 J 1 H
Batteries Baumgarden and Mc
Lean, Bedleut and Carrlgan.
Yankees Defeat Tigers
New York, June 12 I American.)
R. H. E.
Detroit 1 5 2 JB
New York " 6 IjIM
Batteries Lake and Rondeau.
Sc liulz and Cossett.
Pirates Lose Game.
Pittsburg. June 12 (National.)
11. H. E.
New York 6 JJ jj MB
Pittsburg ; " ffg
Batteries - Tesreau. Crandall and
Meyers; Camnlty, Robinson and Gib
son, Kelly.
Dodgers Escape Shut Out
Chicago. June 12. (National
Brooklyn 1 6 - ;lJ
Chicago c n jHH
Batteries Rucker and Miller,
Fischer. Humphries and Archer.
(Additional Snorts on Page Two)