Newspaper Page Text
VOL. LV. NO. 110.
THE AKGUS, THURSDAY, FEBRUARY 22, 190G.
PRICE TWO CENTS.
ARMSTRONG REPORT AIMS
AT FOUNDATION OF EVILS
FOUR SENATORS OPPOSE
THE PURE FOOD MEASURE
Facts Basis of Rec
ommendations. TO NEW YORK SOLONS
Law Proposed Postponing Elec
tions Would Invalidate All
Proxies so Far Collected.
Albany, X. Y., Feb. 22. The report
of the Armstrong special insurance in
vestigating committee was presented
in Ioth houses of the legislature today.
It was accompanied by eight bills de
signed to carry into effect in detail the
recommendations of the committee.
To I'onlimnr Klcot Ion.
In a statement made to newspaper
men before the presentation of the re
port. Senator Armstrong said he hoped
to have passed before April 15 a bill
which will defer the annual elections
In mutual companies from April 15 to
Nullify All Proxiex.
This, it is believed, probably would
nullify all proxies obtained tip to this
time by Thomas V. Lawson and the
policyholders committee of state gov
ernors and others, as well as those
which the management of the compa
nies themselves have been gathering
through their agents.
In YolumlnouM Krport.
New York, Feb. 22. The life insur
ance investigation committee today
submitted its report to the New York
legislature. It is a voluminous docu
ment encompassing in its investiga
tion of 15 companies organized under
the laws of New York and the Pruden
tial Life or Xew Jersey.
A I low Mnlunl Corporal Ioiim.
The committe recommends that the
insurance laws be so amended as to
permit the formation under certain re
strictions thereunder of mutual corpo
ration without capital stock to trans
act the business of life insurance; to
prohibit in future the incorporation of
companies upon cooperative or assess
ment plana. Concerning the so-called
mutual companies, the committee says:
Have Little Voter.
"Notwithstanding their theoretical
right, policyholders have had little or
no voice in the management. Entrench
ed beside proxies easily collected by
subservient agents and running for
long periods, unless expressly revoked,
officers of their branches have occu
pied unassailable positions and been
able to exercise despotic power. The
most fertile source of evils in admin
istration has been irresponsibility of
I'lnn for KIcctlon.
A plan, is recommended for the nom
ination and. election of officers, provid
ing each policyholder shall have a
vote. As to the stock of companies,
the committee recommends mutualiza
tion. (ovrrnioK Intntlmrnlx.
On the subject of investments of life
insurance companies, the committee
after declaring against the "syndicate,"
recommends that the law be amended
so to provide no investment in stock
oi any corporation shall be permitted
except in public stocks and municipal
corporations. The committee recom
mends limiting the amount of new
business with each of the larger com
panies may take to $150,000,000 a year,
and that no company except industrial
companies shall issue policies in excess
of certain prescribed limits.
"o Political Contribution.
Contributions by insurance corpora
tions for political purposes should be
strictly forbidden, and the passage of
an unequivocal, drastic measure to
remedy this evil is recommended. Re
garding lobbying, the report says:
"Nothing disclosed by the investiga
t:on deserves more serious attention
than systematic efforts of large insur
ance companies to control a large part
of the legislation of the state. They
have been organized into an offensive
and defensive alliance to procure or to
prevent the passage of laws affecting
not only insurance, but a great variety
of Important interests to which,
through subsidiary' companies, or
through connections of their officers,
they have become related."
Could 'ot Tract Money.
ATter calling attention to the fact that
Andrew Fields and Andrew Hamilton,
to whom large sums were entrusted
and unaccounted for, had remained be
yond the jurisdiction of the commit
tee, the report says:
"On account of the necessary wit
nesses and lack of proper vouchers,
(Continued on Eighth Page.)
FINE IS UPHELD
Supreme Court Decides Chicago Or
ganization Liable As Cor
poration. Springfield, Feb. 22. The supreme
court today handed down a. decision af
firming the decision of the Cook county
court in fining members of Franklin
union for unlawful assaults on non
union men and fining the union for
being guilty of an illegal conspiracy.
The supreme court holds the strikers
had no right to picket plants, and that
a union can be held liable as a corpo
ration. Justices Hoggs and Scott dis
sented, holding there is not evidence
to justify the verdict against the union.
CONDEMN NEW LAW
Meeting of Presidents at Denver to
Fight Discriminating State
Colorado Springs, Colo., Feb. 22.
The action of the legislatures of Min
nesota, Iowa, South Dakota, and New
York in passing laws which discrimin
ate against the small colleges of the
country, wherein all students are de
barred from taking state medical ex
aminations and from the practice of
medicine those who have taken any
part of their course outside of a medi
cal school, was unanimously denounc
ed yesterday at a conference of col
lege presidents now in session here. A
committee was appointed to draft reso
lutions condemning the action of the
DISMISS PRESIDENT OF
JACKSON SAVING BANK
Directors Act Promptly When Dealings
With Creelman Are Revealed
Chicago, Feb. 22. As a result of the
revelations concerning the connection
of the Creelmans with their institution.
directors of the Jackson Trust and
Savings bank yesterday dismissed Wil
liam II. Egan from the presidency.
His resignation was requested as soon
as the true state of affairs was made
known to Director Joy Morton, who
hastened from New York to the relief
of the bank. After investigating the
extent of the loans made to Creelman,
and to companies of doubtful stability
Mr. Morton, Vice President Edward
Decker, and Director David Decker
placed sufficient cash at the disposal of
the bank to cover all losses.
The announcement then was made
that the bank would continue in busi
ness and that the CO day notice on the
withdrawal of savings deposits would
ARRAIGN MINE OFFICERS
Mover, Haywood and Pettibone Re
fuse to Plead to Murder
Boise, Idaho, Feb. 22. Charles E.
Mover, William D. Haywood ami G. A.
Pettibone, leaders of the Western Fed
eration of Miners, yesterday were tak
en to Caldwell, where they were ar
raigned before the probate judge on
information charging them with the
murder of former Gov. Frank Steunen
berg. Each of the prisoners stood
mute, refusing to plead.
The court overruled an objection to
the information and a motion for the
dismissal of the prisoners. They were
committed without bail. The three
prisoners were brought back to Boise
and again were taken to the state pen
itentiary, where they will be kept in
E. F. Richardson, representing the
prisoners, demanded an immediate pre
liminary liearing, but it finally was
agreed that the case should go over
until Tuesday, when a further continu
ance may be ordered.
Denver, Feb. 22. Acting Secretary
James Kerwin gave out an interview
last night, in which he characterized
the arrest of Moyer, Haywood, and
Pettibone as an attempt to break up
the federation. The prime object, he
declared, was to compel the federation
to drop its civil suits against the mine
owners of Colorado for damages grow
ing out of the Colorado labor trouble
of the past two or three years.
CHINESE ATTACK CHRISTIANS
Catholic Missions Attacked in South
Peking, Feb. 22. Meager details
have been received of attacks upon
Catholic missions in several towns in
the southeast provinces. The bishop
at Chengchowful telegraphs that
Christians are fleeing. The region is
the center of a long standing feud, and
outbreaks are frequent.
WW 'V& - f-iA ?ffizi r.y&M$z-'iM Mill
; .rj 'C-m0!dm4iM Mil
wm mCs0A : ; : i no y
DEBATE IS WARM
Divorce Congress Splits Over
Recommendation for Half
FREE FROM "BED AND BOARD'"
Views of Christian Denominations
Aired, After Which Resolution
Washington, D. C, Feb. 22 Discord
entered into the congress on uniform
divorce laws following a heated discus
sion of the following section of the re
port: "An innocent and injured party, hus
band or wife, seeking a divorce should
not be compelled to ask for a dissolu
tion of the bonds of matrimony, but
should be allowed, at his or her option,
to apply for divorce from bed and
board. Therefore divorces a mensa
should be retained where already ex
isting and provided for in states where
no such rights exist'
I,-iil to ll:nl ItrMiiltM.
The proposition was vigorously op
posed by Dr. Henry r C. Winton, of
Trenton, X. J., who maintained that
separation should not be granted as
it might tend to bring about a wrong
ful mode of life. Ilis argument was
combated by Chairman Smith of the
committee, who asserted his belief
that Dr. Winton placed human nature
in too low a plane.
Mr. Smith declared that the authori
ty of the committee and the Roman
Catholic church should be respected
in passing judgment on this question,
to which Rev. Caroline B. Crane, of
Kalamazoo, Mich., took exception, she
remarking that "the church has the
right to discipline its own members,
but should not force its views on this
A general debate followed, in which
the views of several Christian denom
inations on this subject were aired.
Women Ieave Boom.
A number of women' left the room
when Miss Fanny Leake Cummings of
the state of Washington declared that
the resolution would put a. premium on
vice, and produced statistics in sup
port orJier argument. The resolution
was finally, adopted with an amend
ment allowing the innocent party to ap
ply for divorce from bed and board "at
The congress adopted unanimously i
the resolution providing for the classi
fication of causes for divorce into cer-l
tain groups that would be approved
by common consent of all communities '
represented in the congress or sub
Vrfre Two Yt-nr' Itrxiftrarc l.imK.
Causes for divorce, both antenuptial
and post-nuptial, were thoroughly dis
cussed, after an attempt had been
made to strike out the entire list on
the ground that such a list might do
injustice to some states.
It was decided by a considerable ma
jority of the delegates that not less
than two years' residence should be re
quired on the part of a plaintiff who
has changed his or her state domicile
since the cause of divorce arose, where
jurisdiction depends on the residence
of the plaintiff. This feature of the
report was not adopted until after
FRISCO POWER PLANT
FEEDS THE FLAMES
Newspapers Deprived of Power and
Telegraph Companies Idle Loss
San Francisco, Feb. 22. Fire early
today at the central station of the San
Francisco Gas & Electric company,
caused a loss of three quarters of a
million besides crippling many com
mercial and manufacturing establish
ments. All the evening papers are
without power to run thejr machinery.
Nearly all telegraph wires leading out
of the city are idle, the telegraph com
panies having obtained their power
from the station which burned.
EPITOME OF DOINGS IN
Washington. D. C, Feb. 22 Follow
ing is a brief resume taken from the
official records of yesterday's proceed
ings in both houses of congress:
SKX.ITB Aftf-r 1 ." years of consider
ation of tlx- subject, the sch:iU pjjy.-ic il
ii pure food bill by a vole of i to 4.
The session w:is l;iri; ly taken i:p by
debate on the measure, "and several ef
forts were made to amend, only those
approved by the committee reporting
the bill being1 accepted. Senator Sraoot
received another endorsement .this time
from Mr. Warren. He presented a h.i.if
petition from the women of Wyoming',
pray ins for the expulsion of the I Halt
senator, but ejipressed himself as occupying-
the. opposite position. At 3:1.1 p.
m. adjournment was taken.
IIOl Si: Chairman Hull, of the mil
itary affairs committee, presented the
army appropriation bill to the house,
urginir the necessity of complete pre
paredness for trouble in the orient. The
lull earrie.s a total appropriation of
je,y.G7S.r.32, which is less by $l.r.21.t."K
than the amount asked by the depart
ment. Mr. Hopkins of Kentucky uncov
ered many methods of inducing1 migra
tion to the t'nited States, which he, con
denmned. Mr. Mheppard of Texas urted
tariff reform to obviate retaliatory tar
iffs by other nations. Mr. i'owers of
Maine spoke against thf abolition of
custom houses as u matter of' economy,
and Mr. Macon of Arkansas answered
his arKuments. At 4:17 p. m. the house
TANGLE IS WORSE
Big Lifa Insuranca Companies
Find Complications Grow
PROBLEM IN McCALL SUIT
Left No Estate and New York Life
Trustees May Be Forced to
Xew York, Feb. 22. The affairs of
i he big life insurance companies are
tangled up ia the worst kind of a snarl,
and (lie general jnixup is getting more
com plica red every day.
Some of the more important recent
Trustees of the Xew York Life dis
covered that they may be forced to sue
thtmselves tor the claims the company
had against John A. MeCall, as tho
fact that MeCall died a poor man is al
most certain to prohibit suits against
Stuyvesant Fish's threat to resign
from the Mutual Life's board of trus
tees decided other members of the
board to request him to stay and see
the fight for a wide open investigation
through to a finish.
Itciuly to follow I'ish.
Counsel for the Truesdale investi
gating committee are ready to follow
the example of Stuyvesant Fish and
resign from the committees, in despair
of forcing President Peabody to fur
An old employe of the Mutual Life,
who disappeared when the state inves
tigating committee began to call wit
nesses, turned up and visited the law
yers representing the McCurdys. lie
stated that he had facts which, if dis
closed, would result in the retirement
of at least one officer of the company.
McCnlr IXntr Worth Notlilnc.
A close friend of the late Mr. Me
Call said that when his little personal
obligations are wiped out there will be
next to nothing in his estate. This
friend paid Mr. MeCall died a poor
man; that he gave nearly all he had
in voluntarily paying back into the
treasury of the company the $233,000
which he had advanced to Judge An
drew Hamilton on the "home office an
Manila Chinese Expect Trouble.
Manila, Feb. 22. The Chinese in
Manila, believing that trouble is im
minent, are limiting their business con
tracts1 to their countrymen in China.
Advices received here hv Chinese v
that an outbreak against foreigners!
will occur on Feb. 24. J
THREAT TO SHOOT
Dismissal of Libel Suit Against Peoria
Newspaper Followed By Arrest
Peoria, 111., Feb. 22. Lucas liutts,
county clerk of Peoria county, was ar
rested late yesterday afternoon on a
charge of threatening to shoot Eugene
Baldwin, editor of the Peoria Star.
Butts gave bond and his hearing was
set for Friday morning.
Butts became angered when a crim
inal libel suit against Baldwin and
Postmaster Edward J lull, business
manager of the Star, was dismissed
because the indictment in the case
was missing. Robert Scholes, the
state's attorney, alleges that the indict
ment was stolen from his office. The
case grew out of an attack made on
Butts by the paper during the Putnam
Sucher contest in the Illinois senate a
year ago. 1
WILL NOT ENJOIN
Galesburg Circuit Court Judge Makes
Important Decision in Insurance
Calesburg. 111., Feb. 22. In the cir
cuit court yesterday Judge Grier denied
the applicaton for a temporary in
junction made by the National Life In
surance company of the United States
of America of Chicago against Dr,
Watson and Attorney W. H. Atwood
of this city to enjoin them from send
ing to other bondholders of the com
pany circular letters alleged by the
company to be defamatory and injuri
ous to its business. The bill alleged
that Watson and Atwood had entered
into a conspiracy wrongfully to extort
money from the company and that in
the prosecution of this they had begun
suit for a receiver in Des Moines,
Iowa. It was also asserted they had
sent out libelous circulars to other
bondholders containing false and ma
licious statements, which, the bill al
leged, had already caused damages
amounting to $.10,uin
Judge Grier decided that, as the bond
holder of one of the former companies,
now merged in the National Life, Dr.
Watson had a legal right to write to
others similarly situated and enlist
them in litigation.
Regarding the circular letter in ques
tion, the judge said it is of a libelous
and defamatory nature, but that the
weight of the authorities is against the
interference of a court of equity in the
circulation of libel.
NORTH CAROLINA MEMBER
OF CONGRESS A GRAFTER?
E. Spencer Blackburn Accused of
Practicing Before Government De
partments and Taking Fees.
Asheville. X. C. Feb. 22. Two in
dictments have been returned by the
federal grand jury against E. Spencer
Blackburn, republican representative
n congress from the Eighth North Car
olina district, charging him with prac
ticing before the departments of tho
iovernment and with accepting fees
for the service after his election to the
house of representatives.
The indictments alleged that Black
burn appeared before the treasury de
partment and the commission of in
ternal revnue, as attorney, and secured
x compromise of the cases against A.
Dinkins and P. A. Davis, two men
charged with violation of the laws gov
erning the making of whisky in the
Fifth North Carolina district. It is
alleged that during February and
March, 190i. Blackburn was paid $100
by Davis and $500 by Dinkins for his
LONGWORTHS GIVEN A
Arrive at Havana, Cuba, and Become
Guests of Minister Mor
gan. Havana, Feb. 22. The steamer Mas
cot, having on board Mr. and Mrs. Nich
olas Longworth and Edwin V. Morgan,
the new American minister to Cuba,
arrived here this morning from Flori
da, after a smooth trip. They were wel
comed by attaches of the American le
gation, Consul Frank Steinhardt, a re
ception committee from the Cuban con
gress and President Palma's military
aide de camp. The Longworths went
ashore in a launch in charge of the
Cuban president's aide de camp.
Thence they were driven in an automo
bile to Mr. Morgan's residence in the
suburb of Marina.
Fall Off Scaffold at Decatur.
Decatur, 111. Feb. 22. By the fall of
a scaffold at tho Mueller factory Chas.
Alexander was killed and Jesse Fisher'
Bill Passed After Subject
Had Been Considered
FOR PUBLIC HEALTH
Congressman Prince Scores
Practice of Promoting and
Retiring Army Officers.
Washington, Feb. 22. Senator Knox
today introduced his interstate com
merce bill. It broadens the house bill
and contains provision for review by
courts of orders of the interstate com
Washington, Feb. 22. The name of
Washington was t xtolled by the chai
lain of the house in the invocation at
the ojening of the session today. Im
mediately Williams, the minority lead
er, endeavored to get an adjournment
in honor of the holiday. The house
refused to adjourn 89 to 13C.
In the senate Washington's farewell
address was read by McCreary of Ken
tucky. Airoirlutlou lllllx I-'nvorrd.
The conference report on the urgent
deficiency bill was agreed to and the
army appropriation bill was taken up.
Mil Itrllrril Olll--r.
Severe criticism was indulged in re
garding the effect of the retirement
system of the war department. Prince
of Illinois opened the question and was
asked many questions, bringing out the
fact that in three years 2 brigadier
generals had been made, who held that
rank for a day and then retired.
Iliinil In Trj-iidury.
"These officers have one hand on th.j
flag and the other in the treasury, gel
ting money they have not earned," de
When asked who was responsible,
he said the president was the only one
having authority to make the promo
tions and the senate confirmed his ac
tions. Conxlilrrptl 1." Trnra.
Washington, Feb. 22. After 15 years
of more or less serious consideration
of the subject, the senate yesterday
afternoon passed the pure food bill by
a vote of C3 to 4. The vote was taken
after a day devoted almost exclusively
to a debate of desultory character ou
the measure. Several efforts were
made to amtnd the bill and the com
mittee accepted a number of sugges
tions, but only those thus accepted
were incorporated in the bill as passed.
The bill makes it a misdemeanor to
manufacture or sell adulterated or mis
branded foods, drugs, medicines or
liquors in the District of Columbia,
territories and insular possessions of
the United States, and prohibits the
shipment of such goods from one state
to another or to any foreign country.
It also prohibits the receipt of such
Punishment by a fine of $500 or im
prisonment of one year, or both, is
prescribed. In case of corporations.
officials in charge are made responsi
ble. The treasury department and de
partments of agriculture and com
merce and labor are required to agree
upon regulations for the collection and
examination of articles covered by tho
bill, but no specific provision is made
for investigation except by the depart
ment of agriculture.
Those who voted against the pure
food bill were: Bacon, Bailey, Foster
and Tillman, all democrats.
GERMANS SEEM FAVORABLE
Reciprocate Tariff Extension Measure
Passes Readings in Reichstag.
Berlin, Feb. 22. The reichsag to
day passed the first and second read
ings without amendment, of the gov
ernment's proposal to extend recipro
cate tariff rates to the United States
until June 30, 1907.
Dead Man Was Minister.
Chicago, Feb. 22. The body of the
man found dead at Twenty-first street
and Calumet avenue with a bullet hole
in his head yesterday was identified as
that of Andreas Frederickson, a lay
minister of Milwaukee. It Is believed
he took his own life while under the In
fluence of liquor.
Monmouth Man Out of Politics.
Monmouth. 111.. Feb. 22. Represent
ative E. C. Hardin of the Thirty-Second
district has announced his declin
ation to run for a third term on ac
count of business reasons. He was
chairman of the committee on banks
and banking and a member of the com
mittee on primary elections and seven