The Minneapolis journal. [volume], September 22, 1905, Image 1

About The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939

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r=5= PRESIDENT TO ASK
FOR GREATER NAYY
Growing Interests of the Nation
Demand Increased Protection
on the Seas.
BATTLESHIP FLEET OP
48 VESSELS IS SOUGHT
Increase in the Enlisted Force and
Added Number of Fighting
Ships Needed.
Jfew York Sun Special Service.
Washington, Sept. 22.President
Roosevelt and the navy department
have decided to ask for a substantial in
crease of the navy from congress dur
ing the coming session.
Authority will be sought to build
three battleships of a displacement ot
at lease 18,000 tons, attd perhaps larger
to increase the displacement of the bat
tleships Michigan and South Carolina,
already appropriated for, to the same
figuie, and to construct twelve torpedo
boat destroyers and several auxiliary
craft, such as small gunboats for the
Philippines, torpedo boat and subma
rines.
Such a program would have been re-
ftarded
as a big thin'g a few years ago.
is considered moderate at this time
In official ind naval circles for various
reasons. First, because the growth of
the interests and influence of the
United States second, because of the
augmentation of the fleets of the pow
ers, which may develop into enemies on
account of a conflict of interests, and
third, because the freat lesson of
the Russo-Japanese war was the im
portance of an efficient and adequate
navy.
Dewey for Battleships.
Batleships come first in the eyes of
the authorities, Admiral Dewey saying
today that experience has demonstrated
over and over again that they are the
backbone of a nation's naval strength.
The admiral and every other naval ex
pert regard armored cruisers as val
uable only as auxiliaries. Without a
battleship, or with an inferior force of
this type a nation cannot hope to gam
command of the sea unless its enemv
should be hopelessly inefficient.
The three battleships to be asked for,
with the two whose displacement it is
desired to increase, will form a class of
five of the most magnificent fighting
ships in the world.
Big Battleship Fleet.
These five ships ought to be com
pleted by 1910, by which time the
United States will have a fleet of twen
ty-nine battleships, some of which, how
ever, will have to be classed as second
raters then.
The general board of the navy has
not modified its view that the great
and growing interests of the United
States need protection from a fleet of
forty-eight batt'oships. The comple
1 tion of the Panama canal will increase
immensely the responsibility which
rests upon the navy, and the president
believes the navy should be given the
means wherewith to meet it.
The sjftuation which has developed
In the far east necessitates, in the view
of the president, the maintenance of a
strong force of battleships in Chinese
waters. There are only two battle
ships now in the Asiatic station, and
one of them must come home for re
pairs. As soon as possible it is intend
ed to send out three more battleships,
the intention being to impress the Chi
nese with the strength of the Ameri
can government in order that our in
terests may be treated with greater re
spect.
Naval circles aTe inclined to look
upon this policy as a strategical mis
take, as four battleships might be cut
off and destroyed by a superior force.
Other Ships for the Navy.
The United States now has built
or building twelve armored cruisers and
these are considered sufficient for the
present.
The army and navy board, which has
been considering the needs -of the Uni
I ted States with respect to coast de
fense, has decided that at least two
hundred torpedo boats are required in
order to aid the forts to protect the
harbors of the country.
In order to man the ships now in com
mission or under construction, it will be
necessary to have congress authorize an
increase in the enlisted force. A law
permits the enlistment of 37,000 men.
Bear Admiral Converse will ask for an
additional 3,000, making the effective
strength 40,000 men. Because of the
care with which men are selected for
the navy, the number now in service is
only 31,000.
As an indication of the high stand
ard fixed by the department for enlisted
men, the official figures produced today
show that five-eighth oi the men who
fistmentthemselves
I
nresent as candidates for en
are rejected. During the last
fiscal year 40,200 men applied to the
recruiting officers, and 2o,200 were de
nied enlistment because of som physical
dfect or some obiection of a moral or
mental character. It is the effort of
the department to man the ships with
the best type of Americans that can be
gotten. REJOICE, ALL YE POETS!
EDITOR'S LION IS DEAD
Hew York Sun Special Service.
New Harmony, Ind., Sept. 22.Edi-
tor Clarence Wolfe's lion, bought to
keep poets away from the office of the
New Harmony Times, is dead, and the
Posey county muse has revived.
As soon as the news spread about the
village the verse writers, who had ac
cumulated quite a stack of poetry in
the three weks that the animal had
kept guard at Mr. Wolfe's door, de
scended on him in* a body, and one,
more enterprising than the rest, sub
mitted an appropriate epitaph which
will be published tomorrow.
The lion was bought three weeks ago,
and so successful was it that the edi
tor is loosing for a larger and stronger
animal. STANDARD OIL AGAIN
BOOSTS PRICE OF OIL
Plttsbnrg, Sept. 21 The Standard Oil com
pany today advanced the price of Pennsylvania
oil 10 cents and Tiona oil 5 cents Within two
weokB Pennsylvania oil has advanced 19 cents
and Tiona 14 cents The other grades of oil
were not changed The quotations follow. Penn
sylvania, 146, Tiona,
156. miTawa x.ua Corning, 103
rine'ani8'toffia
*V
,v
1
^ir||liif.wrf
New Yol Seat. S&r-The Evening
World today received a cable dispatch
from Andrew Hfcmj&jn of Albany, who
is in, France, to^fie effect that ih
$100,000 received him from the New
York Life Insurance company in
March,* 1904, was not used for influen
cing state legislation.
Mr. Hamilton reached Biarritz yes
terday afternoon after completing an
automobile tour thru the south of
France. He was met at Biarritz by
a telegraphic inquiry from the World
relative to the $100,000 check made out
to him by the New York Life in March,
1904, to which he replied by wire as
follows:
You can deny for me that the check
for $100,000 to me from the New York
Life March, 1904, was, as asserted
in New York, for purposes of influen
cing state legislation or that it was so
used.''
The Insurance Inquiry.
Upon the reassembling today of the
legislative committee which is investi
gating the life-insurance business.
Thomas A. Buckner, vice president of
the New York Life, who has charge
of that company's agencies, and who
was unable to answer a number of
questions yesterday without looking up
records, was called to the stand. The
matter of the "Nylic" accounts were
taken up. They included records of a
system of bonuses paid to agents.
"Nylic," he said, "was a body of
men drawn from the ranks of agents
who create business for this company.
It is divided into five classes, freshmen,
first, second and third degrees and
senior Nylics.*'
New Agents "Freshmen."
The freshmen have a written con
tract with the company and must pro
duce business paying not less than
$5,000 annually in premiums and give
their entire time for five years. They
receive no salary, but qualify for a
higher degree. If there was default of
qualifications they were dropped and
GRIP OF DEITZ ON
DAM NOT RELAXED
Logging Company Cannot Move
Its Pine Without Use of
Cameron Dam.
Special to The Journal.
Ladysmith, Wis., Sept. 22.W. W,
Deitz of Rice Lake is in the city aad
says the rumor that the logging com
pany in the famous Cameron dam case
is to haul its logs around the dam and
float them down the Thornapple# is all
nonsense. He declares there is not
water enough in the river to float logs
without the use of Cameron dam, and
for support of his statement cites the
fact that driving crews tried in vain
this summer to drive about 2,000,000
feet of logs that are below the dam.
The 18,000,000 feet above Cameron
dam are scattered for a distance of
many miles along the river, and it
would be cheaper to haul them to the
Flambeau river, which is about twelve
miles southward. Many of these logs
lie in the river bed and in inaccessi
ble places. To transport them to the
Flambeau river would cost at least
$100,000.
The company's losses to date, thru
deterioration of this 20,000,000 feet of
the finest pine, the cost of driving
crews for several months during the
various efforts to move these logs, the
expenses of numerous squads of armed
men sent there on numerous occasions,
and for guns and ammunition and
court expenses, injunctions and other
legal measures, have not been less
than $150,000 to $200,000. To this
another $100,000 will have to be added
to get the logs out by any other course
than thru Cameron dam, which John
F. Dietz controls, and for which privi
lege he asks about $10,000.
SMOKELESS PITTSBURG
IS PROMOTERS' PLAN
New York Sun Special Service.
Pittsburg, Sept. 22.Smokeless Pitts
burg is one of the hopes held forward
by H. C. Prick, George Westingbouse,
Jr., and other financiers. They have
been interested by General A. H. War
ner of Mariette, Ohio, in a plan to erect
a massive central power station about
thirty miles from Pittsburg. Here
coal is to fed into furnaces which will
generate steam which in turn will gen
erate electricity. This is to be cabled
to Pittsburg at one-half the cost of the
present production of power in the city.
The cost of a central plant will be
about $15,000,000 according to present
plans. General Warner has leased 3,200
acres of coal lands. The promoters also
propose furnishing power to a dozen
towns surrounding Pittsburg.
WIRELESS ADTO KEEPS
HIM WISE ON STOCKS
New York, Sept. 22.Ma.ior William
E. Wetmore, a millionaire resident of
Allenhurst, N. J., and the oldest mem
ber of the New York Yacht club, has'
contrived a scheme wherebv he can keep
in direct communication with his brok
ers in Wall street while he tours the
New Jersey roads in his automobile.
A wireless telegraph instrument of
his own construction has been placed in
the tonnean of the car and a similar in
strument is in the railroad station at
Allenhurst. There, the station-master,
Fred Gerner, receives messages by wire
from New York and transmits them by
wireless to Maiqr Wetmore.
It makes no difference where the ma
jor is, he can keep track of the rise and
fall of stocks in which he is interested.
Station-master Gerner says the instru
ment will transmit a distance of twenty
miles, and it is seldom that Major Wet
more ever goes farther than' this in
his automobile.
The possibilities of the wireless au*
areaso NewJ-tomobile SVi SSSJt^. tt *formin company to manufacturk
NEW YORK LIFE CHECK
MYSTERY /S DEEPENED
ffte Insurance Lobbyist, Denies the
SlQjp'WO Was Used to Bribe New
State Legislators.
great that there is tal
the instruments*
IJM&g'
mmmm
had to recommence at the beginning.
They received 50 cents a thousand per
month for all business written by them.
The first degree Nylic must produce
business paying not less than $25,000
in premiums a year for five years to be
come a second degree Nylic
The Second Degree.
The second degree Nylic received $1
a month per thousand. If an agent
secures premiums of $25,000 a year he
becomes a third degree Nylic. This
degree lasts five years. Its members
receive $1.50 per month per thousand
and must also maintain the $25,000
total of premiums.
At the expiration of five years he
becomes a senior and receives 75 cents
per month per thousand on new busi
ness over the average of insurance
written during the previous twenty
years. He need not give his entire
time, but must not write for any other
company.
When this system was devised it be
came retroactive and all the agents
went into these grades according to
their terms of service and amount of
business written. None of these had
served sufficient time to become senior
Nylics, and at present the company has
but three seniors.
Bonus on New Business.
Mr. Buckner said that what moneys
agents got from Nylic was in addition
to the regular agent's commission. He
said the cost oi Nylic today is 1 per
cent of the renewal premiums. Mr.
Buckner said this system was inval
uable in holding their agents in soli
darity.
Severance of connection with the
company ends all benefits in Nylic ex
cept in case of death, when provision
is made for payments to the estate of a
Nylic above the grade of freshman for
three to six months.
Further postmortem benefits were
paid under a resolution adopted in 1895,
Continued on 2d Page, 4th Column.
HEINZE DECLARES
LAWSON A LIAR
Montana Copper King Replies to
Boston Man's Attack in
Magazine. _,
New York. Una Speolal Service.
New York, Sept. 22.Thomas W.
Lawson's vitriolic attack uponF. Au
gustus Heinze in the October issue of
Everybody's Magazine, has been repu
diated by the copper king in a letter
to the publishers of the magazine, made
publio today. Mr. Heinze characterizes
Mr. Lawson's statements as
declares that their publication can have
no other foundation" than a malicious
desire to injure him and his property
and his associates. Mr. Heinze writes
in part:
"As an indication of the existence
of a deliberate intention on the part
of the author of this article to misrep
resent everything connected with my
career, I call your attention to the in
timation that I am so cowardly as to
deny my Jewish origin,' or, as else
where elegantly stated, that I am a
'gentile-plated Jew.' If I were of
Jewish descent, I should not only not
fear to acknowledge, but should' be
proud of it: but I am descended on my
father's side thru nine generations of
Lutheran ministers of the gospel, from
a German divine who was an assistant
to Martin Luther and on my mother's
side am of English and American de
scent."
In closing, Mr. Heinze declares that
the effect of the foregoing statement
in the article is to attempt to stamp
him as a renegade and one who is
ashamed to acknowledge his national
ity.
Tokio, Sept. 22.The American
steamer Barracouta, Captain Curtis,
last 'reported to have sailed from San
Francisco for Nikolaievsk, has been
seized by the Japanese north of the
island of Saghalien.
ferent associations and individuals,
condemning the peace treaty and ask
ing that it be not ratified, exceeds
forty, among which is an address signed
by six professors of the Imperial uni
versity, one of whom was recently
placed on the retired list owing to his
strongly worded anti-peace thesis.
This memorial strongly urges the ne
cessity of refusing to ratify the peace
treaty and condemns it as entirely an
nulling the purpose of the war as set
forth in the declaration of hostilities.
It is also stated that indisputable
reasons exist for refusing to ratify the
treaty, which is deemed to be preg
nant with elements of humiliation and
future danger to the national inter
ests.
In conclusion the signers of this ad
dress say they humbly beg the throne
to condescend to consider the spirit in
which the address is presented.
In spite of persistent editorials in
the leading newspapers demanding the
resignation of the cabinet, it is believed
that the ministers will continue to hold
office until after the adoption of the
post-bellum measures, especially those
PRICE TWO CENTS. FRIDAY EVENING, SEPTEMBER 22, 1905. I26 PAGESFIVE O'CLOCK.
BOMB HURLED AT
BASK IN WARSAW
Attempt to Destroy in Revenge
Fails and the Young' Revolu
tionist Is Injured,'
Warsaw, Russian Poland, Sept. 69.
An attempt was made today to destroy
the Sherreshevsky bank. A man threw
a bomb at an open window of the bank
but missed his aim and the missile ex
ploded in the courtyard, dangerously
injuring the perpetrator of the crime,
a young Jew.
It appears that the outrage was due
to the fact that the bank officials had
refused to contribute to the funds of
the revolutionists.
REFERENDUM IN
NORWAY URGED
Press Wants Popular Vote on
Monarchy or RepublicProg-
ress at Karlstad.
Karlstad, Sweden^ Sept. 22.The
Swedish and Norwegian commissioners
met in joint conference last evening
after holding separate conferences dur
ing the day. The joint conference lasted
for nearly four hours and was then ad
journed until today.
It is understood that the Swedish de
mands that the transit trade thru both
countries shall be secured against un
justifiable obstruction and for the right
of pasturing reindeer belonging to Swe
dish Laplanders 4n Northern Norway
have been amicably settled, but that the
question of the demolition of the Nor
wegian forts still remains open.
Several Norwegian newspapers are
opposing an offer of the throne to Prince
Carl of Denmark. They demand that
the people of Norway be given* an op
portunity to express their choice be
tween a monarchy and a republic.
Peace Congress Is Interested.
Lucerne, Switzerland, Sept. 22.In
the international peace congress today
a motion referring to th dispute be
tween Sweden1
Tokio, Sept. 22.The number of di- regarding finance and the Chinese and
rect memorials to the throne from dif-
?rr
Defective Page
and Norwae was post
poned, altho the Swedish and Norwe
gian delegates stated that their re
spective nations were prepared to sub
mit their differences to arbitration and
probably would request the Swiss fed
eral council to nominate the president
of the suggested court of arbitration.
MURDER MYSTERY
BAFFLES BOSTON
Dismembered Trj-rik of a Woman*
in Smfc^Me^&&txid Near
Wintbrop Yacht dub.
Boston, Sept. 22.The police of
Winthrop, Boston and the state are giv-
^"fv their combined efforts in an at
false in almost every .particular, and trapt to unravel the mystery which
surrounds the crime discovered yester
day by the finding of the dismembered
trunk of a woman in a dress suitcase,
floating in the water off the Winthrop
Tach club's pier. Thus far, however,
no promising clews are in the posses
sion of the authorities. Police, assisted
by residents and members of the "Win
throp Yacht club, spent the morning
in examining the harbor and Winthrop
shore, searching for the head, arms and
legs of the woman.
The body was taken to an undertak
er's, where an autopsy was performed
by Medical Examiner Harris. This ex
amination strengthened the theory that
the woman had been the victim of an
unsuccessful surgical operation and
that the dismembering of the body had
been the work of skilled hands.
The police of Winthrop assert that
the victim probably was not a resident
of that town, as no one had been re
ported missing.
Early this morning four officers went
to the office of a physician on Howard
street and searched the premises. The
person whom the police desired to in
terview was, it is understood, absent
from the house.
CHARLES T. O'FERRXLL DEAD.
Richmond, Va., Sept. 22.Former
Congressman and former Governor
Charles T. OTerrill died here today.
w. MIMMHIIHIIWI
JAPANESE URGE THE MIKADO TO
REFUSE TO SIGN PEACE TREATY
Two Score Memorials to the Throne Condemn the Portsmouth Compact
'with Russia and Ask that It Be Not Ratified by
the Emperor of Japan.
Korean problems.
It transpires that in spite of Premier
Katsura's assurance to the contrary to
the editors, there exists a clause in the
peace treaty by which Japan under
takes not to fortify Soya strait. As a
result, intense" indignation is felt
among the influential classes, as thi#s is
deemed to be the greatest humiliation
Japan has ever suffered.
The restriction thus placed on her
territorial liberty is looked upon as
being an unbearable indignity and as
constituting the blackest record in the
history of a country which has never
experienced defeat at the hands of
"other nations. Not a few papers are
expected tomorrow to print strongly
worded editorials on this subject.
The constitutionalists are gradually
assuming a firm attitude of opposition
to the government.
The editors of ten daily papers met
today and appointed a committee to
make representations to the govern
ment on the subject of the unusually
long suspension of the Asahi and four
other evening papers. The committee
had an interview with General Sakuma,
commander-in-chief of the Tokio gar
rison, who is in charge of the enforce
ment of martial Jaw, and other authori
ties* and it is expected that the unfa- i are held aa. prisoners of war.
Washington, Sept. 22.Should Presi-i
dent Boosevelt decide to pay back to
New York insurance companies the
money contributed by them in aid of
his election, he will have to pay it out
of his private purse, for the republican
national committee carried over a sur
plus only large enough to defray its
actual expenses during the four-year
interval between campaigns.
The secretary of the committee re
ceives $4,000 a year, and so this sur
plus is at least $12,000. In addition
enough has been kept to pay rent for
committee headquarters in the Colora
do building in Washington, where it
has one room, which costs $80 a month.
Secretary Dover has a clerk who takes
care of correspondence, keeps files, etc.,
and there are incidentals and postage
to be paid for.
Chairman Cortelyou made a close es
timate last fall of what these neces
sary running expenses would be, and
trimmed his accounts accordingly.
Cost of Campaigns.
The national campaign of 1896, the
most expensive in the history of the
country, cost the republicans $25,000
a day from midsummer to eleotion day.
That of 1900 was somewhat less ex
pensive.
Last year, Senator Hanna being dead,
and the great corporations having in a
measure recovered from their fright
over free silver, contributions came in
slowly and in comparatively small
amounts. All thru the campaign the
republican national committee was com
pelled to exorcise the closest economy,
and on numerous occasions certain cam
paign projects were abandoned because
the committee could not authorize them.
It is, therefore, up to the president
to make good personally, if, in his opin
ion, restitution is necessary.
Corporations' Contributions.
It is an open secret that the repub
lican presidential committee contribu-
EARTH TREMBLES
AGAIN IN ITALY
Cloudbursts, Too, Carry Death
and Ruin to People in
Calabria.
Borne, Sept. 22.Earthquake shocks
continued yesterday at Calabria. At
Amantea two women were killed. At
Ajello many houses fell and twelve per
sons were injured.
At Bruzio a church fell and there was
further damage at Cosenza, Catanzaro
and Monteleone.
There was a cloudburst at Ban, the
wind capsizing a sailing vessel in the
harbor and six persons were drowned.
At Portici, near Naples, there was
another cloudburst, and the floods of
water brought into the town many large
blocks of lava from Vesuvius. Service
of the streetcars was interrupted.
It is not believed that there are
many more victims in the ruins. At
Zabrone a man has just been taken out
alive, after being entombed eleven
days.
General Lamberti has made an1
INSURANCE REFUND AT
ROOSEVELT'S EXPENSE
Return iof Cash Contributed to Campaign, if
Made, Will Be from the President's
Personal Funds.
By W. W. Jermane.
of
ficial list of the damage by the earth
quake. He finds that 212 towns and
villages suffered great losses, the dead
number 580 and the injured 2,020.
At a meeting of the ministers, at
which the mayor of Borne and the presi
dent of the Bank of Italy were present,
it was decided to hasten the distribu
tion of relief -as rapidly as possible. AH
the prefects in Calabria have been no
tified to place all relief contributions at
the disposal of the central committee
from Borne. The uniting under one
head of these contributions is neces
sary to avoid the distribution of an ex
cess in some localities, leaving others
with a deficiency.
OLDEST CONSTABLE IS DEAD.
Janesvllle, Wis., Sept. 22.After having
served continuously as constable since
1869, Alonzo K. Cutts, aged 81, died sud
denly today. He was the oldest constable
In years and service in the state.
I!-
vorable newspapers will soon be al
lowed to resume publication.
Iione Voice for Peace.
Tokio, Sept. 22.A solitary instance
of public rejoicing at the conclusion of
peace with Russia will take place at
a meeting to be held today at Kotelka,
a town in the remote northeast corner
of the main island of Nippon. Several
industrial associations will be repre
sented on the occasion, among which
will be prominent habutai producers.
Messages of congratulations will be
forwarded by those present at the meet
ing to the emperor of Japan, to Field
Marshal Oyama, Vice Admiral Togo
and to President Boosevelt.
Captain W. Boysmann, a prisoner of
war and former commander of the
Bussian battleship Peresviet, has died
at Matsuyama.
Bear Admiral Nebogatoff and a num
ber of other Bussian naval officers have
been permitted to give their parole
and return home. Rear Admiral Ro
jestvensky has almost recovered from
his wound, but he is still under strict
medical care in Fushima.
The minister of war has instructed
the removal of certain restrictions
placed upon the Bussian officers who
tions from 1896 to last year came al
most entirely from corporations.
Prior to 1896 the interests divided
their campaign gifts almost equally be
tween the two great political parties.
With the advent of Bryan, they ceased
giving to democrats, which explains the
poverty of that party in both Bryan
campaigns, and its comparative poverty
last year. And this was true, notwith
standing the fact that voluntary con
tributions by individuals to both the
Bryan campaign funds were larger than
ever before in the history of American
politics. These individual contribu
tions are always trifling in the aggre
gate.
The old style of collecting funds by
assessments against office holders being
no longer legal, political leaders in both
parties have been compelled to fall back
upon corporations, and when these have
failed either party, that party has been
seriously handicapped.
President Will Strike a Blow.
I No matter what the president may
decide as to the return of life insur
ance money to its donors, it is certain
that he will hit with all his might, in
his message, the custom of financing
national campaigns on the scale which
originated in 1896.
These heavy contributions did not
elect either 'McKinley or Boosevelt.
Both would have been elected without
them, as election results have demon
strated. If Chairman Taggart, for in
stance, had had untold millions last
year and the republicans nothing,
Judge Parker could not have won.
It is entirely possible that President
Boosevelt, by emphasizing the harm of
this new policy of financing presiden
tial campaigns, can accomplish a re
turn to the old-fashioned methods pre
vailing prior to 1896, and if he can, he
will no doubt feel that he has per
formed a service of vast importance to
Continued on 2d Page, 4th Column.
tT-*-
BRITAIN PLOTTING
SAHABAN EMPIRE
Baron de Forest, with Heavily
Armed Expedition, Is to Pierce
Africa for England.
New York Sun Spooial gervtot.
Tangier, Sept. 22.Reports received
here indicate that Baron de Forest,
backed by the British government, is
planning a new empire in the Sahara.
The plans are carefully guarded, the
baron giving it out that his armed
expedition is for the purpose of hunt
ing and exploring.
The yatch Honor, in which the expe
dition is quartered, has arrived at lias
Palmas. It carries a crew of thirty
eight. Baron and Baroness de Forest
and several Moors are on board. No
one from Las Palmas was permitted to
board the vacht, and the destination of
the craft is kept a secret.
Nevertheless, it is known that sev
eral thousand repeating rifles with am
munition and other stores are on board.
These facts, with the apparent effort
to keep the plans a secret, tend to the
theories of conauest.
It is not known whether the yacht
will proceed further south to select an
other Atlantic port as a basis of com
munication. It may proceed to England
and be back at Tangier by the end of
November, when the expedition will
start inland.
Baron de Forest recently has been in
frequent communication with a famous
French Africanist. His idea is that the
execution of his project will be of
political advantage to the British gov
ernment. He will endeavor to estab
lish and maintain British preponder
ance.
Baron Arnold de Forest, who was di
vorced by his wife in 1903, is a natural
son of the late Baron Hirsch, who, af
ter the death of the famous Jewish
philanthropist, was adopted by his wid
ow who bequeathed to him and to his
younger brother the greater part of
ner vast fortune. Shortly before the
demise of the Baroness Hirsch, the em-
oundlessAustria,
eror of in recognition of her
charity, conferred the rank
of baron upon Arnold de Forest and his
younger brother. Raymond.
The elder of the two De Forests, who
have both been treated with exceptional
kindness by King Edward, married the
widow of Albert Menier. She is de
voted to racing, and has one of the best
racing stables in France, whereas young
De Forest, now her ex-husband, is
equally devoted $o yachting, spending
most of his existence on board his
yacht. It is probably this diversity
of tastes and the refusal of husband
and wife to defer to each other, that
has led to the dissolution of their matri
monial bonds.
RAILROAD SUES MAN
AS CAUSE OF WRECK
2fow York Sun Special Service.
Austin, Texas, Sept. 22.The rail
road damage suit industry in Texas has
taken a new turn. The roads are tired
of being made to pay-out millions of
dollars to employees on claims many of
which are believed to be fictitious and
they have adopted the policy of suing
their employees when accidents occur
thru negligence of duty. The Interna
tional & Great Northern Railroad com
pany, a Gould property, yesterday filed
suit in the district court of San Antonio
against Frank Brice, formerly one of
its locomotive engineers, for $40,000
damages. The petition charges that
Brice was responsible for the wreck
which occurred at Kyle. Texas, last
March, in which much railroad property
was wrecked and several passengers in
jured. Brice-sue the railroad company
for injuries alleged to have been sus
tained in the same wreck and received
judgment in the sum of $15,000.
?f PANAMA WANTS SPANIARDS.
Panama, Sept 22.It Is reported that
President Amador and the canal com
mission are endeavoring to attract Span
ish Immigrants from the famine-stricken
districts of Galicia. They are considered
to be the best workmen for Panama. "The
Bussian colonists at Chlrlqui are making
ltfood progress. _f!_^
COURT SUSTAINS
FRANCHISE TAX
Western l)nion Must Pay on Mil
lion-Dollar Valuation Fixed
^by State.
DECISION WILL HAVE
it:
if
FAR-REACHING EFFECT
Establishes State's Bight to Tax
Intangible Property of Non-.
Resident Corporations.
The state wins in the long-contested
Western Union tax case.
The supreme court filed its decision
today, reversing Judge Bunn of fiam
sey county, and upholding the action^
or the state board of equalization in*"
1899, when it raised the valuation of
the Western Union Telegraph company,
from $865,500 to $1,000,000.
The effect of the decision will berj
far-reaching. It determines the right
of the state to assess the franchises of ^J
telegraph companies and similar corpo-71
rations, on the basis of their earning""
power and not on the basis of their
tangible property alone. The immedi
ate effect of the decision will be to put
the sum of $53,191.33 the state
treasury, but if followed up by the
taxing authorities it will add greatly^
to the future revenues of the state.
The contest has been in issue since
the fall of 1899, when the state board
of equalization, prompted by Governor
John Lind, fixed the Western Union's
valuation at $1,000,000. The company
only admitted a value of $600,000,
which covered its tangible personal
property in the state. The suit was
brought, and while it was pending the
company was allowed by stipulation to
pay taxes on the basis of $600,000. IV
has paid on that basis, while each year\\
the state board has fixed the $1,000,000
assessment. The company will now
have to pay taxes on the full amount
for every year since 1899. It is un
derstood that an attempt will be made
at the present session ^of the state
board to raise the assessment for 1905
considerably above the $1,000,000 fig
ure. The decision filed today was writ
ten by Justice Jaggard, and the syl
labus is as follows:
Synopsis of Decision.
State of Minnesota, appellant, vs. Western
Union Telegraph company, respondent.
The prima fade validity of an assessment of
personal property for general taxation is not
overcome by a well-grounded claim of over
valuation. Courts do not interfere except when
tax officials have acted fraudulently or mali
ciously to the substantial prejudice of the tax
payer, or'liave made a mistake so gross as to
be inconsistent with fair and honest Judgment
or when they bave proceeded on an erroneous
rule of law and then only upon sufficient proof
addressed to proper legal standard of valuation.
The cost price of the tangible property of a
telegraph company, together with reasonable de^
duction for natural deterioration, is not a
proper basis for valuation of such property for
taxation on general lists.
The language of a law providing for a consti
tutional method of taxation is to be construed
fairly and reasonably so as to effectuate legls-t
lsttye intention and to compel property protect-
ed.'by the -state to contribute Its ratable share
of public revenue and "to avoid discrimination
In taxation between property-owners.
Laws 1891, chapter 8, amended by chapter SO,
laws of 1901, provides for the taxation of the
tangible and Intangible property of telegraph
companies situated within this state as a sys
tem and not merely for the taxation of items of
tangible property only, and is constitutional.
Adams Express company vs. Ohio, 165 U. B.
194, followed.
Judgment reversed. Jaggard, J.
Lind Feels Indorsed.
The decision was good news to For
mer Governor John Lind, who led the
movement in 1899 for the increased
assessment. He said today:
"This decision confirms my views of
the law and the rights of the state
fully. There is absolutely no excuse
for the legislative and administrative
branches of the government not en
forcing our taxing laws against non
resident corporations. When governor,
I urged the legislature to provide for
taxation* of the sugar trust, the steel
trust, and other great monopolies do
ing business in the state, on a franchise
basis. There was absolutely no ques
tion as to the state's right to do so, or
of the justice ofjiuch taxation', and the
state might as well have secured $500,-
000 additional revenue each year from
such taxation. A deaf ear was turned
to my recommendation, however.''
Principle Is Fixed.
C. W. Somerby vas employed by for
mer Attorney General W. J. Dona
hower to try the case in the lower
court, where the state lost. Attorney
General Young continued Mr. Somerby
in charge of the litigation, and he per
fected and argued the appeal to the
supreme oourt.
Mr. Somerby, when asked today by
The Journal as to the effect of the
decision, said that he_had not seen the
text of the opinion, but judging from
the syllabus, it will simplify future
questions of franchise taxation in Min
nesota, a thing which will be welcomed
by the taxing officers and by the state
lawyers. "Our main contention has
been sustained,'' he said, "i that the
item value of corporation property can
not be used as a basis for taxation.'
Organized or unity value is the test."
30 MILLIONAIRES ARE
CALLED AS TAXDODGERS
New York Sua Speolal Service.
St. Louis, Sept. 22.Thirty million*
aires of St. Louis have been subpenaed
to appear before the grand jury today
and tomorrow to explain why their re
turns on taxable property are so small.
According to tax assessments there is
only $25,000 in cash owned in St. Louis,
whereas the bank deposits aggregate
$200,000,000.
The combined wealth of the mea
summoned is estimated at $50,000,000.
The list includes one of the biggest re
publican leaders in Missouri and a
brewer of much political influence. The
names have been carefully guarded in
order that the deputy sheriffs would not
be thwarted in serving the papers.
3
A
AMERIGAN HARVESTERS"
HAY BUILD IN SWEDEN
Stockholm, Sweden, Sept. 22.Repre-
sentatives of the International Har
vester company, which has its head
quarters in Chicago, have dtecured op
tions on sites in southern Sweden with
a view to building factories from which
the trade of northern Europe can be
supplied. Besides saving freight
charges, the harvester company wishes
to fortify itself against anti-American
tariffs, which will shortly come into
force in Germany, AustrO-Hungary and.
I
i
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