The Daily Alaska empire. [volume], December 08, 1926, Image 1

About The Daily Alaska empire. [volume] (Juneau, Alaska) 1926-1964

Image provided by: Alaska State Library Historical Collections

                
THE DAILY ALASKA EMPIRE
“ALL THE NEWS ALL THE TIME
VOL. XXIX., NO. 4346. JUNEAU, ALASKA, WEDNESDAY, DECEMBER 8, 1926. MEMBER OF ASSOCIATED PRESS PRICE TEN CENTS
PRESIDENT ASKS FOR FOUR BILLIONS
_1;_
General Improvement Noted
in Alaska in Parks* Report
Governor George A. Parks, in his
second annual report to the Sec
retary of the Interior just made
public, says reports received from
nearly all sections of the Territory
indicate an improvement in all con
ditions that affected the welfare of
Alaska during the fiscal year end
ing June 30, 192(5. There were no
serious epidemics, and health con
ditions generally throughout the
Territory are better than they were
last year. He was pleased to note
that commerce, both domestic and
foreign had increased about 2,3 per
cent over 1925 and that the exports
increased in greater proportion, than
the imports. The year closed with
a balance of trade in favor of the
Territory amounting to $29,
024,221.
The Governor said that while
making official visits to Southeast
ern Alaska, the districts adjoining
the Alaska Railroad and Richard
son Highway, the Yukon River Val
ley below Tatiana and the Seward
Peninsula, lie found there was un
mistakable indications of an im
provement in economic conditions
in nearly every district mentioned
with one notable exception, tile
lower Yukon River Valley. He said
■'the depression In that district and
ill a lesser degree in the lower Kus
kokwim region, may lie attributed
to the closing of the fisheries. For
many years the residents in those
districts derived a substantial reve- j
nue from the salmon fisheries and,
as In some other regions, unre
stricted fishing depleted tile supply
to the point of extinction, lienee it
was necessary to close the areas to
commercial fishing in an effort to
perpetuate the species. Tile closed
season lias been enforced for several
years, thus depriving the residents
of one of their chief sources of
revenue. The results are inevitable,
tlie population is decreasing, regu
lar steamboat transportation below
Holy Cross has been replaced by
Biuull gasoline launches operating
on a bimonthly schedule, many of
tlie traders are reducing their stocks
of goods or closing out their busi
ness, in fact the entire lower Yu
kon district is less prosperous than
it has been for years.”
King Salmon Fishing
The Governor suggested that a
possible relief for the situation
might be the opening, to a limited
extent, of the fishing for king sal
mon. He said that the fishing in
dustry continued to maintain its
place as the leading revenue pro
ducer in the Territory al'hough the
value of the products was somewhat
less than in 1925. The total in
vestment in the fisheries Is about
$4,500,000 greater than last year,
and the exceptional feature was the
iucrease In the growth of the her
ring industry in which the capital
investment and value of lho pro
ducts increased more than 50 per
cent over the previous high record
or 1924.
Fisheries Investments
The total active investment in
the fisheries of the Territory in
1925 is estimated to he $67,077,495
and of this sum about 80 per cent
is credited to the salmon fisheries.
More than 50 per tent of the total
investment or $33,695,736 is in
Southeastern Alaska, while South
western Alasku with $16,728,700
and Central Alaska with $16,653,
059 follow in the order named. The
to'al value of the fisheries products,
exclusive of aquatic furs, is esti
mated to be $40,038,745 or ap
proximately $250,000 less than in
the preceding year. There were
27,685 persons employed in the fish
eries, an increase of 2,491 over
1921. Of tluse 15,996 wore whites,
4,607 natives, 1,278 Chinese, 1,548
Japanese. 2,246 Filipinos, 1,510
Mexicans, 250 negroes. 150 Porto
Ilicans, and 95 of other races.
Fisheries Protection
The policy of continuing the pro
tection and perpetuation of the
fisheries by the Secretary of Com
merce, lias resulted in some changes
in the regulations in closing addi
tional areas, shortening the periods
of fishing in other areas, and plac
ing limitations on fishing gear. The
efforts of Federal and Territorial
officials were directed to solving the
. problems involved in the utilization
of the waRte porilucts from the sal
mon canneries and the prevention
of the extravagant consumption of
Uening In the fertilizer plants.
Seal Herd Increases
Thu census of the seal herd, taken
1. Investigation of salmon fisheries on the Yukon and
Kuskokwiin Itivers to determine whether or not commercial fish
ing may lie permitted without jeopardizing the future supply.
2. Enactment of a law authorizing the Secretary of the
Interior to lease the public domain for grazing puropose.
IS. Repeal of tax provisions of the Alaska (lame haw Insofar
as they affect the residents of the Territory.
■I. Provision should be made fur a Uovernment Hospital
for tlie Insane of Alaska.
5. Detention home for incorrigible natives in the Ter
ritory.
(!. Industrial school, hospital and isolation ward for tuber
cular natives, at Tatiana.
7. Wireless station at Kotlik for the season of navigation
and transfer of station to Cnalakleet during the winter months.
S. Repeal of law restricting the number of placer claims
that may be located by individuals.
it. Feed rul constabulary combining all law enforcement
agencies.
It). Continuation of aerial mapping until tlie forested
coastal regions of (lie Territory have been photographed.
in August 1925, places the number
of seals of all ages at 723.050, an
increase of 25.892 over 1924. It is
of interest to compare this with the
census of 1914 when it was esti
mated that here were 29 1.687 seals
on the islands. This shows that the
herd lias multiplied 2 *,« times in
10 years, excluding the seals that
have been killed for their hides,
and is conclusive evidence that the
policy adopted by the Bureau of
Fisheries is justified and the seal
herd will be a source of large reve
nue in the future. The gross value
of the skins sold during the fiscal
year was $787,384.50. This Is a
substantial gain over 1924. Alaska
should have at least 50 per cent of
the net revenue from the sale of
seal and fox skins taken from the
Pribilof Islands for the support of
common schools.
Mineral Production
The value of tue minerals pro
duced in Alaska in 1925 is esti
mated to be $18,220,692, exceed
ing that of the previous year by a
little more than three quarters of a
million dollars, and bringing the
total production of the Territory
since 1880 up to $553,304,968. The
value of the copper produced in
1925 was consideraly greater than
in 1924. There was a moderate
increase in the value of gold, silver
tin and lead and a decrease in coal
and platinum from placers.
Cold Water Thawing'
In the vicinity of Nome experi
ments in the use of cold water for
thawing frozen gravels were suc
cessful' and as a result large areas
of low grade gravels may be
dredged. Extensive mining opera
tions in the Fairbanks district have
stimulated prospecting for both lode
and placer deposits. Development
work has been undertaken on a
number of small quartz mines ad
jacent to Fairbanks and plans are
under way for the installation of
several new dredges in the Tanana
Valley region. .This development
in the Interior of Alaska Is the re
sult of the completion of the Al
aska Railroad because without ade
quate transportation at reasonable
rates it would not be possible to
mine. Most of the gold mined from
lodes in Alaska is produced in the
Southeastern part of the Territory.
The Juneau district leads, followed
by Chichagof Island and Hyder.
The total tonnage of coal mined
was considerably less than In 1924
and correspondingly the tonnage of
imported coal increased. The Al
aska coal mines are capable of pro
ducing sufficient coal for domestic
demands but the operators have not
| solved the transportation problem
and are not able to compete with
! imported coal outside of the railroad
i zone.
Petroleum Production
; Petroleum production was confln
! ed to the Katalla field as in former
|years. The exploration in the Cold
Bay district were abandoned and
the tools and machinery were re
moved. In the Yakataga field drill
ing began early in June but the
work has not proceeded far enough
to enable the operators to determine
whether or not the field contains
011 in commercial quantities.
Pulp Possibilities
For many years it has been
known that the extensive coastal
forests offer excellent opportunities
for the development of pulp and
paper industries hut until last year
the Government had not made any
serious effort to bring these re
sources to the attention of the paper
manufacturers. The forests are cap
able of supplying 1,300,00b tons of
paper pulp annually in perpetuity
and the undeveloped water power
for its manufacture is available but
the money necessary for develop
ment was not forthcoming. An in
vestigation developed two reasons
why these resources were not util
ized. In the first place the contract
offered by the Government was un
satisfactory and secondly the largo
manufacturers were not aware of
the extent of the resources. The
Secretary of Agriculture revised the
contruct so that it is acceptable and ]
the Government engineers prepared j
exhaustive reports on the lumber |
supply and water power sites, these'
were presented to the leading paper
manufacturers throughout the conn-1
try and their representatives have
been in the Territory all summer
conducting investigations. The pros
pects for early development are ex
cellent.
Ill 1926 57,500,000 rt. H. M. of
timber were cut from the National
Forests. This is less than 6 per
cent of the possible annual output.
Much of the standing timber is!
over mature and is deteriorating.
Alaska Railroad
The report of the General Man
ager of Tile Alaska Railroad shows
the results of efficient management.
The gross revenues increased ap
proximately 25 per cent over 1925
and the cost of operation of all
departments was materially reduced
'The total cost of operation of the
rail lino and river boats was 11.2
j tier cent less than it was in 1925,
jand the total deficit for all expendi
tures Including the charges to capl
j tal account was decreased 18.3 per
cent less than last year. Sixty-five
thousand, thirty-six tons of com
mercial freight were transported, an
increase of 20.8 per cent; 57,567
revenue passengers, an increase of
19.2 per cent over last year were
| carried in 1926. The increase in
jtrafTic is significant not only be
; cause It is an increase over the
j traffic of 1925, hut more partlcu
I larly because it indicates a general
I development of the territory tribu
j tary to the railroad. Train service
I was improved by adding motor cars
to the equipment and operating
them Instead of heavy trains when
the traffic is light. The boat serv
ice between Tanana and Holy Cross
was maintained on the same sched
ule as last year and the revenue
increased 14.7 per cent despite the
(get that the mail contract was re
duced 60 per cent. The cost of the
river service can be materially re
duced by the purchase of a boat
equipped with deisel engines to re
> place the antiquated river boats now
| in service. The cost for operation
jand maintenance of way on the rail
(lines cannot be reduced to the mini
mum until the railroad is completed
according (o the plans outlined some
two years ago and this cannot be
done unless the annual appropria
tions are increased.
The construction of roads and
(Continued on Pace Five.)
■-V-«'
T i
i Charges Horses
| Are Killed hy
j Sivarm of Bees
I i
| WINNIPEG. Manitoha. Dm-.
| 8. — A swarm of bees killed two
burses valued at $200. Two |
| farmers of this section make |
j tliis charge against Fred i'biv- j
ers, Winnipeg owner of bees. |
t >
m-—Sty—-■
TERRIFIC WIND
STORM SWEEPS;
WESTERN ALASKA
Personnel of Ijquaw Harbor
i Cannery Missing—Vil
lages Hit by Gale.
CORDOVA, Alaska, Dec. 8.—
A tempest has swept the Ber
ing Sea and Aleutian Islands
according to radio reports re
ceived here.
None of the personnel of the
Pacific American Fisheries can
nery at Squaw Harbor has been
seen since the storm started
yesterday.
St. Paul island reported the
wind the highest in years.
Judge Druffield has informed
the naval tadio here that the
wind wrecked the cannery and
wharf at Unga.
Spray flew over all villages
and the wind has blown direct
ly into all harbors.
The wharf of the Alaska
Commercial Company at Dutch
Harbor is flsoded.
PRINCE CAROL
NOW STARTING
THRONE APPEAL
King of Rumania Is Operated
Upon—Revolt Starts in
Case of Death.
BULLETIN — BUCHAREST,
Dec. 8. — King Ferdinand
underwent a second operation
today,
PARIS, Dec. 8. It wn? reported
here last night that King Ferdi
nand, of Rumania, was lo undergo
an intestinal operation today and
that if he should die, the follow
ers of former Crown Prince Carol
plan a move to place him on the
throne which will be followed by
the establishment of a Fascist Gov
ernment.
Another plan is to hand over the
Grown to an unnamed Uritlsh
Prince ijfter a period of Regency
rule as at present.
It is reported the Army is ready
to declare in favor of Carol.
Queen Marie, of Julo-Slavla pleads
with her mother for reconciliation
with Carol but opposed his ascend-]
ing the throne. It Is possible the
Jugo-Slavla troops will aid Marie
against Carol.
ONLY
14
More Shopping Days
Before Christmas
■---■
SEN. M'KINLEY
PASSES AWAY;
LONG ILLNESS
Senator from Illinois Dies in
Sanitarium-—20 Years
in Congress.
I
!
1 US:SENATOR VB.MjWNUeV)
MARTINSVILLE, Iud., Dec. 8.—
United States Senator William U.
McKinley, of Illinois, long ill. died
late yesterday afternoon al the Home
Lawn Sanitarium, lie was brought
here last August suffering from pros
tatic cancer. Sen. McKinley was TO
years of age.
William R. McKinley, whose span i
of more than twenty years in Con
gress. the latter portion as United
Slates Senator from Illinois, covered
the insurgency among national legis
lators. the Roosevelt bolt, of 1912.
and the primary scandal of 192(1, was!
a business man and phllantroplst. By |
his own avowal, he "blundered Into
politics" because his business was I
running so smoothly that ho had no
thing else to do.
“I really blundered Into politics,”
the Senator once said ‘‘1 was getting
unnecessary in my business. Tilings
went on without me. So when it
was suggested to me that I run for)
congress, I accepted just for some-j
tiling to do. I never regretted it.” j
McKinley’s ’’blunder" lasted from
the time tile Republicans of Cham
paign, (11., and the nineteenth dis-j
Iriet sent him to the lower house of
Congress in 1905 until he was de-j
feateil for the party nominal ion by |
Frank L. Smith, of Dwight, III., in]
the 1920 primary as McKinley was j
finishing his six year term in the
Senate.
Campaign Investigated
It was I lie huge expenditures in
Hint Iasi campaign that brought a
Senate investigating committee to|
Chicago after the Pennsylvania prim- i
ary expense scandal had aroused ;
national attention. The Chicago |
hearing developed that while Senator I
McKinley hail spent about $1150,000,!
it was virtually all his own money.
Managers of his sueenssful oppou
enl. Colonel Smith, who was chair
man of the Illinois bommeree com
mission, accounted for approximately
$300,000, much of it contributed !>y'
executives of public utilities. t»n in
dustrial field In which Senator Mc
Kinley had made a fortune and been
interested for years.
His defeat was immediately fol
lowed by Smith's decline in health
and serious illness of sciatic rheuma
tism.
Aside from his political career.
Senator McKinley was best known
for his contributions to educational
and religious institutions. His phil
anthropies, were unattended by pub
licity, but. his friends estimated In
1925 that hiH gifts to education had
passed the million dollar mark.
Cardinal Principle
Party regularity was u cardinal
| principle with McKinley. He was a
I friend and neighbor of “Uncle Joe”
'cannon, of Danville, who represented
the eighteenth congressional district,
adjoining McKinley's old district, the
nineteenth, in the days when Cannon
was known as the “czar” of the
house of representatives and insur
gency arose among legislators be
cause of party discipline.
McKinley and an uncle were in the
hanking business in Champaign and
branched into the public utilities In
dustry. acquiring traction, electric
light, gas and other interests which
eventually were known as the Mc
Kinley Syndicate. Their chief prop
erties were the Illinois Traction Sys
tem which built the McKinley bridge
(Continued on rage Twn.l
Open Auto Door;
Oust of II inti;
II oman Is DentI
TACOMA. Wash., Dec. S. Mrs.
(iahart Wolfringer, aged 12 years,
wife of an Ashford garage owner,
reached out to close I lie door of her
sedan, which the wind had swung
open. Auother gust of wind forced
the door further open and threw
her out to the pavement. She died
from her injuries.
DENBY APPEARS
AS WITNESS IN
OIL LEASE CASE
Former Secretary Testifies at
Trial—Doheny May
Also Testify.
WASHINGTON, Dec. S. Former j
Secretary of Navy Denhy was called j
today as a defense witness in the I
trial of K. I.. Doheny, oil magnate,
and former Secretary of Interior A
13. Fall.
It was also disclosed that Doheny
will probably take the stand during
the trial.
John McCormack, noted tenor, is
listed as a character witness.
Former Secretary Denhy testified
that shortly after he entered Presi
dent Harding's cabinet, he heard re-|
ports of private tat crests draining
the Navy oil lands from the wells
near the edge. He said he did not
know who gave the advice and
sought cooperation of Fall and urged
President Harding to transfer the
reserves to the Interior Department.
Denhy said Fall assisted in the or
der.
Dr. George Davidson, rector of St.
John’s Episcopal Church, of Los An
gules, testified that Doheny was a
“man tf ideals, integrity and with a!
high character.”
Former Secretary Denhy said that
Admiral Robison represented him In
all Pearl Harbor negotiations.
Under cross examination, Denhy
said, concerning tin* leasing negotia
tions: "I do not remember exactly,
lull the matter was In the hands < f i
agents whom I trusted."
Denhy explained this when pressed,
to tell, why he approved something
he did not understand.
A. W. Ambrose, formerly of the
ullreau of Mines, testified, that with
the approval of his superior, he took
a trip on Doheny’s yacht. The gov
ernment gave him a dully allowance
but lie paid no fare.
OLDTIMERS AT
GAME HEARING
NEW YORK, Dec. 8. Oldtime rs
of America’s frontier days yester
day sat in the plush chairs in the
lobby of the Hotel Pennsylvania as!
delegates to the thirteenth annual!
conference of the American (lame I
Protective Association and listened |
to experts tell how to save ducks I
Among the oldtimers were Ezra!
Meeker, survivor of the Oregon trail j
days; Sandy Smith, of Point Mar
row, Alaska, and Dr. K. W. Nelson,
of the lliologieal Survey.
Dr. Nelson said western irrlga-j
lion was drying up the lakes and'
depleting the game supply. He
declared Federal investigation of
control was imperative.
AIR MAILMAN
BEING SOUGHT
Contractor Rushing East on
New Propostion—May
Lose One He Has.
SEATTLE. Dec. 8. — Vern C.
Horst, of Portland, President of
the Pacific Air Transport Com
pany operating a mail line between
Los Angeles and Seattle, is speed
ing to Washington, D. C . to sub
mit to Hie Post Office Department
a bid for the purchase of the
New York-Chlfpgo-San Franclscto
mail lines.
Meanwhile. W. Crving (Hover,
Second Assifsant Postmaster Gen
eral. is in Seattle hunting (iorst
to Inform him the Government is
considering cancellation of his coast
contract because he opposes the
Government’s proposal to establish
a Hat rate of in cents an ounce
on long lllglit mail.
\
COOLIDGE PUTS
ANNUAL BUDGET
UP TO CONGRESS
Increase of Sixteen Million
Dollars Over Present
Year Is Wanted.
PRESIDENT TALKS ON
DEFENSE OF NATION
States Reasons for Properly
Defending Ourselves—
Many Cuts Are Made.
WASHINGTON, Dec. 8.—
President Calvin Coolidge in his
Budget address today before the
United States Congress asked
fer $4,014,571,124 in appro
priations, which is an increase
over the present fiscal year of
$16,543,728.
The largest increase is for
the Department of the Interior,
$3,275,528 for higher pension
payments, making a total of
$28,571,75!).
The largest decrease is $30,
000.000, interest on the public
debt.
The next cut is in the Navy
Department of $9,246,475. The
appropriation, however, in
cludes the five-year aviation
programs of the Army and
Navy Departments.
President Coolidge asked Con
gress to postpone construction
of the remaining three of eight
light cruisers which construc
tion was to have been started
before July as the United States
is now engaging in negotiations
“to broaden our existing trea
ties with the great Powers
which deal with the elimina
tion of competition in naval
araments.”
Speaking on the War De
partment appropriations, the
President said "this is a very
considerable amount to spend
for protection in time of peace.
Our intent and attitude is one
of peace and friendly regard
toward all nations and peoples.
This is not sufficient to war
rant neglect of defense and de
fault on necessary precautions.”
Thirtv million dollars are
provided in the Budget esti
mates for Prohibition Enforce
ment,
RUM PLOT IS
NOW EXPOSED
Special Agent U. S. Intelli
gence Bureau Asked to
Be Bootlegger.
VANCOUVER, I) C., Dec. 8.—
Michael E. Malone, special agent
of the Intelligence Bureau of the
United States Treasury, told the
Dominion Commission investigating
rum running, that he was invited
to become a partner in the purchase
of 21,000 cases of liquor on the
steamer Chris Moeller, now held at
Victoria. He swore the cargo was
to he landed at Monterey, Califor
nia, although clearance was to he
made to Mexico.
Malone testified he attended a
meeting of bootleggers In f.os An
geles and discussed disposition r.f
the cargo.
It. Swanson, Acting Manager of
the Con oiidated Exporters, told the
Commission his concern w:n en
gaged in selling liqour for consump
tion in the United States. He sa'd
his organization consisted of 19
liquor exporter houses capitallz d
at *1,200.000.
Tax Reduction Bill of
Democrats Introduced
WASHINGTON, Dec. 8. — Repre
sentative John N. Garner, of Texas,
today introduced the Democratic
tax reduction hill.
| Chairman Butler of the House
Naval Committee, at the first meet
ing of the committee, expressed ap
prehension lest the Navy is falling
to far behind other nations in the
I construction of light cruisers.
The tax reduction bill includea^^e
la reduction in corporation taxes wr
I half percent to 11 per cent.