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MEET THE HIGH « W/patHER
COST OF LIVING j FORECAST One way to meet the high cost ot 'Xsr Sj S tu »' 9 living is to spend more time studying IB^y ^^y ^Ljl lly ■ a j - the advertisements in your morning J^T Washington. .Tar.. ^.-Forecast for newspaper. In that way you will learn / Arkansas: Hair Tuesday, wanner where to spend your money and get W(,st portion- Wednesday partly the best possible value. THE ONLY NEWSPAPER IN HOT SPRINGS THAT RECEIVES THE FULL ASSOCIATED PRESS REPORT OVER LEASED WIRES. .clou.dy, warmer’east portion. VOLUME XXXII.__HOT SPRINGS, ARKANSAS, TUESDAY MORNING, JANUARY 6, 1914. NUMBER 88. IRANSFER _ ENGLISH AMBASSADOR TO MEX ICO IS GRATIFYING TO PRES IDENT WILSON. TO BE SENT TO BRAZIL England Has Clearly Demonstrated That the United Kingdom Is in Ac. cord with Wilson's Policy for Set tling Mexican Trouble. * Pa-* Christian, Miss., Jan. 5.— President Wilson tonight read wlith interest prewu dispatches announcing that Sir Monel Carden, the Bri'L.i minister to Mexico, would he trans ferred to Brazil. The president had no comment to make. I' is known, however tiiat lie had no advance in 'ormation concerning the transfer. Newspapers in this vicinity con tinue their speculation con mining tile visit of John Lind to the presi dent. One publication today pinion ed to give Gen. Villa's activities in northern Mexico as the chief topic dismissed. Another gave prominence to the story that Charge O’.-viaugs lie.-sy and Mr. Lind were not working in harmony. President Wilson is the only man in 'the United States who knows what took plate it these ron f rences. With the exception of the hroaif general statement which the I resident made Saturday, nothing ins been given out about them. The president played golf as usual this morning, but spent the afternoon indoors, dictating letters and scan ning official paper®. Carden Not Notified. Mexico City, Jan. 5.—Sir Lionel Carden had not lx-en advised of his intended transfer to Brazil when the news was convoyed to him today by the Associated Press. He express ed doubt as to the authenticity of the announcement, intimating that the appointment of a new minister to Mexico would constitute a reaffirms tion or the recognition of President Huerta by Great Britain, which he appeared to regard as a course it was doubtful his government would pursue. The minister said lte had been ot tered the choice of Mexico and Bra .zil .and chows the latter, but was per snarled to come to Mexico temporarily bt-cause o! his knowledge of the Coun try and people. He thought, it possible that his 'transfer, if that were to take place, might I ms intended as a stop calcu lated to conciliate W ushington. It is no secret that Sir Lionel Car ih n's ideas since lie <aine here six months ago have been at variance with President Wilson's po!ic> of non recognition of ^iexho. He did not hesitate openly to express ills opposition. Sir Lionel regards as far from hopeless the ultimate domination of the situation by Gen. Huerta. It was ridiculous to suppose, be said, that a country as ricli as Mexico was now reduced to financial straits. The ox peuse of Carrying on the war appeal’ ed to him only nominal as compared to the country's resources. He believed that when Hie Mexi ran administration was convinced ot the impossibility of obtaining loans for carrying on the war it would find little difficulty in financing it at home. May Transfer Carden. Washington, .Ian. ■>.—Announce ment that Great Britain is about tc transfer Sir I.toned Carden, Its min later at Idle City of Mexico, was re garded by official Washington as a substantial manifestation of the pur pose of the British government to re move every obstruction to the execu tion of President Wilson's plans fot dealing with the Mexican situation At the State Department is was denied that the limited State* hat made any protest to the British for ei-'ii office against any acta or utter ancea ascribed to Minister Carden From other sources, though, it was learned that Ambassador Page die seek information at the British for eign office some time ago regardin tlie attitude of its representative h Mexico. About the same time thii occurred a semloilii ial statenien was issued in 1-ondon repudiating s statement attributed to Sir Hone that President Wilson's policy to wards Mexico would not have beet adopted had he not been in ignoranc of the facts. Officials Imre believe the transfe of i lie British minister will ini pres Hie Huerta government with the fax that there is to be no division among the ilowers from which .it might ex pert to jirofit. A cablegram from Rear Admiral Fletcher today, dated Saturday, said it was feared another attack was to be made upon Tampico. London Silent on Transfer. London, Jan. 5.—0>ffl< ial.s of the foreign office tonight would not dis cuss the transfer of Sir Lionel Car din. British minister to Mexico to a like jx>st in Brazil, and were consid erably surprised to discover that tlie intentions of the government had leaked out. It generally is under stood the government takes much the same view as the public, that the minister has not been entirely dis creet in handling the situation in Mexico, althoiiL'.h the government does not believe lie had done any thing to justify severe criticism. Nothing has become public here as to any differences between the Amer ican navel authorities in Mexican wa ters and Sir Christopher (Yadock, ad miral in (command of British warships there. When it was suggested tonight to tlie American ambassador, Walter 11. Page, that the ambassador might have had something to do with Sir Lionel Carden's transfer he declined to admit tlie responsibility, lint sug gested that Sir Lionel himself may have been the agency. That tlie transfer was not a sur prise to the amlwssador was indicat I ed by the fact that ho volunteered the name of the minister's successor, saying that he understood Charles Murray Martlng was to take tlie post. Mr. Pago denied that lie had visited the British foreign office in connec tion witli rumors regarding Sir Chris topher Cradok. Oil. STFAB SINKS FORTY MFN PFRI5R VESSEL BROKE IN TWO SHORTLY AFTER LEAVING PORT AND SANK IMMEDIATELY. Believed Only Eight Members of tbe Crew Were Saved by a Parsing Ocean Liner. New York, .Jan. o. The oil lank steamer Oklahoma broke in two amidships without warming at 7:30 o’clock. Sunday morning south of Sandy Hook and a large number of her crew of some forty men perish ed. The stern section, in which was situated all heavy machinery of the vessel, and on which there were thir ty-two members of the crew, sank im mediately. Bight members of the crew were rescued Ivy the Hamburg American line steamer Bavaria, whose captain also says lie say an open boat of it he Oklahoma put away from the wreck with eight or ten men in it. The Information was Icontained in a wireless <1 i spat eh received tonight by the Hamburg-American line here i from Oa-pt. Oraalfs of the steamer Bavaria, which is proceeding to Bos ton with eight survivors of the 'tank er on 'board. The message which came by way of Slasoonset. said: “On .January 5 at 6 a. m.. we sight ed gitynala of distress of a vessel. The s-'ns were high ami rough. At dawn we saw the fore paft of a steamer floating on the water. It was the tank steamer Oklahoma from New York. “At 8 a. m. vve were close to the wrde.k and lowered a boat with six men, who seized a rope thrown :o them from the Oklahoma. I lie men of the Oklahoma lowered themselves into the boat exhausted by their ex perience of the last twenty-four hours. “('apt. Giwithor plated that iaM Sunday at. 7:30 a. in., during heavy weather and without any previous warning, the ship suddenly broke in two behind the bridges. in about twenty-two minutes the aft* r part of the ship, with a crew of thirty it wo men, sank. The fore part was kept afloat by the bulkhead. Lifeboats either went down with the ship or were smashed Immedaitely after the catastrophe. “On the evening of January 4. a Spanish steamer (probably the Man uel Oalvo). had appeared in 'the vi cinity of the Oklahoma, but was un able, owing to die had weather, to accomplish anything - Immediately after the Bavaria reached the scene this morning the United Fruit steam er Tenadores arrived at the scene <>l the disaster, but there was nothing i to be done, tbe Bavaria having taken I ofT the men." Another message from (’apt 1 Graalfs said: 1 “According to statements made by some of the men saved, a boat froir r the stern part of the Oklahoma will ■* from eight to den men In it- was ee-n 1 Its whereabout* is not known.' SHIPPING GREAT GUNS FOR THE PANAMA CANAL The steamship C'ristobal has been loaded at New York with the big guns designed for the defense of the Panama canal. One of the monsters is here seen being put aboard the vessel. The average weight of the cannon shipped is sixteen tons. HOW TO PAY INCOME TAX TREASURY DEPARTMENT SENDS OUT INSTRUCTIONS TO ALL TH.OSE WHO ARE ELIGIBLE. HEAVY PENALTY ATTACHES — For Failure to Make Returns and a Heavier C for Falsification of Facts Concerning Your Yearly In come. Washington, Jan. (I.—The form to lie used and regulations to lie follow ed by individuals In making returns^ ol income subject to the new federal j income tax were sent out today uvj • i the Treasury Department. Every < it - Dev,, whether residing at home or almond, every person residing in the l nited States and every resident j alien who has an income from the i United Stales upon investments of J.Pooo or more must make return. For the past year, 1913, specific ex emptions will be $2,500 or $3,333.Tl in the case of a married person, and in future years $l!.lKM) and $4,0)0 i Where tlie tax has been wiltaneld on J part of the income at the source, or where rart of the income comes as a dividend upon stock of a corpora tion, taxable under the corporation ta v section of tile law, the rygula-' j tions. set forth that such income snail lie deducted from the individual’s to • tal n.t income when computing the ' amount on which he is taxable The law imposes a tax of i per cent, and provides that individuals who have an income between $20,000 and $50,000 shall pay an additional tax of 1 per cent on such amounts; on al! between $50,000 and $75,000 2 per cent; $73,000 to $t00.000, 3 per cent; $100,000 to $250,000, i per cent; $250,000 to $500,000 . 5 per cent, and all over $500,(00, 0 per cent. R< - turns must be made in the hands of the collector of internal revenue ’.n the district where tiie payee lives or where he has the principal place of business, not later than March 3, failure to observe this limit to be punished with fines ranging from $20 to $1,000. Refusal or neglect to file returns, except in case of sickness or absen c, will result in an addition of 50 per cent to the tax assessed. In oaso of false or fraudulent return, 100 per cent will be added to the tax assess ed, and any person required to make, render, sign or verify such return who makes a false or fraudulent statement with inti at to evade tlie tax will be guilty of a misdemeanor ami subject, to a fine of not more than $2,000, or imprisonment for one year, or both. An extension of thirty days from March ) in (use of sickness or ab sence may be allowed by the collec tor, provided an application is made by the individual concerned. He turns must he accompanied hy oath or affirmation. Expenses for medical attendance, store accounts, family supplies, wages for domestic servants, cost of board, room or house rent, shall not he deducted from gross income and individuals who own their own resi dences cannot deduct the estimated value of the rent. The farmer is required to include in his net income all money from pro duce and animals sold, for wool and ! hides of slaughtered animals, provid ed they are sold. He may deduct the sums actually paid for the animals sold or slaughtered during the year, ; nit the value of animals raised shall j not he deducted as exiveexea or loss. The farmer may also deduct money ! paid as expenses for producing farm products, livestock, etc., and for re pairs for the current year. The cost ! of totals or machinery is deductible, i Persons receiving fees or emoluments tor professional or other services must include all actual receipts for j services during the year, together with all unpaid accounts, charges‘for j >ervive or contingent income for the j year, "if good and collectible.” Lebts contracted within a current year may be deducted from gross in come when found worthless, hut not: before legal proceedings have proved unavailing. Debts contracted in pi e-j vious yean* which eventually prove | worthless may be deducted subse-1 uuontly under the head of “losses,” i when they are charged off. Amounts due or accrued to indi virtual members of 11 partnership troin i net earnings shall lie included In the return of the individual, whether dis tributed or not, and United States pensions may Ire included as income. Costs of suits and other legal pro ceedings arising out of ordinary busi ness may be treated as expense and deducted from the gross income of a business. in computing net income compensa tion of all officers and employes of a state or any political subdivision thereof shall lie excluded, but not where paid by the United States. — SUPREME JUDGE DEAD. Associate Justice of Porto Rican Court Passes Away. Washington, Jan. 5. James li. Mr l.eary, associate justice of the su preme court of Porto UUo, died here today after an illness of several months. He came to Washington la-d fall to visit his son, Lieut. Samuel H. >U Leary, lb S V. and was pre pared to return to Porto Rico when taken ill. Justice McHenry was a native ; f Tennessee, but when a young man went to Texas, where he practiced law, was elected to the state legisla ture and later became attorney gen eral of the stale. The funeral will take place Wed nesday. The body will lie buried at Arlington National cemetery. AMERICAN ART EXHIBIT. Washington, Jan. 5.—Paintings from the 1 rushes of the best known American landscape artists, repre senting .the scenic wonders of the Weaken states, attracted unusual at tention today in Washington art and society circles. The exhibition, un der the auspices of the “Society of Men Who Paint the Far West," open ed today at the Corcoran Art Gallery and will continue until January 2K. WILL RESIGN AUAiN RUMOR IS PERSISTENT THAT HE WILL TAKE FIELD AGAINST REBELS. TO NAME HIS SUCCESSOR By Appointing New Secretary of For eign Affairs—Armies Resting After Six Days Battle in the North at Ojinaga. Mexico City, Jan. 5. That General Huerta intends to resign the* presi dency of Mexico in the near future— a rumor often denied by him in the most emphatic terms—again is per sistently reported in the capital, it is said ‘hat he. will take tthe field in person against the rebels after yield ing the presidential office. Enrique Gerostieta, minister of justice, will le selected as his successor, according to the understanding Senor Gerostieta is said to have been offered the portfolio of foreign affairs, succeeding Qacrid > Moheno, with ‘he understanding that he as sume the presidency. He lias consent ed Hie plan, it is said, only on con dition that the deputies imprisoned by Huerta-last October be freed. He iiad many friends among tilie deputies and never has been in sympathy with tiieir trea'ment at the bands of Huer ta. Under the alleged plan Seno'r Gerostieta will hold the presidency for a limited period. He will relin quish to General Goronimo Trevino of Monterey, who previously lias been mentioned as a possible successor to Huerta, and to whom it is urged Washington eolud have no objection. General Trevin.i was the friend ami trus‘ed officer of Porfirio Diaz. He has kept aloof from I lit? political de velopments of tilie last three years. The release of 26 deputies on New Year's day and the announcement of the early liberation of the remainder is pointed to as further evidence of the possible trn*h of the report. Persons close to Huerta are quot ed as saying that failure to obtain funds in Europe is shaking the faith of the president in his ability to cope with the situation. I‘ is said he appears less reluctant to listen to the suggestion of friends that Hie resign. Both Armies Resting. Marfa, Texas, Jan. 5.—‘Fighting be tween the northern division of ‘he Mexican federal army defending Oji naga, Mexico, opposite here, and Gen eral Ortega’s 6,000 rebels today ceas ed as suddenly as it began a week ago. Without anv federal activitiet to provoke his move. General Ortega withdrew his army seven miles to tel west along tile Wo Grande, supposed ly to await the arrival of reinforce meets from Chihuahua. Information had reached the rebeh thal a large body of federals on tin / . ' way from Jimtnez, were within four days inarch ol Ojlnaga ami were plan ning to steal on Ortega’s rear and res cue the federal garrison. Although both armies after six days of fighting had been resting since daylight, General Ortega sud denly divided his army into three formations and moved along teh bor der away from Ojinaga. Ills depart tire was regarded by the federal gar rison as indicating that both armies will delay furtlher fighting until each has been strengthened. General Francisco Castro, command er of the federal regulars, expressed confidence that if lie is joined by Go - era] Argumendo, wh > is reported by Mexico City to have been ordered north, he will he able to take the ag gressive and seriously handicap Gen eral Villa's projected campaign south-' ward. As soon as the rebel forces were out of sight the federals wandered over the battlefield to pick up the wounded. The dead were buried and after dark the glow of fires showed where losses had been the heaviest. General Cruz Rosa and two rebel captains, taken prisoners with an au tomobile load of ammunition from .Chihuahua, were executed in the plaza at noon. The federals have several hundred prisoners, captured in vari ous skirmishes. The ending of hostilities caused great relief to tflie T'nited States bor der panol under Major MrNamee and Red Cross officials, who have borne the burden of caring for sick and wounded from both armies. DEMOCRATIC RULES ARE RECEIVED HERE SECRETARY HOGABOOM RECEIV ES orders promulgated BY STATE COMMITTEE. Doubtful as to the Effect the Rules Will Have on the Party Vote and Party Organization. How much the new rules promul gated by the State Democratic Cen tral Committee will have on the vote in future primary elections in Gar land county is a matter that is given considerable attention just now in political circles. Everywhere it is conceded that many Democrats will not subject, themselves to the test, and some of the candidates in the pr1 nvary feel their interests will be prejudiced by the enforcement of the rules. Secretary Colbert Hogaiboom of the County Democratic Central Commit tee. received official copies of the rules yesterday, and filed them away with tlie records. The most serious rule encountered is that which requir es every voter in a primary, if called upon, to make affidavit that he did j "not refuse to support the Democratic I nominees within twelve months last preceding such primary ele< lion.” Of course, if a Democratic voter failed to vote he did not support the nominee, and in the last special state election for governor there was a very light vote oast in this county for the nominee. Those who failed to vote might be technically under the rule, or for that matter, might be regularly under the ban. Another rule requires that all mem bers of the County Democratic Com mittee, within twenty days after their election, must qualify by making an affidavit that they supported Aid, Democratic nominees at the last, gen eral election held in Arkansas. If any such momber elected fails to so qualify, the rules say. his place shall bo declared vacant. And this vacancy shall lie declared at the next regu lar meeting of the county committee. The county committee is frequent ly of late made uij> of many who at least "failed” .to support all the nom inees. It has been the custom recent ly here for Democrats to “fail” to vole when they did not approve the nominee, and did not want to scrat< h the ticket, it being notable that in the last ra<-e for governor there were hardly a hundtul of votes cast In this county. , Just what effect these rules will have here is to lie determined by their enforcement. in the next primary one side may challenge another on these rules, and with cross cha linag es, it will .be a dyed in the wool Dem ocrat who will he able to get by the enforcement of the rules. Of course in some counties the rules will prob ably work out well, but in Garland where the Democrats have not been so straightlaced in following the par ty, and where they have voted pretty generally for who they considered th most acceptable (candidate, whether! Democrat or Independent, the rub will disqualify a great number un i lews they an* brazen enough to try ■ to forge through its effectiveness. RESERVES TO BE SELECTED ORGANIZATION COMMITTEE OF CURRENCY SYSTEM BEGINS WORK IN NEW YORK. GOTHAM WANTS A BIG BANK Committee Evidently Does Not Pro pose to Allow New York to Domin ate the New Currency System with a Monster Institution, New York, .fan. 5.- The task of set ing tip machinery to put in motion the new banking system of the coun try was taken up here today by the federal reserve organization commit tee, consisting of Secretaries .VtcAdoo and Houston. On this committee un der the new law devolves the respon sibility or mapping out regional re servo districts and locating a hank in each. To aid it in reaching iis decision the committee today began here a series of hearings which will lie continued three days more In New York and subsequently in other finan cial centers of the country. A number of New York's leading financiers were heard today. It quickly developed that it proabbly would lie imiKiwsiible to satisfy both New York and the rest of the coun try Frank A. Vanderlip, president of the National City Bank, said he thought the committee would find it impossible to work out a plan that would fulfill all requirements. "it presents an almost insolvable problem,” said Secretary McAdoo, when Mr. Vanderlip had given his opinion as to the manner in which (the regional reserve districts should 'he drawn up. ”1 think, that is what you are fac ing,” said Mr. Vanderlip. “It is one of the most difficult problems I think that I ever faced. Oversight and con trol spell the whole story of this law. If we get the proper oversight and control, the law will work in spite of its defects. If we do not, it will not work.” The majority of the amendments favored the creation in New York of a regional bank of euch magnitude that it. would absorb 40 to 50 per Cent of the $ loti,000,000 capital available tor the entire system, of the country. Such a district would include New York, New England, New Jersey, Del aware and a part of Pennsylvania. Secretary McAdoo suggested that such a huge bank here would over shadow the other banks, of which, according to the law, mere must lie at least seven. The reply was made that, a bank of such size was needed here in order that Lt might, command the resipect of European bankers and hold its own with the great individ ual banks of New York. Mr. Vanderltp’e idea was that the importance of New -rork banks would give them such a position that it was of little moment how much outside the metropolitan district was Includ ed. Dr. H. Parker Willis of New York, who was adviser of the banking and currency committee of the House of Representative® while the currency bill was before it, was the chief op ponent of tiie plan for the creation of a huge bank here. Dr. Willis said that to allot to tiie New York district in or 50 per cent of tiie working capi tal of the system would be out of harmony with the purposes of the law. “There are no unmistakable consid erations,” he said, “which dictate that, one bank should be vastly superior in powers. The capital of these hanks is relatively a matter of minor im portance.” Secretary McAdoo asked the opin ions of witnesses as to what cities other titan New York should be chos en for regional reserve banka. Tiie common opinions was that if the New York area lie restricted to this imme diate vicinity, a bank should l>e es tablished in the East, in Boston and Philadelphia or Washington. Other •cities referred to most frequently were Chicago. St. lxtuis, San Fran cisco. Cleveland or Cincinnati, Den ver and Atlanta. PORTLAND’S UNEMPLOYED. Portland. Ore., Jan. 5.—Portlands attempt to solve the unemployed problem by providing a municipal stone pile with a flat rate of (1.5ft a day failed utterly today. Of 5U0 men given free sleeping quarters, fifty »!> plied for work, but only twelve re ported at tire stone pile. Seven of these quit within the first hour.