Gilpin observer., April 01, 1920, Image 1

About Gilpin observer. (Central City, Colo.) 1897-1921

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THE GILPIN OBSERVER
THIRTY-THIRD YEAR.
PERSONAL MENTION
Ed. Burden, of Denver, has
been visiting with old-time friends
for three or four days. He served
in the army in France and this
was his first visit to Central since
the war.
Wm. Auger visited Denver yes
terday between trains on busi
ness.
Miss Lida McLeod returned
Wednesday to Greeley.
Miss Julia Brohl is home from
Greeley to spend a week with her
parents.
Mike O’Hea, who had been
away on a month’s trip thru Wyo
ming, Montana and other parts of
the north-west on mining and
other business, returned to Cen
tral last Friday. He says that
Gilpin county still looks good to
him.
Charlie Auger, who had been in
Denver several days, having some
dental work done, returned home
Wednesday.
Mrs. O. Rian and daughter, Miss
Margaret, were passengers for
Denver on today’s train.
Mrs. Jos. Anderson left Mon
day morning for Denver to visit
relatives.
Will Sibley went to Denver on
Monday afternoon’s train to spend
a few days for the benefit of his
health.
Mrs. Louis Ziege returned Sun
day evening from a visit with rel
atives in Denver.
Mrs. H. P. Lowe moved up from
Denver Sunday and will have an
office in the old Frontenac build
ing. She will look after her min
ing interests.
Louis Mack was up from Den
ver Sunday on business.
John Lemkuhl was up from
Denver Sunday to visit his wife.
Gus Kruse went to Denver Sun
day afternoon to remain a week
or two.
Miss Ann Matthews was a pas
senger to Denver Sunday after
noon.
Charles and Arthur Henderson
came up from Denver to make ar
rangements for "their sister’s fun
eral. •
Ignatz Meyer came up from
Denver the fore part of the week
to look after business interests.
He says Mrs. Meyer’s condition
shows no improvement.
Charles Sandstrom was an ar
rival from California Sunday and
has resumed his duties as con
ductor on the C. & S. railway. Mrs.
Sandstrom is still in California
and her health is very poor.
Will Ziege went to Denver Tues
day morning.
Mrs. Edith Williams and son,
Ellis went to Denver Tuesday af
ternoon to remain until Saturday.
Mrs. Walter McLeod and daugh
ter went to Denver Tuesday.
Mrs. C. T. Zumwalt and family
left Tuesday for Salida to live.
Mr. Zumwalt is teaching in the
schools there.
A. E. Henley left Tuesday af
ternoon for Denver to look for a
location.
Carl Berkstrand left Thursday
morning for Denver to enter a
hospital and undergo an opera
tion for hernia.
Benj. P. Thomas left Wednes
day for Denver to acept a position
with the Morey Merc. Co.
Sol. Bacharach was in Denver
this week on business.
Arthur Taylor, of the Homer
mine, went to Denver Saturday
morning to attend a meeting of
the mine operators to protest
against the raise in smelting
rates. They passed a resolution
which had the effect of causing
the suspension of the raise for
thirty days, until the operators
have an opportunity to take the
matter up more fully with the
smelter company.
Adapted Proverb
Referring, we suppose, to the
many recent attempts to concoct
a drink with a kick in it, a west
ern contemporary remarks that
‘‘necessity is the mother of fer
mentation."
Marguerite Clark in ‘‘Come Out
of the Kitchen” in five reels and
a Ford weekly will be the picture
program at the opera house Satur
day, April 3rd.
Everything hi groceries at the
Hawley Mdse. Co.
YOUNGSTOWN, O., PEOPLE
BUY COMSTOCK MINE
Work Being Pushed With All Pos
sible Speed—Great Producer of
Rich Gold Ore.
A company of Youngstown, 0.,
people, with Alfred Westendorf
as president and general manager,
has purchased the famous Com
stock mine near the school house
and are pushing the preliminary
work. The proposition will be
financed exclusively by Youngs
town people, and several members
of the company who have had
practical experience in mining
will give their active attention to
the operation of the property and
intend to move here in a short
time for this purpose. R. C. John
son, who knows the mine from
past operation and who has dem
onstrated his ability in managing
dividend-paying mines in the
past, will be foreman.
The Comstock is only 400 feet
deep and is a proven producer of
rich ore that paid big profits in
past years. Mill settlements now
in possession of the bank show the
purchase of $84,000.00 in retort
gold. The smelting ore, of course,
was sold out of the county, but
ran exceedingly high in gold. Last
week samples were taken from the
dump which assayed $14.60 to the
ton and two samples taken from
small bunches of waste ore in the
shaft house assayed $33.90 and
$22.90 to the ton.
Secretary Tomblin Meets
With Gilpin County Miners
Secretary Tomblin of the State
Metal Miners’ association, came
up from Denver Tuesday evening
and met with the Gilpin County
Chapter. The meeting was a very
interesting one, Mr. Tomblin
bringing up several matters af
fecting the mining industry that
invoked lengthy discussion.
Mr. Tomblin spoke of a prelim
inary meeting to be held between
representatives of the silver-lead
shippers of Gilpin, Clear Creek
and Boulder counties with officials
of the American Smelting & Re
fining company in Denver on Fri
day of this week, when the pro
posed increase in smelting rates
on silver-lead ores will be discuss
ed. The meeting is called at the
suggestion of the smelter officials
to enable both sides to the con
troversy to air their views on the
subject and be better prepared to
reach some definite understanding
before the time of the suspended
operation of the new schedule ex
pires. S. G. Hamlin and C. A.
Frost were appointed as repres
entatives from Gilpin county to
meet with the smelter people.
Replies from members of con
gress to the resolution sent them
endorsing the excise tax on gold
used in the manufactures end arts
were read and it was noted that
Senator C. S. Thomas did not have
a clear understanding of the pur
pose of the bill introduced in con
gress for the relief of the gold
producer. His impression is that
the plan is to increase the bullion
value of gold which he says would
inevitably affect the coin value.
A committee consisting of John
McNeill und Arthur Taylor was
appointed to write him as well as
the rest of the Colorado members
of congress and thoroughly ex
plain to them that under the pro
visions of the bill introduced by
Congressman Louis F. McFad
den the price of gold is not inter
ferred with either as bullion or
coin. (An explanation of this bill
by Congressman McFadden ap
pears elsewhere in this issue.)
Mr. Tomblin also brought up
another matter of grave concern
to the metal miners—unjust tax
legislation favored by some mem
bers of the State Tux Commission
and warned the mine owners to be
on their guard to prevent the ad
option by the people of any bill
of this kind that may be initiated.
He said the bill in all probability
would be submitted to the people
as the unjustness of the system
of taxation on mining property as
conceived by certain members of
the Tax Commission would be too
plnin for a measure of this kind
passing in the legislature.
A vote of thanks was tendered
the First National Bank for their
kindness in permitting the mem
bers the use of the directors’ room
for their meetings.
Friday is Good Friday.
CENTRAL CITY, GILPIN COUNTY, COLORADO, THURSDAY. APRIL Ist, 1920.
BILL INTRODUCED IN CONGRESS
FOR RELIEF OF IRE COLD MINER
CONGRESSMAN McFADDEN EXPLAINS LEGISLATION TO
PROTECT THE GOLD RESERVE OF THE UNITED STATES
FROM INDUSTRIAL DEPLETION. ..
To meet the urgent request of
the American Bankers’ associa
tion that the domestic production
of new gold be maintained in suf
ficient volume to satisfy all man
ufacturing requirements, Con
gressman Louis T. McFadden, of
Pennsylvania, chairman of the
subcommittee of the Bunking and
Currency committee of the house,
has introduced a bill. The Ameri
can Bankers association formulat
ed this request in a resolution ad
opted unanimously at the 45th an
nual convention held on October
2, 1919, since which time many
proposals have been analyzed to
accomplish the result without dis
turbing the monetary system.
The bill introduced by Con
gressman McFadden provides that
on and after May 1, 1920, an ex
cise of 50 cents a pennyweight i
($lO an ounce) be collected on the 1
sale of all articles containing gold ;
or gold used for other than mone
tary purposes, thereby creating a
fund from which the gold produc
er is to receive $lO for every new
ly-produced ounce. Since this
transaction is confined to the pro
duction and sale of gold as a com
modity only, and without refer- j
ence to its monetary use, it can- j
not in any way influence the mon- 1
etary status of the metal. By this
means, the jewelers and other con- j
sumers of gold will be able to ob
tain all of the gold that they re
quire at the usual monetary price
of $20.67 an ounce. The excise is
to be collected only upon the man
ufactured article as sold, and not
upon the bullion, which insures a
free gold market in the United
States.
Free Gold
Market Maintained.
Other proposals were consider
ed which would have prohibited
further sales of gold to manufac
turers, but it is obvious that this
would have created a premium
market for the metal and that the
hoarders and holders of old gold
would have profited by the prem
ium, in which event the premium
paid upon old gold would not in
any way have assisted in the pro
duction of new gold. By the im
position of the excise upon the
finished product, there will be no
incentive for the consumer of gold
in manufactures and the arts to
hoard the metal in advance of the
passage of the bill, because it will
make no difference whence the
gold is obtained. To shut off sales
of gold to the trades would also
encourage the excessive destruc
tion of gold coin, especially as
there is no law in the United
States to prohibit same, and the
result of which practice would be
injurious to our currency system.
Premium to Producer
Not a Subsidy.
The enactment of this law un
der present conditions, where the
gold consumed in the trades is in
excess of that produced from the
mines, will not only be without
cost to the government, but will
create a balance in favor of it.
The premium to be paid to the
gold producer is not a subsidy,
because the government has been
and is now subsidizing the con
sumers of gold in manufactures
and the arts. The wholesale in
dex price number of all commodit
ies in 1919 was 212, as compared
to 100 in 1914, which shows that
had gold increased in price in con
formance with all other commod
ities in the United States, the gold
producer would have received for
his 58.5 million dollar production
in 1919, $66,500,000 or 112 per
cent more than the monetary price
which he did receive. The excise
to be imposed upon manufacturers
of gold merely lessens the amount
of this subsidy. The $lO excise
is equivalent to an increase of 50
per cent in the price of the metal
contained in manufactured ar
ticles, while all commodity prices
have risen 112 per cent; conse
quently, the excise offsets only 45
: per cent of the subsidy now in
force and which, because of the
fact that the government sells
gold to the trades at the original
monetary price, must be and is
being met by the producer. The
bill merely creates the govern
mental machinery by which the
consumer of gold in the trades
may pay more nearly the cost of
production for his raw material.
Protects Gold Reserve
From Industrial Depletion.
The gold production of the Un
ited States declined from 101 mill
ion dollars in 1915 to 58 million
dollars in 1919, a loss of 42 per
cent in the last four years. It is
evident that no less than 42 per
cent of the capital invested in the
gold-mining industry has already
been rendered unremunerative by
the forced closing down of prop
erties. These properties suffer
great deterioration by the forced
closing down and, therefore, other
losses are necessarily sustained
and increased costs involved in
reopening them. It is evident that
the longer this condition is allow
ed to exist, the greater will be the
reduction in the gold output for
this year, which means a heavier
drain upon the monetary gold re
serve, because manufacturers are
consuming as much or even more
than they did last year. The long
er this situation is allowed to con
tinue, the more difficult and ex
pensive will it be to reclaim gold
properties and regain the normal
gold production of the United
Skates. , < ' -*
In view of the need for protect
ing the monetary gold reserve
from further excessive depletion
by consumption in manufactures
and the arts, and the present em
ergency with which the gold-min
ing industry is confronted, it Is
expected that the consideration of
this bill will be expedited.
Inter-Church Movement Or
ganized For Both Counties
At the meeting held in the
Presbyterian church last Monday,
representing all churches in both
Clear Creek and Gilpin counties,
the special work of the Inter-
Church movement was sturted.
Rev. J. Martin was elected
chairman, Rev. H. Bcavis vice
chairman, Mrs. J. R. Sutherland
secretary. The executive commit
tee consists of these three and
Mrs. Kneisel of Georgetown, H. O.
Allen of Idaho Springs, Wm. Au
ger of Central City and Mr. Bux
ton of Silver Plume.
The Inter-fhurch conference
will be held in the Methodist I
church on Tuesday, April 6. A j
large group will be here from the !
east, and great programs will be j
put on day and night. All Prot-,
estant churches in Clear Creek
and Gilpin counties will be rep
resented.—ldaho Springs Siftings.
District court convenes next
Tuesday for the April term.
Judge S. W. Johnson’s sickness ■
will prevent him from being pres
ent but nnother judge in all prob-;
ability will open court. Judge
Johnson contemplates a trip to
California to recuperate his
health.
Mrs. Henry Peeck underwent
an operation for tumor in Denver
last week, upon her return from
Fresno, Cal., where she hud been
called on account of the illness
of her daughter. The operation
was a success and Mrs. Peeck will
be able to return home shortly.
The ladies of the Altar and
Rosary society will give a ten
cent tea at the Rod Cross rooms
on election day, Tuesday, April
6th.
Mr. and Mrs. H. R. Wade have
moved into the Ross house on
First High street.
GREAT ORE STRUCK
IN THE LILLIAN
Gray Copper Variety that Went
Over $200.00 a Ton When the
Mine Was Last Worked.
R. I. Hughes, manager of the
Lillian mine in Russell Gulch, op
erated by the Hughes Consolidat
ed Mining company, was display
ing samples of gray-copper ore
taken from the 450-foot level yes
terday. The ore was struck in
drifting 150 feet west from the
shaft and is a new shoot that was
never worked to speak of above
as work in past years was con
fined to the east side of the shaft.
The new ore is similar to that
taken out near surface that ran
over S2OO a ton —8 to 10 ozs. in
gold, 11 ozs. in silver and 6 to 7
per cent copper.
The size of the shoot is not
known as the rich ore has just
been encountered, but the veins
in the Lillian are of good size and
contain pockets that make the ore
deposits extensive.
The Hughes Consolidated Min
ing company is composed of Den
ver and Wyoming people and they
have been operating the mine only
two months. They followed Man
ager Hughes’ advice in drifting
west and have struck the ore shoot
which was worked near the sur
face and which he felt confident
continued downward. The ground
above them to surface has never
been worked and there is every
reason to believe that the com
pany will have good ore from the
450 up to surface.
STOP THE WRECKAGE
A Few Observations Penned By
a Patron of the Mountains.
What is more deplorable than
the wreckage of life, opportunity
or personal property? Yet, in
your City of Central, notwith
standing its former setting in the
sun, we can see all of these de
pressing features. At every turn
is the evidence of decay and ruin.
This is the stuff that breeds pess
imism and pessimism is the moth
er of death to progress. Your
struggle for existence today is a
battle between the optimist and
the pessimist and the difference
it is droll —the optimist sees the
doughnut, the pessimist the hole.
As a community you seem to
have but one source of wealth
production—the mines. There is
not another single producer of
new wealth in your city but the
miner. There and there only is
the hope for the perpetuity of
your city life on any level, and is
certainly the only power that can
get Central her place in the sun
again. Mining is your only re
source —boost it. Merchants in
all lines —boost it. Property
owners, tradesmen, bankers,
teachers, officials, and your fam
ilies —boost it. Why? Because
it is your last and only hope, the
only real source from which you
can draw. It is the only place
where real money is produced
with which to pay the merchants'
bills and turn the wheels of your
commerce in this community. Bus
iness men in all lines should see
the absolute necessity of foster
ing the interests of mining here
in every thought, word and action
for their own personal welfare.
Meet with the mining men, lend
them your every aid. When they
are being burdened and overrid
den by “big interests” enter your
protests with theirs even to the
point of finances if necessary.
Why? Becuuse only by a united
and well directed effort can a
greater prosperity ever come to
your city.
Look unto the hills from whence
comcth your wealth. Here also
we find wreck and ruin but wealth
is buried there. A debt hangs
heavily over your city. Loans
were made to your municipality
when these many houses were oc
cupied. Now this security to the
bondholders is being ruthlessly
wrecked and carted away. What
about the bondholders? What
about your city when these build
ings are needed for housing when
Central again sits in the sun as a
mining center or summer resort?
The city fathers should have first
say on this wreckage question or
very soon the bondholders will.
Stop the wreckage. Assert your
civic pride, fix the sidewalks in
■ front of your own property at
I your own expense and see how the
BLACK HAWK NEWS
Neal Burroughs went to Den
ver last Friday afternoon to at
tend the funeral of his sister-in
law, Mrs. J. A. Richmond, which
was held Saturday, interment in
Fairmount.
Frank Channing and daughters
and sister, Mrs. Mabel Miller and
daughter, left last Friday after
noon for Denver in the Channing
car, returning Sunday evening.
Mrs. Powers left the latter part
of the week for Canton, Kans. Her
daughter, Mrs. Frank Flciss, ac
companied her as far as Denver.
Harry Blake left Saturday for
Denver on business, returning
Sunday evening.
Arthur Liss left the latter part
of the week for Denver.
M. Schwartz drove to Denver
Monday in his car to meet his wife
and two daughters upon their ar
rival from La Jarra, Cal. They all
came up Monday night and will
spend a short time before going
to their home in Omaha, Neb.
Mrs. Jake Krell left Wednesday
morning for Denver.
C. A. Selby arrived last Friday
from Denver and with his family
will occupy the Dunstonc house
on High street. He will resumo
work on the slag dump.
Married —March 17, 1920, at
4:30 p. m.. Miss Meta Ilyhrkoop
to Wm. Fick, at Spencer, la. Miss
Dyhrkopp taught at Hot Sulphur
Springs last fall. Wm. Fick is the
son of Mr. and Mrs. Milton
Fick. He is a popular young fire
man on the D. & S. L. railroad,
who was among the first to go to
war from Tabernash. He was in
France more than a year. Mr. and
Mrs. Fick are expected home this
week, and will receive the con
gratulations of their many friends.
—Middle Park Times.
Death of Miss Nellie Henderson
Miss Nellie Henderson, (known
to all her friends as Nancy) 47
years of age, died at the home of
her mother last Saturday of a
complication of ailments. She
was born and raised in Central,
being the daughter of Mr. and
Mrs. Joseph Henderson, old resi
dents from 1866. The funeral was
held Tuesday afternoon from the
residence. Besides the mother,
two brothers, Charles and Arthur,
both residents of Denver, survive.
St. Paul’s Episcopal Church
There will be a short Lay ser
vice at 7:30 on Good Friday even
ing.
The Easter Sunday service will
be at 7:00 o’clock in the evening.
Bishop Johnson will visit the
Parish on Wednesday, April 7th.
There will be a service that even
ing at 7:30 when he will confirm
a class now being prepared. Mem
bers of the confirmation class are
asked to meet with Mr. Harrison
at t!>c church Sunday evening im
mediately after service.
M. E. Church Services
Regular Easter services at the
M. E. church Sunday morning. Dr.
Kessler is expected to preach both
morning and evening. Sunday
school at the usual hour in the af
ternoon. Wednesday evening
prayer meeting at 7:30. The pub
lic most cordially invited.
Of more than passing interest
to the people of this community
is the death of Mrs. Louise E.
Richmond, wife of Dr. J. A. Rich
mond, which occurred in Denver
on Thursday of last week. Mrs.
Richmond was a resident of Gilpin
county a good many years, the
doctor being a leading practition
er, and both made and held a host
of friends.
The Observer—$2.00 a year.
leaven works.
Your beautiful little city—wat
ered with plenteous mountain dew
so pure, wrapped in the golden
wurmth of utmost universal sun
shine as it lays in the lap of these
glorious hills, cunopiod by the
bluest heavens—going to the
wreckers? Never. Better things
are in store for Central. Unite to
stop the wreckage. Do it NOW.
Who is the Moses to lead you out
of the wilderness?
NUMBER 52.