Daily Bee.
ESTABLISHED JUNE 1&, . 187L
OMAHA, WEDNESDAY MOUSING, DECEMBEIi 23, 1903 TWELVE PAQES.
SINGLE COrY TIIKEE CENTS.
Fhe
JAPAN IS CAUTIOUS
It LiT6i Bo Opportunity of Being Aocuwd
'of Eatpo-.iibllty fot Wai '
REPIY REJECTS FUNDAMENTAL PC .
Ba!d Mikado Fot Gwrantao Borer- I
t'gntT of Chin of Oom.
SITUATION GRAYER THA" EVER BEFORE
Ctill Cmioajtibla of Pao fio Eolation if But
" lift AoV Qolcklj.
aaMM
S
JAPANESE PRESS NOW 'JRGES ACTION
newspapers Aak Thnt Limit Be Set tn
- the Raaslnn: Tactics ef Agir
elaa i laae-lent "eg.
TOKIO, Dc. H. -l: If asserted In official
circles her thit ths Japan reply to
Russia rejects ti-.i furdarncntol points at
Issue, which are understood to Include mu
tual guaranties for the preservation of
Chines and Corean sovereignty while a
curing their 1n1t-ttiil Internet a.
The situation l graver than a? nee the
commencement of the negotiations, but Is
tlil susceptible to a marine solution if
-Hub! wl'.l quickly reconsider U reply.
r The fact that Minister Komui-a called on
Baron da Rosen, the Rues:an minister, yes- I
leruay. inaieao. 01 warun "' I
oa Komnra. Is explained by tna tact tnat I
the baron Is suffering from an ear affec-
tlon. But the explanation has an obvious I
Oiplomatio significance ana ia inierpreiea i
that Japan la determined not to allow Kua-
sla possible ground for claiming Japanese
Impetuosity as an excuse. The visit Is not
Tnllered to b necessarily tantamount to an
ultimatum as rumored. War preparations
continue apace. The .transports and tha
warships ran sail ajt five minutes' notice.
Ths Japanese government proposes Imme
diately to undertake the completion of th
Scoul-Fusan railroad under the direct su
pervlalon of Japanese. The press Is eagerly
urging the government to set a limit to the
"Ruaetan tactics of aggression and insolent
negligence."
Kspeets Deetelon la Twa Weeks.
NEW YORK, Dec. 22. A report is cur-
rent hers, says a Times dispatch from I
Peking that Japan's request for the recon
alderation by Russia of Its reply to th I
Japanese demands was accompanied by tn I
specification of a time limit. It Is th ex- I
pectatlou In St- Petersburg, the Times adds,
that th question of war, will b decided
In fourteen days.
Fraae aadKala4 far Pear.
PARIS, Dec. Q. Confirmation was oh-1
tnJnetl from official aourcea today of the I
reports that Foreign Secretary Lan.do wn I
and Foreign Minister Delcass hars within
th laat few days tnada strong represents- I
Uona at Toklo, with a view to averting a I
crisis between Bussla and Japan.
. . TbT-s Is reaaon to believe that these rep- j
resentatlons. coming at the critical mo-1
ment when Japan a reply was being handd
to tho Russisn minister, Baron do Rosea. I senators who have particularly Interested
exercised a powerful fsstralnlng Influenca. I themaslves In the pending Wood nomlna
This Is aspeclaUy true of Lord Lansdowna I tlon. with an y especially to tha protao-
awlng to Great Britain being the aity of
Japan.' , . '
Th terms of tha Japanese answer are
not yet known her, but owing to th ae-
ts on tttken by Great Britain and Franc I
the official here are confident that th
answer permits of a continuance of ths
diplomatic negotiations toward securing
common grounds for an agreement.
Press dispatches front Toklo affirm that
the Japanese ministers abroad have been might appoint Major Oenerul Leonard Wood
instructed to deny tha sensational reports to be lieutenant general. Involving "Jump
regarding th relation between Japan axd Ing" of a number of distinguished general
Russia and to say that while Japan re
plied to Russia yesterday; Its response waa
not In th nature of an ultimatum, that it
demands simply changes In some of tb
determined points, and, finally, that Russia
is ready to continue (he exchange of dlplo-
matlo views.' It is added that ths Japanese
now give every evtSenc of a pertflo tend-
ency. This Information accords with the
views prevailing in diplomatic circles here,
Th Temps today published the following
.,..V. .. 'Th fra f HiiuM.jAn.
...... , .ij, . !
about to be reached on th. main point, at
, ,, . . ,,..,i .
j ,1' ,hloh i. ,.,T.i.
more eorrcUy, of pride, which Is causing
" , r...
to. v-""
aired and bopei that a oompromlse
ttaf an.
tory to both parties will be arranged
Tha official of the Japanese legation In
alst that they da not believe there Is any
Immediate danger of war between Russia
and Japan and expreaa tha opinion that
tb dispute will be settled amicably. . They
dd, however, that Japan will not abandon
any of Its rights la Manchuria and say that
If a conflict occurs tttsy beliav the Jsp-
anes will obtain thn first victory en th
aea.
LOKDOJf , Dee, K- Ths Japanese consul
Press: "I shars the view of Baron Havaihl
' (the Japanese minister to Great Britain)
that war will not break out. In view of
the secrecy with which- th negotiations
have been conducted t - Toklo and St.
Petersburg, It seems to me that many of
the reports reaching this country concern
ing what has ban Suing on are based oa
niUlnforraatlou.'
An offiulal of th Toaoiiaui Specls bank
said: Thar Is nothing In our advices to
lead to th belief that there will be wsr.
Busine telegraas wr received today.
the nature of which would not be likely if
war Waa regarded aa Imminent."'
Other leading Japanese business tnea ex
pressed similar views. t
WIU KM MaaekerU ef PMSite.
BT. PETERSBURG, Dec H. Of the Rua
laa warships recently at Chemulpo, Cores,
ln connection with th disturbance there.
only the cruiser Boyarla remains at that
place. AU the ether vtasels have returned
to Port Arthur.
Vice Admiral Stark, commanding the
Russlas Paclfls squadron, whila the war
ships Wvr at Chemulpo, had aa audience
with tha emperor of Cora.
Aceordlr.y to Port Arthur paper, soma
of th Chines militia fought la the
rank of th Cnlnese robber bands ln th
recent encounter wltn Russians. Th paper
contsndsdkat Russia Is compelled to taks
acUvs' steps to rid Manchuria ef th
1 b&aus. becauss L't.lna has not ruiniloa
I aA Its treaty engagomeata,
Seoat Stery of m Utrtk.
ST. PETERSBURG. Dec XL There la ae
truth la the report published by a new
agency la ths United States that th
ws.rlua recently gav birth to a 6s4 sen.
f j-rhM story Is pronounced absurd. It la
i.Jnl out that sKa Uvi ,i Almniutlv
pubUo li-'s and that aay concealment rf
such aa event as Ut eoe referred to would
to iu.v.wi.Lia,
MORE ON THE PAPAL MILLIONS
Latest Story U that a HnilfMt
laatktlf Bronght n ItalMr
EIm WIi Had th Mtirr-
ROME, Deo. a According to the lles-
Tgero tne story that Cardinal OottI, prf
of th propaganda, recently handid to
. po nj.uoo.ouo said to Have been con-
--Jnated In the fact that the finan-
V 'nation following Pope Leo's
den ; v; -it of over J100.000 u found.
Aftei ff . search and although no
j.
know whev. ney had cone u a cer
tain monslg. .iving in the Vatican, lie
at flrat asserted that ha knew nothing of
the matter, but being: more clearly ques
tioned and the evidence against him gather
ing he one day aald to the pope: "Be pa
tient. Ood will provide for the needs of the
I Holy See.
Boon afterwards the man signer appeared
with a friend and said that Pope Leo bad
eonOded the money to him. requesting him
to return It to hia successor four months
after hie death.
SCANDINAVIANS ARE AT HOME
Mare Arrive at rni(ta Taaa .
Any Prevloa Tear end Htur
COPENHAGEN. Dec 2J.-Th Scandlna-
Ytan-Arnerican. line steamer United States,
from New Tcxk December , arrived, her
today with 860 Scandinavians from the
I'nlted States on board. They are to spend
Chrtatmaa with relative. The steamer was
d(.,,yt, by , fot , tn Nonh
The. Influx of Christmas excursionists
fro ,h, unit-d Btatoa U unnrecedfuued
Much ot th, money tntiy ,.vei ln America
wUl distributed In Christmas presents to
rcatives and friends.
DUTCH VOTE TO BUY GUNS
They Are far stoeklna; with gams
, of Kraaa's Jastly Celebrated
Paelaeatars.
THE HAGUE, Dec. a The 'recond
chamber of the Dutch Parltraent- voted
tl.760.0n0 to purchase new Krupp quick-
firing guna. The meaeure was only carried
by to to 81 votes, and after a heated debate,
th socialists and progressists contesting
th necessity for a large army expenditure.
especially In view of ths outlay required
in connection wltn new social legislation
Bryaa Has Tsar's Fkatoa-raah-
BT. PETERSBURQ. Dec tlr The czar
nas eenf his photograph, with his auto
graph affixed, to William J. Bryan
Ambassador UcCormlck gave luncheon
today to Mr. Bryan, Prince Khlkoff, the
minister of publlo works, and other high
offictala.
AJ TO "TREATMENT OF WOOD
tut Tkat Prealdeat Will draat Ka
Fmnr, kat leaatsr Ieals
Story,
WA8HINOTON. Dee, ai-To
of tha
tlon of aoms of the veteran officers or th
army, th president has expressed nlmaelf
very plainly to th effect that these officers
have nothing to fear In tha immadiat fa
tura.
As it waa pointed out to him that there
considerabls apprehension among ths
friends of these army officers lest, upon
the retirement of Genera Chaffee with the
rank of lieutenant general, the president
officers who never would have a chance to
attain the highest rank by reaaon of Gen'
era! Wood's Incumbency for fifteen years,
the president has I specifically sxpreased
himself as having n such Intention. Incl
dentally his remarks Involved an- under
taking on his part to promote some of tiles
gnrJ omcera reierrea 10 axier n
Chaffee's retirement. But h did not state
that when he made uch promo! t on , as hs
saw fit be would cot close the 41st by ap-
I hmm"S T "
reached, with tb committee is expected to
",ilm.p?rtnt '"""'"w m'"
1 that will be had pon the Wood nomination.
-Senator Warren's attention was called to
I , ... . . , , . .
I a purported Interview with bim in which he
,K., ,v, nr..M.,
I ' "
had given assurances that General Wood
would not b promoted to th position of
lieutenant general during his (the presi
dent's) term of office, if re-elected. Senator
Warren said of ths m&ttsr: . '
"President Roosevelt has not to my
knowledge announced what be would do It
re-elected In General Wood's promotion or
what he would do about any matter which
might arise tn th future, and,-of course, I
bav not attempted and would not attempt
to speak for him.
MINNESOTA FILES ITS BRIEF
Attoraey Geaeral Seta Forth Reaseas
for Salt Acalaat Nprtkersi So-,
rarities Cesapaay.
WASHINGTON Dec 12. The brief of
the state of Minnesota la th suit of that
stats against the Northern Securities com
pany was filed hi th supreme court of the
United States today by Attorney General
Douglass and Messrs. M. D. Munn, and
Goorgs B. Wilson. Ths brief is a document
of 178 pages and Its authors contend that
th merger of th Northern Paclft and
Great Northern railroad companle tn th
Northern Securities company was for th
purpose of stiffing competition.
After stating that the action was brought
to enjoin the consolidation of the two rail
road companies because they are parallel
and oompetlting lines within th state of
Mlnneaoia and that . tb. circuit court of
the United Slates for the Eighth district
decldod the case contrary to the eonten
tloa of the state, th attorney present
their assignment of errors on th part of
th circuit court- Tb-u are twenty-nine
of tbes assignments, but ths principal
ones are that th decree la erroneous ln
holding that ths Northern Securities com
pany waa cot organised for the purpose
of consolidating the two appellee railway
companies; holding that the ownership of
the stock of th two companies by th
Northern Securities company does not
amount to a consolidation within the mean
Ing of the acts set forth tn th appellant1
bill: In holding that the Northern Becuritic
company dues cot. in fact, control tha tw
railway wimpanfai by virtu ef Its ownsr-
stUp of the stock of such railwsy com
penloa and In not holding that taa Northern
I Becuritlo company was by Its locorpor
I store Intended ta be and Is a devise for
I evaCxug th Us ef t& slat,
ADMIRAL WALKER RETURNS
United S:atot Canal Gomsusiioser Has In-
apooted Boat of Propotsd Waterway,
EVERYONE IS PLEASED ON THE ISTHMUS
America O facer Eismit Opialoa
That Paaasaa Caald Cars far It
self Aaalaat rare leat ky
Calasakla.
i
I
NEW
Walksr,
TORK, Dec ZL Rear Admiral
United Btates representative on
the Isthmian Canal commission arrived
her today from Colon on the steamer
8egurance. Admiral Walker would make
no statement, but Inquired for th latest
developments In the Panama question, par
ticularly desiring information as te the
opposition In this country to the treaty.
In an interview later in the day Admiral
Walker said: 1
"I arrived In Panama on November 15
and have been kept pretty busy. I went
over the canal route and Inspected the
properties of the company and found them
In good condition. As to conditions in Pan
ama I was very much pleased v;lth what I
saw. Everything Is quiet there now and
the poop's are very happy. Business Is go
ing on ln confidence and the conditions in
the commercial world down there are ex-cellent-1
The people are united aad of only
on vole."
Regarding the landing of Colombian
troops on the Island of Pines he said:
"It la miles from the island to the main
land and I de not think they will land ln
Panama. I doj not look for any trouble.
The marines will be able to deal with any
situation which may arise,"
"In ywir opinion," the admiral waa asked,
"would Panama be able to take Ms own
part If the United State were to with
draw its helpr
"Tea, I think It would be ebl to take
care of itself.- I am satisfied, without th
help of the United States. However, as I
have said. I don't think Colombia wilt do
anything." '
Admiral Walker made a tour of the canal
with a party of engineers. He said that th
engineers had remained behind. Th ad'
mlral left at once for Washington.
Don Luis Vi Core a, minister from Nica
ragua, was also a passenger on the Segur
anca. He would not discuss the feeling of
the Central ' American republics toward
Panama. '
Coft-hlaa Weeds More Coal.
WASHINGTON, Dec 3. Rear Admiral
Coghlan has cabled the Navy department
requesting that an additional collier be as
signed to his squadron. His request will
be granted, but a vessel has not yet been
elected. t
Ships for Westerm Ceast.
SAN FRANCISCO, Dec 23. Ths United
states cruiser New York arrived here today
from Bremerton, Wash, it la understood
that it will at once proceed- to. Panama.
The commandant of the Mare Island navy
yard has been ordered to draft 260 men
from the receiving ship Independence and
sent them here to Join the New- Tork to
morrow. Supplies for the cruiser will a loo
be In - readiness. The torpedo boat de
stroyer Preble and Paul Jones have . re
ceived 'supplies of ammunition, at ' Mars
Inland and ore expected her tomorrow. In
readlnen to steam south with the New
Tork. - Th torped boat destroyer Perry
baa been, placed ln commission, but Its
crew has been transferred to tha Preble.
Captain Fenton, who has been In command
of - the torpedo fleet on this coast for two
years, will leave on the New Tork and
another officer will command the Paul
Jones. On their way to the Isthmus, the
torpedo boat destroyers will coal at San
Diego, Prehillnque bay and Acapulco.
Should their supply become short during
the remaining run of 1.280 miles to Panama
they will depend" on 'the New Tork for
fueL
Minister Baekaaaa at Celsa.
COLON, Dec 22. William L Buchanan,
the United States minister to th Republic
or Panama, arrived her today on tha
Panama railroad company's steamer Yu
catan and immediately took a train for
Panama in company with United States
Consul Gudger. who cam to Colon to re
ceive th minister. -
Dial Coaxes for Marl aea.
PHILADELPHIA, Dec 22. The United
States cruiser Dixls which ia to take the
new Caribbean Sea battalion of marines to
Colon, passed In the Delaware breakwater
1st tonight Th Dixie will arriv at tb
League Island aavy yard tomorrow where
th new battalion Is assembled under Brig'
adler General Elliott, commandant of the
marine corps. It la expected that tha
cruiser will sail for Colon before the first
of the new year, the exact time being de
pendent on the repairs the Dixie may need.
SCAPEGOATS CUT CF REACH
Alleged That M Wke Brlke Csaa
cllmen Have Left Stat at
Kaasas.
KANSAS CITT, Dec 22. Iu an endeavor
to learn more of ths Inside workings of
the alleged paving combine, the grand Jury
at Kansas City, Kan., today called several
contractor who were examined last week.
In 1902. it has been developed, the brick
agents, contractor and promoters had full
swing and brick paving and sewer contracts
were passed by th wholesale, notwtth
standing the city had to pay P a thousand
more ior bricks ln that year than la any
other before that time. In explaining this
the coalractora shifted the burden on th
agents for the brick companies and those
agents are now out of the Jurisdiction of
the court and refuse te testify voluntarily,
W. W. Atkln. of the contracting firm of
W. W. Atkln Co, toM th Jury today
that hs had heard many rumors of boodle
In th awarding of contracts by th city
council, but h knew of no money being
used to his personal knowledge. He had
always been liberal, he admitted, ln hi
contribution to municipal and county cam
paign funds.
GROWTH OF THE RAILROADS
According; Railway Age S.TS3 Mllee
Have keen Balls This
Tear.
CHICAOO. Dec 22. According to th
Railway Ags ths total railway mllsag of
th United State on Jaauary t 1X4, will
be toa.ttil nvlea. th present year having
added 1,73 mile. This mileage Ues into
account all of th new track laid up te
the last day of the year. j
Compared with IMC, the present year
Is about oa a parity la matters of rallwa
oonatruotion. The construction reported
wa done on SH line aad thirty-ulna atates
and terrltortea, including Alaska. Early
m th year It waa shown that there were
1,600 sulies of railroad under construction,
but labor troubles and financial difficulties
caused aoms of tao work to be b&4oaea.
JAILED FOR MAKIMG A MASH
tailed State Coaaaalsslmer Salesaea
ad Friend Ckarfced with Oolaar
Se la laaat hertsed Place.
CHICAGO, Dec. 22.-Chargod with operat
ing In th center of the fashionable shop
ping district of Chicago a distillery,
contrary to government regulations, five
officers and Instructors of the Columbus
laboratories were today arrewted by United
States deputy marshals. One of the five
prisoners waa United State Commissioner
Salomon.
Th laboratories are located In a sky
scraper office building In State street, at
the corner of Wsphlngton. The arrests
were made on complaint of United States
Revenue Agent Levi O. Nutt, the technical
charge being displaying the sign of a
distiller snd making a mash fit for
distillation ln a place, other than a duly
authorised distillery.
These arrested were: Charles Norton,
practical distiller and rectifier: J. A.
Weaener, Ph. C M. D., chemist;
A. Gehrmsnn, M. D- bncteriologlst; W. A.
Evans, M. S.. M. D., and A. D. Salomon,
nlted States commissioner, northern
district, lecturer in the laboratories.
Today's arrests are dmibtleis the out
growth of a bill for Injunction filed recently
In the United States dlntrlct court against
Dr. Evans, Dr. Gerhmann, former city
chemist. United Stutes Commissioner Salo
mon and others, charging them with con
ducting a school wherein pupils were taught
to manufacture Imitations of various
liquors and cordials. A suit for JW.000 dam
ages. It was said, would follow th injunc
tion proceedings. In th annual catalogue
of the laboratories it la stated that pupils
are taught bow to manufacture gins, rums,
brandies, bitters, cordials and specials In
fact, every kind of liquor there is in the
market: how to make the essence and all
the ingredients used In th m&nufecture ef
the same; how to Initiate Imported liquors
and straight whiskies, how to give new
whiskies artificial age and how to give low
proof goods strength.
Charles Norton, who la at the hesd of th
academy, and one of those arrested, said
Our processes are perfectly legitimate. . I
don't think wo have violated the distilling
laws. We aim ln our academy to teach the
compounding, rectifying ' and distilling of
all liquors and spirits. By this we mean
all specific brands."
Commissioner Salomon Is named in the
catslogue of the school ss Instructor In
government laws and regulations, pure food
laws and the keeping of government books.
United States Commissioner Foots gave
an Immediate hearing to the Ave persona
arrested today. At the request of the de
fendants he. continued the hearing until
December (0. All the defendants war re
leased on bond.
Later Prof. Norton said:
Today' developments were no surprise to
us. We bad contemplated that sum action
would be taken and ware perfectly willing.
As s matter of fJiet. we have technically
violated a Ixw. We de make mash ln our
academy. ' That Is againHt the law. But
we were told by the aumonues in warn
ington that we might make mash under
the circumstance but Dot use lu W do
not us th mash.
If th revenue agent Were- to nappen to
rirrm in almost anv oolleae or even at tha
city laboratory they would find the same
kind ot a violation or uie tnasn aw as iney
did here. Our deslrs Is that a ruling be
given ia the matter, and In the meantime
we will .take the itvv. ' ils to secure
legislation allowing an -academy of thla
kind to make mash. When the law re
garding mash was enacted there-wer no
such Institutions us ours, and consequently
there was no prevunon msde for sucn work.
ROCKEFELLER GIVES MONEY
Iveralty f Chicago Receive Mil
Ilea anal a Half fsesa Head t .
' Standard Oil Company. r.
CHICAGO, Dec 22. It was announced
today at the Forty-ninth convocation of
tha University of Chicago that donations
amounting to $1,850,000 had been received
from John D. Rockefeller, founder of the
university. Of this amount SM00.000 in real
estate, improved and unimproved tn ths ltn
mediate vicinity of the university, waa
formally transferred by Mr. Rockefeller.
For current expenses of th university dur
ing the year beginning July 1st, 1904, rt5.OO0
was givn; l&5,0uv was donated for th com
pletion of ths power plant and Improve
ment of the grounds and $50,000 Is given by
Mr. Rockefeller for tha work of excava
tion and exploration m Oriental lands.
Hon. George W. Ross, premier of On
tario, delivered an address at the university
today on "The Politlool Cleavage of North
America." Tha speaker discussed at length
the causes which led to the division Of the
North American continent between the two
nations by which it la now had.
Speaking of the movement recently in
augurated by Joseph Chamberlain to feder
ate the English colonies on the basis of
imperial protection against the world.
Premier Roes said:
It requires no argument to show thai
the establishment of commercial relations
within tne empire on the basis of rjrefer.
ential tariff would greatly strengthen the
ties which bind all the colonies. Including
Canada, to the empire, and remove still
further tn th background whatever In
ducements remain for closer commercial
reunions wiiu I lie uiiiuki Btates.
Premier Ross said that he did not desire
to leave th impression that the Canadians
looked with aversion upon the American
form of government and the activity which
this nation baa exhibited ln every depart
ment of human enterprise but cited many
Instances ln which Canada bad followed
the lead of the United States, greatly to its
own advantage
MISSISSIPPI SUES PACKERS
Stat Revenne Agent Aak Tax
3 19,000.000 fresa Many Ca.
JACKSON, Miss.. Dec E.-Th state rev
snu sgent has entered suits against
large number of packing and brewing com
panies which do business In this state, for
back taxes on their refrigerator cars
Among those sued are the 6c h lit a Brewing
company, Anheuser-Busch Brewing com
pany. Standard Oil company, American Cot
ton Oil company. Armour Packing com
pany, Cudahy Packing company. Swift and
Company and a score of other concern.
The sgent asks that these concerns be mads
to pay th taxea on their cars used in this
state for the last ten years. Ths total
amount of the assessments Is tlt.uuO.Ouu,
FATAL TO THIRTEENTH GUEST
Twelve Betel Inmate Ksean Fir In
tnjnred, knt Tnlneky Iiak-r
Destroy the Seat.
MENOMINEE. Mich., Dec 2.Iir
day caused twelve person to Jump from
th second-story windows of th Travelers
Home, a small rotel ber. The tnirteent
guest, Jsmes Beatty, waa found drad ln
the ruins. Joseph Vorarhek was fatally
burned and Wilfred Barney and Joe-ph
Vorachek seriously. Fn d Jeneki wss badly
Injured In Jumping. Tha botel waa Jtrac-
iM-ail' drtrod
SCflWAB FILES 11 IS ANSWER
Daniel Bains a Promoter of tb United
State Shipln Id ng Oompanj.
KNEW NOTHING OF VALUE OF PROPERTY
Says He Did Ket Act la Celtaslea with
tke ReorgaatsatloB. Syndicate la
Aay Attempt te Wreck
Ceataaay.
NEW TORK, Dee. 22. Charles M. Schwab
today filed his answer to the croa b II ot
th United State Shipbuilding company
nd James Smith Jr., Its receiver, ln th
nlted States circuit court for the southern
district ot New Tork. Th case Is that ot
he company and Its receiver against th
New York Swurlty snd Trust company
nd Mr. Schwab.- After admitting certain
of th fundamental facts which hav here
tofore been estsblished. Mr. Schwab takes
up the various allegations and charge of
th cross bill. H says;
I deny that I ever was or became one
or tne promoters of the ship building com
pany, or that 1 snd a number of pernors
assncisted with aie scqiilred the capital
lock of the Bethlehem Steel company, as
sverred In said cross bill.
I admit that the nronertv of aald Reth-
lehem Steel com pan v was on the 12th dav
oi August. .encumbered by a first
mortgage executed by the' Bethlehem Iron
company, the predecessor In title of rsld
steel company, to secure bonds aggregating
Jl.Jil.OVi. bearing Interval at the rale of e
per cent per annum and a purchsse-money
mortgage executed- by said eteel company
o secure ine payment or iJ.wiu.mw, Bearing
Interest at the rate of per cent per
annum.
Denies Sale at ExcVeelve Rate.
Emphatic denial is msde that he ever
conceived any scheme of transferring to
tha shipbuilding company the stock ot
th above company at an excessive rate
or upon conditions permitting blm or his
associates to control the ship building com
pany or to absorb for his benefit "all of Its
property and assets, to the injury of Its
creditors and of Its bona fide bondholders
and stockholders or otherwise.''
Continuing, Mr. Schwab said: ,
I deny that with anv nurnose of ift-nm-
pnsmng sucn intent and purpose or other-
wis L or any associate of mine, repre
sented to the ahlDbulldinc enmnanv that
the said shares of stock were worth the
sum or gJU.gcn.WK); that the ssld steel com
pany had during the fiscal year ending July
Zl. 1H02. made a net Droll t In Ita noeratlona
amounting to the sum cf tl.441.20H: that ita
aaia surplus a wools on July 31. 18U2.
Mr. Schwab denies making false rep re
scjitation regarding the Bethlehem Steel
company, ana repudiates connection with
John W. Young. He says:
I admit that I sm the owner snd hoMer
of upwards of S9.0UO.OU0 of thn tin ooooin rJ
bonds, and upwards of t9.WX).0OO of the tlO.-
OOO.OOO of the preferred stock, and of JS.OOO.-
of the $10.0i,000 of the common stock of
he shipbuilding enmoanv ixaued for the
Slock of the steel company, but I deny that
any associate of mine are the owners of
ths remainder of the preferred stock snd
common stock Issued for the stock of th
Bethlehem Steel company, except that
old and transferred some of said bonds
and stocks to third parties.
Tlld Hot Withheld Dividends.
H says thst If tha first mortgage bond
be declared null and void the assets of the
company will greatly exceed Ita debts; that
th shU?bullV" company, is not anilUed tq
enforce any alleged' Indebtedness sgaluet
him ; that neither he nor Ms associates In
fluenced 'he "dummy" directors. He says
that be had nothing to do with withholding
dividend payment by the Bethtehem com
pany on stock held by th - shipbuilding
company.
After specifically denying any snd every
charge of fraud, unlawful combination, con.
sptrscy or wrongful set in his connection
with the affairs of th Bethlehem Steel and
United Ststes Shipbuilding companies, Mr,
Schwab details the history ot his relations
with the two concerns, practically
brought out ln the hearings ln the suit ln
New York, saying that he knew nothing
of the value of the constituent plants of ths
shipbuilding company He then says:
As to the charges ln the cross bill ths
I acted ln collusion with the reorganisation
syndicate in an attempt to force the In
anluanitv t awalsl Mnmnariv an1 a ni I n Is i r
I aver that uch charges are false and
malicious. I aver t lat James Smith. 1r.
receiver ot the siiipDuiidlng company, know
thru such charges are untrue.
1 sm inrormea and beiie-e tnat upon sucn
n examination and appralaal It will ap
pear that the new working capital of the
(even constituent conpunies, excluding the
tiethienem. does not exceed tne sum ol
ll.6on.mJ: that a great part. If not th
sreater nart thereof, mav be wasted and
lost by the contlnutince of the receivership
snd that such shipbuilding plants cannot
be operated and keut working as coins
concerns witnnut tne aatmion or very largi
sum ot money, aa necesssry working capi
tal. -
Mr. Schwab closed bis defense by deny'
ing every charge of fraud, misdoing, un
lawful combination and confederacy and
"humbly pray to b hence dismissed with
his reasonable coat and charges In this
behalf most wrongfully sjustained,"
SAYS HE CONFESSED CRIME
Evidence e( Witness Against Allege.
Montana Dynamiter. Correber
tcel ky Wife.
BT. PAUL. Dec 2k. A special to the Dis
patch from Helena, Mont., says that Myron
Shanks, continuing his testimony In th
trial of Isaaa Oravell for alleged dynamit
ing of the Northern Pacific railway, said
that Gravelle had told him about dynamit
Ing a street car track In Butt. The wlt
ness also stated that Gravelle had asked
him If be would take 23,000 or (30,000 east
after the railroad had paid it and get it
changed into other bill. Shanks said that
Gravelle admitted robbing a powder ho us
near Boxeman and this city and that he
had hidden the dynamit ln a haystack in
Broadwater county.
Another Important witness for ths stat
was Frank Terriault, at whose home on
Dearborn creek Gravell stopped for two
nights and where he got some not paper
similar to that on which aom threatening
letters were written. Mrs. Myron Shanks
also testified corroborating her husband
testimony.
SOUTH 'WANTS PANAMA CANA
Governor of Geerglav Say tkat Actio
ef President la
Rlgkt.
ATLANTA, Ga.. Dm. 2 At a dinner
given by the business men to Brigadier
General Barry, in command of the Depart'
ment of the Gulf, Governor Terrell of
Georgia, in response to the toast, "Tha
Stats," ee hi among other things:
With many things that President Roose
velt has Ooiie, Inured, with perhaps moei
of the acts of bis admtnlirsikn 1 diner,
but there are two thinss which I mt
hesrtily endorse, f endorse the etabilb
ruent of the Department of the Gulf arui I
mt heartily endorse th recognition of th
tnd pendent of Panama, nhicb aueana tne
conatruction cf an Isthmian cttrial, a thing
which we southerner sre moat deeply anil
most vitally Interested ln. It la not ana can
not be mad a party matter. W want the
r&n&l, and we are In a fair way to eel
It. ai.d If we do tot gvt It now It will b
. , it,ia.
NEBRASKA WEATHER FORECAST
'A If TrVwfw1 jJP ASS Tta Vriwlw JTs
a. an Ik
a. m . . , . SO
1 n. as 0
S . an S
r a. aa
H a. as S3
9 a. sa...... a
S . n 4
4 n. sa 48
R bb 44
IA a. aa
n. an 41
t a. sa...... V
T n. as 4
IS as SS
n n. na 1
. a sa
FIX SHORT LINE MILEAGE
Passenger Rat Agents Arrange Mat
ter and Leeal Bwrean Oat re
Will Be CI seed. -
Th Transmlstouri Passenger association.
bureau, which has been maintained In tb
Pacific Express building for soma time,
will be closed and tnov to Chloag about
February L It hss not been decided
whether W. K. .Cundlff. who baa had charge
of the bureau, will go to th Chicago offlco I
or remain her. I
The cause of the closing ot tn omroi
was th adoption of the new 2.000 mile In
terchangeable coupon ticket by th eaaoeia
Uon at th meeting held in Kansas City a
short tire since. This ticket displace th
script ticket which hss been in use In the
transmlssourt territory, snd which has been
sold throt-gh th. local buresu. As th.
. , . . . . , . k.k
transmlssourt bureau Is only a branch of
the Western Psssenger association, and
the tew ticket almost a duplicate ot th
regular 2,000-mile ticket sold by the asso-
ciatMn, it Is believed it csn b band'.ed to
better advantage ond with leas expense
through th headquarter of th association
In Chicago,
A meeting of the passenger rat clerks
of the transmlssourt lines was held yester
day at the offices of th bureau- Th meet
ing was called for the purpose of figuring
short line mileage to be used In connection
with the new ticket. Th short lln mile
age will apply on the Atchison, Topeka
Santa Fe. Colorado ft Southern. Missouri
Pacific, Union Pacific, Burlington and Oil
cago & Northwestern. v
COLBY 'AND LOWE GIVE BOND
Pnt fn Secnrlty for Tkctr Appearance
on Indictments Before Fed
eral Cenrt.
General L. W. Colby and Elliott Lowe, I
Indicted by the federal grand Jury, filed I
their bonds with the United States district I
clerk yesterday for their appearance
before th court early In January. The
dates for their respective trials hav not
yet been set.
A number of prisoner confined in the
Douglas county Jail and under indictment
for miscellaneous offenses were brought
before Judge Munger Tuesday and the
Cates of their trials fixed. They were:
Jiine Davis, charged with robbing ' th
postoffic at Edholra. Neb., - trial set tor I
January (. Frank Baumer, Standford An-
derton. Silos Bli lead. Charles Ewlng,
Goorg Frereri Frits Grombeck and Joseph
Oliver, selling liquor to, Indians; maia ei
for from January to . All of the to-1
etised were assigned counsel by the ocurt.
W. H. L. Henderson. Indicted for selling
liquor to Indians In November, pleaded
guilty. Hi claimed that h wa a com-
peratfro stranger . -the: reservation; gad
simply- took -another maa'a place at a
tors 'and saloon and did not hnow that
he waa- doing anything wrong ln selling
liquor to Indians. Judg Munger fined
hlm 2C00 and cost and gav hint sixty days
!n th Douglas county JaiL
UNCLE BILL WILL . RECEIVE
Pioneer of Omaha Holds Reception tm
Friends . at Cenrt Konae
Christmas Eve.'
preparations are being made at th
county Judge's office of tb annual recep
tion which to given by Uncle "Bill" Snow
den. who will keep "open house" Thurs
day afternoon from 2 to 4 o'clock.
T-ni Ttl'l elalma ta tha tbe flrat whit
settler ln these parts.
t ia also claimed
that hia wife is ths first white woman
to arrive In what Is known aa Omaha, and
that their marriage was ths first marriage.
Unci Bill 1 nearly 80 year of age and la
better known, perhaps, than any cltlsen cf
Omaha. Hs wss formerly city marshal and
held th office of constable for a term
of years, being regularly nominated on all
th different tickets. Hs has a fund of
anecdotes and bits of history relatlv to
tb early history of Omaha.
For a number of years he has held
undisputed sway at tb court house and
nothing escaped his observation, and noth
ing could be done without hi assistance.
Over a year ago he was injured In a fell.
He was thus Incapacitated for an active
life, and although he was again elected
constable, he resigned and now spends his
time at his horn, at Twenty-fourth ' and
Jones street.
H will be taken to the county Judge's
offic in a carriage Thursday afternoon
and will receive his friends from 2 to a
Unci Bill claim that Harry Morrill Is I
th only person who has sver been able
to excel blm ln telling stories which did
not strictly adhere to th truth. H claim
ther I a nam for thl kind of stories.
but that hs has forgotten exactly what
they are called.
COULD NOT NAME THE PARTY
Prisoner wttk Brnlaed Optics I'nahl
Tell Who Beat
Him In.
- Charles Off was oa a big spree Monday
night and th remnants were produced in
police court.
""What's the matter." -asked th Judge,
noticing Off dilapidated condition.
"Jest a little celebration, your honor.
"Seems to me It waa a big one." replied
th Judge, "where did you get those
goggles," referring to Off eyes both of
which wer draped In deep black.
"That' a mystery" growled Off, can't
remember who gave me the black spots;
but did I know, I'd Bisks It hot for him.
and he shook a burly fist close to th
Judges nose.
Twenty-flv day," remarked th Judg
and called for th next victim.
RCBBERS RUN FROM THE MONEY
Have to Decamp Jaat aa Tea Thousand
- Dollar Ar Sighted la II1L
els Bank,
BLOOMINOTON. III., Dec 22. Th gang
cf zai blowers that ha been robbing cen
tral Illinois banks exploded dynamite and
wrecked the bank at Anchor last night.
Just as SlO.OhO waa exposed the telephone
hells ln th office commenced to ring and
frightened awey the men after tb-y had
secured but iitiie plunuef.
It developed that the robbers previously
cut all th tti hons wires leading out of
Anchor to prevent vomuJuaicetlwn te out-
slu ciliea.
PLAN OF PROMOTERS
lew Tork Kawtpaptr Pabiinkw Diipatouet
ln Deal of Shipbuilding Company.
TELl TALE OF THREATS AND CAJOLERY
Marges. Compan Required to Fnt Stamp of
Approval on Frojaat
ammmmmmn .'
MEMBER OF . FIRM .TALKED '.TOO MUCH
Touigar E&rjsa Compelled to leoint Op'r-
lon of MariU of Plan. ."
WORK OF ATTORNEY AMONG PARISIANS
Attorney for United States Shlghelld
rnmnanv Writes fresa Franco
.
J, ny g fn, Bg BTB mi w ma B iW ar nn
Underwriter and Otkr.
NEW YORK, Dec . The hearing in the
--4 8hlpbulld.n irtlW
"'"V f't"A tod? un,,l
row because of th Illness of Counsel Lntrf.
myer of the suing bondholders.
Letters and cablegrams which ar al'eged
to hav passed between New York end
Paris In connection with the United States
Shipbuilding underwriting placed in th
French capital ar published todsy by th
World. Reference to these communications
waa made rvcently In the shipbuilding hear
ing before Special United Btatea Examiner
Ollphant, while Cbariea B. Alexander of the
firm of Alexander aV Green, attorney, was
undergoing examination.
Letter kept secret by agreement of eoun
el were said to show what methods had
been pursued in order to compel the French-
investors to meet ' the calls for money on
their underwriting after they had been
given to understand through a cablegram
sent by the Trust Company ot th Republlo
by Its agent. John W, Young, that Its un
derwriting was a "success." This dispatch
gavs them the Idea that they' only need
stand ready to receive their profit as mem
bers of th underwriting syndicate. '
Tw Sonare It.
.Charles B. Alexander happened to b In
Parts at h Mm and to Mm fell the duty
ef removing th tals Impression and hold-
Ing th signers of th subscription list to
their agreement. 'His firm Is. counsel for
th. trust company here which had charge
of th underwriting and th oommunica-
ttons, which fill seven columns of th
World, are alleged to hav passed between
Mr. Alexander and his firm In this city. '
The alleged correapondenc was about July.
1902, and In the early stsges re voire largely
around tha Investigation a to tte Dnanclal
responsibility of ' those whose signature
I had been secured In Parts to th under
I writing agreement, which was thsn In tb
I car of the Bank d Roma.
Baron caivet itogniat ana m. senreyer, a
banker, wer th heaviest subscriber.
I While both wer much disappointed over
I the misunderstanding aa to the success of
I the underwriting here, they were stated to.
stand ready to pay . their hare. Finally
tha situation apparently had been explained
to the saUefactlon. ot veryen and prep-
aration wer made for the first call upon
th underwriters July ZS for 6 per eer.t of
the subscription, to be followed by te sec-
I ond. payable August. V for th
amount.
When It Grew Interesting.
Then . came th exciting portion of tn
correspondence. Th banrlng house cf
Morgan, Harje St Co. had been selected to
receive payments to be cabled at one to
th Mercantile Trust company of Naw.
York; but tha subscribers hsd not corns
forward on July 25, to which day tha pay
ments had been postponed, and on July 21
a letter stated that Mr. Alexander had
changed his tone with regard to th situa
tion. Th writer la quoted: - ,
While it may be true thst the under-
I writer were not treated properly by louns
I ,n leaving mem uuuar m lmumrron ior
so long a time tnat all ths bonus had been
sold, yet that naa peen wen nonto tor ny
the DaMenoe and care with which w. have
in the last week riven explanation after
explanation to all parties. They ar now
all in default from th ih and I hav told
Oppenhelro to notify each one that their'
Individual nubility, in ea .that rnonsy ia
not In New York In time to max ta pay
ment, will not ne timiteo to tn amount ot
their securities, but thst ther will b
conxequentlal damap- to ovary party con
nected with tne anair. ,
The letter criticised severely In a Vt-
Fcrlpt tha Impression said to hav been
thrown out by th youtgr Harjea, who
was reported to be very much prejudiced
gainst the whole affair, and that it wa
said by th cashier tts.t - there was no
market in New York for the bond.
Bringing Harfe) Areand.
The writer adds that ho saw Karjes at
onoe and threatened . to turn th aocoubt
over to the Credit Lyonalaa, and thereupon
j Harje agreed to tell evtrythtng good he
could about th personnel of th company
and the affair. Efforts through other
sources also were mad, according to let
ter and "cablegrams quoted, to counteract
th effect of various report circulated ag
to th impending oollap of th under
writing scheme la New York. .
In on of the - letter from Pari Ad
dressed to Alexander V Green, Mr. Ale ft
ander is quoted ss follow:
I constantly aay to ail r sullen that noth
ing can be don In tb way ot asalatuig lit
underwriter here to dlspoee Of their bonla
unless they frankly come forward when
notified, acknowledge their liability aal
make their first payment, whan all hari
will unit la endeavoring to soil acy bonds
they may wlah to dispose of. The Vi
rwmtesse Dandlgnea sat by m at dinner
laat night. brie had soms ot th oott
Iron work Mock and had Just t-
frraphed. rofus'ng to sell It except for k
ilgher price. I think I pVrsuaded ber that
It would be good Judgment not to let It
stsnd, but I suggested to her that perhaps
Scott would make bar an offer In tr.s
securities of the new com pany. which will
be good enough to tie attractive, as ons ot
her difficulties Is the trouble Ot Investing
the money she may receive .
Mention tk Fen.
' In another letter dated July It.
1 1901, signed by Mr.
Alexander, th state-
ment 1 mad that ta Investigating the
Bank Romano, the writer learned that the
pope had M.OOO.Wu In that bank; . that he
had a similar aura wrn tb itothacliiias
and about th aam amount ln England.
According to the World. til word
"Dreads" was used in the correspondent
to represent Morgan. Harje aV Cc. and la
on of the letter credited to Mr. Alex
ander, ther appear th following: "I got
a pledge from th Dreads that everything
good abouid b said of th nterprute.
On of th French underwriters Waa
I named Bchreyer. and the following reftr-
rnce was made to him ln one of the letters:
"I hear hs has a millions dolVr he.wt-gin
to one old woman to lav,, ,U few .Vr
tlon." . ' ! '
In thl same letter bC.i I also til
statement; "I have ort,M it to be aV.wri
that a leading .gh.S tivr.ker ha- icld.
cis that I would get a ruliloa 6-ht In
twenty-four hours which' Ih ' r . (
course,"
Another passage In thl letter Hjimt "i
