1 America Prepares Warning to The Buying Power The Omaha Daily Bee THE WEATHER Fair; Cold of the readers of The Bee u greater than that of the readers of any other Omaha newspaper. VOL. XL VI. NO. 196. OMAHA, FRIDAY MORNING, FEBRUARY 2, 1917. TEN PAGES. B fnlM. at Httlt, Mtwi StM.t. Ma.. ( SINGLE COPY TWO CENTS. NINE SHIPS SUNK AND EIGHT LIVES Ncte to Kaiser Reported Prepared or Sent; Message Called Wilson's "Last Word"; Threatens Break if Teuton Pledges Broken Germany LOST JRST DAY Lloyds Announce Number of Vessels Destroyed Opening Twenty-Tour Hoars of Sabmarine Warfare. ONE PERSON IS v INJURED Three Steamers, Tug, Two Trawlers and Three Smacks Sent to the Bottom. MINE PROBABLY GETS ONE London, Feb. 1. The sinking of nine vessels, costing the death of eight men and the injury of one, wis announced today by Lloyds. The announcement as posted cays: British steamer Trevean (3,081 tons gross) and the Belgian steamer Eu phrates (2,809 tons gross) sunk. Steamer Dundee of Hamilton, Ont. (2,278 tons gross), submarined. Oue man killed agd one injured. ' Tug Ida sunk, presumably by strik ing a mine while towing barges. Five men lost. Two trawlers and three . smacks sunk, with the loss of five men. Wew Testimony to Lengthen Hearings Held in New York New York, Feb. 1. Serious con tradictions of F. A. Connolly's testi mony in the "leak" inquiry today by Joe W. Becker, a telegraph operator m the office of E. F. Hutton & Co., caused the congressional committee to take under advisement a proposal' iu nave a ouucommuiee continue me hearing here tomorrow. Flans had been made to adjourn tonight New York, Feb. 1. On account of trie international crisis, the New York hearings in the "leak" inquiry wut close witn today:s session.' ihe investigation will be resumed in Washington tomorrow afternoon at i o clock. .. -. -' , " ff: A. fTinnnll v Wa el. n rt am ', oroker and partner of R. W. Boiling, r resident yvnsoni orotner-m-!w to- day again insisted in a searching cross examination by Representative Camp bell of Kansas that he could not re call, the name of anyone who gave him any information about the peace note. Pressed as to why he took Bolting into his firm, Connolly said he "had money" and he also "liked him." London Deeply Stirred By Germany's Policy London, Feb." 1. The German dec laration of unrestricted war at sea has created a profound sensation in Eng land, where it was unexpected. All interest centers, on the policy which neutral maritime nations will adopt The decision of the United States is awaited with the most intense in terest, as it i s recognized that it wilt nave a strong influence on other neu' trals and be the most important factor in the solution of one of the most se rious crises of the war. , Officials decline to discuss the question formally at present. It is pointed out that inasmuch as the note is addressed to nejttrals and not to the British government it is es sentially for them to deal with. House Passes Immigration Bill Over Wilson's Veto Washington, Feb. 1. The immigra' tion bill, which President Wilson ve toed on i.';;ount of its literacy test provision, was passed over the veto by the house tonight, 285 to 106. ' The Weather For Nebraska Fslr, with severe cold. Temperatures t Omaha Yesterday. Hour. Per. 5 a. m SO i a. m 21 7 a. in '. . . .21 a. m . 21 9 a. in 21 10 a. m 21 11 a. m 1 12 in. . . .T 16 1 p. ni IS 2 p. m 14 a p. m 13 4 p. 1U 12 5 p. m 13 6 p. m 14 7 p. m 16 S p. m 16 Comparative Local Reoord. 1917. 1916. 19U. 1194. Highest yeslerilay ..12 '3 27 44 Lowestu yesterday .. 21 3 19 28 Man temperature ..16 0 23 36 1'rerlpltatloQ .90 .00 ,.40 . .00 Temperature and precipitation departures from the normal: Normal temperature 21 Deficiency (or the day 27 Total excefa since March 1 203 Normal precipitation 02 Inch Deficiency for the day 03 inch Total rainfall since March 1. .. .17.30 Inches Deficiency since March 1. . . , .12.63 Inches Deficiency for cor. period, 1916.. .69 Inch Deficiency for cor. period, 1919. . 1.34 Inches Reports From Stations at 7 P. M. Station and Stat Temp. Hlrh- ' Rain. of Weather. 1p.m. est. fall. Cheyenne, clear 10 is ,00 Davenport, clear 10 .. -.09 Denver, clear 20 It ,t Des Moines, clear... 16 13 ,sa Ioda-e City, clear..., 14 S .00 Lander, clear 12 It . North Platte, oloody. . 4 .00 Omaha, clear IS 12 .00 Pueblo, clear 24 29 00 Kapld City, clear 19 11 T fait Lake, pt. clouiy. 1 22 .09 Nanta Fe, part cloudy 16 22 .09 Hheridan. cloudy..,.. 14 14 .00 Hioux City, cloudy... 20 20 ,00 Valentine, clear if is t "T" Indicate trace of precipitation. indicates below sero. L. A. WELSH, Mtteorolodst. Ground Hog Day Iff it WreR ISM ' ' Jkpr RUMORS SAY SHORT IjRAND JURY MEET ; Unless Something Unexpected Comes Up Session May ; f Be a Short One. r t CIGARETTE PROBE ON The grand jury is star chambering in well-organized fashion now, and unless something bobs up, it is said the body will wind up its meeting in a short time and give Omahans with guilty consciences a chance to breathe easier again. The body con tinued its examination of witnesses yesterday afternoon, several persons emerging from the ro,om of mystery and sighing as if they had taken a load off their minds. ' Startling developments are said to be expected to follow the grand jury's thorough probe into the sale of cigar ets to minors and students and the investigation of "dicing and petty gambling in the districts contiguous j to educational institutions. One of the witnesses subpoenaed and called before the star chamber body, the first to meet in Omaha in two years, was a Creighton univer sity student who, it is understood, testified" as to the sale of cigarets and dice-shaking. The principals of two Omaha high schools were called before the grand jury earlier in the week, and rumor said that their tes timony wis along the same line. It is practically impossible to buy the little paper smokes in Omaha now and dice boxes and their contents are also disappearing. Guard Against "Leaks." Four jther witnesses besides the Creighton students were called before the body Thursday morning to testify in other cases. Those who entered the mystarious portals on the fourth floor of the court house and remained behind the closely guarded doors for a considerable length of time were: J. C. McClure, assistant cashier of the United States National bank.' Charles L. Dundy, an Omaha attor ney. George W. Sterling, proprietor of a rooming house at Twenty-second and Webster streets. James Whelan, garbage contrac tor. . Cases involving forgery, perjury and bigamy are understood to have been investigated by tne grand jury Thursday morning. Utmost precautions nave Been taken by the body to guard against "leaks." Cupid's Caprice. The erand jury wound up its star chamber session early Wednesday. No one seemed to know why at the time, as it was rumored that the inquisi torial body had an important inves tigation on hand. The "reason why" came to light when it was ascer tained that the little mischief maker, Dan Cupid, had landed another vic tim in the person of one of the jury men. , Harry A. Cross. 4210 Harney street one of the jurors, had planned to take unto himself a bride and he couldn't see why a little thing like a berth on the grand jury, the first to meet in Omaha in two years, should interfere with the' sounding of the wedding tocsin. so the htteen men raid their re spects to their fellow juryman who was being "indicted" for life by scat tering to their respective homes and places of business shortly after noon. COLDER STILL; GET YOUR HEAVY WRAPS Thermometer Shows 21 Below . Here and Sun Does Not V-vv .:: Help Much. i OOLd'aLL OVEB-THE WEST - Last Klxhfs Colli Spots. , Omaha 29! Rapid City 19 Davenport ' n10l Nherl4an 14 Des Moines 10flioux City go North Platte 0 Valentine IS With no relief in sight from the cold wave for the next thirty-six hours, the weather man predicted that it would be as cold if not colder the next twenty-four hours than it was Thursday when the official ther mometer registered a minimum tem perature of 2'. degrees below zero, . The cold wave came within a de gree of breaking the weather records for the last two years. On January 13, last year, the mercury went down lo 22 below zero. Omaha was one of the coldest snots in the state this morning. At North Platte it was 18 degrees below zero, while at Valentine it was 26. The cold is much more severe in the east tern part of the state than in the west ern. The thermometer reached its mini mum point at 6 o'clock in the morning when t degrees below zero was re corded. In the four hours up to 10 o'clock the mercury had gone up but 2 degrees. A twenty-mile wind accompanied the cold wave. According to the morning reports to the railroads, there are no indica tions of a let-up in the cold that is sweeping in trom the northwest The reports point to a continuation of cold fnr eottii tima A liftla rmMmC t. is afforded from the fact that all. through the northwest the weather has cleared, snow has ceased to fall and generally the wind has died down. Reports from railroad stations in dicate that there was not a place in Nebraska where above' zero tempera ture was recorded. Instead of the temperature being above, it was 18 to 30 degrees below. Holdrege boasted of being the warmest railroad nnint and O'Neill, 30 below, the coldest -fcven down in the southeast corner of the state, at Falls City. Browns ville and Nebraska City, it was 20 below and up along the Missouri val ley, toward Sioux City and across the northern part of the state. 24 to 26, with 32 below just over the line in South Dakota. Cold in Wyoming. Along tbe Burlington, Northwest ern and Union Pacilic, in Wyoming, temperatures during the night run down to 24 and 36 below and remained there at the time the morning reports came in Casper reported 36 below and at . Orin Junction, Wendover and Powder River it was 32. The cold extended into Utah, Og den reporting 4 below, said to be the coldest in thirty years, while at Evanston, a short distance to the east, 20 below was recorded. The Milwaukee offices received a report from Roundup, one of the Montana stations on the Pacific coast line. It announced a temperature of 48 degrees below zero, the coldest, ever recorded. Railroad reports tell of tempera tures of 18,to 24 over in central fowa, while up, through South Dakota and Minnesota from 20 to 30 below seems to be the rule. Sioux City Schools Close. Sioux City, la., Feb. 1. This sec tion is experiencing the coldest weather of the winter today, it being 26 below zero in Sioux City. EIGHTY THOUSAND FOR HEWHOG BARN Horse Committee of Whole Recommends Bill to Pass t With Thta, Amount. DOUGLAS FOR MEASURE ', (From t 8teff Correspondent.) Lincoln, Feb. 1. (Special.) One of the hardest fights made against any measure was precipitated this aft ernoon, when the appropriation bill for a $100,000 hog barn at the state fair grounds came up for considera tion in committee of the whole. Cronin, Friese, McAllister, Liggett and others, talked for the bill, while Chairman Reischick of the finance committee moved indefinite postpone ment. Eighty thousand dollars wa6 finally appropriated' Speaker Jackson took the floor and announced that if he could not show that the state fair had been worth more to the state than ever cost it, he would ask the house to kill the bill- He then proceeded to give fig ures regarding the condition of the grounds, cost of buildings and their present worth and showed that the state fair had paid out more than $100,000 in premiums than it had ever received from the state, and that a $750,000 plant had been built up with only a small amout of state aid. Axtell Out Strong. Others who spoke in favor of the appropriation were: Hostettler, Ncff and Axtell. The latter said that his opponent at the election had voted against the hog barn appropriation two years ago and had been defeated at the election and it was one of the issues made in the campaign in his county. He believed the people want ed the barn and he should vote for it, Ollis of Valley, president of the state fair board, making a strong ap peal for support for the appropria tion, saying that the Nebraska fair had the reputation of being the best agricultural fair in the country. He gave a history of the organization and Us methods of administration. Richmond of Douglas talked for the appropriation and was asked by Liggett if Douglas county expected to ask for a $100,000 for the hospital. State Must Be Liberal. "That has nothing' to do with this matter," retorted Fichmond. "I just want to say that the state of Ne braska cannot afford to pursue a tight wad policy toward its institutions." Some of the members thought that $100,000 was too much and said Ihey would support a bill for a smaller amount The question of indefinite postponement lost by a vote of 57 to 36. Liggett then moved to cut the $100,000 to $50,000. Ollis moved to substitute $80,000 and this carried by a vote of 49 to 44, and the bill was ordered engrossed for third reading with that amendment. German Ship Tied Up in Charleston . Harbor is Scuttled fhorlestnn S f" 17.1. 1 Tk. German freighter Liebenfels of the Hansa line, tied up here since the be ginning of the war, began sinking Slowlv at 9 n'rlnrlf this mnrninr, ani marine men believed it had been scut tled This helief am,t in k- hnFn. out by the fact that the captain dc- ciuica me aid 01 tugs. - How News of Germany' sNew Subsea Polity Was Received by the World at Large President Wilson continued his study oi the situation developed by the new note from Germany on removal of all restrictions from the sub marine warfare. He consulted with Secretary Lansing and Colonel House, but gave no intimation as to what course would be pursued. Sena tor Hitchcock of the foreign affairs committee called on the president, but gave no word as to what transpired. ' Representatives of shipping companies at New York aaid the new rule of the kaiser would be ignored. Some sailings of neutral vessels are delayed, however. German liners interned at New York and elsewhere are under close police guard. One German vessel, interned at Charleston, S. C, was scut tled by its crew and sank in harbor. Wall street felt the shock, the stock market opening in a panic; United States Steel was notably affected, falling from 112 to below par. Shipping shares also suffered, and Bethlehem Steel went off thirty-six points. Grain and provision prices are attected similarly with stocks. Among the possibUitiei are the severance of relation! with German), and the immediate dismissal of Count von Bernstorff, German ambassa dor at Washington. STOCK MARKET IS THR0W1UMT0 PANIC Wild Rush tt Sell Sends All Is sues Down Two to Twenty Points. STEEL DROPS BELOW PAR New York, Feb. .The wildest rush to sell stocks that has been seen on the New York stock exchange since the beginning of the war reflected to day the stock market view of Gtr-, many's announcement of its Intention to resume unrestricted submarine warfare. " Prices fell off under huge liquida tion from twenty to two points, the wave of selling affecting all classes of stocks. United States Steel, which closed last night at 112, fell below par. Apparent efforts to support the market soon after the demoralized opening proved ineffective until about 10:30 o'clock, when therj were some signs of rallying. ..... . International Mercantile Marine is sues were the heaviest sufferers, the preferred selling at 65, off over 17 pointsand thje common losing 8 pointsTo'20. ' f ,.: ' ' v Prices fluctuated with extreme ra pidity during the early trading, Beth lehem Steel registering an extreme loss of 36 points. On the stock exchange the scene was the most exciting ot any ses sion since last December, when the market was overthrown by Ger many's peace proposals. Commission houses were among the heaviest sell ers, orders coming from all parts of the country. The urgency of the selling indicated that latest developments had aroused grave apprehension in the most con servative Quarters. Prices crumbled again during the early afternoon session, although the sellins: was more moderate. Steel fell back 3 points. The renewed liqui dation was attributed to reports from Washington that a break between the United States and Germany seemed imminent. At the close of the market slight recoveries in recognized leaders were offset by further losses in speculative issues. A break of 2j points in City of Paris 6 per cents to the low record of 93 was the outstanding feature of the bond market. Total sale of stocks were estimated at 2,000,000 shares. , Cotton Drops Five Cents, but Loss is Nearly Regained New York, Feb. 1. Cotton broke wide open on the call in the future market today under a tremendous wave of selling. March contracts dropped 373 points. This break amounted to more than $25 a bale and the market was abso lutely demoralized. " May contracts brok to 12.50 cents within ten minutes, 516 points under last night's closing figures, making the biggest break in such a short time in the history of the market. Reports of conditions in the stock market increased the excitement, but after the most violent liquidation had somewhat subsided May con tracts rallied to 14 cents on covering. Before the end of the first half hour May contracts had rallied to 17 ..ents, or A', cents from the lowest and within 16 points of last night's clos ing figures. The sensational break brought in fresh buying, as well as covering by shorts, but the shock oi the unprecedented rapidity of the re cline was still evident in the confu sion and excitement. American Vessel Struck by Torpedo In Bay of Biscay Pensacola, Fla., FA. 1. A letter saying the American schooner Wil liam Jones had been fired on and damaged by a German submarine some weeks ago in the Bay of Biscay was received here today from Cap tain Charles Shrader of the vessel. It did not say whether the Jones tried to escape after being hailed, and gave no other details except that it made port at Lisbon in distress and that one sailor, frightened by the at tack, jumped overboard and was drowned. WILL IGNORE NEW SEA RULEOF KAISER Steamship St. Louis Will Sail Saturday Without Being Repainted. CZOSE PORT EACH NIGHT New York, Feb. 1. The American line steamship St. Louis will sail Sat urday as scheduled and no effort will be made to paint the ship in conform ity with the regulations prescribed by the German government as a guar antee for the safety ijf vessels flying the American flag, according to an nouncement today by officials' of the International Mercantile Marine, which controls the American line ves sels. ' ; ' . "We see no reason," said an offi cial of the line, "to change our sail ing dates for the American line ships. We expect the St. Louis to sail as usual and to dispatch also the St. Paul on its return trip after its arrival Here next week:.- . ,i v port i. Reopened; After being sealed all 'night by a cordon of destroyers and coast guard patrol boats, the port of New York was today opened by the custom authorities to all incoming and out going shipping. The stand taken by the collector of the port was that ships could sail at their own risk. They were permitted to clear as usual. It was understood that, the order closing the port last night waa pri marily in' .-ided to prevent the pos sible departure of any of the self interned German liners without clear ance pape.'s. The same course will be pursuei every night for (he pres t nr, it is expected. Docks where German goods are stored and interned ships moored were under close police guard, it was announced, Hellig Olav Will Wilt. Announcement waa made here this morning by a representative of the Scandinavian-American line that the sailing of the passenger liner Hellig Olav, booked to leave at 2 p. ra. today with 300 passengers and cargo for Copenhagen, via Kirkwall, had been indefinitely postponed. TJie Hellig Olav, as well as other neutral ships plying between Ameri can and Scandinavian and Holland ports, have been compelled by the British government to put in at Kirk wall or Falmouth for examination. Orders to hold the Hellig Olav wcie issued by local agents here pending more detailed advices from the home office in Copenhagen. Washington, Feb. 1. The Treasury department issued an official explana tion that ships had been prevented from leaving New York harbors last night because of heavy fog which ob scured their markings. It denied the port had been or was closed. Spanell Found Not Guilty of Murder Jury Out Two Hours San Angelo, Tex., Feb. 1. A ver dict of not guilty was returned after less than two hours deliberation to day by the jury in the case of Harry J. Spanell of Alpine. Tex., tried on a charge of killing his wne, Crystal Holland Spanell, last July. A special venire had been ordered into the district court here today in the case in which .Spanell is chareed with the killing of Lieutenant Col onel M. C. Butler, but was excused. House Passes Revenue Bill by a Party Vote Washington, Feb. 1. The adminis tration revenue bill containing pro visions ior a tax on excess pronts and an increase in the inheritance tax passed the house by a strict party vote, 211 to 196. It now goes to the senate, where it will be taken up within a few days. Suspend Deportation of All Undesirable Aliens Washington, Feb. 1. Secretary Wilson of the Department of Labor today ordered all immigration offi cials to suspend the deportation of undesirable aliens because of the un settled condition of American foreign affairs. Conferences at White House Over War Situation Have Brought No Determina tion of the Ameri can Course. k PRESIDENT TAKES COUNSEL ; House, Lansing and Hitchcock. " See Mr. Wilson, but G've . Out No Word as f to Action. " r NO CABINET MEETING ynrj Possibilities of Break With i Germany Holds All Attention ; ; at Washington. 1 jj DEVELOPMENTS OF, D)L7 Washington, Feb. 1. While all of ficial information was withheld late this afternoon, there were indications) in official quarters that communica tion actually had been tent or was1 about to be sent to Germany. , There was no official indication of, its nature, but a view persistently held i was that it waa in the nature of a !. warning against unrestricted sub-; marine warfare and placed a sever- ance of diplomatic relation! in orden at the next atep if Germany persists ! in breaking itt pledget to tne United LStates.j - . . . . Jlj When secretary Lansing received I the newspaper correspondent! this' i afternoon he -said: "Gentlemen. I nave nothing to tell; you; neither will 1 answer any ques-i; Hons. . t ; He added that this statement stood' good for the remainder of the day: and that there wat no prospect ot his making any announcement to.': night. -' - ii : Mr. Lansing did lay, however, that he had had no communication durine i the day with the German ambassador. Count .von Bernstorff. Washington, Feb. 1. Just before. noon. Secretary Lansing, after work uig alone in his office alt morning went to the White House for confer' ence with President Wilson. Secretary Lansing "would not dis f cuss the situation and refused to in-1 swer a question as to- whether am action had been taken. - '. f fter conferring with President Wilson for an hour, Secretary Lansl ing refuted flatly to make any ttate -ment or to indicate what action hat been decided upon. Following the conference betweeq President Wilson and Secretary Lena I ing the opinion became Renerall! prevalent uat a break in diplomatic relations with Germany teemed inevf itable, although it wat thougltt prob able that an ultimatum or warning to the Berlin government might pre . cede thia action. . if; The view wat taken widely in offi L cial quarters that the United Statetj; could not let the situation stand un. challenged. . . . ' e I he tact that Secreta.v Lansinc spei t the morning working "on some; thing for the president,", at it wi,:. described, led to reports that thi secretary of stau had oreoared if. note to warn Germany that diplomati relations would be broken it it per sisted in violating itt pledges. wnen secretary Lansm went t, the White House to conf. with th. president he took som; document ji with him and went to the mansioif instead of the executive offices. ' II 1 was pointed out that any note to Geri many might as readily be a notice thaf IL..L.V1.J .1 u m-vu DtiLitu a nail ing that they would be. iaf Ihere were indications earlv toda that no announoement of the course of tne government would be made unh' certain steps had been taken througj uic navy department ana tne ireas ury department for safettuardin American ports and other interests. ii was aisciosca mat r resident wi son and Secretary Lansina- had conference last night, although it w; then denied they had co.iferred at al Senator Hitchcock, democrat, chaif j.. an of the senate foreign relation) committee, was at the White Hous early today, hut said he did not Hi cuss the submarine ques.ion. " Passports for Count Von Bern! torff, orders for recall ot Ambassadd Gerard, solemn warnings to Berli, that breach of its pledges means sey erance of diplomatic relations, c tense waiting for an overt l t whic ould sweep- asiCe diplomacy an: bring the American governmen. t the point of action, are among th (ConUnaad oa Tmgm Thr Clnma Osy You can save Steps, Time and Trouble by fAlankAnlti t a it as IrGICJJIlUSlllJg J V U i. Want-Ad to Tyler 1000 You will save money whether you phone, x' bring or send it in, be- 1 cause The Bee's rate " lc per word , ; is less than that of . .' any other Omaha , , paper 1 I