The Omaha Daily Bee
vol xxxvi. no.
OMAHA, TUESDAY MOKXIXd, FHUIU'AKY 'Jii, 1107-TWELVE PACES.
SINGLE COPY TIIKEE CENTS.
r. IT. nrr:ii:i Einninod at Lfluth
Eefaid.i.tr. l urch of Read.
CU STIONS ABOUT INFLATION CF STOCK
En'on fur Nearly Fiftr Bullions in Kw
Fecuritiei Not Iiplained.
SYNDICATE SELLS BONDS TO ITSELF AT 65
Vitrcii Ucable to Tell Tree at Which
They Are SMd.
U'STION t, JURISDCTION IS RAISED
lr. Harrlmnn Decline In Trll nf
Imonnt nf Stork Held h Indi
vidual netlnn Will lie
tpnraled l Cnart.
NEW York, Feb. 25.-E. H. Harrlman.
Iieid of the Union Purine system, spent
4ud.iv In a rcclt.il of portion of the Inti
mate history of the nnnnrl.il operations
of himself and his associates before the
Ititi-min'p Commerce commission, which In
behalf of the I'liltnl Htales government
Is Invent Ik ititig consolidations and com
blt'.itlons of curriers, relntlotis between car
rl r and ci minunlty of Interest therein.
ii,.tr rates, facilities and practices. Spe-
l il ."outiM'l for the gox eniment maile par
' iMitr attack on the reorganization and
I'ii.imi liur of the Chicago & Alton railroad
l v the ll.irrliimn syndicate and this action,
with a ch iUetige by cotitu-el for the ril-
rci l the tight of the Interstate Com
merce conimlitsl, m to Inquire Into the pri
vate transaction of an Individual, consti
tuted the two chief events of the day's
pi oc ceding.
Mr HiitThruin declined to tell what pro
portion of the preferred stock of the Alton
noli to the I'nlon Pacific belonged to him
Itiillvl.lu.-illy, and the way wvi paved for
:iklrg the question Into the federal courts.
T'm point raised Involve a material
limitation on the Inquisitorial power of the
commission ;nd I of serious Importance
to the whole question of Interstate cor
poration investigation.
Mock. I Inflated.
There was an effort to show that there
had heefi an mormon Inflation of stock
securities and liabilities of the Alton; that
the Harrlman syndicate had taken unfair
profit by declaring a dividend of .10 per
cent from the proceed of the first sale
of bonds, amounting to J)0.rt),onn; that the
syndicate had sold Itself the bond at an
up reasonably
lciv figure only to resell ,
thetu at enormous profit; that the Harrl
man syndicate had In the Alton capltal-
I . Tf . ;
l"d the loss of former stockholders In
the road and the money which had been
spent by the old management for )tter
luenls over a period of ten years and al-i-.m
dv churned to operating exposes; that
the tiook of the company had been doc
tored nnd that for an Increase of stock
and liabilities from about 4O.W.0n0 to
f1ir,,ann,!Yin there was nothing to show ex
cept an expenditure of 2,noo.000 In Im
provement on the property.
Mr. Harrlman' testimony wag- a denial
of nil the charges, and he made an ex
tended defense of the transactions, which
he contended were fully Justified by the
condition and circumstance nf the time
und had been conducted entirely In the
open. Harrlman' explanation lasted for
five hour and was unmarked by acrimony.
The Wness declined to be led Into an
attemrt to explnln the detail of the Alton
oh rations and constantly referred his ques
tioner to the records of th Alton company.
Virthrrn leucine TMil.
Mr. Harrlman' testimony began with the
Irsuance of Jlon.nio.oM of convertible bonds
bv the Viilon Iactlc for the pupose pri
marily of paying for the Southern Pacific
In V.n'l, and then led through the purchase
In connection with the Oregon Bhort Line
of the Nortl.prn Pacific stock Mr. Harrl
man Identified a statement showing that
alnee July 1 the ':don Pac'lflc and Oregon
Short Une have purchased stocks at a
cost of m.(.nu. and Mr. Kellog, the gov
ernment's attorney, sought to show that,
figured by prices In the market today,
there had been a loss of 111,000.000 on the
Investment.
Mr. Harrlman aald that this was possibly
true, and when further questioned asked
permission to explain. The wltnesa said
that If Northern pacific and Great North
ern maintain their present prices the profits
In the Northern Pacific Investment would
amount to aout M,000.000. The witness
was taken over the total Investments and
sale made by the Vnlon Pactfio and
Oicgon Bhort Une and In the end denied
that they had been made for speculative
DurDoae.
The wltnesa then related the story of the
purchase of 46.O0.0M of the stock of the
littltlmore A Ohio, payment tor wnicn
would, he said, be completed In March and
(September next. He had discussed the
purchase w'lth the late pressldent of the
1'ennavlvanla railroad. Mr. Cassatt. but
nothing had been said a to price and no
conditions were attached to the purcnase.
Objection frnm Harrlmaa.
Inouirr about the Vnlon Paclfio pur-
chae of stjck In the Alton led the way to
the founnttlon of counw 1 for Mr. Harrlman
to a question aa to the amount oi sioca
the witness had held In the Alton. The
wlfe-ss explained the sale of the stock and
t.-ttnd thnt he had served on the com
mittee which had fixed the price at 4.
Ha then was askod If he had owned any
,-f the stock when it was deposited. Mr.
Mllburn objected, saying his clients were
ready to lend any poslhle assistance to
the Inquiry and they rejoiced that It gave
them opportunity to clear away many
scandalous and unjut reports. H denied
. . .
however, that the question naa any waring
.,n the ouestion of Interstate commerce,
It- ald the vomirass.on had great powers
but ther- wa. a limn and he thought It
was to the interest of .he commission prop-
.r to define It. power
Chairman Knapp said the suggestion of
Mr. Unburn a emed to draw a n:atlncuon
. . .... ,n.an,ui of lh rumiinnv
iwn wa in. ...... -.
and the action of Its officials, and asked
If this could lie called the transaction of
an Individual.
There wa an extended discussion of the
quetftton and U waa stated that the com
mission would confer and announce Its de
riiioi later.
At the afternoon session the question waa
rviiewed In another form and the commla- j
nn decided that lt had a light to malt
the Inquiry. Objection was noted In the
record, and the witness formally declined
Is) make answer.
Alio U-al Taken lv.
Tne exainir-iiiNji w nmrv Aiiun
transaction ttwn begau avnd consumed most
ef the aitvrrvH-n. Mr HArrlnian first told
. . .
C the fort ailou of the syihfccate which
ae said cunutlned rimajf person and which
vu fceoud JrVej
vu wwui '4l
SUMMARY OE THE BEE
Tueda, Krliraarr ilH, ItHJ"
1007 FEBRUARY 1907
TMU ri T
J
23
THE WE. B.
KnliKi'AST FOR . KHIt ASK A Fair
Tuesday, decidedly colder In tin- afternoon
or by night, wlth'hlgh north winds. . Wed
nesday t';il r ami cold.
loltKi'AST Folt IOWA Fulr Tuesday
mi.! warmer In cast portion; ruin or snow
unci nun h colder Tuesday niKht or Wed
nesday. Temperature .it Omaha yesterday
Hour
Dig Hour
De?.
...47
5 a. in
6 h. to
7 a. m
H a. in
9 u. m
M a. in
11 a. in
13 m
:tn 1 p. m
31 2 p. in
X! 3 p. m
33 4 p. in
;i 5 p. in
Hit ti p. in
.....43 7 p. til
. ... 45 H p. m
9 p. tn
LEGISLATIVE.
Decision of tax case und consequent
mmiui.n t" states ratn may inuuee no
I
enlargement of appropriations. Pas' 1 I
Maximum rate bill covering a number
of leading commodities likely to be in-
troduced In the legislature. Fags 1
South Dakota bill raising ngo of con- j
petit falls In house for lack of const I tu- :
tional majority. Fag a 1 i
NEBRASKA. '
Kvangellsts Knslow and Hill close sue- !
cessful series of meetings at Hubbell.
Pare 3
Senators Clark and Snunders, represent
ing the ways and means committee, visit
Industrial mhool und State Normal at
Kearney. Patfa 3
Hearing of so-called Lumber trust case
resumed nt Lincoln before Heferee l'ont.
but no Important testimony develops
Paga 1 I
DOMESTIC. '
Senator Dalley 1b exonerated by Texa
senate before committee can prepare re
port. Poffe 1
K. H. Harrlman testifies before Inter
btate Commerce Commission as to deals
In rullrond stocks. Pat 1
Dr. Lyman Abbott declares "trusts" are
not evil, but some methods are wrong.
Paara 11
Dallas and Gregory, both new South Da
kota towns, are already battling for su
premacy tn handling the crowds at next
year's Tripp county land rush. Faga 3
Further heavy losses around Vermilion,
.Q It Mt. ..,.,. ft. .,1 aia n.uull r th.i cvten-
.' "
one iiwub. w K"IB' in biiii ioia i.
Page l
Mrs. Harry K. Thaw spends another iTay
on witness stand and succeeds In explain
ing statements damaging: to defense. Abo
Hummel will be placed on the stand today
to Identify affidavit Mrs. Thaw denies
signing. Poffa 8
Federal subtrcanury at Chicago robbed
of $173, nOO one week ago today: Officials
have a clew and oxpect to clear up the
matter today. F&g-a a
WABHINOTOIT.
TTntted States supreme court decide
railroad tax cases In favor fit the state,
thua releasing large sum to county treas
urers. Paga 1
Senator Burkett Is making a diligent
fight for the nomination of T. C. MungT
of Lincoln as additional federal Judge In
Nebraska, and makes sumo headway.
age 1
Senate passes agricultural, pension and
postofflce appropriation bills. Page 3
TIouho agrees to take a final -vote on
tUH MOM TV! WtO
T g?
3 4 5 G
10 II 12 13
17 18 19 20
2 t 25 26 2"
I '
the Llttauer substitute for the senate ship j erly been considered in any committee. The
subsidy bill Friday afternoon. Pag 3 j bill which was considered by the merchant
BPOBT. marine committee differed radically from
American Base Ball league gives out , lhls- nrd might huve tended to Incrcaso
schedule for the season and National j our merchant marine. If anything this will
league announces list of umpires. 1 tPnd - decrease our shipping facilities.
p, 4 I Tell mo what good It will do to ether vea
Davld O. Williams will manage Sioux i B(, wnlch th,B country seeks to run be
Clty base ball team. Fag-a 4 , ween thl an(1 otn8r eountrle to have a
. few ahlpa receive a large subsidy from
. , , . ,rT . ,hi government. What Is the result of the,
Plans for civic tribute to memory of suhBl(ly bptweon thsJ coun Eur0peT
Count Crelghton are annpunced Pay. M How murh nM lt Increase cur nierch;nt
Majority of members of board of marme between ths an otner countrl(8?
county commissioners desire passage of Avhat merchanl ve,.,. now pIy betWeen
bill to provide for feeding prisoners by our rrrtl, ,,..
contract. Fag 12
Contest or comrnomlso expected In
matter of will of Count Crelghton.
Pag T
Captain George P. Wlndhelm retires
from flre department with a pension.
19
Incomplete Inventory of estate of Her.
man Kountze Is filed. Page 7
Members of Commercial club Bhow In-
terest In action (t former executive com-
mltteea. Paga 7
A. F. Holmota, agent of the Omaha road
at Florence, held pending Investigation
Into death of baby born to himself and
wife. . Faga 4
Burlington official, returning from north
west, aays storms caused no loss of stock
In Big Horn country; also that headway
is maae on uncn projects. rag 3
. ,
p A II pv IC CYflWCDATCn
DMIUtl Id uAUIlCflHICU
Texaa Senate Refuses to Hear Re-port
of Committee by Close
Vote.
AUSTIN, Tex.. Feb. 25. By a vote
of 15 to' U. the Texas aenate today
discharged the Investigating commission
which has been In session several week.
looklng Into charges against United States
Senator Joseph W. Bailey,
At 11 o'clock the anti-Bailey following
offered a resolution instructing the commit
ted not to bring In a report at tills time,
I full o a iiilirmnmiUM o Bt T,,.l
-
i - " ' " v "
. . ii'......- IK..-,,., r.il . . .. .
' - - ' ' ""u ,u
I ml" " 1 " ' " '
Adherent, of en.tor Bailey promptly of-
I fered 'T ? ,nvCBtl1"
j comr.ilttee be discharged at once without
I niaLlr.tf rcwirt and that Senator Ra dv
I - ' "
! - - ocxxiu
debate the aubtesolution wa. passed by a
vote of 15 to 11. Mr. Bailey, friends con-
tended that every member of the legisla
ture, as well as the public, waa fully ac
quainted with all the detail, of the evl-
dence by reason of Its publication by the
dally press, and senate members could not
vote on the question now In an Intelligent
manner. Th' ..sue of discharging the com
mittee will erne up In the Louse this after-
neioii or tomorrow.
Somlnatloas by Prealdeat.
WASHINGTON, Feb. IS. The preslJent
aunt ttiA umu H a rll,a,.ln
... .v '..uw.i.g, i,Viutu,i.
imu.
i Collector of rwrani, Iia Angeles Cor-
: ni'",1 V'l I'5nd!,?n,nrt rvm,. v
heglMer of the l and Office at Cheyenne,
. Wyo.-William K. Chaplan.
! Receiver of Public Moneys at Cheyenne,
, Wyo. W. C. Ivming.
. i-4"n i'i i- xr Annuruj-iu aj.
tA. kiti-. UeOiauuu h. Tllla
BIRRETT BUSY FOR HUNGER
Senator Fiehti Hard for Appointment of
Hu Politioal V'anacer.
TUSSLE FOR NLW JJDGLSHIP IS ON
milled lu Federal Court Practice
uil Has Hail o Jmllelal
Kiperlence.
(From a Staff Correspondent.)
WASHINGTON, Feb. 25. I Special Tcle
KrHin. i -Today Senator Burkolt began a
personal campaign for T. C. Mungc-r for
additional Judge in Nebraska.
Mr. Kurkctt threw ulT tlie usual reserve
that Is supposed to clothe members of the
upper house In a mantle of dignity and
i began log rolling for his' man. He saw
! all the nieinbera of the delegation who
' eooM I,., ..., ...,.1 II., ..,,..1..
O N s JiiiuinrtiU I re He llae Xot Hern Ad
n i- it uini unutuviiiiij nintir rviuiv
4S headway. The fact Is, however. Mr.
4'. . Hurkctt Is considerably wrought up over
the protests that are owning from leud
44 ing members of the bar of Nebraska who
42 will practice quite as much In the south
l I ern district as In the northern district.
anil he realizes It Is not unanimous by any
means for his former political manager.
You know Manger Is more of a poll
tlcian than he Is a lawyer," said a member
of the delegation today, "and he really
ought not to be made a Judge for life,
If the Judiciary Is to be put up to the man
who docs the best political work, then
the Judiciary w ill be of no more value
to the public than the lowest politician,
anl ,or "e I ftm In favor of selecting
the best lawyer and the best man for a
Judicial position.'
Two Principal Objection.
A letter which amounts to a dignified
protest against the selection of Mr. Mun
ger has been sent to the Department of
Justice by representatives of the Ne
braska State liar association. Among
some of the things charged against Mr.
Munger Is that he has never been ad-
mltted to the United 8tates circuit court
ar"' that he has had no training on the
bench. Mnny of the well-known lawyers
or .NctirasKa whose names have been men
tioned In connection with this office have
had no Judicial experience, but all have
been admitted to practice In all the fed
eral courts.
W. F. Gurley, John L. Webster, Ralph
W. Breckenrldge, F. A. Brogan, T. J. Mn
honey anl W. D. Mellugh are out In the
open against the appointment of Mr. Mun
ger, and Mr. Mahoney, president of the
State Bar association, has asked the dele
gation to defer action until the body which
he represents can bo given a hearing.
Renntor Burkett realizes that delays aro
dangerous and he la Insistent upon imme
diate action so that the nomination may
come to the senate and confirmation be
made before adjournment of congress next
Monday.
Tonight It is understood that a call has
been Issued for the delegation tc meet In
conference at Senator Millard's committee
room Wednesday at 10 o'clock, when, if
possible, Senator Burkett will endeavor to
procure Munger's endorsement to the presi
dent. Mr. Pollard Is In receipt of petitions from
the Otoe and Ows county bar associations
urging the election of Paul Jessen for the
position, and these petitions, It In under
stood, have been sent to Attorney General
Bonaparte.
Illnshaw nn Ship Subsidy.
Congressman Hlnshaw was drawn unex
pectedly Into the debate on the rule making
the ahlp subsidy bill a continuing order to-
'day. In the course of his short spot ch Ira
isald: "I am opposed to bringing In here
' at this session a bill of this imnortiince,
I which. In its present form, has never nron-
that subsidy? Not a single vessel. It la
purely a bonus, a gift, and has not In fif
teen years Increased our commerce by one
single vessel. The old system 'of dlscrim
nating tonnage dues worked admirably
i then, and would do so now. This is no
more a republican measure than would be a
i tax on tonnage. Our party has declared only
j for an adequate measure for rebuilding our
merchant marine, and this is not such a
I measure."
Victor Dnlltver'a Henth.
The unexpected death of Victor Dolllver
j brother of Senator Dolllver. will of necea-
slty call a halt In the conference of the
Iowa delegation bent upon parceling out
the patronage. For several weeks past the
delegation has met twice a week with the
' Aeun of the delegation, Senator Allison, In
tent upon arriving ut certain conclusions,
but talk has been uppermost and the dele-
lBl,on ,s no nrer a settlement of the
I natronaee Question than It mram o l,. ...
meeting, unless changes may come from
the death pf one of the well known orators
of the west and one of the best campaign
ers In the country, Victor Dolllver.
In the southern division the contest cen-
; ters between the Second and Sixth district
on Marshal. Major Lacey of the Sixth la
backl CTark Ottumwa for the place,
whlle IMw-son la supporting E. O. McAr-
",ur of Davenport. Should the delegation
fall to make a recommendation until March
U "T1(1 Bm " lf Lac.v' ca ndldate had
less show of selection than Dawson's can
dldate, for the reason that Lacey retires
' ""' "11 ma.
from congress on that date. Lacey was
defeated and Dawson was elected.
The
. politics of the situation would seem, there-
1 fore, to be favorable to the seh ct Ion of
; McArthur. In the northern district the
' fljsht Qver attorney.
' Representative Cousins 1, backing M. 5
: Tol)ln of Vlnt0n while Judge Connor's can-
; amate la IJ. c. Chose of Webster City. It
1 1 understood the two aenatora are kindly
- deposed to the candidacy of Mr. Tobln
L.h, .i .. ,1
whose selection la predicted
Burke Will Speak
Representative Burke of South Dakota
I wl" address the auxiliary of the National
Indian association Friday evening.
Harlan Case Affirmed.
The supreme court today affirmed with
costs the case of James Coffey, plalntlfT
In error, against the county of Hurlan,
Nebraska, being a suit of ejectment. In
which Coffey sought to recover from Har
lan county certain real estate claimed by
. .
i fh countv under sherlfT ri4 Th
clslon of the United States circuit court
for Nebraska was favorable to 'the county.
The case originated In an effort on Cof
fey's part to defeat the validity of a sale
by the sheriff to reimburse the" county
(Continued on Second Page.)
BRYCE AT THE WHITE HOUSE
w Ambassador from Great llrllaln
I'lirmall) Presented to I'ren
Idrnt Itnoanrlt.
WASHINGTON, Feb iS.-Janir Bryce,
ambassador from Kngland, was formally
presented to President Koosevelt tixlny by
Secrtnry Hoot.
Ambassador Bryce tmulo a short address
regarding his appointment m which he
said King Kdward wanted the present cor
dial relations between Knuhuul and the
United States strengthened,
Paid Mr. Bryce:
No one can be more sensible than I am
of the responsibility which such a commis
sion Imposes, and however unequal to so
great a tusk I may feel mjself to be, il
shall be my constant effort to discharge It
In the spirit which his majesty has Indi
cated to tut and In which my three last
predecessors, all distinguished men and true
friends to the I nlted States, sought to I
fulfill their duties. I
It has been my good fortune to have
been frequently In this country as a private !
traveler and Ht idenl of It Institutions, to j
have been received In It with unfailing I
kindness, and to have learned, not only to
admire the untiring energy and the Intel- I
lit tual ardor of Its Inhabitants, but also
to appreclute their devotion to the cause
of moral and social progress and their I
passionate desire to make the lives of the
people worthy of the material blessings
which Providence had bestowed upon them
with so bountiful a hand.
1 may perhaps be permitted to add that.
In expressing my sincere resiiect for you
personally. 1 am expressing the sentiments
of my sovereign and of bis subjects gen
erally. The president responded as follows:
The excellent relations which have so
long existed between the governments of
the United States und of Great Britain
offer a consplcnous assurance that In the
fulllllmeuti of ttie important missions witli
which you are charged you will find agree
able the task of contributing to the main
tenance nnd strcngt h"nlng of those rela
tions. The responsibility which rests upon
you In tins regard rests no less upon the
officer of this government with whom you
will have Intercourse.
The nlms oi the Anglo-Saxon race, wher
ever established throughout the world, are
akin, and In the f iii-tlierance of the great
principle of representative government and
of that community of material Interests
whereby the most complete stability, indi
vidual development and national prosperity
may be achieved. In coming among us.
you but transfer your life work to new
fields of practical opportunities like those
for which you have labored earnestly and
honorably through a useful lifetime, and
I trust the continuance of your efforts
In the mission to which you lire called
will be as congenial to you as they are
acceptable to us.
For yourself, I beg to convey to your
honored sovereign my cordial wishes for
his personal welfare and for the prosperity
of his country and people.
AGE OF CONSENT BILL PAILS
Adverse Heporl I Turned Dunn, but
Supporter Are I nable to Secure
Constitutional Majority.
PIERRE. S. D Feb. 25. (Special Tele
gram.) With the lieutenant governor ab
sent when the senate met today, Dudley
was selected us presiding officer, nnd a
call of the senate was Immediately ordered.
The sergeant-at-artrs rounded up one poor
lone democrat, McCullen. nnd when he was
hauled In ond gave his explanation an
exoneration was denied by a tie vote.
Hills pnSRed were Introducing the Galves
ton plan of city government and providing
for appeals from boards of equalization.
A number of new bills were Introduced
through committees, nono being of special
Importance. ' '
Goodner secured t Introduction and final
action of the senate on a resolution assent
ing tn certain endowments for the state
agricultural experiment stations, on which
Immediate action was demanded to secure
the funds through congress.
After a tilt In tho house between Fitch
and Browne an adverse report on raising
the age of consent to IS years nf age was
turned down and the bill placed on the
calendar for action, but failed In passage
for lack of a constitutional majority.
Krlbs secured a demand for a report of
the apportionment committee on apportion
ment bills tomorrow.
The principal bills passed by the house
were to give county Judges committing
powers as magistrates, and giving county
courts Jurisdiction In criminal cases In all
counties with l.0i or more population.
Tho Joint Judiciary committees are at
work on a bill to create two more supreme
.court districts, with two new Judges, and
will probably introduce their bill tomorrow
' The appropriation committees are nt work
attempting to secure a Joint general bill
to be presented In both houses and expect
to get them In by Thursday.
GAS FIRE AT SANDUSKY
Thirty (ilrla Kaeape from Building;
and I-acli. of Water Delay
Firemen.
SANDUSKY, O., Feb. 2C. Accumulated
gas In the basement of the Blttner build
ing, a three-story brick structure on Mar
ket street. In the heart ofthe city, ex
ploded with terrific force today. The
! building und the big stock of furniture of
the Blttner retail store Is nn entire loss,
i Thirty girls employed In Bellsteln's laun
I dry, next door, were thrown Into a panic.
' Several of them fainted and had to be
i carried out. No lives have been lost, ao
far as known.
j The flames, which the firemen are un
able to combat on account tf low water
pressure, are sweeping to other buildings,
and the whole city square opposite tho
i federal building seems doomed.
FLOOD LOSSES ARE HEAVY
Mammoth Ice Gorge at Vermilion
Shovra So SIkus of Breaking;
After Two Days of Thaw.
' VERMILION, 8. D., Feb. 25. (Special
' Telegram.) Two days' thawing makes lit
tle showing on niammouth Ice 'gorges In
the Missouri river. It will take two weeks'
steady thaw. This apparently Is the only
thing to give relief. Farmer of Norway
township west of here have three feet of
water over their land. Iirs Mortenson re
ports a loss of sixty hogs today. Charley
Depoe loses the same rumber. Thousands
of cattle and hogs still remain on the bot
tom farms. Much winter wheat Is ruined.
The water Is spreading around James Far
, go's home, South Gayvllle, fifteen miles
west of here.
4 hnnee tor Hhodee Scholarship.
MITCHELL, B. D.. Feb. IS. (Speclal.)
i President Nicholson of Dakota Wesleyan
. university today ncelved the Information
! that the three young men who took the ex
amination for the Cecil Rhodes scholar
slrip, all passed the examination. Aft r
the examination was held It. Nicholson
1 sent the papers to Oxford, Kngland, to be
i read and the young men stood well up In
their markings in every instance. The
young men w ho took the examination were
Grge W. Norvell of Mitchell, Mathew
! Brown of Yankton and Kenneth Virgil
1 Brown of Sliaix Falls. It now devolves
upon Dr. Nicholson to make a selection of
one of three successful candidates for ap-
liAtliiUuvul iw lbs ",'fc"Wr')
TAX DECISION GRATIFYING
Senator Frown Cooeratulatfd on Hia
Viotor in the Case.
OPENS DOOR FOR RAID ON TREASURY
.. , . . a .
niiir urarinK in i ,n in n-r f
Denier' I ne, lint olhlna of a
Stnrtllnaj Nature llrunnht
Out.
(From n Staff Correspondent )
LINCOLN, Feb. l. (Special Telegram.)
News from Washington thnt United States
Senator Norris Brown had won the suit
against the Union Pacific nnd Burlington
railroad, which enjoined tho collection of
their taxes for the years 14. l'.nii and W,.
received at the state house this afternoon
was the liest new so far received by mem
bers of the legislature, nnd every one
who has been to the state house during
the day expressed his pleasure at the out
come of the suit nnd sent his congratula
tions to Senator Brown, who Incidentally
received many congratulatory' telegram,
the first to arrive being from Victor Rose
water of Omaha. The taxes enjoined
amounted In all to l,iKV7,a pr,, but the first
case settled, that of Jurisdiction, taxe
amounting to $.T..i;7S .51 were ordered paid
to the verr;l taxing districts of the state,
leaving due at present from the two rail
road !'M,r.5.44. There Is to be added to
this sum Interest at lrt per cent per year.
Just how much of the taxes will be paid
Into the slate treasury cannot, or ha not
yet, born accurately figured, but It Is
roughly estimated the amount will be In
the neighborhood of KOo.nno, together with
Interest at in per cent, while the remainder
of the amount will go M the various
countle and school districts.
Amount Due from Road.
The following figure show the taxes en
Joined by the two roads during the three
years:
BURLINGTON.
$Ll.SO0.w
n.4ii 4S t 447,2'..01
UNION PACIFIC
11 S 9D.12I' 42
l''" 133.M7.52 2-J!).!17.hl
Total
VJ06, both roads, about..
t fi77.21.fi5
3Xi,lam.(U
Total $i,nfi7,ii;i.;!5
"I am, of course, gratified at the decision.
though not surprised," said Senator Brown,
who us attorney gen, ral of Nebraska,
fought these cases through to their fin
ish. "It means u great vlctorv for the
state and will give for stnte purposes In
taxes some JJurt.oon and for nil purposes
about ll.ooo.mm. I have no extended state
ment to make at this time; I think I made
my statement at the right time."
"I am more than pleased at this good
news." said Governor Sheldon, with more
show of emotion than he generally dis
plays. "It Is a distinct triumph for the
state and Norris Brown and the men who
Btood so vallently for right and Justice."
"It will have a powerful Influence upon
the legislature," remarked Attorney Gen
eral Thompson, who has been a legislator
himself and Is able to speak of those
things that Influence men In this position.
Mr. Thompson was one of the lender. In
framlng the new revenue law tinder which
ail tins raise in taxes has come about. "It
will bring forcibly to the attention of the
legislators the situation In this stnte and
enable them to see more clearly than
ever their precise duty In dealing with
matters that involve the Interests of the
railrouds and the people. Some people
don't believe In Jumping nn a fellow when
he Is down. I don't, ordinarily, but this Is
a time when we should cast that belief to
the wind and beat the railrouds while we
have them on tho run."
Chance Ho Raid Treasury.
One member of the legislature sees where
lt Is not to the best Interest of the state
that the decision came down Just at this
time, Inasmuch as lt might result In the,
members of the legislature onenlnir nn Ihn
state strong box to those who want to
get at the money, regardless of the Just
ness of their claims, and the result might
be the appropriations will not be scaled
down as otherwise they might have been
when, lt was not known whether the state
was to get this money. The amount com
ing Into the state treasury, however, Is
not of sufficient proportions, one member
sali, to Justify large appropriations and
the appropriations will be made as though
the ease had not been decided.
An effort will be made to have the legis
lature enact a maximum freight rate on
Certain commodities regardless of the
power lt gives to the commission. It has
been proposed to make a rate on coal,
lumber and grain, at least giving tho com
mission power to reduce this rate, but
not, to Increase It. There Is little doubt
such bills or bill will be Introduced during
the coming week and the measure will
have the support of Cone of Saunders ut
least. Mr. Cone has collected some mighty
Interesting statistics showing the rate
charged In Nebraska and then on east,
the Nebraska rate fqr fifty to sixty miles
being as high as the eastern rate for 500
miles. He is of the opinion the Nebraska
rate should be cut to correspond to the
eastern rate. He believes the proper way
for this to be brought about Is for the
legislature to pass a maximum freight
rate law and then to give to the commis
sion power to reduce it, but he U not In
favor of leaving everything to the commis
sion. The salary bill prepared by the finance
ways and means committee appropriates a
total of IWl.lNO for salaries for the blen
nlum, against fl.13l.3r4) appropriated two
years ngo. The decrease, however, is due
to the fact that separate bills have been
Introduced covering university expendi
tures and this bill carries no university
appropriation.
i I, limber Case Resumed.
The taking of testimony In the Injunc-
tlon BUlt against fhe Nebraska Lumber
Dealers' association was resumed before
Referee Post In the supreme court rooms
this afternoon and numerous witnesses
summoned by the state were examined,
though nothing of a startling nature was
disclosed. The witnesses examined were:
O. O. Snyder of O'Neill. 11. R. Helges of
Spring view, A. F. Sturm of Nehuwka, S.
8. Pennell of Grafton and Peter Mclntyro
of Juniata. Each of the witnesses swore
, the association did not divide territory or
j fix prices and, while some letters written
! by some of the witnesses to the secretary
of the association were introduced, an ex
, planatlon was offered for each. The tak-
Ing of testimony will continue tomorrow.
I Fifth l.egUlulor Stricken.
! JEFFERSON CITY, Mo., Feb. 25 -Representative
Klrkpatrlck of Cedar county was
I stricken with a mild case of smallHix
i this morning and w is removed to the
I emergency hospital. This makes tin- fifth
i man connected with the house to contract
I the disease.
Wreck Reported In Georgia.
ATLANTA, Ga.. Feb. 25. It Is reported
here that a passenger train on the (ieorgla
Southern & Florida railroad has been over
turned south of liiudilla and Is in flames.
Unudlila la about forty iitlU south of
Macvu.
FIERCE FIRE AT PITTSBURG
Three I'emon Injnrrd and Flame
llr.-ak Out After Apparently
HeltiK Snppreawed.
PITTSHVUG, Feb. 21.-A disastrous fin
broke out In the Derby Desk Comivuiy
building on Liberty street at '.' :!n o'clock
today. Th- building wa a scven-tory
brick structure on the north side of Liberty
street, between F.lghlh and Nlnlh streets.
Bnd rltrlit In the heart of the down town
business section. An alarm was turned In
quickly and within two minutes after tho
arrival of the firemen It wa seen that fire
Would cause heavy damage. Flame were
shooting from the windows of every floor
and It was evident the building was
doomed. An alnnn, calling out the fire
companies of the Second and Third dis
tricts, was promptly sent In, ami within
fifteen minutes a general alarm was
sounded, calling out all the fire companies
In the down town section.
The flames quickly spread to the six
story building. Nob. Mo and M7, and then
to the Gtier-ltusch building. No. S13, filled
with wholesale notions and toys. The three
structures are now In flames and the fire
nt 11 o'clock .was not under control. At
10:15 o'clock the water tower of the fire
department collapsed, fell across the street,
wrecking the windows of the Academy of
Music and tearing down the el ctrlc wires,
but no one was hi.rt During the tire one
woman and two men were Injured, but not
seriously. The loss will be heavy, but at
this time cannot be estimated.
Th" fire was under rout rol at 11 :30 o'clock.
The loss will be sev ral hundred thousand
dollars.
At 11:55 a. m. the roof of the Seventh
Avenue hotel, across tho street from the
Are, Ignited and began blazing fiercely.
Confusion prevailed In the hotel and ar
rangements were made for gelling out all
me guest and their property. The roof of
the Acaib-my of Music, adjoining, was also
smoking.
The firemen seem to have tho flames at
the Seventh Avenue hotel well In hand
and the loss from w"Mr will be hnvy.
The guests were all gotten out enfely.
BAD LUCK FOR PRESIDENT
Trnln la Delayed by Storm then Held
by Wreck enr llnltl-
PHILADELPHIA. Feb. 25.-The trnln to
whii'h President Roosevelt's; car Is attached,
arrived here at 8:20 a. m. today from New
England, more than two hourB late. After
a change of locomotive the train left at
8. H o'clock. The president's trip from
Massachusetts was uneventful. The train
was ddayed by heavy snow.
BALTIMORE. Feb. 125 President Roose
velt passed through Baltimore on his return
to Washington at 12:r3 p. m.. Owing to an
nccldent to n accommodation train In the
Pennsylvania tunnel, which bb eked the
tracks, the Federal express, to which Is
attached the president's car, was shifted
to the tracks cf the ' Baltimore g, Ohio at
Bayvlew, Just east of here and the train
proceeded over the naltlmoro & Ohio from
this point. At Anacosta Junction near
Waphlngton the train will return to the
Pennsylvania tracks.
WASHINGTON, Feb. 2fi. - President
Roosevelt arrived at 2:16 on his trip from
Massachusetts.
MANY RAILS FfjR MANCHURIA
JapanpHf Government Will Pay Prem
Inuis for Large Order from
United States.
NEW YORK, Feb. 25.-A cablegram re
ceived here n Saturday from the Japanese
government called for the Immediate ship
ment of the largest tonnage nf steel rails
ever made to the fur east, n id for which
a premium will be paid. Fifty thousand
tons of i teel rails have been ordered from
the United States Steel corporation. Tho
rails will be rolled In tho Carnegie mills
and will weigh sixty pounds to the yard.
So anxious are the Japanese to get tho
material lis soon ns possible that IliS.oO rer
ton at the mills will be paid. Tho ruling
quotation for domestic rails Is f"8, free on
board Pittsburg.
The rails will be used for laying the first
sections of the extensive network of rail
ways to be built In Manchuria by the
Southern Manchuria Railway company.
In addition to the rails all the large eon
tracts for locomotives, cars, bridges, etc.,
will be placed in this country, negotiations
now being on.
STEAMER EMPIRE IS INVOLVED
Mrarmrni Wants Vessel Carrying;
Munition of Wnr Over
hauled. WASHINGTON. Feb. 25,-Advlce re
ceived by the State department today
thrcugh Minister Corea of Nicaragua nre
to the effect that the small sti anu r Em
pire, which In the past has figured con
spicuously In filibustering expeditlors, Is be
ing utillaul for the transportation cf muni,
tlons of war from Salvador to Honduras.
Minister Corea will require this govern
ment to have the steimer Newport, which
l sillied from San Francisco Saturday for
I Panama with 6KI cases of munitions of
I war for Salvador, intercepted by the cruiser
j Chicago, now at Acajutla. believing that
.these supplies nie ultimately Intended for
1 Honduras. It is asserted here Hint by pre
arrangement the Kmpl e will meet the New
i port at sea and have the 600 cases of war
material transferred.
DEATH RECORD.
John W. IVofford,
KANSAS CITY, Feb. 25. John W. Wof
ford, Judge of the criminal court, noted for
his quaint philosophy, died today, aged
09 years. Ho held that a wife has a right
j to "go through her husband's pockets,"
! saying that when a mon married he con
ferred this prerogative upon his wife, lie
served with distinction In the confederate
! army in a Georglu regiment.
I Malcolm Mrliirrnnn.
CHICAGO. Feb. 25. -Malcolm Mcpherson,
; a well known English newspaper writer,
'died at the county hospital here today nf
' pneumonia. In 1K77 McPhcrsoti traveled
through India with the present king of
England. In ls2 hu came to America.
Since that time he has been engaged as a
special writer In most of the lurgn cities
' of the United Slates.
j Mary K. Damlug,
j Mrs. Mary K. D.unlng. aged 70, died Rat-
urday evening at the county hospital from
; tuberculosis. She had no relatives living in
i Omaha or this vicinity. The funeral will
be held nt 2:30 p. m. Tuesday from the un
dei taking rooms of Grant Leslie, 819 North
Sixteenth street. Interment will be ut
Mount Hope cemetery.
Colonel John U. KoIdk.
I CHICAGO, Feb. 28. Colonel John K.
I Ewlng. president of the Financier, a New
York publication, died at Mercy r,.-pitu
here of pneumonia. Mr. Ewlng was well
known am. tuj lutlueiiUiU men throughout
I the country.
STATE WINS
TAX CASE
Nrbraska Gets Drciiion from fnprema
(Joint in Lone-Fenilitic Litigation.
OVER THREE MILLION DOLLARS ARE OUE
This Amount with Interest Must Te Paid
in County Treasuries.
RAILROAD ATTORNEYS NOW ADMIT DEFEAT
Furlinirton and Union faoifio ire at tit
End of lhir Fore.
NOTHING TO DO BUT PAY OVER THE CASH
Douelas County Will Got Over Serenty
Three Thousand Pollars.
SENATOR BROWN IS NOT SURFRISED
Man Who Fnnalit Case Through as
Attorney fienernl, with Ilia Snc
cenr, Kxpcctrd o Other
llutco inc.
SUMMARY OF STATISTICS.
Total taxes dne state. .
$3,019,147.7
l,9Ii5,9Va.4
1,031.175. 2d
V3.0430.7S
eei.790.ea
444,710.78
344.391.70
140.371.34
981,585.44
From Burlington
From Union Paclfio
Due Iouglas county (with
Interest!
Total, 1904, Burlington
Tendered by company
Total, 1904, U. F
Tendered by company
Total amount In dispute.. ..
The total Is arrived at by
multiplying
the figures for l!o4 by :t. as the levies for
ach jear varied Immaterially. The Inter
est Is to be computed on these amounts.
(From a Staff Correspondent.)
WASHINGTON, Feb. 25. (Special Tele
gram.) The supreme court today decided
the Nebraska tax case, so-called, coming
up from the circuit court for the district
of NebniKku, in favor of the statu und
ugalnst the railroads, parties to the suit.
Justice llolnns wrote Hie opinion. Justices
McK'nna and Peckhiuu dissenting. In
the opinion of the court it was decided
that the Hoard of Taxation. Equalization
and Assessment had the light to tax all
propel ty of the railroads in the state
and tax It ut its value us an organic por
tion of the larger whole.
"Evidently the board believed," ald Jus
tice Holmes, "that the figures furnished
by the roads were too favorable und In
tended to keep the taxes as low as they
could be kept Evidently, also, the mem
bers, or some of them, used their own
Judgment and their own knowledge of
which they could give no very good account
on cross-exainlnution, but which they had
the right to use, if honest, however Inar
ticulate the premises. It would seem from
the testimony, as might have been expected,
that the valuations fixed were compromises
and were believed by some members to be
too low, as they seemed to one to be
too high. It Ih argued to us on expert
testimony that they are too low. Tho re
sult of the evidence manifests the frult
lesKiicss of Inquiries which, as we have said,
should not have been gone Into at all."
Right to Kxerclnc Judgment.
Upon the question of "arbitrariness,"
which was suggested in the brief of the
defendant company, the Chicago, Burling
ton & tjuincy. tuch as distribution of to
tal value set upon the Burlington system
among the different roads making lt up,
the associate Justice decides the action
does not appear to have been arbitrary
I except In the sen.e in which many honest
I und sensible Judgments) are so. "They ex
press nn Intuition of experience which out
runs analysis and sums up many unnamed
and tangled impressions; Impression 'which
lie beneath consciousness without losing
their worth. Within Its Jurisdiction, ex
cept In caje of fraud or dearly shown
I adoption of wrong principles, lt Is the
ultlnute guardian of certain rights. The
state has contlde-d those rights to its pro
tection and has trusted to its honor and
Its capacity as It confides the protection
of other social relations to courts of law.
We are of the opinion that whatever
grounds for uneasiness may be perceived,
nothing has leen proved; clearly and pal
pably as lt should be proved on principle
laid down in San Diego Land and Town
company against the National City, In
order to warrant thee appeals to ex
traordinary Jurisdiction of the circuit
court."
Justice Holmes after reviewing the bill
to declare void the assessments of taxes
mn.de. by the Nebraska Board of Equaliza
tion and Assessment for the year i:4 and
stating that the bills allege the board,
coerced by political clamor and Its fears,
arbitrarily determined In advance to add
Il!.noo.m0 to tho assessment of railroad
i property from previous year, doe not find
' sufficient reason for the railroad's allega
, tlons. He says: "The dominant purpose
I of the bills is to charge political duress,
j so to speak, and a consequent scheme of
fraud Illustrated by specific wrongs al
leged and In that way to make out that
; the taxes were void. As the cases come
: from the circuit court other questions be
sides that under consideration are open,
and therefore lt Is proper to state that the
foundation for the bills has failed. The
suggestion of political duress Is adhered
to In one of the briefs filed, but It Is
disposed of by the finding of the trial
Judge, which there is no reason to dls-
turb."
! The costs are put upon the railroads,
Assessment and Tenders.
I In the Burlington case the amount of tax
levied under the new law for the year l!.i
! on all Its property in the state was fcxil,
! 7W.S2, In all counties w here the assessment
u.ij 31, In all counties where the assessment
exceeded f-'.O'iU. Tho Burlington, however,
tendered for the bulk amount of taxes for
that year but tt44.710.7S, which that cam.
puny claimed was a fair assessment under
the law of 1! 3 Similar assessments and
tenders were made for the years i;J6 and
yjofi. The total levy for the three yeara on
I this busls, counting them rqual from year
; to year, would be tl.!S,u?2.46, and the total
'tender made by the Burlington. II. 334.13V' 31.
The total levy made against the Unl .n
Pacific for 1!'4 under the new law was
f34 1,381. 78. und the tender made by the Un
luu Pacific under the old law of lil wus
f.'4S.271.34, or !'.;. Uo less thuu the levy. For
the three years the under the new law n,
counting each 111- suiiim. would be fl.dy,
075.!". while ihe tender made- by tho Union
Pacific I but 1744. M4 02.
In 1V"4 the Biirltnglon paid Douglas
county under protest IVtillb;. with Interest
of t&2.6. In 1J6 It uiid ti.'. li. with I,,
, (crest of f33 !io. In l.'; It aJd IJ.M0.
lulsi ut fl417w.tiS; which, la luw at As)
