Nebraska Newspapers

    The Omaha Daily Bee
Drawn For Tho Boo
The best newspaper artlfte of the
ecaatry contrlbate their beat
work tor Bee readers.
THE WEATHER.
Fair
VOL. SMV-NO. 22.
OMAHA, TUESDAY MORNING, JULY .14, 1914 TEN PAGES.
Ob Trains and at
Hotel Niwa Standi, Eo,
SINGLE COPY TWO CENTS.
HUERTA REPAIRS
ROAD FOR TRAIN
TAKINGHIM AWAY
Four Hundred Laborers at Work on
An Unappreciative Audience
NEW HAYEN BOARD
WASTES MILLIONS,
SAYS COMMISSION
Maladministration of Affairs of
Railroad System Denounced in
Most Drastic Terms.
WANTED High-class stove and
range salesman for northern Ne
braska and southern Bouth Dakota
territory. State ability, reference
and salary.
Tor further information abont
this position, sae ths Want Ad
Section of today's ,
DLSTER READY TO
"SHAKE" BRITAIN
IF NOT LEFT ALOE
Will Recognize No Government Ex
cept Provisional One of
Their Own.
WILL NOT SURRENDER RIGHTS
Leader of Volunteers Fledges Cove-nanters-Never
to Waver in War
Against Home Role
ORANGEMEN HONOR CARSON
Enthusiastio Celebration in Belfast
Without Disorder.
NEAR CLASH IN LONDONDERRY
Homtx Exploded Oyer Catholic Por
tion of Cttr Darin Celebration
Gtves TUmo to Report
of Bnttle-
DRUMS EG, Ireland. July IS. The
Orangemen's demonstration bere today
culminated In a scene of Immense en
thusiasm around the tiny platform -where
Blr Edward Carson, Bible In hand, pledged
the covenantors never to surrender to
coercion, to remain loyal to the throne
and never to waver In their support of
their leader In the fight against home
rule.
Bar Edward Carson, In a speech whloh
evoked tremendous enthuslam, served
notion on the British government that
unless It was prepared to leave Ulster
alone It would very shortly find the TJl
atermen recognising no government ex
cept the provisional government of Ul
ster. He said he had been given authority
to act and that If 1 necessary that meant
he was to exercise his powers without
regard to consequences to himself. The
Ulster men he added, were not going to
give -way and were bound to win be
cause God would defend the right.
Sir Edward Carson offered tho govern
ment the alternatives of giving Ulster a
clean out out of home rule or of coming
to' fight tho Ulstermen. These, he said,
were the only possible alternatives. V.l
ster, he concluded, was claiming only Juk
Uoe and if it did not get It from the gov
ernment would take It for Itself.
Honor Carson,
BELFAST, July 1!. The Insistent de
mand of the Protestant portion of the
province of Ulster for exclusion from the
operations ot the Irish home rule bill
lent added Interest to today's celebra
tion of the anniversary of the battle of
the Borne. The celebration was carried
out bere with great enthusiasm.
Sid Edward Carson, tho Ulster Union
ist leader rode t the head of"" 6.000
Orangemen accompanied by the usual
fife and" drum bands and Including- a
sprinkling of brethren from the United
Elates ,and the British colonies. They
marched through .the city of Belfast to
Drumbeg, where a great open air meet
ing was' addressed by Sir Edward and
other leaders.
The Nationalist quarter of Belfast was
carefully avoided by the demonstrants,
and on no occasion during the procession
did 'the rival factions come Into contact
So little did the authorities expect trouble
that they depended entirely on the local
police force to keep order. All tho mili
tary were confined to barracks, as Is
usually the case during political demon
str&ttons. A great crowd of tourists. Including
many Americans, came to see the pro
cession and to hear the speeches which
Were a prelude to, resolutions calling on
Iho Ulster leaders to take what steps
they considered necessary to prevent Ul
ster coming under the authority of the
Dublin Parliament.
.Carson Hero of Day.
Sir Edward Carson was the hero of
the day. Buttons bearing bis portrait
Were worn by nearly every man In the
procession, while great canvasses spread
across the streets in the Unlolst section
of the city bore his likeness.
It Is regarded as significant that In
recent Interviews he has given Sir Ed
ward Is quoted as saying that the only
condition of peace is the exclusion of
Ulster "for the present" while the more
remote action of the Unionists must, in
his opinion, depend on tho way the Dub
lin Parliament treats Protestants In the
other provinces of Ireland.
Throughout the province of Ulster and
notably In Londonberry. extensive pro
cautions were taken by the authorities
against possible clashes between the or
ganised forces ot the Protestants and
Catholics.
Near Clash in Londonderry.
LONDONDERRY, England,' July 13.
The Orangemen here began the celebra
tion of the anniversary of. the battle of
the Boyne with' a cannonade, during,
which they projected their explosives so
that they burst over the residences In the
Catholic section of the city.
(Continued on Page Two.)
The .Weather
Forecast till 7 p. ra. Tuesday:
For Omaha, Council Bluffs and Vicinity
Fair; no Important change In tempera
ture. Temperature at
Omaha Yesterday.
Hours. Deer.
6 p. m S3
7 p. m m
8 p. m 83
Comparative Local Accord,
Wit W". 1911. uil.
Highest today II in n n
Lowest today 70 0 , 73
Mean temperature 78 tt 83 78
Precipitation CO .00 .00 .00
Temperature and precipitation depar
tures from the normal:
Normal temperature 77
Excess for the day 1
Total excess since March 1 283
Normal Precipitation .16 Inches
Deficiency for the day IS Inches
Precipitation since March 1 14.49 Inches
Deficiency since March 1 1.36 Inches
Deficiency for cor period, 1913. 1.37 Inches
Deficiency for cor. period, 1913. 7.29 inches
p. m. !!.!!'.!!!!!!! ?
i s p. m s
NAYY MEN AS DIPLOMATS
Daniels Advises Future Admire!
Study International L
MUCH DEPENDS OWmMKS&nn
Action of Admiral MaTWrampIco
and Commodore Terry in
Japan Are Ctteid Trro
Examples,
NEWPORT, R. L, July 13. How the
nation's foreign policy often hangs on
the action and discretion ot a naval of
ficer commanding a warship In a far
away port, was discussed by Secretary
Daniels here today at the opening of the
naval war college session. He pictured
the duties ot the naval officer In the role
of diplomat, recalled Incidents in which
commanders of American warships in
foreign ports had opened new chapters
In American history, and urged officers
at the college and marine officers to
train themselves In International law and
the languages In preparation for such
emergencies.
"If he bo uninformed as to the require
ments of international law, what conse
quences of evil may flow from his Ig
norance? If ha lack tact and a sense
of courtesy, how he may block the path
of his country to serve the people to
whom ho Is sent and prevent the opening
ot doors through which his countrymen
might enter to promote commerce and
forge ties of friendllnoss and amity?"
There had been no secretary of state.
Mr. Daniels said, who had availed him
self of the service of the naval officer
as a diplomat "who has shown greater
confidence In his ability, his judgment
and his absolute trustworthiness" than
has Secretary Bryan.
Mayo ForcM Ilrynn's Hand.
The speaker recalled tho demand made
for a salute of tho Stars and Stripes by
Admiral Mayo at Tampico as an example
of how the action of a. naval officer in
a foreign country precipitated "an issue
not contemplated in diplomatic channels,
and Irrevocably committed his govern
ment to a policy of action In support ot
his demand." Perry's achievement in
the opening, of Japan to commerce,
Dewey's brilliant victory and his adminis
tration In Philippine waters, and finally
Rear Admiral Fletcher's occupation of
Vera Cruz were pointed to by the secre
tary as conspicuous Instances of the
double service required ot the American
naval officer abroad.
"There is very recent proof that Perry
was a true prophet when, he foresaw
friendship between the United States and
Japan.' In the. present -llcxlcan trouble
the Japanese have been scrupulous to
prevent the shipment of arms by Japa
nese manufacturers."
Cuba and Philippine.
If all American diplomacy In the Spanish-American
war had been modeled after
that of Perry's, the secretary declared,
"the United States might not have yielded
to the temptation of imperialism. It our
government had followed closely the
diplomatic pace set by another great
commodore of the Untted States navy,
who, himself, followed the diplomacy of
Perry and squared his every action with
the basio doctrines ot our ropubllc, we
would not have strayed so far afield. We
would at least havo been consistent In
our diplomacy; we would not have laid
down one rulo for Cuba and another for
the Philippines.
"When you stop to think of It," said
the secretary, "no representative of our
government, official or unofficial, can
command such respect or can Impress
another country so deeply with the power
of his government as the captain ot a
warship lying In the harbor with Us decks
cleared, perhaps, for action, and its
ominous twelve-Inch guns trained on the
town. Believe me, gentlemen, that man la
going to be seriously listened to by every
official within range of the ship's arma
ment." Superior Again Wet
by Vote of the People
SUPERIOR, Neb., July 13.-(Bpecll
Telegram.) Superior's third election In
four months by referendum on the wet
and dry question today went wet by
forty-seven votes. At the spring eleo
tlon the town went dry by one voto tor
the first time In twenty-five years. The
next election in May went wet by eight
The drys carried this up to the district
court, which sustained the action ot 'he
city council that granted licenses, t?a
loons were closed for sixty day until
after the district judge decided tiie case,
July 3. enforcing the longest dry spell
seen here.
Both sides worked hard today and a
large vote was polled. Many surround
ing towns had bankers and other bail
ness men here.
Interest Growing in
Better Babies Contest
From a Staff Correspondent)
LINCOLN. July 12. (Special.) Interest
In the better babies exhibit at the state
fair is again becoming Intense. Entries
close August 17 and many requests for
blanks are being forwarded to Secretary
W. R. Mellor at Lincoln. There is no
limit to the number of entries, but the
blanks are so arranged that an examina
tion of these entries and a checking of
the measurements will reduce the actual
number to 200 entries.
The better babies exhtblt has been pro
vided with excellent quarfers In the new
agricultural-horticultural hall.
Foot Doll Star is Drowned.
HURON. 8. D.. July 13. (Special)-Fred
Andrews, son of Mr. and Mrs. M. T.
Andrews of Huron, was drowned In the
Jim river late Saturday afternoon, a cou
ple of miles from Huron, while swimming
with two companions. Andrews was a
Huron college foot ball star, having
played for to years on the team. He
was popularly known on the field as
"Bull Moose," and a very popular man
among the student. He was 20 years old.
deKKUav
Two-Mile Gap Connecting Capi
tal and Bera Cruz.
IAL REASON FOR RUSH
Relieved that Despot Flans to Make
Initial Run in Special for
the Outiscd.
CARRANZA IS UNCOMPROMISING
To Aocept Only Terms of Absolute
Surrender from Feds.
WILL ENGAGE IN NO PARLEYS
Cnrabnjnl Will Resign Unless Qnlok
Agreement la Reached Between
the Contending;
Factions.
WASHINGTON. July lS.-General Car
ranza formally notified the United States
today that he would engage In no me
diation whatever with the Huerta dele
gates and would accept only terms of
absolute surrender.
Huertn Prepnreji to Flee.
VERA CRUZ, July li Four hundred
laborers, acting under orders from Mexico
City, started work today repallng the
two-mile gap In the Mexican railway
connecting Vora Cms with the capital
and the rushing of the work Is believed
here to Indicate a possibility that the
first train to pass over the repaired road
may bo a special conveying General
Huerta and his family to the coast Tho
gap, which has'becn without rails since
April 21, will be restored to working or
der within two days at the most.
Carbnjnl Slay Resign.
MEXICO CITY-, July IS.-Authoritative
quarters here today declare that unless
a quick agreement Is reached between
the contending factions in Mexico, Fran
cisco Carbajal, minister for foreign af
fairs, will sever his connection with the
administration.
Lewis S. Sanborn
Drowned While in
Lake at Valley
Lews S. Sanborn, with the Campbell
& West Brokerage company, who lived
at 2311 Dewey avenue," was drowned Sun
day afternoon .while swimming In a sand
pit lake at y alley. When theTbddy was
recovered, lite was. found tcUbe extinct
andrall efforts to resuscitate the manpn-,lbTilnatlon race to soleot tho
were in vain.. third American entrant to the Inter-
Allen Parmer, a friend with whom
Sanborn lived, will accompany the body
to Xenla, O., where It will be Interred,
as that city Is the home of the victim's
parents.
He was unmarried and about 33 years
of age, and had been In Omaha only since
last October.
In company with Allan Parmer and
some other Omaha persons, Mr. San
born went to Fremont in an automobile
Sunday. Returning the party stopped at
Valley and went bathing In the lake.
Sanborn was able to swim but little and
got beyond his depth. lie called to the
others who were In the water and they
hurried to his assistance, but he sank be
fore they reached him.
The coroner went to Valley last night
to take charge of the body and bring It
to this city.
Little Girl Bitten
, by Rattlesnake
TKCUMSEH. Neb., July 13.-(Speclal.)-Llttla
Loretta Burch. three-year-old
daughter of Mr. and Mrs. C. P. Burch,
who lives six miles southeast of this
city, was at play with other children
In the yard yesterday. A peculiar look
ing, moving object on the ground attracted
the attention ot the child and she picked
It up. It was a rattlesnake, and the
reptile wrapped Itself around the child's
bare arm and embedded Its fangs Into
the arm three times before it fell to the
ground. The children hustled the little
girl Into the house and a physician called.
By the time he got thore the arm was
considerably swelled, HaBty treatment
was administered and it Is thought there
will be no bad results.
HOWELL NO WTALKS OF
STOCK YARPS VALUATION
(From a Staff Correspondent.)
LINCOLN, July 13.-(Spoclal.)-R. B.
Howell of Omaha, who recently filed for
the republican nomination for governor,
was at the state house this afternoon In
consultation with the State Railway com-
mission relative to filing an application
for aphyslcat valuation nf the South
Omaha stock yards corporation. While
refusing to say positively that the ap
plication would be made he admitted
that It might be made at some time in
the future.
Ho was asked by a Lincoln man to state
his position on university removal, but
Mr. Howell refused to commit himself
on either side, saving that it was a
proposition which was before the people
to decide.
He denied that he was to confer with
F. P. Corrlck regarding the withdrawal
of Harry E. Saekett In order that he
might get the bullmoose endorsement
saying that he would run only on the re
publican ticket
WESTINGH0USE PLANTS
RESUME OPERATIONS
PITTSBURGH. July U.r-Th strike In
the Westlnghouse factories was formally
ended today when approximately 3,000
men and women returned to the shops.
All plants were placed on full time and
all of the strikers were taken back .with
the exception of 200 or 300 whose places
had been filled. Half a dozen deputy
sheriffs were on guard at the electric
works, but It was said they would be
recalled during the day.
Drawn for Tho Uee by Powell
LAST BALLOONHEARD FROM
San Francisco Lands Hundred Miles
from St Louis.
GOODYEAR WINS THE CONTEST
It Lnndi Near Constancy Kr. Abont
Three Hundred Miles Array
Pilot John Watts Is
Slightly Injured.
ST. LOUIS, July 13. The balloon "Ron
Francisco 1915" landed eleven piles south
east of McLoonsboro, 111., at 10 o'clock
Sunday morning, according to a telegram
received from E. S. Cole, the pilot, today.
McLoonsboro Is ninety-five miles south
east of St Louis, and the balloon .covered
about 106 miles in an air line.
All eight baloons that sailed from here
last Saturday afternoon now have been
heard from, and the winner ot the
national race that mil! start from Kansas
City next October is the balloon "(Jood.
year." This balloon landed nt Constance,
Ky., about 300 miles from St Louis.
The two other entrants for the Inter
national race aro the men who won first
and second place In the last International
race R. H. Upson of Akron, O., and H.
E. Honeywell, of St Louts.
Ten Persons Drown
in New York Sunday
NEW YORK, July lJ.-The first hot
Sunday of the summer drew thousands
to the waterside for rellof with the result
that ten drownings were reported to the
poUce during the day and night. Two
young boys died In sight ot thousands In
prospect park lake, Brooklyn, through
the capslxlng of a boat.
More than 150,000 persons, many of
them mothers with babies, were held at
Coney Island until early morning because
of a blowout of a transformer, which
supplies power to the trolley cars and
elevated roads running to the beach re
sort. Thousands of persons sat or slept
on the beach front until daylight
Charlton's Lawyer
Starts for Italy
NEW YORK, July 13. Former Judgo
John Palmlerl sails for Italy tomorrow
to prepare the defense of Porter Charl
ton, who Is to be tried at Como In Oc
tober or November for the murder of
his wife. Paul Charlton, father ot the
accused, formerly a federal judge In
Porto Rico, will sail later and assist In
presenting the testimony by which It Is
hoped to establish that Charlton was In
sane at the time of the crime. Judge
Palmlcri has been granted admission to
the Italian bar for the trial of this case.
Girl Cashier Robbed
of Eight Thousand
ST. LOUIS, July 13. Miss Esther Cohn.
cashier at a wholesale grocery, was robbed
ot a satchel said to contain $8,000 In
checks and cash, on the street here to--day.
Miss Cohen was on the way to a bank
with the money when the robbery oc
cur ed. She left the wholesale establish
ment of her father but a few minutes
before when a robber darted out from
an areaway ana snatcnea ine satcnei.
He ran through a hallway and disap
peared. The National Capital
Monday, July 12, 1014,
TbA Senate.
Mot tills, m.
Interstate Commerce Commission's re
port on its investigation ot Hew itaven
financial affairs was received.
Judiciary and Interstate commerce com
mittees continued work on anti-trust bills.
By vote or w to 7. insisted on wo mile
age for congressmen.
Foreign relations committee continued
consideration ot the Ntcaraguan treaty.
The Ilonse.
Met at noon.
District ot Columbia legislation was con
aide red.
4i
' '
Lg$J
Mystic Monk, Who is
Friend of the Czar,
Stabbed by Woman
ST. PETERSBURG, July 13.-Detalls
reached hero today In a dispatch to the
Courier ot a probably fatal attack on
tho mystlo lay monk, Gregory Rasp'Jtln,
whose Influence over tho emperor Is said
to be very great
Rasputin, who has boen one of the
most prominent figures in Russia In re
cent years, was visiting his nattve vil
lage, Pokrovsky, In the province of To
bolsk, Siberia, when a woman, a stranger
to the locality, approached him, pretend
ing to be a beggar. Aftor accosting him',
she stabbed him In the abdomen with a
long military dirk.
The assailant was arrested and con
fessed she had waited two weeks for
the opportunity. She said she had de
cided to ; kill the., monk, because hecwas
a fslse prophet, and was leading every
body In Russia astray.
Doctors who examined the monk's
wound declared it was llkoly to prove
fatal.
Mrs, Nelms Asks
Shriners to Help Her
Locate Daughters
ATLANTA, Ga., July 18. An appeal to
Nobles of tho Mystic Shrine throughout
North America to aid In the search for
her missing daughters, Mrs. Elols Dennis
and Miss Beatrice Nelms, was Issued hero
today by Mrs. John W. Nelms. Mrs.
Nelms also Invoked the assistance of
club women of the country to the same
end.
Explaining her action in calling on the
Shriners for help Mrs. Nelms said that
her husband on his deathbed had given
Mrs. Doniils his Shrlner pin and that
Mrs. Dennis afterward gave this pin to
Victor Innes, who sho said, told her that
he was a member of tho order.
There were no additional developments
here today In connection with the disap
pearance of tho two women. Detectives
made careful examination ot ail papers
and correspondence lit the Nolms' home
In an effort to discover something which
might throw light on the mystery, but
were unsuccessful.
Wilson Says Jones
Will Be Confirmed
WASHINGTON, July 13.-Presldent
Wilson today denied that there was any
conflict between him and the senate over
the nomination of Paul Warburg and
Thomas D. Jones as members of the fed
eral reserve board. In talks with callers
he declared he was working In comptote
harmony with the democratic majority In
tho senate, with only one or two excep
tions. Mr. Wilson said he had definite
assurances Mr. Jones would be confirmed.
He did not discuss the case of Mr. War
burg except to say that he thought the
senate as a whole would be perfectly fair.
NEW APPLICATIONS COME
FOR BOYS' ENCAMPMENT
(From a Staff Correspondent.)
LINCOLN. July 13.-(Speolol.)-Threa
counties that did not secure representa
tion last year at the Boys' school en
campment at the state fair have for
warded lists of delegates to Secretary W.
R, Mellor. These counties are Keith,
Howard and Phelps.
The Boys' school feature has received
commendation from educators In all
parts of the state. The boys secure
practical Instruction in agriculture.
horticulture, farm machinery, athletics
and farm marketing.
All railway faro In excess of 35 Is paid
by the State Board of Agriculture. Each
county Is entitled to two delegates. The
county superintendent In each county dl
recta the examination ot applicants.
HUNDRED GERMAN SOLDIERS
ARE OVERCOME BY HEAT
BERLIN, July 13. Two German soldiers
died and over 100 others are III today
from sunstroke by which they were af
fected yesterday during military man
euvers at Frankfort-on-Oder The
weather was the hottest experienced in
Germany this yean-
CROP CONDITIONS ARE GREAT
Remain Perfeot Throughout Vari
ous Parts of State.
SMALL GRAIN OUT OF THE WAY
Prnetlcally All nf It Harvested and
Corn Is Mnklnw a Wonderfnl
Growth as lleaalt of
Heat and Molstare,
Crop reports ot the railroads for the
week ending last Saturday night Indi
cate that soil conditions In Nebraska con
tinue to remain perfect, that tho small
grain is practically all harvested and that
corn Is making a wonderful growth.
Last week was by no means a dry one,
according to the reports to the Burling
ton. Everywhere thero was om abundance
of rnolsture and In many localities more
than, needed, the rajiV being trie heaviest
over' t nScourttry 'bacV'from - the "Mlssotrri
river lid miles or so. The amount of
precipitation at some of the places fol
lows; Inches.
Inches,
Washington .... l ,
Oxrord ZV,
Arapahoe 2
Red Cloud l&
Orleans 6
Republican 3
Hofdrege 1V4
Schuyler 1
Aurora l
Greeley Center.. 1
Central City 1
Stromsburg 1UI
Erlcaou 1H
Mattings i
Falls City 1
Wilcox V,
pruning i
Temperatures Lower.
Temperatures generally were lower than
for the corresponding week ot one year
ago.
As to the wheat, the Burlington crop
report has this to say:
"The harvest Is practically over and no
one Is disappointed in the yield as thresh
ing progresses, the crop turning out bet
ter than was expected."
The condition of corn In the Burlington
territory Is estimated as follows, the
estimate being on the tan-year average:
Omaha division, 100; Lincoln, 101; Wy
more, 103; McCook, 98.
Maher Comes from
Race of Fighters
(From a Staff Correspondent)
LINCOLN. July 13.-(8pcclal.)-If any
one questions the fighting ability ot Colo
nel John G. Matter, candidate for the
democratlo nomination for governor, In
which position his pol'.t.'cal brethren are
trying to convey the Impression that the
colonel Is a Joke, they are respectfully
referred to his ancestors and relatives,
which shows that the colonel camts
from some stock.
An uncle of Mr. Muber Is Judge John
J. Maher ot South Carol'ns, who was one
of the leading lawyers of that state, and
codified and comp'led the laws of the
state and was a circuit judge. He served
with distinction In the southern army
and was the orator who received the
cplcrs when .the trorps marched out.
He Is related to Oscar Underwood, Sen
ator Lee and Josephus Daniels. That he
gets his political courage honestly a
shown by the fact that alt through the
south his relatives are In the thick of
the fight. In Georgia, i relative. Thomas
B. Felder, Is attorney general ot the
state and a candidate for United States
aerator. In South Carolina nnothrr id.
stive, Carl Slmms, Is a can I date "for
governor, A cousin In Black vlllj, writes
to him that she heartily agiees with hlrn
on prohibition and woman's right's and
urges him to fight foi the things he
favors.
TWO DOUGLAS COUNTY
DAMAGE SUITS APPEALED
(From a Staff Correspondent)
LINCOLN, July 13.-(8peclsl.)-Two ap
peals from the district court of Douglas
county were filed with the clerk of the
supreme court today.
The first was an appeal by Emma B.
Manchester from a Judgment secured by
William Hurst who was run over by an
automobile belonging to the former and
Injured on October 7, 1913, at Twenty-
nloth and Leavenworfn streets In
Omaha. The suit was for 310,000, but the
Jury only gave a verdict for 3500.
The second appeal was by the Missouri
Pacific railway against a Judgment
secured by the estate of Joseph Cheloud
for 34,(00, who was killed by being run
over by a locomotive In South Omaha.
Tho suit was for 310,000. The accident
occurred on Decemeber 23, 1S11.
DIRECTORS ARE DENOUNCED
Report Says They Should Bo Held
Individually Liable for Di
verted Funds.
PROSECUTION IS RECOMMENDED
Copies of Report Sent to Attorney
Generals of Five States.
MANY INSTANCES ARE CITED
Millions nf Dollars Patd to Attor
nrys and Promoters Wlthont
Apparent Service Die
Floating Debt Created,
WASHINGTON. July IS. "Criminal
negligence" and "one ot the most glaring
Instances ot maladministration revealed
In all the history of American railroad
ing," were the terms the Interstate Com
merce commission employed today In re
porting to the senate on Its Investigation
ot New Haven railroad financial affairs.
Th commission's conduson may be
summed up this way:
Losses to New Haven stockholders for
the acts of their directors will range from
100,000,000 to 390,000,000. Suits to recover
the money should He In some cases.
Many of the transactions, characterised
violations ot the laws ot New York,
Rhode Island and Massachusetts, and th
federal anti-trust laws, have been re
ported to the authorities of the states
and the federal Department of Justice.
Ularisn and Rockefeller.
The depreciation of the Boston
Maine began with the "Mellen-Morgan-Rockefeller
management" came Into
control.
John L. Billiard of the Blllard com
pany were merely agencies of the New
Haven; Billiard never used a dollar of
his own money and burned his books and
papers. It was not the understanding
of the New Havenb oard that he should
take profits of more than $3,000,000.
"All the assets of the Blllard company
belong to New Haven stockholders, and
a suit by tho railroad against Blllard
and those who participated In the trans
actions should be maintained."
Dummy corporations and their use.
which the report says in the New Haven
was frequent are condemned In un
measured terms.
The system of Interlocking directors la
condemned as It existed, on the New
Havsn and in gehexkha,jaljl
sVa.'Jt' found most' every other Intercut
was better1 represented on the New Haven
board than the average stockholders.
Mellen nml I-lyrnes.
President Mellen's dealings with former
Police Inspector Byrnes of New York In
tho West Chester railroad transactions
were branded as "corrupt and Unlawful."
The amount Illegally expended should ba
recoverable.
The purchase of Rhode Island trolley)
lines and coastwise steamships were de
scribed kh extravagant and wasteful.
All the transactions, the commission
holds, were consummated with the ob
ject of setting up a complete transpor
tation monopoly In New England In vio
lation ot the federal atatutes. 0
All the commission's strictures were or
the management of the New Haven sys
tem under former President Mellen. In
Justice to the present management the
commission says It Is but fair to say that
Chairman Howard Elliott and Walker D.
Hlnes, special counsel, "have co-operated
with the commission and rendered It sub
stantial assistance throughout this In
vestlgatlon.
Many Significant Instances.
The report cites these "significant In
cldenLs:'-'
"Marked features and significant In-
cldtnts In the loose, extravagant and lav
provident administration of the finances)
ot the New Haven, as shown In this in
vestlgatlon, are the Boston & Maine
despoilment, the Inequity ot the West
chester acquisition, the double price paid
for the Rhode Island trolleys, the reck
lessness in the purchase of Connecticut
and Massachusetts trolleys at prices ex
orbitantly In excess ot their market value,
the unwarranted expenditure ot largo
amounts In 'educating publlo opinion,' tho
disposition, without knowledge ot the di
rectors, of hundreds of thousands ot dol
lars for influencing publlo sentiment; too
habitual payment ot unttemised vouchers
without any clear specification of details,
the confusing Inter-relation ot the prin
cipal company and It subsidiaries and
consequent complication of accounts, the
practice of financial legerdemain In Issu
ing large blocks ot New Haven stocks for
notes or the New England and Naviga
tion company and manipulating these se
curities back and forth, fictitious salsa
of New Haven stock to friendly parties
with the design of boosting the stock and
unloading on the public at the higher
'market price,' the unlawful diversion of
corporate funds to political organisations,
the scattering ot retainers to attorneys)
of five states, whq rendered no Itemised
(Continued on Page Two.)
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One of the largest packing
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I specially commend ths de
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The name ot this advertiser
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paper Publishers Association,
World Building, New York.