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
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