Omaha daily bee. (Omaha [Neb.]) 187?-1922, August 20, 1917, Image 1

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Omaha Daily
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Treasury Head Formulates Bill to Float Immense Project;
Small Investors Want to Be Cared for in Liberal
Installment Payment Provision; To Safe
guard Government Needs.
(By Associated Press.) ,
Washington, Aug. 19. Authorization to issue bonds and
certificates totalling $11,538,945,460 at one time,vis provided in
the new war budget bill embodying recommendations of Secre
tary McAdoo, which came from
ways ana means committee.
In . addition to authority to float a
$7,568,945,460 4 per cent 'bond issue to
care for a previous $3,000,000,000 and a
future $4,000,000,000 allied loan au
thorization, the secretary desires pow
er to issue additional certificates of in
debtedness to the amount of $2,000,
000,000 and an equal mount of war
savings certificates in a form available
to small investors.
Lives of the certificates of indebt
edness and war savings certificates
would be limited to one and five years,
respectively, and they would be sub
ject to discount tn payment in the
discretion of the secretary.
He also would fix the interest rates
and regulate interest payments. They,
like the bonds, would be subject only
to super tax war profits and excess
profits taxes.
Will Safeguard Treasury.
Inclusion of the two additional cer
tificate proposals, not mentioned here
tofore by administration leaders in
connection, with the bill is understood
to be principally for the purpose of
providing against a sudden demand
for mouey which the treasury might
. 1 1 i A - A.
not be able to meet
As congressional leaders under
stood the situation, it may not be
necessary to issue many of the certi
ficates, but they would 4 prove the
means of getting moneyquckly if it
we re needed;
Authorization to issue the certifi
cates would prove particularly valu
ble, it is pointed out, if congress
should not increase the revenue bill
now under discussion, by $500,000,000,
as proposed by McAdoo. It is by no
means certain that this proposed in
crease will be secured.
' hi the war savings certificates pro
posal, administration leaders think they
have discovered a means of appealing
to the patriotic man of small means.
In Small Denominations.
Purchases of these certificates would
..he limited to $100 worth at a time
and no individual would be permitted
io hold more than $1,000 worth of
them. Plans also are being made
to accept very small payments on
them, the bill providing the secretary
may, if he deems advisble, issue
stamps to evidence payments.
Under such an arrangement pay
ment of such amounts as $1 or less
might be made and noted as are postal
savings bank deposits.
Ko feature of the entire loan scheme
will receive greater or more careful
attention than this one. Leaders feel it
is'cssential to the success of the war
that every one be- made to feel that
he is doing his bit, particularly in a
financial way.
Interest 'Not Determined. y
Although the interest rate has not
been determined, it doubtless will be
ample to attract investors.
In general respects the bill is simi
lar to the budget of last April, which
authorized $5,000,000,000 worth of
bonds and $2,000,000,000 in certificates
of indebtedness. The new 4 per cent
bonds could not be sold for less than
par. and the secretary would be au
thorized to purchase allied bonds at
par, but their rates of interest must
not be less than the ' highest rates
paid by the United States bonds.
Convertible at Higher Rate
The new bonds also would be con
vertible if later the United States
should issue other bonds at a higher
rate of interest. None of the bonds
would bear the circulation privilege.
Indications tonight are that the bill
will not be taken up for passage unitl
ifter the revenue bill passes the senate
lrobablv late next week.
The Weather
fur Xebraska Unsettled. .
Temperatures at Omthi Yesterday.
ComparattTe Local Beeord.
' HI?. H16. HIS. 1114.
Highest yesterday.... 87 95 76 84
I.oweat yesterday 67 76 60 75
.Mean temperature.... 77 86 63 80
?rectpitation 78 .00 .00 T
Temperature and precipitation departures
Trom the normal:
Normal temperature 74
Kices for the day S
Total deficiency since March 1 188
Normal precipitation 11 inch
Excess for the day... 67 inch
Total rainfall since March 1 11.27 inches
Deficiency slnca March 1 1.24 inches
Deficiency for cor. period, 1916,. 1.19 Inches
Excess for cor. period, 1915..... .88 Inch
T Indicates trace of precipitation.
M3a;8 :jt S:::::::::: SS
jFM i IF' 8 a. m 71
f fcl a. m 73
MT-VV 1 ' m 83
C&uo 3 p- m 8J
y3J v 4 p. m 73
t&P- t p. m 74
-jLcV 8 P- m 75
g32s5gegS 1 P- m 76
the printer today to the house
Hoover Appeals to All Persons
to Save One Pound of Flour
Per Week in Effort to
Meet Grave Emergency.
(By Associated Press.)
Washington, Aug. 19. Declaring
the United States and its allies face a
wheat deficit of 400,000,000 unless new
economies are introduced, Herbert
Hoover tonight appealed again to the
American people to eliminate waste
and to conserve wheat by substituting
other cereals.
A saving of one- pound of wheat
flour a week by every person, he de-J
clared, would go far toward solving
entirely the food question. .
"The allies," said Mr. Hoover in a
formal statement, "are isolated from
those markets, ether than Canada and
the United States, on which- they tare
accustomed to fely befors the war.i
-"The Russian supply cannot be got
out. Bulgarian and Roumanian sup
plies are in the hands of the central
empires. The voyage from Australia
and India is three times iks long and
therefore requires three times as much
shipping as is required from North
Atlantic ports.. There has been a
large failure in the South American
Difficulties in Way.
"AH the allied countries are riiror-
ously administering and economizing
their foo(d. But the allies are unable
to use other cereals alone for bread.
They can use them only as added to
wheat flour to make tlje war bread
now in universal use in European
"The deficit of 400,000.000 bushels
can be at least partially overcome if
we can increase' our exports from
88,000,000 to 220,000,000. This can be
accomplished if we will substitute one
pound of other cereals for one pound
of wheat flour weekly per person; that
ts, it we reduce our consumption of
wheat flour from five pounds per
week to four pounds per week per
person. f ,
"It will be no privation to us and
will reduce the , privation of our al
lies." France. Italy, the United Kinedotn
and Belgium, Mr. Hoover estimated,
must import during the next twelve
months 577,000,000 bushels of wheat
and 674,000,000 bushels of other ce
reals to meet normal consumption re
quirements. Against this is balanced
an estimated wheat surplus of 88,000,
000,000 bushe)s in the United States
120,000,000 bushels in Canada and a
surplus of other cereals totaling 829,
000 bushels in the United States and
119,000,000 bushels in Canada.
Face Grave Responsibility.
These figures alone represent a
wheat deficit of . 369,000,000 bushels,
but in addition it is pointed out that
the United States must reserve a part
of her supply for neutrals furnishing
this country vital supplies and must
also protect its reserve stocks, bring
ing the total deficit up to about 400,
000,000 bushels.
"While this situation is one of great
difficulty and concern," said the food
administrator, "it must be met and
met by elimination of waste and re
duction in wheat consumption and
proper substitution on the part of the
allied people and ourselves; in one
word, by an effective administration
of the available supply." . -x
Denison Tells of Work
Preparing for Troops
Army Y. M. C. A. Headquarters,
Deming, N. M., Aug. 19. We are
working along as fast as it is possible
for us to do, getting ready for the
troops. We are already working with
900 colored troops who are here on
One building for the Y. M. C. A.
is practically completed and we are
to open this for the men immediately.
There are five other buildings to com
plete. -
We are finding the - heartiest co
operation here on the part of the
town people and officers at the camp,
and Captain Sharp is doing every
thing possible on work with the quar
termaster's department.
Camp General Secretary.
Nine Arch Plotters, Led by Kaiser,
Plunge World Into Bloodiest War at '
Fateful Pottsdam Meeting, July 5, '14
NEW BRITISH GRIP ON LENS Heavy black line ahowa
the present battle line, which has been advanced by the
Canadians north of Lens over a two-mile front to a depth of
a mile. Arrow points to the famous hill 70, the key to the
German defenses uuth?-?,rea, which was captured together
wth severaU'- . suburbs of Lens.
v .. . . ,
Congress Has Spoken Other
wise and Regulations Pro
mulgated Will Be Carried
Out to the Letter.
(By Associated Fress.)
Washington, Aug. 19. Renewed
discussion of the status of married
men under the selective service law
has been aroused by publication of
President Wilson's reply to .Senator
Weeks' inquiry dealing with this and
other subjects.
In many quarters the president's
statement that he had no doubt Sena
tor Weeks' point as to the exemption
of married men was well taken, was
interpreted as an indication that he
approved exemption of any man of
family who had not married merely
to escape military duty.
The president has full power to di
rect that the regulations governing
selection be amended to this effect.
A proposal specifically to exempt all
married men was made when the bill
was in the senate, an amendment to
that effect by Senator Smith of Geor
gia being lost by a wide margin.
This fact, together with the regula
tion later promulgated by the presi
dent . aking exemption possible only
in case of actual dependency, are
taken as indications that no general
exemption of married men, as a class,
will be given now!
Care With Last 10 Per Cent.
In cautioning local boards today
against attempting to fill quotas by
selecting an inequitable number of
men who have waived exemption and
are, therefore, practically volunteers,
General Crowder said that the great
est :are must be exercised in sending
forward the last 10 per ce-1 of any
quota. 1
"The lust 10 per cent," he says,
"must be selected with great care to
be sure that no one in tnc whole
quota .., r.nt for military duty while
a selected person with an earlier order
of obIig;tion for military service is
allowed to remain at home."
Slackers Are Deserters.
Renewed instructions that drafted
men who fail to report for service
will be classed and punished as de
serters, were sent to United States
district attorneys and agents of the
Department of Justice tonight by At
torney General Gregory.
Provost Marshal General Crowder
has ruled that persons who neglect
to appear for examination will be ac
cepted automatically and that the
privilege of claiming exemption will
be denied. It was to help carry this
policy into effect that the attorney
general acted. His instructions fol
low: '
"It has been determined by the
(Continued en Page Two, Column One.)
Arrest I. W. W. Members
As Military Prisoners
Spokane, Wash, Aug. 19. James
Rowan, district Secretary of the In
dustrial Workers of the World and
twenty-five other alleged members
of the organization, were arrested at
local Industrial Workers of the
World headquarters here this after
noon by a comanpy of Idaho Na
tional Guardsmen and placed in the
county jail as military prisoner
. (
President's Session With Fed
eral Commission Indicates
Definite Steps Toward
Price Reduction.
(Br Associated Press.)
Washington, Aug; 19. Indications
that the government, is preparing to
take control of the coal industry
strengthened today when President
Wilson paid a visit to the federal
trade commission and went over with
its members estimates of coal produc
tion costs and recommendations for
dealing with the situation completed
by the commission last night after
months of investigation. Definite ac
tion to reduce prices to the consumer
and to bring about a better distribu
tion, it was learned, will be taken
early next week. ,
i Before going to the trade commis
sion the president called on Herbert
Hoover, named to administer the food
act, in which are provisions for con
trol of coal. Attorney General Greg
ory and Judge Robert S. Lovett of
the war industries board, it is under
stood, will be given powers invested
in the executive in a recent law gov
erning priority of railroad shipments.
Complaints Pour In.
The president is deeply concerned
over the coal situation. Even repre
sentatives of the operatives admit
that parts of the country face a short
age this winter and from the public
complaints are pouring in that prices
are out of all reason. The fact that
several governors are threatening to
take over the industry in their states
is prompting early federal action.'
Three courses are open to the presi
dent. He may fix prices at the mines
and to consumers.
He may direct some government
agency to requisition the output of
all mines, selling it to the public.
The third course would contem
plate a voluntary agreement by op
erators to sell at a fair price, with
the government directing distribu
tion. Officials who have followed the sit
uation most closely believe the presi
dent will direct the requisitioning of
all coal mined.
This, it is understood, is the recom
mendation of the trade commission,
which has worked out a plan of pro
cedure. Under the provision of the
food bill he government would con
trol shipment, distribution and appor
tionment. Price Fixing Plan.
The trade commission, it. is under
stood, has worked out a complete
plan for price fixing, in the event the
president does not believe the situa
tion requires commandeering. This
program provides for government op
eration of mines refusing to sell their
output at the prices fixed.
The requisitioning plan, if adopted,
(Continued on Pate Two, Column One.)
Capt. Guynemer Bags
Two More German Planes
British Front in France and Bel
guim, Aug. 19. From a section of
the French front comes the word
that the renowned aviator, Captain
George Guynemer, brought down
two more German machines, making
fifty-two he has accounted for,
Hollweg, Tirpitz, Falkenhein
von Stumm, Archduke Fred
erick, Count Bechtold,
Count Tisza and Gen.
Hortzendorf Present.
(r Staff Correspondent London Times.)
In the report of Herr Haase's
speech in the Reischtag, which ap
pears in the Leipziger Volkszeitung
of July 20, there isa reference to "the
meeting of July 5, 1914," as one of
the matters which will have to be ex
plained before the origin of the war
is fully understood.
This is the first public reference to
a date which will probably become the
most famous of the fateful month of
July. 1914.
I have it on authority which it is
difficult, if not impossible, to doubt
that the. meeting referred to was a
meeting which was held at Potsdam
on the date named.
There were present the kaiser, Herr
von Bethmann-Hollweg, Admiral von
Tirpitz, General von Falkenhayn,
Herr von Stumm, the Archduke Fred
erick, Count Berchtold, Count Tiza
and General Conrad von Hoetzen
dorf. It appears that Herr von Jagow
and Count Moltke were not present.
Decided Upon War.
The meeting discussed and decided
upon all the principal points in the
Austrian ultimatum which was to be
dispatched to Serbia eighteen days
later. It was recognized that Russia
would probably refuse to submit to
such a direct humiliation, and that
war would result.
That consequence the meeting defi
nitely decided to accept. It is prob
able, but not certain, that the date
of mobilization was fixed at the same
The kaiser, as is well known, then
left for Norway with the object of
throwing dust in the eyes of the
French and Kussian governments.
Three weeks later, when it became
knowiv that England would not re
main neutral, Herr von Bethmanh
Hollweg wished to withdraw, but it
was too late. The decision of July S
was irrevocable.
July 5 Fatal Date, .
"The peculiar way, or rather ways,
in which these facts have become
known cannot as yet be told. But it
is certain that most of Herr Haase's
hearers were fully aware of the. mean
ing of his reference to July S.
For the subject appears to have
been more fully and explicitly raised
in secret session of the budget com
mittee of the Reichstag eight weeks
ago by the socialist deputy, Herr
He challenged a certain minister
to deny the facts. To the astonish
ment of the other deputies, the minis
ter did not deny the facts, but de
clined to make any statement.
The incident created an immense
sensation in the Reichstag committee
and was possibly one of the factors
underlying the recent political crisis.
The fact that Herr Haase has now
raised the matter in public seems to
indicate that he and his fr'ends con
sider that the time has come to bring
the full truth to light.
Some Pertinent Dates.
(By correspondent of the London Times,
formerly In Berlin.)
It may be well to recall some facts
and dates.. It was on'June 28, 1914,
that the Archduke Francis Ferdinand
and his wife were murdered at Sara
jevo. The kaiser, who was at Kiel, re
turned at once, and, although he had
abandoned his hope of attending the
funeral at Vienna, remained at Ber
lin until July 6, when he traveled to
Kiel and left for the north in the im
perial yacht.
July 26 Sir Horace Rumgold .charge
de affaires at Berlin, telegraphed to
Sir EH ward Grey:
"Emperor returns suddenly tonight,
and under secretary of state says that
foreign office regret this step, which
was taken on his majesty's own initi
ative. They fear that his majesty's
sudden return may cause speculation
and excitement."
The Austrian ultimatum to Serbia
had been presented at Belgrade on
the evening of July 23.
Von Jagow Predicted Sensation.
As regards the German personages
named in our correspondent's com
munication, Herr von Jagow, then for
eign secretary, repeatedly denied that
he was aware of the contents of the
Austrian ultimatum before it was pub
lished; to me, among many others, he
pledged his word on this point.
If the late Count Moltke, then chief
(Continued on Faca Two, Column Two.)
Cupid Not to Be. Denied, Young
Lovers Have Military Wedding
(From a Staff Correspondent)
Lincoln, Neb., Aug. 19. (Special.)
The Auditorium at the fair grounds
today was the scene of a military
wedding, when in the presence of 600
soldiers and many citizens, Miss
Julia Zimmerman of Jeanette, Pa., was
united in marriage to Private George
A. Wright of the First Field Hospital
company of Lricoln.
With the regimental bands of the
Fifth and Sixth regiments playing the
wedding march, the bridal party en
tered the Auditorium and with the
groom's company occupying the front
of the sfage, thz.ttxcmofy was per-
A. .. '
Canadians Holding Captured Positions Commanding Lens
Meet Teuton's Flaming Machines and Gas Shells
With Withering Shot and Bayonet Thrusts;
Sanguinary Hand to Hand Struggle.
(Br an Associated l'res Correspondent.)
British Front in France and Belguim, Aug. 19. Late re
ports regarding the German counter attack this morning against
the Canadian positions northwest of Lens show it was a des
perate attempt to regain territory lost by the invader in the
great British assault of Wednesday.
Teutons Repelled in Roumania
and Slanic Region; Violent
Battle Continues on
West Front. , .
p -
Petrograd. Aug. 19, German troops
yesterday attacked Russian positions
near tSakhovcy, on the Vilna front,
but, according to the Petrograd war
ogee, the attack broke down under
the Russian fire.
On the Roumanian from! Austro
Germans several times assaulted the
Russo-Roumanian 1inf snutli nf Cm.
zecnii in soutnwestern Moldavia, but
were repelled. , The battle in the
Slanic region lasted all day, the Teu
tons being repulsed.
Germans Renew Attacks.
Parrs. Aug. 19. After violently
bombarding the French positions
German troops last night made con
secutive attacks on the French
trenches in the Priest wood west of
the Muerthe and Moselle river 'and
in the Vpsges mountains to the east
of Badonviller and north of Celles-Sur-PIains.
'The French official re
port issued today says all the Ger
man assault were rrniilsorl onrt that
, .. . .. .
the Teutons suffered heavy casualties.
uerman surprise attacks on theAisne
front, it is announced, also failed.
Britons Storm Trenches.
London, Aug. 19. British troops
this morn in C etnrmril th Crmm
trenches in the neighborhood of Gil-
leniont tarm, between the towns of
Lemrjire and Bonv.
front in France. On this same front
British raiding parties last night en
tered German positions southwest of
Havrincourt. Field Marshal Haig re
Dorts that heavv rasnallips wnr. 'in.
Aided on the Teuton garrisons.
Hand Book of Service Brought
Out by Federal Government
Washington, Aug. 18. A "national
service hand book designed to point
the way to opportunities for serving
the nation during the war was pub
lished today by the committee on pub
lic information. The volume contains
about 250 pages and includes an ex
haustive compilation of data about
the government, army and navy and
the many semi-official and independ
ent committees and organizations
which are helping to fight the war.
Persons of every occupation and
trade are shown where they can best
apply their abilitities and energies for
thejpiiblic welfare.
Launch $250,000,000
Treasury Certificates
Washington, Aug. 19. Another
issue of treasury certificates of in
debtedness totalling $250,000,000 and
payable November 30, was launched
today in furtherance of the prepara
tions for financing the second Liber
ty loan. A $300,000,000 issue of cer
tificates for that purpose recently
was offered and largely over-subscribed.
Subscriptions are to close at noon
next Saturday, August 25, and the
certificates will bear interest at V
per cent like those of the last issue.
The proceeds will be redeposited in
the banks, treasury officials an
nounced, so far as practicable.
formed by Chaplain Jean Cobby of
the Fifth regiment.
Officers of the regiments and bri
gade, were also present and extended
congratulations after the ceremony.
Mrs. Wright will stay in Lincoln until
her husband leaves for the front, at
an early day.
It-is said that the wedding was in
the nature of an elopement, and
neither the parents of the groom or
the bride knew that the marriage was
to take place. As soon as Private
Wright knew that he was to leave
soon he sent for Miss Zimmerman
and she left her home on the first
"HILL 70
1 German prisoners say word had
been passed to them that they must
retake Hill 70 at any cost, and the
fierceness of the German counter at
tacks, since this hill was wrested from
them and British position established
in front of it, Indicate that this state
ment is true.
The Germans yesterday afternoon
launched infantry attacks against this
northwest section of the Canadian de
fense, accompanied by flaming ma
chines and a hurricane of gas shells.
They were hurled back with cold
steel after suffering heavy losses.
They again advanced during the
evening against the suburb of St.
Emilie and at Hugo wood to the
northwest," and the second time thev
were forced to fall back.
Heavy Fighting Follows.
. This morning at 1:30 the heavy ac
tion began along the entire line north
of Lens, the Germans supporting their
infantry with a concentrated artillery
fire. In the fierce hand-to-hand fight
ing that ensued the Germajis sepeat
edly hurled themselves against the
Canadians, but the defenders held like
a stone wall and the attackers finally
fell ' back, exhausted and with their
numbers greatly reduced. Many
bodies lying in frout of the Canadian
trenches indicated how severe had
been the German losses. .
The Canadians had been engaged in
many sanguinary fights befot this,
but the battle that has raged about
Lens since the capt..e of Hill 70 i
the most bitter these troops ever ex
perienced. Moreover, never had they used the
bayonet so much-as in this present
encounter. Much of the fighting has
been of a hand-to-hand nature in a
maze of concerted cellars and deep
dugouts from which the German
poured streams of machine gun bul-'
Lens and the numerous colliery
suburbs about it virtually iur a city
of cement. Nearly all the buildings
have been destroyed by the Germans
and the ruins turned into fortified ma
chine gun emplacements.
Human Life Cheap.
Dugouts were found on Hill 70 ex
tending to a dept. of twenty-five feet
and similar honey-combed under
ground structures were found in the
stil urbs, through whictMhe Canadians
had to battle their way to their pres
ent positions.
The Germans, according to prison
ers' ttatenie..;g, were disniaved at the
loss of Hill 70, which dominates the
city of Lens and the territory to the
north. The cost of life apparently
meant nothing to them in their at
tempts to regain this important emi
nence. ,
U'his was evident on the first day of
the battle when an entire division of
Pruissian guards was sent against the
Canadians in successive waves until
virtually the entire division lay dead
in front of the defenders' machine
Time and time again they duplicated
that ill-fated attack by the guards, but
in all their attempts they did not gain
a foot of ground and nave lost still
further positions to the Canadians.
The German artillery fire in the Lens
sector has been incessant ever since
they were pushed back and every
available enemy gun is apparently be
ing brought to bear on the British
E. B. Slosson, Widely Known '
Union Pacific Man, Dead
(From a Staff Correspondent.)
Lincoln, Neb., Aug. 19. (Special.
E. B. Slosson, widely known raili
road m;i and for years general pa
senger agent at Lincoln for th
Union Pacific road, died at a local
hospital last night.
Mr. Slosson was, 66 years of age.
He was taken ill only last Monday.
Acute Bright'sy disease was tlie causa
of his death. f
The funeral services will be held
tomorrow under the direction of the
local Elks' lodge, of which hejhad
been . for years one of the trustees.
The burial will be at Burlington, t
his former home.
Date Set When Nebraska v
Women Are to Register
Governor Neville 'has designated
September as the date for the regis
tration of Nebraska women. They
are not to register in order that they
may vote, but to place themselves in
a position where they may be called
upon to perform patriotic duties in
the event their services should be re
quired. The plan of women registering ia
being adopted in all of the states in
order that an army of united work
ers may be gotten together to assist
the country in other ways than goin
io ine jmng line,