THE BEfc: OMAHA, SATURDAY, DECEMBER '22. 1917. 1 KAISER MUST PAY FOR HAVOC DONHEORGE British Premier, Defining Al lies' War Aims, Says Restora tion and Compensation Are Price of Peace. (By Associated Trees.) London, Dec. 21. In the midst of the peace pourparlers that are in progress between the representatives of the Teutonic allies and the Bolshe viki government in Russia the war aims of Great Britain and doubtless of all her allies have been concrete ly set forth in the House of Commons by David Lloyd George, the British prime minister. The complete restoration of tern ary now in the hands of the enemy and compensation for the havoc they nave wrought is the price that will be demanded for the laying down of arms and the bringing about of peace. Great Britain did not seek terri torial aggrandizement for herself or tor any of her allies when she entered the war, Mr. Lloyd George said, but entered into the hostilities merely for the sake of her honor. As to Ger many's colonies, all of which are now in the hands of the entente, Mr. Lloyd George said, their disposition must be determined at the peace congress. Jerusalem, however, the premier de clared, would never be restored to the Turks. "If we could project ourselves into i he year 2000 what would be the opin ion of many of the events of today?" asked the premier. "No doubt the Russian revoljtion would hold a con spicuous place. Another feature would be the advent of America for the first time, not into thewar, but into world politics a gigantic event of itself. The next event would be the conquest of Mesopotamia and Palestine and the release of Arabia from the dominion of Turkey An other event would be the setting up of the inter-allied council." "Whrt are the prospects?" asked the premier. "France's ksses, no doubt, have been serious; despite the reverses which Italy has endured, their losses are not to be compared with those of Austria, and despite the losses inflicted on us, the permanent loss to the British army is not more than one-fourth or one-fifth the per manent losses endured by the Ger mans. If we take the reserve man power of the nations allied against. Germany it will be found to be more than twice as great as that of Ger many and its allies." National Guard Officers Found Physically Unfit St. Louis, Mo., Dec. 21. Brigadier Central Harvey C. Clark, long com mander of the Missouri National Guard, and who was assigned to the depot brigade when the Kansas and Missouri guards were united in one division at Camp. Doniphan, Okl. said today that his continuance in the army depended on the findings of a niedical board which recently exam ined him in Washington. General Clark said it was known that Major General Clements of Penn sylvania, Brigadier General Wedge wood of Utah and Brigadier General Gaithet of Maryland had been found physically unfit for service. Salt Lake Red Cross Drive Nets Membership of 22,000 Denver, Colo., Dec. 21. Definite figures on the Red Cross drive in the mountain division still were lacking tonight, delay in reports being chie to completion of the 100 per cent cam paign among business houses and in dustries. I Salt Lake City reported today a j )tal of 22,000 memberships, more than half of the city's quota. An Endless Variety of Quality Pipes Specially Priced for f Xmas Shoppers Meerschaum Pipes, with amber mouth pieces, in leather cases, a wonderful assortment to choose from .$1.50 to $10.00 French Briar Pipes, with amber or bakelite mouthpieces $1.00 to $5.00 Amber and Bakelite Cigarette Holders 35c and up Metal and Leather Cigar and Cigarette Cases 25c to $5.00 Cigars by the Box All Standard Brands. Special Holiday Packages of Prince Albert, Vel vet, Stag, Tuxedo and Red Belt. SEE OUR WINDOW DISPLAY. TRACY BROS. CO. Wholesale Distributors for the Famous Welling ton Pipes and Te-Be-Ce 6-Cent Cigars. 1415 DOUGLAS STREET. rti "6 -.' ? if r M yfTJ M PLENTY OF SUGAR FOR D. SJEXT YEAR Babst Declares There Will Be No Shortage in 1918; Opposes Cutting Consumption, Fear ing a Surplus. Washington, Dec. 21. A plendtiful supply of sugar for the American people during the coming year, was predicted today by Earl B. Babst, ' president of the American Sugar Re-J fining company, testifying before the senate investigating committee. He opposed placing a limit on do mestic consumption, contending that such a plan would result in a larger surplus than the tonnage shortage would permit to be shipped abroad. Half of the world's sugar crop out side of the central powers, Mr. Babst said, is produced in the United States, its territories and Cuba and if prop erly distributed this production is more than enough to m:et domestic demands as well as supply all that can be shippepd to the allies. Of this year's shortage, Mr. Babst said, it hrd its inception in unwar ranted fr.mine otories spread broad cast early in the year which resulted in hoarding and has been aggravated by a series of unavoidable conditions. When people began to hoard the re fineries held large stocks but soon these were materially reduced be cause of strikes fomented by the In dustrial Workers of the World. Then came an unprecedented de mand, he said, because of the food administration's canning campaign. The pinch came a little earlier than might be expected because England took 200.000 tons of the Cuban crop, Say Universities of U. S. Aided Indian Revolution San Francisco, Cal., Dec. 21. American universities were used as a direct means of fitting yo-ing Hindus to be leaders in a proposed revolu tion to overthrow British rule in India, according to disclosures today in the United States district court at the trial of 31 persons charged with conspiracy. Nawab Khan, a prosecution wit ness, testified that five young Hindus were picked each year from many candidates and- awarded scholarships at several American universities in order that they might become men tally equipped to take leading parts in the proposed revolution. liar Dyal. formerly connected with the faculty of the Leland Stanford, jr., uni versity and one of the defendants was one of the trustees of the scholar ship fund. Nawab said. U. S. Soldiers Abroad Make Xmas Merry for French War Orphans (By Associated Press.) the American Army in Dec. 21. The purchase of With France, thousands of dollars worth of Christ, mas toys and clothing for the chil dren in this section of France, was begun today by the army. Oner pur chase consisted of 300 overcoats for the children of refugees. Everything has been bought from drums to toy ritles and dolls and all the gifts will be presented on Christmas day. One American aii squadron will set up a uinstmas tree in a nangar lor the children of a nearby town. It will be lighted with regulation can dles and there will be a present on it for every boy and girl. Each child will get the gift most desired, the officers having made a list of the names and written beside each what that particular child wanted. All Over the zone it will be a Christmas-long remembered if the Americans can make it such. Some of the towns will have community trees set up in the public squares, while others will have theirs in the city halls. The presents for the children are 3 Hicks 1918 Almanac NOW READY This famous weather Almanac should i - t - c e in every nonie. oume jeaiuica ui the ltflo Almanac are nan-tone re- productions of photos of the ftloon by the great Yerkes telescope, accurate illustrated weather forecasts lor tne other practical items, iou can get it at any news stand. PRICE 30 CENTS The publishers of this popular Al manac also issue monthly a practical, spicy family magazine, Word and Work. Costs only $1.00 a year, in cluding free a copy of Hick's Al manac. Sample copy of magazine sent for 5 cents in stamps or coin. Write to WORD AND WORKS PUBLISHING CO. 3401 Franklin Avenue, St. Louis, Mo. JOINTBOARD ON SHIP TONNAGE OF THE ALLIES Paris, Tuesday. Dec. 21. Close co operation in utilizing means of mari time transport has been realized by j the allies, says an official noti issued ! here today, supplementing the state- meiit made at the time the inter-allied contefence concluded its sessions Mere. It was announced at that time that the allies had decided to create an organization for co-ordination of mar itime activities, and today's statement says this council has been created, consisting of representatives of the United States, France, Great Britain and Italy. The counci will draw up schedules for the division of tonnage in accord ance with the needs of each country for food supplies and war purposes. A board will be created in eacli country to decide on utilization of the tonnage placed at the disposal of that nation. Tlie French board will be composed of Etienne Clemcntel, minister of communications; Louis Bouchcur, minister of munitions; Victor Bon., minister of provisions; M. Vilgrain, under-secrctarv for provisions; M. Jeannency, under-secretary for war; M. I.emerv, under-secretary for mer cantile marine; M. Scrgent, under-secretary for finance, and representatives of the a 'my. navy, chiefs of staff and chambers ot commerce. Serbian Mission is On Way to Washington An Atlantic Port, Dec. 21. A Ser bian diplomatic mission to the United States arrived here today on a French steamship. It is headed by Dr. M. R. Vesnitch, who represented Serbia at the inter-allied conference at Paris. Its members include a number of Ser bian army officers. The mission plans to go direct to Washington. Dr. Vesnitch, who is Serb ian minister to France, will ex press to President Wilson his coun try's appreciation of the help it has received, financial and otherwise, from the United S'ates, and of the presi dent's attitude toward small nations. The president will receive an auto graphed letter from King Peter of Serbia. The military members of the mis sion, who are headed by General Mi chailo Rachitch, will confer with War department officials. General Rach itch commanded an army corps at Adrianople during the second Balkan war, and has represented Serbian general headquarters at French gen eral headquarters. all being paid for out of the soldiers' own pockets and, one division has raised so far nearly $7,000 for the purpose. For the army itself there will be foot ball games in the morning and a dinner at midday that will surpass even the one served on Thanksgiving day. Thousands of pounds of mince meat, turkey and trimmings have al ready arrived and are awaiting the cooks and thousands more are expected. 3sf Rfinnfo) InJ UU uu For Only a Few Days Remain for You to Buy Shoes at This Great G o) o: CQC Fairs of ladies' aoa Small Size Shoes, odd lob, 'tit true, but they formerly sold for from $5.00 to $7.50. Profitless Shoe Sale (f 4 QE Price HOW TO FIGURE NEW INCOME TAX DDES Treasury Department Elimi nates Unnecessary Account ing in Making Excess Profits Returns. (By Assoeiatd Fre.) Washington, Dec. 21. Internal Revenue Collector Roper tonight issued a series of rulings designed to eliminate unnecessary accounting and in computing excess profits and income taxes, and in many cases to materially reduce the amount of tax to be paid. The rulings, approved by Secretary McAdoo, in substance are as follows: Partnerships and .individuals are permitted to deduct reasonable sal aries before figuring excess profits on the business. A partnership may deduct payments to a partner as interest on a bona tide loan. A partner in his individual capacity is not subject to excess profits on his share of profits except at the 8 per cent rate on profits exceeding $6,000, applicable to businesses with no capi tal or only nominal capital. A tax payer need not report his pre-war earnings if he is content to accept the minimum 7 per cent de duction in calculating excess profits taxes. Stocks, Bonds and Securities. Stocks, bonds and other evidences of indebtedness are to he considered tangible property included in "invest ed capital" in estimation of excess profits. Bonus payments to employes may be deducted from gross income in figuring income taxes, except when the payments are proportional to any investments the employes may have in the business in which case the pay ments are to be considered in the na ture of distribution of profits. In practically every instance Com missioner Roper is said to have adopted the recommendations of the excess profits advisors, a body of vol unteer experts who have been work ing for weeks to untangle knotty problems arising in administration of the law. Another ruling issued tcnight ex tends from January 1 to February 1, the time in which corporations may file income and excess profits tax returns on the basis of their fiscal year. Others Svill be issued soon. Shipping Board to Permit Wooden Vessels to Be Built Washington, Dec. 21. In a den nite statement of policy, the shipping board announced today that it would not discourage construction of wooden ships for private account, where their building would not in terfere with the government pro gram. Permission will continue to be refused construction of steel ships and passenger ships. In granting permission for private construction of wooden ships the board will give preference to American owners. Pri vate building of barges and tugs will be encouraged in every way possi ble. French Sink German Subs. Athens, Dec. 21. French destroy ers have sunk two enemy submarines in the Gulf of Taranto. This is the most remarkable Shoe Sale that has ever taken place in Omaha, and likewise it is the greatest opportunity you ever had to buy Shoes of such high character and quality as the WALK-OVER for so little money. (Every Pair of Shoes for Both Men and Women Included In This Great Sale WALK-OVER BOOT SHOP 317 SOUTH 16TH STREET BETWEEN HARNEY AND FARNAM MOBS HOT AFTER BUSH, SAW TO HAVE SLAIN SON Montrose, Colo., Dec. 21. While feeling against him ran high in this community tonight, posses of farm ers, and depvty sheriffs, continued to scour i lie canyons running up into the Uncompahgre plateau in hope of finding John O. Bush, accused of killing his 11-year-old son, Ira, ami dismembering the body. Meanwhile, Busi's mother. Mrs. J. I. Bush, is in the county jail at Delta, where today she repudiated a state ment given a coroner's jury that she had killed her son and treated him as he had done the child. A nrhn whom farmers believe to have been Bush was seen early today walking along an irrigation canal. Posses tracked this man three miles into the Uncompahgre country but lost trace of him. Threats of lynching have been made. Sonic of the searchers for Bush are without official authority, and fears h.vc been expressed that should Bush fall into their hands he would not reach the jail alive. Bush's wife, stepmother to the hoy Mrs. Bush says was murdered, who returned from a visit after Bush dis appeared, left today for the home of her parents in a small town near Kan srs City. First Cargo of Wool Arrives From Australia Roston, Dec. 21 A cargo of Aus tralian wool, valued at $7,000,000, has reached this port. It is the first lot to be released by the British govern ment since last spring. vitvooLeri hills S Sir-ZE0TL i'J' - .-111 hm.Jm it .', I PHOENIX HOSIERY Ara you aware tha Walk-Over Boot Shop carries the largest assortment of colors in Phoenix Hosiery of any store in Omaha? Phoenix Hosiery makes an ideal Christmas Gift as a reminder, why not buy a box. Ladies' Hose priced, per pair from 55 to 82.05. Men's Phoenix Hose priced from 35 to 81.00. nrrrrrmr. nmin inn DmlM UUilJ MD RESULT OF DELAYS Testimony in Senate Probe Shows Loss of Time Gave Superior Weapons to U. S. Troops. (By Associated Press.) Washington, Dec. 21. The senate military committee today virtually completed its inquiry into the army ordnance shortage, paving the way for the heginning tomorrow of the next phase ot its investigation that of clothing, supplies, transportation, contracts and cantonments. More testimony regarding delays in rille and machine gun production was given today by a private ordnance manufacturer and civilian rifle expert. The former, however, said that al though delay in both had occurred, the loss of time had resulted in evolv- itig much superior weapons. I B. W. M. Hanson, general manager1 of the Colt Arms company, told tin committee that the new modified American Fnlitld ritle and America!) ammunition are at least equal to tier-' man rules ami .imniiiniiion ami su perior to any useq iy tne allies, in iiis opinion, the new Browning ma- chine gun is the best in existence. : Efforts toward higher standards of I interchangeable parts in the Enfield rifles, Fred II. C'olvin, a rifle expert, I testified, caused three months' delay in their production. j Entente Said to Have Recognized Ukranians j Copenhagen, Dec. 21. The entente allied powers, according to the Vos siche Zeitung of Berlin, on December 10, accredited legations to the gov ernment of the Ukraine. 1 Prfegc(M) Extraordinary Special Event Saturday Our Old Fashioned Four-Piece Suit Sale, with many new features, starts Saturday. Tailored Suits EXTRA PANTS FREE (Sir f No Exchanges H S $ No Deliveries LY J No Charges If -;f y During Sale Ijt,',, !-j ONYX HOSIERY At this season of the year you will find that Hotlery Is much appreciated as an XMAS GIFT. Both selecting and buyinc is made extremely easy from our large ana varied assortment of Onys Hosiery all sites and colors in lock as well as the fancy embroidered Hosiery. Women's Onyx Hosiery (embroid ered), per pair, 81.25 to 85.00. Men's Onyx Hose, per pair, 50? to 75t. T Mi The Big Low Priced - Shoe Store Saves You Money. ,53 Stores; That's Why! XMAS HOUSE SLIPPERS QQ For Women, all colors UOC Men's and Boys' Slippers, felt and leather, all stylet. 98c, $1.49, $1.98 G. R. Kinney Co. Inc., 207-9 N. 16th Mail St., Hotel Loyal Ordera Filled." Bid, 1 Be sure You're in Kinney's Be fore Buying Look for the "Kin. ney" sign. Union Made $15 Union Made EXTRA PANTS FREE COME IN and look around. It won't cost you anything to compare those woolens with val ves to be found elsewhere. Fix this location li rnily in your mind v Corner 15th and Harney Streets