Omaha daily bee. (Omaha [Neb.]) 187?-1922, December 28, 1917, Page 2, Image 2

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    EXCESSIVE GAIN
'TO CONTRACTORS
DELAYED COATS
Investigation by Senators Re
veals Brother of Committee
man Is Reaping Rich
Profits.
(By Aowlsted PrM.)
Washington, Dec, 27. Examination
of Quartermaster General Sharpe wai
resumed today by the senate military
committee investigating war prep'ara
tions.
v Sharp criticism for the shortage of
winter overcoats was made by the
senators, who declared orders for
clothing were not followed up to in
sure deliveries. General Sharpe said
he had the information in the files,
but could not recollect the details.
. "It isn't a question of details," said
Senator McKellar. "It's a question of
coats. Thousands of men are without
them. Why is it?"
General Sharpe repeated that delay
in deliveries was largely the cause,
Surrendered Power.
"You piactically surrendered your
power over contracts to the Council
of National Defense, didn't you?"
asked Senator Chamberlain.
General Sharpe answered in the af
firmative and explained that the coun
cil had nothing to do with making
uniforms, but only with getting cloth
for their manufacture.
Tracing the causes for delay in get
ting clothing to the troops, Senator
Frelinghuysen declared it was due in
part to changes in cloth specifications,
resulting from a conflict of authority
between the quartermaster general
and the Council of National Defense.
Practically every contract for over
coats was delayed, General Sharpe
said, by trouble in getting cloth and
strikes in the clothing factories. The
decision to send forces to France
sooner than expected was another
:ause.
Senator Weeks brought out that
Boston wool dealers early in the war
offered wool supplies to the War de
partment. "Was anything done?',' he asked.
"Not then," General Sharpe an
swered. "Later I think the Council of
National Defense took up the matter."
; Gave Excessive Profits.
Senator Weeks brought out that the
supplies committee of the council
recommended a contract for sorting
scraps from army cloth at 6 cents a
pound and that it was found excessive
and canceled. Two cents was later
reported as a fair price. A Mr. Kap
lan, said to be a brother of a member
of the council's committee, was men-i
tioned as a member of the firm that
got the 6-cent contract..
' At the 6-cent rate the private con
tractors' profits were estimated by
General Sharpe at $400,000 a year. If
he had known all the facts at the
time. General Sharpe said, he would
not have signed the contract.
U. S. DOUBTS '
SINCERITY OF
THEGERMANS
Washington, Dec. 27. The condi
tions surrounding Count Czernin's
proposals for a basis of peace cause
officials here to feel some apprehen
sion for their sincerity. There is a
great disposition to feel that the ob
ject of the German plenipotentiaries
is simply to protract the negotiations
as long as possible without any ex
pectation of an immediate peace
agreement, with the double purpose
of leading the German people to be
lieve that their government really is
desirous of making peace, and of gain
ing time for the further strengthening
of the German lines in the west.
One condition regarded as impos
sible for the present at least is that
the adherence of all belligerents must
be secured to the peace the Germans
are trying to make with Russia before
it can become effective. This is ac
companied by a demand for the re
turn of the .German colon'es now in
the possession of Russia' allies.
United States Stand Unaltered.
. It can be stated authoritatively that
the position of the American govern
ment has not changed in any respect
with regard to its determination to
enter into no agreement with a gov
ernment which does not represent the
free will of the governed people. This
would dispose of any hope the Ger
mans might have that America would
enter the conference. As for the Ger
man colonies Lloyd George recently
declared that was a subject for the
peace conference.
No provision is made In Count
Ciernin's terms for the return of
Alsace-Lorraine, which is regarded
here as a condition that must be met
as a preliminary to any peace agree
ment In the light of the extraordinary ef
forts Germany has been making to rid
those provinces of French inhabitants,
it is believed here that Germany may
propose a plebiscite of inhabitants,
relying upon the vote of German sol
diers and the imported German pop
ulation, but such a proposal probably
will be rejected by the United States
and its co-belligerents.
Apparently Belgium is promised
freedom by Count Czernin, if all the
other German demands are met. But
officials note there is a reservation,
almost inseparable from German
diplomacy, in the shape of "guaran
ties" which Germany requires to in
sure the execution of all these com
plicated factors of the peace treaty.
The German insistence that . the
pledge to restore the political indepen
dence of countries occupied by the
central powers shall not applv to na
tionalities which did not previously
enjoy independence, is regarded ' as
aimed directly at trie projected rolish
state, . - - -
Discontinue Study. of German.
'Long Beach, Cat, Dec. 27. Study
of German except for those needing
it .for entrance to college, will be dis
continued during the war, the Board
m Education announced here today.
Jt will be effective immediately.
: W Clean School Children's
. Garment '
Tit lltllt eot of elmnine the c f armenU
two or three time during the cold weather
may av a bie doctor bill and tavc a lot
of(erine. Why not bar them unitary?
Wen,
(.leaser. Hatter, r orr.ert Tatlovu
Peace Terms On
Which Teutons Will
End theWorld War
(Continued From Ife Om.)
the other belligerents join in the peace
negotiations within a certain time.
Russia Gratified.
The chairman of the Russian dele
gation expressed gratification at Ger
man willingness to make peace with
out annexations and indemnities and
with the self-definition of peoples. He
demurred, however, at the German
statement on self-definition as being
incomplete. He said the war could
not end without the re-establishment
of the violated rights of little and op
pressed nationalities and Russia
would insist on guarantees that their
lawful rights would be protected in
a general peace treaty.
Count Czernin explained the posi
tion of the central powers in a state
ment which he read at the second ses
sion of the peace conference at 10
o clock Tuesday evening. His state
ment follows:
Austrian Statement.
"The delegation of the allied (Teu
tonic) powers, acting upon the clear
ly expressed will ot their govern
ments and peoples, will conclude as
soon as possible a general peace. The
delegations, in complete accord with
the repeatedly expressed view point
of their governments, think that the
basic principles of the Russian dele
gation can be made the basis of such
a peace.
I he delegations of the quadruple
alliance are agreed immediately to
conclude a general peace without for
cible annexations and. indemnities
They share the view of the Russian
delegation which condemns the con
tinuation of the war purely tor aims
of conquest.
"The statement of the allied (feu-
tonic) governments in programs and
statements have emphasized time and
again that for the sake of conquest
they will not prolong the war a single
day. The governments of the allies
unswervingly have followed this view
all the time. They solemnly declare
their resolve immediately to sign
terms of peace which will stop this
war on the above terms, equally Just
to all belligerents without exception.
It is necessary, however, to indi
cate most closely that the proposals
of the Russian delegation could be
realized only in case all the powers
participating in the war obligate
themselves scrupulously to adhere to
the terms in common with all
peoples.
Entente Allies Must Join.
"The powers of the quadruple alli
ance now negotiating with Russia
cannot, of course, one-sidedly bind
themselves to such terms, not having
the guarantee that Russia's allies will
recognize and carry out these terms
honestly without reservation with re
gard to the quadruple alliance. Start
ing upon these principles and regard
ing the six clauses proposed by the
Kussian delegation as a basis of ne
gotiations, the following must be
stated:
Clause 1. Forcible annexations of
territories seized during the war does
not enter into the intentions of the
allied powers. About troops now oc
cupying seized territories it must be
stipulated in the peace treaty, if there
is no agreement before, regarding the
evacuation of these places.
"Clause Z. It is not the intention
of the allies to deprive the political
ndependence of those nations which
lost it during the war.
Clause 3. The Question of subiec-
tion to that or the other country of
those nationalities who have not
political Independence cannot, in the
opinion of the powers of the quad-,
ruple alliance, be solved internation
ally. In this case it must be solved
by each, government, together with
its peoples, in a manner established
by the constitution.
"Clause 4. Likewise. In accordance
with the declarations of the states
men of t':e quadruple alliance, the
protection of the rights of tninorit'es
constitutes an essential part of the
right of peoples to self-definition, in
dicated by a constitution.
No Indemnities.
"Clause '5. TheKOvernments of the
(Teutonic) allies also recognize this
principle. (This refers to clause 5 of
the Russian peace terms, stipulating
that no belligerent country shall be
required to pay contributions and that
private persons shall be compensated
for losses incurred through the , war
from a special fund contributed by all
the belligerents on a proportional
basis.) In this event each bellifierent
would be required to bear oniy the
expense of its subjects made war
prisoners and to pay for damages
caused to civil subjects of an adver
sary by deliberate violations of inter
national law. The creation of a special
tund, etc.
"Clause 6. Of the four allied pow
ers, Germany alone possesses colon
ies. On the part of the German dele
gation, in full accord with the Rus
sian propopals regarding that, the
following is declared:
Return of German Colonies.
"The return of colonial territories
forcibly seized during the war con
stitutes an essential prt of German
IE BEE:
JAPAN PLEDGES
CO-OPERATION
WITH ENTENTE
Tokio, Dec. 27. Co-operation of
Japan with its allies in the war to the
fullest extent of its ability was
pledged by Emperor Yoshihito in the
speech from the throne at the opening
of parliament today. The emperor
said Japan's relations with the en
tente powers were extremely close,
which was greatly pleasing to him,
and continued:
"The European war is becoming
more and more important. It be
comes us to devote our efforts toward
more effective co-operation with the
allied powers. We expect the alliance
to secure the full fruits of victory and
to obtain the objects with which we
heartily sympathize. We are pre
pared to co-operate to the fullest ex
tent of our ability while maintaining
peace in the orient.
"In consequence of present condi
tions we have ordered our ministers
to present plans having to do with
the necessities of national defense."
The embassies and legations were
fully represented in the diplomatic
boxes. After the delivery of the
speech from the throne the parlia
ment adjourned until January 20.
demands, which Germany cannot re
nounce under any circumstances.
Likewise, the Russian demand for im
mediate evacuation of territories oc
cupied by an adversary conforms to
German intentions. Having in view
the nature of the colonial territories
of Germany, the realization of the
right of self-determination, beside the
above outlined considerations in the
form proposed by the Russian delega
tion is at present practically impos
sible. "The circumstances that in the Ger
man colonies the natives, notwith
standing the greatest difficulties and
the improbability of victory in a
struggle against an adversary many
times stronger and who had the ad
vantage of unlimited import by sea,
remained in the gravest circumstances
faithful to their German friends, may
serve as proof of their attachment
and their resolve by all means to pre
serve allegiance to Germany, proof
which by its significance and weight
is far superior to any expression of
popular will.
"The principles of economic rela
tions proposed by the Russian delega
tion in connection with the above six
clauses are approved wholly by the
delegation of all the allied powers
who always have denied any econo
mic restrictions and who see in the
re-establishment of regulated econo
mic relations, which are in accord
with the interests of all people con
cerned, one of the most important
conditions for bringing about friendly
relations between the powers now en
gaged in war."
Statement Pleases Russians.
Chairman Ioffe. of the Russian
delegation, expressed gratification at
the willingness of Germany to con
clude peace on the basis of no an
nexations, no indemnities and the
self-definition of peoples, but pointed
out that the self-definition of peoples
within the limits granted by con
stitutions as stated by German reply,
was not complete.
"Renouncing the application of the
right of the stronger nation with re
gard to territories occupied during
the war," he said, "the powers of the
quadruple alliance at the same time
give all their opponents an immediate
peace ground. They affirm that the
right of the stronger, after unprec
edented bloodshed, shall be pre
served with all its integrity within
each of the countries with no regard
for little and oppressed nationalities.
"The war cannot end without the
violated rights of those nationalities
being re-established. The Russian
delegation insists that those nation
alities must in the very rext peace
treaty establishing a general peace
among all nationalities receive on the
basis of international agreement,
guarantees that their lawful rights
will be protected. The lapse of time
in no case legalizes the violation of
one people by another."
Concerning Prisoners. -
Regarding compensation for the
maintenance of prisoners of war, the
Russian chairman said it might be
construed as an indemnity. He in
sisted that an international fund be
used to pay damages against private
persons, lie had no objection to Ger
many's request that her colonies be
evacuated by entente troops.
"Russia's delegation," he stated in
conclusion, "notwithstanding dif
ferences of opinion, thought that the
German declaration that Germany
has no aggressive plans, offered the
possibility of the immediate begin
ning of negotiations for a general
peace among all belligerents." He
proposed a 10 days' recess until Jan
uary 4, "so that the peoples whose
governments have not yet joined in
the negotiations for a general peace
may have an opportunity to acquaint
themselves with the principles of
such a peace as now is being es
tablished." "At the expiration of the indicated
time," he declared, "the negotiations
mi. ii i ifiiatri -ia ijiigww wN 3
Extraordinary Special Event!
Our Old Fashioned Four-Piece
Suit Sale, with many new
features, is now on--
Tailored Suits
EXTRA
PANTS
TREE
a
OMAHA, FRIDAY, DECEMBER 28, 1917.
must be resumed, disregarding
whether or not other belligerents
have joined in the negotiations or
how many."
The next session of the conference
was set for December 26.
Expect Reduction
In Operating Cost
To Save a Billion
(Continued from P One.)
close government control, since most
of their transportation traffic if. de
pendent on railroads. Rolling stock
owned by the express companies,
which is comparatively little, will pass
automatically under direct govern
ment supervision and eventually it
may be necessary for Mr. McAdoo to
take them over to protect their own
rights as well as to provide the proper
measure of co-operation with rail
roads and with each other.
Government War Board.
The status of the railroads war
board also is dependent on the direc
tor general's plan of organization. It
has been the medium of transmitting
government orders to all the rail
roads, but this function now will be
assumed by the director general. '
The presidents of many large
lines now receive salaries ranging
from $50,000 to $150,000 a year and
one of the first acts of the director
general probably will be cut these
sharply. Ten thousand dollars a year
is being discussed as a maximum.
Some railroad men predicted that the
officers would accept these reductions
willingly in view of the fact that they
are virtually drafted for war work.
Raise Pay of Men,
The saving in salaries would be
applied to raising the pay of members
of the four railway brotherhoods,
whose officers conferred today with
President Wilson, and also of other
railroad employes unorganized.
The president was expected to ask
the brotherhood heads to give the
fullest measure of support to govern
ment operation and to leave their
pending demand for higher wages
for determination in the future when
the director general untangles many
of the complications now developing.
Under government control every ef
fort will be made to interfere as little
as possible with the personnel of the
companies, but it is considered in
evitable that some employes will be
cut off. This applies particularly to
the large staffs maintained by many
railroads for soliciting traffic.
Re-Route Freight.
One of the immediate effects of
the new plan will be the re-routing
of much freight now passing over con
gested lines, particularly in the west.
The railroads war board was sought to
divert traffic to lines least over
burdened, but anti-pooling regula
tions have hampered it.
Mr. McAdoo is expected to develop
a staff of assistants soon, but prob
ably will use the existing agencies of
the Interstate Commerce commission
to a large extent.
The name of John Skclton Wil
liams, now comptroller of the cur
rency, and one of Mr. McAdoo's prin
cipal lieutenants in the treasury, is
being mentioned today as chief ex
ecutive director under Mr. McAdoo
He formerly was a railroad financier.
Secretary McAdoo worked today
on the principal problems confront
ing him at the. outset and planned to
make some, announcement later of
his policies. i
Refiners to Eliminate
Selling Through Brokers
New York, Dec. 27. Selling sugar
through brokers will be eliminated
entirely by the American Sugar Re
fining company, beginning with the
first of, the new year, the company
announced today. It will thence
forth sell its sugar to the domestic
trade through its own selling organ
ization. The National Association of Brok
ers of Refined Sugars called a special
meeting to discuss the company's ac
tion. Turks Massacre Jews;
Galileans Are Destitute
New York, Dec. 27. Thirty
Jewish men and women were ex
ecuted by the Turkish army that
surrendered Jerusalem to General
Allenby December 10, according
to an announcement made today
by the provisional executive com
mittee for general Zionist affairs.
Included in the number massacred
were some of the leading residents
of the Holy City.
A "father and sister of Aaron
Aaronsohn, head of the Palestine
agricultural experiment station,
which is subsidized by the United
States Department of Agriculture,
were among the victims, accord
ing to the announcement. Mr.
Aaronsohn i3 now in Washington.
The retreat of the Turks
through Galilee drove 12,000 Jew
ish survivors northward where
they are in dire need. The com
mittee has undertaken to furnish
a minimum of $30,000 monthly for
their relief, it was stated.
Union Made
SIS
EXTRA
PANTS
FREE
Union Made
COME IN and look around. It won't cost yon
anything to compare these woolens with val
ues to be found elsewhere. Fix this location
firmly in your mind
COR. 15TH and HARNEY STS.
SHIPBUILDERS PUT
UP 'KNOWLEDGE,'
UNCLESAM COIN
Washington, Dec. 27. The wooden
shipbuilding program was pictured as
an almost complete laiiure toaay r.y
Rear Admiral F. A. Bowles, assistant
general manager of the emergency
fieet corporation, testifying at the sen
ate commerce committee's investiga
tion of shipbuilding.
Three steel ships of 28.0C0 tons car
rying capacity have been launched
since Saturday, Admiral Bowles said.
One went into the water at New
York, one at Seattle and one at Cam
den. N. J.
Tli rnmmittee went into ContraCti
let by the fleet corporation for fabri
cated steel ships and appeared some
what disposed to criticise their terms
on the ground that the profits were
t jo hgh.
Questions brought from Admin.
Bowles that the American Interna
tional corporation at Camden, N. J.,
will profit $6,000,000 on the construc
tion of 120 steel vessels. The govern
ment furnishes all the capital and
pays all the bills. Asked what the
corporation furnished, Admiral Bow
ler replied:
"They put up the 'know how and
th? organization."
If it becomes desirable for the gov
ernment to build and operate ships
after the war, the investment in the
fabricating yards, Admiral Bowies
said, will be found to have been a
profitable one for the government.
The maximum number of wood
ships that possibly could be built,
even if all available ship timber was
delivered to the corporation, Bowles
said, would total next year only 370,
althnnph thr. corporation has con
tracts outstanding for the construc
tion of 4a9.
No more wooden contracts will b
let he said, unless the- builder con
vinces the corporation that he has
available under his own control a
proper supply of timber.
"I want it understood, in justice to
myself," said the admiral, "that I had
nothing to do with placing these con
tracts." Admiral Bowles assumed entire re
sponsibility for changes in the design
of wooden vessels, but declared they
caused little delay.
GERT HOFFMANN
JUST MUST HAVE
HERJJMMPAGNE
(Continued From Page One.)
meal, to counteract the fatigue caused
by the tremendous strain on her heart
bv the condition of the present act,
and in my opinion there is grave dan
ger and risk for her if my orders re
garding this necessary stimulant are
diregarded."
This is signed by H. L. Constable,
M. D."
Another telegram, from Dr. Philip
Nash of New York City, stated that
he had attended Max Hoffmann and
prescribed martini and added that the
lack of such stimulant might result in
serious consequences.
Mr. Hoffmann entered a plea of not
guilty of unlawful possession of
liquors. He testified in behalf of him
self and wife. "Owing to the exceed
ingly violent work, my wife takes
two glasses of champagne after each
act. Frequently she faints after the
performance. The six pints we had
were for the Omaha engagement," he
said.
Max Cannot Sleep.
Mr. Hoffmann told the court that
he is subject to heart affection and
it is a common occurrence for him to
remain up to 2 or 3 o'clock of the
morning before he can sleep, on ac
count of the strain of the work. He
explained that his home while travel
ing is the private railroad car now on
track here. Attorney Macfarland, for
the Hoffmanns, pleaded that it is a
matter of life or death for his clients
to have the stimulants which the mor
als squad took from them.
In stating his case to the court,
Prosecutor McGuire declared that the
court had found persons of . humble
station guilty under a similar state
of facts as were presented in the
Hoffmann case.
Skeets Gallagher testified he had
not visited his mother for seven
TEETH
DR. McKENNEY Says:
"Not bjr words, but hr service, do
we expect to gain and hold your
patronage."
Heavleat Bridf Bett Silver Fill
Work, par tooth, tare
$4.00 75c
Wonder Plat Beat 22-k Gold
worth SIS to $28, Crown
$5, $8, $10 $4.00
W please you or refund your maaey.
McKENNEY DENTISTS
14th and Farnam 1324 Farnam St.
Phone Douflaa 2872.
MUSTEROLE-QUICK
It Soothes and Relieves Like a
Mustard Plaster Without
the Burn cr Sting
Musterole is a clcca, white ointment,
made with the oil of mustard. It does all
the work of the old-fashioned mustard
plaster does it better and does not bli
tcr. You do not have to bother with a
doth. You cimply rub it on and usually
the pain is cone I
Many doctors and nurses use Muster
ela and recommend it to their patients.
They will gladly tell you what relief It
gives from sore throat, bronchitis, croup,
stiff neck, asthma, neuralgia, congestion,
pleurisy, rheumatism, lumbago, pains
and aches of the back or joints, sprains,
sore muscles, bruises, chilblains, frosted
feet; colds of the chest (it often pre
vents pneumonia).
" 30c and 60c jars; hospital size &L5Q.
1. A
9 r j..,.-ruo
RELIEF!
BLISTER
years; that he had a week off and
came to Omaha tc visit the old home
and bring her the bottled cheer which
was found in his satchel upon arrival
last Sunday mjrning from Kansas
City.
This was the first instance when
more than one of the municipal court
judges sat on the same case. Five
other cases against members of the
Hoffmann company will be heard at
10 o'clock Friday morning. ,
FEDERAL BOARD
PROBES CASE OF
WILBER LAWYER
(Con tinned From Page One.)
He came with Bartos to Lincoln,
where they saw Mr. Smrha, a Bohem
ian, member of the appellate board.
The young man was not exempted. He
received a bill for $250 from Bartos.
The case of George Kiburz is cited.
He is the son of a widow who has
also an invalid son". She owns prop
erty in DeWitt, including a building
which rented for $200 a month for a
saloon, but now brings only $20 a
j THOMPSON.BELDEN CO
Cfhe fashion Center fir Women0
Women's Best High Shoes
$.10 to $14 Qualities
Friday $7.85and $8.85 a Pair
A pre-inventory event in which nearly all
of our high grade shoes go at enormous re
ductions. Button and lace styles, in white,
ivory, champagne, brown and black kid,
also patent leather.
WPpi The Useful Light
Omrm Label V5 Shonld yonr Gas Lamps need 3$
7ft .?B,.Y,ou,i T) attention DAT OE NIGHT M
b "l8 ?',e",!'r B S Call Dowlas 606. or. $$
I, S"afer & fm R Maintenance Department, fffi
l Company A w ?ly,iM - 51
"""'- g f& Omaha Gas Co. m
27fiSt 1509 Howard Street j
: ii mm mm j
The train of standard service via Evans
ville, Nashville, Chattanooga and Atlanta.
Leave Chicago (Dearborn Station)
10:25 p. m.
Arrive Jacksonville (Union Station)
7:35 a. m. (2nd day.)
Mile for mile America's most interesting
trip. Marvelous mountain scenery
quaint coioaial homes, sunny cotton fields
and historic relics line rhe right-of-way.
Newest equipment comprised of drawing
room sleepers, first class coaches and
diners serving all mtats.
Low fares in force. Write now for
Florida information.
& M. CHILDS,
Chicago St Easier
G0 108 W. Adam
month. George had been working tor
the railroad at DeWitt. He lost out
on exemption at first because it was
stated he had not contributed to his
mother's support. His mother then
circulated a petition in DeWitt, stat
ing that his earnings were necessary
to her support. He was exempted.
Mr. Smrha of the appellate board
has declared his intention to demand
an investigation to clear him of some
implication contained in a letter that
F. W. Bartos is said to have written
to another client. In it Bartos is said
to have declared that he had to work
hard for his exemption and that if
it had not been for Smrha he might
not have wqn. This was followed by
a request for $100.
Bartos is said to have asked the
assistance of B. V. Kohout, the gov
ernment agent at Wilber, in some
exemption matters and to have told
him that County Judge Grimm had
about decided to go to war and that
he. Bartos, would get Kohout the po
sition. Predict Chicago Will
Have Seme Cold Weather
Chicago.Dec. 27. A droo of 40 de
grees in temperature to It) below by
Friday night or Saturday morning
is predicted for Chicago in a special
forecast issued this afternoon.
Not a pair sold regularly for
less than $10 and from that on
up to $14.
FRIDAY
m
$7.85 and $8.85
A PAIR
General Aent
Illinois Railroad
Stn Chicago
?II-22I7 Fai-san St., Tel. Tyler 346.
1 ?