The Bismarck Tribune Newspaper, July 2, 1919, Page 1

Generally Fair, a re CK TRIBUNE Spee een LAST EDITION eee THIRTY-NINTH YEAR, NO. 149. BISMARCK, NORTH DAKOTA WEDNESDAY, JULY 2, 1919. PRICE FIVE CENTS NEARLY MILLIO IN CONSTRUCTION) ' FOR CAPITALDOM Nineteen-Nineteen Promises to Be One of Bismarck’s Big- gest Building Years MANY PROJECTS NOW ON Business Houses, Public Struc- tures and Dwelling Houses Add to Big Total Three-quarters of a million dollars will be Bismarck's contribution to the nation’s reconstruction program. Included in this total for 1919 will be paving aggregating $350,000; a state investment of approximately $250,000 in the new memorial historical, build- ing on the capitol grounds, improve- ments on the executive mansion and additions at the penitentiary, and $150,000 to be invested in new busi- ness structures and homes. The memorial historical building, upon which work will begin in the near future, will cost $200,000, to be provided by a direct state appropria- tion. The last assembly appropriat- ed $2,000 for improvements on the executive mansion, and a consider- able sum for extensions and repairs at the state penitentiary. The United States government will invest approximately $50,000 in new buildings at the Indian school, which increased attendance has made an absolute necessity. There is a pros- pect of the expenditure of $25,000 or more in improvements and altera- tions at Fort Lincoln, which may be transformed into an aviation station in a transcontinental route extend- ing from Boston to Seattle and gen- erally following the line of the Red Trail. Private construction will include the erection of the new Eltinge thea- tre, to cost $40,000; $50,000 in the Logan-Hughes building, at Broadway and Third; $25,000 in the new Capi- tal City Bottling works; $15,000 in a new storage warehouse for the Lahr Motor Sales Co.; $10,000 in the new Elks’ building, and at least $75,000 in new homes, including a five-flat apartment house to be erected by L. K. Thompson. There is not included in this ag- gregate the Bismarck Athletic club, upon which work is to begin in early fall, and which will cost $150,000; nor approximately $50,000 which! may be invested in a new bank puild- ing, upon which it is probable, work will be commenced this fall. Account fe taken of improvements to cost $10,000 or more which will be made in the Bismarck bank building, which is to construct an entirely new front ‘both on Main and Third streets. Several big projects are dependent on this year’s crop. Should the Bis- marck territory énjoy a good rain within the next day or two, which * will insure a bumper yield, it will be entirely safe to increase this year’s construction estimate for the capital city to a million dollars. MINT TURNS OUT MILLIONS OF NEW COIN Washington, July 2—The United States mint established a new rec- ord for monthly output in June by turning out 98,161,000 pieces of mon- ey, Director Ray T. Baker announced today. Of the total pieces 91,364,000 were pennies. O. R. T. to Resume Handling Business of Commercial Interests St. Louis, Mo., July 2—Members of the O. R. T., throughout the country today were notified to resume hand- ling business of the Western Union and Postal Telegraph companies. ‘he order was issued by BE. J. Manion, president of the 0. R. T., cancelling the ban on commercial business which went into effect June 12th in connec- tion with the nationwide strike of the O. R. T. of America. FINE CARS PASS THROUGH BISMARCK OVER RED TRAIL The mid-summer tourist travel ov- er the Red Trail is quite heavy now, and many fine cars have passed through the city recently. Monday a touring party from Los Angeles, Cal., arrived in the city from the west, motoring from California to New York in a fine Packard car. Tuesday a big sleeping car accom- panied by two seven- passenger cars traveled through Bismarck and the pig car with drop curtains was a model of luxury and comfort for tour- ist travel. The words “Pourque Parle,” ‘“Let’s Go,” were printed on the big car in blue letters. BISMARCK IN BANANA BELT Bismarck, which has had ripe strawberries for two weeks past, jis further cementing its claim to membership in the banana belt, by préducing ripe tomatoes in June. -J..P. Sell, proprietor of the Capital City Bottling Works, fs the grower of the prize toma- toes, His vines have been load- ed with ripe fruit for ten days past, and he also has cucumbers pt. pickling size. ie HE PROTESTS ENTRY OF U. S. INTO MEXICO CANDIDO AGUILAR Aguilar had just arrived in Wash- ington, as envoy of the Mexican gov- ernment on a special mission, when news came of the crossing of the bor- der by American troops to drive back Villa’s army from the region of El Paso. He immediately issued a pro- test on behalf of his government. MORE IMPORTANT DISCLOSURES IN BUILDING FIELD J. P. Sell to Build Model Bottling Works—L. K. Thompson Plans Apartment House Two important building announce- ments were made today, when J. P. Sell made vublic his plans for a mod- el two-story-and-basement bottling works to be erected immediately east east of the Missouri Valley Motor Co. plant on Main street, and L. K. Thompson, agent for the Soo line here, advised that ground would be broken this week on a five-apartment flat building to be erected at the corner of Avenue D and Sixth street. Both structures are to be completed by early fall. Mr. Sell, proprietor of the Capital City bottling works, has purchased the Waldron property, 100 by 50 feet, on Main, and will award the contract for his new building within the next few days.» The structure will de of fireproof concrete, brick and tile con- struction, two stories in height and with a full basement. The plant.and offices will occupy the ground floor. the laboratories will be locate] in the second floor, and a large, airy basement will . be used for storage purposes. Mr. Sell expects when his new building is finished to have the most complete and sanitary bottling works in the northwest, and he plans to greatly increase his production of carbonated beverages and to broaden his marketing field. The Thompson apartments on Ave- nue D and Sixth will do something to- ward meeting Bismarck’s crying need for more dwelling space. ‘There will be five commodious flats, each of five rooms. The appurtenances will be thoroughly modern and of the highest standard, and the handsome structure will greatly enhance the value of sur- rounding property in this district. Fred Anderson has the contract, and work will begin at once, There is to be a full basement, with heating plants, laundry and other conven- jences, One flat will occupy a half floor between the basement and the first story, and there will be two apartments on each of the first and second storys. The exterior is to be of stucco; the architectural design is very attractive, and the building will be fully up to the high standard which Bismarck has established in recent years, KBLLER WINS OVER CUMMINS FOR CONGRESS St. Paul, July 2.—Oscar E. Keller, in- dependent candidate for congress from this district was more than 3,- 000 votes ahead of Carl Cummins, re- publican candidate this morning, and his election was predicted. Keller showed unexpected strength in virtually every precinct. 100 DEATHS IN BARTHQUAKE Florence, Tuesday, July 2.—The earthquake in this district ‘Sunday caused, 100 deathes, made several thousand homeless, and destroyed 200 homes, six churches and several other public buildings and schools. MONTENEGRO REBELS. Berne, Tuesday, July 1.—Virtually all Montenegro is in rebellion against the Serbian occupation, according to advices received here. : CALL STRIKE OFF. Chicago, July 2:—The strike of tel- egraphers which began June 11 was called off at noon today by S. J. Kon- nenkamp, president of the .Commer- cial Tedegraphers Union of America. MINNEAPOLIS GRAIN. Minneapolis, Minn., July 2.—Wheat receipts 106 cars compared with 109 year ago. Cash No. 1 $2.50 to 2.56; corn $1.75 to 1.76; oats 67 to 67 1-2; flax $5.48 to $5.50. DAKOTA COMBIN GIVEN QUIETUS BY RAIL BOARD Application of Heat, Light & Power Co. Formally Denied in Strong Opinion MUCH OVER - CAPITALIZED Excess Values Claimed by Con- cern Not in Keeping With Good Practice, Is Held The application of the Dakota Heat Light & Power Co. for permission to merge a dozen North Dakota public utilities and to issue $4,750,000 worth of stock on the basis of this consolidation was formally denied in & unanimous opinion handed down by the railway commission late last ev- ening. The commission sums up its find- ings in the Jast paragraph of its 12 page opinion, as follows: “The commission does not favor and will not countenance excess val- uation for purposes of capitalization. It is firmly of the opinion that cap- italization should closely approximate the fair value of the property. It is a common fallacy for promoters to believe that such large and elastic economies result from consolidations that interest and dividends might be paid on almost any amount. On the other hand, it has been the evident intent of promoters often times to se- cure their profits from manipulating the securities rather than from the estimated earnings resulting from the consolidation. As a protection, there- fore, not only to the present but to future rate-payers, the commission deems the present time not a favor- able one for purchasing and consoli- dating these companies, and the ap- plication is therefore denied.” History of the Case. The original petitioner, the Gen- eral Utilities Corp. was organized early in 1916 for the purpose of con- solidating and operating a number of electric light, heat and power com- panies in the east-central part of the state. Plants at Kenmare, Enderlin and Oakes were combined and oper- ated from the date of organization. Afterward the number of utilities was increased to eight, including the plants at Carrington, Devils Lake, Casselton, Sheldon. and New Rock- ford. The Dakota Heat, Light & Power Co., whose application was fil- ed with the railway commission May 5, .wag:inoorporated under’ the laws of Maine, with’ its home offices in Au- gusta and its administrative offices in Bismarck. “The company proposed to take over the electric light, power. and steam heating systems at Bis- marck, Dickinson, Jamestown and Mandan, and electric and power sys- tems at Lisbon, together with those of the General Utilities Corp. a. New Rockford, Carringtcn, Cx7selton and Kenmare; the electric light, power and steam heating systems at Oakes and Enderlin; the electric light, pow- er, steam heat, telephone and water- works system at Devils Lake; the electric? light and power distribution at Sheldon, and the transmission line between Sheldon and Enderlin. To finance this undertaking the company asked permission to sell $2,675,000 worth of first mortgage bonds, con- vertible bedentures, and first and sec- ond preferred stock, and $100,000 worth of common stock, making $2,- 775,000 in all. For purposes of capitalization, the company valued its properties as fol- lows: Dickinson . + $165,200.75 $150.000 Mandan . 203,971.11 200,000 Bismarck 506,729.12 500,000 Jamestown 427,381.41 464,000 68,291.19 40,000 791,453.64 1,054,349 properties Totals 2,163,027.22 2,409,149 The difference between the pres- ent value of ‘the General Utilities Corp. and the- purchase price was $246,121.78. This amount, as ex- plained by the company, was to cover the expenses of incorporation of the petitioner company and all miscel- laneous expenses of promotion. It was not, however, to include a $365,- 851 bond discount. The ruling says: “The valuation arrived at by the engineer for the petitioner are deem- ed by the commission to be unusually and unreasonably excessive. The ap- praisals were made about the first of the year 1919. Instead of using unit costs based on average prices for a number of years, the engineering company used the unit costs of the specific date, which represented the highest price period during recept years. To these inflated specific construction costs was added 17 per- cent of both specific construction cost and the appraised value of land to cover overhead.” ~ Willing to Go High. “Throughout the record numerous statements were made by witnesses and counsel for the petitioner indi- cative of the willingness of the pany to accept the highest valuations of record and to capitalize every known item of physical and intangible property at an unusually high value or percentage.” The hearing was of espacial inter- est to North Dakota from the fact that James Manahan of Minneapoiis, former Minnesota congressman at large, and who has been actively identified with league affairs and in- timately associated with President A. C. Townley of the National Nonpartl- san league as personai tuuusel for the latter, appeared for the pruposed combine, In his arguments befora the state railway commission, Mana- han used much league gospel, and he declared the rail board shou'd take immediate favorable action on tne application, inasmuch as the merger was in keeping with “the new day” in North Dakota, WARNS AMERICA OF BOLSHEVISM’S EVILS ig metropolitan high dignitary in the Russian church, and he is in America to give warning of the dangers of bolsheviam. The poe have put a price on his) ead, He of Odessa, a TWO KILLED 30 INURED IN STORMS Minot, July 2—A farmer named Nelson, and. wife of another farmer named Salpat, both living near Mc- ‘Gregor, were killed in Sunday night’s storm and between 30 and 40 persons were injured, according to word re- ceived here today by téiepuvuc from E, EB. Stahl, McGregor merchant. Stahl said the storm struck there about 10 o’clock Sunday night and damaged virtually every building. in town. One residence was, blown 200 yards, but occupants escaped injury. One farmexs home was carried 150 yards by the wind. Doctors from Wildrose, Powers Lake, and Mcgreg- or are caring for the injured: Not a barn in. the McGregor district re- mains standing according to Stahl. REVOLUTION PERMENTING IN BERLIN Berlin, Tuesday, July 1—The com- munistic league has. /again arrived at the fermenting stage in Berlin’and there'is indication. that the strike sit- uation: has again some to the insur- rectional state. The street car strike threatened to involve the suburban line workers. The frankness with which Hugo Hasse, Herr Hoffmann, and other radicals, are now demanding a dic- tatorship by the proletariat is looked upon as significant. In the meantime the minister of de- fense is increasing his troop patrols in the city, planting reels of barbed wire at strategic points. WINDS AID FIREFIGHTERS IN MICHIGAN Sault Ste. Marie, Mich., July 2.— Tkeports from the territory extending 40 miles westward from here over which forest fires were sweeping last night and early today indicated that shifting winds were aiding the fire- fighters and that South Lake, Seney, and other menaced villages may be saved from destruction. Forest rangers and villagers were still battling the flames still raging over Chippewa, Schoolstrast, and Mackinac counties owing to the pro- longed drought. [0 WA RATIFIES EQUAL SUFFRAGE Des Moines, July 2.—Iowa ratified the Susan B. Anthony ameniment yesterday afternoon: SON OF PIONEER HOTEL MAN HERE FOR FRA ELBERT Louis Goeschel, a son of Dr. Louis Goeschel, founder of the Inter Ocean, Mandan’s pioneer hotel, succeeded» by Governor Hanna’s famous “Lewis & Clark” hostelry, is here in the interest of a Roycroft de luxe edition of Elbert Hubbard’s “Little Journ- eys.” The former North Dakot- an, whose boyhood was spent in Mandan, was identified with Fra Elbertus for four years prior to Hubbard’s traggic death with other notable Americans on the Lusitania, sunk off the Irish coast by a German submarine, and since the death of the fra he hag remained with the Roycroft “AGAINST WAR” TEIGAN REPORTS TOWNLEY SAID “Cannot Afford to Advertise It,” Though, League Chief Accused of Saying WITNESS FOR STATE Trial of Nonpartisan League Chief Drags Along at Jackson, Minnesota . Jackson, Minn., July 2.—Ferdinand A. Teigen, former leader of the na- tional nonpartisan league, was called as a witness for the state this morn- ‘ling at, the trial of A. C. Townley and Joseph Gilbert, nonpartisan chief- tains charged with conspiracy to pro- mote disloyalty. S. G. Tiegan, Minneapolis, a form- er employee of the National Nonpar- tisan league, on. the witness stand today for the state, declared that Townley told him in 1917 that he was opposed to the war; to the entrance of the United States into the war, to the American method of raising mon- ey By liberty bonds. Prosecuting Attorney Nicholas an- nounced he intended to question Tei- gen as to any conferences which he had with Townley relative to the at- titude of Townley and the league to- ward the prosecution of the war. Teigen stated under direct exam- ination that he talked with Townley in the fall of 1917, when Townley said: “We are against this war, but we cannot afford to advertise it.” The Star Witness. Teigen is considered by the state its star witness. He became asso- ciated with the Nonpartisan league in 1916, and he continued in the employ of that organization until his connec- tion was severad in 1917. Teigen dwelt on conversations he had at var- ious times with Townley and Gilbert. Townley listened to his testimony, seemingly with keen interest. Testifying regarding a conversa- tion with Townley about June 10, 1917, Teigen says he discussed with Townley what the attitude of league organizers should be in German com- munities in Minnesota. “Townley said that in German communities it was all right to set forth our views about the war, so as to humor them a little, but not to make it too strong.” “To Arouse Sentiment. “What was the object of this line of reasoning? asked the prosecuting attorney. “To arouse pro-German sentiment,” replied Tiegen. “How was plished?” “Not by direct statements,” said Teigen. “It was only necessary to repeat Townley’s speeches in North Dakota, stating that this was a rich man’s war.” Teigen repeated the statement which he alleges Townley made to him in St. Paul: “We are against this war, but we cannot afford to adver- tise it.” “Wie were at Glencoe, Minn. The Liberty bond sale was closing. Town- ley said it was a mistaken policy of financing the war that it was abso- lutely wrong. He did not counsel op- en opposition to the sale of bonds.” WILSON WORKS ON MESSAGE! ARRIVES MONDAY On Board U. 8. S. George Washing- ton, (Tuesday) by Wireless, July 2.— The presidential voyage continues un- der the most favorable conditions, with calm seas, and mild, sunny weather. Mr. Wilson has done some work on his message to congress, in which he will submit the treaty, or protocols, and the general results achieved at the peace congress, but on advice of his physicians, the pres- ident is giving considerable of his time to rest and recreation. It seems probable that if the George Washington arrives in New York on Monday as expected the treaty will: be submitted and the message read Wednesday or Thursday. $100,000.00 IN WAR TAX ON WILLAKD MILL Washington, July 2.—Basing their this to be accom- lestimates on a sale of one million dollars worth of tickets the internal revenue bureau said today that ti Willard-Dempsey fight would net the depjartment a tax of $100,000. There would also be a tax on all speculators. ILANGER SPEAKS AT “DROUTH” JUBILEE Attorney General William Langer left this morning for Fargo, where this evening he will address the North Dakota prohibition amendment ratification’ jubilee on the subject, “North Dakota’s Influence in Prohi- bition Matters.’ E. E. Lobeck, pio- neer Minnesota prohibition worker, will share speaking honors for the evening with the attorney general. PROBES VIOLATIONS. Washington 2—Attornev General Palmer today ordered investigation of liquor sellin: at Atlantie City and immediate féderal prosecution if con- ditions were as reported in news- organization at East Aurora, papers, IRISH PRESIDENT AS SEEN IN NEW YORK EDWARD OF VALERA. This picture of De Valero, presi- dent of the “Irish Republic” was ta- ken after his arrival in New York. He is in this country to float a $5,000,000 bond issue for his country. TOWNLEY LIBEL SUIT ELICITS REMINISCENCES Man Who Helped Locate Bis- marck Writes of Days When Arthur Was Not Factor a steven Townley’s “million-dollar” libel suit against The Bismarck Tribune and other North Dakota newspapers which carried details of what Attorn- ey General Langer has styled the “daylight bank robbery” at Valley City, has elicited from R. M. Doug- lass of Covina, Calif., the following interesting letter to The Tribune: “Recently I noticed in our Los An- geles Times that The Tribune and other North Dakota papers had been sued. This turned my mind into old- time thoughts. I was a civil engin- eer on the Northern Pacific railroad when the end of the track was at Bismarck. I was in the first Yel- lowstone expedition under General Rosser. I taught the first school in Bismarck five months one winter. Col. Henry Brownson, depot agent, was county superintendent of schools. My school was the only one in that country. I was there when Col. Lounsberry started your paper, The Tribune. “I was there when Fort Lincoln was built, and when the Indians dashed up and came near burning the buildings under construction. I was one of the party under Engineer Eckelson which was rushed across Dakota in mid-winter to locate and hold claims for the townsite of Bis- marck. J. J. Jackman had gotten pointers regarding the location and had gone on. We, after him on the run, took and held tie site. “The old steamboat, ‘Aunt Betsy,’ came up the river loaded: with sup- plies, and I had a cottonwood ware- house built to hold the cargo of the boat and had charge of it for a year. I was in Minneapolis at the time of the Custer massacre in 76. Do I hit old times?” LEAGUE. FIGHT IN CONGRESS OFF DURING RECESS Washington, July 2.—With the be- ginning today of a week's recess of congress it seemed assured that sen- ate opponents of the league of nations would abandon any plan for the sen- ate declaration on the subject before the actual fight for defeat of ratifica- tion of the treaty is begun. Before notice of adjournment was received it seemed the intention of senate leaders to press action on the resolution of Senator Knox, rejecting the treaty. It seems profitable now, however, that the treaty will be pre- sented as soon as the recess is over, and the prediction is that from now on it will be an out-and-out fight over unqualified ratification. WHITE HOME AFTER SECOND BIG FIGHT Valley City, N. D., July 2.—Col. Frank White, for two terms gover- nor of North Dakota, a major of the First North Dakota during its Philip- pine campaign, and who resigned a place on the state board of regents to accept command of the Second North Dakota national guard, upon its organization soon after America’s entry in the world war, is home from a year’s active service in France. Col. White’s commission to command the Second North Dakota was rather unusual, inasmuch as it came from Governor Frazier, whom the veteran North Dakota fighter had vigorously opposed in political matters. To his thousands of friends in North Da- kota, he will still be Major White, a! Quaker who would fight when he felt his cause was just. ITALY TO GET TERRITORY. Paris, July 2.—The proposed solu- tion of the Italian problem being dis- cussed here, it is understood, con- templates giving Italy certain colon-| ial possession, probably in Africa, in suppprt of her concessions in the DIRIGIBLE R-34 STARTS ITS TRIP ACROSS ATLANTIC Little Ceremony Marks Depar- ture of Aircraft on Journey MAKES 32 KNOTS HOURLY First Position Reported Is 300 Miles From Kensington, England East Fortune, July 2.- ‘The British dirigible R34 started on her fong-her- alded trip to America this inorning with little more ceremony than that which attended the departure of di- rigibles for their monotonous North Sea patrol during the war. Shortly before dawn the great airship was taken from ‘her airdome and turned around until her nose pointed west. The command “hands oft” was. given, and the huge envelope rose. ‘Beforo she had reached a heigit of fv feet she was ‘lost to view in the mist. The whirr of the propellers could be heard for several minutes after the 700-foot airship went out of sight. It is expected the R34 will meet vari- able conditions until she is some dis- tance out in the Atlantic. Then it is expected, she will have following winds wAich will help her, Among those who motored from Edinboro to witness the start was an American woman who presented a silk American flag to Capt. Lans- downe, flight commander, just before he stepped aboard. MAKES 32 KNOTS AN HOUR. London, July 2—The British di- rigible R34 had reached 50 degrees seven minutes north latitude, 14 de- grees, 50 minuptes west longitude at 12 o‘clock Greenwich time (8 o’clock New York time) in her attempt to cross the Atlantic. Major Scott, her commander, in a_ wireless dispatch, said the dirigible was making 32 knots an hour in a thick fog. The position of the R34 at-12 o’clock Greenwich time was 300 miles west of Kensington, Eng., indicating that the big airship had traveled in a southerly direction along the coast of Ireland. Mail carried by the R34 in- cludes a letter from King George to President Wilson. HOPPERS DOOMED SAYS BURLEIGH COUNTY EXPERT G. W. Gustafson Declares There’s No Doubt That Pest Is On the Run Reports over the county indicate that the poison bran is most effective in combatting the grasshopper pest, which is so destructive to much of the grain over the county, says G, W. Gustafson, county agent. A few complaints have come in to the effect that the poison is not kill- ing them off, but upon inquiry, it is found that this is due to improper mixing which is of the utmost im- portance, or that a rain had fallen immediately after the poison had been spread over the field. This will wash off the poison, and make the bran harmless. Farmers should in- sist upon a thorough mixing of the ingredients of the poison bran ac- cording to the instructions given out by the agricultural college when get- ting the poison and materials, says the county agent. . A systematic killing’ of the grass- hoppers this season will rid the county of the pest for another year. Every farmer, therefore, should do his best to do his share in the fight. There is no compulsary law making him spread the poison but he should be patriotic enough to his own com- munity to fight the common enemy. ‘Shipments of freight have been somewhat slow but almost every township is now supplied with the necessary poison. If more is neces- sary, send to F. EB. Flaherty, ‘county auditor,giving the amount still re- quired. For any. information write or call G. W..Gustafson, county agent, room 2250, Post office building. At Moffit. The county agent was at Moffit Monday, studying the grasshopper situation. REGENTS NAMED FOR SHORT TERMS Governor Frazier yesterday reap- pointed as members of the board of regents, to serve until July 26, when this commission will be absorbed by the new board of administration, Rev. C. E. Vermilya, district super- intendent of the Methodist Episcopal church, who has been active in league work for the last three years: and Roscoe Beigle of Sawyer, who was appointed last March to fill out the unexpired term of Dr. J. D. Tay- lor of Grand Forks, a veteran mem- ber of the board who resigned be- cause of failing health. CENSORSHIP ABOLISHED. Paris, July 2.—General Pershing it was announced here today has in- structed that the military censorship be abolished immediately. TO RATIFY PEACE, Paris, July 2.—The Germans expect to ratify the peace terms next week. The Germans also express the hope that German war prisoners would be Adriatic settlement, released at the same time.