The Bismarck Tribune Newspaper, February 2, 1921, Page 1

sae sea BISMARCK TRIBUNE: ie The Weather i FAIR THE ] i REFUSE TO PRODUCE INDUSTRY RECORDS -DRAKEFLOUR MILL LOSES MONEY; WILL CONTINUE (= | “HOMEBUILDERS APPEARS LOSERS; NAVY BUILDING INDUSTRIAL COMMISSION DERIES BANK PROFITS HIGH, SAYS REPORT SHIP PROGRAM | LOKEARTS OF FURTHER MOVE THIRTY-NINTH YEAR LOCAL POLICE “GED HOME STILL AND OPERATORS | | i J. W. Pauley and Son Caught in| | 1 | | oo Industrial Commission Makes Report to Secretary of State on House Committee Revorts Out. i ais 5 Condition of State Industries as of Dec. 31—Bank of North’ Measure Appropriating | Raid by Welch and Attorney-General Calls Investigation Method “Unconstitutional” Dakota Declared in Good Shape, though $800,000 Is in Closed | $395,504,444 | Martineson oe ae bonus aed o Employes to Refuse to ‘ Es 5 & | | ? —— ring Records Is Given—Adjournment Taken and Attorneys Banks—Home Builders Report Meager—Drake Mill: Profits! | J an orney: . Wiped Out Through Price Fall and No Hedging in Grain|CUTS NAVY’ PERSONNEL FIND SMALL BREWERY) ee a lage in eae rman of Sec- Market—Claim' Big Mill Would Succeed bead Sore i y Tomar retary—Claim Production of Records “Wou olutely Stop ; F ig Mi ‘oul ucce! | No Reduction, However, in Of- | Capacity of Plant Was About; Industry Operation” | Three Gallons an Hour, | 100 Percent | ficers of Either Navy or | FittED FoR’ Joe — Arthur B. Marine Service | Reeve, famous-writer of detective; € The report-of the Industrial Commission on the Bank of! North Dakota, the Drake Mill, mill and elevator association and Se = The Industrial Commission of the state, composed of Gov- the Home Builders association is on file with the Secretary of State today, as required annually by law, and with the senate | and the house of representatives. Based chiefly on the audit of industries made by the Equit- able Audit company, the report includes considerable discussion of the Bank of North Dakota and the Drake, mill, but very litle about the Home Builders Association. - The report is given as complete as to the three industries, | and is made as of Dec. 31, 1920. It compares generally with the! report of Bishop, Brissman and company on the Bank of North! Dakota, which was. made as of Dec. 3, presents a complete bal- | ance on the Home Builders association but gave few details of | the operations of this industry, and contains an’ elaborate dis-| cussion of the Drake mill. Among the features of the report are: Claim is made of net profit for state industries during year | 1920 of $116,427.75. i Loss on Drake mill is placed at $17,668.31. Deduction of $15,000 is made on account of Home Builders | association, as deferred expense. ~ | Bank profits for year placed at $135,998.50. | Loans on sinking funds deposited in Bank of North Dakota | aggregate 81 per cent of total. Loans and overdrafts of state industries totalled $948,359.91, | cruisers and a number of auxiliary) said a local hotel man. Total of $793,184.64 tied up in closed banks Dee. 31, includ- Washington, Feb. 2.—A half of hil- lion dollars will be required to com- plete the great naval building pro- gram embarked upon in 1916, the housé committee estimated today in introducing the appropriation bill for 1922, Increased costs of material and la- bor, would increase the total cost to $972,933,000, of which $538,270 has been appropriated. The bill reported today which c ries a total of $395,504.444 provided $90,000,000 for continuing consiruc- tion next year. This amount, the report states, will | allow the work to provced to the com-| ing fiscal year about as rapidly as it has been possible thus far in the cur- rent fiscal year. The 1916 program authorized 156 ships. many of “these have been com- | Pleted but 17 battleships and battle} have written to me about this bill.” be almost pure alcohol. vessels are under construction. The bill as it reached the house | stories, has been appointed foreman | | | of the Brookl: a ry. —.- | jof the Brooklyn grand Jury. , “| J. W, Pauley and Pearlie Pauley,| | father and son, waived examination after being arrested on charges of} manufacturing intoxicating. liquor at| their residence, 1014 Eleventh street. | Sheriff Welch and Chief of Police ; Chris Martineson arrested the pair last jnignt about 9 oclock, walking into | the house while the liquor was being | manufactured. State’s Attorney -. E McCurdy was summoned and praised the officers’ catch. ‘He said the still | was one of the most complete that HOTELBILLIS NOT DANGEROUS —— TMSCLATMED | had been obtained anywhere. | . n ‘ ’ According to the officers, when they | Measure in Which ‘Joker’, Was, entered the house the still was turn-| j Suspected Merely Ambigu- 8 off about three gallons an hour} | jof almost pure alcohol, A gas stove t ous Says Local Man | was connected with a gas lighting | plant, The fermented mixture was Fears of hotel men that great in- i | said to be on the stove, boiling. The} | ‘steam was led into a worm consist-| | jury would be done through the Burk-, ing of to 20 feet of copper wire, | bart house bill making some changes they said, taken through cooling wa- |in the hotel laws were dissipated to-! ter into glass jars, Rye, corn, brown| iday with a thorough examination of| sugar, molasses and yeast was used | |the act. . in the manufacture. The mixture ; “A dozen hotel men over the state) which fell into the jars was said! to| | | | “Investiga-| The officers confiscated four or, tion showed that it contained only| five gallons of home brew, a pail of; ‘minor changes in the law. Attorneys | '¥€ mash, box of rye, barrel and sam-' | ples, keg and sample green box, rye, ernor Frazier, Attorney-General Lemke and Commissioner of Agriculture Hagan, today refused to permit production of rec- ords and books of the state industries through demand of the house investigating committee. ‘To do so “would absolutely stop the operation of said indus- tries and destroy them,” the commission declared. _ The bomb-shell was exploded at the opening of the inyes- tigation of state industries begun today in the Burleigh county courthouse by the house investigating committee of nine. Lemke Makes Appearance Attorney-General Lemke appeared before the committee and asked that the records show that he was representing the executive department of the state, that the action of the commit- tee in refusing to permit. witnesses to be represented by council was unconstitutional and “not conducive to the best inerests of the state” and that the investigation “was an attempt to usurp power of the executive department of the state” and that he was present to cross-examine witnesses and “to get the truth.” He also said that further steps would be taken, when in- formed of the rule of the committee regarding the appearance of witne This was taken to mean by some that he would go to the supreme court. ‘ Paddock Produces Order IL. A. Paddock, secretary of the Industrial Commission, in answer to a request by Attorney Francis Murphy, to produce f ing loans and redeposits. ; Salaries of bank aggregated $107,397.20 for year 1920. No options sold for Drake mill between July 15, 1920 and Sept. 18, 1920, to cover wheat and flour on hand and on con- today carried $37,775,129, less than, construe the section requiring halls! P the amount appropriated a year ago|to be from wall to wall, construes; °C | and $284,011,287 less than the amount| it to mean that hotels need not be MAN KILLED ‘records, presented the order of the Industrial Commission ad- | dressed to “the managers, officials atid employes of the Bank of North Dakoa, the North Dakota Mill and Elevator association ‘and to the Secretary and Employes of the Industrial Commission | requested by the navy department. | cross-sectioned. If there is a turn | Besides the cut in the enlisted per-| in the hall it is not ended but con- The wording is ambiguous sr signment, resulting in loss in fall of wheat price. Small size of Drake mill held contributing factor to lack of | fore announced. financial success. sonuel from 143,000 to 100,000 hereto- cut the marine from 27,400 to 20,000. No reduction, however. will be made | tinues, the committee also| and has caused considerable alarm! mong hotel men. i | “It is probable that efforts will be’ INIRELAND FOR of North Dakota.” TARIFF BILL The senate committee met at noon today to consider the audits of Bish- a Pa Forty per cent loss on $17,000 worth of sacks sustained in in the number of officers in elther| made to clarify the wording in the! op, Brissman & Co. and the Industrial price declines on them. ; | branghvot service, a ste [iene ‘eke buy one sea a ae CARRYING GUN iene It was decided to have Yai i id: ve ‘kel rice ong | he total appropriations, 6,913,431, be brou; ack to the; lorney General Le a - Claim made that mill paid above market price for wheat. ‘a reduction of $2,886,569, from esti-| house. The sections in the bill that! | torney but the alioriby ere acu Administration’s, Stand. i : | mates and $13,086,000 less than was| are new are important, and the sec-| RIEL, j ed the right to an attorney if they The administration’s stand, as re-| | appropriated for this year. j tion which aroused the: hotel. men is) Murphy Executed by Authori-: so desired. flected ‘through the audit is.on Drake; i 7 An appropriation of $550,000 for|in the law now. | phy y i 1 The hearings, it was decided, would mill, that ‘it is difficult to operate} . ; Work on yards and stations on Atlan-| ——— | ties—Policemen Ambushed | 4 DAY all be held on the floor of the sen- ' small mill at profit but that Grand ' ; tie and gulf coasts, while $4,907,000 | | ate, althoigh the preliminary discus- Forks mill under construction can be} GERMANY WILL was appropriated for yards on the ! by Mob pai sions of the report will be done in made to pay. Pacific coast. ot 4 i en . committee meetings. i Bene of North Dakota solvent, and —_—___. | Cork, Feb. 2—Cornelius Murphy of| Friends Concede Defeat of A M an rouponse i ariner questioning ‘ ry has far greater amount of liquid /as- | Rathmore, County of Kerry, was shot Mr. Paddock said he did not think the sets than average for state banks. RENEAU ADMITS DUE FROM 0] L today when Oey aa aicaaa ona tempt to Enforce Industrial Commission ‘would object \ to hig producing certain records, ani NOT PAY SUM Home Builders _ administrative STABBING IR | charge of carrying arms. charge was held to be less than five ee G Li | This is the first execution on such Cloture Rule ie commutes adiourned, after attor- percent. . A ‘Luverne, M: , Feb. 2.—County! ‘a charge since martial law was de- . — € et at a letter would be ; ‘Bank of North Dakota helped finan- All Parties but Communists] attorney ‘H. .” Canfield claimed! 5. | clared. The attempt to enforce cloture rule! given Me. Faddock to present to the cial situation of state by loanin, i to have the complete confession! j cigar es was defeated tod: hii on, requesting y 5 Support German Foreign P | (Sibberren, Ireland, Feb. 2—Four po- d today in the senate that he appear with certain records, when federal reserve was calling in loans, through which money became tied up in many banks. | From Critical Viewpoint. From a critcal standpont, it is held that the report bears out the Bishop,’ Brissman and company ‘audit so far as it goes, but that it does not fur- nish as much information as to the operation’ of the state industries as does the: other audit, except on the Drake mill. The Bank of North Dakota has loaned less: than $8,000,000. to farm- ers, has tied up nearly $1,000,000 of public funds in state industries, has tied up 81 percent of the sinking fund of the state, has been operated at a huge expense of over $10,000 a Secretary ‘Berlin, Feb. 2——Dr. Walter Simons, foreign minister, supported by all parties except the Communist in the Reichstag, declared that the govern- ment would refuse to negotiate on xhe basis in regard to the allied de- cisions regarding reparations, WIN DRIVE FOR $33,000,000 made today of Hary Reneau, wh stabbed Miss Florence Martin here last Friday night. Reneau_ charges reason for his act, ‘Miss ‘Martin's condition is consid- ered serious. HARDING TO FAVOR FORM OF MILITARY DRILL jealousy as the ‘Proposed Reduction Will Cancel| | Ten Per Cent. Bonus i { Predicted j | ‘New York, 2.—Reports — cir- | culated here today that the Stand- |ard Oil company would make a 10, | per cent wage reduction, affecting its | employees in all parts of the United | States, were given added currency by ; Mews of cuts made by Standard Oil | subsidiarics in widely separated fields. Employes of subsidiary companies in New Jersey and West Virginia con-/ | sidered the proposed reductions at ; meetings last night. Reports came ‘from Mannington, W. Va. that em-; policemen were ambushed last night at Groverly, County of Cork, by a party of twenty men. One of the of- ficers was killed and one seriously wounded, ‘ ORR THINKS. CONDITIONS ON SLOPE BETTER Mott Banker Believes Peak of Washington, Feb, 2—The emer- gency tariff bill today was in a peril- ous position, A vote on the senate cloture rule was set for 1 y’clock, with its defeat conceded, A margin of eight or ten votes less than the necessary two-thirds majority tor adoption was predicted. The fate of the bill remains for further controversy. Proponents of the bill expect to fight for its passage, even with ro- jection of the cloture rule. « Senator McCumber (Republican) of ‘North Dakota was the only consistent member on his tariff bill stand. One solution suggested today was to lay keeping them in his custody. He also said he had been instructed to co- eperate in. his office if the committee desired to examine records there. Calls it “Third Degree.” The order of the Industrial Commis- sion to employes has a preamble in which the commission attacks the na- ture of the investigation, assails, it, saying that witnesses are not permitted to be represented by counsel, tuat a stehographer’s record for the minor- ity was refused and that it is in the nature of “‘a third degree or star cham- ber proceeding. “The order to em- ployes, etc.. says: “Resolved, That you and each of you who have in your posses- sion or under your control or itt month and has tied up over three-quar- H - Dloyees of the [kureka Pipe Line com- if A a aside the tariff bill for consideration tors of a million dollars in public; 5 4 # Fund f Rabie Announces :e.U reewent | pany, a subsidiary, had been notified Critical Situation when no appropriation measure was] Youn a8¢ 10y books, records, docu- funds in closed banks. iterary Digest Says Fund for; Elect to Urge Voluntary | of similar reduction, in readiness. ' ments, files, papers, instruments i : The report of the Industrial Com-| St: ing Is A ed ae ! The proposed reduction, it is said, Passed ieee fare nbte a ae or property of any’ ind or descrip- { mission is incomplete in that it does Slarving 1s Assur Training will lake the form of suspension of peed © Hon) -nelonelng to the, dagustrlee o not show farm loans made, nor the GS. EAD Stale Speciat:) —— the 10 per cent wage bonus Beanie “Conditions are improving west of mene of, the. Iadastrial Connie depository banks and \amounts, to Stee special’. Washington, Feb. 2.—President-| by the Standard Oil company during: the river,” declared F. G. Orr, one of sion of the Staté of North Dakota, show whether or not favoritism has , been practiced. Loss on Drake Mill. The report on the Drake flour mill shows a loss far greater than is ac- tually shown, through administrative New York, Feb. 2.-—Thirty-three millions of life-saving dollars! Enough’ to feed, clothe and medically care for the stricken children of central Europe. This is the gift assured by Amer- elect Harding favors enactment of legislatiof to provide for voluntary | military training for 150.000 meny ‘Chairman Kahn of the house military ; committee announced today on the , floor of the house in launching hia fight to prevent the reduction of the ,; the war, ‘The Standard | Oil company of ‘New Jersey today an- nounced a reduction of one cent a gal-| jon in price of gasoline and kerosene; | in five states, New York, the leading bankers and farmers of the Missouri Slope, who is jn Bis-| marck to attend the meeting of com- mercial club secretaries. He repre- sents Mott. “ “T think the peak of the critical situation has passed and that a HAS STATE MINE AT HAYNES, N. D. are hereby ordered by the gover- nor, the attorney general and the commissioner of agriculture and labor of the state of North Da- kota, as members of the execu- tive department of the state of North Dakota, and as members of 5 assets : H pL eT LCT ica and made possible by a few simple} regular army below 170,000 men. New York, ). 2—-Employes of| marked improvement will soon set the industrial commission of losses. | words written from a man’s heart to| Chairman Kahn declared that the all the refine of New Jersey have | in- Mott and Hettinger counties are Pierre, S. D., Feb, 2K. 0. Roush ‘North Dakota, and to refrain from Management of Drake mill woefully) the heart of a nation president-elect had told him that he} voluntarily a ion of| in excellent cond ' depe rahe . eB. OD. oust) taking from said institutions and ¥ “ | favored an army of 175,000, and that] one-half of cost of living bonus ef- in charge of the state-owned coal industries any of such said items deficient in failure to hedge on wheat during two months period, but now; is shown to be operating on Minneapo- lis, market. Failure of Drake mil! virtually con- fessed and dark outlook given for fu- ture." Only:meager report made on Home Builders association, indicating lack of records. This report, it is understood, will be. made the basis of the senate’s in- vestigation of industries. It was re- ceived and filed in the house. Summary of Operations. A summary of the industrial pro- gram operations is given as follows: Profits to Dec. 31, 1920... .$309,967.23 ‘ Less Appropriation which was used and which the re- serve has been providéd On October 19, last, Herbert Hoover wrote to the publishers of the Liter- ery Digest that in January the Ameri- can Relief Commission's resources for helping the distressed little ones of the uropean war zone would ibe exhausted, He said: “Twenty-three million dollars must be raised without delay, and remem- -bering the new heart you put into the Commission for Relief in Belgium in 1916, I come to you again.” The $23,000,000 was needed for food; $10,000,000 additional was need- ed. for medical care. The Literary ‘Digest’s answer to Hoover came eleven days later in the form of an editorial entitled, “The Slaughter of the Innocents,” appeal- ing for the $33,000,000, The Digest itself started the fund with $25,000. Before the week was out the stream began from all over the nation. he hoped that some day it could be }eut to 150,000. WHEAT STAGES A COME BACK ‘Chicago, Feb, 2,—-Wheat advanced in price largely as a result of belief that various conditions had been dis- counted at least for the time being. ‘Upturng in price brought about in- creased selling. Initial quotations which ranged from one to one and three-qnartefs cents higher were fol- lowed by a reaction. Prices closed unsettled, one and a half to three and a quarter cents higher. PALMER ACTS ON {fective Feb. it wag announced to- day at general offices of the Standard Oil compan The redu n is equivalent to ten percent of wages. “HIGH COST” HIT AGAIN. Cape Town—‘The H. C. L. is decreas- ing even in Africas Women of the Fairhaven Work party have started a bakery, selling bread at lower-than- market prices. Their Dusiness is too big for them to handle it, OLD GROUND HOG SAW HIS ; ‘ SHADOW; TURNED AROUND AND WALKED RIGHT BACK HARDING TURNS TOWARDS NORTH Miamf, Fla, Feb. 2.—-President- Elect Harding turned northward on his Florida vacation trip, leaving here early this forenoon on his way to St. Augustine. Most of the return trip will be made aboard the Victoria, on which the presidential party cruised from St. Augustine to Miami. > 4 mine at Haynes, N. D, who is here for a few days during the legislature, re- ports operations at the mine are going ahead in fine shape ahd’ is enthusias- tic over the mine's future Commenting upon the venture, Mr. Roush said: “The big trouble now is to get or- ders. The people of South Dakota generally are under the impression that this mine will supply only state institutions, As a matter of fact, the state institutions made their contracts la}. summer and got their fuel supply before the mine was organized, Con- sequently we now have plenty of coal to sell to individuals. We are turning out more than one hundred tons a day, although some of the machinery ig not yet installed and we are not at maximum production. ] “Since this state mine has been in of property atid to refrain from delivering the same to the s0- called investigating committee of the house of representatives of the seventeenth legislative assem- bly or to any of their employees, agents, attorneys or servants ex- cept upon an order of this indus- (Continued on Page 3.) Twitchell Calls Maddock to the Speaker’s Chair Strange things happen in leg- islative halls. : During debate ot bill involv. ing the serving of notice of crop mortgage liens on elevators, Speaker Twitchell of the house, as shown by Ex. 8 profit ‘Babies broke open their penny LIQUOR REMOVAL led Walter Maddock. his Non- exceeding used appro- .| banks; bank presidents reached for aaa: ITs BACK operation, coal has been poured into tisan opponent for the post, to priation .........+0600- 24,108.07] their check books. Some have re-| Washington, Feb, 2.—Attorney Gen- 7 BED FER the territory adjacent to the mine in| PATURHN OPI ‘ ——| peated their gifts five times. ‘News-|‘eral Palmer today ruled that liquors Your UNCLE! the hope of undermining our business. e oe ir. ‘ ita‘ keat $285,859.16 | papers, churches, civic bodies all over} from bonded warehouses could be re- i One day recently there were 40U cars In onenden x ee a por of unconsigned coal in Aberdeen.” ed debates with Independents and 1921 and July 1, 1921.. 100,000.00 $175,998.50 tice that no more money should be sent to it, but to the state treasurers “The entire $33,000,000 is assured,” moved only by druggists, This is the first of the deficiencies APPROPRIATION | right back into his hole. can be laid down in towns of the s he said, under the present freight ‘ 1. Then «Paid to the fais teasurer the country took um tional organiea- SES Cee Mr. Roush said the coal produced at Se ia sidale Non. for interest on $2,000,000 tion was formed. the state mine showed a test of over ogee ol pee fs : idee ood bank bonds due Jan. 1, The Digest) recently printed a no- HOUSE REFUSES 11,000 B, T. U.’s per ton. The c vicaker aitenelt tar the ties time in four years,” the spexker opposing the Dill, found political lines forgotten. $185,859.18 | or (Franklin K. Lane, 42 Broadway, Washington, Feb. 2—The house ap- ‘ rates, at the following prices, with posing the Dil, Less reserve for deprecia- national treasurer of he fund. More! propriations committee refused the| Weather-Man Roberts says that the| weather prophets for ages, means six| an additional 3 per cent war fax: te sentative’: man, ui “tion on fixtures ........ 9,860.66 | than $21)00,000 has been already re-| shipping board's request for a defi-! ground hog came out today, saw his/ more weeks of brisk, cold Weather, or; Aberdeen, $4.72; Brookings, $9.93: partisan, was ior it. : u q ceived and acknowledged. ciency appropriation of $99,000,000.! shadow, turned around and walked| rather this year six weeks of fair| Watertown, $5.80; Madison, $5.93; And the final vote by which ihe weather, because there hasnt been| Sioux Falls, $5.93; Yankton, $6.07; bill was indefinitely postponed (Continued on page 6.) the Digest announces. acted upon, Which, according to the celebrated any winter to date, Mitchell, $5.80.