The Seattle Star Newspaper, May 9, 1919, Page 13

| feum, its provisions are too swee | misinterpretation and plausible crit- has made Mexico obdurate, Ber Pages 13 to 24 i: BY JACK NEVILL | and ‘in- \ Vestigator, who has lived for years In Mexico, and who has just four months there on spe | detail for The Star.) (Copyright, 1919, N. EA) | never heretofore been stated | to the cutside, Here it is, summed up by Luis Carranza’s “Colonel House,” Teal head of Mexico's financial it, and by Joaquin Santa- | chairman of the Mexican tech i md ue SEATTY WAS H., FRIDAY, MAY 9, 9, 1919. RAH WILL INTRODUCE BILL FOR VOTE ON LEAGUE |The Seattle Star | Section Two the 28 states to civil administration. Felix Diag does not control one twelfth of even one state. Manuel Palaez, Vera Crux rebel, and himself an extensive oil land | owner, wants to keep Carranza from enforcing Mexican laws on his prop erty and on as much foreign con- trolled territory as possible. In the latter he has the utmost sympathy of some powerful ol! men jand their financial backing—forced | or otherwise. | REBEL BANDS IN | U. S. UNIFORMS Ou men indignantly | they support him, yet i ny American army uniforms. Now American uniforms do not row on Mexican chapparal. naa does not supply them. 2323 ia domain anywhere the American border. Substantiating the claima that for touch cached in Texas, and which, Ozuna says, were intended for rebels. The governdér also declared that an American oi] man, hearing American business men were about to tour Mexico, assured him that he could LET’S TRY IT ON OUR PIANO j PAN - taez has no sea port, nor does | grant them freedom from Pelaes” The technical oil commission Americans and Mexicans specifically charging that armed employes of a great American company bad torn their lands. WIRE TAPPING = operator in Mexico has already taken | 4 out more money than he ever in preclude | a the proposed law A PRINCIPLE, RATHER THAN SETARY CON- | | | | would seemingly remove | points of clash, did not this article compel payments of rents and roy-) alties which might be construed as! tacit admission on the part of the/| operators that the government owns all. petroleum and that any future) congress might, at its pleasure re voke oil rights. ‘The letter published recently in a New York paper over the signature, “american Association of Producers of Oil in Mexico,” stating that un- der the new law no American or foreign company may do more than file its titles and give up its lands, misrepresents the facts. ‘The law does, however, require oil | companies to incorporate under the Mexican law, the same as American Jaws require that certain foreign companies igcorporat Mexican oil statesranship has not been clever. While the new constitution re stores to the government all petro | ing and ambiguous. Loopholes and rough edges make {t liable to |. FEAR OF FUTURE | CONFISCATION Undoubtedly it does carry dan; for future operations of companies now exempted. The constitution for- bids retroactive laws, and the pro- posed law, ax it stands, lends justifi- ‘cation to protests by ofl men that} | it would so operate. The conduct of certain operators It has cast that intervention is _ the ultimate objective. by these men pictures decrepit, and controlling only five per cent of Mexico; Feliz Diaz, revel, Ss con ig 12 states, and oil in-| as Shilanthrople, poverty- vice, and knowingly imposed up- orThe facts are: Carranza is cae | weak, tottering, teases, bolshevist 4 ef | Humoresque . EXPOSES INTRIGUE Gov. Omuna declared that Gen tapping oil interest telephohe wires, taken down verbatim enough conver- sations between rebels and oll ¢m- ployes to create a sensation when they are made public. As a final Carranza card in the off controversy, the execitive personal ly assured me that he has at hand figures showing that every big oll <3] | vested. iiss cesctcnentaie ‘EDWIN SWAIN TO SING AT 8 American Baritone Appears in Educational Program Edwin Swain, American baritone, assisted by Philip Sevasts, harpist, and Josef Martin, pianist, appears In concert 8:15 p. m. Friday, Odd Fel- lows’ hall, 10th and E. Pine. A second concert will be presented Saturday evening at the same. Both are under the auspices of the Seattle Society for Broader Education. Friday's program follows Polonaien op. $2, In A flat-+.00«..Chopin -Mandei “Now Welcome My Wood" Bawin Swain. Reverie Etude de Concert ‘ A Vitrano Philip’ Kevasta. 'l Maritus Am” ‘ Kdwin Swain. Concert Etude * “Pourauot” Staccato Etude ‘ seee Josef Martin Aria, Cadman .. MacDowell “myivin” « “Wind Song” Serenade .. Metancolle ..+ Selected. Philip Sevasta, “My Little Soul's Gwine A-Shine”..Guton Negro Serenade seeee Burleigh The Americans Come” Kawin Swain. ‘Colonel Allen — Talk to Democrats Col. H. Eugene Allen will relate the experiences of Base Hospital Unit No, 50 in France, at the reg- ular meeting of the King County Democratic club, at Good Eats cafe- teria, Saturday noon. The members of this unit were in France for nine months, and Col. Allen was chief of the surgical staff. The organizer of this unit was Maj. Eagleson, and Col, Allen became the chief officer after Mai. agleson returned, NCOL N TO STAGE PLAY J. K, Jerome's nny and the Servant Problem" will be presented by members of the Lincoln high school senior ciass in the school auditorium at 8:30 p. m. Friday, the h Meaning: and Constance Coe |g down ‘fencea and driven them off/ Bass NAMES Caesar Lopes de Lara, in charge of | operations against Pelaez, had, by | 2 | the Distinguished Service Cross, was Fay Fonter | SEATTLE MAN Sergt. Jack Sullivan Elected First Vice Chairman ST. LOUIS, May %.—(United! Preas.)\—American legion delegates | Were expected today to pick their | next battleground—the scene of their November national convention. The caucus will select a commit tee today to choose the convention city. The commigee will be com: posed of one delegate from each | state. Election of a third vice president, to be chosen from the marnes, was scheduled for today. Lieut. Col, Theodore Roosevelt de- clined the chairmanship of the con- vention late yesterday, because he| believed it for the good of the legion, he declared today. | “It has Been said that the legion lis being fostered by me to further my own personal ambitions,” Roone- | | velt told the United Press. “This is |absolutely untrue, and I declined to become chairman in order to give as much proof as I can to the fact that this is a non-partisan, non-political organization.’ Maj. Henry D. Lindsey, former mayor of Dallas, Tex. a wearer of elected chairman. Roosevelt with- stood for three hours the efforts of the delegates to elect him to the} chairmanship. The frantic, shouting throng had | urged the chairmanship upon Roose- | velt, but he refused. Cries of “We want Teddy,” “Teddy for us,” and| “Make him take,” filled the air. | Sergt. Jack Sullivan, Seattle attor- | ney, was elected first vice chairman; Fred B&B. Humphreys, of Roswell, New Mexico, second vice chairman. A resolution urging strict regula- tion against the I. W. W. was pre- pared and sent to congress by a | Joint committee, with Sergt. Sulli van at the head, ‘Sen. Harris Will Support Suffrage PARIS, May 9.—(United Press.) —Senator Harris of Georgia was reported today to have assured President Wilson that he will yote for the woman suffrage amend- ment in case it is brought up at the extra session of congress. The amendment lacked but one vote of carrying at the last session. RENTON ASKS RELIEF Permission to empty the sewerage of North Renton into Lake Wash- ington will be requested of Seattle by the city attorney of Renton. The gmwth of Renton north of Cedar river, where there are no sewers, is puzzling the mine city, A committee of the Renton city coun cil, after investigation, determined [ning with steel, Y People May Have Voice in League ‘Popular Vote on Pact Would | Be Morally Binding on Sen- | ate, but Not Legally | ITS COST TWO MILLIONS} Pre-War Income vs.” Tax Receipts Nation, UL 8. A. United Kingdom . France . Germany Italy : 1,900,000,000 Annual prewar income means not government income, but the Pot. uw PTs 23 18 42 Taxes. $6,200,000,000 4,100,000,000 1,400,000,000 1,800,000,000 00,000,000 entire Income of the whole nation from all sources. Italy's present rate of taxation is the highest in the world. Britain's is higher than many economists believe she can stand except for a very short period. France's lower rate shows she hasn't tackled her financial problem in earnest yet Germany's rate has been comparatively low thru the war because she expected to get big indemnities with which she could meet her war debt. She expected that when she was “win ning” and since she began to lose conditions have been such that the governments considered it wise not to tax too heavily After peace is signed her taxes will have to go up considerably FAIL TO LOWER COST OF LIVING Conference on Steel Does | Not Agree on Rates NEW YORK, May 9.—The rail- road administration and the steel producers failed in a conference held late yesterday to agree on a price for steel. As @ result, the steel market Is wide open today and an increase in prices in expected to result from a flood of orders which have been held back waiting for a definite price to be agreed upon. The plan of Secretary of merce Redfield to reduce costs by lowering prices, begin- appears, according to general belief, to have received a sharp setback. ROBBERS FACING MURDER CHARGE Third Member of Bandit Gang Still at Large THE DALLES, Or., May 9.-—Mur- der charges against Edward Primrose and Adolph Lewis, alleged bank rob- bers, who were captured after a gun duel by a sheriff's posse after Prim- rose had shot and killed Chief of Police Ralph Gibbons, were filed here Thursday. Lewis is being held in connection with the murder and the robbery. Sheriff Crisman yesterday refused to turn him over to authori- ties from Vancouver, Wash., until bis case has been investigated, He 1s charged with second degree murder. Max Lewis, brother of Adolph, thought to be the third bandit. He is still at large, tho believed by the authorities to be wounded and in hiding with friends. The three men of draining North Renton, wi is) | May Com- | living | lclub and will be organized into the | San ‘WOULD CONDEMN AIRPLANE FIELD Aero Club to 0 Organize for) Campaign Here To launch a campaign to give Se attle a big civic airdrome, where transcontinental—and perhaps, some day, transPacific—liners of the alr may land, the Aero Club of the Northwest has called the first meet ing of the citizens’ aero council, At a luncheon in the Transporta. tion club at 12:20 p. m., Tuesday, 13, delegates from civ’ mercial and business in Seattle will be guests of the aero council of citizens The plans include a campaign interest the city in to field for planes and dirigibles; its purchase by bond issues by the city, and maintenance of a public air drome. Plans of the postoffice department call for the extension of the air mail route from New York and Chicago to Denver and Salt Lake City by 1920. As soon afterward as provisions for landing are made Francisco and Seattle will be included as air mail terminals, LW.W.’ in F; ight Over Wm. Haywood CHICAGO, May 9.—Whether Wm. D. Haywood, imprisoned IL. W. W. leader, shall continue as the guiding factor of the organization will be threshed out in the election of of- ficers here today at the national con- vention of the body, delegates said. In settling Haywood's status, the delegates said they expected to wit ness one of the bitterest fights of the convention, Haywood has many owerful friends among the | gates, but he also has strong oppost- tion, While his name has #0 far been brought up only once directly, it has of £0 pe cont leading parts being taken by Fred|the lake would be the only means|robbed the Clark county bank at} been the direct cause of many equal ae ‘ashougal Mondagy bles, | would introduce the resolution,” fied approval to The tthe nation on the subject. |sign the peace treaty, fans the United States ratifies it. organizations | the condemna | tion of a site suitable for a landing | BY A. FE. GELDHOF j WASHINGTON, May &—Senator William E. Borah, of Idaho, one of| the leaders in the republican party, will introduce a joint resolution at the coming special session of con gress calling for a nation-wide ref erendum on the League of Nations.| His revolution will appropriate $2,000,000 to defray the expenses of the vote, which will be taken thru the regular election machinery of the various states and cities “1 would prefer that some senator who is not unequivocally opposed to the League of Nations as I am| naid | Senator Borah today in an inter-| view for The Star, “Rut if no one who ix better qualified than I am introduces it, I will do so myself! early in the session.” | Senator Borah gave his unquall Star's proposal held to decide of the United that a plebiscite be whether the people States are in favor of joining the| jeague. Admitting that the consti tution makes no provision for refer |endum votes on any question, he| pointed out that neither does it pro- a the holding of a popular vote.! Morally Binding | “Under our constitution we cannot hold a referendum which will be Hlegally binding on congress or the jgovernmen “ he said, “And it) | Wpuld therefore be accepted only as/ a *plebine ite to test the sentiment of; But that which | it it) would be a morad obligation would be just as binding were legally binding. “Any fundamental change in our government such as the League of Nations represents must necessarily come from the people, otherwise it| |would not be a free government. “No one man or body of men can |make a fundamental change in the structure of our government except the people themselves, What is there, therefore, to prevent them/ from saying what is their choice in this vital matter?. Would Not Delay Peace “The argument that a referendum would delay the adoption of the cov- enant or of the peace treaty is no argument. There is no reason for| |hurry, We will be at peace with| inoue, when her represgntatives regardless of “This change in our government is achange for all time and for eternity and we can certainly afford to take a few weeks to deliberate |before we venture upon a sea with: | out chart or compass to sulde us." | More than attended the Crescent Manufacturing Company | | Employes’ association ball at the | Knights of Columbus hall Thursday evening, A series of socials is plan ned by the organization. *6 How War Cost Hits Combatants Total Post-War Wealth Debt Nations. (BiIn's) (BUns) U, 8 A... “38 France 39 y 16 i **Russia 40 25 *American post-war debt, given here as $38,000,000,000, in- cludes “comeback’ of $10,000,000,- 000 loan appropriation for allies; there will be other large re- turns, notably material and ships, **This embraces al! of pre- war Russia, The 40,000,000,000 figure is total wealth, not po- tential wealth, Dévelopment of Russia with her enormous re- |} sources, would greatly increase this figure. “The post-war debt,” rather than present debt, is used be- cause the expense of a war does not end until some months, or years, after the fighting stops, In the case of America, for ex- ample, there is the tremendous expense of getting the men home. And all the allied na- tions are now supporting arraes in Fran alting to be de- mobilized. st war debt” as used here means the debt when the armies are demobilized to a time footing—when — the is back on @ peace-time basis. These figures are those used by the American peace mission's financial and economic experts, rons poopie are: Sasvien: Wied. baits her war debt, but }and | all as good as gold in the pocket.” | peace | figures— ITALY FINANCIAL STATUS DOUB BY ROLD FE. BECHTOL (mrvpenn pilanager of the News-| business sense. Enterprise Association.) PARIS, May 9—With Europe on the edge of bankruptcy, if bankrupt— “What are the prospects of collecting the enormous sums of | money America lent the allies during the war?” For days I have been inter- viewing financial experts and economists, here to advise the peacemakers, and digging up figures. ‘ The result of this Investigation might be summarized roughly as follows, with obvious reservations: It must, of course, be undetstood that, this summary is based not on | lexire to pay,” but rather on ability | to pay, It is taken for granted that all the allies desire to wipe out their debts as quickly as possible. This is what the best obtainable figures indicate to the men who know how to read them—the present | prospects as they appear to financial | authorities: BRITAIN—GOOD—And ain owes almost half the U. 8. war loans. TTALY. —VERY DOU! “sight Td ite It will probably be worse six months from now than it is today. FRANCE—FAIRLY out of consideration a hundred “ifs” “buts” such as: How much damages the allies will actually col- lect from Germany; the next ten years’ crops; the fate of what re- mains of the “king business”; re sults of the league of nations; Bol. shevism; ete., etc., ete. fobody knows the answer to these | “ifs” and “buts.” But the financial authorities put the quietus on loose talk around peace circles to the effect that: “They're not worth the paper they're written on.” That is sillier, they assert, than the flat assumption that: “They're Some system of international fin- ancial backing under the league of | nations, that will stabilize exchange, | restore cofifidence, and boom busi: | ness all over the world, is probably the answer ail right. And that is the goal toward which the financial | geniuses of the world are working. But, of course, that is based on | -and there are still about 57| varieties of wars and revolutions in | the world, to say nothing of threats of new ones. The accompanying boxes and dia- grams show the present financial | outlook in the various countries, | Such figures vary somewhat, but | these ware American peace mission | used by the American ex- perts in their work. The American postwar debt will be| about 40 per cent of her total wealth, So will Britain's. But the British are going right after their debt. The British tax rate has been far heavier than France's thruout the war. It still is. The new British budget runs to around five billion dollars. The French to around three billions, Under the spur of war necessity the British got used to paying heavy taxes. They are keeping it up. And while some financiers say five bil- lions is more than the British people can stand very long, her debt, like | France's, can be paid. She is buck: ling to it. So far France isn’t. None of the French ministries since the begin- ning of the war had the nerve to slap on needed heavy taxes; tho, of course, taxes increased. France was under invasion and the French war cabinets were all afraid of the effect on the nation’s morale if they imposed the rates needed. ‘The French government is “broke” —tho the nation {s not dangerously poor; and neither is the individual. | However, financial authorities be- | lieve that once French business gets / nder way, France will get busy on viping out her debt, with the aid of the damage bill she will collect | war. | seven other countries in | small amounts. | ed ten billions for loans to the but only about nine billions | bonds. These people have an And any government that failed to meet Ugations promptly after things jon a peacetime basis, would ably get into trouble at inviting other nations to take @ time about paying bonds. Italy's postwar debt (by debt is meant tne debt after ies have been demobilized to a basis, and the nation is back ; peace footing) will be two-thirds her total wealth. Strongest financial backing stark necessity for Italy; the peculiar situation she will be able to swim along all right) six months. + Russia will be fully able If she ever settles down to her country under some stable ernment or governments. The national wealth of Russia war was placed at 40 billion But her enormous unde’ sources make that figure aj being increased tremendously. _ total national debt, co Russia as still one country, about 25 billion dollars, ‘These four nations owe more | seven billions of the nine bil ha a |lars America advanced The rest is divided up America been actually taken up. The wealth per inhabit each of the principal nations in | war and the debt of each nations are back on p basis—shown in black. ‘The proportion of indebted to each $100 wealth for each tion, Indemnities are in these figures from the UW, peace mission. 5 This shows how hard the ent tax rate hits the pre-war come of each nation, Germ present tax rate is low, for from Germany, It is pointed out that thousands of era, Many peasants hold had expected to get big ties, Britain 18 rushing in. to B Pap