Jasper County Democrat, Volume 12, Number 71, Rensselaer, Jasper County, 18 December 1909 — BALLINGER PUT IN ‘NEW QUAGMIRES’ [ARTICLE+ILLUSTRATION]

BALLINGER PUT IN ‘NEW QUAGMIRES’

Senator Heyburn Brought Into Alaska Goal Lands Case

ADMINISTRATION IS INVOLVED

Collier's Charges That Open Letter to Secretary of the Interior Shows That ‘ the President Was Cruelly Imposed Upon, and He In Turn Unwittingly Deceived the Public”—"Are thu 3r.n e influences That Kept Garf.c:d Cit Keeping Ballinger In?” Isa C-.a’i t’.c Weekly Asks. Dec. 14- This week's ’ : . . t ..■ r’s contains the followIr. -■■.l y i y the better understand l;t>v. ;i c-. t for the purpose of being sat ui j?, v. c sha.l first summarize a little of the preceding history of Alaska, Bhov.ing hew those who revealed the rci.ber barons at work were

squelched then, even as now. Besides, it connects with the present grabs in various Interesting respects. The Alaska Gold Mining company, organized by Washington politicians, exploited Alaska with so high a hand that even Washington gasped at the brazenness. Then the spoil was gold —now it is copper and coal. The wheels of justice at Washington were mysteriously clogged. The scheme, as originally planned and for a long time successfully carried out, was to seize and operate, in the interest of the Alaska Gold Mining company, the rich Nome placer mines owned by the unlettered but law-respecting prospectors.

Found Guilty and Sentenced.

After all preparations had been perfected at the Washington end spurious suits were brought in Alaska against the owners of most of the rich placers of Nome. Alex. McKenzie was appointed receiver of these claims by Arthur H. Noyes, his judge, and under protection of the United States troops proceeded to gut the mines under the eyes of the owners. He carried off the gold to his own vaults. When the facts became known, it was found that the stock of the Alaska Gold Mining company was distributed generously throughout official circles in Washington. Judge Noyes denied appeals to the defeated litigants whose properties had been confiscated. Certified copies of the court record were filed with United States Attorney General Griggs. Griggs refused to take action. Subsequently, In certain legal proceedings growing out of these outrages, Noyes, McKenzie and others were found guilty by the San Fran-, cisco court of appeals, and sentenced to Imprisonment. McKenzie served only part of his sentence. Whitewash has always been cheap. Senator McCumber of North Dakota said he had known McKenzie for twenty years. “I know him,” he said, “to be a noble-hearted, generous, impulsive, sympathetic Individual.” Senator Hansbrough of the same state, in the senate, referred to McKenzie as "a reputable man, an honest man, a man who in point of Integrity is the peer of any man in this body." When Senator Stewart of Nevada afterward exposed the whole crooked plot, tracing Its trail from Washington to Nome and back, involving United States senators and government officials, entire sections of his speech, exposing these same officials were expunged by "senstorlal courtesy” from the Congressional record.

Another Conspiracy?

Is there another Alaska conspiracy. ♦hl° time to control the copper and coalT ’ «-i It is common knowledge throughout Alaska and the west generally that the Morgan interests are allied with the Guggenheim mining Interests, and that the same financial forces are allied with the Hill railroad Interests. When Ballinger was elected mayor of Seattle, he was put forward by the Hill political managers, ostensibly to put down certain local evils, but really to put the

Hill forces in control of local politics. Ballinger supported Levi Ankeny, the railroad candidate who notoriously bought his seat in the United States senate. An important detail of Ballinger’s record to remember is his grant, as secretary of the Interior, of the railroad right of way along the Des Chutes river in Oregon. Ballinger himself was an incorporator of •he original Des Chutes railroad and was its vice president and counsel. He is said to have disposed of his interest in this road to his partner at the time of his recent appointment as secretary of the interior.

Urged Cale Bill’s Passage.

As far back as Aug. 13, 1907, Special Agent Horace T Jones reported to Richard A. Ballinger, commissioner of the general land office: “From the talk of different attorneys and individuals Interested' in the Alaska coal lands, I feel that the disposal of the lands all tends toward one direction, and that is: the Guggenheim companies. The papers here in Portland, Ore., are full of the news that the Guggenheims are constructing railroads near Katalla, Alaska, for the purpose of taking out the oil, minerals, etc., and there is an advertisement in the said papers for the employment of 2,000 men to go to Katalla, Alaska, and work for the Guggenheims.” Katalla is the location of the Cunningham claims.

Commissioner Ballinger appeared before the house committee on public lands and urged the passage of the Cale bill, which, had it passed, would have made the Cunningham claims legal. With Ballinger there appeared one Donald R. McKenzie. Found among the papers In the possession of former Special Agent H. K. Love, on whose favorable report Ballinger sought to have the Cunningham claims patented, was the following statement In an un signed letter, dated Juneau, Alaska, March 10,1908, and addressed to Oscar Foote of Seattle; "I have Just received a copy of Mr. Cale’s coal bill. It seems all that Katalla interests could possibly wish. In fact, I think It was drafted by Judge McKenzie, who, with associates, have acquired large holdings there. It seems to open the whole proposition for corporate holding.” McKenzie, like his namesake and prototype In the placer story, is a well known Washington lobbyist and an old time political supporter of Senator Piles of Washington, Ballinger’s friend. He is one of the beneficiaries of a townsite of 2,000 acres on Cordova bay, Alaska, the terminus of the Guggenheim railroad. This town site was granted, through the efforts of Senator Piles of Washington, by the Sixtieth congress, to McKenzie and two others, one of whom is ex-Gover-nor John H. McGraw of Washington, former political manager for Senator Piles, and one of the committee of the Seattle chamber of commerce which recently, in answer to Glavis’ article in Collier’s, gave Ballinger a glowing certificate of character and spoke of him as “a scrupulously honest man.”

Campaign Funds Discussed.

In October, 1908, in Portland, Ore.after Ballinger had ceased all connection with the land office, and while the presidential campaign was on—Ballinger spoke to Special Agent Glavis of the difficulty of raising campaign funds. He told Glavis that some of the Cunningham claimants had contributed freely in previous campaigns, but were jinwilling to do sc at that time on account of the investigation of their claims, and urged Glavis not to prosecute his investigations further until after election.

In his written report to President Taft at Beverly, Glavis stated that a number of the Alaska coal claimants “are men prominent in the state of Washington and many of them are personal friends of Mr. Ballinger.” In Cunningham’s books, under date of September, 1903, nine months after Senator Heyburn’s election there is an entry which reads as fol lows: “Have agreed with W. B. Heyburn, in consideration for his services as attorney, to carry him for one claim of one hundred and sixty acres in the coal, free of cost to him, and he agrees to do all our legal work in procuring titles, etc., free of expense to us.” Later Heyburn wrote that he “does not desire to participate in, or be inter ested in any manner, directly or indirectly, in acquiring public lands.” Out of over a possible thousand lawyers in Seattle, Ballinger seems to have had a monopoly of syndicated Alaska coal clients. And who shall say that these clients were altogether lacking In sagacity?

“Shreds of Suspicion.”

Immediately after the statement In the president's letter that Ballinger did only a little work for one claimant is this further statement: "The evidence in respect to which you were consulted professionally was not secured by Mr. Glavis until after your resignation as commissioner of the general land office.” There is not even a "shred of suspicion*' upon which to base this statement The president was cruelly imposed upon, and he in turn unwittingly deceived the public. On June 2«, 1909. Donald R. McKensle, Ballinger's intimate associate and client, told Special Agents Jones and Glavis in Seattle that Secretary Garfield’s attitude toward the Alaska coal claims. In which he and his friends were lnter< ted. was sv.ch “that they

brought pressure to bear on senators and representatives to prevent his remaining in the cabinet under President Taft.” Are the same influences that kept Garfield out keeping Ballinger In* Will the president consider these facts in weighing the arguments now being pressed upon him by members of his cabinet? Or are the above circumstantially narrated events also nothing but “shreds of suspicion?”

SENATOR HEYBURN.