Richmond Palladium (Daily), Volume 36, Number 204, 1 June 1911 — Page 1

BICHMO.WB PAIXABIIJM -sr BEPARTF1EIIT PHONE 1121 AND SUN-TELEGRAM. PHONE 2566 SINGLE COPY S CENTS. VOL. XXXVI. NO. 204. RICII3IOND, IXD., THURSDAY EVENING. JUNE 1, 1911. METHODS USED BY THE STEEL TRUST HEW ADDITION TO PILOT MOTOR CAR PLANT ANNOUNCED Two Scenes at the Speedway Race on Tuesday DEMOCRATS TODAY CAUCOS TO FIGHT SUGAR TRUST NOW TO BE PROBED BY HOUSE WATCHDOGS OUT WOOL TARIFF RELATED BY GARY

EDITORIAL n

PHI

W. D. Williams Disposes of His New Castle Casket Factory and Buys Interest in Pilot Company.

t3f fTO ENLARGE PLANT AND DOUBLE FORCE Next Year Output of Machines Will Be Increased From 50 to 250 Reorganization of Company. In order to take care of the rapidly Browing business and to provide facilities for greatly increasing the output next year, the Pilot Motor Car company of this city will soon erect a large addition to its factory opposite the Pennsylvania railroad station. With this announcement by the officials of the company today, it was stated that W. I). William, formerly connected with the Richmond Casket company and later engaged in the manufacture of casketB at New Castle, had purchased a large block of stock in the company and will be actively associated with the management. Mr. Williams has sold out his interest In the casket business at New Castle and will devote his entire time to the local concern. Definite plans for the addition to the factory have not been made, nor is it known exactly when work on the new structure will bogln. Officials of the company stated today, however, that the building would be of large size and that Its erection would be commenced within a short time. Will Double Force. The factory addition will necessitate that the force of workmen be more than doubled, and it will provide facilities for an output next year of between 200 and 250 cars. The number of machines manufactured this year is limited to 60. The Pilot Motor Car company has experienced a rapid growth since Its organization about a year and a half ago. The factory Is pushed to the limit at the present time and is unable to fill the orders that are being received. One of the officials declared today that there was not a finished stock car now on hnnd in the factory. The company han practically been engaged In the manufacture of automobiles only one year, the first balf year of its existence being given over to experimental work. Since the affiliation of W. I). Williams with the company, the directorate Is as follows: George Seldel, president; W. D. Williams, secretary and treasurer; Clarence Kramer, vicepresident; W. George Seldel, W. D. Williams, J. A. gpekenhler, Clarence Kramer and Horace Kramer, directors. A REVOLT EXPECTED (Unhappy Nicaragua Is Facing More Trouble. National News Association) Managua, Nicaragua. June 1. Nicaragua stands on the threshold of another revolution as a result of the plot against the Diaz regime which culminated yesterday when the fortress jof Lorn a, which commands the city, 'vis blown up, the southern end of the National Talace was wrecked and dozens of buildings were partially demolished. 150 are dead and many others are wounded. President Dolfio Diaz, who succeeded Juan Estrada several weeks, today ordered an official investigation and this morning troops from the interior garrisons were ordered into the capital. The seat' of the conspiracy against the government is la this city. The bodies of the dead soldiers, wrapped in flags, lie in the cathedral. Intense excitement reigns throughout the city. During tbe night a strong force guarded the presidential palace. JfAT GOODWIN SEEKS FORTUNE FROM WIFE (National News Association) Los Angeles, June 1. Nat Goodwin today declared that he would sue Edna Goodrich, his latest wife, to join the ranks of the ex-Mrs. Goodwins, to deprive her of the trust of 1 1.700.000 he Invested In her name when they were married. The actor declares she has broken her marriage contract with him and therefore Is not entitled to control his fortune. "My lawyers tell me there will be no trouble to break the trust," he said. "There are plenty of loopholes. DEPUTY RESIGNS Miss Flora Raer, who has bpJi a deputy In the.ofrice of Wayiletownshlp trustee James Howarth for tho past three years, has resigned and arlll be succeeded by illas Dona Fuller.

Upper picture shows Harroun In hl3 Marmon car, "The Wasp" crossing (he line a winner. The lower picture shows the start of the race.

ELEVEN KILLED 111 GREAT LAKE STORM Thirty or Forty Hurt, Two Are Missing and Property Loss a Million. (National News Association) Cleveland, June 1. Eleven known dead, 30 or 40 Injured, two missing, a property loss that will reach a million this Is what Cleveland found in the wake of a Ave minute Etorm that whipped its resistless way through the city yesterday. Going at 60 miles an hour, this giant wind that came out of the northwest, with but the speck of a cloud and a patter of big raindrops as heralds, wrecked craft, ripped up buidings, knocked men and women down out of a wanton playfulness, levelled trees. carried off roofs, smashed windows without number, paralyzed telephone and telegraph wires and Interfered with traction service. Eight fishermen lost their lives in Cleveland waters. Three two broth ers and a sister are among the known dead at Lorain. Two others there are missing. The storm was general over Lakes Ontario and Erie. NEW WHEATMONARCH A. J. Lichstern Gets a Corner on the Market. (National News Association) Chicago, June 1. A. J. Lichstern, the new "wheat king." of Chicago, who practically cornered the May wheat market, has lost more than a million dollars on his deal, according to members of the Roard of Trade today. "The wheat king," controls 12.000,000 bushels of wheat, according to the best information obtainable, but will learn that he cannot dispose of his holdings bo rapidly as he imagined, brokers declare. Taper profits of $150,000,000 were made in the market according to reports, but these will be eaten up with more too in holding the grain In elevators and disposing of it. From St. Louis comes the news that William Lanyon, who was busking the Llchtstern deal, lost in both the St. Louis and Chicago markets. FESTIVAL REPORT IS BEING DELAYED The final report of the May FesUval finances cannot be made on account of a number of the chorus and orchestra members having not reported on the sale of tickets. The board of directors of the Commercial club meets Monday night, and it has been planned to make a com plete report at Uu( tte.-

v

GRAVEL CLAIM IS CAUSEF0R WORRY John Underhill, After Four Years of Effort, Threatensto Sue City. - The old gravel claim of John Underhill, against the city of Richmond, first for $100, then for $200 and now for $300, was refiled at the meeting of the board of works this morning, W. H. Bond, attorney, representing the claimant. He threatened to bring suit against the city, if the claim is not allowed. Although a decision will not be made by the board until Monday morning. Mayor Zimmerman and City Attorney A. M. Gardner expressed themselves this morning thusly: "Let 'em sue."

A "slip up" on the city is what the.den?j Xorth CaroHnaf October 29, 1839,

fciuvfi i-iaim is, .ur. iaraner oeueves The gravel, it is alleged, was removed from the cellar excavation at the Murray theater building. J. A. Paus, excavator, is said by Underhill to have given him the gravel, which he placed on a lot at Eleventh and Main street. Underhill claims he sold the gravel to the city and did not get enough money; besides, he alleges, the city .used some stone he kept on the lot. On the other hand, Ed Dye, then street commissioner, filed an affidavit to the effect that Paus had given the gravel to the city, Underhill having nothing to do with it. On Dye's affi davit the board of works, at that time, rejected the claim. It was then refiled and again rejected. The present board of works has once rejected the claim of Underhill The claim being nearly four years old, causes the board to be suspicious. It is believed that Underhill, not being able to get the money from the former officials, decided to "take a chance" on the present board. He suggested this morning that it was rejected by the former board because he was a Republican. He intimated tha.t, as the present board of works is of his political faith there should be favorable action taken. Mayor Zimmerman declared that there would be no change of decision because of politics. If the board finds that witnesses may be subpoened to a meeting, it will be thrashed out before that body, but if Gardner finds he is unable to force the witnesses before the board, it is probable Underhill will be permitted to bring suit. It is de sired to examine former Commissioner Ed Dye. and members of the former board of works. The board is now puzzling its head over the question of basement openings on the sidewalks, where steps are built taking up a section of the walk. Mayor Zimmerman favored removing all of them, and using the sidewalks for pedestrian purposes only. He also said that he would be glad to see ali the sidewalk show cases removed.! One or two merchants have asked permiitiuu iu iTusiruvi mis sijie ui suuw case recently, and have, been ref

IS CALLEOlY DEATH Wife of Timothy' Nicholson and Prominent Member of Friends' Church. Mrs. Mary White Nicholson, aged 72, wife of Timothy Nicholson, prominent among the members of the Friends' society the world over, died yesterday evening at 7:00 o'clock after a short Illness at the Reid Memorial hospital. After attending church in the morning she was critically stricken with congestion of the kidneys a week ago last Sunday afternoon and was removed to the hospital Monday afternoon. Mrs. Nicholson was bom in Belvithe daughter of John and Mary White. She was wedded to Mr. Nicholson in 1868, in this city. She has always been a member of the Friends' church, belonging at the time of her death to East Main Street Friends' church. The deceased was loved by all who knew her and her many friends will learn of her death with regret. She is survived by her husband, Timothy Nicholson, two sons, John H. and Thomas Nicholson, both of this city, and two daughters, Sarah N., wife of William V. Coffin, of Whittier, Cal., and Eliza N., wife of John H. Johnson, of this city, and one nephew, !J. Elmer White, of Norfolk, Va. The funeral will be held at East Main Street Friends' church. Satur'day afternoon at 2:30 Friends may call at the bom Fri day from 2:00 to 5:00 p. m., and 7:00 to 9:00 p. m. The casket will not be opened at the church. . Friends are requested to omit flowers. HARRY KNIGHT IS SURE TO RECOVER According to advices from Indianapolis received today by officials of the Westcott Motor Car company in this city, Harry Knigit. driver of the Westcott in the 500 mile sweepstakes race at the Speedway Tuesday, is suffer- , jng from a slight concussion of the brain resulting from the smash-up when he sent his car to certain disaster rather than run over a fallen mechanician. The attending physi cian declares there is no doubt but that Knight will recover. He is con fined at the Methodist hospital at In dianapolis. Much trouble is expert enced in keeping him quiet and preventing him from worrying about the ; wreck of the car. John W. Glover, his mechanician, is J suffering from a wrenched back and iiwo oroKea ncs. ins - recovery is uaed-jcertaia. -

MRS

NICHOLSON

Bryan's Attempt to Dictate

Course of the Party on This Schedule Is Resented by Some Leaders. CHAMP CLARK KEEPS POSITION ON FENCE Hearings on the Reciprocity fTeaty by Senate Commitee End Monday Majority Are Opposed to It. (National News Association) Washington, June . 1. The house Democrats went into caucus today to decide on a revision of the wool schedule. The majority were still irritated at W. J. Bryan's advocacy of a free wool program and the leaders entered the caucus more determined than ever to receive the party's approval of their bill pending for a tariff on wool. The woolen schedule, which was put up to the caucus today, bears a very close similiarity to the Wilson bill, ex cept in paragraphs relating to raw wool. The duty on raw products is cut from 11 cents to about 5 cents a pound. The caucus was called to order by Representative Huiieaon of Texas and the discussion was prolonged. Clark Is Silent. Speaker Champ Clark declined positively this morning to comment on the Bryan appeal to Democrats not to "masquerade"' under the guise of tariff for revenue only in voting for the Underwood revision of the wool schedule, nor would he discuss the reply to Bryan made by the majority leaders. The speaker's friends recognizing that his present position is difficult, however, advised him against becoming embroiled in a party feud. Underwood declared before the caucus, "I have thoroughly canvassed the situation. Bryan's attempt to dictate tto this house what it should do has made converts to our cause. There are more votes pledged to the committee measure than four years ago. The issue presented has sent to us some Democratic members who otherwise would have voted against us." Reciprocity Action. The hearings of the senate committee on the Canadian reciprocity treaty will end next Monday. The committee will then take up the agreement in executive session. Today the committee stands eight against measure and 7 for it. Chairman Penrose and Senators Lodge and Cullom, his Republican associates, and Senators Stone, Wil liam Kern, and Johnson of Maine, all Democrats, favor the agreement. Senators McCumber, Smoot, Galinger, Clark, Heburn and LafoKette, Repub licans, and Simmons, Democrat, will vote against it. The agreement will be supported without amendment. Smoot will join the friends of recip rocity to oppose any amendment and vote with them, as he did when the measure was considered in the last session to report it without recommendation. This would bring it back to the senate without changes. The only amendment that will receive consideration is Root's pertaining to print' paper and wood pulp. Senator Penrose said today he did not believe Roo's or any other amendment would be adopted. The chairman of the committee made it plain that he intends to press the agreement upon the senate for con sideration with all possible dispatch. Gray Against Bryan. The ways and means committee prepared the -revenue wool bilf. It has been closely guarded and until the caucus began, no Democrat, except those of the ways and means committee, knew exactly its provisions. Representative Underwood, chairman of the committee, said no attempt would be made to shut off discussion and the free wool Democrats would be given ample opportunity to air their views, even if necessary to caucus several days. Going into the caucus Representative Harrison announced he would offer an amendment to the Underwood bill providing that if duty on wool is approved it. shall be with the understanding that there will be a slfding scale reduction hereafter until raw wool is eventually on the free list. Cullop, Adair and Barahart, who are in Indiana, were the only Indiana Democrats not in the house caucus on the wool bill today. All Hoosiers present lined up behind Chairman Underwood against W. J. Bryan and free wool. PARTITION SUIT Suit to partition four lots, property of the Joseph Lutmer estate, was on Thursday brought in the Wayne circuit court by William T. Lutmer and twenty-four others against Bernadette Lutmer. a minor, and J. B. Englebert, the administrator of the estate. Several who will share in the distribution will receive but one-hundred-twenty-eighth part of the estate. The property is lo cated in ihe city. .

Inquiry Second Only to the Steel Trust Investigation Was Begun by the House Committee Today.

INQUIRY IS TO BE VERY THOROUGH ONE Committee Intends to Show the American People that the Trust Is a Most Dangerous Monopoly. (National News Association) Washington, June 1. Second only to the steel trust investigation in im portance is the inquiry into the Amerl can Sugar Refining company and other refineries which was formally begun by a special committee of the house to day. Primarily the Hardwick resolution under which the investigation is au tiiorized, was aimed only at the American Sugar Refining company. The Rules committee of the house, however, determined to make the investi gation a more far reaching one, and the original resolution was amended so that it would include all sugar re fineries, in the trust and out of it. According to Representative Hard wick, who is chairman of the special investigating committee, the reai in tent of the house probe will be to determine whether or not charges are true thatt he American Sugar Refln ing company has secured absolute control of the American sugar mar ket, crushing out competition wher ever it appears. Hardwick's Statement. "We expect to show before this in vestigation ends," says Mr. Hardwick, "that the American people are taxed hundreds of thousands of dollars each year by this gigantic trust, embracing perhaps half a hundred subsidary or ganizations. The sugar trust has been fostered and built up under the protecUve tariff system, until it has become one of the most dangerous monopolies in existence today. "This committee will go Into every phase of the production of sugar and its marketing. We will hold hearings in Washington or any other place where light can be obtained upon the operation of the sugar trust, and when the committee makes its report to the house, I expect that the sugar trust will have been proven to have been a concern that ought to be dissolved under the Sherman anti-trust law." The committee will investigate not only the present day operation of the trust, but it will delve into the past to determine whether or not the American Sugar Refining company has fully atoned for the immense frauds at the port of New York. The resolution asks what sum was received by the United States government in settle ment of these fraudently evaded dur ties. Pertinent Inquiries. The house committee will also make some pertinent inquiries as to the punishment meted out to those who were guilty of the sugar frauds. The charge .has been made that the men "higher up" have gone unpunished while a few subordinate officials of the sugar trust have paid the penalty. If the committee ascertains such to be the case, that fact will be laid before the house and the Attorney-General will be asked for an explanation of this sort of adjudication of some of the most gigantic customs frauds ever perpetrated against any government. The special committee, clothed with plenary power to compel the attendance of witnesses and the production of books, will obtain the true story of the methods used by the American Sugar Refining company in crushing ouj competition. It is partly to accomplish this that the resolution as drawn to embrace all sugar refineries. It is not contended that all manufacturers of sugar are in the trust, but it is believed that those in and out of the combination can throw light upon the methods used by the greatest combination of them all. The price of sugar at home and abroad: the purchasing of land in the Philippines by the sugar trust; the importation of duty-free sugar from the Philippine Islands ;the absorption of dozens of struggling independent companies, and the stifling of the beet sugar industry by the sugar monopoly are all specific subjects into which the committee will inquire. The special committee may continue its sessions during the recess of congress, and need not report to the house until it feels that it has sifted the case against the Sugar Trust t the bottom. BURBANK ESTATE Nora B. Kibbey and Alvin Ford Miller, the only heirs of the late Gov. John A. Burbank who died in 1907, under item nine of the will, have each received $6,512.62 as their portion of the estate, according to the report of the Dickinson Trust Company, trus tee, which was filed Thursday in thej Wayne probate court. The total charg-1

Jjes against the trustee were I15.418.8S. j

Head of the Great Trust

Frankly Tells the House Committee of the Management of Corporation. MINE PLANTS OWNED BY PARENT COMPANY Gary Names Officers and Di rectors of All These Companies Holding Company Fixes the Prices. (National News Association) 'v Washington, JQne 1 Elbert H. Gary, head of the United States Steel corporation revealed before the Stanley House Investigating committee to day how the steel corporation, as the parent company, controls all subsidaries and practically the entire steel industry. Under pressing interrogations Gary admitted that the corporation absolutely dominates nine manufacturing companies, is distributor of their products, and fixes prices where two companies manufacture tne same articles. It also controls their policy and administration, with little discretion left to the individual companies. Gary also said he himself names the directors of these concerns while the stockholders nominally re-elect them. Boards of directors and officer's displeasing to the management of the parent corporation naturally would be displaced, as the steel corporation owns most of the stock of most of these companies, Gary stated. Chairman. Stanley first ascertained from Gary that he was the executive official, chairman of board of directors and finance committee ; of the United States Steel Corporation and that in addition he also was director in the various " subsidary companies owned by the steel trust. A Frank Statement. Gary was pressed to explain who appoints the directors of the nine subsidary companies, ,-. " "The stockholders name the directors," he replied. "But if you ask for an individual I suppose I am the one who names the directors." Gary then admitted to the committee that the steel corporation is not an operating company; that it manu factures no steel itself but it absolutely dominates several subsidary companies that do manufacture the product. "The profits of these corelated companies'," said Gary, "are turned Into the treasury of the United States Steel corporation and that corporation, distributes the profits as it sees flu" "Suppose two of the subsidary companies manufacture the same product," asked Stanley, "does the parent company fix the price for both - of the manufacturing companies?" v Gary admitted the United States Steel corporaUon fixed the price. The committee also drew from Gary, who declared that he wanted to be frank and truthful with them, that but little discretion is left to the individual companies, but that the policy and administration of all of these companies are controlled by the holding company, the United States Steel Corporation. "Of course," said Mr. Gary, "these smaller companies have their boards of directors and officer s, but it goes without saying that if the management was displeasing to the United States Steel Corporation, the directors would be displaced " sooner or later. It might be done in a day or month, but eventually it would be done. The United States Steel corporation owns most of the stock of most all of these companies and naturally it would dic tate the policy of them." Gary then reviewed some of the transactions testified to by J. W. Gates who appeared before the committee a few days ago. Gates explained how the Gary-Morgan-Frick syndicate bad assumed control of all the large steel concerns in the country by means of a holding company with no plants of its own. Mr. Gary was accompanied today by P. ,C. Roberts and Norman Ream, directors of the steel trust; W. B. Dickson and James Gayley," formerly vice president of the United States Steel Corporation, W. J. Filbert, assistant to Mr. Baryand Richard Lindabury, counsel for the corporation. Gary admitted that all companies merged under the corporation had been more or less competitive before the corporation was formed. THE WEATHER STATE AND LOCAL Fair and continued cool. HIGH SCHOOL OBSERVATORY.;. Highest temperature Wednesday, 80 degrees at 4 p. m. Lowest temperature Thursday, 50 degrees at 5 a. m. Temperature at 11:30 a. m.r Thursday, 70 degrees and rising. Barometer is rising. Continued fair weather with possible showers.;