Richmond Palladium (Daily), Volume 43, Number 39, 27 December 1917 — Page 1

1IC UM VOT YT TTF vn on Palladium and Sun-Telegram VUIj. AXjIII., XNU. J Consolidated 1907 RICHMOND, IND., THURSDAY EVENING, DEC. 27, 1917. SINGLE COPY, 2 CENTS

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GOVERNMENT TO CUT PAY OF RAILROAD EXECUTIVES More Money for Workers Promised as One of First Acts of New Federal Control. M'ADOO IS THE CHIEF

WASHINGTON, Dec. 27 One of the first acts of tbe government in beginning operations of railroads will be to reduce large salaries now paid to the railway executives and increase in some measure the wages of the railway workers. Securities to be issued while the government is in control will be at interest rates not less than 4 percent and tbe issues will be made under joint authority of the director general and the interstate commerce commission. President Wilson, when he outlines the government plans in his forthcoming address to congress, will ask that the government be empowered to buy a quantity of new railroad securities All earnings over and above an amount to be agreed upon will go to the government. To Get Rolling Stock. Congress will be asked also to ap propriate a large fund probably $200. 000, for the immediate supply of roll lng stock to handle the flood of traffic which has swamped the roads. The director general will have au thority to decide whether the govern' raent shall also assume operation and control of the express companies. Control of the railroads, to bring about uniform operation for the war, will be assumed at noon tomorrow, with Secretary McAdoo, still retaining his cabinet post, in charge as directorgeneral of railroads. This decision, the government's so' lutioxi for the difficulties of the present transportation situation, was an nounced last night n a proclamation by President Wilson, effective at noon . Friday, Dec. 2S, and taking over every ' railroad engaged in general transportation in confU -til United States, with its ap, ,.tnances. Including steamship lines. All lines will be operated as a single system under Director McAdoo. In a statement issued with the formal proclamation. rTesldent Wilson declared he would ask congress as soon as it reassembled for legislation guaranteeing: In Good Repair. "First That the railroad properties will be maintained during the period of federal control in as good repair and as complete equipment as when taken over by the government, and second, that the roads shall receive a net operating Income equal in each case to the average income, net. of the three years preceding Jane 30, 1917." Railroad officials will retain direct management of the roads, and the railroad war board, composed of five railroad heads, will continue actual operation under Director McAdoo's supervision. The President's action, taken through Secretary of War Baker under authority of the army appropriation act of August, 1916, came as a surprise at this time, as it was believed he would ' await the reassembling of congreps and make known his decision in an address to that body. Had Besn Forecast. Eventual government control of railroads had been forecast, however. since the interstate commerce commission, in a special report to congressfl recommended either government operation or repeal of the antipooling laws, and a federal loan. Commissioner McChord, in a supplementary report, declared for outright government control as the only solution, and many congressional leaders recently have concured in this opinion. The President's statement' made clear that his decision was not due to any failure of the railroads to per form their duty as well as they conld tinder present legal restrictions, and the real reason for the plan of government operation was to permit complete unification of all rail systems, impossible through private operation by statutes prohibiting pooling of traffic and earnings. "The committee of railroad esecuIContinued on Page Eight. THE WEATHER For Indiana, by United States Weather Bureau Partly cloudy tonight and Friday. Colder Friday. Today's Temperature. Noon 30 Yesterday. Maximum 26 Minimum 14 For Wayne County, by W. E. Moore Partly cloudy tonight and Friday. Occasional snow flurries. Colder Friday or Friday night. General Conditions The weather continues cold in the east and severe cold in the northwest. It Is 40 below zero at Port Arthur. Out. Another cold wave has made its appearance over Montana, and is moving southward. Probably will cause zero weather or below some time during the next 48 hours. No severe storms in the west, although a small one covers the plain states.

"A Great National Necessity Dictated Action" Says Wilson

BY W00DR0W WILSON I have exercised the powers over the transportation systems of the country which were granted me by the act of congress of August, 1916, because it has become imperatively necessary for me to do so. This is a war of resources no less than of men, perhaps even more than of men, and it is necessary for the complete mobilization of our resources that the transportation systems of the country should be organized and employed under a single authority and a simplified method of co-ordination which have not proved possible under private management and control.

I fin f,vi A ,

SECRETARY McADOO U. S. Rail Dictator

tivities upon which its successful conduct depends. The public interest must be first served, and in addition the financial interests of the government and the financial interests of the railroads must be brought under a common direction. The financial operations of the railways need not, then, interfere with the borrowings of the government, and they themselves can be conducted at a greater advantage. Investors in railway securities may rest assured that their rights and interests will be as scrupulously looked after by the government as they could be by the directors of the several railway systems. Immediately upon the reassembling of congress I shall recommend that these definite guarantees be given: First, of course, tha the railway properties will be maintained during the period of federal control in as good repair and as complete equipment as when taken over by the government ; and, second, that the roadsshall receive a net operating income equal in ach case to the average net income of the three years preceding June 30,, 1917; and I am entirely confident that the congress will be disposed in this case, as in others, to see that justice is done and full security assured to the owners and creditors of the great systems which the government must now use under its own direction or else suffer serious embarrassment. The secretary of war and I are agreed that, all the circumstances being taken into consideration, the best results can be obtained under the immediate executive dirction of William G. McAdoo, whose practical experience peculiarly fits him for the serv-l

ice and whose authority as secretary of the treasury will enable

him to co-ordinate as no other man

ests which will be involved and which might, unless systematically

directed, suffer very embarrassing entanglements. The government of the United States is the only great government now engaged in the war which has not already assumed control of this sort. It was thought to be in the spirit of American

institutions to attempt to do hrough private management, and

motive could have accomplished the necessary unification of administration it would certainl.v have been accomplished; but no

zeal or ability could overcome insuperable obstacles, and I have deemed it my duty to recognize that fact in all candor, now that

it is demonstrated, and to use without reserve the great authority

reposed in me. A great national necessity dictated the action and I was therefore not at liberty to abstain from it.

Series of "Wood Choppiri Bees"

in Wayne County is Bates Idea

A series of "wood choppin' "bees" will soon be started In Richmond and Wayne county to aid the government in conversing coal. F. S. Bates, Wayne county fuel administrator, at a meeting of the Wayne county permanent war board at noon Saturday, will ask that representatives of the fifteen townships ii the county make a 6urvey of the wood supply in each townships. When full Information on the available supply of wood in the county has been obtained people in the townshipB will be called upon to organize "wood choppin' bees" to reduce the coal consumption in the county. Fairly Well Supplied. Richmond is fairly well supplied with coal, however, the fuel administrator said Thursday. However every Foe is For PETROGRAD, Dec. 27. The central powers. Count Czernin, the AustroHungarlan foreign miniser, told the peace conference at Brest-Litovak yesterday, solemnly declare their resolve to immediately sign terms which will terminate the war on conditions equally just to all belligerents. The central powers also favor a general peace without forcible annexations and indemnities. They could hot bind themselves to such terms without a guarantee that Russia's allies would recognize them and carry them out honestly toward the central powers. Count Czernin declared that the central powers believed that the basic principles uttered by the Russian delegates could be the basis of such a

The committee ot railway executives who have been co-operating with the government in this all important matter have done the utmost that it was possible for them to do; have done it with patriotic zeal and with great ability ; but there were difficulties that they could neither escape nor neutralize. Complete unity of administration in the present circumstances involves upon occasion and at many points points a serious dislocation of earnings, and the committee was, of course, without power or authority to rearrange charges or effect proper compensations and adjustments of earnings. Several roads which were willingly and with admirable public spirit accepting the orders of the committee have already suffered from these circumstances and should not be required to suffer further. In mere fairness to them the full authority of the government must be substituted. The government itself will there

by gain an immense increase of efficiency in the conduct of the war and of the innumerable ac could the many financial inter everything that was necessary if zeal and ability and patriotic effort should bo taken to conserve fuel as "Uncle Sam needs that extra shovelful." The municipal light plant at Cambridge City was forced to suspend operations Wednesday because Its coal supply was exhausted. Every effort was made to secure coal at once and it was said that coal was to be received at the plant some time Thursday. Other towns in the county have sent no call for help to Administrator Bates. Thursday night is "lightless night" again and every person in the city and county should burn only those lights that are necessary. Signs intended for advertising or display purposes must be kept dark, under the orders of the government fuel administration.

"iVo Annexation! Policy, Says Count Czernin

peace. He said they Ehared Russian condemnation of the continuation of the war for the sake of conquest It is necessary to indicate most clearly, the count added, that the Russian proposals could be realized only in the event that all belligerents obligated themselves to adhere to the terms of such a peace. The Austro-Hungarian foreign minister declared that the central powers did not intend to forcibly annex territories seized during the war, nor to deprive nations of political independence lost in the war. The question of the subjection of nationalities who have not political independence to another country, cannot be solved Internationally, and must

WORKS BOARD TO EXAMINE DOCTORS' FEES Council Refuses, to Allow Claims for Services in Smallpox Cases. The board of public works Thursday started an investigation into the recent smallpox epidemic in Richmond following the action of the city council Wednesday night in refusing to appropriate additional money to pay fees charged by Dr. W. G. Huffman and Dr. E. H. Mendenhall. Council, in special session, was asked to appropriate $1,500 additional money for the use of the health department in meeting bills incurred by the near smallpox epidemic in Richmond. - The additional appropriation was made necessary to pay bills of Dr. Huffman and Dr. Mendenhall for fees charged in handling smallpox cases. The physicians charged $3 an average for each visit. The board of public works was instructed to investigate into the "reasonableness or unreasonableness" of the charges made. The board will report to council at a special session next Monday night. Cites Legal Authority. City Clerk Bescher cited legal authority showing that an 'ordinance of 1S84 permitted city physicians to make an average charge of $3 for smallpox cases.

Both physicians claimed that In many cases they have 'been treating no charges were made. Ia some cases where there were from one to six per sons In the family and all were suffering from smallpox only one charge of $3 was made, Dr. Huffman and Dr. Mendenhall said, despite the fact that they could have charged fifty cents additional for even member In the family. The physicians also said that they had lost some of their private practice as many persons did not want them to treat them after they had visited smallpox patients. 'l4 All Poppycock." Included in the bills of the physicians were fees charged for vaccinating. The motion to refer the bills back to the board of public works for an investigation was made by Councilman Handley who contended that "vaccination is all poppycock after all." : Persons, who have been accepting the services of the city physicians, despite the fact that they were finai clally able to employ a physician themselves, may be made to pay their own bills. City Attorney Bond told the councilmen that where persons were "reasonably able to pay" they could be compelled to pay their own bills, thus relieving the city of this expense. The city is not compelled to furnish medi cal services and food he said for smallpox patients. SHORTAGE OF OVERCOATS IS HIT SHARPLY WASHINGTON, Dec. 2?. Examination of Quartermaster Sharpe was resumed today by the senate military committee, investigating war preparations. Sharp criticisms for the shortages of winter overcoats was made by tbe senators who declared orders for clothing were not followed up to insure deliveries. General Sharpe said he had the information in the files but could not recollect the details. "It isn't a question of details," said Senator McKellar. "Jfs a question of coats. Thousands of men are without them. Why is it?" . Delivery Delay Cause. General Sharpe replied that delay in deliveries was largely the cause. "You practically surrendered your power over contracts to the Council of National Defense didn't you, except that you had a representative meeting with the board?" asked Senator Chamberlain. Sharpe answered in the affirmative and explained that the council has nothing to do with making uniforms but only with getting cloth for their manufacture. Placed Soon Enough. General Sharpe said manufacturing contracts were placed in sufficient time for making clothing but that delay in deliveries held up the clothing manufactures. be met by each government and its people in the manner established by the constitution of that government. The protection of the right of minorities is an essential part of the right of peoples to self-definition. Must Join in Time. "In the event of a mutual refusal to meet war expenditures and pay damages," Count Czernin continued, "each belligerent shall bear only the expense of its subjects made prisoners and damages caused to property of civilian subjects by deliberate violation of international law on the part of the adversary. The creation , of a special fund for this purpose, as suggested by Russia, could be discussed only in the event that the other

IN PROPER

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Kaiser commends nurse at This picture, one of the few of the kaiser to reach this country recently, shows the Hun leader commending a German nurse for her work at the Mosque of St. Sophie in Constantinople. He visited the mosque on hi3 recent trip to Turkey to hearten the barbarous ally. The kaiser appears greatly aged since the beginning of the war. GET ELEVEN FOE

TWO THRUSTS REPULSED

ROME, Dec. 27. Eleven AustroGerman airplanes have been brought down by the British and Italian forces in a big aerial battle which developed when the Teutons made an unsuccessful attempt to bomb Treviso, 16 miles north of Venice. Announcement to this effect was made officially today by the Italian war office. - . GERMANS MAKE TWO SMASHES AT VERDUN BUT ARE FOILED PARIS. Wednesday, Dec. 2S The Germans made two attacks on the Verdun front today, but were not able to break through the French lines, the war office reports. The visit of the German emperor to the Verdun front last Friday and the delivery of bis "iron fist and shining sword" speech in another western front sector the next day has been followed by a determined attack by the German troops on the French deLose Five Children in Last 15 Months Five children have died in the Coalter family 55 Grant street, in the last fifteen months. Their ages range from five months to 21 years old. Daniel Reid Coalter, 5 months old. died Thursday morning at the residence of his parents. He is survived by his parents, Mr. and Mrs. Stephen Coalter, and four brothers and sisters.' Funeral announcements will be made later. Friends may call at any time.

American Troopers Following Bandits Into Heart of Mexico

MARFA, Tex., Dec. 27. Two troops of American cavalry are pursuing fifty Mexican bandits toward the interior of Mexico today, making the second time within a month that Mexican raiders have been followed across the border. Movements of the American troops were unknown by Col. George T. Langhorne, commanding officer of the Big Bend patrol district, until late last night, as it was impossible for the pursuing forces to get in connection with headquarters until they had chased the bandits out of the rocky country where they sought refuge Tuesday night, after raiding the Brite ranch and killing three men, one American and two Mexicans. belligerents join in the peace negotiations within a certain time." The chairman of the Russian delegation expressed gratification at German willingness to make peace without annexations and indemnities and with the self-definition of peoples. He demurred, however, at the German statement on self-definition as being incomplete. He said the war could not end without the re-establishment of the violated rights of little and oppressed nationalities, and Russia would insist on guarantees that their lawful rights would be protected in a general peace treaty. Count Czernin explained the position of the central powers in a statement which he read at the second session

UNIFORM

Mosque of Saint Sophie. He is wearing the uniform of a Turkish field marshal. The photo is remarkable even for a picture of Wilhelm in that it shows his crippled left arm which he usually manages to hid from camera men. He is very sensitive about this deformity but his cane can be seen over the short arm In the photo. PLANES; fersives northeast of Verdun on the east bank of the Meuse. The blow was delivered yetterday at Caurieres wood on a direct line north from Fort Douaumont, the famous key point of the Verdun battle of 1916, from which it is slightly less than two miles distant. Two attacks followed a violent bombardment. The effort, according to -the Paris' official report, was a sanguinary fail ure. In the last attack, the enemy succeeded in reaching the French line3. He was immediately ejected, however, losing heavily in killed, wounded and prisoners. LUKENS MARRIED HALF CENTURY Dr. and Mrs. J. H. Luken celebrated their golden weding anniversary Wednesday with a dinner at their home, 1725 East Main street. They were married fifty years ago in Cincinnati and have been residents of Richmond for the last forty-three years. Members of the family attended the dinner. In the afternoon and evening an informal reception was held when 100 guests called. No invitations were issued. Miss Kathleen McLaughlin, of Chicago, a niece of the host and hostess was the only out of town guest. Reports of the crossing into Mexico were sent to Colonel Langhorne from river points where government telegraph stations are located. Another Raid Made. Another raid was made by a smaller band of Mexicans, on the Fitzgerald ranch, fifteen miles west of the Brite postoffice, Christmas night. This band is supposed to have been a detachment of the fifty who raided the Brite postoffice and merchandise store on the Brite ranch, twenty-seven miles southwest of Maria, Christmas morning., A Mexican ranch hand employed on the Fitzgerald ranch reached ValenContinued on Page Eight. of the peace conference at 10 o'clock Tuesday evening. His statement follows: "Will of People."The delegations of the allied (Teutonic) powers, acting upon the clearly expressed will of their governments and peoples, will conclude as soon as possible a general peace. The delegations, in complete accord with the repeatedly expressed viewpoint of their governments, think that the basic principles, of the Russion delegation can be made the basis of such a peace. - "The delegations of the quadruple alliance are agreed immediately to conclude a general peace without

Continued on Page Eight

300 GERMAN SOCIALISTS TAKEN ON EVE OF CHRISTMAS Military Authorities Arrest Minority Party Leaders in Several Cities of the Empire. ARE ANTI-WAR MEN LONDON. Dec. 27. Mor than 300 members of the German minority Socialist party were arrested on Christmas eve by the German military authorities, according to a Zurich dispatch given out today by the wireless press.' "Following the arrest of minority Socialists at Cologne and Karlsruhe recently, the German military authorities made a large number of arrests on Christmas eve in Munich, Franfort, Leipsic, Magdeburg. Dusseldorf. Darmstadt, Nurcmburg. Dortmund, Cassel, Mannheim. Mayence, Coburg, Duisburg and Gotha. "More than S00 minority Socialist and local leaders in the towns mentioned were arrested."

FIRST WORD RECEIVED OF ARREST OF SOCIALISTS No advice regarding the previous arrests of minority Socialists in Cologne and Karlsruhe had been received. The German minority Sociali?ts comprise a strong faction in the party which refused to follow the lead of Philip Scheidemann and others in their virtually unqualified eupport of the government. Their leaders in the Reichstag, such as Hugo Haase, have long been persistent critics of the government, denouncing the program of unrestricted submarine warfare, various phases of Germany's dilomatic policy and tho continuation of the war for imperalistic aims. Recent advices through Washington have indicated a pronounced growth in the popular support of the minority Socialists through Germany, the mem- " bership of this wing of the party being presented as expanding tremendously at the expense of the majority Socialist branch. SEND IN NAMES! HAVE you a son, brother or relative in the service of his country? If you have, send his name on a postcard to Frank Albus, secretary of the Richmond Commercial club. Richmond Is to have a large community service flag, the first of its kind, 6o far as is known here, in the United States. The name of every Richmond man, in ihe service of his country, will be sewed on a star in the flag. As more men enlist their names and another star will be sewed in the flag. To make this a complete success it is necessary that every family in Richmond, which has given a soldier or sailor to Uncle Sam, send the name to the Commercial club. A two-cent stamp is all that is required to do this. In case of casualty or death a black border will be sewed around the man's star and name. The flag will be invaluable after the war. It i3 planned to raise the flag at Eighth and Main streets for the first time on New Year's day. Families should send the names to the Commercial club at once. NEW PRICES SET FOR MILK Tbe Richmond housewife who fails to put her empty milk bottle on her front porch after the first of the year will be "passed up" and will get no milk from the milk distributors under new plans made by Richmond and Wayne county milk producers and distributors. New prices will also become effective the first of the new year. Pints will cost six cents and quarts eleven cents each. Three pine bottles may be bought for eighteen cents. Onepint and one-quart, in two bottles will sell for seventeen cents. This price, which is slightly lower than the present prices, will remain unless another increase is made in the price of food for cows the dairymen say. It is probable that the prices will be Increased even though the cost of pnv duction does not Increase, If people do not co-operate with the milk deal era to the fullest extent, County Food Administrator Weidner said Thursday. Every housewife should see that empty milk bottles are placed In the ' front of the bouse so that the mill distributor may same time in distribution of milk. The government figures that In this way, one man may distribute seven gallons of milk daily, If more men are needed to distribute; the milk tbe price will be raised.