davidaulloa/AmericanStories huggingface dataset:
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
FAv0RS
INTERNAL TAX
TO PAY BONUS
Foreign Debt Proceeds
Not Practical Way,
His Belief
Again Objects to Passage Bon
us Bill at This Time-Also
Opposes General Sales Tax
Suggests New Sources of
Revenue

Washington. Feb. 2.-Funds to fin
ance a soldiers bonus must be raised
by means of internal taxes as it would
be impracticablc to depend upon pro-
ceeds from the refunded foreign debt
for the purpoe, Secretary Mellon de-
clared today before the house ways
and means committee.
Reiterating his objections to the
enactment of bonus legislation at this
time, the treasury secretary said that
IN laying taxes congress would have
to tap mostly new sources as the lc-
VleS now in effect were abnormallv
high for peace times. He opposed a
general sales tax, re-enactment of
the excess profits tax, or an increase
IN any existing taxes except possibly
those on cigarette. tobacco and docu-
ments.
New sources of revenue suggested
by the secretary included three cent
hrst class postage to raise S1O,00G,-
coo; an increase in second class post
age rates to produce $4,000, 900; a
two cent tax on bank checks to yield
$30,00O,00O and a license tax of fifty
cents per horsepower on automobiles.
TO produce 100000, 900 Mr. Mellon
estimated that increased documentary
stamp taxes would produce $4,000. 900
and that an additional $4,000. 900
could be had from an increase OF fifty
cents per 1000 on cigarettes and two
cents pound on tobacco.
Figuring tht the bonus would cost
S423.OOo,00O 4 year for the first two
years, the secretary said congress
could pick out other sources Of taxes
whefe the burden would fall with the
least hardship in order to make up
the peficit of sl25000.00O. as between
the kield from the specific suggcs-
tions he had made and the cost of the
bonus. In this connection he called
attention that there had been sug-
gested consumption taxes on tea. cof
fee. sugar and other articles and
tax on gasoline, but he aid not ap-
prove such taxes.
As to the use of any part of the
proceeds from the foreign debt. Mr..
Mellon said the time that returns
would be had from that source was
problematical and that in any event
the ultimate cost to the government
and the country would be greater
than if direct taxes Wcr, laid.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Objects to
Senate Slant
on Debt Bill

Washington. Fob. ".-Objoction by
.. administration to the allied debt
ending bill as amended by the SEN
be was encountered today by the
luae ways and means committee
hen II took up the measure in ex-
..uiIte session. Chairman Fordney
said action would be deferred until
~ could confer with President Hard
n- AZ the White House. probably to-
morrow
-ccretary Mellon who was before
f'' committee said he would rather
.l.c bill without the IS year ma
.fu and I IL per cent. minimum
interest rate limitation. but that it
could he feasible TO go ahead with
'#c refunding negotiations and IL
csc limitations proved insurmount-
..Io IN tho case OF some countries ad-
d .tonal authority could then be ask
90 ~ congress.
n was understood that the pres
cont objected 10 these limitations as
efI'fcn in the senate following agree
u,n' on them ~ the republican ma
aItv IN party conference. II was
sud that attention OF the committee
'ul been called that in the case OF
..rnc ~ the debtor nations, particul-
,.Iv the smaller and the newly FORM
% orce. n might be necessary TO derer
maturity ~ the refunded obligations
nav years. instead of % years
that whore the loans were to cx-
,.u over such "A long period it might
.s desirable tn fix the interest rate as
..o ls four per cent.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
GAS EXPLOSION
KILLS 9 CONVICT
WORKERS IN MINE

birmingham, Ala. Feb. mime
convicts were killed from a local gas
explosion in the Belle Ellen coal
mines in Bibb county late today. ac-
cording to reports received here by
{. III. Nesbitt, state mine inspector
Mr.. Nesbitt said he had received
only Il meaGre report on the accident.
but that the superintendent of the
mines told him the explosion was a
local. one. that all the bodies had been
recovered and that the mine was
clear. The mine inspector said he
did not know whether the convicts
were all negroes. but believed the
majority of them were.
The Belle Ellen mines are owned
by the Bessemer Coal. Iron d Land
Company. There are four mines in
the group and about 800 convicts are
employed
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
HOUSE GIVES
FORD Offer TO
Committee
Keen Interest in Pro-
posal to Purchase
Muscle Shoals
Many Indicate Will Have Some
thing to Say On Subject
Engstrum Out With Rival
Proposal, Tells What He
Would Do

Washington, Feb. 2-Prompt ac-
ton marked the reception by Con-
gress today Of the Ford proposal for
lease and purchase of the Muscle
Shoals. Ala, nitrate and water pow
er projects as referred to the House
by Secretary Weeks for it's decision
and afterward for consideration by
the Senate. Speaker Gillette sent
the offer Immediately upon it's re-
ccipt 10 the House military affairs
committee, while members of the in
terState commerce commission indi-
Gated they might seek a change of
reference to their body.
Evidences Of equally rapid action
by the House itself, after the COM
mittees report with reference to
recommendations that the proposal
be rejected or accepted is made to
the body. were somewhat more
dimmed. A keen interest in the
matter already has been manifested
by q large number of House members
and indications were that they
would discuss the question at some
length before a final vote could be
reached.
Frederick Z. Engstrum. who has
submitted to Secretary Weeks an
amended proposal for the lease and
operation of the Muscle Shoals pro-
perty, issued a statement today after
publication Of the Ford proposal.
My proposal" Engstrum said,
CONTAINS no conditions which might
prevent the manufacture of nitrates.
The entire development of the pro-
ject will be devoted to the manufac-
tur of nitrates and to nothing else.
Shoals were designed o produce nj
trates for explosives and cannot be
used to manufacture nitrates for fer
tilizer. In my proposal agree to
redesign at once these plants at an
expenditure of $5.000,000( if neces-
sary and produce commercial nj
trates by the best process now
known.
MY proposal does not provide for
waiting to manufacture nitrates until
the same can be produced at eight
per cent. profit. or even at cost, but
on the other hand, propose to begin
the manufacture of nitrates at once
and to continue to produce the same
at the full capacity Of the plant. even
at loss until such improved meth =
DDS for making cheaper nitrates are
developed, and to operate. in addition,
D research plant in the interest of de-
veloping such improved processes. In
the meantime. I propose to sell suf-
ticient excess power produced at Mus
Gle Shoals to finance the continuous
production of nitrates and the oper-
alton Of such research plants"
MY proposal provides" the state
ment concluded. THAT when nitrates
can be made at less than the cost of
the Chilean product, that the money
arising from the sale of excess power
which had before been used to finance
the manufacture Of nitrates, shall be
turned into the treasury OF the Unit
ed States. Thus. it will be seen that
under my proposal the government
will receive an income from the start
estimated at more than $S,000.o00 per
year, which will be devoted to financ-
ing the production Of nitrates as long
as necessary. and then to receive
cash income"
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
EXPLAINS REASON

Portland. Feb 1.-The 20 per cent.
reduction in the wage scale of thou
sands of textile workers in Maine.
when it becomes effective on Fcbru-
airy 13, win still leave an advance Of
nearly 100 per cent. over 1916. a
prominent official in that industry
stated here today. lie said work.
man who then received $40 a week.
will now get 1894.
Sharp competition with southern
cotton mills. where a decidedly low
er scale and longer working hours
are in effect. has forced this move.
he said. explaining that with this in
their favor, southern mills come into
the northern market with their nm
ished product at a price with which
northern manufacturers. even with
the smaller transportation charge,
cannot compete.
Continued on Page 5-Col. -
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
House Willing
to Group Bonded
LIQUOR in Warehouses

Washington. Feb. 2P-The House
today agreed to Senate amendment
to the treasury appropriation bill
providing for concentration of bond
ed liquor in warehouses to be dcsig-
mated by the commissioner of inter
nal revenue. Two Senate amend
ments one carrying S1.000,000 for the
construction of vault for the treas
ury and the other 100000 for d site
and other preparations for erecting
a national archives building in
Washington. were disagreed TO and
the bill was sent back with the eX-
pectation that the Senate would
agree to elimination of the two items.
Other Senate amendments avvept
provided $4,000 for improvements
at the Boston immigration station
and $1,000 for repairs 10 the wharf
at the Astoria, Oregon, quarantine
station.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
SOUTH AMERICA
IN GOOD SHAPE

washington, Feb. 2-Markcd I'M
provement in economic conditions in
South America is seen by Secretary
Hoover.
The Latin American countries. Mr..
Hoover said. today, have had 70 deep
seated shocks to overcome in their
post-w recovery but only the col
lapse OF the war boom to combat Re-
ports indicate, he said. that South
Americana ountries are gradually all
sorbing their surplus stocks of goods
and it would seem that they were
going to make their recovery faster
than other nations, also because they
would have no heavy tax burdens to
bear.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Uncle Sam Pares
Down Debt a Bit

Washington. Feb. 2.-The public
debt decreased by approximately $50
100000 in January, according to fig.
tres announced today by the treasury
which showed the public debt on Ian
uary 81 to be 2S,3SS.544.23G as COM
pared with s23.43S, 9S5,351 on Deccm-
Der 81.
Decreases in both expenditures and
receipts of the government during
January as compared with December
were reported by the treasury.
During January the total ordinary
expenditures aggregated $2S1, 100000
as compared with $330.0o0000 during
December. while ordinary receipts for
the month aggregated 1871, 100000 as
against s140,000,oo0 in December.
Nhen about S524.000. 900 of income and
profits taxes were collected.
Public debt expenditures for Janu-
airy aggregated $60,000,O0n as compar-
cd with 1901. 900. 900 tn December
while public debt receipts for the
month totalled S9.000,000 as against
s622. 600 900 in December.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Reed Again
Harps onCase
of Newberry

Washington, Feb. 1.-THE issues in
volved in the Newbcrry case were
echoed in the Senate today as the
two senators from Mssouri--Mr.
Spencer. aeader of the Republicans in
the fight which declared Senator New
berry entitled to his seat. and Mr..
Reed. who bitterly attacked the Michi-
gan senator several days ago-met in
debate
Senator Spencer. speaking in reply
to his colleagues address OF the other
day, declared with reference to that
speech that Qualification is not evil
dcncc and vituperation cannot be sub
stituted for facts in the Senate OF
the United States" lie accused his
colleague of "glaring msstatement of
facts whenever he left for the moment
the realm OF vituperative fancy" and
in support Of the vote TO declare Nj.
Ncwbcrry entitled to his seat over the
protest Of his Democratic opponent,
Henry Ford quoted a letter written
by the late Theodore Roosevelt In
October. 1918, as saying the Detrol,
manufacturer would be signally out
OF place in the American Senate so
long as that body is dominated by
men who zcalously believe in the
American idea and faithful cndeavor TO
serve the American people"
Senator Reed spoke only briefly IN
reply. explaining that lie was prepar-
ing to leave the capital on business.
but on his return would reply at any
time to anyone who wished 10 hold
what he described as "post-mortom
examination"
Mr.. Reed went on to say that in the
controversy he intended to keep close
touch upon the written confession by
the majority Republicam party in the
resolution which the Senate adopted
declaring Senator Ncwberry entitled
TO the scat but condcmning excessive
campaign expenditures.
No man could vote for the resolu-
ton and in the same breath seek To
justify the beneficiary who was Com
Gcmned" by the resolution, Senator
Reed stated unless he was man uf
nerve that would do credit to first
class orthodox devil"
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
R. R. COMPETITION
KEEPS COSTS UP
MCAD00 CLAIMS
Would Have Carriers
Share Facilities for
Public Good
Traffic Was Handled More
Economically in War Period,
He Tells Interstate Com
merce Communication Late
Now for Trial of Federal
Control

Washington, Feb. 2-The charge of
certain railroad executives that the
government ruined" the roads is
groundless, William G. McAdoo, for
mer secretary of the treasury and
war time director general of the rail-
roads told the senate interstate COM
merce commission today in conclud-
ing his testimony in it's inquiry into
the transportation situation.
1.-The indisputable fact is that the
government saved them," he declar-
ed. adding that government opera
ton gave the public improved SER
vice and saved millions Of dollars in
transportation costs"
No great industry was lever more
generously treated by the govern
1nent' said the former director. Dur
ing federal control it had assumed all
risks of operation. he declared, pro-
tected bond and stockholders during
the war, transformed the properties
from "a menace to public safety in
January, 1918, as stated by the inter-
state commerce commission, into IAN
efficient machine" had stabilized"
railroad labor and, during the period
of control had guaranteed the roads
an annual rental of s906,0Oo,000. or
SITS, 900 more than Chairman
Cummings of the committee had said
they were entitled to receive. In ad-
dition, he said. the carriers were
given a basis for rate making which
assures them, with a return of nor
NAL conditions, an annual income of
s1,134, 100000. or $200,000,000 more
than the government rental, and were
guaranteed against losses for six
months after return of the properties
to private control.
+ The monthly operating cost under
federal control, he said, was s375,-
9SS,S13 compared with s4T3.257, 939,
under subsequent private manage
ment. This, he pointed out. was
equivalent to saving under govern
mcnt operation of S97.26S,2S6 a
month, or ,167,220632 a year. He
placed the cost of operating the rail-
roads since restoration of the proper
ties to the corporations at 50 percent
higher than it was during federal
control. He attributed the increased
(ContinIed on Page 3-Col. y
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Is KILLED IN
MINE BLAST AT
GATES, PENNA:
and
laps Nearer
Agreement

Washington, Feb. 2-(By A. ~
Japan met China part way today on
the Iatter's request for abandonment
Of the celebrated "twenty-one de-
mands" program of 1915.
Taking the center of the stage as
the final scone of the arms confer
ence began. the Japanees announced
that their government was ready to
give up entirely group five of the
demands" which China has held
was calculated to rob her Of her
sovereignty. and to make further
concessions regarding economic
privileges and political and military
preferences in Manchuria and Mon
golia.
Tomorrow China is 20 reply in a
statement that is expected to bring
the Far Eastern negotiations to an
end and on Saturday the Washington
conference probably will adjourn
sine die after a plenary session for
formal adoption of the Far Eastern
treaties
IdIiCll VI the tnSuly -OitC
demands" the last topic remaining on
the Far Eastern agenda of the con-
ference, began in the Far Eastern
committee after hope of an adjourn
ment of the Chinese eastern railway
situation had been abandoned and a
resolution adopted merely declaring
that arrangements for "better pro-
lection" of the road should be worked
out soon through the regular dip1o-
matte channels. The powers other
than China appended joint declara-
ton of China's responsibility for full
fillment of her obligations to foreign
stockholders of the roads.
Japan'S statement on the de
mands" was presented by Baron
Shidehara, who argued that the
Chinese request for abrogation of the
treaties and agreements resulting
from the 1915 program could not be
supported by u plea of invalidity be-
cause the agreements made were en-
tered into by China in the exercise
of her full powers as a sovereign
state.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Cardinals in
Seclusion to
Choose Pope

Rome. Feb. a.-(By A. P.)-Majes-
tic steteliness attended the solemn
immuring in the Vatican today of the
Sacred College. comprising for the
moment SO cardinals. Every detail of
the sacred rites was observed and al
though the time fixed for the closing
in of the cardinals was $50 this aft
crnoon. SO long was the ceremonial
that darkness had already cnshroudcd
the huge basilica of st. Peters and
the Vatican palaces before the doors
finally were barred and bolted and
the prclminaries were completed for
the grave task of the election of a
new Pontiff
The So cardinals present in Rome
are now in the Vatican. Even Cardi-
nal Marini, who is suffering from in
fiuenza, was conveyed there this morn
ing. He did not participate in the
ceremonies of the afternoon, but re-
manned in bed resting preparatory to
the work Of the morrow, when the
first ballot will be taken.
AS each of the cardinals who have
been named as most likely to sue
coed Benedict XIV passed, there were
whispers from the privileged few
permitted to witness tho final closing
Of the doors. Cardinals Matfin, Gas
tarri and LaFontaine were particu-
larly noted, but when Cardinal Lau-
remit, who was last in the procession
because the last to be created car
dinal. appeared there seemed to be
special importance attached to his
passage into Pauline chapel and later
into the Sistene chapel, and it ~es
wondered whether the last should be
first when the final choice was made
The conclave's isolation from the
outside world was carried out with
full ceremonial. Soon after lunch the
cardinals met in the Pauline chapel.
where "Ncni Creator" was sung. A
procession then formed, led by Car
dinal Nannuteli. dean of the Sacred
College, passing through the Sala
Rcga to the Sistne chapel, where the
hymn was concluded. The cardinals
entered the Sistne chapel and behind
closed doors the oath was taken to
maintain secrecy.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Society with Long
Name Complains
Against Mrs. BergdOll

Philadelphia, Feb. 3--AIrs. Emma
c. Bergdoll. mother of Grover c.
Bergdoll and Erwin Bergdoll army
deserters. was today again in the
tolls of the law, this time on a charge
of cruelty to animals. She and Mat
thew Grophenbacher. care taker of
Irwins estate at Llanerich near here.
were each fined $40 and costs for not
having proper bedding for horses and
cattle. The charge was brought by
the society to prevent cruelty 20
animals. Magistrate Roy Blackburn
said she blamed conditions in the
barn on the care taker and the lat
ter passed the blame back to Mrs.
Bergdoll.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Fishermen Driven
from Bank by Whales

Portland, Me, Feb. 2.-Captain
Fred Bickford and the crew OF the
fishing schooner Pilot reported today
they were virtually driven off JEFF
frey's fishing banks. Al miles off this
port. yesterday afternoon by hun
orcds of whales.
I've never seen 50 many whales at
one time in my life" Captain Bickford
said. II actually was afraid they
might capsize some of our dories."
Thinking some of the monsters
might begin to slash about and up
set the dorios. each of which held two
fishermen. he began sz-zagging
course through the big school with
the aid of the schooner's gasoline en-
CINE, and managed eventually to pick
up all the crew without mishap.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
State Troops
Ordered to Newport

frankfort, Ky, Feb. 2,-T"elve
companies of Kentucky National
euardsmen tonight were ordered to
Newport, KY. where a strike in the
Newport Rolling mills has been in
progress for some time. The tank
corps of Covington was ordered to
move in and take control of the situa-
ton tonight Other troops are eX-
pected tomorrow.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Plan to End Arms
Meet on SATURDAY.

Washington, Feb. 2.-fBy A. 70
Adjournment sine die of the arma-
ment limitation conference is planned
Saturday, according TO information
given delegates tonight. 1t is hoped
to have final committee action tomor-
row on the Far Eastern treaties and
conclude all questions before the con-
ference at a plenarS session satur-
CAV
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
General Forecast

The storm that was central over
eastern Minnesota Wednesday night
moved rapidly eastward ana its CEN
ter was over Maine Thursday night.
This storm has been attended by
general rains in the Atlantic coast.
1t was also attended by gales in the
North Atlantic coast. The prussure
was high Thursday west of the Rocky
Mountains. The indications are for
generally fair weather Friday and
Saturday in the states east of the
Mississippi. The temperature will be
somewhat lower in the Atlantic
states and will not change materially
east of the Mississippi river during
Saturday.
Winds. north OF Sandy Hook, will
lie strong southwest and west and
generally fair weather Friday.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Observe 41st Date
Y. p. S. C. E.. Portland

Portland, Me, Feb. 1.-THE 41th an
niversary of the founding of the
Young Peoples Society Of Christian
EndeavOr at Williston church was
celebrated with a prayer meeting to-
night on nearly the same spot whore
the original prayer service was held.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Alaska Railway
Near Completion

Anchorage, Alaska. Jeb. .,--AI-
though ends of steel on the Alaska
government railway will be brought
together by the completion of the Ri
ley Creek bridge February 10. accord
ing to estimates of engineers today,
the ceremony of driving the golden
spike" will be deferred until some
time during the proposed Alaska trip
Of President Harding next summer.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
CONFIRM NORTH
DAKOTA JUDGE

Washington, Feb. 1.-The nomina-
ton of Andrew Miller to be United
States judge for the district of North
Dakota, was confirmed late today by
the Senate in executive session. 1t
was understood that there was no
record vote.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
SteinmetZ Wins
Ice Championship
at Saranac Lake

Saranac Lake, Feb. 2--William
Steinmetz Of Chicago won the inter
national outdoor skating champion
ship, scoring total of 100 points in
the three days meet which ended.
late today Charles Jewtraw of Lake
Placid. scored 20 points and Charles
Gordon of st. John, n. B., so.
Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-03
Maine Dry Head
tOTOcate in Auburn

Auburn, Me. Feb. 2.-Announcement
was made tonight that State Enforce
nent Commissioner May has been au-
thorized by the department at WASH
ington to mive his offices from Bath
TO Auburn. Rooms have been leased
in the National Shoe & Leather Bank
building. The change will be made
Immediately.