Historical Newspapers of South Carolina

Below is the OCR text representation for this newspapers page. It is also available as plain text as well as XML.

NAMING THE LOBBYISTS. HOMK SF. NATO IIS KNOW TIIF. AUKNTH OF SPFCIAL INTLR TFRFSTS. ^nai-.r Knivi swum That Well Known Facts Justify F.vcry Wonl I'ttrretl by President Wilson ? In? vestigating May l*rod m ? ic.-ult 1 - Waehlngt< i. June 3.?"Social lob? bying' In Washington Justifies every word President Wilson uttered In re? gard to the presence of an "Insidious" lobby at the capltol, Senator Kenyon of Iowa declared on the witness stand today before the senate Investigating committee. It was the first un? equivocal statement in support of 'he president's attitude since the inquiry began. The Iowa senator explained that hi balteved the most "insidious" und powerful lobbying possible was the practice of flattering senators by hav? ing them out to dinners, to theatres and on automobile rides, kngrutlatlnrf the host with the distinguished guests. Pointing to the sworn testimony of Edward Hlnes. "a lumber king," be? fore the Lorlmer election investiga? tion that he entertained senators at a local hotel at dinners at a time when the lumber schedule In the Payne Aldrich bill was before the senate, Senator Kenyon declared It was his belief that senators were being en? tertained In this "insidious" way at present. He also denounced ex-senators for capitalising their privilege of the floor by using It to lobby. Referring to one ex-senator representing many railroads in Washington and often seen on the floor of the senate, he ad? vocated the enactment of legislation to prohibit an ex-senator from being a lobbyist. Senator Hughes of New Jersey and Senator James of Kentcuky told the investigators for the first time of the trials and tribulations of majorltv members of the finance committee with the many persons who had flock? ed to Washington to present their views. Neither knew of any attempts to corrupt senators, but both de? clared they could have done better work If they had been bothered less. These senators, as did Senator La Fellefte, who followed thern on the stand, suggested that legislation for registration of lobbyists would be a good thing. Several senators let It be known today that they had received by reg? istered mail what purported to be a reproduction of a letter from the American Cane Growers Association of,the Cnited States sent to members asking for contributions to a fund for the use of "a large committee in Washington." The copy was dated "New Orleans. April 2, 1913," and read as follows: "Dear Sirs: Your sssociation has a large committee in Washington now using every effort possible to try to aave the sugar Industry. "We have hesitated about calling on you but as we are now overdrawn In the bank. It Is absolutely neces? sary that we have funds at once und therefore call on you to please send one-half of your subscription, say b cents per 1.000 pounds on the crop Of 1911. 'This la very Important and v.. would like to have remittances at once. "Yours very truly, (Signed) "Charles A. Farwell." "Preslden The copy came In an envelop.- post marked Washington on the back of which In Ink was written the nume, W L Base. Senator Runsdell, who received one of the letters, said the American Cane Orowers* Association had BOOS *n ex? istence for ten years or more, that It maintained an office in New Or? leans and conducted an open cam? paign In behalf of the sugar pro? ducers of I*oulslanu. He adde 1 that for several weeks the orgam iztion had kept an office In a Washington skyscraper with its name over the door The letter did not appear In tin lobby Investigation, but it proba -l will It was reported tonight gsOfi than two score suhoocnas ha<t . n Leute.| by the committee for witnesses who it Was believed might be able, to throw light on the methods of the alleged sugar lobby*1 mid to have been established here when the tariff hill was taken Hp Member* of the sesnmlttee declined to discuss those who had been sum? moned, but It was acW ,,,.w ledged un officially that high .fibers of the so called "sugar trust" were among those summoned. President Wilson, it was reported, had furnished a number of names Which appeared on the subpoenas Hoth the White House and the COSS mltt**emen wert* silent on the sunjcct. j Mone-llodge. ' Married I o<? I hui sda\ in Manning by the Rev M. J. Klser. of Paxvllbv Mr Hsrney RhHt Hodge und Man Dorothy Stone, both of Paxvllle DO TRUSTS OBEY COURT ? CONTEMPT of COURT PROCEED INgs OONflDBRRD against STANDARD oil co. s|HH'iai i{? 'jm ?i i of Attorneys IMscuesed lly Wilson Administration?Viola? tion of Court's Orders in Tobacco Case Rgejgtv*i Attention. Washington. June ?Whether de? cree* 0)1 tile Cnited States court dis? membering the Standiird oil and To? bacco "trusts" are being tarried out was considered today by the Wilson administration with a view to possi? ble institution of the most ImportantI anti-trust moves yet contemplated by' the president and Attorney General Mejteynolds. In the Standard Oil case the at? torney general received from Charles H. Morrison ami Oliver Pagan, his special assistants, a report of the re? sults of their investigation of condi? tions In the oil industry and began consideration of the question whether v.ie facts disclosed will Justify the department of justice In beginning contempt of court or criminul pro? l ? edings against oil interests on charges of violations of the dissolu? tion deeree. Tonight this question was unsettled. In the tobacco case practically the entire meeting of the cabinet was de? voted to considering whether surface ? onditions in the tobacco trade war? rant the attorney general In begin? ning an investigation similar to that Just finished In the Standard Oil case, to detern ine whether the decree of dissolution is being violated and whether all semblance of a "tobacco trust" has disappeared. The attor? ney general after the meeting was noncommittal as to whether the In? quiry will be undertaken. Consideration of the workings ol the decrees in the two big cases? the Standard oil at the cabinet meet? ing and the tobacco at the depart? ment of justice?took place today ap? parently by coincidence. Around the "rule of reason" principles first enun? ciated by the United States supreme court in these cases, has been built ptuetlcally all of the anti-trust lit? igation since. The opinions have been the guiding stars for the attorney general, so far as the Sherman anti? trust law is concerned. Mr. Mclteynolds, who as special as? sistant to the attorney general orig? inally prosecuted the "tobacco trust,'* has been studying the workings of the decree ever since he er.tered the cab? inet. It Is known that he disagreed with forme; Attorney General Wiek? ersham as to the adequacy of tue adopted plan of disintegration. It bat been understood that his objections centered around the pro rata distri? bution among shareholder of the trust" of stock of the 14 corpora? tions into which the American To? bacco company was disintegrated. II? was quoted at the time as saying the plan deserved "an expeditious com? mitment to the scrap heap." The report made to the attorney general by Messrs. Morrison and Pa gun In the oil case |g the result of several months' investigation. They have studied conditions in various localities and paid particular atten? tion to the soaring prices of oil. Their conference with the attorney general today was inconclusive and it will be continued tomorrow. The nature of their Undings has not been made public. In the preliminary report made to format Attorney General Wlckersham Just before hi retired from other these attorneys declared that their then partial Investigation raised a serious doubt as to whether the standard OH trust had been actually dissolved. They found that unfair competition bad bOta eliminated and the last few months of their investigation have been largely devoted to an effort to j ascertain whether the control and management of the disintegrated parts of the "trust" and the con trol of the prices of oil still are dl i ei t*d by the same concentrated In? tetests as previously* G1TLTY or FORGERY, - Young Mao Confesses to Charge Against 1 link?Was Law|er anil De? UnHlia, Manning?, June i?c. m. Iteyonlds, ?rhu came to Manning ;t year ago and hung out his shingle for the practice of law. m the court of general eea? ?Ions today pleaded guilt) to ? charge of forgery. He was sentenced to s[?end one year In the sei sic- of ?in- State, but the sentence was suspended lin ? ing good behavior, it will be en? foread if n South Carolins grand Jury in the future buds ? tine bill against the defendant charging ?liy offense. Keynobls toda> told the court that he Ml only II years of age and has never been admitted to the practice of law in this Mate. He said, how? ever, that he bad !><?? n admitted |o the hat ol I lorida. He announced that he i aim |o Man? ning as a goto* live He Infi Manning I his nfteri.n In a n aulom ddle. MACHINE POLITICIAN BRAZEN. HITCHCOCK PROUD OF THE WAY HE MANIPULATED POST OFFICE, in K<-|?i\ u> Iteport <>r Burleeon Com? mlttce Report Assort* Thut state? ments arc UrstltUtlotte and 'Inac? curate?Kcitcmtcs Claim That He Made Department Self-sustaining. Silver City, N. M., June 3.?On ar rivlni at stiver City today from the liogollon mountains, where he has been spending some wet its, former Postmaster General Hitchcock was shown the statement issued a few days ago by Postmaster General Hur leson, attacking his administration of the poetOfftce department. Mr. Hitch? cock issued the following statement: "A committee, composed in the main of newlv appointed assistants, having less than three months' ex? perience in postofllce business at i tempts in a report to the present head of the department to discredit the financial showing made by the postal service under President Taft s admin? istration. "After reporting alleged discrep? ancies that are insignificant when compared with the great sums known to have been saved by their predeces? sors, this committee of novitiates proceeds in its published statement to enlighten the American people as to the character of the postal service they have been receiving. Their statement is as inaccurate as it is i gratuitous, for the public well knows that never was the postal service con? ducted more efficiently or mail han? dled With greater precision and dis? patch than in the closing years of the Taft administration. During that administration nearly o.OOO new post offices were established, delivery by letter carriers was provided in about 300 additional cities and over 3,000 new rural routes, aggregating about 75,000 miles, were authorized. "Notwithstanding the great exten? sions of service and the heavy in? crease, in expenditures they required, the postofllce department was plaVed on a self-sustaining basis and fhat was itH condition when on the 4th of lejaTCh it passed into the hands of newly appointed officers who .seem thus far to have been exhausting their time and their energies in a vain attempt to detract from the rec? ord made by the devoted public ser? vants they succeeded. "The postal committee of the DeMo cratie house of congress endeavored last year in a similar manner to at? tack the and.ted accounts of the pos? tal service, but after Investigation that committee was fair enough to admit that the department had be? come substantially self-sustaining. The returns as to surplus or deficit sr?- Djade up not by the Postofllce de? partment but by the treasury depart? ment where all postal income is re? ceived and all postal accounts linally audited. "The secretary of the treasury re? ported the wiping out of the postal deficit and the record thus certified to In his fiscal report Is likely to stand in history." JIM CROW LAW DISCUSSED. Conference Between H. It. Commis? sion and Attomei for Pullman Com? paay. Columbia, June :j.?o. s. Fernsld, general counsel for the Pullman Company today held a conference with the members of the railroad com? mission of South Carolina relative to negroes riding in Pullmans. The con? ference follows the sending of a let? ter by the commission to the com? pany complaining of a negro riding ir one of the cars of the company in South Carolina, it was announced today that the commission had ad? dressed a letter calling for the cooper? ation of all the Statea of the South In an attempt to se< uro legislation to prevent negroes from using the same cars as the white passengers. COLUMBIA TO HAVE RACING. JockOS Club of New York Proposes ?0-Day Meet this Fall. - Columbia, June 4,?That a thirty day racing meet will be held in Co? lumbia in November or December prior to the te xt racing meet in Charleston was the statement tar? ried this afternoon hj tin- Columbia Itcord in a promim-ntly displayed Story. This publication gives the in? formation that the time has not been definitely decided on, hul that it will pr. < < ile the nexl Charleston meet, and that it will be held under the aus? pices t?f the Jockey <'iui? ol New Voik A thirty-day racing meet took plate in Colombia in Ihe latter pari ot I11, ami it a ill be recalled it re suited in failure, it is said that the same parties who backed that meet are behind the movement lo get the 111111\ day meet this fall. The cotton crop i- improving ami there have been nu complaints of gl H*<S. SECTION OF TARIFF BILL RELAT? ING TO INCOME TAX MIST BE AMENDED. Officers <>t* Mutual Insurance Compa? nies Claim That They Will be Taxed Twice and Declare Measure Unjust. Washington, Tun?* 4.?Before the senate acts on the Underwood tariff hill the Income tax section will be amended to remedy a defect which, it was discovered today, would make the measure unconstitutional. When the framers of the income tax pro? vision fixed January 1, 1913, as the date from which to compute incomes for taxation, they overlooked the fact I I that the constitutional amendment authorizing an income tax was not proclaimed as ratified until February 25, 1913. I This fact was brought to the atten? tion of the senate finance subcommit? tee Which has the income tax under consideration and an amendment probably will be drafted at once. I 1 Aside from the constitutional de? fect arguments have been presented in favor of making the taxable in? come accrue for the first year from July 1 or later. As far as the con? stitutional limitation is concerned, it would be legal to compute incomes for 1913 from March 1. Senator Williams' .subcommittee still has under advisement the scores of protests Hied by officials of mu? tual life insurance companies against their inclusion under the provisions of the income tax law and the commit? tee still is considering an ame ndment which would give such mutual con? cerns exemption if they are able to prove, after the tax has been assessed, that they are not conducted for profit and that all of their surplus earnings are participated in by their policy holders. Among the briefs on this subject fded with the subcommittee is one by B. Steiner, a business man of Birmingham, Ala., which includes corresepondence with Representative Underwood, chairman of the house ways and means committee. In a letter to Mr. Underwood Mr. Steiner cited the objections to taxing incomes of mutual life insurance companies, maintaining that this would result in a tax on the policyholders, who would really be taxed twice. Replying to tnis Mr. Underwood wrote: " Von seem to ove rlook the fact en? tirely that these companies are be? ing taxed under the present corpora tlon tax at exactly the same amount as they will be taxed in our income tax; that wo are not levying on them what they do not pay at present. An ordinary corporation is organized for the benefit of its stockholders; a mu? tual life insurance company is or? ganized for the benefit of its policy holders In one instance the indivi? dual holds the stock, in the other in? stances the corporation is operated to earn dividends or net profits for his benefit." In reply Mr. Steiner epitomized the arguments of the insurance; presi? dents and others who are working for an amendment to the sections as follows: ' When you state that the tax pro? posed under the income tax bill is for life insurance companies, sub? stantially a continuation of the pres? ent corporation tax, you are in gen? eral terms correct, but not altogether so. The federal court holds, under the present corporation tax, that so called dividenda in companies operat? ing on the mutual plan are not divi? dends and can be deducted by a com? pany in making its returns. The lan? guage of the present bill clearly di? rects that these aocalled dividends shall not be deducted, and therefore that they shall enter Into the net in? come of a company for purpose's of taxation. "Moreover, by Implication at bast, under this bill, every maturing en? dow nmerit and every cash surrender value amounting in any individual : case of $4,OUU or over would be lax eel; and if such payments, plus thu other income of the recipient, amount to $4,000, it will also be taxed. This phase of the tax would not fall on a company's nel Income, but will be a direc t and heavy burden on indivi? duals to whom the payments are made.' Action by the subcommittee, to be ratified by the llnunce committee, in putting live stork ami grain on the free list, returning on the free list also meats, Hour and oatmeal, it is uxpect |cd. will arouse protests from farmers and farm organizations, bul the com? mittee will hold to this solution of the problem presented in the Underwood bill ol equalising agricultural raw im lerials and then produc Is, The senate llnunce subcommittee, which has been wrestling with the iigrlcultt ai schedule and which de? tided yesterday upon the free listing ol live stock and wheat, is reported tonight to be undecided as yet on its report regarding oats ami buckwheat. Vpparently there still is some dispo it ion to recommend that a duty be retained on both, The subcommittee, originally voted pot a duty <n oats of six cents a bushel dispensary auditor mitch um therefore: reduces roy? alty on beer. Charleston Breweries Bay Less to State So That They can Meet ? om petition of Wholesale Hliiul Tigers in "City by the Sea." Columbia, June 5.?Harvey W. Mitchum, state dispensary auditor, said yesterday that he had ordered the royalty paid by three breweries in Charleston to the dispensary board reduc ed from l"? cents to cents on each "box" of beer because the "wholesale blind tiger dealers in beer" could sell cheaper on account of the extra amount paid by the other breweries. Dispensary Auditor Mitchum said that the Charleston county dispensary board does business regularly with three local beer bottling establish? ments. According to a dispatch from Charleston received by The State the breweries are conducted by James S. Parnum, Henry Doe scher and H. R. Bremer. In addition the board buys Lemps, Pabst, Budweiser beers regu? lativ and other beers on demand, the companies having no resident man? agers. "I reduced the royalty from 4." cents to 2"> cents on the box because the wholesale blind tiger beer deal? ers could afford to sell beer cheaper to the dealer* than the county dis? pensary," said Dispensary Auditor Mitchum, yesterday. According to figures announced by the dispensary auditor the sales by during the past three months have the dispensaries in Charleston county been decreased by about $26,000. He attribute* the decrease to the "blind tieers.' WILL LIMIT IT'S ACTIVITIES. Tariff, Currency. Emergency Ap? propriation and Election Coses only to Be Considered by Congress. Washington, June 2.?House Dem? ocrats In caucus today restricted the legislative programme of the extra session to tariff, currency, emergency appropriation, election <v.ses. Com? mittee assignments as submitted 1} chairman Underwood and his col" league* of the ways and means com? mittee majority, were adopted by the caucus without change. The pro? gramme, as presented by Representa? tive Underwood, was made binding on Democratic members of the house 'standing committees. The resolution by which this was accomplished pro? vided that no standing committees? except the committees on ways and means, appropriations, banking and i currency, elections, printing, account! and rules?shall report bills or reso? lutions to the house or have them placed on the calendar without per? mission expressly granted by the Democratic caucus. The caucus chose Representative Shaekleford of Missouri for chairman of the new committee on good roads and named Representative Dickinson of Missouri to succeed him as member of tho ways and means committee. While the committee list was under consideration Representatives Boeher { of Missouri and Tribble of Georgia complained that Representatives M?her of New York and Hensley of Missouri had been "jumped to make room for Representative Lewi* of I Maryland, as chairman of the com? mittee on labor. Mr. Lewis was rank? ed by the other two members on the committee in the last congress Rep? resentative Tribble said if organized labor was to dictate the selection of a chairman of the house committee on labor he would like to know why bankers should not dictate the chair? manship of the banking and currency committee, farmers the agriculture committee and so on. The caucus gave Representative Lloyd of Missouri a silver being CUD in appreciation of his service as chairman of the Democratic congres? sional committee. Representative Palmer, presenting the cup eulogized Mr. Lloyd's management of various campaigns. WILL order election. Su|M*rvisor Receives Petitions for Vote on Dispensary. Florence, June 15.-The petition:: for an election on doing awas with the dispensary have been handed to tin- count) supervisor. He sayi thai as far as he has knowledge they ale strictly m accordance with the re? quirements of law, and he will order the election to be held 111 AUgUSt, The prohibitionists have an excellent organization, with committees large? ly ni experienced prohibition lighters. The otln r Hide is unorganized as yet, but will probably get in line soon foi a tight to retain the Institution. Ilotb sides geem confident ol bihm ess. Florence has voted wet In the elec? tions held previously, bj a small ma? jority. The sentiment at Lake City is a new eb nient in the county, and both sides seem to count that section with them in the Ughl AMBASSADOR CHINDA PRESENTS NOTE PROM JAP, AN TO SEC? RETARY BRYAN. Statement is >1 in Terms ami In? vites further Discuss tow or < on troverted Potato?Why the Webb Ad Is Discriminatory and Violates Treaty. Washington, June 4.?Japan's re? joinder to the Tinted States reply to her protest against the California anti-alien land law, delivered person? ally by Ambassador Chinda to Secre? tary Bryan late today, sets out why the Tokyo government continues to regard the Webb law as discrimina? tory against Japan in derogation of the equality of treatment prescribed by international law and a violation of the treaty of 1910. Nothing in the nature of an ultima? tum is contained in the note. Its general tone is to invite further dis? cussion of the controverted points, and it contains nothing tending to i.lake up a final issue. Secretary Bry? an and the ambassador agreed that no details should be made public. Ambassador Chinda went to the state department by appointment just before 4 o'clock. Merely acknowledg? ing receipts of the note and promising to consider, Secretary Bryan requested the ambassador to wait while he read the communication and when he had finished there was an informal discus? sion. Secretary Bryan was deeply inter ested in the points made in the Japanese rejoinder, which are be? lieved to have been directed to the end of demonstrating that the action of the California legislature, taken in connection with the recent action of the Arizona legislature and the pro? jected legislation in other Western Staus tended to impair the equality of treatment to which Japanese were entitled under the general principles of international law, more than to the charge that the Webb act constituted a technical violation of the treaty of 191a between Japan and the United States The Japanese ambassador was St the department for an hour and a half. He returned to the embassy tu prepare a reply to his government ? . .? sating the nature of the reception of Its communication by the state de? partment. Secretary Bryan went directly to the White House, where he left the Japanese note for the perusal and consideration of President Wilson. It is expected that when Counsellor Moore returns to Washington tomor? row he will be called into conference by the president and Secretary Bryan to consider the outline of a response. The Japanese note was very long and of its nature entirely argumen? tative. Secretary Bryan and Ambassa? dor Chinda were in accord that no good purpose could be served at this time by a public discussion of the delicate question, and therefore both officials gave notice that any attempt to publish what might purport to be even the substance of the three com? munications which now have passed between the two governments must be based entirely upon speculation. It is known, however, that the whole tone of the rejoinder today is that of a dignified and orderly presentation of Japan's view of the case, concluding With an invitation to further negotia? tions. SPARTANS UNDER BLUE LAWS. - Social Clubs Only Places to Slake Thirst on Sundays. Spartanburg, June 4.?The lid was down tight In Spartanburg Sunday? that is, so far as the sale of soda wa? ter. Ice cream, cigars and cigarettes was concerned. For the drat time in years the ordinance forbidding the sale of anything but medicine on Sunday was enforced to the letter. It was one cd' the beutest days of the 'year, too, but neither money nor tear? ful entreaties were able to procure cold soda with which one might coed his parched and burning throat. It is true one drug store took out a lunch Stand license and sold butter? milk and soda crackers, but this was tin- only place where one could slake his thirst legally and respectably. The social clubs at which lager beer is dispensed are reported to have done the largest day's business in many a month. Tin? club pro? prietors wore pleaaed smiles and said they we re not In the b ast opposed to the enforcement of the "blue laws' The Itaraca classes endorsed the "blue laws." aise?. So it eenms as though evcrybod) ought to have been satislled. People from the OswegO and St Charles sections report a very severe thunder .>te?rm e?ut that way Wednes day afternoon, accompanied by an extremely heavy fail of rain. The rain Wednesday evening was sufficient to cool off the atmosphere fen a while- and lav the dust impio\ Ing weather conditions over Wednes? day.