Temple Daily Telegram (Temple, Tex.), Vol. 11, No. 256, Ed. 1 Friday, August 2, 1918 Page: 1 of 8
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TODAY
EGRAM
MEMBER ASSOCIATED PRESS, CARRYING FULL LEASED WIRE REPORT.
LAST EDITIOl
2:30 A. M.
PRICE FIVE CENTS.
TEMPLE, TEXAS, FRIDAY MORNING, AUGUST 2,1918.
VOL. XI. NO. 256.
HE
ES DRIVE
1
]
BREWERS LOANED FERGUSON $150,000 DECLARES MR. ADOUE
Source of the Mysterious
Loan Believed Discovered
Three Notes of $50,000 Each Given Brewers—Asserted That
Loans Made to Help Governor Out of Financial Difficulty.
Case Against C. T. Priest Set for Next Monday.
(Associated Press Dispatch.)
Austin, Tex., Aug. 1.—Testimony which is believed to have
thrown light on the mystery surrounding the $156,500 loan
to James E. Ferguson, former governor,, and which figured
largely in his impeachment trial last fall, was given in federal
court here today by L. A. Adoue, Galveston brewer, testifying
in the cases of Henning Bruhn, president and Charles Gross-
man, treasurer, respectively of the Lone Star Brewing associa-
tion of San Antonio, under federal indictment for falsifying in-
come tax returns, when he told of three notes for $50,000 each
which Ferguson gave brewing interests of the state. The notes
were made payable to Ferguson, endorsed in blank, were to
bear 5 per cent interest payable on maturity and were not se-
cured, Adoue testified.
Former Governor Ferguson at his impeachment trial and
during his recent campaign for renomination at the democratic
state primary consistently refused to tell the source of the
loan, maintaining it was a personal matter.
The first of the notes will be due soon Adoue said while
others mature at later dates.
The testimony developed that $25,000 of the $150,000 was
loaned by Bruhn and $50,000 by Otto Wahrmund president of
the San Antonio Brewing association. It was not brought out
definitely who furnished the remaining $75,000 other than
that it came from Texas brewing interests.
The government rested-its case after Adoue finished testify-
ing.
Adoue denied that any portion of the loan was to be used to
influence legislation. Ferguson, he said, was financially in-
volved, and the brewery interests decided to help him.
Ferguson, he said, requested that the source of the loan be
kept secret and the brekers agreed "not to tell about it unless
necessary."
After Ferguson was impeached, Adoue testified that Bruhn
"asked me about the $25,000 saying he knew the loan was
worthless and a loss to the brewery. I advised him that as to
charging it off it was between him and the income tax man.
Because it was desired not to make the loan public, Adoue
testified.
"I told Mr. Bruhn to send the revenue men to me if they
Inquired about the $25,000 item." He added that he did not
see the revenue agents.
"Ferguson's platform was to let liquor legislation alone and
that is what the brewers wanted," Adoue testified.
"The loan was a friendly one because Ferguson was in
trouble," the witness said.
Asked whether he thought it proper to charge the $25,000
to the general expense account of the brewing association,
Adoue said:
"1 think that it should have been charged to bad debts."
The case against C. T. Priest, vice president of the San An-
tonio Brewing association, also under indictment for falsifica-
tion of income tax returns today was set for next Monday.
corrox yield lightest for a
m'mber of years—the
soitth's takings.
'Associated Press Dispatch.)
New Orleans, Auk. 1, The commer-
cial crop for the season of 1917-1918
which ended yesterday Is placed at
11,906,973 bales by H. G. Hester, sec-
retary of the New Orleans cotton ex-
change, In a statement issued today.
This total is more than 1,000,000 bales
less than those of the two preceding
seasons. A year ago the crop was
placed at 12,940,931 bales and the
preceding year 12,938,256. War con-
ditions and inability to move the staple
were regarded as the principal reas-
ons for the decrease.
The consumption of cotton, in the
south, Mr. Hester, placed at 4,303.743
bales as compared with 4,357,685 last
year and 4,046,555 the year before.
In this market the consumption total
Is regarded as large in view of the
labor troubles with which mills in
the south have had to contend.
$5,000,000 set aside to pay foh
seed—$8.00 an acre, $300.00
maximo! low.
mis n mn
Partial Return* from Senatorial and
Gubernatorial Elections—Rye
and Roberts In Lend.
(Associated Press Dispatch.)
Nashville, Tenn., Aug. 1.—Incom-
plete returns from twenty-five coun-
ties, principally in middle and west
Tennessee, give Gov. Tom C. Rye 2,500
majority over John K. Shields for the
Cnited States senate. The race Is close
between Judge A. H. Roberts and
Austin Peay for governor. Roberts
has a slight lead.
(Associated Press Dispatch.)
Washington, Aug. 1.—Regulations
under which drouth-stricken farmers
of the northwest and southwest may
obtain loans for seed from the $5.-
000,000 fund set aside for that pur-
pose by President Wilson were an-
nounced today by the treasury and
agrilcutural departments, which will
administer the fund jointly. Only
farmers whose credit and resources
already are exhausted, and who con-
sequently cannot get advances priv-
ately from banks, maj participate.
I>oans will be limited to $3 per
acre with a maximum of $300, and
will be payable at six percent, Octo-
ber 1, 1919, in southern districts, and
November 1919 in northern districts.
Federal land banks will make and
collect the loans after department
of agriculture agents have investiga-
ted and approved the applications.
Applicants must agree to use good
seeds and methods approved by the
department of agriculture.
The money will not be advanced
until the seeding is completed, but
a certificate will be given as the ba-
sis for temporary credit. Each bor-
rower will be required to agree that
if his wheat yield is seven bushels
or more per acre, he will pay 25
percent of his loan into a guaranty
fund to cover possible losses to the
government. Applicants for loans, or
banks wishing to assist, are to apply
to the federal land bank of their
district.
Peace to His Ashes!
(Associated Press Dispatch.)
La Crosse, Wis., Aug 1.—Dr. (leorge
F. Hauser, 45, discoverer of a method
of planting teeth In the human Jaw,
now in use in war hospitals in Eu-
rope, was found dead In bed here to-
day. He had been 111.
HOl'SE COMMITTEE AGREES ON
SCHEDULE COVERING AL-
LEGED NON-ESSENTIALS,
IS
Bill Doubles Taxes on Smokers iwn
('hewers—Muil Order Houses Asked
For Several Million Dollars—Pro-
I>osul to Tax Cotton Rejected—Tax
on Dors Also Was Voted Unpopular.
(Associated Press Dispatch )
Washington, Aug. 1.—Doubling of
the present special taxes on manufac-
turers of tobacco, cigar and ciragettea
and Increased taxation of brokers,
theaters and other amusements, bil-
liard and pool parlors, bowling alleys,
and capitalization of corporation^
were agreed on by the house ways and
means committee today, in framing
the $8,000,000,000 revenue bill. A new
tax of one percent on retail sales of
mall order houses doing more than
$100,000 annual business was adopted
Pullman seats and berths and passen-
1
AGE LIMITS OF PROPOSED HI LI
NOT DISCLOSED BIT ARE
RICHER AND LOWER.
Dt*iftJicd to Continue Heavy Shipment
of Men Even Cp to Ariny of 5,0(H),-
000 if Needed—Proposed to Give
Six Months Training in Home Train-
ing Camps Before Sending Abroad
(Associated Press Dispatch.)
Washington, Aug. 1.—War depart-
ment recommendation for enlarging
the army and for the extension of
draft age limitations in order to pro-
vide new reserves of man power to
back up the forces already at the
Tfont, will ba laid before congress
next week.
Members of the two military com-
mittees have been recalled to Wash-
ington by the chairman in order to
expedite the bill.
In announcing, following a cpnfer-
ence with Chairman Dent, of the
ger rates will be subject to a uniform j hous# committee, that his lncreased
tax of 8 percent. Stamp taxes were
undisturbed.
Mr. Kitchln announces that under
the action of the committee so far
the excise taxes would produce about
$1,000,000,000 which includes beer,
whiskey, automobiles, soft drinks
and similar taxes. This isabout one
half amount allotted to commonly
termed luxuries and non-essentials
'out Mr. Kitchln said the allotted $2,-
000,000,000 under this head would
be levied. Taxation of tobacco man-
ufacturers, but not retail dealers, was
considered by the committee today.
The tobacco schedule as adopted
provides that sixty days after the pas-
sage of the new law and thereafter
on July 1, of each year a special tax
computed on the basis of sales of the
preceding fiscal year would be.jnade
as follows:
Tobacco manufacturers with an-
nual sales not exceeding 50,000
pounds $6 a year, 60,000 to 100,000
pounds, $12; 100,000 to 200,000
pounds $24; all in excess of 200,000
pounds 16 cents per thousand pounds.
Cignr manufacturers with annual
sales not exceeding 50,000 cigars, $4,
not exceeding 100,000 cigars, $6; not
exceeding 200,000 cigars $12. not ex-
ceeding 400,000, $24; all above 400,-
000, ten cents per thousand cigars;
cigarette manufacturers including
small cigars weighing not more than
three pounds per thousand, three
cents per thousand for every 10,000.
> The special tax on mail order
| houses was unofficially estimated as
capable of yielding several million
dollars of revenue, and was adopted
with practically no opposition.
A proposal to tax cotton was re-
jected almost unanimously. Repre-
tative Moore, Pennsylvania, proposed
a tax of $3 per bale, which he con-
tended would produce $33,000,000 a
year revenue, but its opponents im-
mediately suggested tax on grain and
anthracite coal and similar articles
produced in the north. Only represen-
tatives Moore and Falrchlld, New York
DAVIDSON AHEAD OF JOHNSON,
OTHER RACES SHOW CANDI-
DATES STANDINGS.
(Associated Press Dispatch.)
Returns for governor from
Hobby 397,729;
3785
Fer-
preclncts give:
guson, 194,059.
For lieut governor from 3.049 pre-
cincts give: Moore, 77,283, Cowell 60,-
212; Bailey, 41,209; Henderson, 57,-
935; Davidson, 92,689; Johnson, 61,-
690.
For attorney general, from 2,961
precincts give: Cureton, 151,601,
Spoonts, 101,245; Woods, 146,358
For court of criminal appeals from
2.066 precincts out of 4.399 In Texas,
give: I'ippen, 45,487; I'lerson, 52.-
275; Martin, 23,720; Lattimore 114,-
245. Ward 35,279.
For railroad commissioner from
2.059 precincts give: Andrews 66,668;
Gilmore, 132,134; Hurdleston, 65,674.
For comptroller from 1,996 precincts
give: Goodlet, 61,304; Terrell 112,-
547; Mayfield 82.885.
army project was virtually ready,
Secretary Raker would not say what
age limits had been settled upon, nor
Indicate in any way the size of the
army which he is planning.
"I do not want to say what the
ages will be," he said, "because the
concurrent action of the two houses
is necessary to secure assent to them.
I had a conference with Mr. Dent
this morning ,and went over with
him the full plan, Involving the sug-
gested ages. I am to have a confer-
ence with Senator Chamberlain as
soon as he gets back.
"Any suggestion to extend the draft
ages is to produce in class 1 an ad-
equate number of men for the en-
larged military program. It the
ages are revised, they will have to
be either below 21 or above 31, or
both. I think It will be both."
Chairman Pent was even more
reticent but said he was willing to
go either up or down in extending
age limits of the draft to win the
war.
"My personal preference is to go
up first," he added.
The only specific Information re-
garding the new age limit to be
drawn from Mr. Baker was a state-
ment that the limits of 19 to 40
had been among the suggestions can-
vassed but rejected. In many quar-
ters it Is believed extension to the
ages of 19 to 36 will be recommen-
ded.
There are several features of the
draft age discussion that stand out
clearly. In presenting the original
selective service bill, Secretary Ra-
ker and his advisers fixed 19 as the
proper minimum, and Mr. Baker has
said repeatedly since then that ho
has seen no reason to change his
opinion in that regard. Congress
ruled against taking men below vot-
ing age, 21, however, and sought to
make up the deficit by Increasing
the war department's suggested
minimum from 21 to 31, where It
now stands.
The reluctance of many members of
congress to go lower than the 21 limit
Is still apparent, although there Is
evidence of a strong sentiment toward
carrying the maximum up as high as
45. There is no doubt, however, that
the war department officials would
prefer to draw on the classes of 19
and 20 year old youths to fill the
ranks and see no decided military
plan to be changed from considerable
extension upwards.
Secretary Raker has heretofore an-
nounced that his policy in recom-
mendihg any change in draft ages
would be to seek a sufficient number
of men to meet the army's needs In
such ages as would least disturb the
economic situation at home. The bulk
of the new forces, In his view, should
be drawn from the youngest class of
men physically able to stand the strain
of modern warfare.
From the purel' army standpoint.
(Continued on I'uge Two.)
AT NIGHTFALL BATTLE
INDICATED A ROl'T.
(Associated Press Dispatch.)
With the French Army tn
France, Aug. 1.—With the fall of
darkness tonight, fighting contin-
ued between the allies and the
Germans on the western side of the
Soissons-Rheims salient. Allied
observers reported that bodies of
Germans were fleeing precipitate-
ly northward along the road lead-
ing from Launoy which lies about
midway betweer. Solssons and
/"ere-En-Tardenois.
I'art Played by Americans in Advance Not Known but The,
Were in the Center of Attacking Forces—Germans Are
Again in Precarious Position for Itctreat.
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empijoyes to get better pay
where the links are
prosperous.
t THE WEATHER. :
♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦«♦♦♦♦♦♦♦♦£
Forecast.
East Texas, Friday and Saturday
generally fair, not much Change in
temperature
West Texas, Friday and Saturday,
generally fair
f Associated Press Dispntch )
Washington, Aug. 1.—Wage In-
creases ranging from 35 to 65 per
cent were gTanted to employes of
twenty street and lnterurban com-
panies operating in Bixteen cities tn
an award announced today by the
war labor board. Wages of motormen
and conductors in the larger cities
were fixed at from 48 to 50J cents
an hour while those of similar em-
ployes in smaller cities and on inter-
urban lines at from 38 to 45 cents
with a general minimum wage of 42
cents for trackmen, pitmen, controll-
ers, oilers and similar employes. Ap-
proximately 50,000 were affected by
the awards.
Recommendations that the presi-
dent urge enactment of special legis-
lation which would enable some fed-
eral agency to "consider tho very
perilous financial condition" of the
street railways of tho country with a
view to increasing fares wherever
warranted, were made by the board
which declared this to be a war neces-
sity.
Past wrongs of street car companies
due to over capitalization, corrupt
methols of exorbitant dividends should
be forgotten, the board declared, and
".n justice to public should pay an
adequate compensation for a service
which cannot be rendered except for
war prices "
The awards and recommendations
were made by Former President Taft
and Frank P, Walsh, joint chairmen
of the board, Controversies between
ten and sixteen other street railway
and interurban companies still before
the board. In practically all Instances
the awards were made retroactive and
In all Issues where employes are com-
pelled to work in excess of the period
of their regular runs the companies
must pay over time on the basis of
time and a half, which places the
employes on the same basis with
skilled mechanics In government In-
dustries.
In awarding increases to employes
in Detroit and Chicago the board
specifically recommended an advance
In fares.
While not going deeply Into the
question of labor union the board, In
cases where the right of employes to
organize has been an Issue, ordered
that workers be protected In the ex-
ercise of their right to Join trade
unions without fear of molestation by
the employes.
Cases still being considered affect
companies In Kansas City, Mo.; Mem-
phis, Tenn.; and a number of other
cities.
(Associated Press Dispatch.)
After a short period of relative calm on the Soissons-Rheiro.c
salient, the central and western sections of the battle front
again have been the scenes of mighty struggles.
On both sectors the allied forces have achieved notable
gains of ground which, observed on the war maps, seemingly
place the German armies in front of them in precarious posi-
tions.
In battlos extending frorii the region immediately south of
Soissons to the northwest of Kere-Een-Tardenois and southeast
of the last named town over the upper portion of the left
branch of the "V" salient running ten miles eastward from
Nestles to Ville-En-Tardenois and witli St. Gemme as its south-
ern base, American, British and French troops have pushed
back the armies of the German Crown prince.
Northwest of Fere, the entire elbow of the line where it
turned eastward along the northern bank of the Ourcq has been
blotted out, making the line a straight one from Fere to Har-
tennes and giving the allies much better ground to work in
outflanking Soissons to the southeast and pressing on toward
Fismes in conjunction witli the troops, particularly the Amer-
icans, now holding strategic points north and northeast of
Fere.
In this fighting the allied troops drove out the Germans who
had been tenaciously holding positions between Plessier Huleu
and the river and took the high ground north of Grand Hozoy,
pressed on past the village of Beugneux and arrived before the
villages of Cramoiselie and Cramaille.
ADVANCED TWO MILKS.
The general advance was about two miles and 600 Germans
were made prisoners.
The most important gain, however, was on tho upper west-
ern point of the "V," southeast of Fere. Here the village of
Cierges and the Meuniere wood were taken, a maneuver which
places the Germans at the botton of the "V" at St. Gemme in
a seemingly precarious plight for from the wood and the vil-
lage the allied guns will be able to rake the Germans if they
should endeavor to make their way northward, their only
avenue of escape, by an enfilading fire. Through the capture
of the Meuinere wood the width of the "V" from the fringes
of the forest to Rontigny on the east, has been cut down re-
latively to four miles.
As has been the case during the last week, the Germans
contested stubbornly the advance of the allied troops, but to
no avail. Since the battle of the Marne began July 15 the
allied troops have taken more than 34,000 German prisoners.
Just what part the Americans played in Thursday's hattie
has not yet been unfolded, but they doubtless were in the cen-
ter of the battle front and in the thick of the fray. Between
Seringes and Cierges, respectively northeast and southeast of
Fere, they are known to have made goodly gains over a foui
mile front and to have pushed further beyond Sergy ami
reached within a mile and a half of the village of Chamery
On the British front in France and Flanders the bad weather
lias ceased and the sun is fast drying the muddy ground. The
Germans are bombarding heavily various positions held by
I1 leld Marshal Haig's men, who in turn are answering the fire
of the enemy guns and keeping up with much success their an-
noying raids into the Germans.
According to the claims of Vienna, the Austrian troops in
Albania have compelled the Italians to give up a considerable
portion of the ground they won in recent fighting. It is as-
serted by the Austrian war office that the Italians are beliie
pursued by the Austrians.
NO ANNEXATION A FARCE
(.(•rurally Taking Over Itlg Slices of
Russian Territory—A Price of
Peace Treaty.
(Assotlated Press Dlspntch.)
Amsterdam, Aug. 1, The Russian
government has agreed that Livonia,
and Esthonia shall be separated from
Russia as a result of negotiations be-
tween Germany a.id the soviet gov-
ernment says the Berlin correspondent
of the Strasburg Post.
C'ouriand will also be separated
from the administrative territory of
the Oerman commander in chief in
the east and will be united with Li-
vonia and Esthonia
THAT M MBER CAITl HER .11 LY
15 to 31—SIX Ht'NDHI.'R WERE
ADDED VENTERI) \ V.
Paris, Aug. 1.—In an advance of
about two miles on the Alsne-Marne
front today, the allied troops reached
Cramoiselie and Cromalile, on the
southwestern part of the salient, cap-
turing six hundred prisoners, accord-
ing to the war office announcement
tonight.
Cierges and Meuniere wood have
also been occupied and the village of
Ronlgny north of the Dormans-
Rheims road was taken.
From July 15, to July 81, the pris-
oners captured by the allies numbered
33,400.
The text of the statement reads:
"North of the Ourcq our troops In
conjunction with British units drove
the enemy from positions to which we
had been energetically clinging in the
region of I'legsier Huleu and the riv-
er. We captured tho height north of
Grand Rozoy, passed beyond the vil-
lage of Beugneux, and reached Cra-
moiselie and Cramaitte, realizing at
this point an advance of about three
kilometers.
Six hundred prisoners remained In
our hands.
"Further south we occupied Cierges
and Muenlere wood.
"North of the Dormans-Rheims
road, we conquered after a stubborn
(Continued on !*•(• Two.)
i
GIRMWS IIGHTING TO THE
DEATH AXD AMERICANS AC-
CEPT THE CHALLENGE.
(Associated I'resn Dispatch.)
With the American Army on the
Aisne-Marne Front. Aug. 1. (8 p.m.)
—The American troops pushed for-
ward their lines at certain points
Thursday on the center of the Sois-
sons-It helms salient, notwithstanding
the resistance of the Germans whe
did not give ground on some sectors
until they actually had been shot
from their positions.
The Germans are desperately cling-
ing to their strongholds at Nesles and
in the Bois Meuntere, northwest of
Roncheres, but the Americans have
gained a hold on the northern edge
of the Meuniere wood. The Nesles
forest is under the range of the
American heavy guns.
Discharging Telegrapltcrs,
(Associated Press Dispatch.)
Atlanta, Ga., Aug. 1.—A telegram
advising that the Western union is
continuing to discharge operators
who make known their union affilia-
tions and declaring that "quick action
is necessary to avoid a serious situa-
tion," was sent to David J. Lewis, in
charge of tho Commercial Tele*
graphers union of America.
Threats of a strike were heard to-
day and a meeting of the local union
was called for late today.
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Williams, E. K. Temple Daily Telegram (Temple, Tex.), Vol. 11, No. 256, Ed. 1 Friday, August 2, 1918, newspaper, August 2, 1918; Temple, Texas. (https://texashistory.unt.edu/ark:/67531/metapth469927/m1/1/: accessed April 24, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting Abilene Library Consortium.