-4 r r
X A t
, 4 M )J V(
t -V
- t, . ii. a t..tu.j tUii
A CAROLINA HOKE NEWSPAPER, CONSTRUCTIVE, CLEAN, RELIABLE "WHEN YOU SEE IT IN THE OBSERVER irS.SO."
FOUND Ep 1869
CHARLOTTE. N.. C, SATURDAY MORNING, DECEMBER 7, 1918.
PRICE FIVE C2:,'7.
rani
TO GET CONTROL
IF NEWSPAPERS
.t,-.y . i-. e ' V'''" .
; Had Cbance to"Buy Washington
J J' fost tor $2,000,000? ,
ACTIVITIES ARE REVEALED
Bielaskl Lays Confidential- Rec
ords of Department of Justict's
, Before Committee.
' Washington, Deo. .Confidential
I records ot the department of Justice
dealing with the activities of German
agents and others la the United State
were placed todaybefore the senate
committee investigating brewers and
. German propaganda, by A: Bruce
V-Blelaskl, chief of .the department's
bureau of Investigation. '
They dealt with correspondence of
t Count von Bernstorff, former German
amnassaaor, - ana outers ooncemini
" the : possible purchase of The'Washr
Jngton Post and other newspapers;
.he-sending of William Bayard Hale
t mT" 'St mmmtm n n u As M ASMS RAH A mm Af t Kil
' iu y TTTTIII Tilt J TTTT VVI t efvuuM hv
Hearst-newspapers. described ,by Votf
(Bernstorff as having "outspokenly
i piaoea tnemieives on .. mo uwmu
"ideVind with suggestions of to
.' mentmg trouble between the United
Ajjlng munitions shipments to the al-
1j -ir-..t. .
Mr. Blejaski told the committer
that under d&ti ot October 17, 11X4,
lnak TH..n .am rltia tnaa.
If VVUIIb TVU US1IWW1U vuv Miw
K,- sage from Washington to Dr. Bernard
i min tnnti in Mw Tork;
. Washington Post Offered? ,
The Washington Post ' was offered
me today to buy foe $3,000,000 with
i the understanding to buy it back
T again after the war for a million and
t a half. A second offer was to put the
I paper entirely at our disposal"? or two
months for $100,000. The paper is
of Importance as the only large news
paper of the capital How do you
stand on the question of the money?
I have not yet inquired at Berlin."
. There was nothing to show that
- any reply was made, but Mr. Bielaskl
, said that under date ot October 27,
1)16, the German ambassador sent
this message to the Berlin foreign
office In cipher:
"In - the official accounts for the
first and second quarters of 1911 will
be found entries of payments to Mr.
Theodora Iowa. As to this T ham tn
renbrt that this entln4n la f flap.
"tnau origin and is married to a Ger-
man lady. He offered us his serf
; vices to work on a paper in Washing
ton, The National Courier. This of
fer came at the time we were deeply
regretting the death of John R. Mc
Lean. . This gentleman had given his
newspaper an entire anti-English
character, so that his death left a
great gap which The National Cou
rier can unfortunately never hope to
AIL The Washington Post has since
then been fairly neutral, but may be
entirely lost to us if It cannot, as it
very much desired, be put into the
hands of Mr. Hearst" V
To Berlin Foreign Office.
Under date of August t, 1916, Mr.
Bielaskl said, this communication was
sent to the Berlin foreign office and
- was signed by Dr. H. K. Feuhr, a
former German consular agent tn the
orient who came to the United States
early In 1914:
"The Washington Post, whose neu
tral attitude, towards the belligerents
during the present war has won for
It warm recognition from the German
side, has of late materially changed
its tone la questions of European poli
tics and seems fairly on the way to
Join our enemies.
- "From rellAbla mnrxu T v.
' ' - .CUU lUAi
this change of front is due to the
Russian ambassador In Washington.
After the death of its former owner,
John R. McLean, The Washington
Post, together with The . Cincinnati
Enquirer, came in' the hands of the
son of the first mentioned, on whom
his aunt. Madam Bakhmeteff, is said
to have great influence.
"Mr.McLean, Jr., Inaugurated his
ownership by naming as "editorial director-one
Bill Spurgeon. who is said
to be a British subject, and a nephew
of Robert Porter, one of the chief
leaders of the Northcliffe ring." ,
New York Paper Also.
Another communication produced
by Mr. Bielaskl, and alleged to have
been : written by Samuel Untermyer,
?l,New. Tork t0 A,bert In February
191$. dealt with the purchase of a
New Tork paper for $2,000,000. The
name of this paper was not mentioned
in the communication, but Mr. Biel
askl sal dthere were Indications that
it was The New York Sun. The let
t ter said:
"I have received word that our op
portunity has ow arrived to acquire
JPSfP evening paper about
which we hava hanaii,in. ....I
..Ji S5Ahad at Prlce "ghtly under
$2,000,000 for four-sixths of the canl-
tal stock, which Includes valuaBle real
i estate on Park row, but that action
j must be taken immediately?
i ; , Under proper conditions ' my
friends would be willing to take a
, one-fourth interest, provided some ar-
rangement could be made giving them
. the option to acquire the majority at
, some future day. say after the lip"
i. of one or twn v t. - "ir
of the war, whlchould" afford eve"
i t" oe possibly
i want Art. I nntaA . i. . J
I "a " "either, losing noiVakfi
''mlJPJt? sUd Ir from you
, tlon to take up this -subject seriously
1! and promptly with me and bring it to
' a conclusion, if. as I believe, the terms
.are advantageous. V "f ,
X llc?f8.t Wn on-Hnn Payroll. : '
.Mr. Bielaskl also produced a copy
V?' '.?,8'" 'anff to Dr. Hale go
ing to Germany for the Hears news
papers, which; he said, was sent by
1 rSlrnr ' Britain, June, 19163:
, i"'B" -aires ana Stockholm,
nium nuu, wan on' me
iConnned on page t.y
EXCLUSIVE RIGHT OF WAY TO BE
GIVEN REVENUE BILL IN SENATE
-i . - .- . ; - - . j - . - - '
Debate to Begin Next Tuesday Promises to Be Lively and
1 ' LengthV Bill Reported to Senate by Simmons; Committee
Majority and Minority Reports to Be Filed Later Every Ef
fort to Be Made to Expedite Passage of Measure.
' Washington, Dec 6. In reporting the war. revenue bill to the senate
today Chairman Simmons, of the finance committee, arranged for beginning
of debate next Tuesday, with exclusive right of way given the measure.
Filing of committee reports on the bill was deferred until next week.
Senator Simmons will present the majority report and Senator Penrose,' of
Pennsylvania, will nie a minority report, attacking especially the plan ot
fixing 1920 rates. Senators Smoot, of Utah, and LaFollette, of Wisconsin,
republicans,' gave notice that they would file separate reports to present
their Individual views.
Senator Simmons served hotice today, that every effort to expedite the
bill's passage would be made and Senator Penrose replied that, while no
filibuster would be attempted, there would be thorough discussion. As re
vised by the senate committee to meet peace time conditions, .the measure
Is designed to raise $S,958,4S,000 as against $8,100,000,000, Which would
have been yielded by the house draft passed September 20.
Following are estimates of senate committee , experts of comparative
yields from the revised pill and the
Incomes ............
War excess profits
Transportations and insurance
Beverages .
Admissions and dues
Tobacco
Excise taxes , .
Special taxes
Stamp taxes
Total estimated revenue
ENTIONED
: e ,
His Connection With Germany
Aired by Bielaskl,
Shows N. C. Man - Was Paid
Thousands for Getting Evi
dence Against Creat Britain.
' ' , ,.
BY n. E. C. BRYANT.
Washington,,, Dec. 6. A Bruce
Bielaskl, head of the" intelligence
service of the department of Justice,
testifying before the Overman com
mittee today told of. Gaston B.
Means' activities for the German
government before we entered the
war. . - -
He said that Gaston B. Means,
commonly known as "Bud" Means,
was paid $3,000 for thlurp
getting evidence to show that the
British government was shipping
supplies to Its warships at sea from
New York. Means, it was stated, in
co-operation with other German
agents, posed as a wealthy Canadian
to see what he could -do for the
cause ot Great Britain and the war,
and had a number of tug boat cap
tains brought to him for the pur
posee of getting them to take sup
plies to the ships! He then, accord
ing to Mr Bielaskl. made it known
he was a British agent, and that the
best possible proof of their taking
the supplies would be statements
that they had done so. "He foulid
one tug boat captain willing to say
so," according to Mr. Bielaskl, "but
others shied oft. The idea was that
statements would be presented to the
state department and lead to action
against Britain." '
Mr. Bielaskl said the department
of Justice would not prove that
Means, in doing this work, knew its
purpose the checks were to go to
Means through the Burns Detective
agency, but Mr. Bielaskl said he
could only account for $2,200.
is. liepiymg lu oeimiur vYciurau, mi .
Bielaskl said there was no evidence
that Means , was connected with
agency after the country went to
war.
A scheme that did - not work out
was intended to rouse German .sen
timent in the south over the cotton
situation, through a number ot south
ern newspapers. "They never got to
the point of approach to any of these
newspapers," it was stated, "they
wanted to show that England was
interfering with southern cotton." Mr.
i Bielaskl did not name any papers in
this connection.
NOMINATION OF GLASS
WITHOUT OBJECTION IS
CONFIRMED BY SENATE
" ' 0 - ' - -
Will Immediately Resign From
Congress, After ' 16 Years
Service, to Begin New Duties
December 16.
Washington, Dec. 6.- The nomina
tion of Representative Carter Glass,
of Virginia, to be secretary of the
treasury to succeed. Willi!. G. Mc
Adoo was confirmed tonignt by the
senate, without objection.
Mr. Glass immediately will resign
from Congress, ; in which he has
served , 16 years, and will .take up
his new duties on December 16. Mr.
McAdoo will continue as director gen
eral of railroads until his successor
for that position shall have been ap
pointed. '; V.-' " :
Representative Glass said today that
he had every reason to believe that
the future policies of the treasury
would not Tae different from those now
being pdrsued except as varying cir
cumstances may suggest
There is no further statement that
I could make at this time which would
either interest or enlighten the! pub
lic," said Mr. Glass. "I would read
ily wish that I may succeed even ap
proximately as well in. administering
the affairs of the treasury as has the
distinguished marl whose retirement
so distresses ' the country. It Is my
judgment rthat nis retirement is a
national, misfortune." -
ONOER IMMUNE FROM '
LAW ARE HOH ENZOLLERNS
i Berlin, Dec. 6. The Prussian gov
ernment has formerly withdrawn the
privilege heretofore held by the mem
bers ot the Hohenzollern family of
Immunity from law.
GASTQN MEANS
U
: I
original house aralt:
senate dul.
: . . $2,207,000,000
House bill.
$2.37,186,000
2,400,000,000
8,200,000,000
75,000,000
110,000,000
229,000,000
460,000,000
64,000,000
240,600,000
123,000,000
JJ.866,000
'1,000,000
192,660,000
1,137,600,000
109,000,000
. 241,204,000
616,306,000
166,000,000
82,000.000
$8,182,492,006
. .$5,963,466,000
THE SOIL TILLER
Houston Shows . How Farmers
X- Helped Win the War.
Bumper Crops Crown This Year
and Last Despite Reverse
Weather Conditions.
Washington, Dec. 6. Tribute to
the part played by the nation's soil
tillers in winning the war is paid by
Secretary Houston In his annual re
port for 1918, transmitted to Congress
today by the White House. Bumper
crops were grown both this year and
last in spite ot adverse weather, the
mt. v f i
secretary says, and the millions of
men and, women and boy a4.iriQB. 1
the farm with the organized agencies
assisting them, performed satisfactory
iiy the sumpremely important task or ;
sustaining their own country and
those associated with it in the war.
Emphasizing the difficulties and the
absence of dramatic glamor in the war
Job of the farmer, Mr. Houston speaks
with satisfaction of the change dur
ing the past year toward giving ag
riculture a larger place in the news
papers and magazines and. the world's
thought and bringing the great urban
populations into closer touch with
rural life.
"It Is one thing to ask a man to
save," says the secretary, contrasting
me tasa oi me one wno conserves
and the one who produces, "It Is an- during the war. These pivotal Indus
other to ask him, confronted as he tries produce articles upon which
Is by the chances of the market and otHer industries depend and which
the risk of loss from disease, flood and were formerly obtained from foreign
arouin, to put nis moor ana capital ,
into, the production of food and feeds, ,
and the raw material for clothing." j
Pointing out that the size of the
harvest may not measure the labors
of the farmer, Mr. Houaton records
that the acreage planted this year in
" ,s . i mercnaru marine De continued and
000,000 acres, or more by 5,600,000 ; amplified; that revenue legislation to
acres than in the preceding record be passed by Congress conform to the
, . A views exprea-wd by organisations of
Of .next year s prospects, the report commerce and Industry, that tax laws
"72: . , . . m shall provide that during present con
"It is too early to make detailed anions the taxpayer shall be allowed
suggestions for the spring planting to make a deduction from his annar.
season of 19 19. During tnis rail tne.ent profit by way of a reserve for a
department, me anncuuurpi uuuegea,
and other agencies carried on a cam
palgn for a large wheat acreage, and
indications were given by states as
to where the requisite planting could
be secured without calling ior an ex
tension of the area or even a normal
acreage in the states which had suf
ferred from drouth for two years- It
was suggested tirat if possible, at
least 45,000 acres of wheat should be
planted. The Informal
Indications
coming to the department are that
the farmers exceeded the plantings
suggested by the department
"We do not know how either the
wheat or the rye will come through
the winter, and are not now able to
state what the requirements should be
for the next season, Ti or can anyone
now ten wnat tne worm demand wu
be at the close of the harvest season
of 1919. - .
"We do know that for the ensuing
months the nation is likely to be
called upon for large quantities of
available food and feeds to supply not
only 'the peoples with whom we co
operated in the war ,but alRo those
of the neutrals and the central pow
ers. This will involve a continuation
of conservation on the part of ouf
people and probably of the mainte
nance ot a satisfactory range of prices
for food products during the period."
Increased values for all farm prod
ucts are shown. "On .the basis of
prices that have recently prevailed,"
says the report, "'the value ot all crops
produced In 1918 and of live stock on
farms on January 1, including horses,
mules, cattle, sheep, swine, r 1 1 poul
try, Is estimated to be $24, 700,. .00,000,
comnared with $21,325,000,000 - for
K1917. $15,800,000,000 for 1916, $12.-
660,000,000 for 1914, and $11,700,000,
(100 for the five-year average, The
Increased values reveal that the mon
etary returns to the farmers have in
creased proportionately with those of
other groups of producers in the na
tion and that their purchasing power
has kept pace in the 'rising scale of
prices." . "
FIFTEEN MILLION GROSS
TONNAGE LOST IN WAR
London, Dec. 6. The world's total
losses of -merchant tonnage from the
beginning of the war to the end of
October, 1918. by enemy action and
marine risk was 15,053.786 gross tons,
according to official announcement Is
sued tonight
1SIIIE5S SEiS
. - 1 v -
Reconstruction Congress Adopts
Many Resolutions.
FINAL SESSION IS HELD
! Urges Speedy Return of Rail
roads to Private Ownership;
Opposes Burleson's Plans.
Atlantio City, N. J., Dec. 6. Ap
pointment of a European commission
representative of American business
to go to France and be available for
any aid to the peace delegates from
me united States in considering eco
nomic problems that might enter into
the peace negotiations was decided )
upon today at the final session of the
reconstruction congress of the indus
trial war service committees.
Other reselutlons adopted urged
the speedy return under federal char
ter to their owners of all railroads
opposed government ownership and
operation of telegraphs, telephones
and cables, appealed for modifications
of the Sherman anti-trust law and en
dorsed the Industrial creed respect
ln In hor enunciated by John D.
Rockefeller, Jr., yesterday.
Cheers greeted the adoption of the
resolution providing for the European
commission. The Chamber of Com
merce" of the United States, through
its president, Harry A. Wheeler, of
Chicago, recently inquired of Presi
dent Wilson whether such a commis
sion would be helpful, but according
to Mr. Wheeler, the President made
no repiy. .
Study Needs In Europe.
The proposed commission while
abroad will also etudy the recon
struction neesd of Europe. The size
of the body has not been decided
upon but. will probably number 15
to 25. It is planned to pick at least
one representative from each of the
Important Industrial groups.
Only one voice, that of a delegate
from Lynn, Mass., was raised against
the passage of the resolution for thr
prompt return of the railroads to
their owners, and he only asked de
lay until more light could be had on
the situation. The resolution favor
ing modification in the anti-trust laws
declared that the war has demon
strated that through industrial co
operation great economies may . be
5?ievea; wa"
nciSPcy increased
acnieved, waste eliminated and et-
,; The congress "decided that ft is In
tfMyptyfr"tiecwt- -that- air war . ar
ders placed by "' the government
whether regularly executed or not
should upon cancellation be promptly
una equuaoiy adjusted and satisfied
I as If every formality had been -served.
To Stabilize Business.
What is regarded as ei important
step In the work of stabilizing busi
ness through the readjustment period
was the creation of a war service ex
ecutive committee which will keep
the business and Industrial Interests
of the country in close touch with the
government
The congress urged the government
to encourage ana preserve "pivotal In
dustrles" that havn hn Hvain.4
countries, notably Germany. Other
resolutions odapted by the congress
included these:
Recommending the development of
public works of every sort so that em.
ployment may be created for unskilled
labor; that the construction of a great
subsequent ShrinkSge in
the value
of merchandise: the
strenatheninc
of commercial
relations with South
America.
WEATHER IN NOVEMBER
FAVORABLE TO COTTON
Washington, Dec 6. With few ex-
ceptions the weather during November
was favorable for Increase in the late
and top crop of cotton, according to
the national weathor and crop bul
letin issued today.
- "Much late cotton matured under
the Influence of mild weather and the
absence of serioua'trost. damage, es
pecwuy -in westerq cotton area.
"i"w
"In South Carolina It Is renorted
that one-third of the crop remains to
be picked, while in North Carolina
only about 10 per cent is yet In the
field, The crop was mostly gathered
in other sections."'
J0-J0 SAYS
Fair today and Sunday,"
v .c change
in temperature.
'. Not all big headed men are broad-minded.
ALLIED ARMIES COMPLETE FIRST
STAGE OF MARCH INTO GERMANY
Progress So Far Marked by Orderliness on One Side and De
1 cent Respectfulness on the Other Aix LeChapelle, First
Really Large Town Occupied, Shows Evidences of Prpsper
. Ity Nothing Found Indicating Approach to Starvation.
BY PERRY ROBINSON
Special Wireless to The Observer From
The London Times. ,1.
(Coprrtrttt, till, by PoeUo Ld(r CO
With .the British Army, Deo. 6
The allied armies of occupation have
completed the first stages - of their
march Into Germany without unto
ward Incident, its progress having ao
far being marked by orderliness on
the one side and decent respectful
ness on the other. The country
through which It passed was beautiful
In spite of the war and had every
appearance of prosperity. It la, how
ever, easy to find evidence of gxlevous
food shortage in sections near the
Dutch frontier, which we have so far
penetrated.
large German I town occupied by the
allies. I had there Wednesday cer -
talnly the best andmost lavish meal
ikT.Mtan for a Ion time. It
Aix Lacnapeue is ine nrsi reu
,TmViirtbbro be,
got in Brussels, Liege or Namur ana
m .
infinitely more generoue man umui,
Bruges or Ostend could produce. I
do not know where on this side of
London or Paris one cquld do better.
Nor is there in the shops any appear
ance of shortage. People complain
but do not show outward signs or
under-nourlshment Prices are about
the same for eatables and lower for
wine than in occupied parts of Bel
gium. Neither in the villages nor in
the first large city I have seen do the
German pepole appear anywhere near
starvation.
Aix is In the Belgian area of occu
pation. I stood on the steps of the
Rathhaus while Belgian troops march
ed through the square. The band waa
playing. I found it a curious experi
ence after the last weeks, when any
gathering of troops anywhere has been
enough to collect a cheering crowd, to
Erzberger to Participate
in
Peace Negotiations.
Sr&alfioW
as Very Crave; Trial of Hohen
zollern Chancellors Demanded.
Special Wireless to The Observer
From The London Times.
(Copyright, 111, by Public Lodger Co.)
Stockholm, Dec. 6. The Berlin
soviet in conjunction with the Ba
varian executive council have decided
that Dr. 8olf must retire and Herr
Ereberger must be allowed to partici
pate in the peace negotiations. Ber
lin correspondence to the Swedish
press describes the situation as very
grave.
Dr. Liebknecht and his Spartaeus
group is continuing to demand the
trial of the Hohenzollern chancellors
of the former regime by a revolution
ary tribunal In Berlin. This party is
determined to prevent the assembling
of the constituent assembly. The
rabble at their command are prepared
for any iolence and have easy access
to arms and ammunitions.
The Vossische Zeltung expresses
anxiety. Vorvmerts dreads a counter
revolution and shows that counter
revolution manifestations are occur
ing all over the country, instigated
usually by officers of the army, the
generals ordering the tearing down of
red flags and discarding of red cock
ades. Large sums apparently are be
ing spent in Berlin by the soviet In
support of their cause, one paper de
claring the executive council already
has expended eight hundred million
marks (nominally $192,000,000.)
GERMANY BEGINNING TO
SURRENDER HER LOOT
Special Cable to The Observer From
TIM London Times.
(Copyright, . by Publto Vtttw Co.)
London, Dec. 6. This afternoon'
newspapers in London make a special
feature of the Impending demand tor
the extradition of the ex-kalser ap
parently arising out of an Interview
with Premier Clemencoau tn Paris. It
is declared President Wilson Is being
kept informed and consulted.
Also is featured the fact that Ger
many Is beginning to surrender her
loot having already handed over to
the allies tor safe keeping three hun
dred million pounds In gold exacted
fmm Ruwila. Rioting is reported In
Cologne. and everaUother German
DECIDE DR. SOLFTAXES HEAVY ON
MUST STEP DOWN LARGE INCOMES
towns in weiipnaua.-in lng,, tneae BeliUreSi 746, or ex-
troopsare now less than , 30 mues,actl one-thlrd, occurred within the
from toiogne. y - .. .'-'
MANY
TRANSLATORS TO
BE AT PEACE TABLE
Paris, Doc. 6. -Tranlators in 23
languages. Including Chinese, Arablo,
Turkish and some not even so well
known, have been called for by Brig
adier General William W. Harts, who
Is directing the equipment of the
American peace delegates. The num
ber required" in indicative of the : di
versity of the races and countries hav
ing Interests before the peace con
gress, either through participation in
the war, or by reason of treaties ' or
other relations. ' ' . . - ... j,
WRECK IN FRANCE FATAL ' ;
JO MORE THAN A DOZEN
Orleans.' France, Deo. (Havas)
An express train from Orleans last
night crashed Into and telescoped an
other train loaded with American ma
terial near Meung-Sur-Lolre, 11 miles
southwest of this city. 'c Twelve bodies
have, been removed from the wreck
and Identified. Other dead still re
main in the debris. Twenty-five per
sona were Injured, Four ot the rail
road cars were smashed to bits.
see this column here filing through
the streets, devoid of bunting, with
only casual sullen interest shown by
the passersby. Already the streets of
Aix are placarded with notices over
the signature of the Belgian com
mandant phrased as nearly as possible
along the lines of similar German
procalamatlona In occupied districts.
People are warned against offering
violence or disrespect to allied troops.
All men must take off their hats to
officers In the streets. All cafes, res
taurants and theaters ar closed till
further notice, as are all hotels except
a tew kept open for the convenience
of allied troops. People are forbid
den to go outdoors between o'olock
at nlsht and T o'clock in the nlornlng.
Shops and streets must be kept light
ed all night Use of vehicles in the
I streets is forb Wden. No one may wear
1 a German uniform or carry arms, the
(.penalty being summary shooting.
l So far. all has irone quietly, though
I understand officers have found it
.... a IfmaaI. AtV lh A w t 1 m
necessary to knock off the hats of
some civilians refusing to salute them
according to orders. One walks down
street continuously . acknowledging
hat-ralslna- which sroes on on every
side. However salutary it may be, this
regulation has its penalty lor amea
officers as we l as tne innamtants.
For a rreat part of the day I
slaved tourist at Aix
Except for. a certain unspoken
consciousness of strained relations on
account of hat-raising in the streets,
my experiences of v the day differed
little from those of any holiday in
peace times. The poeple manage to
observe an outward semblance of
courtesy, but it was impossible not
to wonder how widespread was the
sentiment she reflected wnen a worn
an in a shoo declared that so long
as the war was finished nothing else
mattered
Light on Great Majority
Those Under, $3,000.
of
Commissioner Roper, In Annual
Report, Shows Much "Moon
shining" in Piedmont Section
Washington, Deo. 6. Direct ttaxes
fell heavily on corporations and on
nersons havlns large Incomes and
lightly on persons earning less than
$3,000 a year. It was shown today by
the annual report ot Internal Revenue
Commissioner Roper for the ?-ear end
ing last June 30. Although 2,319,000
persons with Incomes of $3,000 or less
in 1917 filed returns, including many
heads of families having Incomes
ranging between $1,000 and $2,000,
which were reportable but not tax
able, they were assessed only $22,895,
000 In the aggregate, or less than $10
each. On the other hand, 665,000 In
dividuals with incomes of more than
$3,000 were assessed $692,613,000,
Corporation excess profits taxes of
$2,046,713,000 came from 117,000'
concerns, while 218.000 corporations
were assessed Income taxes ot $48.
175,000. Other assessments by classes
were as follows:
Insurance companies income taxes,
2,100 returns, $3,072,000; railroad
companies Income taxes, 4,096 re
turns, $29,878,00.0; Individuals sub
ject to excess profits tax, 31,000 re
turns, $88,731,000; partnership ex
cess profits tax, 87,500 returns, $93,
125,000; . munition manufacturers, 8,
248 returns, $9,418,000. Actual coU
lection figures differed slightly from
the assessments.
From Internal Revenue.
Revised reports on collections show
that $3,694,619,000 was collected from
internal revenue. Including $2,838,
999,000 from Income and excess profits
taxes, $317,1153,000 from distilled
spirits, $125,285,000 from fermented
liquors, a total of 443,838,000 from
a liquors, and $156,188,000 from to
bacco. The year 1918 marked the beginning
of a new era of taxation, commented
L Mr. Roper, because the bulk came
from income and profits taxes rather
than from liquor as in previous years.
The report deals with, the efforts
of the bureau to suppress the lUlcIt
manufacture and sale of Intoxicants
under the head of "conservation of
manpower and war materials."
Moonsliining In Carolina.
"Illicit distilleries," the report con
tinued, "numbering 2,238 were found,
fto ,onr notorious tor "moonshin
principally in the southeastern sec-
single state of North Carolina. Nine-
ty-flve per cent of the illicit distilleries
were seized within the six states of
Alabama, Florida, North Carolina,
South Carolina, Tennessee and Vir
ginia. . -
Besides illicit distilleries seized,
1,849 illicit distillers were seized and
destroyed, of which half were discov
ered in Georgia and North Carolina.
During' the past year "moonshiers"
have - been '"Unusually active in the
Piedmont section and in other locali
ties adjacent to the army camps and
cantonments. A special fore of rev
enue officers has been et Vved ' to
protect the camps from this demoral
izing traffic. Squads j of specially
trained officers were sent to sections
where unsatisfactory conditions were
reported, and they have been largely
successful In keeping the trafflo In
abeyance. ' 1 ' '' ; .
LIPSNER RESIGNS. -"
New York, Dec. 6. Captain B. B.
Lipsner announced here tonight that
he had tendered to. Postmaster Gen
eral Burleson his resignation as sup
erintendent ot the aerial mall service.
The reasons given were that he had
been Informed novices , are to I he
placed In charge ot Important branch
es ot the service and special air
planes constructed for carrying mall.
PEACE G0i:G
i i m i
U 4.1 s
iLllii
TO OPEi! FIRST
lEKIIUBi!
Yiisbn Informed by Wire!
cf
Plans for Conferences.'
FINAL ACTION MAY FIRST?
Expected In Paris That Peacaj
Deliberations Will Last About -Four
Months. : '
Paris, Deo. 6 .-"(By the Associated
Press.) The opening . of the peace ,
conference at Paris has been set for .,;
the first week In January. It is ex- ;
pected here that the peace dellbera ' .''
tions will last about four months.' UnV.
less unforeseen obstacles arias the be- ,
lief prevails In well-informed quar-
ters that final action will be reached
toward the early part of May.. " . .
President Wilson will be Informed
by wireless today (ef the plans for the '
assembling of the Interallied confer
ence and the meeting of the peace
conference. He .will also be advised '
concerning the recent gathering j
tne supreme war council at London.
In the meantime, reports that the
President . has approved of anything
aone at tne supreme council are pre
mature, as the steps taken at that
meeting will not be made known to
him until today. " v ,
The plans concerning the peace
meetings are the results' of Colonel
Edward M. House's long talk with
Premier Clemenceau, following a con
ference with Baron Sonnino, the Ital-
lan foreign minister, and the Earl of
Derby, British ambassador to France,
The lnter-ailled conference will re
assemble on December 16 or 17. The
meetings will be at the foreign office
in tne uuai D'Orsay and not at Ver
sailles. David Lloyd George, the i
British premier,, and Foreign Minis- t ;
ter Balfour expect to come here at
that time to meet President Wilson
and attend the conference, but ' the
elections In Great Britain mar not
permit them to remain more than two ' .
or -three days. v -it
The opening of the peace Congress
Is set for the first week In January.
It was the desire of. the Americans
to begin at the earliest possible mo-
ment Other delegations felt that a,
later date would be necessary, owing
to the Christmas holidays and the
official functions connected , with tbe "
presence of . President Wilson and f
Klng Victor Emmanuel, of Italy, but ,
the first week In January finally was '
chosen. The first meetings will be for
the actual framing of the prelimin
aries of peace with the representa
tives of the enemy powers, who will
be present)
The names of the French delegates
to the peace congress have not as yet
been announced, but it Is understood v
there will be three members of the
government and possibly a fourth, -member.
The British delegates will
be Premier Lloyd George. Forelen
Minuter Balfour Chancellor of the
Exchequer Andrew Bonar -Law,
George Nlcoll Barnes, labor member
of the war cabinet, and a fifth dele-
gate not yet selected. It la antici
pated that the peace deliberations wilt
last about four months, and unlesn v
unforeseen obstacles arise,' that final '
action will be reached toward the
early part of May.
FIRST CONFERENCE TO "
BE. ONLY PRELIMINARY'.
London, Do. . (By the Associated
Press.) Foreign Secretary Balfour la
outlining his views on the peace con-.
feren.ee today told the Associated '
Press he thought the meeting tn Paris "
this month would be merely informal ,
and preliminary to the conference of
the associated , governments- at the
first of the year, which would tor- '
mutate all the Important terms et
peace agreements. This conference,
he added, would be the most Impor
tant and the longest of the series,
When It was finished the enemy coun
tries would be called in to ratify the
conclusions rearhed. , i ,
Mr. Balfour said the British gov- '
ernment had not ; yet cade any fixed
arrangements for President Wilson to
visit England, as it would be prema
ture to do so until more was known
regarding the President's own plans. -
The foreign secretary said he be- '
lleved the question of a league of na- '
tions vwaa the' most important .work
imposed .on the conference. "The i
prominer.ee Mr. Wilson has given the '
subject is a valuable contribution te -civilization,"
he declared. t 1
ROME EXPECTS WILSON i
EARLIER THAN REPORTED
Special Cable to The observer From
The London Ttmes. ...
(Copjrrlirht, lilt, by Pabtla Ledfw Co.) :
The Hague." Dee. 6. A disnatch
dated 'Wednesday, says The Nleuwe
, Courtant, announces the crown prince
ha, HittfffltAt il 1yV, a Ka Kmma
A Rome dispatch of Wednesday says
there is good reason to believe Presi
dent Wilson Is coming to Rome sooner
than was expected and before the
opening of the Versailles conference
en the twentieth.' Capltolo palace is
being prepared for a great reception.
LONDON TO CJVEREED0M :
OF THE CITY TO WILCCn
Special Wireless to The Observe? '
From The London Times.
. (Cppyrlfht. tut, by Fublie Ldgr Co.)
London, Deo. (.The city of Lon-.
don will .present : President Wilson
with a freedom of the city similar
to ' that s given to Ulysses & Grant
In 1887 and to Mr. Roosevelt la 1910.
, The cotton spinning -profits in Lan
cashire for the year ending Novembc
10 last were greater than la any simi
lar period In a quarter ot a cent er.
Forty companies, operating 40 tn..
show a net profit ot 84 per cent v ;
each share of capital after allow
for depreciation and intecest chsr
On a share ef loan coital the t
bined profit was 23 .r c-t, j
(Continued en Te
)
' 1- -