_____-—-——--1 - 1-—-—
FOODSTUFFS ON CONTRABAND LIST
BRITISH MOLD STARVE GERMANS
AMERICAN STATE DEPARTMENT IS NOTIFIED OF NEW ORDER
MADE BY THE BRITISH FOREIGN OFFICE—AMERICAN STEAM
ER WILHELMINA IS NOW EN ROUTE TO GERMANY WITH CAR
GO OF FLOUR AND WILL BE SEIZED—FLOUR BE CONFISCAT.
ED BUT PAID FOR—FUTURE SHIPMENTS WILL BE SEIZED
AND NOT PAID FOR—ACTION OF U. S. GOVERNMENT IN DOUBT
RULES OF INTERNATIONAL LAW VIOLATED BY BRITISH ORDER.
WASHINGTON, Feb. 2—Great
Britain has notified the American gov
ernment that hereafter all food sup
plies will be considered contraband
of war and that any shipments leav
ing neutral ports after today will be
confiscated by the British govern
ment if they are consigned to Ger
many, Austria or Turkey, the coun
tries with which Great Britain is now
engaged in war.
Announcement Causes Sensation.
The State Department upon re
ceipt of notice informed President
Wilson of the note conveying the in
formation to this government and a
cabinet meeting followed. All ex
porters of foods and all shipping
houses in the United States have been
notified of the change in the plans
of the British in order that they may
be advised of conditions.
Will Pay for Wilhelmina Cargo.
It is expected that the American
ship Wilhelmina, now en route to
Germany, will be seized before she
can reach the German port and that
her cargo will be confiscated. Great
Britain, however, is expected to pay
for the cargo of foodstuffs on the
American vessel, as the shipment was
made prior to the announcement of
the fact that foods would be consid
ered contraband. The cargo is worth
$200,000. In fact, Ambassador Page
has been informed that any vessels
which have left an American port
prior to the announcement would be
detained but such cargoes as are con
fiscated would be paid for at the top
market prices.
As the American steamer Wilhel
mina is the only boat en route to
Germany with foods and the ship
ment was made, it is believed, as
much to test the British and see what
course they would pursue and also in
order to reap the profits resulting
from the high cost of foods in Ger
many, Americans do not stand to
lose anything by the action of the
British. All future shipments, how
ever, will be seized and not paid for,
according to the British note.
Administration’s Course Uncertain.
Just what action will be taken by
the administration to secure for Amer
ican food supplies the market In the
belligerent countries Is a matter of
much speculation in shipping circles.
It Is pointed out that under the rules
of international law and under the
: terms of the treaties now in force
that food cannot be made contraband
unless it is directly consigned to or
intended for the use of the armed
force of the nation at war. But all
.rules that have heretofore governed
-the conduct of nations have become
useless and new rules are being made
as conditions change.
Protest Is Useless.
Any protest not backed by a show
of force would be useless is the opin
ion of many diplomats. The gov*
ernment is not anxious to resort td
a war to maintain the right of sell
ing food to the German nation or
its allies.
ALASKA SALESMAN
DIES IN SEATTLE
George Butzer, who traveled for
Nusteader Brothers, and had a large
number of friends in this city, died
on Jan. 14 in Seattle following an
automobile accident on Aug. 5. His
body was taken to Portland, Ore., for
burial.
LOCAL BREVITIES.
The marriage of Miss Bess Carnall
and Professor F. G. Davis, of the Val
dez public schools, will be celebrated
quietly at the Church of the Epiph
any next Saturday evening by the
Rev. Edward H. Molony in the pres
ence of only a few intimate friends
of the contracting parties.
Mr. and Mrs. Peabody have leased
•the apartments in the Dieringer build
ing on Wall street. The apartments
were formerly occupied by Mr. and
Mrs. George White.
C. G. Wulff leaves on the Admir
al Evans for Brooklyn, N. V., to vis
it his mother, who is seriously ill.
J. P. MORGAN DENIES BANKERS
* ' •- '* ftS ' *•• •' • •* waff -**1 •• .•*'*
ITROL /ILL THE RAILROADS
ALSO SAYS HE KNOWS NOTHING REGARDING THE RELATIONS OF
LABOR TO THE BIG INTERESTS HE CONTROLS—INDUS
TRIAL RELATIONS COMM ISSION STILL PROBING." •<,
NEW YORK, Feb. 2.—J. P. Mor
gan, the banker, was a witness be
fore the federal Industrial Relations
commission today and was closely
questioned by the members of the
commission regarding the control of
the railroads of the United States
by the banking interests of the coun
try, and more especially by the firm
of J. P. Morgan & Co. The charge
has been made by Samuel Untermey
er that the banks had secured control
of all the railroads by putting money
into them, not for extensions and
improvements, but by the process of
reorganizing, which gave the control
of the roads to the bankers for ser
vices rendered.
Morgan denied the charge, insist
ing that the banks and bankers did
not control the roads or own them
but rather that they represented the
investors, who would send into the
bank Che 'proxies and request the
bankers to represent the stockhold
ers at the meetings because they had
faith in the bankers. It was this
condition which had led to the re
ports of control by bankers. The
banker also insisted that no class of
men in the country were better able
to dictate the policies of the roads
with success than the bankers.
When questioned regarding the re
lation of the roads controlled by his
firm to labor, he stated that he was
Ignorant as to conditions among the
laboring class. Labor matters were'
left to subordinates.
SECRETARY LANE LIMITS AMOUNT EVIDENTLY FEARING THATOW
ING TO CONDITION OF NATION’S FINANCES LARGE APPROPRI
ATION WOULD RESULT IN THE DEFEAT OF PROJECT.
WASHINGTON, Feb. 2.—Secretary
of the Interior Franklin K. Lane to
day requested the appropriation of
$2,000,000 by congress for the pur
pose of starting the construction
work upon the government railroad
from the coast of Alaska to the in
terior. The request was not accom
panied by the report of the Alaska
engineering commission, as many had
hoped, but the statement issued yes
terday foreshadowed the request for
funds prior to the publication of the
report of the engineers, who are
still working upon the report.
Only $2,000,000 is asked of con
gress at this time because of the
lack of funds in the Treasury and
the fear of the friends of the Alaska
railroad project that should a demand
be made for five or ten million dol
lars at this time that it would result
in the defeat of the measure and the
refusal of the members of congress
to appropriate the money.
Alaskans here say that the request
for only $2,000,000 at this time does
not indicate that the government will
not purchase any of the existing rail
roads because even if the president
decides to purchase the roads now
owned by the Morgan-Guggenheim
syndicate or the Canadian bondhold
ers of the Alaska Northern railroad,
the payment would not be made un
til next year. It is almost certain
that the owners of the roads now
in operation or partial operation from
the coast of Alaska to the interior
will sell upon any terms that Secre
tary Lane may dictate as they are
anxious to sell the roads. This is
in contrast to the position taken a
year ago by the representatives of
the Seward road, they insisting at
that time that if the government
would open the coal fields private
capital would complete the Alaska
Northern to the mines. Now the rep
resentatives here of the two lines
are fighting to dispose of the roads
to the government rather than try to
operate against a government-owned
line.
Requests for large appropriations
are looked upon with disfavor by
members of congress and Alaskans,
indicating that had Secretary Lane
gone as strong as he desired the
road would never be built.
JESUS CARRANZA
IS STRUNG UP
Brother of Provisional President of
Mexico Killed By Gen. Zapata
—Could Not Pay Ransom.
LAREDO, Tex., Feb. 2.—Jesus Car
ranza, a brother of Provisional Pres
ident Carranza, was executed today
by Gen. Zapata. Gen. Jesus Carran
za had been made a prisoner several
weeks ago and all the members of
his staff, caught with him were ex
ecuted while Carranza was held for
ransom but failed to secure the mon
ey demanded and was executed to
day.
The fighting in the republic con
tinues and conditions grow worse in
stead of better. The number of pro
visional presidents increase each
week, all of them with full cabinets
and officials and with a limited num
ber of troops. These troops are fed
upon what they can steal and as a
result the farmers refuse to till the
soil. Few of the mines are operat
ing and consequently the men have
ben driven into the army as the on
ly certain way of securing enough to
eat.
The Prospector office for job work.
YOUR UNCLE SAM
IS GOING BROKE
Spent Eight Millions More In Janu
ary Than His Income—Admin
istration Is Worried.
WASHINGTON, Feb. 2.—The gov
ernment spent 18,000,000 more dur
ing January than it received. The
administration officials are ' greatly
worried at the lack of income. Just
how the situation can be met best
■is a matter of constant discussion
among the members of the cabinet,
some of whom favor the sale of gov
ernment bonds in order to meet the
temporary deficiency, while others,
especially the Republicans, are anx
ious to have the appropriations cut,
as the Democrats would be great suf
ferers If appropriations are cut and
many of the government employees
dismissed.
Secretary McAdoo Insists that the
trade balance is slowly turning in
favor of the United States and that
in a few months the income of the
government will be better ancf also
that conditions in this country will
improve so that the income tax will
turn in enough money to make up
for the loss of revenue'from the tar
iff.
President Will Address United
States Chamber of Commerce
WASHINGTON, Feb. 1—The Cham
ber of Commerce of the United States,
consisting of representatives of the
chambers of commerce in all sections
of tfte United States, will hold a meet
ing next Wednesday in this city and
President Woodrow Wilson will ad
dress the members of the chamber.
It is expected the speech of the pres
ident will be the most important
speech he has made since being in
augurated into office. The topic- is
announced as the ship purchasing bill,
now up in the Senate for considera
tion and which is being fought by the
Republicans and a number of Demo
cratic senators.
The president Is determined to
place before the people the view the
administration takes of the ship pur
chasing bill which, it is expected, will
result in the building up of a large
merchant marine. Administration of
flcials say that it is the only solu
tion of the question of "How To
Build An American Merchant Ma
rine," and that the government can
secure the large liners at a small part
of the cost of building them and can
then operate them in the ocean busi
ness. It is pointed out that the in
ternational laws provide that a gov
ernment-owned ship or a convoyed
vessel is not subject to seizure or
search on the high seas.
The speech of the president is await
ed with keen interest by the business
men of the country, as the lack of
steamships to take American sup
plies to Germany seriously effects the
financial conditions in this country.
If the Germans can secure from
America the supplies they would buy
if delivery could be guaranteed it is
almost certain that exports would be
normal and conditions in the United
States much improved.
INVASION OF EAST PRUSSIA CHECKED
HDENBUOO BATTLING REAR WARSAW
BERLIN ADMITS RUSSIAN GAINS ON RIGHT BANK OF VISTULA—
GERMANS MASSED AND ATTACKING WYZOGRAD AT JUNCTION
OF VISTULA AN BZURA RIVERS—GREAT BRITAIN EXCITED OV
ER NEW RAID—LONDON PREPARED FOR ZEPPELIN ATTACK—
BRITISH CRUISERS WAITING FOR STEAMER DACIA—AMERI
CAN GOVERNMENT HAS INSURED CARGO OF FORMER GERMAN
SHIP, BUT REFUSED INSURANCE ON VESSEL.
BERLIN, Feb. 2.—The Russians ad
vancing upon Koenigsberg have been
halted according to advices received
from the commander of the German
forces in East Prussia.
Russian Advance On Vistula.
The Russian advance along the
right bank of the Vistula continues
but not with the rapidity of the past
few days. In fact the war office
announces that trenches taken from
the Germans a few days ago have
been reoccupied by the kaiser’s sol
diers.
Hindenburg Wants Warsaw.
LONDON, ^eb. 2.—Gen. Hinden
burg is preparing a new attack upon
Warsaw and today sent large forces
of troops against the Russian posi
tions at Wyzograd, which is at the
junction of the Vistula and the Bz
ura rivers. If he is successful in
crossing the river and pushing to
wards Novo Georgievsk the Russian
force will be split in half. The mili
tary experts here believe that Hin
denburg is determined to force the
Russians to send troops to Warsaw
from the Galician line, where the
Austrian-German forces are being
hard pressed. If his attack develops
into a general engagement it is ex
pected here that the grand duke will
bring troops back but not until it is
necessary.
Air Raid Excites London.
LONDON, Feb. 2.—This city was
greatly excited last night when. the
report reached here that German air
ships have been seen over Dover.
The people feared that the long ex
pected and dreaded attack upon Lon
don would be made. The coast
guards, however, succeeded in driv
ing the aviators back, the fire from
the forts being well directed.
London Prepared for Raid.
As far as it is possible the military
authorities have taken every precau
tion to protect the city. Hundreds of
searchlights are in constant use.
The gas and eleotric companies have
been notified to be ready at a mo
■ment’s notice to shut off all lights,
so as to prevent the aviators from
distinguishing one building from an
other. Shades must be provided for
•windows in houses within the city
limits and lights must be kept at a
minimum. Aeroplane guns are in po
sitions on high buildings to repel an
attack.
British Freight Inquiry.
LONDON, Feb. 2.—The government
is making an inquiry into the accu
sations now being made against ship
owners. The charge is made that
freight rates are higher than they
should be and that in as much as
the government has issued maximum
rates for foodstuffs it would be equal
ly right to fix a price for the freight
haulers who are growing rich because
of the supremacy of the navy.
Cruisers Await Dacia.
HAVANA, Feb. 2.—Several British
cruisers which have been hovering
near here for days suddenly left yes
terday going full speed in the direc
tion of Key West. It is believed they
are going to seize the Dacia which
left Galveston yesterday en route
to Germany with a cargo of cotton.
The Dacia was formerly a German
ship but is now owned by an Amer
ican and has received American reg
istry.
Banks Moved From Cracow.
GENEVA, Feb. 2.—Dispatches from
Budapest state that the governor of
Cracow has ordered the partial evac
uation from the city and its suburbs
of women, children, and men unfit for
military service. They have received
forty-eight hours in which to leave.
The men over military age but who
are still active have been formed in
to a civic guard. The banks have
been transferred to Vienna. Provis
ions of all kinds, it is stated, are very
scarce in Cracow.
Government Insures Dacia Cargo.
WASHINGTON, Feb. 2.—After a
week of search by Treasury officials
(.Continued on page 2.)
BELIEVED IN WASHINGTON THAT
GOVERNMENT WILL BUY RAILROADS
BUILDING OF LINE FROM SHIP CREEK TO THE MATANUSKA COAL
FIELDS REGARDED AS FIRST STEP—BELIEVED ENGINEERS'
REPORT OF SUSITNA VALLEY IS NOT FLATTERING.
WASHINGTON, Jan. 25.—“To one
observing, closely the developments
in the Alaska railroad situation from
day to day, it becomes apparent that
Secretary Lane is maneuvering to get
the government in a position where
it will not pay more than bargain
counter prices for the existing rail
roads in Alaska, if it determines to
buy them, and it seems much of the
notion of buying,” says Ashman
Brown, Washington correspondent of
the Seattle Post-Intelligencer.
"That the Copper River & North
western will be taken over in some
manner seems certain. J. P. Morgan,
in his various interviews with the
secretary has shown quite plainly
that he is more intent on selling than
getting a big price. The government,
| it is quite certain, ■will not charge
the Alaska syndicate more for haul
ing ore from the Bonanza mine to
Cordova than the syndicate now
charges itself, through the railroad,
for the same service, and tonnage
charges seem to be the essential
thing.
Appraical By Commission.
“ ‘Appraised physical valuation,’
that is what the law says must be
the guide to purchase. Not until af
ter Mr. Morgan’s most recent call did
Secretary Lane give any hint as to
who was to do the appraising. Then
he said that it was to be done by
the Alaska engineering commission.
He was reported as having said that
the appraisal was already made by
(Continued on page 2.)