Valdez Weekly
VoL 7 Valdez, A<aska, August 20, 1908.
ALASKA CENTRAL HOI
10 RESUME 1HIS«
President Frost Brietly Outlines Plans of Bondhold
ers, Then Turns his Attention to Judge Reid
and Ballaine, Calling the I,atter a Crook.
Seward need not hope to see any
resumption of work on the Alaska
Central this year, and possible there
will be nothing done in the way of
advancing construction during 15IU!).
Such is the statement made in Val
dez Sunday by President A. C.
Frost, who is a passenger on the
Pennsylvania, and who is bound for
the town on Resurrection bay from
whence he will go into the Mata
nuska coal country.
To a representative of the Pros
pector President Frost said that the
next move in the affairs of the rail
road will be to ask .Judge Re id to
vacate the receivership and as soon
as this is done the bondholders wilt
foreclose? the mortgage. After this
will come re-organization and then
the resumption of construction opera
tions. President Frost declared that
there is no doubt as to the ultimate
result; it will be the building of the
Alaska Central to the coal fields, if
110 further.
In his discussion of railroad affairs
President Frost placed upon .John K.
Hallainc, the promoter and one of
the stockholders, the entire blame for
present conditions, lie also criti
cized Judge Reid for granting the ap
plication for the receivership with
out giving the management an op- |
portunity to contest such proceedings. j
In part President Frost said:
"The Alaska Central is not now |
and never was in need of a receiver, j
It owes nothing aside: from the
amount secured by a mortgage, an j
amount of $-1,000,000. The action of
Judge Reid in appointing a receiver
upon the representations made by
Hallainc is to me a remarkable and
almost unprecedented procedure. We
shall, upon the opening of court, ask j
for a vacation of this receivership
and then the bondholders will take
steps to foreclose the mortgage. This
means that it may be a year and a
half before anything is done in the
way of construction.
"Rallaine!" This in answer to
a
| question.
"Ballaino is a crook and ii robber,
j He sold large ^blocks of preferred
' stock before the present management
{ took bok" of tbe road and we have no
j knowledge of what became of tbe
money thus raised. Ballainc is suf
fering from cgototismania. He was
an ardent friend of the Alaska Cen
tral st) long as he could keep his bands
in our poekets but when we shut him
oil ho got ugly and you know what
t be result has been.
"No, Ballaino has no nio.iey, at
least so I believe,Jaiul 1 think he whs
pretty hungry when he was trying to
get us to give him that $10,000. If
we'd have done that there never would
have been any receiver."
All of President Frost's remarks
will not permit of publication in a
family newspaper, but after he had
relieved himself with regard to Mr.
Ballainc's miseonduct in connection
with Alaska Central affairs he re
marked that "Ballainc is a brainy
man in some respects and if he could
get rid of the egotism in his make-up
he would be a valuable man for some
one."
The #10,000 referred to by President.
Frost is, according to a statement in
cluded in the annual report of the
Alaska Central, the amount demanded,
by Ballaino before he would withdraw
his opposition to a plan to issue a new
mortgage authorizing the issuance of
$5,000,000 in bonds.
Accompanying President Frost are
It. VV. Morris, representing a large
number of wealthy Englishmen, Wil
liam (Jriilith, a mining expert and
John B. Cameron formerly engineer
of construct ion on the Alaska Cen
tral. The party is going into the coal
licidsand President Frost stated that,
the purpose of the trip is to investi
gate the country to be tapped by the
Alaska Central and he intimated that
upon the result of the investigation
depends certain of his hopes with re
gard to financing further construction
work on the railroad.
UNCLE SAM IS TO
RUSH BUILDINGS
Seattle, An#. 7.—Special ('orrospon
deneo.'—Work on tho United States
government buildings at the Alaska
Yukon-PaoHlo Kxposition will begin
within the next, month, which will
give the builders ample time in which
to flniHh the structures. The govern
: ment hoard which will have charge of
Undo Ham's participation, has now
,boon appointed. It consist* of Jesse
K. Wilnon assistant, secretary of the
interior; W. do C. Ilavonol, of the
National Museum, and W. M. Ocddos,
• of tho treasury department. The lat
ter will act as secretary and disburs
ing o nicer.
Special agents are beginning to ar
range for the collection of tho exhib
its and the supervising architects of
fice is busily engaged in finishing
tho plans for the government group.
Uncle Ham will spend $000,000 for
IiIh part of tho exposition. Of this
Hum $'2/>0,000 will be expended for the
following buildings; main government ,
Alaska, Hawaii, Philippines, Fisher
ies and hiograph lecture hall. The
remaining |3r>o,000 will bo spent, for
the collodion and maintenance of
the ovhlhits.
Tho government group will have
tho most conspicuous site on the
grounds. Tho buildings will stand
at the northern end of the Cascade
Court and will tower over the other
exposition structures. booking dl
rootly down the main picture the vis
ta will ho dosed at. the southern end
by tho majestic snow-capped peak of
Mt, Harder. The govern ment build
ing will ho Imposing in design and
the largest dome of the exposition
will crown the main building.
METHODISTS ARE
AFTER UNCLE JOE
Speaker of House in Trou-i
ble Because of Attitude
on Liqur Question
llaltimorc, Atitf. I I—Undo Joo ('»«-'
11011, apoakcr of tlio Jiouho of rcprtv
nentatlvcH Ih in trouble becauHO of hi*
uland on t-)io li(|iior qucation, or :ifc
leant a certain pliano of t hat quoHtlorr.
In convontlon aHHoniblod here today
a tempcrancc organization composed
of MethodlHta and nfl• Iiat4*<l with tho
Methodist Church declared war upon
Uncle .Joe and from now on will bend
its strongest efforts toward depriving
liiin of tbe prestige lie now holds
among the law niakorw of tho United
Htatos.
Uncle Joo'h h!ii constats in Ids aiir
nounccd aupport of tbe bill now pur
posed to allow intorstato shipment*
of liquor. Tbe Methodists assort that,
(lie propoHod legislation Ih in the in
terest of liquor dealcre and that lt»
success will greatly nullify the galim
made by the tomperanco peoplo.
Tnft Prefera To Keep Mum
Hot Hprings, Va., Ang. IT>—I'rc*f
dcntial Nomlneo Tuft today form fifty
deollncd to dlaeuss for publication tho
recent Bpccch of Mr. Hryan In which
an attack Ih made oil tho republican
platform. Representative Hepburn,
who waH a visitor at tbe Taft oHtab
lishment today, declares that Town,
will give the republican tickot a ma
jority of 80,000.
TROOPS WITHDRAW
FROM SPRINGFIELD
Protectors Gone, Negroes
Seek Safety in Flight
to the Country.
Springfield, 111,, Aug. 20—Aside
from desultory attacks the mob vio
lence which for several days has
reigned supreme in this city has
ceased. Today Governor Deneen
ordered to t heir homes the men com
posing the two regiments of the nati
onal guard called to quell the ti'ouhle.
Terrorized at the departure of the
troops the negroes have resumed the
exodus checked by the cessation of
hostilities. The refugees are seeking
safety in the country. Their homes
here are in ruins, such as exist at all
the most of the hovels are ashes. Ex
posure is causing much suffering on
the part of the aged and the children.
Incensed at the negroes ,thc white
miners in the state have declared a
strike because of the refusal of the
mine owners to dischauge the black
men. The situation in this connec
tion is critical and more trouble may
result.
The Fairbanks Times tells of good
placer discoveries on the Nenana
lying north of Iiroad pass, the divide
which separates the Tanana from the
Susitna.
Some of the Tanana stampedors to
the Innoko have found their way
back to Fairbanks and generally show
a tendency to knock the district.
Mushers from Valdez creek con
tinue to take good reports into Fair
banks.
PRESIDENT FROST
IS TAKEN TO TASK
History of Alaska Central
Shows Trouble is Due to
Present Management
Tho Prospector Monday published
mi interview with A. (J. Frost, presi
dent of the Alaska Contral Railway,
in which ho gives his side of the pres
ent controversy over that more or
less bankrupt enterprise, and incidon
tally his opinion of John E. Hallainc.
The future of tho Alaska Central in
terests a largo number of people in
and out of tho territory and as Mr.
Frost has been the subject of much
harsh criticism beeause of the pre
posterous mismanagement of con
struction of that line it is no more
than fair that his defense be given.
I am assured by Mr. Kelsey, editor
of the Prospector, that in the pub
lished interview Mr. Front is quoted
with fidelity. If lie wishes to reply
to any of the statements which I
make herein in behalf of John JO. Mai
lable, whose legal representative at
Valdez I happen t o bo, the Prospector
will doubt less give liim all tho space
he wants.
About the Receiver
Mr. Frost attacks Judg(; Hold's ac
tion in granting a receiver of the rail
road without notice to tho other side
as remarkable and almost unprece
dented. It is not without, precedent
and was based upon a common ground
for the grant of a temporary restrain
ing ordor without notice—sworn state
ment* that corporate property was
being dissipated and converted to
private uses. Mr. Front lias made
general newspaper denials of this
charge but he will hardly undertake
to deny under oath that somebody
last winter sold the best ongino on
tho Alaska Central to tho Copjier
River line and that the purchasing
agent of the railroad, who Is also one
of t he directors, was in Howard dis
posing of the commissary stores, or
arranging to disposo of thorn when
the receiver was ap)K)lntcd. If that
was not his pur]wise why did all tho
available wagons in Howard engago
In hauling away goods from the com
missary during the flay when the re
ceiver's agent, J. M. Lathrop, was
known to be on his way from Valdez
to Howard to take charge of the rail
road property?
LABOR TROUBLES
AFFECT ESTERLT
Operations on Big Hydraulic
Proposition Suffers Loss
of Month's Time.
Labor troubles, early in the season
threatened to bring to naught all ex
pectations of thoso interested in the
Esterlj placer property in the Nizina
country. This difficulty did hamper
operations for it was not until June
20 that active work was begun. In
May two thirds of the men employed
on the Estorly pro]>erty struck and
about half of those who remained
were discharged, but after consider
able backing and filling between em
ployes and employers work was re
sumed in June.
Information given in the forogoing
reached Valdez yosterday in a letter
written by O. N. Crary, superintend
ent for Esterly, to his brother Will
Crary of this town. The letter does
not go into particulars as to the cause
of the trouble but states that labor
trouble has boon general in tho coun
try in question.
Notwithstanding tho delay thus oc
casioned, the writer says that by the
time of tho clean-up Esterly will have
7,600 square yards of bed rock clear
ed. Three giants have been working
with much success. The Esterly out
fit expects to break camp the last of
September and como out down the
Copper river by tho way of Cordova.
Tho letter further states that Frank
Kernan who is operating on No. 1
ltox, just above Esterly, has so far
cleaned up |<H>,000 and will clean up
at least $100,000 boforo fall.
Tho charge mado bv Mr. Frost that
Hallaine sold largo blocks of preferred
stock and never accounted for tho
proceed** was never before heard of In
Alaska and never published anywhere
and looks like an attempted counter
to Ballalne's charges of frand and
corruption in Frost's Alaska Central
manipulations. The charges on both
sides will have ample opportunity for
airing in tho receivership hoaring and
doubtless will awaken the interest and
popularity which scandal always
achioves.
Up to Frost
Mr. Ballaine has issued a circular
in which bo makes charges which if
untrue should certainly cause him a
lot of trouble in tho civil and criminal
courts. lie charges that all of Mr.
Frost's interests are in tho hands of
receivers, that heavy judgments have
been entorod against Frost in Chicago
and that suits to force him Into Invol
untary bankruptcy aro pending. Ho
charges that Mr. Frost has padded
and falsified the roports of tho Alaska
Central and of tha Chicago & Milwau
kee Electric road.
Mr. Ballaine states that his request
for $10,000 was distinctly for a sum to
bo used in bringing a syndicate of
capitalists to examine the railroad
lino and Its proposed route with a view
to furnishing funds for furthor con
struction, of which Mr. Frost could
offer no tangible promise.
Tho incompetence and waste under
the construction |>olioy of Frost's pet,
W. B. Poland, which destroyed tho
crodit of the Alaska Central, in tho
chief tradition of How'ird. That kin
dergarten system waft so ridiculous
that it would have boon funny had
not tho consoquoncos been ho serious.
John 15. Ballaine mado ineffectual
protest, againstit, yet long after many
resident's of Howard, myself among
them, wore exhausting tho vocabulary
of denunciation against Frost Ballaino
defended him and predicted that ho
would ultimately make tho road a suc
cess. Noarly two yearn ago I offorod
to bet Ballaine a suit of clothes that
Frost, would nover build to the coal
fields, and while side-stepping tho bet
Ballaino still defended Frost.
Betting proves nothing but that, of
fer Is still open to anybody who want*
to accept it.
Mr. Frost nover came to Alaska un
til this month. It is fair to assume
that a man who has cut so large a
figure In tho business world as ho has
must possess superior Intelligence,
but bis folly In entrusting tho whole
management of the Alaska Contral to
a person who ought to Im» a clerk has
Wrecked the ontorprlso. Mr. Frost
comes too late.
R. F. Hitch it.
UNCONTROLLABLE RIOT
RAGES IN SPRINGFIELD
Monster Mob of Citizens of Illinois' Capital bent OH •
Extermination of Negro Population in Revenge
of Outrage Committed on White Woman
Springfield, III., Aug. 15—IllinoiH'
capital is morning the 1 battle
ground of the opposing factions in
one of the worst race riots in a
decade. Rioters are sweeping through
the streets of the city, attacking
every negro encountered.
,.Two are dead and a score or more
injured. The militia, even enforced
as it is with a gattling Rim, is power-1
less to disperse the rabble.
The negro settlement is in flames
and the mob refuses to allow the lire
department to make any effort to
prevent the complete destruction of
the quarter.
Among those injured is Eugene
Chafln, presidential nominee on the
prohibition ticket.
The trouble grows out of the at
tack by Cleorge Richardson, a negro,
upon Mrs. Karl Italian, wife of a
prominent business man of Spring
Held.
Mrs. Hallan may die. Hhc was
shamefully maltreated by the brute
who assaulted her and against whose
fiendish desires she fought bravely.
Mrs. Hallan was assailed at the
very portals of her home and the
word of the outrage spread through
the city as flames sweep dry stubble.
With a half dozen of men as its
nucleus within a breath a thousand
men were flooding through the street
leading to the negro settlement.
Clerks rushed from stores. Profes
sional men, hat less, deserted their
desks.
The mayor of the city appealed to
the rioters to observe the law. The
chief of police implored for order.
Both were scoffed at by grim visaged
men upon whose shoulders have
rosted the burden of civic upbuilding.
Swollen until it cast its accumula
tion into side streets the mob moved
irresistibly toward its goal. Here and
l
there a Negro appeared onlj t£>
retreat with ashen countenance bote**
the vengeance that threatened.
The word of the coming had pre
ceded the mob and the negro* armqii
themselves but their courage daaexpejl
them and they fled from the abetter
of their hovelu into the outer reetne
of the city. Flying, their ean*»oa»de4
the crashing destruction of
dwellingn and places of buuineaa.
Someone bearing a can of coai I
emerged from a negro tttore. AboUm^
brought inflammable materia}. Anoth
er furnished a match. On the laetKJl't
tho llames entered upoa what pronto
es to be the comolete wiping oat of
the shacks that have sheltered fchee*
ands.
The fire department was aoUfi^4
but its progress to the flro i» bloclfj
by a wall of humanity. Pieadiajf
proved of no avail. Horses, by leer
ing stung into forward movement,
reared back upon haunchea la o^ajl
once to the force punishing upoa
mouths. \
Word comes that the negroea ha-ia
fortified thoinsclbotf a mlla oataUfo
of the city. The mob ban licked ep
its immediate fuel and 1b proceeding
to the rallying place of the object* erf
its being there to glut its appetite
with more human Uvea.
The officers of the militia are iridk
with the realization of the impotpitoy
of tlieir men. The guardsmen hesi
tate to send death into the aaana
formed of those who are at* brother*.
The Gatling gun has so far nerved
a menace only.
Not in a decade has there been attcfc
r race riot as today rugett in IlUaete*
capital. T)>e situation is poteat «rith
grewsome possibilities. The eao^
recognizes no power more «upr«m*»
The end can only be conjcctured.
OSCAR SALL AT
WORK AS PACKER
Alone, Missing Resident of
Valdez Arrives in Cordova
by River Route
Under tho iiuino of Oscar Nelson,
Oucar Suit in working an a packer for
contraetor Honey of tlie Copper Itlv
er Northwestern. Hall, ornt. the least
the man supposed by Deputy Marshal
Dooley of Cordova to he Hall, is out
on tho right-of-way and Dooley is to
nook an Interview with hlm for the
purpose of proving whether or not
the belief as to Identity Ih correct.
In a message to Charlie Wulft Doo
ley says that Hall came down the
Cop|>er river alone in a boat. This
doos away with tho belief that Hall
left Valdez on the Portland and II- is
now believed that he walked out of
town and mushed across to the river.
Hall is an expert riverman.
Dooley further sends word that a
man in Cordova is preparing, to de
mand the $r>0 reward offered for in
formation leading t.o the discovery of
Hall. As soon an Dooley verities or
disproves the belief that Hall Is t he
man In question friends of Hall will
have him brought to Valdez for it Is
believed that unless he is montally
unbalanced he would never have ab
sented himself in such 11 mysterious
manner. r
Parker Talkn of Tariff
Portland, Aug. 20 Judge Alton B.
Parkor, who Is touring the Pacific
Const iu the Interests of democracy,
s poke here last night. He confined
his remarks to a discussion of the
tariff, which, he believes, Is in need
of revision. Kvery mention of Can
didate Itryan was loudly cheered.
When you want Drugs, visit a Drug
Htore. Own Drug Co.
MOTHER LODE MINE
BIG PROPOSITI
.James ,J. Godfroy. Necrotary oi(b<
Mother Lode (?c»i»j»i>or Mining
pany, who with Arthur W Jeaka. * •*
Now York mining oxoert, b in •
do/. on roil to to tho property, ±
is on Mel 'arty crook, found goonj \
awaiting him upon hit* Arrival tuvr*.
Tho boaror of tho tidings that glaMn
tho lioart of Mr. Godfroy, ta Lame* jj
(-ruiiiR, who has just returned frfwa
tho district, and who while there VlatU 1
od t.iio Mother Lode property.
When Online left, tho tunnel la
ward the vein had Ixkmi extended htT
a distance of sixty-fly^ feet audit if
confidently oxpoctod that the
will be encountered in another t**
feet. On one of tho ninoteau cltftfa*
owned by the company 1h a eartao*
sliowiug of chaloorlte twelve f»ai
wide and running the 1,000 feetof tjfea
claim. The chaloorlte aunaya o» a#
average of (50 per cent.
On tho proporty Is an ahundanca qf
pure glance float that rune oloea U»
75 per cent. This float and atao Hi*
surface showing is of the aame ap
pearance as that on the Boaaoa*
proporty and it is holleved that ft»a
Mother Lodo proporty la an extenetoo
of the former. Oraino s»y» that the
miners inside are confident that the
Mother Lode will prove to he on* vf
tho best copper proportiee in the ta
Hide.
Oaine also told Godfrey that God
frey's younger brother, who lata *4
the mine has been koptbuay ohopyiag
notches In all tho trees within the ra
dius of a mile of camp ao that ha csa
climb them easily whenever a ban
descends on the camp. According I#
Grain*, young Godfrey le leading a
ntrenous existence on tho horliots pf
which "bear" looms big.
For a fine box of Ilakere Ohoooiataa
visit tho Owl l)i ug Co.
Htoamhoated furnished: room* all
Hotel Valdoz.