anaheim-gazette 1920-09-30

Anaheim Gazette ESTABLISHED 1870 ISSUED EVERY THURSDAY Henry Kuahel, Editor and Proprietor SUBSCRIPTION PER YEAR ... $1.50 SIX MONTHS ... $1.00 THREE MONTHS ... $ .50 Entered at the Anaheim Postoffice as second-class matter OFFICIAL CITY PAPER $750,000 LAND DEAL IN NEW OIL DISTRICT Forest of Derricks Ready to Arrive At Huntington Beach. Persistent rumors of a gigantic land deal, in which more than three-quarters of a million dollars are said to have changed hands, are adding fuel to the flames of excitement smouldering about the Huntington Beach oil field, where just one year ago the ground virtually was unscratched except for sugar beet cultivation, and where now a forest of derricks threatens to arise. The alleged deal is one in which the Standard Oil Co., which sank the "discovery" well of the field near the spick-and-spam little beach city, is reported to have acquired control of every available acre from the Huntington Land Co. The total new acres reported acquired was 500 and the consideration a bonus of $1650 an acre with a one-eighth royalty agreement or a total exchange of $775,000. The price tops all previous records, the highest before being $1000 an acre cash bonus reported to have been offered for 32 acres adjoining the Holly sugar factory, just to the north, and refused. The price of $500 an acre least 100 per cent less than those of any other state in the Union. Why should California automobile owners enjoy insurance rates which are 100 per cent lower than the rates in Montana, Washington, Oregon or any other state which go into effect on October 1 as the result of the recent announcement from the conference of the board companies in New York City. That this fact is true was announced yesterday by officials of the InterInsurance Exchange of the Automobile Club of Southern California in Los Angeles, an organization which provides its members with insurance at cost rates and without profit. Cheaper insurance rates for California motorists of all other states was the decision reached by the board companies in the recent New York conference, according to official reports made public by insurance officials throughout the country. The situation has raised a storm of inquiry which at present is nationwide, and one explanation for it has been made public in an interview with directors and officers of the Southern California motoring club, which is the largest organization of its kind in the world at present, having approximately 45,000 members. Of these, more than 30,000 are insured thru the club's exchange. It is this form of co-operative insurance, existing between the car owners themselves which has caused California to become a "key" state in the endeavor of the board insurance which is being adopted by automobile clubs throughout the country, declare officials of the InterInsurance Exchange, which, so far as America is concerned, was the pioneer organisation in the field of insurance for club members at cost rates. Beginning with October 1, according It began drilling in December and true to expectations, struck oil. The discovery well, with four-inch casings, is flowing today at a rate estimated as high as 150 barrels a day. Just 1000 feet away is Standard well No. 2 which is just about ready to be brought in. Optomistic expectations are that this well will flow 1000 barrels a day. A week from last Friday night the contents of its 10-inch casing were blown over the top of the derrick, 116 feet. The lower length of casing collapsed under the pressure. Drilling was resumed Wednesday a week ago. Drilling on Standard No. 3 has just been started and material is being hauled for No. 4. At the Standard Surf well, some distance across the field to the east, oil sand has been struck, and it is expected that this well will be brought in within a few days. Thus, with two other wells started, one on the Torrance lease and another on Bolsa Chica land, the Standard is in the field with six wells at this time. Union Oil has taken four large leases in the same territory. Recently they leased 500 acres from W. T. Newland, are erecting derricks and expect to "spud" in their first well immediately. On that one lease the Union is under contract, according to L. A. Copeland, president of the First National bank at Huntington Beach, to put in 50 wells on that lease alone. That the Union means business is indicated by the fact that they have leased for their employees one of the largest hotels of Huntington Beach, the Evangeline, have bought several dwellings, have opened up local offices and are proceeding to connect it is this form of co-operative insurance, existing between the car owners themselves which has caused California to become a "key" state in the endeavor of the board insurance which is being adopted by automobile clubs throughout the country, declare officials of the Inter-Issurance Exchange, which so far as America is concerned, was the pioneer organization in the field of insurance for club members at cost rates. Beginning with October 1, according to latest reports, it will cost $112 to insure a certain popular make of automobile against collision, for instance, in Washington, Oregon, Idaho, Arizona or any of the western states, whereas it will cost the motorists of California $48.65 to insure the same make car. In the eastern states the higher rate of insurance maintains at the present time. According to reports received by the Automobile Club in Los Angeles, the co-operative form of auto insurance is spreading rapidly in popularity, and several large clubs throughout the west and east are now taking up, through their boards of directors, the proposition of establishing insurance departments similar to that in operation in Southern California, following an investigation of the high rates of insurance imposed upon automobile owners elsewhere in America. In regard to the rates on fire and theft insurance, so far as autos are concerned, there is every indication, declare Automobile club officers, that those will follow the collision insurance rates in a steady climb everywhere but in California. TELEPHONE COMPANY CAN RETAIN FUNDS Granted Authority to Keep Installation Fees. An order issued by the Railroad Commission gives the Pacific Telephone and Telegraph Company and all other telephone companies operating in the state authority to retain funds collected from subscribers for installation and extension charges. It has been the custom prior to the taking over of the lines by the government to return the installation charges amounting to $3.50 to the subscriber after a year's use of the phone installed. This custom was set aside by Federal authorities, but it again was established as a practice when the lines again came under the jurisdiction... On that one lease the Union is under contract, according to L. A. Copeland, president of the First National bank at Huntington Beach, to put in 50 wells on that lease alone. That the Union means business is indicated by the fact that they have leased for their employees one of the largest hotels of Huntington Beach, the Evangeline, have bought several dwellings, have opened up local offices and are proceeding to connect up their leases by pipe line with the Southern Pacific tracks. Thus there is the keenest rivalry among independent companies to get busy in the proven vicinity. A lease close to Standard No. 1 and Standard No. 2, as well as within the triangle made by these two wells with Surf, has been acquired by the Texcal Oil and Refining Co., and it appears that this will be the first independent company to start active drilling. Initial preparations have been made. The Vista Del Mar, composed of Hollywood capitalists, has erected a derrick. The Long Beach Oil and Gas Co. is drilling. The Midway Central, composed of Orange county capitalists is getting ready. The West Whittier Oil Co. has opened up offices and expects to erect a derrick soon. CHEAP AUTO INSURANCE IN CALIFORNIA Rate 100 Per Cent Lower Here Than In Other States. A situation of unprecedented national significance has arisen in auto insurance circles whereby the motorists of a single state are selected as the target for cheaper insurance rates at other telephone companies operating in the state authority to retain funds collected from subscribers for installation and extension charges. It has been the custom prior to the taking over of the lines by the government to return the installation charges amounting to $3.50 to the subscriber after a year's use of the phone installed. This custom was set aside by Federal authorities, but it again was established as a practice when the lines again came under the jurisdiction of the Commission. Recently the companies asked the Commission for a modification of its order governing the practice. In granting the request after an investigation as to the costs of installation, etc., the Commission says that money collected as installation charges from subscribers between August 1, 1919 to August 1, 1920, must be returned but that charges collected after August 1, of this year may be retained by the company. The charge for installing extension has been fixed at $1.50 by the Commission's order of today, which also provides for a $1.50 charge for each station of private exchange service after the initial installation charge of $3.50. Among the facts brought out at the hearings on the application is a record showing that in 1918, the last normal year, the Pacific Telephone and Telegraph Company complete in excess of 200,000 separate and distinct operations while gaining but 9,000 stations. This was the result of taking out telephones ordered disconnected, disconnecting and reconnecting service for superseding subscribers and for subscribers moving to different addresses. The cost of these operations would have to be borne by the steady subscriber unless the expense is cared ANAHEIM GAZETTE MORE SEWER TROUBLE Monday District Attorney West gave notice to the Southern California Sugar Co., and the City of Santa Ana that conditions prevailing along canals of the Delhi Drainage District will no longer be tolerated. The sugar company and the city must devise some means of preventing the outfall sewer used by them from breaking and discharging its contents into the drainage canals. Representatives of the sugar factory and Mayor Mitchell of Santa Ana promised the district attorney that the nuisance would be abated. A number of complaints have been made to the district attorney by residents living in the country adjacent to portions of the drainage district canals to the west of the sugar factory. "People living there told me that foul odors spreading over the country have become intolerable," said the district attorney. "I made a personal investigation of the situation the latter part of last week. I became convinced that the trouble was due to the fact that the outfall owned by the sugar factory and also used by the city of Santa Ana is overtaxed during the time when it carries its peak load, with the result that very frequently the pipeline breaks. The contents of the outfall find their way into the canals. The matter discharged from the sugar factory getting into the canals sours, and from that the offensive odors arise." The district attorney explained to the representatives of the factory and the city that unless early action is for through the retention of the installation charges. It was shown that the cost of installation ranges from $5.00 to $5.50. "An Associated Press dispatch from Tokio quoted a Japanese statesman as saying that negotiations with the United States on the California question are entering upon 'the serious stage,'" the statement says. "The dispatch adds that 'Forgo Minister Uchida went to Odawara and conferred on the California question with Field Marshal Yamagata, supreme military councilor.' That gives peace-loving Americans something to ponder over. To Japan, President Wilson has conceded a paramount position in Asia by means of the Lansing-Ishii agreement. To Japan he has given up the 'open door' secured by John Hay for American trade in China. To Japan he has given the Ladrones, the Marlanes and the Caroline Islands in the Pacific, to bar our way to our own possessions in the Phillipine Islands. To Japan he has yielded the Shantung province, with its 36,000,000 Chinamen. In every way possible he has surrendered our friend, the republic of China, to our antagonist, the empire of Japan. He has yielded American interests, policies, commerce and safety as often as Japan has demanded them. He has never secured in return a single concession from Japan. "As a consequence of this timid anti-American course, he is now being pressed for more sacrifices and surrenders of American interests. Japan finds him so willing to give away American interests that she is determined to get the pound of flesh while the getting is good. "She demands now that he settle the California land question in her favor and guarantee her all rights and privileges of citizenship on the Pacific Coast; and she demands this final sacrifice, with vague threats of 'serious complications,' if the sacrifice is not made." ABERNATHY SUES BOARD FOR REINSTATEMENT Claims Under Four Year Contract He Is Still Head of Schools. The row between Joseph R. Abernathy, district superintendent of schools of Anaheim, and the board of trustees, took a new turn Monday when a writ of mandate asking recognition, restrain, and back pay was filed in the Superior Court. Abernathy, who was employed under a four year's contract by the school trustees of Anaheim, beginning July 1, 1919, was given notice of dismissal by the board on May 18, of this year, the reason being alleged inefficiency. Since that time Abernathy avers that he continued to act as district superintendent, and at all times held himself in readiness to perform the work, per his contract. On September 16th, of this year he was forbidden, by the board of trustees, to enter any of the schools or interfere with the work of the Anaheim schools. Meanwhile on June 10, the trustees had elected C. C. Smith as district superintendent to replace Abernathy. Abernathy avers that he was duly elected by the trustees at a meeting held by them on June 9, 1919, and so informed by them, which offer he accepted. The contract was for four years, at a salary of $2,000 per year. On April 15, 1920, the trustees at a meeting voted to increase his salary from $2000 to $2500 per year, the increase to take effect beginning July 1. His contract, averned Abernathy, was altered to include this raise for the remaining three years of his tenancy. On May 18 the trustees suddenly took the step of dismissal. Abernathy states that he was given absolutely no hearing of the charges against him, and renders of American interests. Japan finds him so willing to give away American interests that she is determined to get the pound of flesh while the getting is good. "She demands now that he settle the California land question in her favor and guarantee her all rights and privileges of citizenship on the Pacific Coast; and she demands this final sacrifice with vague threats of 'serious' complications if the sacrifice is not made. "This is the danger that a supine and timid democratic policy has brought us to—the danger of an open conflict. That is the kind of 'peace' that a Democrat in the White House guarantees us with his international and un-American policies." VALENCIA ORANGES NOT ALL SHIPPED Still 600 Carloads in County Waiting To Be Picked. There are approximately 600 carloads of Valencia oranges on trees in Orange county to be shipped in the next few weeks and for those oranges the best Valencia prices of the season should be received. The eastern markets this week and next will be fairly well cleared of deciduous fruits, and oranges will hold sway as the main supply in Eastern markets. Valencias have been selling for form $6 to $8 f.o.b., here. The outlook for fancy prices for the remaining 600 carloads is exceptionally bright. This situation, in winding up the 1920 crop of Valencias, comes with the announcement of citrus men that the 1921 crop of Valencias bids fair to be the biggest crop in the history of the industry and has tended to center especial interest in Valencia oranges here. The 600 carloads of Valencias that are still to go from this county are scattered all over the citrus districts of the county practically all of them being in associations The Tustin Hills association has about sixty-five carloads still to go. There are very few Valencias left in California outside of Orange county. Within a week what Valencias remain in other localities will be on their way East. The 1920 Valencias still to be shipped from this county are in very fine shape for marketing. Citrus men believe that the excellent quality of the remaining oranges will be a factor in bringing extra good prices in the East. Declaring the oil lease held by James Garvey, of Los Angeles, on the land of Frank F. Hill null and void, Judge R. Y. Williams of the Superior Court handed down a decision in the case of Hill ve. Garvey which throws some light on the methods of the "lease hounds," as Judge Williams characterized them, in Orange county. The court granted Hill a quiet title and the lease held by Garvey was declared void because the court held it had been obtained by "fraud, unfair methods, and unconscionable practice." In connection with the decision, Judge Williams stated from the bench that he "wouldn't want to be found dead with such a paper on his body." Garvey, the defendant, of Los Angeles, was said to have been a "lease hound" connected with the Associated Pacific Oil Fields, Ltd.; to which company his lease on the Hill property was assigned. Testimony was introduced tending to show that Garvey came to the Hill home near Placentia. The contract was for four years, at a salary of $2,000 per year. On April 15, 1920, the trustees at a meeting voted to increase his salary from $2000 to $2500 per year, the increase to take effect beginning July 1. His contract, aware Abernathy, was altered to include this raise for the remaining three years of his tenancy. On May 18 the trustees suddenly took the step of dismissal. Abernathy states that he was given absolutely no hearing of the charges against him, and was forbidden to act or carry out his duties. His petition asks for reinstatement and specific performance of the contract entered into between him and the trustees, also two months' back pay, which he has not received, at the rate of $166.6 per month, under the old contract, and $208.33 per month for the two months since July 1, under the new contract. The trustees are named as defendants, both officially and jointly, and separately and personally. After reviewing the petition, Judge West has issued an alternate writ summoning the defendants to appear before him on October 8 to defend the action, and show reason why they should not be ordered to perform the acts demanded in the plaintiff's petition. WILSON AND JAPAN President Wilson has "surrendered our friend, the republic of China, to our antagonist, the empire of Japan." Senator Harry S. New, Indiana, declared in a statement issued by Republican national campaign headquarters, commenting on an Associated Press Dispatch from Tokio Monday Senator New is a member of the foreign Relations Committee. There are very few Valencias left in California outside of Orange county. Within a week what Valencias remain in other localities will be on their way East. The 1920 Valencias still to be shipped from this county are in very fine shape for marketing. Citrus men believe that the excellent quality of the remaining oranges will be a factor in bringing extra good prices in the East. "The 1921 crop now set on the trees is looking good," said B. A. Crawford, manager of the Tustin Hills Citrus Growers' association. Monday "There is going to be an immense crop in California next year, according to general reports. There is every reason to expect a tremendous production, far better than the industry has ever had in a single year." "The Tustin Hills is preparing to handle perhaps twenty or twenty-five per cent more oranges next year than it handled last year, in which year there was a heavy crop," Crawford added. "We are making additions to our packing house now in preparation for taking care of next year's big crop." The orchards in this section as a rule are in very good fix to make the most of the heavy setting of fruit. Orchardists nowadays are giving their orchards much better attention than they used to give them. They know that proper fertilization and fumigation are economical measures. The fruit set on the trees is very well developed for this time of the year." Not only is a heavy crop of oranges set on the trees, but throughout California in citrus growing sections there are many new groves that are coming into bearing. FAIRYLAND THEATRE AND MONDAY— "HELD BY THE ENEMY" The great stage play which has thrilled millions, now can be seen on the screen with big spectacular melodrama with a notable all star cast including Jack Wanda Hawley, Lewis Stone and others. This is sure to please. GEORGE WALSH IN "SINK OR SWIM" of peppy action with alternate laughs and roars. DAY AND THURSDAY— The big mid-week special FATTY ARBUCKLE at Paramount drama in seven smashing reels, entitled: "THE ROUND UP" from the famous stage play. Don't miss this. Adults 25, 35 and 50c. Children 15, plus war tax. METHODS BCORED BY JUDGE On Land Of Frank I Null. A lease held by James Angeles, on the land null and void, Judge of the Superior Court decision in the casevey which throws the methods of the as Judge Williams am, in Orange county. ated Hill a quiet title held by Garvey was cause the court held by "fraud, unfair and stayed from 7:30 p.m. until midnight, before he finally, in the words of the court, "hounded the lease out of them." The lease, which Judge Williams declared to be one of the most grasping leases ever written in this district, was alleged to have been given for a consideration of one dollar, said by Hill to have been "given to the baby by Garvey the morning after the lease was signed." The leasors, it was said, did not agree to drill on Hill's property. They agreed to pay Hill $1250 when the drilling began, but Garvey was not obligated to drill until "oil was discovered and proven on adjoining property," according to the testimony. The lease was said that "It is further agreed by the party of the first part (Hill) that neither they nor others shall be permitted to drill or operate for oil within a radius of 300 yards of the boundary lines before described (the Hill property.)" Judge Williams declared that this made the lease void, as Hill had no power or authority, and therefore could not agree that oil would not be bored for on property other than his own. Head and Rutan of Santa Ana, appeared for the plaintiff. Andrew J. Copp, Jr., of Los Angeles appeared for the defendant. Copp put up a very able defense and fought till the last. "But," as Judge Williams stated "the deal lease held by James Angeles, on the land null and void, Judge of the Superior Court decision in the case Garvey which throws the methods of the Judge Williams firm, in Orange county. Stated Hill a quiet title held by Garvey was because the court held unconscionable practice with the decision, stated from the bench "it want to be found paper on his body." Defendant, of Los Angeles, have been a "lease with the Associated Ds., Ltd."; to which issue on the Hill prop. Testimony was in order to show that Garvey home near Placentia leases ever written in this district, was alleged to have been given for a consideration of one dollar, said by Hill to have been "given to the baby by Garvey the morning after the lease was signed." The leasors, it was said, did not agree to drill on Hill's property. They agreed to pay Hill $1250 when the drilling began, but Garvey was not obligated to drill until "oil was discovered and proven on adjoining property," according to the testimony. The lease was said to have stated that Hill was to receive "2-18ths" of all crude petroleum and oil found on his property. This was declared today to be the smallest royalty yet on record for an oil lease. The Associated Pacific Oil Fields, Ltd., is drilling on some 10-acre property near, but not adjoining the Hill property at Placentia. The especial clause in the lease which it was held made it null and void on its face, was declared by Judge Williams to have been a clause which stated Studebaker Announcement The Studebaker Corporation, in concert with manufacturers who are sacrificing pres-profit in order to force a general readjust-of prices, announces the following reduc-effective immediately: Six Touring Reduced $235.00 New Price $2500 Real Six “ 130.00 “ 2065 “ Rds. 130.00 “ 2065 “ Club Rds. 130.00 “ 2065 “ Coupe 210.00 “ 3040 “ Sedan 210.00 “ 3140 Six Touring 40.00 “ 1735 Six "Rds." 130.00 "2065" "Club Rds." 130.00 "2065" "Coupe" 210.00 "3040" "Sedan" 210.00 "3140" Six Touring 40.00 "1735" Delivered in Orange County, War Tax Included This announcement is made in spite of the fact that the baker factories are working both night and day shifts, will have on their books thousands of unfilled orders. It is made also with a full knowledge that this news-scheduled prices cannot be maintained unless prices of materials going into the construction of motor cars are sharply reduced from their present levels. WE ARE IN POSITION TO MAKE REASONABLY PROMPT DELIVERY Harry D. Riley Aheim Fullerton Orange