The Tennessean from Nashville, Tennessee • Page 1

NASHVILLE TENNESSEAN We Make Nil the Clothes We Sell We Sell All the Clothes We Make Unfen and Fourth Avenue IMS lt 72 YEARS OF TEST aitMtrt, Fmltfcar, Hatter Unlm rourth Avenuei an VOL. 9. No. 102. RAIN FAIR EXTREME WEST NASHVILLE, SATURDAY MORNING, AUGUST 21, 1915.

PRICE TWO CENTS SME'JjJM! AMERICANS ARE AMONG VICTIMS OF THE ARABIC This Fact and That Vessel Was Torpedoed Without Warning Are Confirmed. SITUATION REGARDED EXTREMELY SERIOUS SERIOUS CLASH BY ATTORNEYS BARELY AVERTED Heated Passage Between Stokes and Lellyett Follows Hearing in City Probe. COURTROOM IS THROWN INTO WILD EXCITEMENT Trouble Is Result of Tilt Between Counsel During Morning Examination. GERMANS TAKE BIG FORTRESS IN THE EAST Novogeorgivsk With Its Seven Hundred Guns and Supplies Captured. EARLY FALL OF OTHER STRONGHOLDS EXPECTED Teutons Are Stubbornly Opposed Between Gulf of Riga and Kovno.

NO WAY TO TELL IF CITY'S MONEY WAS MISUSED Lack of System in Offices of Comptroller and Treasurer Told in Court. REVELATIONS MADE BY EUGENE B. MARTIN, Says Thousands of Dollars Could Have Slipped Through Audit Undetected. English Censorship Arouses Suspicion That Facts Are Being Withheld. (By Associated Press to The TcnneHweiin.) I'KTltOLHtAD.

Aug. I'll, via London, Aug. Ul, 1 a. in. A Hci-l has penetrated the giUf of Riga and is engaged with Jtusshtn warsnips defending the coast, according to official statement DOESN'T KNOW WHICH END TO BELIEVE CONCERN IS EVINCED OVER FATE OF WHITE STAR LINER LAPLAND Large Vessel With 318 Passengers and Big Cargo May Have 6een Destroyed.

The system, or the lack of system. In vogue In the offices of the comptroller and treasurer of the city of Nashville in taking tare of th city's money, was exposed in fashion by Eugene i. Mui'tln, ast-IManl comptroller, at thy municipal probe Kriday. Mr, Martin swore that under the system of auditing the city's hooks thousands of dollars could slip through the audit because the cash wasn't counied and nobody would know about It. lie declared there Is no record to show now much money was paid the city in intci-est by the banks, or nothing to keep others from using the money.

The witness told of many of the officials of the cl tv overdrawing their salaries, and uahl this wan the custom at the city hull. Among those lie deflated to be overdrawn ate former 'ompt roller Miles Hums, former Commissioner l.yle Andrews and his bi other, Hert Andrews, and many others. He said he himself (a overdrawn. Most of these me overdrawn until October. The witness said there was no head to the department to look after such things.

When the probe opened Walter Stokes requested that the program of paving evidence be mapped out. Hurry Stokes opposed this, aiiyliig two witnesses left the state when they learned they were to be put on. Walter Stokes objected to this Insinuation, saying he knew nothing ubout any witnesses leaving the state. Harry Stokes said it would be suicidal to his case to publicly map out a program of evidence. A long wrungle between counul ensued.

Arls rirown, clerk in the waterworks depurtnient, was again put on the stand. "Where did the $4,201) come from?" asked Mr. Stokes. "The revenue of Hee, 1 suppose," "West held the envelopes marked Foutch back, didn't he?" "Yes, tslr." "Aren't there 121! laborers whose money won held bach?" Mr. Brown exn mined the pny roll and said 1 it I were indebted to Pouteh, "Then you took that money out, lea the amount coming to 121 men?" Tea." "Was the money ever turned over to Koutch?" "I don't know." "Were these men regular city employes?" "No, we Just picked them up where we "And by June 5 vou spent "Yes." "How long did it take to.

do the work?" "From May 28 to Juue II, I thihk." "Whore are the time books?" "Li my office," Mr. Brown was asked to bring the books. "And you carried $U0O in loose silver In a suitcase?" k'es." "And yet the money due all laborers wns put separately in envelopes?" "Yes." MIL LKI.LYKT OBJECTS. Mr. Lellyet objected to Mr.

Stokes manner of examination, and the ensuing passage of words caused a llurry among lawyers and spectators. "Who did the work of keeping time when you wern't there "The guards." "This pay roll is alive with men who worked two hours, thirteen hours and seven hours, showing men went hi and out, isn't It?" "Yes, sir." Mr. Lellyett objected to this manner of cMiuiinuMuii, but the objection was overruled. "Lio you know of your own knowledge tbnt Tom Campbell worked one hour?" "No. sir, 1 don't.

lint whatever Is on that pay roll is correct." "Who kept the time while you slept?" (Continued on Second Page.) DECLARES GEORGIA PEOPLE WILL RESENT OUTSIDE ADVICE tBy Associate'! Press to Th- T. nneiiaean. auk. lenaion m-crontied In oMlciul iunrtt-M tonight when cousuhir messages lorwardlug affidavits uf Amcrk'un joirv Ivors of the lirltlsh Huer Arabic brought deilnitc Information that the veHfcl was torpedoed without warning and that American Uvea had been lost. It seemed hut one point remained to be cleared up whether the Arabic attempted to ruin the miininirlne or whether a change of the Unci's course to assist the llritlHh steamer 1 Kinsley, sinkliiR nearby, was interpreted by me German submarine commaudcr a.s a hostile approach.

The attitude of the Ainerieiin government for the moment is receptive, nnx-lously uwnitltiK accurate details und reserving Judgment as to whether the action wn.i "deliberately unt rlcndly." 'J' he dual decision rests with President Wilson. The President motored to Philadelphia today to see an He had consulted Secretary Lansing before leaving and confon-eil with him again tonight. No stotemenl was forthcoming, as details from abroad were lacking. but every- when- In ofiiclal (Uaiicrs the gruvo aspect of the esse was dlseunseii. The general trend of comment was that the American government had renched the point where it must decide whet her it would sever diplomatic relations with 'Jcrmany.

Oflieials expert Amhu-ndor Gerard nt llerlln to help asr-'italn whether the attack hud the sanction of the Herman government. Should (leiiintny offer an explanation asserting there were eireUUiMaiiecs, such an attempt by the Amble to escape or nun tlte submarine, the disposition on lie iiian part to discuss the probably would be con- trued Ific ti diivowji) any intention delilH-int-'lv to Involve (he principles for which the Putted has contended. Great Hillain's ecn-or-hip of press dispatches on the disaster creuted tho itn predion that ni tin fs i' t- were being i witniiCJU wnu inigiu himti uie eaae t-I tally. Ofllcinl messages, however, OtT not i subject to ceu-nrahlp, and eontldOuec pre- vulled liu within another twenty-four hours the of the torpedo ing would be dellnitely Itnmcd. A report today thnt the Arable was convoyed for a time ntter Having I.iver pool Jed some uftlcinN to believe thnt might have caused the German snhumrhic to omit visit and search the giving of warning.

Later, however, the statement of an American survivor, transmitted oftlclall.v. said the lifeboats drltted for hours before being rescued. This won regarded ns destroy lug tin- theory that convoys could have been In the vicinity. State depart mem lawyers declare precedents nnd decisions establish that onlv the aetuiil presence of a convoy nt the time of the attack could alter the rule of visit and winch. The theory thnt the Arabic may have attempted t' nun the submarine was snouted bv naviil of fleers, who sold the prevailing Impression that a large passenger vessel could ram a submersible was erroneous.

(lfllcials also thought that no vessel of large tonnage ever would attempt, espeehilly with piissengers on bonrd, to take such a risk.1 WASHINGTON, Aug. I'O. Klght names now appenr on the state department's list of American passengers not found among the survivors of tho loat liner Arabic. A dlspiiteh tonight from the consul nt Quecnstown. relnved hy Ambasflit-dor Page, at London, added the following: Mrs.

T. Moor. Mr. and Mrs. Pred Burgess.

J. Kellett. (By AssoetatPM Press to The Tenneawian. 1 WASHINGTON. Aug.

UL A dispatch to the state department from the American at Liverpool, given out late today, gave the names rf the following tour Americans not hi the list of the Arabic's survivors: Mr, Josephine L. BruRUtere. James Koulihan. Edmund F. Woods and Thomas ltmore.

(Bv AsBAolatctl Prew to Th Tennsoan. LONDON, Ann. n. Lnto Inst night White Star line issued statement snylng that fourteen passengers of the Arabic were missing and" that it was feared they were lost. Precedents Broken.

(By Associated Press to The TnnMan.) WASHINGTON. Aug. UO. President Wilson slipped away from the White House early this morning and before Washington was awake was off to Philadelphia In a motor car to visit hie oculist. He returned toulghl bv train, after having broken several presidential precedents.

He had been lost on the toad, lunched unannounced hi the public dining room of a Philadelphia hotel, strolled through Philadelphia's business section, ridden back to Washington In a public rallrond car and driven lo the White House in a hired automobile. TWO AMERICANS DROWNED Among Five Passengers Known to Have Perished. lUy ABnoulatcil Prtm to 'rtie TenneMean. LONDON. Ans.

p. 11 m. -At least flvp nussetiRerx. two i.f them Americana, mill forty ineniherK of the 're'. lost their Uvei when Hie Whit- Star liner Arabic nun torpeilut'il mi'l mink hy (icrmiin Biihiimrlne off runt net yesterday mortilne.

Nine other puaeiiKfr are ml-sliiB and lire hdlev-d to have iierljhed. Tlic two Americans lost Mrs. Uriliilerc of New Virli nnd I.d-muml T. Woods. Urn llniglere was thrown Into the water nd was kept afloat for some time hy.

li'-r Louie. Who was forced to rclliniilh his hold when lie was struck hy a niece of Nothing wns Been of omls oner the Bteamer was struck. Most of the inlssliic meinlieri of the crew helonircd to the stuff. They remained nt their posts and went down with the shl Captain Klndi and the other officers ot the rnhlc assert that tin- eubmarlne nave them no wiirnln. They declare Hie torncdo was tired us they were golni to the rescue of the sleumer Olinsley, which had Just been torpedoed.

That the loss of life not much heavier due to the lirepnrutlona made bv the officers on enterliiK the -war zone." to the line weather, and to the splendid discipline maintained by the crew Life belts hud been ou the decks, nnd the llfehonts swuuk out. As soon the ship was struck rnfte were flnnc over the side. Munr persons thrown into the water were laved by climbing on these rafts. Hot won) a passed and sci-Iouf' trouble wtis narrowly averted between Hurry S. Xtnkes and John 'J'.

lellyett, chief op-PuhIiik counsel In the municipal probe, i few minutes after tin- court hearing adjourned Krldiiy afteriioou. In the bent of the passage between tiie two attonn'XH. I-'rank Warns, aon-m-law of Mr. Lellyett, Interposed was nhoved back on a table by G. Stephenson, who is associated with Mr.

Stokes in liie cn.se. Mr. Karris wuh surrounded by deputies and court attaches and a revolver was found in his Inside coat pocket. Mr. Lellyett clHlmed It as his own.

The, controversy between the attorneys bestan during the morning. A lively tilt occurred while Ails Brown, a city employe, was being examined by Mr. Stokes. Mr. LeHyett took exceptions to Mr.

Stokes method or examining ot the witness. Mr. Stokes told htm In open court tliiit their personal difficulties could be settled at any time after the fa ho was settled. When court adjourned, Mr. Stokes walked toward Mr.

Lellyetfs table to his tiK lit, with the express intention, Mr. Stokes told a reporter later In the' afternoon, of assuring Mr. Lellyett tliat nntliing personal was meant by anything that was said. Mr. Lellyett evidently mistook the approach of the opposing counsel ns hostile act, and while a heated conversation was passing between the attorneys.

Mr. Karris Intervened. Lively ctTi('K appeared Imminent. The mom whs almost deserted wlipn the (piarrel began, since court hud held in' til o'clock and the large crowd was anxious to net out of the room. Only a few dozen remained.

the lime the tilt had reached Its height more than a hundred persons were In the room jii'd crowded around the principals. DKPITTIEH SEARCH FARRIS. A hasty cnll was sent by friends of both parties for Sheriff Longhurst In his "trice acres the hall and half a doen deputy sheriff a arrived, headed by Joe Wolf, the chancery court deputy. "Search thnt muti, he's got a gun." shouted several bystanders and Mr. Far-ris was surrounded by the deputies and l.ls clothing systematically searched.

Demit Wolf found the pistol first and pulled It from the Inside pocket of Mr. Karris' where It had evedently been hnstlly thrust since the barrel was pointed upward. The pistol was a .38 or .44 calibre Special, made of nickeled steel. The handle was of pearl. Mr.

Lellyett had been pushed to the hnckuround hy the scurrying deputies and did not see the pistol being taken away from his son-in-law. Few of the crowd could see It nt first, but when It was found therp was a scurry to the oue door leading to the elevator. The crowd, panic-stricken. Jammed the entrance and stood shivering outside, a few peering back through the door nt what appeared to be yun-phiy. LELLYETT CLAIMS GUN.

When Mr. Lellyett saw the gun for the first time, he asked: "Where'd you get that pistol?" "We got It from him," said one of the deputies, pointing to Mr. Karris. "Here. I asuine all responsibility for tbls," said Mr.

Lellyett. "The pistol Is mine." Deputy Woir, who held the pistol, looked doubtfully around. Harry Stokes stood unmoved during the scuffle, but. at this he turned to Deputy Wolf and said: "Here, Joe, give me the gun." Deputy Wolf looked doubtfully around nnd was directed by Deputy Dick Fer-rell, of the circuit court office, to hand the gun over as directed. STOKE.S RETURNS PISTOL.

Mr. Stokes then returned tbe pistol to Mr. Lellyett. "Don't let boys have things like this," said Mr. Stokes, referring to Mr.

Karris, the son-in-law of Mr. Lellyett. All this occurred within ten minutes, but the controversy did not quiet down until o'clock, when the attorneys deft the courthouse. After he bad received the pistol, Mr. Lellyett drew Mr.

Stokes aside and conferred for several minutes with him near a window, while the crowd hung anxiously a few feet away. "I don't want to have any trouble with you now," said Mr. Stokes to Mr. Lellyett, "and nothing you could say while this ease Is being tried could Insult uie, because. I want to have It finished.

After we get through we can settle our personal diflk-ultles at anv time and at any place yon see tit to name. You are an older man than and you are sick and nervous with the strain of this case" At this point Mr. Karris again Intervened for the purpose, he said, of nro-tectlng his father-in-law. Mr. Ktok declared he had never seen Mr.

Karris before, and didn't know lie was rehUea to Mr Lellyett. Mr. Stokes talked in a pacifying tone to the two, but Mr. Furris Interrupted liiiu, aaying: "That old stuff doesn't go with us. It just makes us madder." "1 have the highest respect for you, Mr.

Lellyett, continued Mr. Stokes, "and meant nothing offensive to you. Now that you are calmer I will say that I have had a conference with 'Bill' Cherry, and ne said he saw nothing In my remarks th morning to offend you. I have also talked with Commissioner Bailey, and he mid tnero was nothing for you to be offended at in my whole attitude and remarks this morning." Mr. Lellyett then stated his position, ind the matter appeared to be proceeding to an amicable settlement.

Commissioner Bailey did not witness the passiige arms between the nttornevs. and had adjourned court several minutes before, and proceeded to bis office on the third floor of the building. The scene between counsel occurred In the room of the second circuit court, where the probe lind Just adjourned for the 'day. When Commissioner Bailey was Informed of the occurrence he at once wrote Mr. stokes a letter, declaring he saw nothing tc provoke the scene during the morning testimony.

Mr. Stokes thanked film in person later In the afternoon for thli assurance. The letter written Mr. Stokes by Mr. Baiiey, who is deputy clerk and master ni the chancery court and holds Chaiicel-l'i Allison's commission to probe tbe Fituation at the c)ty hall, follows: "Mr.

Hnrry Stokes, Nashville, Dear Sir: It Is with much regret that I have learned of the unfortunate termination or the disagreement which oc- 4Coutlnued on Second Page.) issuea tonignt ut the liussiun war oltlce. (By Associated Pren.s to Tlu' Temiessean.) Lu.SDu.N. Aug. -M tlo p. in.

i lit- garrison of Novogeorgivsk. left behind by the rctiLUtlng Kussuins to detuv the Teutonic advance, has surrendered after performing that tusli for just a fui'tnlgnt. Berlin tod announced the capture ot the fortress with its "iw guns and large quantity of war materiut. The bpolis have not yet been estimated, but tin. probably are large, for the Itussiuus had hoped the earth works around the tortl-tied camp would enable it to hold out much longer than it lias done.

It now is expected by military ('iwnri licit- ihni the other ltussian tort reason Grodno und Ussuwetz soon will full. After the fall of Kovno von lllmlciibinri commenced again an rfensivc lioni the Gulf of Itiga to Jvovtio. with the objeci of taking Higii and the- whole Wars.iu-retrograd ranway troni Vllna nortnwuiu lie Is meeting with stubborn resistance and may be denied even the possession of Itlga unless the (iernnin fleet succeeds In entering the tJulf of ltlgu. SoUl ll )I k'dt fn II r.iHiin Russians fell back after the tall ot Kovno toward Memen aud here, according to Uerllii, they are ottering fresh resistance In the hope of preventing, or delaying, envelopment ot the northern liitnk of the Krest-Lltovsk line. There seemingly is danger of this line being forced by direct attack, six Austro-tlerman armies, strengthened by the corps which have been Investing Novo-gvorgJvsh.

converging- on the Jlussmn center, which -is behind the Hug and along the railwuy from HrcBt-LitovKk to Blalystok. Other armies have cleared the whole of the left hank of the Hug he tori; while Von Maekenpeir. having crossed the Bug, is advaiieiug uii that fortress from the south. Tills means thnt the obstacle of the ma rshes have been circuvented. and ihat the chief military depot and concentration center of Husslu, virtually is enveloped.

Although military observers believe the Russians probably again will be able to withdraw In safety, the loss of these lines Is considered a graver military misfortune than the loss of Warsaw. The German success has been due almost entirely to their great superiority in artillery, and military critics predict that' ns long ns they maintain this and continue to press forward, the Russians must retire. While the Russian armies remain iiitrtci, however, critics are optimistic as to the future. Emperor William, who is 'reported to have arrived at Novogeorgivsk will, It Is understood, make a state entry Into arsnw and there announce what the future status of Poland will be. Along the western front there have been some spurt of liveliness the lighting, but nothing that could be called battle.

It now is evident the fresh landing of British troops at Suvht bay. on (iallipoli peninsula, robbed of Its element of by the appearance of Turkish reinforcements, has proved somewhat disappointment, the only gain being another strip of the peninsula is In po-session of the allies, and more Turkish troops must be employed against them. While on her way to the Baltic to help the the British submniiue has grounded on the Danish island of Saltholm. In the sound, according to admiralty statement. A Berlin official announcement says the underwater boat was "destroyed" at the southern outlet of the sound.

Fifteen members of the orew of thirty arc missing. That there Is no mention in the foregoing of the steamer Arabic seemingly would Indicate that the British censor is not permitting further news of disaster to pass. NASHVILLE FEELS EFFECT OF STORM THAT VISITED GULF High Wind Accompanies Rain as Atmospheric Disturbance Travels Northward. Nashville and the state of Tennessee mav be released from the variety of rainfall todtiy which it has been experiencing since 1 o'clock Sunday afternoon, when the first shower fell. Thursday's and Friday's disturbance in this locality has been caused by the low bnrometile pressure center, whicli caused the storm at Galveston, passing In a direction northeast of the city to tbe westward.

The Galveston storm originated nenr the Vlndvvard Islands in the West Indies and. crossing the Gulf or Mexico in a northwesterly direction, as all the tropical stormB in thnt region do, struck Galveston Monday morning last, and the center nf low barometric pressure hovered about that city for several days, causing great damage. Thursday night Its center began to move northeast. At 7 o'clock Friday night the center was confined to a district between at. Jouis, Cairo and Terre Haute.

Ina. tbe center of the low pressure had beeu nearer Nashville, the rainfall would havu been much greater, and the wind velocity much higher, but as It wns, the highest wind velocity was forty-two miles per hour between 2:10 o'clock and 2:15 o'clock Friday afternoon. ST. IX)UIS HAH STORM. At 7 o'clock Friday night in St.

It was reported to the weather bureau In Nashville that seven Inches of rain had fallen during the twenty-four hours ending at that observation period, and that the highest wind velocity had been only fortv miles per hour. This cltv hau two miles per hour greater wind velocity liirlnir PVIrtav. Generally tropical storma orglnatlng in the west inoics spena meir strengin (Continued on Second Page.) TODAY'S TENNESSEAN Attorneys clash In courtroom. System of handling city's books I -lii; rt bell may come here. All Kentuekian.s invited to picnic.

Hiylnvay men to nicofTit Kusscllvllle. To rebuild Johnsouvllle bridge. I frown answers "urdue's letter. Test case on back-tax levy. Kear violence at trial of brothers.

It '-Auction in police department Nashville feels effect ot storm. Marshall cuts own salary. Till STATE NEWS. Accused of shooting Into honic. Proccedings against Purlfoy not fuvorcd.

Heglstratioit books burned. Mob whips prisoner. Sunday uacou theft charged. Punished bov hangs himself. Warren countv institute closes.

Dixie bee-line' inspection tour Itinerary jliosen. Storm damages crops. DOM 10 STIC. Jllsglviugs in financial circles. Concern over fate of Lapland evinced.

Participants in riot sentenced, interniitioiial situation gra e. Hodie of storm victims found. To deposit funds in reserve banks. Says Georgians will resent outside advice. No message received from missing sr.tp.

Three more steutners under united Statt-s riaif. Galveston is slowly recovering. Numerous soclii! crimes committed. KORK1GN. Germans capture big fortress in cast.

Carranza to move to Mexico City. Itrltlsh submarine aud iiptny vessels destroyed. SKOHT. Vols down Gulls in secund game, 7 to 0. Peter Scott wins on grand circuit.

Running race results. Joe Jackson- sold to White Sox. 10 A 1 1 Kit KO 1 1 KC A ST. I By Associated Pre-ow tu The TenneHsean.) WASHINGTON, Aug. JO.

Forecast Tennessee ltaln Saturday, except f.ilr in extreme west portion; Sunday fair and warmer. Alabama Generally fair Satuiday and fcundav; moderate south to west Kentucky Itain Saturday; Sunday fair and warmer. HOUKLY TISMrKKATUItES. AUG. SO.

I P. '1 p. in COM PA ATI VK DATA. AUG. 20, I For hours ending ul p.

ni.) Highest temberitture 80 degs Lowest temperature 60 dvgs Normal temperature Hits 78 dens Deficiency for this day 4 degs Deficiency since first of 29 dega Deficiency Mlnc first of yeur 144 dega Normal prectpltution this .12 ins KxcenB for the day 6 Ins ExcfHB since first of montl Inn Deficiency since first of year 10.28 Ins Total precipitation since Jan. 1... 23.05 Ins Sunrise a.m. Sunuet p.m. BRITISH SUBMARINE AND MANY OTHER VESSELS DESTROYED BERLIN.

Aug. 20 (via Loudon. 11:02 p. The following official announcement has been made by the admiralty: "During the forenoon of August 19 tae British submarine E-13 was destroyed at the southern outlet of The Sound." The British submarine E-lo displaced 110 tons, was 176 feet long aud -ii feet beam. Her speed above water was sixteen knots, and submerged ten knuU.

She was armed with four torpedo tubes and was built fn19M. LONDON, Aug. 20. A Reuter dispatch from Haugesund. Norway, says tbe Norwegian steamer Bras, 1,351 tons, has been sunk.

The crew was saved. Available shipping records do not contain the Bras. LONDON. Aug. 30.

The British aleain (Continued on Fifth Page.) MISGIVINGS CAUSED BY DESTRUCTION OF BIO PASSENGER SHIP Concern as to. Future Developments Feature Foreign Exchange Situation. (By Aswfirlntrl Pres to The Tcnnesffan.) NEW YORK. Aug. as to developments from the destruction of the Arabic featured the serious foreign exchange situation today.

The possibility that American bankers might be on to finance a lnrRe domestic loan gave rise to many rumors concerplng the negotiations now pending over the flotation of a $100,000,000 foreign credit loan or some other form of British credit here. "We can well conceive of such situation," said one International banke-. "However, that ha not yet entered into the situation. Negotiations are proceeding without reference to the Arabic." A report that negotiations for flotation of a British credit loan of $100,000,000 or $150,000,000,000 to pay for American sup-piles purchased by foreign buyers virtually had been suspended, was denied. In" several quarters the same word wns obtained: That nothing had- interfered with the negotiations.

Bankers, however, were loath to discuss In detail talk that circumstances soon might divert the at tention of financiers from foreign loans to a United States bond issue. Financial representatives here of the allied powers, while iissertlng thnt the situation had become complicated ny reason of the Arabic Incident, likewise refrained from discussion of the pros- fiect for placing the contemplated foreign oan. Aside from the Arabic, the feature nr the day in foreign exchange mnrhetn wns the reported decision of British financiers and treasury authorities to send a deputation from Loudon to nr-rangc the details of the projected loan. Such a step, it was said, would be welcomed by American bankers as an obvlation of the difficulties of negotiating a loan of such large proportions in theso days of censored and delayed cables. EMINENT AUTHOKIT1I4H.

No more eminent flnnncial authorities, It was said, could have been found In London than Sir Edward Holden and Sir Felix Schuster, who, it was reported, probably would bo two of the three men on the deputation. Locai bankers recalled Sir Edward Holden as chalrmnti of the London County and Midland bank, who came to New York several yenrB ago as representative of some of London's largest banking to aid in formulating additional safeguards in handling export cotton bills of lading. A modi ilea -tlon of certain bills of lading features was adopted here as the result of his visit. Sir Felix Schuster is known here as leading authority on International finance, whose public utterances have received widespread attention. He Is the head of the union of London and Smith's bank.

It seemed definitely settled tonight that negotiations would remain In abeyance until arrival here of the deputation. Dispatches from London 'said the date of their departure might not be made public until their arrival In New York. It was the -general Impression, however, that they might sail on the St. Louis, due to leave Liverpool tomorrow. Business in the foreign exchange markets wss virtually suspended.

Nominally rates showed betterment at the openiug and were almost unvaried during the day. TO DEPOSIT FUNDS IN RESERVE BANKS (By Associated Press to The Tennessaan.) WASHINGTON. Aug. rJJ. Secretary McAdoo announced In a statement tonight that he would deposit funds in the federal reserve banks, as authurtaod by the federal leserve act, whenever the necessity arose and when it could be doae with benefit to tbe public interest.

No government money bad yet been deposited in the reserve banks, Mr. McAdoo 4d, because none bad been needed. (Uv Assnelnted TrewB to The- TennesseRn.l NKW VOItKA' Aug. -The Brithib censor apparently silenced today the wires leading to the White Star Hue hero from Kngland. Only one dispatch re-latlnn to the sinking of the Arabic a message detailing certain changes In previous, lists of survivors and uilBSing came through.

The Inck of definite news was balanced by a host of rumors that left officials in a keen state -of apprehension us to the fato of at least one more hirge stenmer in or near war zone the Lupin nd, which left New York August 12 tor Liverpool, with passengers, Including Americans, and a capacity cargo, including war munitions. A report of disaster to another White Star vessel also was circulated. It said tlic liner ltvic. freighter departing from New York August S. with a big cargo, but no passengers, for had met the Arabic's fate.

Word thnt the itovlc had been sunk was received in a press dispatch here from London at p. m. today. Later the IM'ess Ai-Hulatlon, a British bureau, reported that she had arrived safely nt Liverpool. The While Star line was without advices.

A third report dealt with the steamer Mcoalan of the Leyiand line. A rumor that she, too, had been destroyed by a Uerman boat was current, but. many similar rumors that agitated ship owners here recently, it lacked verification, Coupled with this rumor, the source of which could not be learned, was the re-Port that she was a troop ship. This was disproved by maritime "records, which showed that she bailed from New Orteaiis August 1 for Avonmouth and Liverpool. The Ntcosiaii Is a slow steamer, and shipping men estimated she was just about due to arrive in war zone waters.

She curried no passengers. The Nlcoslan Is new boat, built In Tlic Hovlc. whose keel was laid in Belfast twenty-three years ago, could make thirteen knots. When she sailed from New Yorlt she carried a crew of lwi to id men, an or wnom naa signed Kngland and none of whom, so lar as could be learned tonight, was an American. Inasmuch as the list of the crew was not obtainable here, being In the line's possession at Liverpool, officials were not positive that there were no Americans nuoara.

Ship officials were frankly anxious about the Lapland. The same report ot disaster having overtaken her was cui-rent in Uueenstown. but a cable dispatch from there sahl it wns thought probnblo the Lapland had been contused with tiiu Bristol liner New York City, which Jell prev to a submurine yesterday. The Now York's crew of (Ifty-three and her cip-tnln were landed at Uueenstown today. The New York City likewise was a British liner.

She was a freighter, and left this port July 2tt with a cargo for Bristol, which she landed safely. On August 18 she lef: Bristol In ballnst on her return trip. Her agents here received confirmation of her sinking late today. ijueeiistown's interpretation of the disturbing rumors about the Lapland failed to givn much comfort to the Lapland's owners. Tlu Lapland, under charter to the White Star line, sailed from this port August 11! with aiff passengers and a large and VAluahle cargo.

The usual rigid Inspection of me re bur disc and baggage taken aboard was applied in her cae. She was expected to arrive In Liverpool late tonight or tomorrow morning. I A. S. Kranklin, receiver of tho International Mercantile Marine en deavored to learn by cable whether the Arabic was convoyed.

The significance of an armed convoy, he said, was such that an entirely new aspect would be placed ou the Incident, should it be established, as some reports had Intimated, thai a British warship wns convoying her or had been convoying her a short time before the torpedo was fired. "No word been receired from the British admiralty." Mr. Kr.inklln ald, "that the vessel would be convoyed. No agreement was made to convoy her. To tho beat of my knowledge, there wns no convoy, and I think I would have been advised if there bad been one." Gov.

Harris to Hold Conference With Baldwin and Cobb County Officials. (By Associated Preas to The Tennfwean.) ATLANTA, C.a., Aug. 20l Gov. Nato Harris let it be known today that Uiu fieopie of Georgia would resent outside nterf (-relic or ml vice in dealing with conditions growing out of the lynching of Leo M. Frank.

"The lynching," he said, "was a crime against the civilization of our state and a blot upon Georgia's fair name that cannot be erased. None of us approves of tnob violence or lynch law, and ail ot us regret what has happened. I have and will continue to exert every power at my command to bring the members ot the inob to Justice. "But If the members of the mob are brought to justice it will be through the courageous efforts of Georgia officials and courts, supported by the sentiment of the citiiens of the state, and not through the newspaper editorials and resolutions of Indignation and offers of rewards coming from other states. "I am afraid these things will ouly serve to aggravate a situation that already is deeply humiliating to our people, and if they continue will eventuate In a great deal more harm than good by defeating the efforts of the state to apprehend the guilty parties." The governor has received many telegrams and letters during the last two days urging him to ta-ke decisive actiou.

Shortly before his Inauguration the latter part of June, when It was thought the Frank case might come before him for nnai aeiermtnation, uovernor riarriB received many communications on the subject from all -parts of the United States. He announced at that, time: "You can sa.v for Nate Harris that If the case ever comes before me I will be guided by my Own conscience and the Influence of Georgians. Outside influences will have no weight. This la a Georgia case to be settled by Georgians." CONFERENCE TO BE HELD. -So far as the public Is advised, the only forward step taken in connection with the lynching today was the announcement that the governor would ask the prosecuting officials of Baldwin aud Cobb couii- (Contlnued oo Second Page.).