HYDER - FIRST ALASKA TOWN THAT CAN BE REACHED BY THE PACIFIC - YUKON ~ ALASKA HIGHWAY
'
SPECIALIZING IN
MINING NEWS OF THE
PORTLAND CANAL
DISTRICT
HYDER WEEKLY HERALD
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SUBSCRIPTIONS
$3.00 PER YEAR
IN ADVANCE
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VOL. 8, NO. 27
HYDER, ALASKA, SATURDAY, APRIL 16, 1932.
BY THE YEAR $3.00
BANK OF HYDER
SUSPENDS BUSINESS
The Bank of Hyder, the Ily
der district’s sole banking in
stitution, voluntarily suspended
business Tuesday morning as a
result of conditions created by
the prevailing economic situ
ation combined with the pres
ent depressed state of the local
mining industry resulting from
the great fall in silver and oth
er metal values in the world
markets.
The decision to suspend bus
iness and go into voluntary liq
uidation was take by the board
of directors at a meeting held
Monday evening, after a survey
of the bank’s position and out
look had revealed assured ina- i
bility to maintain profitable op
eration under present condit- I
ions and with risk of incurring
unwarranted losses to deposit
ors and stockholders. As a re
sult of this timely decision, the
bank is in a position to return
to depositors a large percent
age of their deposits within a
short period, according to the
bank officials. In addition,
there is every prospect that in
the final adjustment of the
bank’s affairs, depositors will j
be reimbursed in full.
Mr. E. D. Haddon, cashier
and manager, explains the
bank’s position in the following
statement to the Herald:
“Owing to the continued de
pression and gradual shrink
age of deposits, combined with j
inability to realize on collect-1
ions fast enough, the directors!
of the bank decided that in the j
interests of depositors and
stockholders it was advisable
to go into voluntary liquidation
and discontinue the business of
banking.
“As soon as the legal formal
ities are completed, a substant- j
ial dividend will be paid and it
is expected that depositors
will be paid in full in the very
near future.”
Following the board’s decis- j
ion the Territorial Banking
Board was advised of the situ
ation by telegraph and request
was made for the appointment
of a receiver to take charge of
the business pending liquidat
ion. To this the banking board
replied that action to adjust
the bank’s affairs would be
taken as soon as possible. Pend
ing appointment of a receiver
by the district court at Juneau
the banking board appointed
Mr. Haddon custodian. It is
also desired by a majority of '
the depositors that Mr. Had- j
don be appointed receiver and ;
the present outlook is that this j
may be done.
Although the absence of a lo-;
cal banking institution will un- j
doubtedly prove a serious hard-1
ship to the business elements, j
it is believed that the failure ;
will not precipitate further
business dissolutions.
The Bank of Hyder was es-1
tablished in 1920 with Mr. J. i
A. Hall, the present president, j
as president and managing dC-,
rector and has been one of the
most important factors in the j
upbuilding of the camp and
advancing local business and
industry.
Efforts are now being made
to arrange for the handling of
British Syndicate May
P-Y-A Highway
Negotiations are under way
j for possible construction of the
j Alaska - Yukon Highway by an
i English syndicate in return for
ceitain northern British Col
umbia land concessions, it was
announced recently by Premier
S. F. Tolmie in the British Col
umbia legislature, according to
Victoria press reports.
The premier was quoted as
saying: “We have arrange
ments with a London syndicate
to have them visit the province
next June with a view to their
possibly building the road. I do
not say the negotiations will be
successful, but the surveys we
have made of the lands in the
north have greatly helped to
ward a solution.”
-o
Behnsen Taken South
Louis Behnsen, well known
Stewart resident who sustained
a broken leg last week at the
Premier mine, was brought to i
town Monday and was taken
south on the evening boat for
treatment in a Vancouver hos
pital.
Details of the accident dis-;
close that it occurred while Mr
Behnsen and George Hills were
endeavoring to pull an ore j
chute last Saturday morning.
The ore is said to have stuck i
in the chute and the two men j
were attempting to dislodge it !
with a bar when the rock came j
down with a rush, catching j
Behnsen and shattering his
limb badly between the knee
and ankle. The break is said j
to be an unuusally severe one i
of the compound type and it
is not definitely known if the
shattered limb can be saved.
-O
I
Chamber of Commerce Host
At Bridge Social
The bridge social and dance j
given by the Hyder Chamber j
of Commerce attracted a con
siderable gathering to Pioneer
Hall las! Saturday evening and
proved to be'an highly enjoy
able entertainment. Following;
the bridge tourney, in which!
nine tables were occupied, a
tasty x'epast was served, fol- j
lowed by dancing.
Mrs. E. D. Haddon carried off j
both the first prize for ladies;
and the sweepstake prize in:
the bridge tourney and Don Es
selmont was awarded the gent
lemans’ prize. Consolation
prizes were won by Mrs. L. L. j
Legge and John Hovland.
•o
T. J. Shenton, B. C. Mines in
spector during the past decade, j
has retired and has been suc
ceeded by Charles Graham,
former superintendent of the
Canadian Colleries coal mines I
on Vancouver Island.
the local banking and finan-;
cial exchange business through i
the Stewart branch of the Bank
of Montreal and the local man-'
ager, Mr. R. E. Haack, has al
ready arranged to assist the lo
cal situation as far as possible
by carrying a supply of Uuited
States funds in Stewart, which
will be available for local re
quirements on a purchase bas
is.
PROMISING OUTLOOK
FOR BIG MISSOURI
Strong intimation that devel
opment operations will be re
sumed on the Big Missouri and
that only the development of
slightly increased mineral val
ues will insure the success of
the property are contained in
the annual report of the Con
solidated Mining and Smelting
Company as presented in the
Vancouver press.
The report says with refer
ence to the Big Missouri:
“While the results of the ex
perimental mill do not indicate
the presence of a commercial
ore deposit in the workings so
far opened up, they have dem
onstrated the existence of a
gold bearing zone, in which
very little greater concentrat
ion of values will spell success.’
The report then adds the fol
lowing significant statement:
“This may be found in other
sections of the property on a
lower level.’’
While the report contains no
assurances regarding a re
sumption of activities,, reports
for a number of reliable sourc
es since the campany meeting
indicate that development may
be expected to be resumed at
an early date. One report has
it that the company is planning
to open a new low level tunnel
with its outer terminus on Sal
mon glacier and that in the
event of mill construction the
mill will be located at a point
below the glacier.
Hunting Regulations Amended
New Alaska game and fur
regulations to become effect
ive‘July 1, 1932, have been
published by the Department
of Agriculture in a new Game
Commission circular issued
April 2.
Among the outstanding
changes in present regulations
are the closing of an area in
the northeastern part of the
Kenai Peninsula for the pro
tection of moose, the closing to
all hunting of an area in the
Delta river region near the
Richardson Highway for the
protection of the government
buffalo, several of which were
wounded by hunters late last
fall; establishment of a limit
of two brown and grizzly
bears for residents of south
eastern Alaska, and the estab
lishment of a closed season for
laige brown bears on Afognak
Island.
An open beaver season is an
nounced in 1933 in all fur dist
ricts except District No. 1, em
bracing southeastern Alaska,
and District No. 3, including
the Alaska Peninsula and the
Kodiak Island group. Use of
motor vehicles and machine
guns in hunting protected ani
mals and birds are also prohib
ited under the new regulations.
Because the circular is being
issued prior to the announce
ment of the new open hunting
reason for migratory game
birds throughout the United
States, the new regulations pro
vide that the Alaska open seas
on in 1932 shall be the same as
that established for the Terri
tory by regulation under the
mignrtory bird treaty act.
OUTLOOK FOR EARLY
SUER ACTION GOOD
That the minds of world lead
ers are turning more and more
toward silver rehabilitation as
an essential to the restoration
of world prosperity is clearly
disclosed in evidence present
ed recently at the silver investi
gation now being conducted on
its own initiative by the House
committee on coinage, weights
and measures in Washington.
Sir Reginald McKenna, of
the great Midland Bank, Lon
don, told the house committee
in a letter that he thought
prompt international cooper
ation on silver “imperative.
His statement was an answer
to a request by chairman Som
ers for an expression on the
need for an international con
ference on silver. Similar re
quests were sent by Somers to
government officials and econ
omists of several countries. In
his reply, Sir Reginald ex
pressed the opinion t h a t
“prompt international cooper
ation is not only desirable but
imperative at the present time’’
and that “a reasonable stabil
ity can be given to the cause of
silver only through internation
al action.”
In answer to a similar quest
ion, Winston Churchill, former
chancellor of the British ex
chequer, said he considered
“that the question of the re
habilitation of silver through
the joint action of the principal
western nations should be one j
of the principal matters to be j
considered by international ;
conference.” He also expressed
the view that “prompt inter
national cooperation upon the
monetary conditions is not on
ly desirable but imperative at
this time and that it can be ef
fected only through internat
ional conference.”
Sir Robert Horne, former
English chancellor of the ex
chequer, predicted that the re- j
monetization of silver would be
one of the chief topics to be
considered at the next British j
imperial conference at Ottawa
iln June and endorsed a sug-:
gestion that the United States!
might act in conjunction with !
Great Britain in establishing a
bimetallic standard. He said
he believed the establishment
of a bimetallic standard would
be an aid to the solution of the
world’s most difficult econom-1
ic problems.
Continuing his long effort;
to induce action on silver by;
the administration, Senator
King of Utah recently intro
duced a resolution requesting
President Hoover to call an in-;
ternational silver conference. !
The resolution calls for a con- j
ference to consider plans toi
“increase the use of silver for j
monetary and other purposes,!
including the restoration of sil- j
ver to its proper monetary j
status as a part of the primary
and basic money of the world.”
-o-|
The Friendship Club has pur
chased from Gus Errickson the
big Victor orthophonic phono
graph used recently to provide
music for several public enter
tainments with excellent suc
cess.
[ Salmon River Flood
Control Report Arrives
Several copies of the printed
report of the War Department
Engineers office on the Salmon
river flood control project were
received this week by the Her
ald from Alaska delegate
Wickersham.
The flood protection plan
proposed by the report con
templates a single dike of pile,
brush and rock construction
extending parallel to the east
| bank of Salmon river from a
point just south of the rock jet
ty below the graveyard to the
vicinity of the river mouth.
■ The entire length of the pro
posed improvement is 4,334
feet, including 681 feet of the
existing pile structure a short
distance south of the old rock
wing dam. The design to be
followed in the 3,653 feet of
new construction includes ex
cavation to the grade of the
bottom of all overflow chan
nels crossing the location. The
excavated material is to be ov
ercast away from the river as a
waste bank which will serve
the dual purpose of providing
backing for the pile, brush and
rock revetment as well as a
roadway for a permanent nar
row-gauge track for the haul
ing of brush and other mater
ials for construction and main
tenance. Dredging of divers
ion channels is not considered
necessary or practicable. The
only addition work contemplat
ed is the reconstruction of the
681 feet of the present pile
structure and the clearing of
the westerly portion of the
original flood plain, from
which the suitable timber
would be used in the construct
ion of the revetment, The latter
would comprise a sloping wall
of logs, rock and brush work.
The project also contemplates
the abandonment of a short
section of the present road at
the rock cut a short distance
north of town and construction
of a new section of highway j
connecting with the ecemetary j
road and running aerosse the '
easterly side of the cemetery j
plot.
Estimated cost of the pro
posed plan is placed as fol
lows. Recontruction of initial
681 feet. 83,770; new con
struction, 3,653 ft., 841,320;
clearing flood plain west of the
present channel, 83,200; engin
eering supervision and inci
dentals, $4,710. Total, $53,000.
Annual maintenance is estimat
ed at $1,000.
The recommending clause of
the report signed by Major
Malcolm Elliott, says:
The survey has established |
the fact that the floods of Sal
mon river can be controlled to
the extent of providing ade
quate protection to both Feder-1
al and private property at Hy- j
der at a cost of $53,000 which
appears to be justified by the
benefits to be derived. I there
fore recommend that the work
as outlined be authorized by a
Federal appropriation of $46,
000 and $800 annually for
maintenance, the expenditure
of which to be contingent upon
a local or territorial contribut
ion of the required balance of
$7,000 and $200 annually for
maintenance.
PREMIER SHUTDOWN
REPORTS IRE DENIED
Reports published recently by
Vancouver newspapers to the
effect that the Premier mine
would close down soon owing
to ore depletion have been em
phatically denied by Dale L.
Fitit, general manager of the
Premier Gold Mining Comp
any.
Mr. Pitt, in a press interview,
! denied absolutely that the
j company is contemplating sus
1 pending its operations at the
| Piemier and declared that op
erations are being conducted
on a normal scale.
In addition to flatly denying
that a shut-down is imminent,
Mr. Pitt also placed a quietus
on the ore depletion report by
asserting that the probable life
time of the property has not
even been estimated.
Mr. Pitt characterized the re
ports of an early closing down
of the property as particularly
unfair to the small stockhold
ers of the company.
Mr. Pitt returned Thui’sday
from Vancouver, where he at
tended the annual meeting of
the Premier company last
week. H. A. Guess, vice
president and managing di
erctor of the company, was
present at the meeting and de
tailed the situation at the Pre
mier mine along the lines pre
sented in the annual report, a
digest of which was published
recently in these columns.
■O
Moose Enjoy Big Frolic
The masquerade dance given
by the Moose lodge for mem
bers and their families in Stew
art last evening was one of the
most interesting and enjoyable
dance events of the year and
was attended by a large gath
ering from both sides of the
boundary line.
Costumes were numerous and
varied and the hall presented
a decidedly colorful scene.
The hall was handsomely dec
orated with the Moose colors in
various combinations.
Two costume prizes were
awarded, that for the ladies
being won by Miss Catherine
Finla.vson of Hyder.
-O
Snow Crushes Power
House on Mount&inview
Arthur Moa, manager of the
Mountainview Gold Mining
Company, completed this week
the construction of a new pow
er house on the company prop
erty on Fish Creek. The new
construction was made necess
ary by thecrushing in of the old
power house building by the
heavy snows of the past winter.
There was some 15 or 20 feet
of snow on the building. The
great weight crushed in half of
the roof and blew out one wall,
leaving the building practical
ly a complete wreck.
An interesting feature of the
report is that the division en
gineer at San Francisco recom
mended that local interests
should contribute $24,000 of
the cost of construction, instead
of the $7,000 recommended by
Major Elliott.
Copies of the report may be
seen at the Hyder Drug Co. and
Herald office.