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Show BEPOET OF THE 003.IMISSIONER OF INDIAN AFFAIRS. 161 the sale of certain town sites on the Osage Reservation. Five town wites were established, named Pawhuska, Foraker, Bigheart, Hominy, and Fairfax. The lots in these town sites were sold at public auction to the highest bidders. All those in Pawhuska, Foraker, and Big-heart were sold at the initial sales, except certain lots in each town site which had been reserved for schoolhouse sites. A few of the purchasers of lots in Pawhuska defaulted in the second payment, and these lots will be offered again for sale. Deeds for the lots have been executed and delivered to the purchasers. All the lots in Hominy were sold except 88, and all in Fairfax except 119. These unsold lots will be offered again for sale. KLAIdATH RESERVATION. A decision of the Supreme Court of the United States (192 U. S., 355) gave the California and Oregon Land Company the fee td odd-numbered sections in the Iclamath Reservation, in Oregon, amounting to 111,385.24 acres, a part of which had been selected for allotment by Indians. This fee, however, was overcast with the right of occu-pancy in the Indians as long as they remained tribal Indians. As the sections touched only at the corners, the company found itself unable to utilize its holdings profitably: and at the same tlme the Indians' selection for allotments could not be approved. Hence both the Indians' progress and the company's interests were at a standstill, if, indeed, the Indians were not in danger of retrogression. The company procured the passage of the act of March 3, 1905 (33 Stat. L., 1033), directing an investigation of its land holdings with a view to exchanging these for other reservation lands or pur-chasing them for the Indians. After the investigation the company offered to take $835,389.30 for its holdings or to exchange for an equal area in one or more compact bodies. On December 23, 1905, this Office reported that a purchase would be out of the question, even if the price named had not been prohibitive, and that the alternative proposal was not reasonable, but that weoe the company willing to accept in exchange 64,000 acres in one or more compact bodies such a proposition would be entertained. Finally a compromise was effected whereby the company agreed to accept 87,000 acres i11 one or more compact bodies on the reservation and to convey to the Government the lands already confirmed to the company. The act of June 21, 1906 (34 Stat. L., 368), authorized this procedure, and the lands desired by the company have been selected and the selection has been 8pproved. No selections for allotments are disturbed and no indi-vidual Indian rights affected. The Indians lose only 87,000 acres of tribal land instead of the 111,385 acres, including allotment selections and homes, which the company was holding under the Supreme Court |