New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-09-16

| Intelligence has. beenIsreeeived here that dis
tuTbances have occurred on the island of Majorca
THE CANADIAN RAILWAY SCANDAL.
DIRECTOR BURPEE's VERSION OF TIE CAsE-TEsrT-
MONY OF MEsSRs. CAMPBELL AND MITCHELL
HISTORY OF THE CHARTER-EMPHATIC EVIDENCE
THAT THE GOVERNMENT WAS NOT CONCERNED IN
HUGH ALLAN's NEGOTIATIONS WITH AMERI-
CANS.
OTTAWA, Sept. 15.-The Commission met at
noon. Director L. Il. Bnrpee of st. John the first wit
ness, deposed:
Knew SIR Hugh Allan and g. W. McMullenj was told
by McMullcn that agreement existed between the
Americans and Sir Hugh Allan 10 build the Pacific Rail
road the Americans to furnish the capital to build
the road believed the Government opposed negotiations
with Americans; was nominated director by members
OF the Government from New Brunswick; asked
to become director in the lnterO Oceanic Com
pany understood from the Hon. Mitchell Tiey
and other members Of the Government that the raway
would be built by British and Canadian capital; also
understood the Inter Oceanic and the Canada Pacific
Company would be amagamated, stated by the Gov
ernmen consequently did not think Ii OF much conse-
quence which Company he joined; was quite convinced
the Government opposed TO the introduction OF the
American element before becosing director had talked
the terms of the charter with different persons; the
distributed with that object; IN that view it given to
directors TO be divided among the different Provinces
prohibited; premium was allowed to be put
on the stock; the 10 directors stood upon
gwen by the Government very liberal In tue former
company; thought there was some money to be made
of this railway; in the chartered company did not
see much TO be made knew nothing OF the alleged
understanding between the Government and Sir Hugh;
the candidates their friends; did not believe the
money from the Upper Provinces; had seen some
by Sir Hugh Allan; told him he had advanced money to
Sir Hugh the expenses OF organizing the com
pauy witness believed sir Hugh opposed to his
appointment: subscribed on behalf OF New-Brunswick
one-thrteenth and paid tenth all the subscribers
OF the Governments under the charter OF this
present company impossible for Americans to get
In.
The Hon. Mr.. Campbell testified
Had been member OF the Cabinet since 1867 had
knowledge Uf any agreement between Sir Hugh Allan
and Americans; the Government never encouraged sucn
negotiations, Dut entirely opposed to such scheme
and decided on the absolute expulsion OF American
capitalists after the session OF ls2t was the pronounced
policy the Government 10 buid the road entirely with
British aud Canadian capital. and TO bring about an
amalgamation OF the two companies read McMulens
announcement from the Government in his American
negotiations witness went TO Toronto III October, 1872
on behalf OF the Government 10 try ana bring about
an amalgamaiion of the Canadian companies; his
attempts failed time aiterward SIR JOhn went TO
TORONTO to make last attempt; Mcpherson thought
mo lands or lines of railway might fall into American
hands he (CampbelD showed Mcpherson that the Gov
eminent would guard the charter aud give such guar
niees that il would be Impossible for Americans
cure any control the lands railway several OF the
Guarantees; MCPHERSON wanted it stipulated that Sir
Hugh should absolutely excluded from the Presidency
of
charter held control over the Company
at every step their proceedings the guarantees were
perfect did not know whether SIR Hugh knew OF these
Efforts 10 ANAL gamate that time thought at during
the OF 1872 Sir Hugh was INFORMED that Anef
- amagamatIon the Government decided 10 have new
company formed under the act passed. when would rep
resent every Province in the Dominion ana give eash
Provinee 1roportionate influence in the company the
desire of the Government was 10 secure men Oh Wealth
and railway experienced much time was gwen 10 lhe
formation Of the charter believed its provisions were
as perfect could be framed, having IN view the int
rests OF the whole country; the opinion Oh ran
NAV men was that the charter was TOO strin-
gent aud too harsh on the COMPANY knew N
heen furnished by Sir Hugh members OF the Govern
ment LJudge Day read Carriers letter OF June
2 Witness this letter. knew notlnR aoVut
r. was told by Sir John in Kingston after his election
that Sir Hugh had subscribed To the electons ala not
know there any agreement 10 give the chafter TO
Sir Hugh: witness was in "a position 10 know all about
the charter; there never was an agreement between
Inv which the charter to be given for any
consideration; the Government never at any time
promised the charter to any one; was positive
sucb a thing had never occurred IL was absolutely i'm
possible; no matter what company might be formed.
The terms i'm the present charter would be insisted upon
an agreement made between any individual member
of the Government aud others would nave
onposed 70 American control had Sir George Cartier
made agreement between the Government ahd Sir
Hugh or any else by which the charter was TO be
given for any consideration would have been much
waste paper anv agreement must ne submitted 10 inc
avoid the creation OF sectional feeling with regard TO
the railway and to have company which would induce
ion Sir Hugh Allan the acknowledged representative
Of Quebec railway enterprises and could not be excluded
without his consent believed Sir Hugh's income was
5000 600 per YEAR he had taken an interest In the Pa
cinc Railway enterprise long before Mcpherson did;
having desrcd to embark his wealth in It his views
entitled 10 some consideration; Sir Hugh was aware Of
the Governments intention to exclude Americans, aud
agreed with their decision before going into consider
alton OF the details OF the charter; Sir Hugh tried TO
modify mauy features in the charter but never once OBJ
jected TO the provision excluding Americans.
The Hon. p Mitchell testified:
Knew nothing OF Sir Hugh Adams alleged agreement
with Americans; heard rumOrs OF such negotiations
taking place; MeMuen told him so; much time was
spent by the Cabinet the consideration OF be charter
point always kept prominent, namely, e1clu-
sion OF under the charter granted sir Hugh
has no advantage his codrectors the Government
careful TO provide against man OF SIR hugns
wealth and power having undue advantage; knew no
arrangement had taken place between the Govern
and Sir Hugh respecting furnishing FUNDS for the
elections; no money from the Upper Provinces TO
New-Bunswick during the election: maritime men
rather feared Sir Hughs influence and were anxious 70
every precautlon against the Interests OF the
smaller provinces being overlooked
AT the conclusion OF Mitcheps testimony the Commits
sion adjourned till II a. IN. tomorrow.