Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1873-01-15
No Railroads TO Receive Compensation
from the Government while they
are Indebted to the Govern
ment.
Important Change in the Army ApprO-
priatiOn Bill-The Duty Of the
Secretary Of the Treasury
in the Premises.
Mr.. Kelly's Poverty, Not his Will, Pre-.
vents his Taking Stock" in
the Credit MObilier.
The Senate Finance Committee Decides
against the Power Of the Seere.
tary Of the Treasury to Is
sue the 100000.
CONGRESSIONAL PRocEEDINGs.

| SOhGKESSkOAAL PROCEEDINGS.
| IN THE HOUSE.
On motion of Mr.. Bingham, the bill
| passed to amend the act of 1872, provid-
ing for the holding of the United States
Circuit Court in the Western district OF
Missouri.
On motion of Mr.. Potter, the bill
passed extending the time for the COM
pletiOn Of Portage Lake and the Lake
Superior ship-canaI.
The House then went into Committee
of the Whole, with Mr.. Stevenson (Ohio)
IN the chair, on the legislative, Execu-
tive and Judicial appropriation bill, the
pending question being the amendment
offered by Mr.. Randall last Saturday,
providing that no money shall be paid to
any railroad companies for transpOrta-
ton OF mails or troops while such COM
panies are in default for interest on
bonds issued by the Government.
Mr.. Beck, who had been on the Con-
ference Committee on the army appor-
tionment bill Of 1879, which contained
a section relieving the Pacific railroad
companies. He explained and justified
the action Of the Senate and Conference
Committee, and argued that the section
bad not been suTreptitiOusly introduced,
but had been elabOrstely argued in the
Senate, and inserted there BY a vote of
SO to Is. The House Conference had
desired to have that section struck out,
but the Senate Conference insisted upon
it, and asked that the question be laid
before the House. He Beck had called
attention to it as a very serious and OBJ
jectonable piece of legislation. No man
in the House had opposed the provision
or called for division on it, and it was
too late now for any one to assert that
there was anything surreptitious in the
action of the committee. Why did
they wait until the country was in
famed, and until the mention Of Credit
MObilier and of Union Pacific railroad
was like shaking a red flag in the ewes
of an angry bull He declared now,
while admitting that the legislation was
Objectionable, that the law of 1862 and
1864, as decided by the Judiciary Com
mittee of the Senate, and as decided by
the language of the law itself, only gave !
the Government the right to retain half
of the interest. No friend of his, no
of his, no colleague of his. |
knew anything about the Credit Mo-
bilieraor held stock in any of those COM
panies.
By common consent Mr.. RandalFs /
amendment was withdrawn, and the
following substituted for it, as of
fered by Mr.. Hibbard: /" That the Sec
ton of the army appropriation bill ap-
proved March 3, 1871, is hereby repealed,
and it shall be the duty of the Secretary
Of the Treasury to apply all such sums
Of money as are now, or shall become
due to either of the Pacific Railroad
Companies embraced within the pro-
visions of said section from the United
States for the transportation of troops.
mails, or otherwise. to the paw
nent of the Indebtedness Of such COM
oany to the United States for interest
paid by the United States on bonds
ssued for the benefit of such companies. y
Mr.. Wheeler moved to amend Mr..
dlbbard's amendment by adding to it
4 proviso that the repeal shall not take
effect until the Acknowledgement shall
certify to the Secretary of the Treasury
hat such railroad companies are liable
% the Government for any amount of
interest paid by the Government on the
ponds issued in aid of such companies.
Mr.. Hibbard spoke in support of his
Mr.. Dickey defended the action of the
committee.
Mr.. Willard advocated Mr.. Hibbard's
Mr.. Kelley opposed the amendment.
arguing that those who bought bonds in
hese Pacific Railroad COmpanies.
'Ought them under Congressional guar
lntee that but half of the earnings of
he companies from the Government
hould be withheld. He had never
iwned share of stock in the Credit
Aobllier, but it was not his fault that
le' did not own ten shares offered him.
{ was his poverty and not his will, and
le consented to let those shares pass him.
Mr.. Kerr said he had Thoroughly inves-
lgated the subject, and had come to the
pinion that the duty of those railroad
pay interest on their
0nds-was perfectly clear under the law
+ July l, 1852. The sixth section of
nat act admitted of no doubt. 1t was !
nder the fifth section of the act of July
1854, that this right was claimed on :
ne part OF the companies, but contend
! that that section only applied to the 2
srm OF four years, for which the time
n completing the road was extended, c
ut II his position in that respect was not
ute as strong, as he admitted it was Z
OF, he argued that the amendment pro-
osed by Mr.. Hibbard should be adopted ,
nder the reserved right to amend, alter q
repeal the original law.
Mr.. Kellogg opposed the amendment. .
e said only in the excitement of the :
our would it lead members to vote for L
amendment. 1t would be '
ntamount to reputation, and thel "
leet would fall on innocent holders. a,
Mr.. Holman argued in support of q.
ubbard's amendment, and against q
at offered by Wheeler. He intimated :,
at the opinion of the present A ttorney- =, -
eneIal was known to be in favor of the VI
and the adoption of Wheelers 10
nendment would be simply confirm 10
g the opinion of the Attorney-Gene- -,
|. The House would not deal fairly g
th the country unless it not only re- ~
aled the ninth section of the army :,
bill of 1871, but went a ~ ~
p farther, and sustained the action of VI
p Sacrpfarv of tha Vraacf7ry-