New-York tribune., 1873-09-05
GENERAL FOREIGN NEWS.
THE CANADIAN RAILWAY SCANDAL.

THE CANADIAN RAILWAY SCANDAL
MEETING OF THE ROYAL coMMIssIoN-REFusAL OF
MR. HUNTINGTON TO APPEAR-ExAMINATIoN OF
WITNESSES FOR THE GOVERNMENT.
OTTAWA, Sept. 4.-The Commission appointed 10
investigate the charges preferred against tue 10
minion Government by Mr.. Huntington met to-uay
at noon. The proceedings were opened by a ieau-
ing of the Royal Commission and recital OF tne
case since it's inception Sir John Macdonald, d. Nj
Langeven and the Hon. Mr.. Campbell were among
the audience also Sir Francis Hincks.
After reading the Commission. Judge Day an
nounced that the investigation had opened, anu
directed that Mr.. Huntington be called. VI course
he did not appear.
Mr.. Starnes was then called and sworn, lie salu
he was prepared to produce the documents placed IN
his hands by Sir Hugh Allen and Mr. McMuiiuh
they were in the same condition as when gwen 10
him. He objected to their being opened before OH
Hugh Allan's consent was obtained
Mr.. Abbot here rose and read letter from sir
Hugh Allan consentng TO the packages Deihg
opened on condition that the letters should not ne
published unless they contained evidence winch
could be legally used in the cases
In reply 10 Judge Day, Starnes said there was an
election fund With reference to Carriers electioh'
Starnes said Cartier absolutely refused to use any
railway project TO further his election Inc iuhus
were raised by subscription. Sir Hugh beine u
large means, subscribed literally. The witness had
no knowledge of money coming from other sources
He heard no mention of the Pacific Railroad IN con
nection with the election fund. He received as
treasurer of the Election Committee about s1OOOo
in subscriptions.
The letters were then opened. Letter No. 8 was
directed TO Starnes
Sir Francis Hincks was next called and beng
sworn, gave a detailed statement of what he knew
about the Pacific Railroad negotiations prior 10
legislation upon the subject The first conversation
was with Cyrille Graham in 1S70-71. Graham sald
the Americans would give up the western end OF the
Northern Pacific. providing the Canadlans "o',u
give up the eastern end, allowing 1t TO De Dulit
through American territory. From other converse
tions. he thought arrangements might be made with
American capitalists. He referred TO the
visit of McMullen and others 10 Ottawa
where they produced the names OF Ameri-
can capitalists. On every interview they
were informed that the Government could not
possibly make any arrangement with them' but were
willing to hear all they had to say on the SUBJECT
Sir Hugh and McMulen came before the Cabinet.
Sir John said the Government would listen TO any
proposition from Sir Hugh but not prepared to
accent any of them. The Government finally de-
cided on a scheme which was submitted to Parha-
ment without any consultation with outside parties
II became the unanimous decision of the Govern
ment that Americans must be excluded from any
part of the construction of the Pacific road. In
reply to the Judge, Sir Francis stated that no
understanding, directly or indirectly, was
ever come to between the Government and Sir
Hugh OF any of his friends whereby the latter were
to receive charter condition of advancing large
sums of money to aid in the Dominion elections.
He knew of no arrangement between any individual
member of the Government and Sir Hugh Allan to
that effect; knew that Sir Hugh had contributed to
the election funds. but did not know IT till long
after the elections over and the charter gven
did not know how much money Sir Hugh sub
scribed; did not believe money was offered to
any member of the Government in connection
with the Pacific road and never received
any money or promise of any from Sir
Hugh OF any one else in connection with the Pacific
Railway; McMullen's statements respecting such
loan OF gifts were pure fabrcatons Up to the close
of the election the only policy the Government bad
was an amalgamation Of the two Canadian COM
panes it was not the intention of the Government
to issue any charter until all attempts at such ANAL
gamation failed up TO October the Government
hoped such amalgamaton would be brought about.
Mr.. De Ballefville, Secretary of the Northern
Colonization Railway, testified that he had no knowi
edge of any negotiations between Sir Hugh Allan
and Americans respecting furnishing money. This
concluded the proceedings for to-day
TORONTO, Sept. THE Montreal Herald Of this morn
ing publishes private letter OF current date from Sir
John A. Macdonald to his colleague the Hon. Mr.. Pope,
containing confidential sdvices in reference TO an ex
peeted election in Montreal In the afternoon Pope pub
lished denial OF having received such letter IL
turns that the letter stolen in transmission ior
political purposes IL in similarly dlsgraceful
manner the private kilograms used as evidence III
the Canadian scandal were procured.
THE REpIrRI 10 Of SPAIN