The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1874-04-27
WASHINGTON.

WASHINGTON April &c, 1874
The Defence OF the Republican Infla-
| tionists Suspended Until After the Vote
ON the VetO-The Hard Task OF the
Committee.
The arrangement that the euogies on Sumner
shall be delivered in the Senate and House to-
morrow prevents any legislation on the financial
question. The committee appointed by the repub-
can supporters OF the Senate Finance bill to draft
an address to the republicans OF the South and
West are holding protracted meetings, Senators
Morton Ferry, Carpenter and Ingalls, were closeted
tonight till eleven O'Clock shaping the address to be
submitted to the caucus tomorrow. The inten-
ton IS to defer its publication until alter the
vote Is taken in the senate. 1t has been ntimated
to members OF the committee that 1t would be in ex
ceedingly bad taste for them to critcise the action
OF the President, especially when his record has
been constant and consistent, and that 1t would
evince lack OF sagacity on their part to still
cling to a measure which they might have known
would be dlsapproved. To maintain their nnu-
ence and not appear to clash with the President
is the problem the committee OF five Senator'S have
under consideration.
The House Finance Bill-Hope Of Passing
Mild Imitation Measure which the
President May sign.
The Senate Finance Committee will this week
consider the House Finance bill. 1t is thought
by many conservative men that bill
may be framed acceptable to the Senate,
combining the feature OF redemption proposed IN
that BILL with the right to issue additional bank
notes on the condition that certain proportion
OF legal tender notes shall be Withdrawn
at the same time, and many are OF
opinion that If such blu shall be reported from
the Senate committee, with a provision authoriz-
ing Tree banking, 1t will pass the Senate and
House and receive the approval OF the President.
Alleged Fraud I'm the Contracts for the
Construction Of the Central Pacific
Railroad-Credit MObilier Emulated-
Strong Argument for an investigation.
Mr.. Luttrell made an argument yesterday before
the House Committee on Pacific Railroads In sup
port Of his resolution calling for an investigation
OF the'Central Pacific Railroad and the Contract
/ and Finance Company matters. There was
bare quorum OF the committee present,
! consisting OF the chairman, Mr. Sawyer.
and Messrs- Houghton, Williams. CrooSe,
McDn. Standeford and Neal Mr.. Luttrell
reminded the committee also that the proposed
investigation by the terms OF hts resolution, was
to be directed to ascertaining whether the gov
/ eminent was not absolved from their obligation TO
pay either the interest or principal OF the bonds
issued by the railroad company dt is alleged
| fraudulently) for the benefit OF the Contract and
! Finance Company. He adverted to the demand
/
press for this investigation, quoted from
the sworn statement OF samuel Brannan
| in his suit against the directors OF the
/ Central Pacific Railroad Company, and showed,
| from "POore's Railway Manual - that the average
cost OF the construction and equipment OF rail-
roads in the United states IS less than $44 900 per
mile, and that the Baltimore and Ohio Railroad,
with the heaviest grades, bridges and tunnels IN
the country, cost only $4,000 per mile; while the
Central Pacific directors claim that the mere
construction OF their road without any expendl.
ture for right OF way, stock, timber, &c, cost
$1l2, 600 per mile. He insisted that the Contract
ana Finance Company was worse than the Credit
Mooilier, which had made s4S 900, oOo in fraudulent
contracts for building the Union Pacific road, and
argued that the directors OF the Central Pacific
| had practically confessed the truth OF Mr.. Bran.
| mans statements by settlement with him. He
argued the necessity for an investigation which
should lead 20 compelling the Central Pacific dI.
rectors to dIsgorge the tens OF millions Of
dollars which they had dishonesty acquired
to the vast detriment OF the government Sc
curity for repayment OF enormous interest, adj
vances and Tor It's liabilities as indorser OF the
railroad bonds. The company should also be CON-
PEELED 10 repay these advances and provide sink
ing fund OF five per cent Annually in accordance
with the sixth section OF the law OF July, 1882 which
| had been persistently ignored and disregarded.
| An honest Investigation could harm none except
guilty parties and the country would be satisfied
with nothing less. Mr.. Luttrell read afidavits OF
James d. Rogers, Supervisor OF Placer county,
Cal, asserting that Director Croker had attempted
to bride him tiogers) to sign a false report
! in the interest OF the Central Pacific Rail-
road Company, and had threatened to shoot
him II he divulged the attempt. Mr. Lut-
fren said the Legislature OF California
inv inat tha fFot
OF this railroad company, and could not
even compel the collection Of taxes against it upon
ridiculously low valuations set by the company
upon It's property In that State as 1t claimed to be
responsible only 10 Federal authority. Not SIN
gle member OF the Legislature, either democratic
or republican voted against the passage of
the resolutions demanding this investiga ton,
and it was called for by the people throughout the
whole county. II 1t were ordered be would pro-
duce ample testimony and unimpeachabe wit
nesses to prove every substantial allegation he
made.
General Franchort, representing the Central
Pacific Company, requested and was granted
permission at some future day to an
swer the statement OF Mr.. Luttrell.
and said he would be prepared to show that they
misrepresented the case in important particulars.
Mr.. Luttre reiterated his ability TO substantiate
all that were material, and the committee then
adjourned without fixing any day for further hear
ing,
Claims Disposed OF by the United and
Mexican Mixed nnnissson.
The United States and Mexican Commission re-
Gently dismissed eleven claims against Mexico, as
foiiows:--Julio Lang, Reynolds and Thomas, John
DalJ, Edward Dongnerty, Michael Thompson. J. G.
and r. NJ Lobse, L. l.. Lawrence, Anil
care Rencar, Williams and Alpin,
Rogue de Genate and Jonn G. Huston. Most or
these claims arose out Of the acts OF the so-caed
Zuioaga and Mrafnon governments OF 1853 1859
and 1860. for which the commissioners decline to