The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-05-11

partmsat mado report to-day In obedience 10 the
order Of the House tney say that cxtravaguncc and
disregard of legal restraints have been recognized at
almost every STEP OF their inqi,ry, and previous "a
the beginning oil the present administration OF the
Department
Al the outset they wore staggered at the immense
sums apparently owing by tue several bureaus reach
Ing The sum OF more ihan 900 and this, too.
twithsianding the enormous appropriations made
annually from 1869 TO 1915 both inclusive. aggregat
ing ~ amount sl49 100000. hors is nothing TO Com
peGsate the vast outlay a navy couLemptt
bic even IN comparison with taose OF Third
and fourth rate Powers. Notwithstanding tho
plain terms OF Law open purchases have been tho
chief mode by which tue Navy Department has been
supplied with material not In obedience to expedl-
cncy but vastly Ia OF its means This violation
OF law. without warrant OF precedent or authority, has
depicted the Treasury TO The extent OF millions OF
dollars and has been The food upon which pampered
favoriles have attcned. while It has tho
payment oil moneys due u mefitotious class OF cred-
itors 10 sucn an extent thai many nave involved
In bankruptcy all OF them subjected 10 irrepara-
bic loss. The amount OF open purchases aud bureau
orders within the last few years more than
$50, 600, 600 All the advantages OF an open market
have been ignored TAR competition avoided and both
tho letter and spirit OF ih' NV disresarded.
share OF the Indebtedness OF the Department
Is due account OF the contracts Tor repairsnore
properly Tor rebuilding the Puritan, Amphitrlte,
double turreted monitors The contracts contain
clauses provaing Tor the exchange OF new for old ma
teriaL TINS involves violation OF Ia" on The part
OF the Secretary Of tho Navy. The sum which has
been paid or romans duo on contracts Tor tho con-
sl,Ol
largest contingent liabilities government grows
OF the orders Tor timber and ron-ciads and boier5
The majority OF tho Committee report that the
debtodness which they bava mentioned Is owing 10
certain parties IN amounts opposite Their respective
In tue Bureau OF Engineering, aggrcgat-
inS....... Lid, o.0 o1
In The Bureau oil Construclion and Re-
pairs. 929 o34 90
Amounts Tor timber IN the Bureau
OF Constructor aud Repair. .......... 4l6. 3y2 81
tho Bureau oil PROVISIONS Clothing All ,v35 -
Making total of.................. s3.l7, 1888 70
ln conclusion the majority recommend the adoption
OF the following resolutions:-
That the Committee on Appropriations be and
hereby is instructed u report an appropriation in the
sum OF SO, 2llI3s TO- or 50 much thereof as may DO
necessary enable the Secretary OF the Navy pay
the claims mentioned to the respective parties named
hereinafter.
Instructed 10 caucci contracts, dated March g. 1877.
with Phneas Burgess, Tor the competitor o. the Mo-
nadnock, $685. 900; with William Cramp d Sons. ioi
the completion Of the Terror, S5IS 600; with Harn
Hollinsworth, Tor the completion OF tho Ampnitrite
S57S e00 with John Roach, tor me completion OF the
Puritan, si,il7 ,6t2 also contracts win tho South
Boston Iron Company, dated respectively March !
TO- 1877, Tor the construction OF boilers, together
amounting 70 tho sura Of 50 oOO,263 90.
THIS report is signed by Representatives WnllA
WAitthornc, Carl slc and Prdcmorc
Tho minority report OF the committee, signed by
Page, Hubbcll and Williams OF Oregon,
says The report OF the majority Of the committee
the great defect Of Ignoring tho testimony by the
committee. and tho plain conclusions to be drawn
from IT, to create occasion Tor undescrved CEN
sure They believe the truth Is desired by
Congress rather than fault finding, aud that
II not well 10 substitute unsupported u.s.
sortions and assumptions Tor sworn evidence They
have therefore not been able agree with the ma.
joriy their presentation OF the results OF this In
vestigation ana The sweeping censure OF all con-
ccrned and then give their own conclusions, derived
from the testimony
The principal part OF the Indebtedness OF tho
Navy Department Tor the rebuilding OF i've double
turreted iron.ciads. IL Is difficult to where any
Is found ether IN The law the testimony "a
criticsc any contracts for tho rebuilding OF tnesi
great vessels. on the ground that such contracts
not in pursuance OF advertisements Such
tcrs not the subject OF advertisements and cannot
practically be made so, nothing provisions
OF governing purchases for supplies and services
IN tho Navy Department. has any application
to such contracts Tho practice ha, bocn
to secure competition anon. bidders by advertise
ment or by personal notice, and tho testimony taken
shows this was done chccualy before tho contracts
Tor building the IRON clads were gwen aud low
secured from competent parties, but from
tho foundation OF the government IT has not been
held that tho law requires such work TO be ndvef
tised and lot the lowest bidder secured by
such advertisement. With regard TO open purchases
OF supplies aud services tho testimony Is unilorm
that the government gets better arlcos at cheaper
rates than where Is done by advertising Ine bulk
OF purchases has been Wy advertisement, the law
requires, the exception beng whore immediate de-
| livery or performance was necessary.
IN cOncluhiOn the minority say tho exact amount
OF indebtedness OF tho Navy Department 10
s3217, 1873 To- The creation OF this indcb cdness
was largely from change OF policy ny Congress. Ny
which the appropriations for the working bureaus o1
the department. wero greatly reduced leaving tho
WORK contracted for and necessary 10 DO nnsheL 10
incom plete state. There was nothing criminal OF
improper in tho mode this indebtedness arose and
nothing in u concealed from Congress- Tho par,ics
dealt with may well complain thai tho government
dlscgards just Obligations 0y leaving tnem unpaid.
The mino ity agrco with tho maj Jrty la u recorn-
mcnda,ion for the payment OF this Indebtedness and
present a resolution inslructng the Secretary Of
tho Navy TO examine tho contracts for tho
completion Of tho Monadanock, Terror, Am.
philrito and Puritan. and also contracts with
tho South Boston Iron Company for the
construction Of boilers, together amounting TO the
OF So COO 263 90, and being satisfied that the
same are with responsible parties aud Tor proper
prices To corarm ana carry out tho same, that
Apr priauon be mndc therefor.
Tao reports were ordered to DO printed and rccomA
mittod
SENATE or THE BILL TO REPEAL THE BANK.
RUPr LAw-ASoTHER pIsoRAcEfUL SCENE
IN THE HOUSE OVER SOUTHERN LoYALIsT's
CLAIM.
The Senate, at tho conclusion OF business to-day,
adjourncd until Monday. rho bill repeal the
Bankrupt law was passed. n the foliosing iorm:--
30 II enacted &C.. that the Bankrupt Law, approved
March . 1867, title o. Revised Statues ana act
entitled IAN net 10 amoni aud supplement act
ttlcd act TO establish unitorm system OF bank.
ruptcy throughout the United States, approved March
=, 1851, and Tor other Purposes, approved June a.
1874, and all acts III amendment OF suppcm entsry
thereto or IA explanation thereof be and tho Same
are hereby repealed provided, however, that
such repeal shalt IN. no manner invali late or
affect any case Ia bankruptcy Instituted and pending
court prior TO the day whom this shall tAk0
effect, but To all such pending aad all iu
turc proceedings thsrein aud IN respect OF al pains
penalties anu forictturcs winch shall have been In
under any OF saia acts PRIOR TO tho day when
tnis takes effect, which may be there
alter incurred under any oil those PROVISIONS
OF any or said acts which, Tor tho
purposes named In this act, kept in force and all
penal actions ana criminal proceedings Tor violation
any OF SAID acIs, whether thea pending or there
alter Instituted, anu In respect OF all rights OF dcbto
and creditors except tho right OF commencing
ginal proceedings Ia bankruptcy, aud all
rights Of aud suits by, or against, assignces. undai
any or nil o SAID acts IN any mater or case which
shall have prior 10 the dag when IN act takes
elect, wnlcn shall be ON the IRt day oil September