The morning call., 1892-07-24
MUST PAY THEIR DEBTS.
Senator Morgan Gees After the Pacific
Railroads.
Bill Proposed to Establish Government Supervision
Until the Debt Is Paid in
Full.
Special to The MORNING CALI.

WASHINGTON, July Ex-senator Morgan
OF Alabama has resolved that the Union
and Central Pacific railroads ought to be
made to pay their debts due to the United
States Government. In the Senate to-day
he introduced a bill providing for boards of
directors for these respective railroads, 10
consist of 10 citizens of the United States,
five to be elected by the stockholders of
each Of the said corporations, and having
the qualifications now prescribed by law,
and 10 directors to be appointed by the
President OF the United States, to be Sc
lected as far as may be from the leading
commercial. industrial, professional and ag-
ricultural classes, without reference to po-
litical affiliations, none Of them to be stock
holders or bOndholdeTs in any railroad COM
pany, canal or water transportation COM
pany. and not in any business as common
carriers.
The said 10 directors are to hold office for
two years, subject TO removal BY the Presi-
dent. These, together with the other five,
shall constitute the board Of directors with
the same powers as now conferred upon the
existing boards of directors Of these roads.
Each III ember shall receive from the conf
psny an annual salary of $4,000 besides his
actual travelling expenses while necessa-
lii1 cUSdRcu III etTFice T6idlluR TO tue TOau.
The President may appoint the same per-
sons as directors of each of the said corpo-
ratlOns, but without an increase of salary,
and IN this case tue SAID corporations shall
pay the salaries and travelling expenses in
equal parts.
Powers OF the Directors.
In addition to the powers now conferred
by law upon the U MON Pacific and Central
Pacific Railway directors, they are empow-
cred to contract with stockholders or bond
holders or the creditors secured by mort
gage or either OF said corporations for a full
and final settlement of the debts and out
standing obligations of either OF said roads,
subject 10 ratification by Congress. or. in
like manner and subject to like ratification,
they may contract with any persons or cor
pOrations for the sale or lease of either or
any part Of all their property, rights and
interest OF every kind, including their cor
porate franchise; said corporations shall be
liable for and bound by the acts and conduct
OF their respective boards OF directors with
cut recourse against the United States on
the part Of any persons who may have
cause of complaint against either CORPORA
ton. All laws In contravention of this are
repealed. This act Is TO expire when all the
debts due or to fall due TO the United States
from either corporation are fully paid up,
or when the same are secured to the salts
faction OF Congress.
Must Pay the Debt.
Senator Morgan said to THE CALL cor
respondent that it was a shame that the
Government should permit these roads to
evade the payment of their just debts, and
he proposed to see if he could not bring
them 10 terms. lie believes that majority
of the Senators will act with him. Senator
Morgan has kept pretty we'll posted on
California railroads and transportation
matters, and is fully aware of the way the
Southern Pacific Company squeeZeS the San
francisco shippers. and how this company
is enabled TO stitie all competition by fair
or foul means, aud he may have something
to say to the Senate on this subject here
after upon the information he has received.
The Hydraulic Mining Bill.
The Senate Committee on Mines and
Mining held another meeting this morning
TO consider Csminetti's hydraulic mining
bill. No quorum was present, but the ex-
preston OF sentiment of those present
was favorable to soma measure looking to
the resumption of hydraulic mining in Cali
fOrnia and the erection of works tc restrain
the debris from finding its way into the
streams 1t is not considered probable,
however, that the bill will be reported this
session, as the Senators of that committee
think ii a big question aud one that should
he considered very carefully. Senator
Bate is likely to give the bill more trouble
than any one else.
Name OF the New Cruiser.
Secretary Tracy to-day directed that the
Triple screw cruiser NO. II, heretofore
known as ''the Pirate, " be named Colum bia.
This is In recognition of the four hundredth
anniversary of the discovery of America, of
the seat of our Government and the capital
of the State of South Carolina.
ManIey Resigns as Postmaster.
Joseph II. ManIey, having accepted
membership OH the National Republican
Executive Committe, has resigned his posi-
tiOn as postmaster at Augusta, Me-, and
Walter ID. Stinson has been nominated to
succeed him.
Pensions Granted.
Pensions have been granted as follows:
California; Henry 5. Cogsweli, Cyrus n.
Frazier. Alvin l.. Pounstone, James c. Per-
hum. Amos Vanzandt, George f. Hogle,
Richard G. White. Ressue-Samuel Tag
gart, Mary E. Thomas. Elizabeth B. Dexter.
Capital Notes.
The Land Commissioner decision has
been affirmed in the case of Frank ID.
Decker VS.. William ID. Crichton in the Stock
ton district Of California.
DIR. John Ransom has been appointed a
member of the Board of Pension Examining
Surgeons at San Luis 0bispo, Cal.
CON GHESS