The herald., 1893-02-15
At THE THE SEAT SEAT OF OF GOVERNMENT GOVERHHAMAEH 7.
Sherman's Bond Resolution
Favorably Reported.
The Nicaragua Canal Discussion in
the Senate.
Dreary Debate of the Invalid Pensions
Bill In the House-Points About
San Diego Harbor-wash-
ington Notes.
By the Associated Press.

By the Associated Press.
WASHINGTON, Feb. 14.--In the senate
today, Sherman reported back to the
senate from the committee on finance,
the amendment suggested by himself
some days ago with reference to the
issue of United States per cent bonds.
The committee directs that it be offered
as an amendment to the sundry civil
bill.
Stewart submitted the following
amendment to the Nicaragua canal
bill: All money arising from the sale
OF bonds, applicable to the construction
and equipment of the canal, shall be
expended by the secretary OF war, sub.
ject to the laws, rules and regulations
applicable to the construction of public
works in the United States, and the ex-
isting contracts relating to the construc-
tion of the canal shall be cancelled, and
and said company shall have no power
or control over said money or to make
contracts for the construction or equip
ment of any part of said canal, to be
paid out of said money.
The senate then proceeded to coneid-
bill. Nearly half of the bill was dis
posed of when the Nicaragua bill was
taken up, and Sherman, in charge of
the bill, made statement in explana-
ton, he said. of some points which
seemed puzzle to the senate. His
statement was to the effect that under
the bill all contracts now subsisting be-
tween the Maritime Canal company and
the construction company, were abro-
gated; that the United States would
start in the work with clear table;
that it would own $50, 100000 of the
100000, 900 of stock, and would have
10 directors, the Maritime company be-
coming mere agent of the government.
Twelve million dollars worth of the
stock, he said, was in tine hands of pri-
vate owners, and could only be obtained
from them by some method OF condem-
nation.
Brice inquired whether it would not
be policy for the government to fix the
canal tolls so as to leave no dividend for
the stock, and whether, in that event,
the S12,O00,000 stock in the hands of
private owners would be of any value
at all.
Sherman replied that his colleague
stated very clearly the exact position
which the committee ON foreign relations
took.
OF what value will the stock be,
Brice persisted, if the government of
the United States shall 80 fix the tolls
as to leave nothing for the stockholders
Sherman replied that he was not pre-
pared to speak OF the value of the stock.
Teller intervened in the discussion.
Sherman declined to submit to inter-
ruption, which Teller excused by saying
he interviewed because the senator from
Ohio had been making misrepresenta-
tion.
''That is false" said Sherman. "I do
not misrepresent anything. Isay again
if the government of the United States
shall have control of this canal it is not
to be presumed it would levy such tolls
SIS would pay dividends on watered stock
or any other Stocks"
Squire made an eloquent speech in
support of the bill, at the close OF which
the bill was laid aside and the senate
went into executive session. When the
doors were reopened the senate resumed
consideration of the Nicaragua canal
bill. 1t was not disposed of, and con-
sideration of the sundry civil appropria-
tion bill was resumed. All but II pages
of the bill were disposed of, the amend.
ments for worlds fair items and river
and harbo- Improvements being re-
served, and the senate adjourned.