The morning call., 1894-12-22
TIME FOR ACTION.
Caminetti Working for
Foreclosure.
HIS NEW RAILROAD BILL.
The Objections to Government
Ownership Obviated.
APPEAL TO COMMERCIAL BODIES
The Congressman Suggests That
Meetings in Support of His
Measure be Held.
APPEAL TO COMMERCIAL BODIES

polls, has introduced a bill providing for
the foreclosure of the Government mort
gage on the railroad. He has not only in
tIoGuced this measure, but he has returned
to the State to spend the recess in work
ing up sentiment and inspiring influence
favorable to its passage.
Mr.. Caninetti in discussing his bill yes
terday said that the dispatch and ease
with which the railroad pooling bill passed
the House of Representatives has alarmed
the opponents of the Pacific railroad
funding bill. Those interested in the lat
ter form as powerful a combination as
was ever organized to lobby bill through
Congress. They are active and eneT-
getic, while the people. the intended vic
Tins, are seemingly ready for the sacrifice.
Beyond the efforts of a few, little is being
done to prevent the saddIing of this
scheme on an already Overburdened
people.
The Congressman thinks there should
be a general awakening of those affected.
He suggests that mass-meetings should be
held throughout the State and the regions
through which the aided roads pass, and
declares that if California, which holds
the key to the situation, does its duty the
cons plracY Will Ialls
THE railroads." said Mr.. Caminetti,
'are endeavoring to obtain immediate
action through the Committee on Rules
for consideration of the Reilly bill. The
people of the State should object TO action
by that committee. Objections have
already been made by members of the
California delegation, but our opponents
are untiring and aggressive. a convention
should be Immediately called to protest
against the passage of that bill, and the
Speaker should be requested 10 refuse his
consent to the special rule. A hearing
should also be requested on my bill now
pending before Congress. am satisfied
that if this were Gone the railroad would
be held at bay.
''It it is impossible to hold State con-
ventiOn, each city and town, each board
of trade, each industrial and commercial
body, ought to take action"
Mr.. Caminetti said that the bill which
he introduced aims TO obviste the two
leading objections TO Government owner
ship OF rairoads-that 1t would build up
vast army OF Government officials and re-
quire the expenditure of large amount
of money by the Government in order TO
secure control of the defaultlng roads.
Briefly" he said, my proposition is
this: That upon the failure Of either of
the railroad companies to pay the debt and
interest due at the time and IN the man
Der set forth by law, the Secretary of the
Treasury, in order that the securities and
claims of the United States may be pro-
tected, shall Immediately take possession
of the roads, with all the rights, functions,
immunities and appurtenances thereunto
belonging, and also all the lands granted
thereto which at the date of default shall
remain in. its ownership, as provided by
section of the act OF 1862. Immediately
thereafter he shall request a conference
with the holders Of the first mortgage
bonds for the purpose of extending the
time of their payment twenty-five years
with in terest at the rate of - per cent per
aDnum.
The Secretary is authorized in behalf of
the United States TO assume payment
thereof If the holders do not agree to
accept the terms thus offered. he IS author
lied 20 issue bonds equal in amount TO the
aggregate of such prior mortgage, payable
on or before the expiration OF twenty-five
wears, bearing interest at the rate Of
per cent per annum.
''It is the duty of the Attorney General
TO take such steps, In the courts and other
wise. as shall protect the rights of the
United States and make operative and
final under sections 5 and of the said act
of 1862 the forfeiture of the road so de-
faulting.
THE President of the United States
shall, when such forfeiture has become
final by proclamation declare the said
roads military and post roads, and shall
place the same under the management and
control of the Secretary of War.
1.-THE Secretary of War shall engage all
employees and agents. and shall fix rates Of
fares and freights so that the total receipts
shall not exceed all operating expenses and
the sums required to create sinking fund
TO liqudate such portion of the bonds
already referred TO as the Secretaries of
War and of the Treasury may deem proper
and the interest thereon. 1t is declared
that il is not the object of the United
States to enter into the transportation
business. To avoid this as much as posi-
Bile the chief of engineers, under the super
vision of the Secretary Of War, shall cause
TO be established schedule of rates, based
on equal terms as to charges and equal
rights as to privileges for freight and pas
senger trains, belonging TO connecting
railroad lines or individuals, and shall
regulate the time and manner Of running
the same so as to give prompt service and
the greatest possible security to life and
"Whenever the wants Of the public and
the necessities of commerce are ade-
ouately supplied by this method at reason
able rates without discrimination. and a
sufficient amount is realized TO meet the
charges already referred 10, the Secretary
of War may withdraw the Government
train service entirely or gradually, as the
public welfare may require. Trains may
run, however, in the postal and other ser
Vice of the Government
1.-The full Government train service may
be resumed whenever the companies or
Individuals using the Government roads,
bv pooling or combinations. are unreasOn-
able in their charges or discriminate be-
tween persons and places,
"AIi engineering operations and the run
ming of trains are placed under the super
vision of the chief of engineers. and the
management of the other departments
shall be assigned to officers OF other
branches of the army.
TIE Secretary of War is authorized to
make such rules and regulations not iGcon-
sisteut with law to enforce the authority
vested in him 10 carry on the military and
post road service of the. United States and
shall report annually TO Congress history
OF the operations thereof.
The President of the United States IS
requested 10 cause actions 10 be instituted
ana prosecuted in the proper courts OIL the
United States against all persons. compa-
MES, estates or corporations. and lie as
signs and successors in interest OF either.
which have unlawfuly appropriated and
deviated funds, bonds, securities and prop
1rtV contrary law IN the nrp1uQlce