Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1896-04-28
THE REASONS GIVEN
COMPANIES READY no coScnDn
ApvANrAcnous TERMS.
Urged that tho Main Line. OF the
Central Haa unisn racis shsuid
he unissa--Li.n ON the Kansas
Pacific pivi.ion.

washington, April 2J.--The minority
report on the Pacific railway bill was
submitted to the house today by Rep
resentative Hubbard of Missouri II
deals uxhnuutively with the financial
conditions OF the companies concerned
In the proposed funding plan. II ar
CUES that the minority bill should DO
adopted for three reasons;
]. Tho COMMITTEES have learned
enough OF tho affairs OF the debtor
companies 60 bo able 10 tell the house
what II IA best TO do.
2, The companies made ofcr heforc
the committee and are undoubtedly
ready 90 conccde terms very much bet
ter for the government than those cin-
bodied In tho bin,
a. The propositions IN tho bill are
neither good nor safe for the govern
ment. Under the first head 4 IL cons
tended that most OF the PARTIES who
appeared before the committee were
Interested In the railways that tho
diaintercsted voiCr advocated fore
closure proceedings. not with the Wow
that the government should operate
the roads. but 20 protect the govorn-
meni an u preliminary step.
The report adds there Is no aseur-
ance that tho bill would be CARVED out
because both companies are insolvent
aud their undertakings idle that 80
far as the Union Pacific is c',Accrncd,
Il Ia an option TO the COMPARES auc-
cesnora. unlimited In time nnc binding
on the government
In regard TO the Central pnulne II
says.
at was advanced before the com-
mlttoo as an open secrct that the Gems
.rai IL paved from default only by tho
fact that III auhHldy bonds are cars
rlrd by IT'S friunds without intorcnt 20
prevent their presentation 20 the guv-
crnmcnt for payment pending this
settlement"
Mr. Hubbard holds that FOR the pro-
lection OF the interests OF tho GOVERN
ment these conditions are necessary TO
any hill
Il Tho main lines OF the Central and
Union Pacific should he united FOR the
nupnOrt OF security which the govern
ment must take on both.
=. The United States should never
again rely upon o junior cneumhrance.
:, \ bill which pnrports TO oonsu.
tutc contracts by tho United "'r'es
with other parties should deal with
foundation titles aud the holders OF
There Us nm exhaustive contention OF
OF government lion on the unsuh-
sldiged part OF the Kansas Pacific d.
vision. II Ia held that with this Hen
pNtNblttNtu anu INV f'iNiNi ARftN
freed from It's lease to the Southern
Paclfic, the roads could he restored 20
their old prosperity and the ability to
satisfy tho governments claims be as
Hurcd
Tho additional argument ia made
against tho committee bill that II Ia
IN conit,ct with the principles on tho
antl-,ruat law and viii create two OF
the greatest moropolier IN the country.
II " Hnid the linton Pacific ro.orghn-
Isation committee having established
three fourthe OF the hrst mortgage
bonds IL pressing for n foreclosure
which would bar the governmental
second lien. To prevent tlh's tho Nor
gan Brlcc bill IN recommended The
report concludes that the secretary OF
the interior having held that the gov
ernmcnt claim IL good and should mot
DO discounted over 20 per cent. the at
torney genergl having drawn bill 10
determine the government lien, which
Men Il supported hy Senators Drlcs
and MorrAn. when the government d.
rectora have said thht the ronde are
worth much more united, have u plan
10 unite them and assure onnRrcra that
It's capital Ia willing to bid Tor the
property In that ohapc, u would be une
Wise to pass a bin which declares the
government lion TO be limited when the
ThurHton act raid II should not DO.