The herald., 1896-12-23
attention WAS DIVERTED
From the Cuban Debate to
Funding Themes
A DISAPPOINTED CROWD
Cuban Discussion Postponed Till Next
Year
The House Makes Good Progress With
the Appropriations and Indulges
in Some Discussion of Civil
Standardization Begun
Associated Press Special Wire

Cuba to the Pacific railroads. An un-
usually large crowd was in the CALLER
les, anticipating that Mr.. Vest would
continue his speech begun yesterday on
the attitude of Mr.. Olney toward the
Cameron, resolution.
The interest this had awakened was
shown by the presence in the diplomatic
gallery of First Assistant Secretary of
State Rockhill. who is next in rank to
Mr Olney in state affairs and who has
had special charge Of the reports coming
from consus in Cuba. The foreign dele
cations were all we'll represented. Soon
after the session opened Mr. Pettigrew
of South Dakota called up his resolution
relative to the trust notes of the Pacific
railroads The senator made a savage
onslaught on the Pacific railroad sys-
TEN in general, charging that a combina-
ton Of private interests was seeking to
absorb the roads and close out the gov
ernment. This opened the entire ques-
ton, and Mr.. Morgan of Alabama fol-
lowed with bitter arraignment of the
Pacific roads, charging them with
fraud and crime on a gigantic scale.
The speech lasted until shortly before
, o'clock, when the morning hour ex-
pired. thus sending over the Cuban
question until after the holidays.
Call secured the adoption of a resolu
ton asking the secretary of state for
information relative to the killing of
Charles Gavin, an American citizen. by
the Spanish forces in Cuba. Further
than this the session was uIA ventful and
the senate adjourned for the holiday
recess. lasting until Jan. 5th.
Senator Vests antiCiDateQ Sneecl con-
cerning Secretary Olney's attitude to-
ward the Cameron resolution filled the
senate galleries to overhowing. Minis
ter Hatch of Hawaii was among the ear
ly arrivals. disappointment was eX-
pressed when it became known that
Vest would not continue his remarks,
which were cut off by objection yester-
day.
/ The urgent deficiency bill, as report
ed passed with minor amendments. 1t
carried $SS4,Ss6 a larger part of which is
for continuance of work of the navy de-
partment.
Pettigrew,' Republican, of South Da-
kota, called up his resolution appropri-
ating 10000 600 to take up the trust
notes of the Union Pacific railroad. He
said this step was imperative to protect
the interests of the government against
the scheme of those who held the notes.
whose purpose was to absorb the branch
lines of the Union Pacific. He believed
the Union Pacific is not insolvent and
the floating debt was created for the
| express purpose of complicating and
! embarrassing government liens.
| Pettigrew pointed out that in 1851,
While the Union Pacific road had $2S, Goo
! coo of the stock Of the branch roads in
it's possession, with earnings sufficient
to pay expenses, pay interest on the
| first mortgage bonds and furnish sur
{,plus this floating debt Of sS,00o,oO0 was
created
1T turns UP in the hands of the offic-
ers and directors and representatives of
the road" said he, and the bonds and
Stocks of the branch lines are taken by
these officers and placed with DreXel,
! Morgan & Co, as security for this float
Sng debt
! s.Now. it was we'll for the committee
to ASCERTAIN how this floating debt came
| into existence, the consideration re-
| ceived for it and everything connected
| with it. in view of the fact that the road
! was earning its operating expenses, IN
! terest on its bonds and a surplus be-
sides"
| The senator declared that these peo-
| pie proposed to get control OF S93 o00,oUO
| of stock and bonds which control the
branch lines of the Union Pacific, inde-
pendent absolutely of the rights and in
| terests of the United States govern
| ment He said that the stocks and bonds
| are worth S35, coo GOO today on the mar
| ket. Their apparent purpose. he SAID,
! was to divert the busiNsss of the branch
| lines to other roads and thereby make
! the property upon which the govern
| rnent holds this security almost worth
! less. At this juncture prompt action
was REQUIRED in order to prevent the ac-
| cornplishment of this purpose, which
was in line, Pettigrew said, with the
! dishonest and corrupt acts of these men
through a lifetime.
! The senator said an advertisement had
been placed in the Wall street DallY
| News signed by j. G.. Moore, James
w. Alexander and John f. Adams,
committee for the purpose of carrying
ont this purpose. He understood thlS
! committee represents the great estates
| which control the Union Pacific rail-
road, which have made great fortunes
out of the road and have so managed II
as to .'sWindle the sinking fund ana
caused great scandals in relation to the
roads. A part of the plan was to have
| receivers appointed in the interest of the
men who were controlling the road and
| better facilitate the defeat of the gov
! etnment's claims.
Gear of Iowa. chairman of the COM
mittee on Pacific roads, asked If PEI
| tigrew favored the operation of the
| roads by the government. Pettigr ew
| answered certainly The government
could not possibly manage Pacific roads
| worse than they had been managed.
1t would do away with pools, conlbina-
| tions and discrimination of rates, which
| made the American railroads target
| for criticism.
! Platt of Connecticut spoke of the i'm
! perative necessity, considering the i'm
| pOrtance of a settlement with the Pacific
| roads. Indebtedness reaching 15,0O0,-
600 was in danger of being lost, yet this
vast debt and the peril of its loss seemed
to disturb no one.
Morgan of Alabama said the state
ments made by Pettigrew We're of the
most grave character 1t was difficult
for any single mind to grasp the "laby~
rinth of fraud and rascality'' that had
of fraud" 1t was a twin brother to
the Credit Mobilier frauds, carried on
with the same methods of bribery and
| corruption.
The subject had be en- so deeply buried
in fraud and crime as to- be almost be-
syond the possibility of intelligent con-
| sideratlon AS to the pending funding
| Bill. Morgan said he opposed it, ami
| when it came UP he would insist upon
the fullest latitude of debate. He par
! ticularly desired to see the interests Of
the people of the Pacific slope protected
| against the monopoly and against a
| combination of those two vast influences
| the Union Pacific and the Central Pa =
| cific-under private control. No section
| Of the country had been so bound and
made subservient as those of the Pacific