New-York tribune., 1896-12-23
PACIFIC RAILROAD DEBTS.
PROBABILITY OF ACTION AT THIS SES-
SION OF CONGRESS.
REFrNDING MEASURES GIVE RISE TO LONG
FERRED TO CoMMITrEE-URGENT DE-

DEBATE IN THE sENArE-THE BILL RE
FERRED TO CoMMITrEE-URGENT DE-
FICIENCY BILL. PASSED.
Washington, Dec. 22.-The joint resolution intro
duced yesterday by Mr. pettigrew (Rep. S. D., di-
rectng the Secretary Of the Treasury to pay the
amount due on the per cent trust notes of the
Union Pacific Railway Company and to take pos
session Of the bonds and stocks now held col
lateral for them and appropratng slO.oo0"O for
the purpose, taken up In the Senate to-day.
and Mr. Pettigrew spoke in explanation and ad-
vocacy Of II n business measure 10 protect the
interests Of the Government. In the course OF his
remarks he asserted that the receivers OF the Union
Pacific Company did not desire to pay interest on
those trust notes. 10 complicate matters. 1t
was the duty Of the Government he said. TO pay off
those notes take possession OF the road and us
branch lines. and operate them In the interest OF
the people all along the line. He believed that 1t
was the fear that II would be done which had led
the managers OF the Union Pacific 10 handle the
property so 10 be able TO sever the branch lines
from the main road which the Government had
a lien.
Mr. Platt (Rep Comm said that Mr.. Pettigrew's
remarks should convince the Senate OF the neces-
s,,v Of immediate action 10 settle the debt of the
Union Pacific and Central Pacific to the Govern
ment. There question before the Senate
and before the country more imperatively demand
ing attention He could not understand why Con-
whether debt OF over slo00O0o to the Govern
ment should he secured or should be lost lie
hoped that when Congress met after the holidays
the matter would be taken up and acted on
Mr. Morgan (Dem., Ala) said that as a member OF
the Pacific Railroad Committee the matter was
entirely to him. He understood the plan Of
the managers to be TO get control OF the branch
lines unite them with the Northern system, and
get UP parallel TO the Union Pacific line. He
alluded TO the past history OF the Union and Central
Pacific roads as "a saturnalia OF fraud" and as "a
labyrinth Of frauds and rascalitics." The state
ment made to-day by the Senator from South
Dakota made 1t proper that 1t should he investi-
gated by the Pacific Railroad Committee. and he
proposed to ask that the committee should Sit In
the vacation and investigate the subject
He in favor of having the subject disposed Of.
but he wanted II distinctly understood that when
it came 10 be considered there would be a claim OF
latitude OF debate commensurate with the magni-
tude Of tho question. He was In favor OF the con-
sideration OF the bill reported last session from the
Committee on the Pacific Railroads. lie was not
in favor OF its passage, but was opposed 10 IT, NO
such petitions and remonstrances. Mr. Morgan said.
had ever been presented to Congress as had come
from the Pa iHc Coast against the management OF
tho Pacific railroads. He hoped that the people OF
California would not be denied voice in those pro-
ceedings, and would not be sacrificed TO a "gorgon
OF monopoly" The Union Pacific Company had In
its treasury enough money to pay the interest on
its first mortgage bonds and the Central Pacihc
had paid such interest up TO date and had be-
sides paid per cent dividend TO It's British stock
holders. and yet both those companies came 10
Congress as mendlcants. saying that they were
bankrupts. All this was false pretence."
Mr. Morgan discussing tho question OF the
Government interpleading in one OF the foreclosure
suits pending and expressing the hope and
the confidence that the Attorney-General would re-
fuse to interplead Il would IKE TO ask the sena-
hat hr
understands by that part of the Presidents Mes
sage TO the effect that. unless something be done
by Congress in the very future. the Executive
Department will take steps by the first OF January
next to protect the interest Of the Government"
Mr. Morgan-The Senator from Missouri asks mo
to interpret the Presidents Message; while In all
Egyp. there found but a single man (and he
divnely inspired) who could interpret the dream OF
Pharaoh ] suppose that the Senator from Mis-
souri, can interpret that message II anybody can,
but will not stop 10 do IT,
Another remark OF Mr.. Vests as 10 the meaning
Of the Message replied TO by Mr.. Morgan with
the sentence: II wish the Senator from Missouri
would not bother me with that Message. for Ger
tainly am not paying attention 70 It,"
Mr. Morgan went to argue that under the
charter OF the railroad companies they would cease
whenever the first default In payment OF tneir
bonds made. TO have any right 10 the property.
but that all the property passed Immediately and
INTO the possession Of the Government Of the
United States The control Of the Pacific railroads
was absolutely necessary to the Government IN a
military point OF view. and It was mperativey i'm
portant to shu. out the idea that the Government
was ever gong TO abandon its control Into private
hands particularly into the hands OF foreign stock
holders fol-" said he there is not railroad two
American stockholders in an American railroad
would be a curiosity that should be put in side
MI Gear said that he could point 70 railroad of
%as wnnd by American women and IS per cent
Gncuding the ownership OF women was owned by
s Mr. nnd Morsa asked
They are owned by people all over the coun-
ssboMw M me the men who own the bonds" Mr..
Morgan said. 'and will show you the men who
when the comPaSSy. defaults. and this company
M Mr. Morgan spoke for about hour and half,
and wher ne mao ba the question had come p in
cidentally II was evident. he said, that there was
important measure. The members Of the conmii-
lee were unanimous. with the exception or inc
ser b none Of them were welded 70 that specific
plan Personally he Wss % , opP2s sc poW 1sroada ana b m
the Government. experience having shown ihat
ba1 of b @ Ia
ti hn"od that the Senate would take up and act on
the biz mmsd,a;ey ais5 wss then referred to
,hn Committee on Pacific Railroads.
Hale Rsp M hnem fg9m the ssn
Ind asked for iis immediate consideration
The amendmetnir nd Immediately to the
pponcurrence In the amendmsnts
"A dozsn pr'oid ~ daughter of Revolutionary sol
der wsts ,o "a, ,he legal representative Of Edwin De
70 pay at. ss Consul General to Egypt the amount
due him on adjusten. cent ., into executive ses
snn and shortly thereafter adjourned until Tues
day Janua-y :.
REPRESENTATIVE HAPPY THIS YEAR