The record-union., 1896-02-19
Examination Of President Huntington Of
the Southern Pacific Resumed.
Relations Between the Finance Com
pany and Central Road.
Denial of the Assertion That Traffic
Which Should Go over the Central
Pacific Had Been Diverted to the
Southern Pacific-The Examination
Adjourned Till Tomorrow Morn
Ing at 1890 O'Clock.


of the Southern Pacific Railway by Sen
ator Morgan was resumed this morning
before the Senate Pacific Railroads
Committee. Morgan directed his line
of inquiry toward the relations be-
tween the Contract and Finance Com
pany and the Central Pacific, and the
destruction of the books of the former
company.
The books were burned, Mr.. Hunt
ington said, because the company was
disincorporated, and there was no use
in keeping them as the accounts were
closed. He said he had suggested to
Mark Hopkins that the books be de-
stroyed, but did not remember that
there had been any reference in his
conversation with Hopkins to the clause
in the California Constitution regarding
the personal liability of stockholders.
Such matter as that would, he said,
have been referred to the legal depart
ment of the road.
Senator Morgan-Did any lawyer adj
wise you to destroy those papers?
Mr.. huntington think not. 1t was
a mere casual matter. We did not re-
gard it as serious.
Senator Morgan-It becomes serious
the books here now.
Mr. Huntingdon should like very
much for you to have them, but in view
of the fact that they are not in exist
ence I don't see how in the world you
are going to get at them.
Morgan then read the resolutions
adopted at the mass meeting held re-
Gently in San FRANCHISES 20 protest to
Congress against the extension of the
debt Of the Pacific railroads. and Mr..
Huntington said it must have been
very large and enthusiastic meeting, for
he had been informed that there were
just fifty two persons present at what
he termed the Sutro meeting. The call
had been issuet to all the counties in
the State, and but five of them were
represented there. The representation
was largely confined to San Francisco
and Oakland.
Morgan having mentioned the names
of Messrs. James Fl. Barry, Charles c.
Merrill and John M. Reynolds as mem
bers of the Anti-Funding Committee
appointed at q meeting held in San
Francisco last year, Mr.. Huntington
SAID contemptuously thar he wondered
whether they were on re tax list of
San Francisco.
"They may not be-" Senator Morgan
said, ''but you know it is written that
the poor shall inherit the kingdom of
Heaven"
81 do not know Mr.. Huntington re-
marked, in an Indifferent way.
and I expect you will never ind
out" the Senator remarked.
1--WE will see," said Mr.. Huntington,
hopefully.
''Yes, we will see," said Senator Nor
gan do you know either of these
gentlemen?' he asked.
Il do not know that / do said Mr..
Huntington. Il take it they are not
among the merchants or bankers of San
Francisco"
'eThey may be common people, Sena-
tor Morgan remarked In the same
connection Morgan spoke of the earn
estness of the protest coming from San
Francisco.
There is nothing in it." Mr.. Hunt
ington said, half so earnest as Adolph
Sutro was when he told me that if I did
not build a road to his place, where he
has a drinking saloon, a bath house,
gambling house and rooms upstairs, and
build it right at once he would fight me
in Washington, and fight me every
where. That was an earnest matter"
Mr.. Huntington denied that the con-
trolling stockholders in each of the
three construction companies were the
same persons, although he admitted
that the same men were largely inter-
ested in each of the companies. He de-
tailed the work done by the Western
Development Company, the Contract
and Finance Company and the Pacific
Improvement Company. in the con-
struction of the various railroads.
The Contract and Finance Company,
Mr.. Huntington said, constructed all
of the Central Pacific but small part,
and the Pacific Improvement Company
constructed the most of the Southern
Pacific road. The Contract and Finance
Company, he said. received about $780,
100000 of the bonds and stock of the
Central Pacific Railroad, agreeing to
construct the road. This company did
probably two-thirds of the work on the
Central Pacific.
Senator Morgan pressed his questions
upon Mr.. Huntington and insisted upon
categorical answers.
Mr.. Huntington proceeded to answer,
Incorporating Herewith such other
statements as he thought proper Sen
ator Morgan objected to this, but was
met by Mr. Huntington, who asserted
that he should be permitted to explain
such matters. To this Morgan OBJ
jected.
And why" said Frye, should not
Mr.. Huntington be permitted to ex-
plain his answers? ?''
Because retorted Senator Morgan,
''he evades the direct answer; and
propose to conduct his cross -examina-
tion after my own fashion, continued
the Senator tartly, until the committee
overrules me. I propose to get at the
bottom of this business, if possible"
The remainder of the cross -examin-
alton related to the construction and
bonding of the Rosedale to Coles La
throp, Fresno and Niles to Oakland
branches of the Central Pacific. The
bonds issued on all these branches were
shown to be those of the Central Pa
cific. which road was, Mr.. Huntington
said, still responsible for the bonds.
The committee at noon took a re-
cess. till p. m.
The afternoon session lasted for three
hours, during all Of which time Mr..
Huntington was subjected by Morgan
to a most minute and searching inves-
tigation into all his connections with
the building of the Central Pacific and
Southern Pacific roads, and as to the