New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-03-03
IN AND OUT OF CONGRESS
THE PACIFIC RAILROAD INQUIRY CON
TINUED.
ATTORNEY GENERAL HARMON ANSWERS o'h
TIoNs ASKED BY THE HOUSE COMMITTEE
SENATOR MoRGAN's ELECTION TO BE IN
NEUTRALITY-SUSPICIOUS. OF NAVAL
VESSELS 80 NOMINATIONS By
THE PRESIDENT.

THE PRESIDENT.
Washington. March THE Attorney General sent
to the House Committee on Pacific Railroads TO-
day the following letter replying TO questions SUD-
mitted to him in a resolution adopted by the COM
mittee:
of the Dond-aided Pacific railroads incurred any, any
Liability TO the United S1ass ey the una"ful issue
Answer-If the officers and directors OF any com;
issue Of stock thereof. they became psrrson1ay
liable to the company or to It's laWiu, or
creditor The rights OF creditors could not be
affected By the improper issue OF stock wn hla
merely represents the property OF the COMPANY o"'
Second Question: Whether the said officers and
companies or 70 the United States for the profits
OH contracts made with themselves, ol Pc saia
representing them. for the construction Oh s"iu
AnswerIf officers and directors made contracts ,n.
with themselves or with persons representiIs tnem
to their profit or the detrimeht OF tne . con-
pany. they became liable to unless such contr ira
were knowingly authorized or ratned D! A ~ i ~
Of the directors having no interest inereihl or ~
the stockholders. but they did not become i'aoe 10
Third Queston~whether the United States, as a
tons in their own name against said parties FOR
the enforcement Of said liability, II II sHis. un,
by said companies to the United States have been
exhausted ,,,.o,
States against the Un.on Pacific Railway Com.
pany. known as the Credit Mob:er' case, that
The United States therefore. could not maintain
any action thereon against the guilty parses ro out
s in equity 'n as ecreo and Wod moi
first to exhaust other remedies II showing were
Fourth Question Whether. If such liability exists
ne nsd states h hco w Ss Se there
OF by the statute OF limitation which won" va.
the companies II the actions were brought II, nt'l
name and behalf? In other words, whether ths
United States would be entitled TO maintain action
creditor OF said corporation against us drpee,oas
md ,Hf uhin ha
AnswerNAs The United States would he merely
asserting the rights of the companies as assets TO
be applied to the payment OF their creditors any
statute of lmitat lions which would bar the compa-
MES would also bar the United states , 800,
Fifth Queston-Whether the facts found ah1
stated by the Pacific Railroad Commissioners o,
lss7 in their report TO the President are supported
by evidence legally admissible in court OF JUS
tce? ,
Answer-If tins question means to ask whether
evidence before the Pacific Railroad Commission
ers non which they found the facts stated in their
repori would be admissible In suit or action be-
tween parties in court. answer gehera,y' INA
Tho statements made by any witness would be ad-
missible against him but not against any other
person. and that original documents wouid 1e au-
MISSILE or copies under the usual rules rela'ins
70 secondary evidence With these exceptions, the
evidence would not be admissible 90 hot uIuer-
lana tho question TO SIX for my opinion whether
" the Commissioners had applied legal rules OF eVl-
dencc the testimony should have been admitted
The House Committee on Pacific Railroads to-day
continued 80 inquiry matters pertaining to the
l
norton OF the first mortgage bondholders OF the
MON Pacific said tina, those he represented conid
not accept the Fitzgerald plan. 1t was not pracuca
bic being simply a scheme to promote junior hold
ings The Government. he said. was In the same
position a. his clients and what would benefit one
| would benefit the other His proposition was 10
| have Congress authorize the appointment or
| commission whose duty /, should be to enforce the
| lion of the Government by foreclosure. When the
| lien was foreclosed a new company was 20 pc
created 20 property OF the OLD corporations
| he understood that the Fitzgerald people hau
! abandoned their plan. The committee adJour"en
! until Wednesday.
Tn. Senate Committee on Privileges and Eec-
tons ihis morning. by strict party vote, ordered
d favorable report on the resolution TO investigate
m. condition Of affairs Alabama and the legality
| o. The election OF senator Morgan from that state
| Tn. committed will BE- a special committee OF N.Y.
members. whose duty II Will be TO inNeS'saue 'h' ,
political autonomy ~ the state ana me i"ght! %
the election OF the members OF the state ,es'sa'"'
| by whose vote, Senator Morgan was chosen
Movements OF naval vessels have been reported 10
| the Navy Department by telegraph as follows
| The Marb!ehe.d arrived al lattaqcie February y
| ana 10 Merslna. SYRIA yesterday. The Monterey
| sailed from san Diego Saturday and arrived al
| Santa barbara Yesterday route 10 san FRANCISCO
| The Nionongahel arrived at Annapolis to-day ne
| Yorktown arrived at Pagoia Anchorage. I nina
yesterday The Minneapolis sailed from Mar aa,. !
Tor Trinio. Turkey. yesterday. IN. Marion shi'ei
| from lquique for Antofogaste chill. yesterday
| The Preslden, to-day sent 10 the Senate the fo'-
| lowing nominations Commodore T o Sefridge 70
be- a rear-admIral Medical Inspector T. y Pen
rose TO b. medical director Frs-lAeutenant IS
, Erwin 10 be- captain Second Lieutenant O. II,
| Preston to be- first lieutenant Also number oil
| postmdstcrs.