The San Francisco call., 1897-01-30
RED-HOT TALK
IN THE HOUSE
Defeat of the Bill Relating
to the Atlantic and
Pacific.
Powers of Vermont Is Severely
Scored for His Peculiar
Railroad Record.
Barrett Also Says Considerable About
Fraud and Watering Railway
Socks.

House to-day Powers (R.) of Vermont
called I'D the report OF the conferees on
the bill constituting new corporation for
the purchasers of the Atlantic and Paclhc
Railway and explained the purposes OF
the agreement. Powers used the state
ment prepared by the conferees OF the
first conclusions reached by them as
basis of his remarks.
| Terry (D.) of Arkansas said the report
should not be adopted, for the reason
that it did not sufficiently protect the
| creditors of the old corporation.
Lacey (R.) of Iowa condemned the re-
| port, saying it yielded every point made
! bv the House amendm rents. The adop-
ton of the report was advocated by Harri-
son (D.) OF Alabama, one of the conferees.
Powers raised the previous question on
the adoption of the report. This was an
tagoniz zed by Barrett and the motion
! failed.
Barrett then got the floor. He said that
no railroad had ever been built whose his
| tory was so black with fraud and dishonor
as the Atlantic and Pacific. The confer
! ees' report would enable the managers IN
the proposed reorganization to continue
the policy of that history in the future;
SIC, 900, 600 of trst mortgage bonds OF the
Atlantic and Pacific have already been
placed by the reorganization committee
with the Atchison, Topeka and Santa Fe
Railroad Company for the payment OF
| SIC, 800 600. That company was already
practically the owner of the Atlantic and
Pacific, and by the report the directors OF
that corporation, who had cheated the
constituents of the Government out OF
millions of dollars, are to be authorized to
issue $50, 900 stock on property that
cost them but $40, 600 00G. How can the legis-
lative committee consistently provide pun
| ishment for men who indulge in these
schemes for defrauding their fellcw-citi-
zens when it approves legislation enabling
such stock-watering transactions as thisP
Cook (R.) OF Illinois spoke against the
adoption of the report as did also Rae Cd
| of Arkansas. Grout (R.) of Vermont and
| Blue (R.) of Kansas favored it.
Flynn (R-) of Oklahoma said he felt the
necessity of Congress granting Federal
charter 10 the corporation IN order that IL
| might operate the road through his terri
| tory. The people living along the line OF
! the railroad were not responsible for the
| immense capitalization of which the
| gentleman from Massachusetts (BarretC
| Complained. That was done by residents
of Massachusetts,, who had sold the stock
! to servant-girIs of New Ems gland, who were
| bankrupted by the management of these
! gentlemen.
Grout (R,) of Vermont, referring to Bar
| rett's statement sthat the road had been
practically sold for $40, 900, 600 to the Santa
Fe, said that the action involved only one
| division of the road, not the entire line.
The argument for the adoption of the
| report was closed by Powers. Barrett
also responding to Judge Powers denied
| having any interest in the till except
which arose from his connection with leg
| islation while a member OF the Massa-
chusetts court, which made the PROPOSE
| tions contained in the report illegal and
| in his opinion subjected them to suspicion
| everywhere.
| Referring to Powers remarks concern
| ing himself Barrett reviewed that gentle
mans 8 career as chairman of the Commit
tee on Pacific Railroads since he (Barrett)
had been mem Der of the House.
"In that time said he, mo PROPOSE
ton however dangerous to the Nation
nor how advantageous to the corporations
had failed to receive his support"
In support he cited the decision on the
Pacific railroad funding bill.
Replying to the assertion by Judge
Powers that railroad wreckine had been
vicinity, Barrett repelled the charges, say
ing that III no State of the Union were the
rights of property so well and thoroughly
respected as in Massachusetts.
''The gentleman" he continued, "comes
here with the record and reputation of
| long period of service on the Supreme
| Court of that State. Talk of railroad
wrecking Where can anything in that
| line be found equal to the history of the
Central Railroad of Vermont after series
! of receivershIps conducted by the Su-
preme Court? Ask any honest man OF
| that State who invested his money in the
/ securities of that corporation and was
robbed of it by the decisions of that tri-
! bunal, which have not met the approval
of any respectable court in any other iur-
! isdictlon."
Grout (R.) of Vermont suggested that it
! was not desirab BILE to renew the war of the
States here.
! Barrett inaugurated no war. 1t was
| [Cries of go on, Barrett.
Barrett said he imputed no dishonor-
able motives to the legislators of Vermont,
but he did not forget that that body was
the creation OF the people and that the in
fluence of the railroad corporate tlons was
the most potent and powerful that found
expression. The record of that railroad
receivershIp and of the court, he con-
tinued, was such as to cause the sons of
the Green Noun! tain State to blush for it.
The report of the committee was re-
iected-H to 143.
The House voted to insist upon its
amendments to the bill and also to insist
upon the insertion of a provision giving
further protection to the creditors of the
old corporation, especially those holding
claims for labor and materials.
The agriculture bill was then taken up
and Hardy (R.) of Indiana. under the tlve-
minute rule, began reading speech in
favor of the acquisition OF Cuba by the
United States. At the end of five minutes
the chairman's gavel fell, whereupon Tai
bert Cd of South Carolina suggested that
the gentleman be allowed ito proceed
few minutes longer before he says any,
thing" Laughter.
w. A. Stone (R.) OF Pennsylvania asked
unanimous consent for Hardy to proceed
Howe (R.) of New York objected, 1--WE
are here to discuss the agriculture appro-
priation bill. and / object to this waste of
timp."
Then, Mr.. Chairman" said Hardy.
pounding the desk, his face reddening, 81
give notice that no bill goes through the
House by unanimous consent for the rest
OF this session."
While the next paragraph was being
read various mem bers who were con-
cerned over the proba Bile effects of The en-
forcement of Hardy's declaration pointed
out the way by which he could get an o.
portunity to continue his remarks
At the conclusion of the reading of the
paragraph the gentleman from Indiana
was on his feet, and his cry of '.Mr. Chair
srof l.