The Owosso times. (Owosso, Mich.) 1897-1926, 1897-10-29

Special Correspondence:
WASHINGTON, ID. c., Oct. 25. 's7.


tlcians is that the recent charges brought
against the administration and Senator
Hanna, with reference to the sale of the
Union Pacific Railroad, have reacted
against the instigators in way not bene-
fetal to their interests. Statements were
published in the New York World and
other democratic organs TO the effect that
Senator Hanna had made an arrangement
with the "money powers" of the east last
year for the purchase by them at an inside
figure of the Union Pacific, for which he
had received enormous campaign contribu-
tIons. The falsity of this statement is APP
parent upon its face, but little investga-
ton into the matter discloses facts which
make it still further react upon the
authors of the story and upon the demo
cratic party. In the first place, the sale of
this road was ordered last year by the pre-
ceding democratic administration, and the
present administration is doing nothing
but carrying out the plans and arrange
ments practically completed by its prede-
cessor: and in the second place it is idle
to talk about inside figures and favoritism,
for the reason that the road is to be sold to
the highest bidder whoever he may be. In
order to prevent the property from going
under the hammer for less amount than
would indemnify the government, an ar
rangement was made with certain parties
that the sale should be started at certain
figure, but of course this does not prevent
others from bidding higher and as much
higher as the competition for the owner
ship of the road demands. A particular
point of the so called IDEAL" was made by
the democrats in Ohio, and in the attempt
to prejudice the voters against Senator
Hanna as the prime instigator of the
scheme copies Of Cincinnati papers con-
tanning the article were distributed broad
cast over the whole State, in the hope of
catching the eye Of people who would not
know whether the report was false or true.
Senator Hanna himself made prompt
and vigorous denial of the charge in a
speech recently delivered at Cleveland in
which he said: "The facts are that l
never heard Of the measure or the 'syndl-
C Ate' or anything about 1t until early In
July last, one year after this alleged plot
was laid bare. 1 do not even know who
are the members of the syndicate; never
had any conversation with any of them in
regard to ii and never was called upon
by my vote or influence to say one word in
regard to the sale. 1t was contract made
Oh the part of the government by Grover
administration, and the only
part of it relating to this administration Is
that the contract has been agreed to on the
part of the present administration on the
that the syndicate should
give five million dollars more for 1t than
under the terms made by the Cleveland
That is all know about
1t, the rest is lie." This is vigorous Ian
guage but it is fully warranted by the
slanderous and utterly groundless accusa-
tons made against Mr.. Hanna.
1.-The reorganization committee has in
no way been shown the slightest favor or
given the least advantage" said Attorney
General McKenna, rwhose word cannot be
questioned in the matters c1M
1.-THE road will be sold to the highest re-
sponsible bidder, without any reference to
his personality. If a bid of $51, 900, 900 Is
made, and the reorganization committee
does not increase Its offer to $50, 900, 900,
the property will go to the parties making
the new proposal. The guaranteed bid
was obtained to prevent the possibility Of
disastrous loss. If this guarantee did moi
exist, an opportunity would be afforded fol
bidders to form combination and offer q
low figure for the road.
1.-THE Increase In the reorganization COM
mlttee's bid is easily explained. Subse,
quent to the Cling of the original guarantee
bid of $45, 1854. O59 a number of overlooked
contentious were discovered. These in
Guided the bridge across the Missouri 1Rivel
at Omaha and number of money consid
erations. The bridge mortgages amounted
to about 81, 200,0 900, the lien on the Omaha
and Council Bluffs division to more thar
3d. 000, 900, and other contentious breush
the aggregate to nearly "a, 100000.
'In view of these contentious the de
crees of the courts were unsatisfactory and
papers were prepared for an appeal. A
that time the reorganization committed
increased IT'S bid by $4,245,941 to cove
these additional sums, thus raising thu
total bid to even $50. 900. 900. In all othe
respects the DEGREES were just and satisfac
tory"
Attorney. General McKenna expressl!
stipuIates that there was no formal agree
ment made between the government ant
the reorganization committee. The guar
antee bid was arranged by letters between
former Attorney General Harmon and spe
cial counsel for the committee. The agree
ment, he says, goes no further than I
provide for the appearance Of the govern
ment In suits brought to forecl0se the mrs