The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1897-01-10

roads, and it was the business of Congress
to look into the conduct OF these men in
the past in determining how to deal with
them now and in the future.
Knox (R.) of Massachusetts, said the
frauds perpetrated upon the people OF
New England and the East in the matter
OF constructing the Pacific railroads was
not the first nor the last in the list OF
wrongdolng of that kind in connection
with Western railroads.
eff half the officers and directors" said
Knox, 'who offended in that way had
received their deserts our penitentiaries
would have to be enlarged" But the
time had passed when these men could be
punished, and the only question before
the House now was whether or not some
action should be taken which would pre-
serve some portion of the vast fortunes in
vested in the stocks and bonds of the
companies. He hoped the bill would
pass.
Perkins (R.) of Iowa with much feeling
related how the great Northwest had been
defrauded by the diversion of the line OF
the Sioux City and Pacific branch OF the
Union Pacific from the direction in which
it was originally intended TO run by the
false pretense that the line could not be
constructed southwest from Sioux City
because of the Black Hills on the Missouri
miles from the proposed route.
Broderick (R.) of Kansas proposed an
amendment requiring the Union Pacific
Com pany in making the new mortgage to
the United States to file REIMBURSEMENT
of all right or title to- more than right
of way of 100 feet in width through the
old Delaware and Pottowottomie reserVa-
ton in Kansas. Agreed TO.
Faris (R.) OF Indiana, member OF the
Committee on Pacific Railroads, opposed
the amendment and favored the passage
of the bill as reported.
Barham (R.) of California opposed the
bill, repudiating a suggestion by Faris
that the California delegation favored
governmental ownership of the roads He
presented a telegram from Governor Budd
of California stating that the California
LEGISLATURE had agreed 10 a resolution
reciting that tany scheme for refunding
the Pacific railroads Indebtedness to the
Government or any extension of time
for the ayment of the same, must result
in maintaining an excessive capitalization
of these roads, thus requiring high rates
of fares and freights to meet the interest
payments thereon, to the great burden
and disadvantage of the people of the
State of California; declaring opposition
to the passage of the pending bill or any
like measure, and urging the immediate
collection of the com panies' debts or the
enforcement of the existing laws.
Parker (R.) of New Jersey moved an
amendment making more specific the
schedule of property and assets of the
Union Pacific which shall be subjected to
the proposed new mortgages so as to in
cude all the stocks and bonds held by the
company, or which may be acquired by
its successors or assignees. The amend
ment was agreed to-92 20 1. Also another
amendment forbidding the company to
dispose of any of its assets without the
consent of the Secretary of the Treasury.
Further opposition was made to the
passage of the bill by Swanson CD of
Virginia, Coke (R.) of illinois and North
way (R.) of Ohlo-the latter two upon the
ground that the House was not so well in
formed as it should be in order to enable
the members to vote intelIigently.
NorIhway said he preferred, in his pres
ent condition, to let the Government
stand Just where it did under the present
law. Il see." he said, ''no necessity tor
running foot race TO get in here. Nobody
can force the Government to foreclose.
We are the only power that can compel
that to be done and before / would permit
a debtor to dictate terms of settlement l
would have the Government foreclose the
mortgage, take the road and operate it,"
Applause.
The sub titutes for the pending bill, of
which notice had been previously given
by Bell 3D. of Texas, to make the rate of
interest on the extended debt 8 per cent
instead of 2, and by harrison Cd. } of Ala
bama, authorizing a commission, consist
ing of the Secretary of the Treasury, the
Secretary of the Interior an the Attorney
General, to arrange settlement of TIE
debt, to be approved by the President,
were formally offered and considered to
be pending.
Northway moved an amendment to the
HARRISON substitute providing for COM
mission OF three persons, one to be ap-
pointed by each OF the officials named to
make the arrangement.
Hubbard (R.) of Missouri, conclud ing
the consid Grafton of the bill, advised nom
action and the reference OF the matter TO
the new administration for settlement,
when there shall have been further OPP
portunity to acquire adequate lnforma-
ton, which it had not now.
The closing speech was in avor of the
bill by Grosvenor IR.) of Ohio. He said
the House had been, through its best tai
ent, four years investigating this subject,
and he was not willing that the gentle
men. who would not be in their present
DOS lions. should refer the matter in all
its deformity of defeated bill, together
with the Cuban and other unsettled con-
troversies, to the next admin stration on
the theory that their successors would be
any better informed than themselves.
He could not agree that this question
should be maintained in it's present con-
dition in the interest OF California. Their
path of duty was clearly marked out by
the majority of the Committee on Pacific
Roads.
The committee at o'clock arose. The
bill and pending amendments were re-
ported and the House at $50 O'Clock P. NJ.
adjourned until Monday noon.