The herald., 1897-01-12

verbal amendments. Some business on
the speakers table was disposed of. The
! senate amendments to the bill abolish
! ing the death penalty in certain cases
were concurred in Under the call of
committees the following bills We're
passed: Senate bill to require vessels
of hire of fifteen tons or over, propelled
| by gas, naphtha or other fluid, to sub
nit to inspection and comply with the
rules of the road: to amend an act au-
| thoriZing the appointment oe receivers
| of national banks; to amend the law for
| the organization of national banks so
| as to provide that no national bank shall
| be organized in cities of $4,000 inhabi-
| tantS with less than 100000 capital, in
| cities of 10000 with less than 500, 600, in
| cities of 5000 with less than $500 and in
cities of 5000 with less than $4,000, and to
| provide an American register for the
| barks Ceres and Black Diamond.
At 4:1O p. m. the house adjourned
FORECLOSURE DESIRED.
OMAHA Neb, Jan. lie. Ellery An
derson, one Of the receivers of the Union
| Pacific system, in discussing the de-
| feat of the Powers bill this afternoon,
| said:
II was not favorably impressed with
the Powers bill. AS Washington paper
put it, the bill proposed to increase the
| security OIL Ine government Dy lHCIedS-
| ing the amount of the prior liens
against the property. We have now
spent ten years talking over the settle
| ment of the debt, and. nothing has been
| accomplished. l think the government
! should take some steps looking to the
foreclosure of it's mortgage. 1t should
| try to arrange for satisfactory bid,
which think could be successfully done.
| The parties holding the first liens will,
| 7 haI a willing IN mako reason
| able agreement to prevent the property
| leaving their hands. I do not mean that
! that the governments lien should be
| sold for the price the first mortgage
bondholders agree to offer, but use that
| as an upset price, and If any outside par
| ties wish to come in and bid more than
! that for the property. subject to the
other liens that would of course be to
| the governments advantage. The pres
| idant has it in his power to order fore
| closure proceedings begun at any time.
| and after an experience of ten years in
| seeking settlement 1 think he should
| take steps to exercise that power"
NOT DISAPPOINTED.
SAN FRANCISCO, Jan. 1.-THE de-
| feat of the funding bill is not the source
| of any regrets to the Southern Pacific
magnates if Vice President C. F. Crock
er's view on the matter, as he expressed
them today, may be accepted.
| What do l think of the funding bill? :?
| think it is dead" said Col. Crocker,
! with a smile.
Then. in a more serious vein, he de-
| clared that he was not in the least dis
| turbedl by the action of congress, and
was rather pleased that the Powers bill
| had not been passed. There is no GER
tainty," he said, that the provisions Of
the Powers bill for the refunding' of the
| Central Pacific debt would have met
I 10 CO. t.p1 axatf g.,
| stockholders, ard without the approval
| of the stockholders, the funding scheme
| could never have been put into effect
| The payments under the Powers bill
which the Central Pacific Railroad COM
| pany would have to pay to the govern
| ment would be more than the earnings
| of the company would permit. 1t should
be remembered that the earnings of the
company are rot all profit, and that I'll !,
| companys net earnings are limited. The
| Reilly funding bill was entirely out of
the question, as it provided for annual
payments to the government in amounts
| that greatly exceeded the earning capac-
ity of the company as determined by an
average of the company's earnings dur
| ing the past six or seven years.
Tie annual payments provided by
| tke Powers bill reached the very limit
of the company's capabilities as an earn
er of revenues. and to my mind exceed
| eu tNe $ earning capacity.
The funding bill was defea ted through
a desire and purpose on the part of the
enemies of the Southern Pacific com
| pany to separate the railroad proper
ties now managed and operated by this
company The newspapers. politicians
and citizens who opposed the funding
of the debt did so without regard to the
business aspect of the matter or the
| governments interests. They opposed
the funding plan with the hope of see
ing the property on which the govern
nlent has lien turned over to COM
neting company. The result is that the
government will lose a large sum of
money which it would have collected
under the Powers bill, and at the same
time there is no certainty that. even
through foreclosure proceedings, the
change of management which the enc
mics of the Southern Pacific so heartily
desire will be realized"
IN THE SENATE.