The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-02-16
SPIRITED DEBATE In SENATE
ATTORNEY GENERAL GRIGGS ASKED
TO EXPLAIN THE SITUATION.
Many Bills of More or Less Importance
Reported from Committees and
Passed by the House.

ney general for the reasons which induced
him to abandon his plan of redeeming the
first mortgage bonds of the Kansas Pacific
branch Of the Union Pacific and having the
road operated by a receiver. Mr.. Harris de-
nounced the present plan to sell the road at
the bid of the reorganization committee as
defrauding the government of something
more than S6,0O0OOO. Mr.. Foraker explained
the view taken of the matter by the admin
istration, showing the President was con-
WINGED the reorganization committee pro-
posed to pay for the road all that it was
worth. The resolution was finally passed In
amended form.
AT the opening of the session Mr.. Pettus
offered and secured the passage of reso-
luton requesting the President, if not in
compatible with the public interest, to in
form the Senate what action has been
taken in reference to the murder of Sc
gundo N Lopez, citizen OF the United
States, on the 18th of April. 1896, in the dis
trict of San Diego del vala, Maguerella,
Cuba, by armed soldiers of Spain command
ed by Colonel Estruch.
The resolution introduced yesterday by
Mr.. Harris directing the attorney general
to furnish the Senate information as to the
agreement reached by the government with
Pacific Railway concerning the Kansas
branch was laid before the Senate. Mr..
Chandler said he had no objection to the
resolution, but did not approve of the pre-
amble. which included press dispatch.
Mr.. Harris replied that he might not in
sist on the preamble after he had made
statement. The Union Pacific, he said, for
long time had attempted to influence Con-
of ba aH mi cf ra ~
scale down the debt of that company to
the government about so per cent. Until
year last January the company had
been unsuccessful. At that time they made
an arrangement with Mr.. Clevelands adj
ministration by which the road was to be
disposed of with Il loss to the government
of about $2S 600, 600. Mr. Harris then out
lined the reasons why that arrangement
was not carried into effect. Public senti-
ment was aroused from Maine to California,
the demand of the people, he said being
that they should~not be swindled out of the
enormous sum mentioned. When the adj
ministration came into power the question
was grappled with and the government
finally obtained every cent due from the
Union Pacific on the main line.
ALLEGED VALUE OF THE ROAD.
eve were all very glad" said Mr.. Harris
that the government received its just dues,
and nobody has more cordially congratu-
lated the present administration than 1 on
the successful negotiation of that transac-
ton" 1t was also hoped, Mr.. Harris said
that the government would get the full
value of the debt due from the Kansas Pa
ciic branch. In case the reorganization
committee should decline to pay the full
amount due-about SIS, 900, 00O-it was the I'M
derstanding that the government would re-
deem the first mortgage bonds and have
the road operated by q receiver. A COM
petent receiver would show the value of the
property, which, Mr. Harris believed, was
quite $30.OOO,000 The reorganization commit
tee, said Mr.. Harris, had evidently sue
ceeded in obtaining from the attorney gem
eral such concessions as had been outlined
in the dispatches and the government is to
stand idly by and see the enormous sum
of Sc. 100000 of interest sacrificed. The value
of the property, Mr.. Harris thought, was
an important consideration. BY the reor-
ganization committee and by the Union Pa
clnc officials an effort had been made to
minimize the value of the road. ''It is par
ticularly significant" said Mr.. Harris, that
the statements of the reorganization COM
mittee and officials of the Union Pacific re-
garding the value of the main lines have
been proved by subsequent events to be
untrue. AS was said once by the senator
from Missouri (VesD. when they speak
they, lie; and when they are silent they
steal F"
Mr. Harris then discussed the value of the
Kansas Pacific road, and said that having
been a civil engineer on the line his nfor-
nation was that of an expert. He said that
during the last eleven years the line had
earned an amount equal to 4 per cent. on
$3O,OO0O00 He further said that on the 5th
inst. the attorney general had agreed to
redeem the first mortgage bonds, and to
have the road operated by receiver This
arrangement Mr.. Harris said, was perfectly
satisfactory to those for whom he spoke
but the intention of the attorney general to
abandon that plan and to let the road go
with loss to the government of nearly
S1W0,000 was not only surprise to him and
others, but absolutely unsatisfactory. Mr.
Harris maintained that the Kansas Pacific
road was worth the last cent of the govern
ment's claim, and it ought to be demanded
by the attorney general.
Mr. Morgan, referring to the effort to
pass bill in the Senate giving powers to
the administration to become n bidder for
the Kansas Pacific Railroad, said he
thought the Senate ought to take that
measure up and pass it. Whether 1t would
pass the other branch Of Congress he could
not say. 1t would be possible however thus
to demonstrate whether there was a power
In the House of Representatives which
would stand in the way of the proposed
measure intended to save the people of the
country nearly 5000 900. Political parties
will sometimes permit robberies." They
will swallow the consequences of those rob-
berries, without strain; but the people will
whatever political parties may do, con-
cluded Mr.. Morgan
MIR. GEAR S OBJECTION.
Mr.. Gear objected not only to the pre-
amble of the resolution, but also to the
wording of the resolution as discourteous to
the attorney general. Referring to a petit
ton from Il London banking firm read as
a part of Mr.. Harriss remarks, which con-
tanned evidence that there was trouble be-
tween the reorganization committee and
those whom they represented. he said that
when rogues fan out, honest men were
likely TO get their dues.
wished" exclaimed Mr.. Harris. When
these thieves fall out perhaps the United
States will get its dues.
Mr.. Gear, continuing, regarded as the
greatest plume in the cap of the present
administration the fact that II received l6O
cents on every dollar of the Union Pacific
indebtedness.
Then why is it willing to accept As
cents on the dollar OF the Kansas Paclnc in-
debtedness?" inquired Mr. Morgan
II don't know that is is" replied Mr..
Gear But if it IS, perhaps ii is because
the road is worth only ~ cents on the
dollar
Mr. Foraker discussed the situation "a II
had been viewed by the President. The
President had asked Congress 70 give rim
authority TO enter the sale of the Kansas
Pacific as a bidder. but Congress had taken
no action. The final offer made by the re-
organization committees the President had
tory Senator'S might differ from the Presi-
dent as 10 the value OF the property but
he had consulted many weil-intormed per-