Connecticut western news., 1898-02-17
THE SENATE INQUIRY
WANTS INFORMATION RE6ARDlN3
 THE KANSAS PACIFIC SALE.
Attorney General Grisgs Tells Why ths
 Proposed Postponement and Appoint- meat of Receiver Were Abandoned.

Washington, Feb. l6-A resolution of inquiry, offered Monday by Mir. Harris (Pop) of Kansas. precipitated IA spirit ed discussion of the Pacific railroad question in the senate yesterday. Tha resolution called upon the attorney gen eral for reasons which induced him to abandon his plan of redeemlng the first mortgage bonds of the Kansas Pacifa branch of the Union Pacific and having the road operated by a receiver.
 Mir. Harris denounced the present plan to sell the road ot the bid of the reorganization committee as defrauding the government cf something more than S6 000, ,000. Mir. foraker Ckep.) of Ohio explained the view taken of the matter by the administration, showing the president was convinced the reorgani- zation committee proposed to pay for the road all that 1t was worth. Tho resolution was finally passed in amend ed form.
 Attorney General Griggs ErpIains-
 In replying to the resolution. Attorney General Griggs says that the govern ment has already compiled with the de- cree of the court entitling it to become bidder. If the sale were allowed to proceed upon the adjourned day, with no assurance of a bid equal 10 the amount of the principal of the govern ment's debt it would be incumbent up- on him to bid in the property for the government. This would have been at- tended with difficulties, the chief of which would be that the government was not authorized to operate the raii- road in it's own name or through it's agencies. and serious doubt existed aa to whether the court would after tho sale appoint and continue receivers for the mere purpose Of operating the road on behalf of the government.
 The attorney general then refers to what took place in St. LouIs when the reorganization committee offered to bid the amount of the principal of the gov ernment debt. In conclusion, he says:
 Answering specifically the questions contained in the resolution Of the sen. ate, l would say that l have not au- thorized any agreement by which thJ property is 10 be sold for the face valuI of the subsidy bonds. nor has the gov ernment agreed not to be a bidder at the sale. The only agreement made wal 10 discontinue me motion for postpone. ment. redemption and the appointment of a receiver upon the guarantee tha. the minimum bid by the reorganization committee should be the principal of tn , government debt. The property will b. sold at public sale in open competition to such party as may offer the highes. bid. subject only to the stipulation ob. tained in open court on Saturday last that the minimum bid will be se, s03. .ooi instead of S2500,000, as formerly nxed by that court"
 In the executive session Mir. Tillmal CDem) of south Carolina spoke In op- position to the annexation treaty. a"
 Rouse on Joint R~.oIu,ion..
 In the house the time was devoted ts the consider atlon of bills and Joint reso. lutions presented under the call of com. mittees, and sixteen of more or lest public importance were passed. An or. der Was also entered by unanimous con. sent for the consideration of the Loud bin relating to second class mall matte. on March l. 2 and 3. and the order fo. the consideration of the bankruptcy bill was modified 30 that the final vote shai. he taken on Saturday instead of Mon. day as arranged last week.
 Among the bills passed were the fol. lowing: Senate bill to amend the navi. gation laws relating to the coastwisJ trade; to amend the laws relating to official fees; to better control and pro. mote the safety of national banks bs inhibiting loans to officers. directors O. employees without the approval of T. majority of the directors and to amend. the law relating to the licensing 0. mates on ocean and river steamers.