The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1899-01-19
HAWAIIAN CABLE BILL
Has Day in the House, but Nothing
Is Done.

the right of way in the house today and
succeeded in passing quite a number Of
bills of minor Importance, most of which
the construction of light
houses, fog signals. etc. Then the bill
to grant the Pacific Gable company a
years for the construction and operation
of cable was called up and a very
spirited debate, which consumed the
remainder of the day followed.
The opposition was headed by Mr.
Corliss (Rep., Mich.), who advocated the
construction of a government cable. No
conclusion was reached at the hour of
adjournment and as the special order
under which the house was operating
expired with the adjournment and as
objection was made to fixing another
day for it's consideration, it goes over
Indefinitely until the committee can get
another day or until special order is
adopted.
Upon the objection of Mr. Dockery
(Dem., MOI, the bill was considered in
committee of the whole, Mr.. Evans
CRep., Ky.), in the chair. The bill au-
thorizes the postmaster general to con-
tract with the Pacific Gable company of
New York, at the rate of $1O0,0 900 per
year for twenty years for the transmits
sion of government messages from San
Francisco to Honolulu and points on the
Japanese and Chinese coasts, the COM
pany to deposit $250000 in government
bonds with the postmaster general with
in fifteen days after the passage of the
act as a guarantee of the construction
of the cable. The bill fixed the rates
for private individuals at not to exceed
$1.25 a word to China and Japan and 80
cents to Honolulu, press rates not to
exceed one-fourth of the cable rates
100000 CAPITAL
Mr.. Bennett (Rep., N. YO in support
of the bill, reviewed the contest over the
Pacific cable. The committee, after long
the strongest company should construct
this much needed cable The Pacific
Gable company will be incorporated un-
der the laws of New York with a cap
ital stock of So 900, 900. The men who
were behind it, controlled the Mexican
cable and other cable lines. They had
built $4,000 miles of cable. Asked who
the directors of the company were he
replied they were the president of the
Mexican Gable company, Mr.. Scrymser.
Edward L. Bailey, J. Pierpont Morgan
J. K. Tod and George S. Baldwin. He
did not know the names of the stock
holders.
Mr.. Bailey asked if this company was
not seeking subsidy for the company
from Japan.
Mr.. Bennett replied that 1t was, but
he denied the statement of Mr. Bailey
that the subsidies would pay the in
terest on enough money to construct
the cable. Its cost, he said, would be
$40, 900, 600.
In reply to questions, Mr.. Bennett
said that neither the postmaster gen.
eral, the secretary of the treasury the
had been consulted about this bill.
1t seems to be legislative contract
with few wealthy New York gentle
men, interrupted Mr.. Dockery, Oem
MOI Ito give them a monopoly of the
Pacific cable business"
TO EXTEND TO PHILIPPINES.
Mr.. Bennett gave notice that at the
proper time he intended 60 offer amend
ments to provide that the cable should
touch the Ladrones and the Philippine
islands.
7 ~.
true that this company had contracted
with the Great Northern Extension
company to build the cable and to have
a controlling interest in it on condition
that this company would secure enough
votes in congress to pass this bill.
Mr.. Bennett replied that he was not
aware of any such contract.
Gen. Swayne is responsible for that
statement" said Mr.. Lewis. General
Swayne has opposed thas company" re-
piled Mr.. Bennett. He is more pre-
JUDGED against this company than 1 am
against any company he is interested
in. I want to see the cable built and
operated by an American company
Mr.. Bennett said the cost of the ca
BILE to Honolulu would be about 50 $780,
600, the annual cost of maintenance $50
600, but provision must be made out of
the surplus earnings for repairs and
renewals, the a verage life of a cable
being about 20 years. The cost beyond
Honolulu would be about 81 900 a mile
for construction.
Mr.. Shafroth Pop. CoL) asked why
bids were not advertised for and the
contract given to the lowest bidder.
Mr.. Bennett replied that the company
thought best to give the contract to
responsible company and had decided
upon the Pacific Gable company.
Mr.. Hepburn, in support of the bill
said the theory upon which it was
framed was to enlist American capital
in this cable enterprise. All the mon
ey the government was now expanding
went to foreign companies. To and from
Manila we were paying $1.S5 a word to
one company and $110 to another. Mr..
Shafroth wanted to know what objec-
ton there would be to allowing compe-
tition.
Mr.. Hepburn said there was no other
American company which would accept
the terms of this bill.
He did not think the government it
self should embark on this enterprise.
There was only one project in which he
believed there should be government
ownership, the Nicaraguan canal. That
was a gigantic enterprise, beyond the
power of private enterprise.
OPPOSED BY CORLISS.
Mr.. Corliss, (Rep., Mich) who was a
member of the committee that report
ed the bill, opposed 1t vigorously. He
charged that the subsidy granted by
the government in this bill 81, DOC, 600 in
total amount would construct the ca
BILE President Scrmyser was now at
work trying to get subsidy from Jap
an. The company was a gigantic mon
opoly. 1t had been seeking subsidies
from congress for Is years. He believed
in a government cable. One of the chief
elements of England'S strength. he said
was the fact that she pushed her lines
of communication around the world.
The government had already gone in
to the business. Under the direction of
the war department we were now en-
gagged in laying 200 miles of cables in
the Philippines. He produced a con-
tract which he said was made between
IL IL TI11x- a
month before Hawaii was annexed and
President Scrmyzer giving the Pacific
Gable company an absolute monopoly
of landing cables in that island for 20