The record-union., 1899-01-19
PACIFIC CABLE
BILL IN HOUSE.
Discussed Al Length in Committee
Of the Whole.
Much Opposition to the Provision for the
6rantlng Of a Subsidy.

IOppO4euVs OK Cne Ke0010& measure
Advocate the Construction of
the Gable by the Government
The Matter Goes Over Indefi-
nite1y.
WASHINGTON, Jan. 1S.-The Com
mittee on Interstate and Foreign Com
merce had the right of way in the
House to-day, and succeeded in pass
ing quite a number of bills of minor inn
portance, most Of which authorized the
construction of lighthouses, fog signals,
etc. Then the bin to grant the Pacific
Cable Company subsidy Of 100000
a year for twenty years for the con-
struction and operation Of a cable was
called up, and very spirited debate,
which consumed the remainder of the
day, followed. The opposition was
headed by Corliss (R.) of Michigan,
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 to-day expired
with thei adjournment and as objection
was made to fixing another day for its
consideration, it goes over indefinitely
until the committee can get another day
or until a special order is adopted.
| The House, under a special order
adopted last week, devoted to-day to
the consideration Of bills reported from
the Committee on Interstate and For
eign Commerce. The first bills passed
were small measures to improve the
lighthouse service.
A bill was passed to establish depot
for the sixth lighthouse district, with
an appropriation of $4,000 therefor
Hemenway R.) of Indiana made the
point Of no quorum on the passage of
a bill to establish a lighthouse and fog
signal at Point Arguella, Cal, ait a cost
not exceeding $4,000 On a call of the
House the bill was passed-176 to &.
/ Bills We're passed for a relief ship for
the fourth lighthouse district, to cost
not exceeding $4,000, and to construct
telephone and telegraph lines from
Table Bluff to Salmon Creek, Humboldt
County, California, to cost 81, 800
| Hepburn then called up the Hawaiian
cable bill
Upon the objection of Dockery D)
committee of the whole, Evans R-) of
Kentucky in the Chair
The bill authorizes the Postmaster
General to contract with the Pacific
Gable Company of New York at the
rate of 100000 per year for twenty
years for the transmission of Govern
ment messages from San Francisco to
Honolulu and points on the japanese
and Chinese coasts, the company to
deposit $25O,0OO in Government bonds
with the Postmaster General within fif-
teen days after the passage of the Act
as a guarantee of the construction OF
the cable. The bill fixes 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
Bennett CR.) of New York, in support
of the bill, reviewed the contest over
the Pacific cable. The committee. after
long investigation, he said, had decided
that the strongest company should con-
struct this much needed cable. The
Pacific Cable Company will be incor-
porated under the laws of New York,
with capital stock of $4,000, ,OOO The
men who were behind it controlled the
Mexican cable and other cable lines
They had built 1900 miles of cable.
Asked who the directors of the COM
pany were, he replied they were the
President of the Mexican Gable Com
pany, Mr.. Scrymser Edward l.. Bailey
j. Pierpont Morgan, J. K. Todd and
George S. Baldwin. He did not know
the names of the stockholders. II.
Bailey asked if this company was not
lseeking subsidy for the company from
Japan.
Bennett replied that it was, but he
denied the statement of Bailey that
the subsidies would pay the interest on
enough money to construct the cable.
Its cost, he said. would be $1OO00,OO0
In reply to questions, Bennett said
that neither the Postmaster General
the Secretary of the Treasury, the
President or the Secretary of the Navy
had been consulted about this bill
1T seems to be a legislative contract
with few wealthy New York gentle
men," interrupted Dockery CD of Mis-
souri, ito give them a monopoly of the
Pacific cable business
Bennett gave notice that at the
proper time he intended to offer amend
ments to provide that the cable should
touch the Ladrones and the Phillip
pines.
Lewis Cd of Washington asked If
it was true that this company had
contracted with the Great Northern
Extension Company to build the cable
and to have q controlling interest in it.
on condition that this company would
secure enough votes in Congress to
pass this BILL
Bennett replied that he was not
aware Of any such contract.
General Swayne is responsible for
that statement" said Lewis.
General Swayne has opposed this
company" replied Bennett. .sHe is
more prejudiced against this company
than I am against any company he is
interested in. I want to see the cable
built and operated by an American
company"
Bennett said the cost of the cable to
Honolulu would be about So. 500. GOO
the annual cost of maintenance $50
COO, but provision must be made out
of the surplus earnings for repairs and
renewals, the average life of a cable
being about twenty years. The cost
beyond Honolulu would be about 81 ,O0O
a mile for construction
i Shafroth (Sil. R.) asked why bids
were not advertised, for, and the con-
tract given to- the lowest bidder
Bennett replied that the COMMITTEES
Thought best to give the contract to