The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1900-01-17
GAGE AND THE BANK DEAL
MR. RICHARDSON READ LETTER
FROM HEPBURN.
Campaign Fund .-Question of Elm
bezzIcmcnt WAS spoken or.


deficiency appropriation bill was taken up
in the house today. II was tho general
expectation that it would open up stormy
debate on the question Of expansion, but
the members early became engrossed in a
discussion Of an item Of $50 900 for rural
| free delivery and the subject OF expansion
was barely touched upon. The last hour
Of the debate was enfivened with an at
tack by Mr. Richardson (Trnn) on the
/ secretary OF the treasury for his course in
connection with the sale Of the New York
custom house. Ho rehearsed tho charges
that Secretary Gage has been guilty
technically OF embezzlement IN connection
with the Gale Of the customs house. His
purpose was 10 show that the National
the contribution Of its directors to the re
publican campaign fund Of 1886 and tol
show that the course or the secretary in
! allowing the purchase price 10 remain In
the hsuk. While at the same time paying
/ rent for the property and keeping it cN-
7 empt from taxation Was not dealing fair
~ with the trust funds ~ the govern ment
: Mr. Hopkins llll championea the cause
/ OF the secretary declaring that his reply
( 10 The house resolution answered every
/ charge brought against him aud displayed
( business ability that must meet the ap
/ prevail Of all taIr-mlnded people.
Immediately after tho reading OF the
journal today the house went into CON
mittee Of the whole and began eon5idera
tion Of the urgency deficiency appropria-
tion bill. 1t was agreed that general de-
hate should continue throughout the day
and that tomorrow the bin should be read
for amendment under the ave-minutc rule.
I MIR. Cannon. chairman Of the appropria
( lions committee opened the debate Win
q general explanation Of the Items in the
bill
MIR. Cannon was asked by Mr.. Loud
/ (Call about the item OF $4,000 for rural
free delivery. and replied that II had boon
found that $4,000 mad been Appropriated
for the present fiscal year. That moncy
had been largely expended and, unless this
appropriation was made much OF the sys-
TEN now IN operation would have to be
discontinued MIR Cannon frankly cOu-
fessed that the manner Of the expenditure
Of the money did not meet his approval.
Ilo believed II the duty OF the executive
10 cur the garment according TO the legis-
lative appropriation The department nad
4 10 AEtHA W AltdAG u hpuNlilDU WOlCD nglfar
stated deficiency appropriation he
should vote for the appropriation bill he
said. but he called attention TO the maldd-
miuistration
w. Alden Smith (Michl declared that
what the department hat done had met
with the approval OF the people
Mr. McRae tArl). made general plea
Tor economy, saying the revenue this year
: would not exceed $500 600 900. Win. The
, treasury estimates aggregated S73S 600 900.
: Nh Sail Texas FIRST introduced ihtn
Y the debate the question of expansion. lie
. had read extracts FROM The Declarai ion uI
& Independence. the speeches OF JAMES Wi.
= son Of Pennsylvania in the constitutional
1 convention ana of Abraham Lincoln a
. Gettysburg IL was a long step said he
y from the conceptions Of the government
q portrayed IN these uiterancos to thl
y declarations of the spokesman Of the pres.
!. ere administration.
5 Mr.. Davis (Fla.l said he deplorci th,
Q spirit Of expansion which had taken pos
session OF portion OF the peopla We
h not for all the World would hn Withheld.
: from our soldiers, struggling, bleeding an,
i dying IN the Philippines. all the mora
h ana material support they nsade1. Nj
. DAVIS was applsuded by tho republicans,
: MI Richardson tTennD. briefly re
4 viewed the appropriations for the mill
m tary establishment. showing thaa m tim
80 " TNoNs ihh appropriations luf u VII
lp me deficiency provided IN this bill reach /.
"a Sl2l 100000, He then proceeded 10 criici1
ie me transactions of Secretary Gage In IN
m matter OF the sale OF the New York Gus
IA toms house to the National City bank o
New York
"a Mr.. Richardson said one Of the news
papers had gone so far AS 20 charge tha
MI Gage had been guilty OF emhexzle
meni technically and legally ana was
aft 10 IA.
Is sFld ne did not SO to that length but tn
secretary OF the treasury he sail Ia,
" certainly violated the strict letter OF IN
81 law Mr.. Richardson said that IN, hi
49, opinion the secretary was not guilty q
~ embeSzemeut and Expressed the opinio.
o, mat he has a pecfeot right to depoii
ga the money In governments depostor
~ such as the National City bank then was
- But he desired to so beyond that TN
vustoms house was sold to tho bank Jul
3, 1899, for S3,S6S 600. just before the sal
TUNE - the secretary received lett
from a. n. Hepburn, saying: "Of cours
this bark Is very stroag and IL you TAX
the pains TO look az the list OF director
e YOU VIII see We have great claims 1
view OF what was done in 1896" Nj
: Richardson then read q list OF governmeu
deposits in this bank. showing that "a
IS SIX norths II had the use OF $40 900 .00
OF government money. Was tina. duo 1
= tho contributions made by the directors I
. the campaign OF 1886 he inquired Turn
ing again TO the sale OF the customs hous
The deposit OF the money In the purrhai
Ing bank and the lease OF the property
n. the government at the rate OF st36 900
q year. he asked what had the govarnme,
I, got ou o. the transaction. paaer cred
of S2io,0Oo aud she pr.vilege o. payir
sis6,OCo year rent. What had the ban
'fe gotg The rsnt, the use OF the pureh,
~ money which Y loaned al enormous rat,
~ and by withholding the last $50 ono OF Ii
- purchase price. 10 proven, the title fro
passing =, WAS exempted from taxation 4
"a the property Y had purchased. ~ lea,
~ 70 any honest minded man.. said Nj
e Richardson. "if that Is dealing fairiy vii
80 the trus, money OF the United states.
tpemoTatie applspse)
Mr.. Hopkins flll,) quickly challeng'
Mr. Richardson's statement that the bal
was not liable Tor taxes He said II
report OF the secretary Of the treasury q
~ only met frankly and honestly eve
NJ charge but It showed business espaci
= that must receive the Intelligent APPROX