The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1901-07-16
SUBSIDY
VOTED IN
Conferees Agree
to Pay Railroad
Debt.

the whole session, one which was proc
ductiVe OF some warm talk on BETH
sides. the subsidy OF the oahu railroad
VAS put into the Appropriation bin yes
terday morning by the Conference
Committee. There was one unusual
feature, bat one which gave the COM
mittee al idea of the Importance Of aC-
ton upon the item. the appearance of
a member. this Time T.. II. Dilling-
ham, WHO explained me- position of the
railroad company atI stood fire of
questions. CAalrmau baldwin, when
the meeting opened, said ,hat Mr.. Dill
bingham was present ready To present
his side OF the case, and asked "A vote
upon whether or not hearing be
granted. This was agreed to and Mr..
Dillingham; for u half-hour talked and
answered queries.
Beginning with a history of his con-
nection with the various enterprises in
the city and Islands, Mr.. Dillingham;
told how he began the promotion Of the
railroad. He said that he was urged
to action in this matter largely by the
prospects for the opening up of the
country. and that when it came to the
securing of the subsidy he was aided
largely by the Hawaiians, to whom the
prospect of being brought nearer to
the city was attractive. The history of
the construction of the road, the diff
culties met and surmounted, and finally
the success of the enterprise was gone
over, as well as the starting of the va
rious plantation enterprises.
After concluding this portion of the
argument Mr. Dillingham; said that he
was not arguing solely for self and as
sociates. He was asking for justice.
There was, he said, plain contract be-
tween the people, as represented by the
Legislature. and the railroad, expressed
in the form of the act which granted
the rights to the road and he consider
ed that the contract was binding. The
railroad had kept its part of the con-
tract and now 1t would be an act of in
justice for the Legislature to refuse to
carry out the second part of the agree
ment. The refusal he insisted would be
simply an act of reputation and this
the Territory could not do now. Such
an act would stamp the Territory as
unworthy Of credit and would be iisaS-
trous.
When Mr.. Dillingham; had concluded
Senator c. Brown moved the passage of
the item and argued that there would
be far-reaching effects of the repudia-
ton OF this proper debt. He then said
that during the morning he had been
approached by the head of one OF the
largest banking institutions in the city
and had been told that If the Legisla-
ture would repudiate such a contract as
that in this case that there would never
again be any money loaned to the
Treasury of the Territory. This he said
was not a threat but an expression of
the opinion that the action would show
that the Legislators were ready to re-
pudiate any debt. Senator Brown cited
the case of Virginia. where there had
been reputation. and said that in that
State money could not be obtained at
more than fifty cents on the dollar.
Many of the Legislators were urging
an extra session, he said. but If the re-
were in the majority. the
extra session would avail nothing, for
he as president of the First National
Bank would say that not dollar would
be advanced on any paper of the Ter
ritory.
Senator Paris followed with a speech
in similar strain and urged finally
that there be taken no step backward.
He thought that 1t would take many
years to live down the record of any
reputation and If this Legislature
should take such steps there would be
no chance to borrow money for needed
for many years.
John Emmeluth said that he thought
there should be some reply to Brown
and Paris. He thought the most bless
ID future would be one where the peo
pie of Hawaii could not borrow money
but would take the needs of the Terri
tory from the wealth of the land. He
said that he hoped there would be here
no repetition of the record of Virginia, !
where the Legislature had added to
the debts of posterity until they could
not be borne. This, he said, should not
oe done here, but the expenses should
be raised by the taxing of the people |
so that there would be freedom from
he weight of interest for the future |
peoples.
senator Baldwin asked indulgence 1
while he recited his connection with /
he legislation which preceded the build |
ing Of the road and said that as the |
read ~ the committee which framed /
HE bill giving the privileges TO the .
-oad, he thought II right 10 say that
here had been a cutting down 20 the .
Utmost but that something had 10 be .
EFT 10 insure the building ~ the line.
fe said that he would vote without any
bias as he did not own any stock or
londs Of the line,
honsarrnt called attention 10 the fact
hat there was a discrepancy between
he figures H. the bin ana those which /.
0ad heen recommended hy the Govern
.r lie fnaliy said that as he had
.auhis ~ the legality ~ the subsidy he
would favor an amendment 10 the bill.
.uitinR the figure ~ ff9 000. and adding
nat 'is matter should be submitted -
he Supreme Court FOR adjudication
sumfIuih favored this but wanted the
rhiifr cent fa ihe United states Dis-
fi.f court
~ there we're N che hiil several Items
.hIth rraYidea fnr payments ahlfh ga
~ come sue during the biennial res
iH3 Sem Brown amended 81 feaa 80 gao
~ mmHiufh fHfa ~ make a faaa
~ I. bald unan auii and determination
ffF court ~ competent lHnHaif
IHH HH fhla HfHHH nliHHffH end iba