The times. [volume] (Washington [D.C.]) 1897-1901, 1901-03-31
THE HAVANA GAS SCANDAL.
Information as 10 the Charges Re-
ceived at the War Department..


Information in regard to the charges
made to General Wood concerning the
connection of Horatio Rubens and Con
salez Quesada with the Havana Gas Com
| pany was received at the War DEPART
ment yesterday. The details of the case
| are that stakeholder in the company
named johnson. at the last meeting of the
| directors. refused to vote in favor of a
| further payment of money to Mr. Rubens.
| He later addressed a letter to General
Wood, setting forth his complaint against
Rubens. This letter was referred by Cen
| eral Wood to the audencia of Havana,
with the reques- that it be given immed-
| late consideration.
| The president of the audencia has ap-
| pointed Judge Monteverde as a special
judge to conduct the enquiry. AR John
son appeared before Judge Monteverde
| several days ago. and submitted affidavits
/ TO support his charge that Mr. Rubens
| had used his connection with the Gov
| eminent to secure money from the gas
company.
War Department officials here say MI
Rubens is not employed by the United
States or Cuban Governments He was
retained by General Wood TO assist in the
prosecution of the postal cases. but on
Wood dispensed with his services.
General Woods advices to the War
Department show that he is taking no
official action in the case, other than re-
ferring it to the judiciary department
According to well-informed persons in
Washington MIR. Rubens' connection with
the gas company dates back over two
years. The gas company uses crude pc
troleum for the manufacture of gas and
under the first tariff promulgated in Cuba
by the United States, known as the Port
er tariff crude petroleum for the exclli-
siNe use of the gas company. was duti-
able at 20 cents per hundred kilos. The
records of the War Department show that
in December. 1893, a tariff circular was
issued by the War Department placing
crude petroleum ON the free list This
circular was to become effective January
%. 1860.
The explanation of the War Department
Is that crude petroleum was placed on the
free list because of representations made
to the department that II would result
in great reduction in the price of gas.
These representation are said 20 have
been made by Mr.. Rubens and MIR. Que
s.lda. Within 4 few weeks after placing
ii on the free list. the department began
the work Of revising the Cuban tariff.
This revision was completed in March,
1900, and promulgated by the President
March Il.
The revised tariff made crude petroleum
dutiabe a l. 40 cents, but failed to make
for the use of the gas company. Nor
was petroleum for such use placed on the
free list. The failure to provide the 10
cent duty was a clerical error and upon
the representations of President r j.
Hayward of the company and Vice Pres
ident Bacardi. this duty was restored.
thus placing it in the same position it oc-
cupied before ii was placed on the free
list.
In securing this action. President Hay
ward and Vice President Bdcardi were
the only persons appearing before the |
War Department, and ii Is clear that their |
alone secured The restor-
alton of the 70-ceut duty. the War Depart |
ment refusing To place it on the free list. |
because the company had not reduced the |
price of gas, as promised