The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1902-03-26
STEEL co. WINS
Bill to Juggle With It's
Stock Passes the Sen
ate Today.
ESSEX AND PAssAIc POLLUTION
Senator Hudspeth Pitches In
to Republican Legislation
Collateral inheritance
Tax.
Especial TO rThe Jersey City News. ~

| TRENTON, March IS 1902-There was
q strong lobby here all day working for
the Senate bill which is believed to be in
the interest of the Steel Trust The bill
slipped through the Senate last week and
provides that "a corporation may by a
tNo2thirds vote of the stockholders pres.
enf at a meeting convert preferred stock
into fully paid common stock. The bill
is in the House Committee on Corpora
tions and it was said that it would be
reported this afternoon with an amend
! nent requiring two-thirds vote of the
interest effected to complete the transfer
Mr. Hudspeth stirred the matter UP in
the Senate this afternoon with a resolu-
tion to recall the bin from the House for
amendment. In a long speech he at
tackled the bill as vicious, unfair Iegisla-
ton, the simple object OF which Is to
benefit and enrich the great steel trust
at the expense of the stockholders. He
appealed to the Senators not TO create a
scandal and let it be said that the State
OF New Jersey was a slave of the great
corporation.
Mr.. Reed said it was about the time
when the Senate expected the Hudson
! mans annual political harangue. He had
delivered it in good shape and Mr.. Reed
congratulated him. He said what the bill
authorized was the doing of an act by a
| corporation with the consent of everyone
who owned penny's worth of stock with
out giving notice of the object of the
meeting as now required by law. 1t also
provided that a corporation, by consent
of the stockholders, can convert preferred
stock paying seven per cent for bonds
paying five per cent, which was good
business proposition for the common
stockholders.
Mr.. McCarter spoke against the resolu-
ton in the same strain.
Mr.. Hudspeth resented Reeds remarks
about buncombe and said there was no
politics IN his resolution. He was sin
cere in his opposition to the bill. If it was
d fa.f one, let 1t be brought before the
Senate and considered on its merits. TIE
bill, he declared was for the purpose Of
wiping out the common stock.
While the vote was being taken, Mr..
Hudspeth raised The point that it did not
| require a majority of the Senate to re-
was IN the chair ruled that it took eleven
votes. Hudspeth insisted on absentees.
claiming that every Senator had to vote
who was present. refused to vote. A mo
tion by Mr.. MeCarter to suspend the roll
call was lost and Mr.. Hudspeth kept up
his cry for absentees.
Mr.. McCarter sprang motion to ad-
journ, but Mr.. Hudspeth and the Demo-
Gratis claimed that the motion was out OF
order, but Mr.. Johnson declared it in or
der.
Mr.. Hudspeth called for ayes and nays.
Mr.. johnson refused to put it and took
viva voee vote.
The noes were by far the loudest, but
Johnson declared it carried and the Sem
ate adjourned amid much laughter.
The first round in a fight to
finish between Essex and Pas
sale over the Passaic pollution mat
ter was fought out in the Senate this
morning and was won by Essex. When
the bill came up on second reading Sem
ator McCarter offered by way of amend
rnent a substitute bill which he had print
ed over night and was already ON the
Senator'S desks The substitute was
adopted and Mr.. McCarter secured sus-
pension OF the rules and had
the bill place on third reading.
In explaining the measure Mr. McCar-
ter said that it was not exactly what he
or his people wanted, nor was it just what
the people of Passaic county wished. They
would probably prefer no Legislature al
all The subs titute, however, was the re-
suit of a long and earnest conference be-
tween himself and the Senator'S from Pas
sale and Bergen and the Governor. and it
was generally satisfactory to all concern
ed as a compromise measure.
In the first part it followed the lines of
the original bill. providing for the APP
pointment of a commission to investigate
the whole question at issue. but the
operation of the commissioners was SO
limited that the work of purifying the
river would not be consummated this
year The expense of the commission is
limited to s5e,0oo.
While the work of the commission vii
not be accomplished this year. it has
been 80 arranged that it will go on and
as much as can be accomplished before
the next session Of the Legislature will
be performed anyhow. 1t gave him pleas
ure he said, to say that Paterson had
met Newark half way.
This produced a sort of old fashioned
love feast and Mr.. Mckee, the Passaic
Senator. took a hand in the distribution
of the glucose. It gave him great peas
urc, he said to acknowledge the mag
unanimous conduct of Essex and to en-
dorse the substitute which, as stated by
Mr.. McCarter, was the result of long
conference between the different interests
affected His objection to the original bill
was that ii gave Paterson no opportunity
to be heard. The substitute provided for
full hearing for all parties, after which
the commission was to decide on the best
plan of action. 1t was a fair proceeding
ali around.
The bill passed without opposition and
so did Its companion, which creates the
Passaic Valley Sewerage District
Senator Hutchinsons 5 repeater Of the
collateral inheritance tax was taken up
and encountered vigorous opposition
from Mr. Hudspeth, who thought II no
more than fair that the State should Sc
cure d contribution from the large estates
which the law alone affected. II did not
apply 10 bequests to churches o. charita-
bic Institutions nor the moneys left to Inn
mediate relatives.
Mr.. Cross thought the abolition Of this
tax wotl1d serve az an indueemeEt to
II. q