New-York tribune., 1902-01-20
PACIFIC CABLES CONTROL
GOVERNMENT PLAN OF OWNERSHIP
GAINING IN FAVOR
MR. MACKAYs COMPANY MAKING DEs-
PERATE EFFoRTS-OTHER COM
PANIES CLAIMS
IBY TELEGRAPH TO THE rR1suxB.l

PANIES CLAIMS
IBY TELEGRAPH TO THE TR1BUNE.]
Washington, Jan. 19.-Apparently there is at
present more confusion and uncertainty in the
mind of Congress the question of a Pacific
cable than any other proposition of general in
terest now pending. The House Committee on
Interstate Commerce has before it a half dozen
or more bills for the construction of line of
teegraphic communication the Pacific
to the Philippine Islands touching at Honolulu
but no one of these measures seems to have that
character of support in either branch of Con-
gress that indicates success Meantime the
SeEate appears content 10 await the action OF
the House before giving its attention to the
matter in detail. Hearings the various bills
now before the House committee will be resumed
this week, and it is considered probable that
within a short time sufficient light will be
thrown the subject to justify.a prediction Of
definite Legislative action.
In spite of this condition Of uncertainty in
Congress at present, however, 1t grows more
evident daily that the proposition for the gov
ernment construction, ownership and control of
a Pacific cable is the most popular of ell the
schemes suggested A bill e1nbodying this idea
passed the Senate year ago by unusual ma
3ority, and in view Of this fact II is assumed
that the upper chamber still is convinced
that the government should do the work and
manage the line when it is completed. At the
same time 1T is recognized that very powerful
Influences are operating through influential
channels to keep the government out of the
cable business and permit private corporations
to lay the lines and.control them without look
ing TO Washington for any guarantee of sup
port.
COMMERCIAL HARD AT WORK.
John w Mackay and his associates In the
ding
dustriously and vigorously with their plans to
lay a cable to the Philippines regardless OF
whatever action on the subject may be taken by
Congress at this or other sessions. They have
given contracts 20 a firm in England TO begin
active operations between San Francisco and
Honolulu, and their agents here assert with
great positiveness that this much Of the Mackay
line will be completed within a year, and that
as soon as practicable the line will be continued
TO the Philippines. 1t will be recalled that a
month or two before Congress met Mr.. Mackay
= was often in Washington striving to ascertain
n the President had the authority or inclination
tn grant TO the Commercial Cable Company GER
tain franchises at San Francisco Honolulu and
Manila
The subject was discussed elaborately by the
Cabinet several times, and finally it was referred
to the Attorney General for final determination.
Mr. Knox. after a thorough investigation, de-
TO touch only on territory of the United States
the subject was not within the purview Of Ex-
ecutive authority AS a result of this decision
the Mackay people announced in the most prac-
tical way their determination TO go ahead with
their project and it was then that they formed
the plans which they now executing.
THE POWER OF THE PRESIDENT.
II goes without saying that if it does not lie
;n the Executive authority to grant the privi-
leges sought by the Commercial Gable Company,
neither is the President authorized to prevent
the Mackay people from landing their cables at
the points designated. This is the point that is
now causing considerable uneasiness among the
element in both branches Of Congress that
avowedly favors the government construction
iand control of the cable, but IL is regarded as
extremely doubtful whether Congress could put
a check to Mr.. Mackays operations, even II the
lawmakers q whole We're inclined. 1t is
fundeniable, however, that the Mackay plan is
viewed with grave suspicion by a large number
iof the members of Congress. They declare that
the Commercial Gable Company is cooperating
with the Eastern Gable Company, which stoutly
claims monopoly in the Philippines under
alleged old Spanish grant and which at the
present time is enjoying complete monopoly
of the cable business in that important part Of
the Orient.
If a direct connection between the Eastern
and the Commercial Gable companies is estab-
iished to the satisfaction Of the majority of
Congress- it is generally believed that a way will
be found either to prevent the projected Mackay
iline from landing on American territory. or the
faleged partnership must be dissolved actually
tand in good faith condition precedent to the
flaytng OF the cable.
INVESTIGATION BY THE HOUSE.
The House committee considering the
tsubject probably will soon institute rigid in
tvestigetion Of this matter. Even this threaten
ing attitude seems to have had no effect thus
1a- upon the determination of the Mackay peo-
pie TO begin laying the cable between San Fran
cisco and Honolulu. and if that work is pushed
with the energy its promoters allege, 1T is prob
able that the courts finally will be called upon
10 settle the disputed points. OF course Mr..
lMackay and his associates must feel quite
of their ground they would not prepare to
make such heavy expenditures they
known to have made in the last three months.
A DUTCH CoMPANYs CLAIMS.
Another phase Of the Pacific cable question.
which IT is feared IN some circles is fraught with
serious complications, is the claim of a Dutch
company TO the possession Of certain rights and
privileges in the Orient under old grants that
preclude the construction of a transpacifc line
into any part Of that quarter Of the globe by any
other corporation or government. Virtually
nothing is known in Washington of the merits
of the Dutch claim, though it is being set up
with much earnestness and insistency to
cause uneasiness. This matter also will be care
fully looked into by Congress probably before
any definite legislative action is taken.