Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-06-17
THE LAKE ERIE CANAL
SENATORS NELSON AND KNOX IN
FAVOR OF THE PLAN.
No Action Taken by Senate, After
Heated Discussion, Because No
Quorum Was Present.

The Senate spent the entire time yester-
day debating the bin to incorporate ship
canal connecting Lake Erie with the Jfio
river. and adjourned at 4:30 o'clock upon
discovering that no quorum was present
Mr.. Nelson defended the bill against the
charge that 1t WAS "a mere stock Jobbing
scheme and. contending for the legitimacy
Of the legislation, said it was Just as proper
for the government to charter canal as
it was for 1t to charter a bank. One OF
the reasons why federal charter should
be issued. said Senator Nelson, is that it
would enable national regulation and ma
tional control of the canal. He said the
authority to divert water from nayigable
streams Is one oyer which the federal gov
eminent and not the states has control.
A Heated Discussion.
During the Minnesota senator's speech
Senators Patterson and Knox engaged IN
a heated discussion. in which the former
said: III the senator from Pennsylvania
can see no difference between Congress
granting a charter for canals uniting the
oceans and ship canal such as is proposed
here, then further argument is Of no avail" "
Mr.. Knox said he could see q difference
and that difference In favor OF the canal
connecting the Ohio river and Lake Erie.
which is intended to cheaper freights, and
break a railroad monopoly. He said the
arguments that had been made by sena-
tors against the bill had not been based
upon anything but innuendo and assump-
ton.
Mr.. La Fol1ette's Speech.
Mr. La Toilette said he objected to the
inference that, because he opposed the
bill as it came from the committee. he
was opposed to reduced transportation
charges. He said Wisconsin was as greatly
interested as Minnesota in this bill and in
cheaper transportation. Cheap Transports
ton on the ore from the Superior iron belt
to Pittsburg, he said, might benefit the
consumer II the product were sold in the
open market. Speaking Of the provision
on the bill which seemed to place no limita-
ton upon the capitalization of this COM
pany, he asked senators, with sweep OF
the hand that took in the entire chamber:
DO you believe transportation companies
should be permitted to be overcapitalized?
Not waiting foE any answer. he said dra-
nfatically: If my colleagues on the repub-
lican side of this Senate cannot be made
to answer that question 1t will be answered
by the American people and the answer
will be based on sound economic principles.
The time has gone by when the transpor-
tation companies can overcapitalize with
impunity.'
Amendments Tabled.
When Mr.. La Toilette concluded Senator
Nelson moved to lay on the table the
amendment of the Wisconsin senator giving
the interstate commerce commission super
vision of the stock and bond issues of the
canal company The motion to lay on the
table, was carried thirty three to twenty.
republican senators voting in the main in
the affirmative and democratic senators in
the negative.
Mr.. La Toilette then offered an amend
ment giving the Secretary of War super
vision of evidences of indebtedness, but
1t was also laid on the table. Next Mr.
La Toilette undertook to have stricken
out of the bill the provision for sinking
fund, and In moving that amendment ad-
duced statistics to show that the railroads
are given to exacting money for that pur-
pose. He declared the practice to be in
direct opposition to the ruling of the SUI
prene Court. The motion met the fate Of
ITS predecessors and was laid on the table
An amendment by Senator Culberson that
all stock and bonds issued by the company
IN excess of those allowed by the bill shall
be null and void was accepted
After this action the quorum vanished
and the Senate at 4:30 adjourned leaving
an amendment by Mr.. Patterson still pend
ing.