New-York tribune., 1906-06-17
KNOY-PATTERSON TILT.
IN the Senate OUer Ohio
Shin Canal.

Ship Canal.
washington June 16-The Senate spent the entire
day debating the bill 10 incorporate ship canal
connecting Lake Erie with the Ohio River and
again adjourned wit thout action on 1t. The bill was
savagely attacked by Senator Patterson as IN tbs
interest OF speculation and was warmly defended
by Senators Knox and Nelson Senator La Toilette
offered a number Of amendments to the measure.
but they We're laid the table
In lull in the proceedings the Acting President
pro tempore announced his signature 20 the state
hood bill. The Senate adjourned al 4:So p. m for
want of quorum
Senator Patterson found in the bill Incorporating
the Lake Erie and Ohio River ship canal an
couragement 10 the advocates of the ownership OF
the public utilities. He quoted pamphlet issued
oy the company as giving explanation for
asking a Congressional charter the fact that the
government might ultimately become the owner Of
the proposed canal. He expressed confidence that
the bill would become a law. and said that such
step would be a declaration that the government
might al no distant day own and operate the canal
for the benefit OF the country. He declared that il
a great stride from the ownership of a
canal TO the ownership Of a railroad.
Mr. Patterson did not, however. regard this as
the real reason Of the company for coming to Con
gress for charter. He said the promoters were
preparing 70 go ''wildcattng'' in the Jungle and
The Senator predicted that. in view of the trans
action in the United States Steel Corporation the
P1rtshurg men said 70 be behind the company
would not enter il with prospect of obtaining
less than four ior one
Mr. KNOX AROUSED.
This statement aroused Senator Knox who said
that the Prtshurg people had not been responsible
for the steel company's sale.
y understand the idea was conceived by /
eminent unanciers OF New York he said "and
the people of Piusburg were NOT foolish enough
take less than they could get"
Mr. Patterson contended however that the I
miIlionaires of Pittshurg had been parriceps Grim
inis with those of New York in the origination Of
the United States Steel Company conspiracy" He /
added that they had succeeded In selling for a
billion dollars property NOT worth more than $3.50
n" 9f0. the remaining S759rGl000 representing the
wind and nothing more He EXPRESSED the opinion
that steel companies behind the enterprise: /
ila' their object was 10 obtain iron ore cheaper 7
man before and by means Of the tariff keep prices
Up and maintain their monopoly
Mr. Patterson advocated an amendment TO the /
bill that would forbid the sale Of the canal stock
Ior less than par, and Mr. Knox said in reply that
while he had had great deal 10 do with corpora
lorS ne had never known any except wildcat COL
orado mining schemes whose stock was sold for /
less than par MT- Patterson admitted thar there
were some wildcat mining schemes and that this /
was a wildcat canalfar less excusable. because its
pToats would be extorted from the pockets of the .
people at large
Mr.. Nelson defended the bill against the charge
that il was "a mere stock jobbirg scheme" Dur
ing his speech Senators Patterson and Knox en- I
gagged in heated discussion. in which the former
said
"If the Senator from PENNSYLVANIA can see no
difference between Congress granting charter for
canals uniting the oceans and a ship canal. such
as is proposed here, then further argument is az
no avail"
Mr.. Knox said he could see difference and
that difference was in favor Of the canal connect
ing The Ohio River and Lake Erie. which was in
tended 70 cheaper freights and break a railroad
monopoly He said the arguments that had been .
made ny Senators against the bill had not been
based upon anything but innuendo and assumption .
Mr.. PATTERSON PROTESTS
Mr.. PatJersoh protested against this statement, .
charging that the language Of Senator Knox
sounded almost like epithets and suggested that
the Peunsvlvania Senator should devote his speech
.--o meeting arguments rather Than TO impugnIng
tlle motives Of Senators Opposed 10 the bill"
Dlsavowing any intention 10 impugn the motives
0f any one. Mr.. Knox said lie was amazed AT the
construction that had been placed on his speech.
lu be repeated that the arguments had been based
upon assumption, and that hy inuuendoes the char
z-tr Of the eaPital i3yoTed Nv in ne proposed canal
-a- neen attteReo, re 4-tlaItl i4at II tAest ~
70 say that nothing was further from his mind.
ALr Knox said ne knew most Of the men interested
e - - - ., al'u M I.i' ~. vin ,fT1
.'ruiIloRaires" He SAID he knew nothing about the
Intentions Of the promoters except that which he
saw in the prospectus OF rle company.
he was taken TO TASK ay Mr.. Patterson for his
ignorance on the subject and replied:
Colorado iu regard - this Dill 7 not mem
Der or the committee on commerce. which consld-
cred 4. Dut ] assume that lie purposes Of th3
promoters of this canal sufficiently inquired
into % properly safeguard the interests Of the gov
Crumenr-'
M. Ia Toilette said be objected 10 the inference
+ that because % opposed the bill II came from
the committee be opposed 10 reduced trans
portaI0u charges. He said Wisconsin was as
greatly interested as Minnesota in the bill, and in
cheaper rra-srn nrfatl0l- Cheap transportation on
the orc from the superior iron belt 10 PitsDuTg lie
said, might benefit the consumer II the product
We're sold ID TIE open market Speaking of the pro
vision .u the bib which seemed TO place no lIn1lta-
Won or the capita zatOu OF this company, he asked
Senators. with sweep of the hand that took in
rre entire chamber DO YOU believe transporta-
3 ZION companies should be permitted 70 be over
capital lZe5" "r
Nor waiting for any he said: IF my col
leagues on -le Republican side Of this Senate can
DOT be made 10 answer tnat question Il VIII be an
sWerec t- The American people, and the answer VIII
be based on sound economic principles The time
has gone by when the transportation companies
can Overcap.talize with lmpunlty.