VOL.. XLVI.-NO. 14,475.
PORTLAND, OREGON, TUESDAY. APRIL. 30, 1907.
PRICE FIVE CENTS.
FULTON REPLIES
TO LA FOLLETTE
Oregon Senator Likens
Little Bob to lago.
HE ATTACKS TO GET MONEY
Misrepresents in Order to Gain
Sympathy.
POSITION ON RATE BILL
Vhj- Mr. Kiilton Ild Not Vote for
Ineffectual Amendments Ills
Real Work for True Rail
way legislation.
ASTORTA. Or.. Alfril 29. Special.)-4n
n Interview with The Oregonian corre
spondent this afternoon, United States
Senator Fulton answered Senator La
Kollotte's criticism of his attitude toward
tho Wisconsin Senator's proposed amend
ments to the railway rate bill. Senator
Fulton said:
"Tea. I observe that Senator Ia Follette
is traveling abollt the country delivering
lectures at so much per lecture and wil
fully misrepresenting hs Republican as
sociates In the Senate. However, lectur
ing: is his business. He has no other. He
Is engaged in this work for what there Is
in it and the more he abuses others the
more there is in It. It is reported that
he Is making over 330.000 per annum. I
have seen It stated In some papers where
he has spoken that he says he was offered
310,000 a year by a railroad company to
represent It. but that he declined. Why
not, when he can make three times that
amount ty misrepresenting others? His
misrepresentations though wilful-, and
wanton ore probably not open to the
charge of being malicious. They are
prompted solely by necessity. He must
attract attentlorfTb his lectures. Could he
do so without misrepresenting" others, he
yoi;M probably not sti'dious'y misrepre
sent thejn,. ,.JtuClU-c8-'u'1l principle Is,
My friend, net money; get a large estate
By honest means; but get at any rate.
'In tho Senate ho pays no attention
whatever to legislation excepting such as
he thinks he can work up Into material
for a lecture. Ills lectures are the main
point with him. for through them cornea
his thirty thousand or more per annum.
o Attention to Committee Work.
'"lie is, for instance, a member of the
Senate committee on claims, of which I
am chairman. It Is one of the most im
portant committees of that body. Indeed,
has more work assigned to it than any
other commltee. as all relief bills and
bills for payment of claims go to it. The
committee meets once every week during
sessions. He has been a member ever
since he entered the Senate, over two
years now, and yet he has never attended
but one meeting of the committee. He
'professes to be a Republican, yet he has.
without a single exception to my knowl
edge, voted with the Democrats ever since
he has been In the Senate whenever a
division has occurred ou party lines.
"' have not heard any of the speeches
he has delivered in Oregon, and my In
formation concerning them is based en
tirely on what I have Been in the public
press, and been told by those who have
heard him. According to these reports,
if he does not so state in terms, he seeks
to convey the Impression that in the rail
road rate legislation I constantly voted
In the interest of the corporations and
against the Interest of the people, and so
far as I have been able to ascertain, he
bases that charge on two votes I cast.
One vote was on an amendment pro
posed by him May 12, ISOtf, disqualifying
any judge who owns stock or bonds of a
railroad company engaged In Interstate
commerce, or wiio accepts or uses any
pass or free transportation, from presid
ing at tlie trial of any case arising under
the Interstate Commerce act.
Fulton Explains Vote.
"Wmle it is true that I voted to table
that, amendment. I did so for the follow
ing very good and substantial reasons:
"Prior to that date, namely, on May i,
the Senate had adopted the following
amendment:
That no carrier engaged in interstate
commerce shall, dtrectiy or indirectly, issue
or give any free ticket, free pass, or free
transportation to any person except to the
officers, asents. employes and attorneys
of the carrier issuing the same, or to min
isters of religion, inmates of hospitals, ele
mowynary or charitable institutions. Any
carrier violating this provision shall he
deemed guilty of a misdemeanor and shall
fur each offense pay to the I'nlted States
a penalty of not loss than loo nor mure
than tZOOO.
'Subsequently there was added to the
amendment the following clause, for
which I also voted, namely:
And any person other than the persons
escepted in this provision who uses any
such Interstate free ticket. Tree pass, or free
transportation, shall ba subject to a like
pena'ty.
Now. It must be apparent to all that
when we had made it a crime to issue a
free pass. It would have been an absurdity
to provide that a Judge who used one
should not preside at the trial of a parti
cular case. How could we assume that
any Judge would have a pass when It was
a crime to Issue or grant one? It is a
crime to commit larceny, but It has never
been thought necessary to provide by stat
ute that a judge who commits that offense
or receives the stolen property shall not
preside at the trial of a laroeny case. To
have adopted the La Follette amendment
would have keen tot only to assume that
a judge would, but that he lawfully might
use or travel on a paes, the Issuance of
which was not only positively prohibited
by law. but made a criminal offense. Such
an assumption was and is to my mind im
possible. Every Republican Senator pres
ent voted as I did, excepting Mr. La Fol
lette (if he may be designated as a Repub
lican) and Mr. McCumber, of North Da
kota. Provision Already on Statutes.
"But, it may be asked, should not a
judge who owns stock or bonds of a rail
road be prohibited from presiding at a
trial to which such railroad is a party? Of
course he should, but aside from the fact
that the amendment which proposed to
prohibit him from so doing was joined
with the absurd provision regarding
passes. It Is and always has been the law
that a judge having any pecuniary Inter
est In the subject matter of a suit cannot
sit in judgment on the case. Such is the
rule at common law without any statute,
but Congress as early as 1839 directly rec-
v :
! i lunslsi MtuW'S.'SS Isayi fHP'M I
f . Z??f- v ' I
I - 4-w J
: p A J
j. vn
t k'V V ft
Mayor t.eorgo IS. McClellau. Who lias I
Made Peace With Tammany.
tee......................
ognized whatever In the subject matter or
is so related to or connected with either
party as to render it improper for him
to preside, he is prohibited from so doing.
This rule is recognized and established by
section 616. Revised Statutes, in the follow
ing language:
When It appears in any civil suit. In any
Circuit Court, that all of the judges there
of who are competent by law to try said
case are in any way interested therein, or
.. ar so related or connected with
either party as to render it, in the opinion
of the court. Improper for them to sit in
such trial, It shall be the duty of the court,
on ths application of either party, to causa
the fact to be entered on the records, etc.
And thereupon, provision Is made for the
transfer of th cause to another circuit.
"It will be seen that this general pro
vision entirely covers the case and a
Judge who owns stock or bonds of a
railroad corporation, or of any other rail
road or corporation "connected with" it is
necessarily Interested in the outcome of
the suit and Is also "so related to and
connected with" such corporation, that he
cannot preside at the trial or hearing of
a cause to which It Is a party. He would
be subject to Impeachment If he did. A
general provision, such as the existing
law Is also much preferable to a spe
cial provision, for It applies to all cases.
A. judge ought not to be permitted to
preside in any cause where he has any
interest, directly or Indirectly, whether
the party be a railroad or other corpora
tion, or the subject matter of the suit be
lands, stocks, bonds or other property or
interests. Under the existing law he can
not. Endangered Whole Bill.
t"The other proposed amendment against
which I voted and for which he criticises
me, as I am informed, is what is known
as his valuation amendment. By it he
proposed to require the Commission forth
with to proceed and ascertain the actual
value of the railroad -property-of every
railroad in the United States engaged
in Interstate commerce and report the
same to Congress. It was provided that
'all final valuations by the Commission
shall be prima facia evidence of the fair
value of the railroad property .in all
proceedings under this act." It was con
tended by Mr. LaFollette that such a
provision was necessary to supply a basis
on which to determine what a reasonable
rate in a given case would be. I am
not disposed to contend that some
such provision would not be of value,
but it did not seem to me to be suffi
ciently Important or urgent to justify
jeopardizing the passage of the bill.
Wo had reached an agreement In the
Kepublicsn ranks in the nature of a
compromise, relative to the principal
provision of the bill on which we iia
been divided and which we hod de
bated over five months. The great
and paramount desire of the friends
of the bill was to secure a law au
thorising the Commerce Commission to
declare a rate established by a carrier
unreasonable and to substitute such
rato therefor as It deemed reasonable
and denying to tho courts power to dis
turb the rate so substituted, unless it
should be shown to be confiscatory.
We had succeeded. The compromise
assured such a law. It was late in the
session and the friends of the bill felt
that further amendments that would
probably excite opposition In the House
when the bill should be returned there
for concurrence, had best be voted
down. We voted down many proposed
amendments which at another time and
under different conditions might have
been accepted, but they were not
deemed vital to the main principle of
the bill. Take this amendment, for
Instance. It added little to the power
of the commission in the matter of
ascertaining the value of railroad
property, except that it authorised
them to ascertain it In advance of any
complaint about rates. As the law
is. If a rate shall be challenged, the
commission has ample power to in
quire into and ascertain the value of
that particular railroad. Indeed, the
Supreme Court of the United States
has held distinctly that in order
to determine whether or not a
rate la reasonable or unreason
able it is necessary to ascertain the
value of the railroad, for It holds that
the railroad is. as a rule, entitled to a
fair return -on that value, and a fair re
turn only. The Commission is now au
thorised by law to subpoena any and
all witnesses required and to compel
their attendance and the production of j
books, maps and papers. The amend-
onclnded on Pag ft.)
START BOYCOTT
-ON CUR THIEVES
Refuse Equipment For
Offending Lines.
SHORTAGE NO LONGER FEARED
Legal Way to Decline Through
Routing.
MUST AGREE TO BE GOOD
Aew Rules Permit Members of Com
bine to Cut Out Business of Con
ncrtlng Unes Unless the Cars
Are Promptly Returned.
CHICAGO, April 29. (Special.) Drastic
measures, are to be adopted by the rail
roads of the entire country to stop car
stealing and thereby compel the roads
which are short of equipment to provide
themselves with a sufficient number of
cars to transport their traffic.
Acting upon legal advice, all of the
railroads which are Interested in stop
ping car stealing have decided to boycott
all car-thieving roads with a view to
eliminating this evil from the transporta
tion world. In so doing the railroads
expect to end the car shortage and to
prevent a recurrence of a scarcity of
equipment which paralyzes the business
of the country.
The railroad boycott will consist of a
refusal by all roads which are members
of the per-dlem and the car-diversion
agreements to permit their cars to go lo
railroads which are not members of these
agreements and also a refusal to make
through rates over such lines.
This la a direct and positive boycott
of all car-stealing roads, - as It applies
-only to roads which . are short of equip
ment and which have refused to become
parties to the two agreements mentioned.
Before this severe measure was deter
mined upon Attorney W. J. Calhoun, of
Chicago, was askec for a written opinion
regajainstlw-tegaitty of such a boycott,
and his reply to the American Railway
Association was a favorable one.
Through rates mean through routing
and both expressions involve the use of
the'ears, and where reasonable rules and
regulations are not recognized a carrier
is hot compelled to establish a through
route. Under this ruling a most rigorous
boycott can be maintained against roads
which steal the equipment of connecting
lines and use it for months without re
turn of without adequate compensation
for the use of the cars. -
The penalties are now so high for the
misuse of cars by connecting lines that
no road can afford to keep the cars and
pay the penalties. Accordingly, with a
boycott, in force those railroads which
are the main offenders will be compelled
to buy adequate equipment.
MUST RUN" TRAINS TO CONNECT
Supreme Conrt Upholds State Power
Over Railrouds.
WASHINGTON. April 29. The Supreme
Court of the United States today decided
in effect that the Railroa Commission
of the State of North Carolina can com
A SLIGHT OBSTACLE IN THE
CANDIDATE THOMAS "IS
ikfei! li life i It III
' ' '
pel a railroad company operating in that
state to so adjust its schedule as to ac
commodate passengers on other lines
from any particular part of the state. The
opinion was given by Justice White in
the caee of the Atlantic Coast Company
vs. the Corporation Commission of North
Carolina. - -
The Commission directed the company
to make connection at Selma with a train
on another line. - The company resisted
on the ground that the order could not be
complied with without putting on a spe
cial train. This, it was contended,
amounted to taking property without due
process of law. The Supreme Court of
North Carolina held againfct the railroad
company and its deciedon was confirmed
by today's action on the ground that the
order does not affect rates, but Is a proper
act of state regulation.
ARMOUR CAR LINK OBDURATE
Enter Claim That Company Is Ex
empt From Ruling. .
LINCOLN, Neb.. April 29. The
.............. . t
.V A.
Judge W. A. Sanborn, of the TJnited
states Circuit Court of Appeals,
Who Has Affirmed Sentence on
Packers for Receiving; Rebates.
Armour Carllne Company, In a letter
to the State Railway Commission,
made, public this evening, declines to
file its schedule of rates. The gen
eral counsel of the company writes, in
response to a notice sent out by the
commission, that he has "tried to give
the law a broad interpretation," but
that, as the Armour line does its busi
ness exclusively with the railways and
not with the public generally, he does
not consider- that It comes under' the
court's jurisdiction.
The commission is Insistent and has
referred the matter to the Attorney
OeneraL Most of the railroads of the.
state sawnplcted their rata schedules to
day. M;uiiue sf -ii.e commission said
that those who had not filed, but
had shown a disposition to do so,
would be granted a few days of grace.
PROPOSE TO TEST RATE LAW
Cnion Pacific Joins in Movement
to Resist 2-Cent Fare.
LINCOLN, Neb.. April 29. A letter
from Union Pacific headquarters to
the State Railway Commission today
intimates that the roads contemplate
resistance to the 2-cent passenger rate
law. The letter Is an answer to an
inquiry from the Commission asking
why the Nebraska patrons were not
being given the benefit of the 2-cent
rate on interstate travel. In reply to
this 'the Union Pacific says that the
lawyers for that line and others are
seriously disposed to unite in a suit
attacking the validity of the law.
Broun and Roosevelt Confer.
WASHINGTON." April 25. President
Roosevelt had an extended conference
with W. O. Brown, senior vice-president of
the New York Central Railroad, today.
Mr Brown would say nothing about his
tajk with the President, but admitted that
he had "talked a little" about the railroad
situation with Mr. Roosevelt.
WAY OF MR. THOMAS, DEMOCRATIC CANDIDATE FOR THE
MAYORALTY NOMINATION
THAT A REAL LIOX IX MY PATH, OB
RIVAL CHIEFTAINS
. BURY TOMAHAWKS
Peace Between Murphy
,and McCIellan.
MEANS RECOUNT BILL IS DEAD
"Big Tim" Sullivan Recognized
as Tammany Chief.
BINGHAM'S HEAD TO GO OFF
Mayor Not to Be Hampered, but Ap
pointees Mast Not Tie Antl
Tammany Wants Harmony
on Own Terms.
NEW YORK, April 29. (Special.) Pol
lowing a series of conferences between
"Big Tim" Sullivan, representing Tam
many Hall, ana Corporation Counsel W.
B. Klllson, acting as the ostensible
spokesman of Mayor McCIellan, a truce
to active warfare, If not an abiding
peace, was proclaimed today as having
been ratified between the powers of Tam
many and the forces of the municipal ad
ministration. Politicians usually well in
formed accepted the following as the
principal opndition .of the peace treaty:
That Mayor McCIellan Is to remain un
hampered in making Buch appointments
and pursuing such policies in the munici
pal administration as. he deems to be for
the public good.
Mayor Will Not Fight Tammany.
That tne Mayor in turn is to refrain
from making war on the organization at
the primaries and from making such ap
pointments as would indicate antagonism
to Tammany Hall.
That the Sullivans are more than ever
in the saddle and that the Mayor in his
future relations with the county organ
izar'on will recognize "Big Tim" as the
chief of Tammany, rather than Charles
F.. Murphy, though no effort is. to be
made to oust Murphy "from tjie.lead.err.
shlp.v
That the Sullivans demand the head of
Police Commissioner Bingham.
That Tammany will swing its influence
and its votes in Albany in opposition to
the Mayoralty recount bill, thus, with
the ready aid of Republican Senators,
forcing that measure to die a natural
death and enabling Mayor McCIellan to
peacefully complete his present term
without having to worry about the out
come of any possible contest.
McCIellan for Harmony. '
Mayor McCIellan, in giving out a formal
statement announcing the peace pact,
said to the reporters: i
"If the elements that constitute Tam
many Hall wish to harmonize on that
plan, then I am for harmony."
When asked about the formal announce-,
ment of peace, he was asked:
"Does it mean that peace has been de
clared?" "It looks that way."
"Were you a party to the agreement?"
"Not personally, but Mr. Sullivan rep
resented the organization aricl to that
extent I was a party." ..- .
"Did Mr. Sullivan consult you before
meeting Mr. Ellison."
ONLY A STUFFED ONE."
"Yes; he went into the conference with
my full concurrence."
Mayor McCIellan tonight stated hie at
titude as follows:
I have made no deal and have author
ized the making of no deal which altera my
position in any way. Xt is and shall be my
ambition to give to the city the best ad
ministration that la possible. Government
and factional politics will not be permitted
to Interfere. I take btfck nothing I have
said concerning the management of the
Democratic organlratlon. If the elements
that constitute Tammany Hall wish to har
monize on that pla:ik, then I am for har
mony. For a political peace, which Is so
needful to my par In the city, state and
the Nation, I shall go as 'far forward as
any man. but not one step backward.
Mr. Ellison, after the conference, gave
out a. statement In which he said the
Mayor will be left free to appoint the
highest class of men he could find for
city offices, but that he (Ellison) will
advise against the appointment of men
inimical to the Democratic organization
or its leaders.
Mr. Sullivan, he said, agreed that only
efficient men should be retained in or
appointed to city offices. The Mayor will
recognize the rights of its leaders to con
trol, the Democratic organization, ana
will ask that the organization give him
Its support in - his efforts - to solve the
great municipal problems which confront
them. In that way it was hoped to
eradicate the lines drawn between the
organization and the administration.
POOR OLD ALTON B. PARKER
"Just the Candidate I Did Not
Want," Says Bryan.
PORTLAND. Me., April William J.
Bryan, as the guest of honor at the ninth
.&snual banquet of the Maine Democratic
Club, spoke for an hour on political is
sues here tonight. Mr. Bryan said he
had been exceedingly honored by the
people, and added:
"I have nothing to ask of the American
people. All 'I ask Is a chance to pay
back the debt I owe to them."
In reference to the last Presidential
campaign, he said he did not get just
the platform he wanted, and add.ed:
"But I got Just the candidate I did not
want at all. However, I did what I
could to support the ticket. Our party
had its - experiment and will not try it
again. Perhaps it is just as well it did.
At last we are going into a campaign
united on the, right sde of the questions.
Two years ago we were united on the
wrong side." '
CONTENTS TODAY'S PAPER
TODAY'S Fair; northerly wind.
YESTERDAY'S Maximum temperature, 70
degrees; minimum, 43.
. Foreign.
Insult to Army causes crisis between Rus
sian Cabinet and Douma. Page 2.
Rebellion in Montenegro. Page 2.
French art exhibition opens, with Amer
icans as beat exhibitors. Page 2.
Strike threatens France on May 4. Page 2.
National.
Secretary Taft speaks on Panama Canal and
Cuba. Page 1.
France moves for reciprocity. Page 2.
Portland bid on Keno canal rejected. Page S.
Politics.
Peaca, made between McCIellan and Tarn-
many. Page 1.
Bryan give Parker severe dig.' Page L.
Domestic.
Haskln on romance of Louisiana. Page 4.
Perpetual motion, engine sold to Standard
Oil for $10,000,000. Page 3.
Railroads which do not furnish share of
cars to be boycotted by other ' roads.
Page 1.
Minnesota 2-cent rate to be fought by
railroads. Page 1. . ..
Sentence on packers for accepting rebates
affirmed. Page 4.
Salt JLake carmen win their strike. Page 4.
Kansas to have sale of saloon fixtures, but
. will destroy liquor. Page 3.
Sport.
English Jackles beaten by Americans at
Jamestown boat race. Page 7-
Pacific Coast.
Senator Fulton replies at length to attacks
of La Follette. Page 1.
Bark Ztnlta. reaches Astoria, after thrilling
voyage, with mutiny and gale. Page tt
McManus case has gone to Jury. Page 6.
Heavy shipments of wheat being sent from
ETastern Washington. Page 7.
Commerce and Marine.
Wheat markets lower, o.wlng to rain In
Southwest. Page 17.
Active movement in Union Pacific, stock.
Page l".
German bark Tellus, In from Lelth, Scot
. land, reports sighting derelict schooner.
Page 16. .
Steward of Russian steamer Selcnga Deserts
ship with his wife. Page jft
Portland and Vicinll j J
Marshal of La Camas shootfJ Mlsa Effle
Westfall In Portland. Pagl 12.
Mrs. Smith on stand in divorce cse. Page 1.
Biggest mortgage In history of city Is filed.
Page 10.
Chinese- pawns wife's Jewels to gamble.
Page .
Issues that voters must decide at election.
Page 11. ,
Prohibitionists name municipal ticket.
Page 10.
Editor of Labor Press" says lie was offered
bribe to use influence to defeat John B.
Coffey. Page 16
C. M- Clark, Philadelphia banker, elected
to succeed the late H. W. Goode aa pres
ident of Portland Power Company.
Page 10
John B. Coffey and "H. CJ. Parsons denounced
for union labor tendencies by Union "Ke-
" publican Club. Page 10.
Clark County Commissioners reduce rates
charged by Vancouver ferry. Page 12-
eseeeeeeteeeeeeeeeeeeeef
! . . . , j
iiswiAitsmiiwW irifltfoi i 1
Charles F. Murphr, leader of Tsm- t
many Hall, Who Has Beeoms Reo- t
onrilrtl With Mayor McCIellan. I
..- !
WORKTO BE DONE
IN EIGHT YEARS
Secretary Taft Tells of
Canal Progress.
PAYS TRIBUTE TO FRENCH
Rouses Great Enthusiasm in
Cincinnati.
CHIEF GUEST AT BANQUET
Bnsy Day in Home City, Where He
Takes Time to Confer on Pollt
loal Situation With the
Ohio Jader.
CINCINNATI, April 29. "If the Pan
ama Canal is not completed within
eight years, I shall be greatly disap
pointed. If it is completed In less
time than that I shall not bo greatly
surprised."
This statement made tonight by
Secretary of War Taft before the Busi
ness Men's Club of this city. was
loudly applauded by the 1500 members
of the club gathered at the banquet
hall. The banquet tendered tho Secre
tary by the Business Men's Club came
as the climax to the last of three days
of his Western trip, and it was a fit
ting culmination to the flattering re
ception that has been extended to him
on every side by his Ohio friends. The
hall was packed to its utmost ca
pacity,' and more than 400 applications
for tickets of admission to the ban
quet were declined because thera was
no room for the late applicants. s
The last day of the Secretary'3 trip
was full of work for him and crowded
with receptions flattering to him. both
as an orator and as a man. In the
morning h delivered an address to
the students of tho law school of Cin
cinnati University; where' he still holds
his position as dean of the law school.
Later he appeartrTerr -ttlefioOT of tho
Chamber of Commereo and made a
i brief address.
Has Political Conference.
This afternoon the Secretary con
ferred with N. C. Wright, of Cleve
land, regarding the Ohio political sit
uation. Mr. Wright told him of the
position of the leading Republicans in
the northern part of the state. To
night's banquet was one of the most
pretentious affairs of , the kind ever
seen In the city. The appearance of
Mr. Taft. was the signal for an out
burst of applause that continued for
several minutes.
Judge Horace H. Lurton, of Nash
ville, former colleague of Secretary
Taft upon the Federal Bench, Intro
duced him. Secretary Taft announced
that he would speak on "The Panama
Canal," and particularly upon the im
provements and rapid progress in th.9
work. Said the speaker:
It is only by a comparison ot the con
ditions existing at the time o my two
visits that I am able to g' an adequate
Idea of the work that has been accom
plished and of the present condition of the
work I would like. In passing, to pay a
tribute of Justice to the French people, for
what they did down there has never been
properly appreciated by the American people'
The great danger ot the work of this char
acter under the auspices of the American
people is that the work of construction
will be undertaken before the work of
preparation Is completed. I do not think
that the preparatory work ot the last two
years has been productive ot anything but
the most beneficial results.
Selects Sites tor Locks.
My visit this year was to settle the ques
tion of the location of the locks, the comple
tion of which will. In my opinion, mark the
completion of the canal. It is possible,
however, that the finish of the work la
the Vulehra cut will be the end of our
labor In this cut there are yet to be ex
cavated 52.00O.0O0 cubic yards of earth,
exclusive the digging to be done on the
approaches to the cut proper. In the nine
miles of the cut there are now 68 steam
shovels at work, and they will take out an
average of 1,000,000 cubic yards per month.
This rate may be increased until we hav
BO shovels at work, and then It will grad
ually decline until It will probably be some
what below 1.000.00O cubic yards per month.
We will not be able to work as, many shov
els as we get lower down in the cut, whers
the space is more narrow. '
We advertised for bids on the canal work,
and .then declined them for the reason that
we found that it would be necessary for
the contractors to have the help of capital
ists, and we would be compelled to allow
the contractors 7 per cent Interest on the
money they would be compelled to borrow
from the capitalists. As we could borrow
money at 2 per cent, this 7 per cent propo
altion did not appeal greatly to us.
Provide for Continuity of Work.
To us In responsibility. It Is a great comfort-to
be able to Introduce the Army en
gineers upon the work. We have three of
them there, and If one falls out. the contin
uity of the work "Will not bs disturbed.
No doubt engineers from civil life would
act In a similar manner, but If any of you
gentlemen have ever managed a work ot
magnitude where everybody had the right
to poke In his nose and insist upon this and
that, yon would know how great Is the re
lief to have that done away with. The rec
ords of the Army is a guarantee that tb
work will be capably and honestly per
formed. Finds Cuban Conditions Good.
As to Cuba, he declared that the Teller
resolution had established our policy
there. He continued:
Change by insurrection was about to b
adopted when we intervened. We suggested
means of settlement, and, with conferences
with both the Moderates and Liberals, th
matter was brought to an end. But when
we took charge we promised to stay oaly
"till tranquility had been restored and a
firm government, established." It rosy be
all right to talk about annexation and a
protectorate, but we made a solemn prom
ise, and we cannot afford not to carry it out.
He estimated that it would require tin-
(Concluded on Pag 7-)