The Nebraska independent. (Lincoln, Nebraska) 1896-1902, June 24, 1897, Image 1

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The Wealth Makers and Lincoln Independent Consolidated.
VOL. IX.
LINCOLN, NEBR., THURSDAY, JUNE 24, 1897.
NO. 5.
BARTLEY
S CONVICTED
Jury Finds Him Guilty of the
the Embezzlement of
$151,884.45.
IS REMANDED TO JAIL.
The Most Speedy Conviction of a
, Defaulting 8tate Officer
Ever Known.
Smyth Will Path the Other .
The trial of the greatest defaulter
known in the history of Nebraska has
been fought through one court. Every
one known that the cane will be appealed
to the supreme court, where it will re
quire a couple of years to reach 'it for
final decision. The prosecuting attor
neys have made an excellent record.
Judge Baker performed his duty faith
fully. Will the supreme court do as well?
The court is republican and would un
doubtedly be glad to follow precedent
and turn Bartley loose, but with public
sentiment so unanimously opposed, it
will hardly dare do so. In addition the
republican party is losing ground, and
the court is anxious to have tbo party
iegain the confidence of the people, and
will be very guarded in making its decis
ion. The prosecution required about
five days, when the attorneys for the
defense opened their case.
The defense in the Bartley trial con
sisted principally in objections to the
regularity of the proceedings in the trial,
of technical objections to the introduc
tion of the records of the several state
offices, to the introduction of the testi
money of the experts employed by the
legislative investigating committee, to
gether with the introduction of long
strings of bank credits and debits in
most of the large banks in the state in
connection with Hartley's accounts as a
private individual, and as treasurer, of
the state of Nebraska, caicuia ted to be,
wilder and confuse the members of , the
jury most of whom are inexperienced in
methods of banking and the handling of
large sums of money. - The progress of
the trial was very slow, The attorneys
on many occasions spending two or
three hours in the argument of some
tecfanjcal and uninteresting point of law
or court proceeding. Bartley ,'a , whole
aim has been to get error in the record
in order that if convicted by the jury
he might be able to get a reversal of the
case in the sapreme court.
An effort was made to show that the
bonds, now held as a part of the perma
nent school fund purchased from Saun
ders and Otoe counties were purchased
with money drawn from Bartley's per
sonal account instead of, from the ac
count of the general fund of the state.
But in this they failed as Attorney -General
Smyth oncrossexamination showed
that the money, apparently Bartley's
private account was state money be-1
longing to the state's general fund.
Bartley's attorneys then called N. 8.
Harwood, president of the First Na
tional bank at Lincoln, to tin witness
stand. Harwood was friendly to Bart
ley and showed no desire to give up any
information to assist in convicting him
if he could avoid it. It is strange that
Bartley's attorneys did not reciprocate
and use a little caution and discretion
in questioning Mr. Harwood in relation
to transactions of the First National
bank of which he is president. They
seemed to care nothing for Mr. Har
wood or bis bank and compelled him to
testify to irregularities in his business
methods in dealiug with Bartley which
will seriously injure his bank. They
forced him to testify that he had accept
ed state money, a personal certificate of
deposit, without making any record of
i. i hu UnL.. t t I, V... 1. Tl.. .
I L II UUU.II .11 lin UZlUlk. 1 lit, 1 . 1 1 1 1 b
in surprise at Mr. Harwood's testimony
asked him, "Don't you keep any record
iu your bunk of certificates of deposit
issued to depositors?" "Vh, ordinarily",
replied Mr. Harwood. "Then you mean
to say that you made a special exception
in favor of Bartley and did not keep any
record of the certificate for f 150,000
issued to him?" queried tb court. "I
don't think there was any record made,"
Mr. Harwood replied. In cross exami
nation concerning the transaction the
prosecuting attorneys asked Mr. Har
wood, "If there was uo record in your
bunk of this certificate, Mr. Harwood,
how was it possible for you to make a
report showing th" a sets of your bank?
8upoa National bank esnminer had
com along about that time; how could
ha have told from the books of your
bank the condition of the liabilities of
your bank?" But upon the objection of
the attorneys for tbsduleii the ques
tion was withdrawn.
In rebuttal tli attorney general took
up the checks which had been Introduced
by the defvuMe and traced tits mouey
with which they were paid from the
ttuUx funds in each cine, using th rvo.
ordsot the treasurer's otticw and the
various banks with wnlch h had Lad
dealing. The Introduction of testimony
was concluded Mo ii ibiy mowing, lbs
(JtfiiMtiH retmg without introducing nay
ttimoay rhuttiug tli state rebuttal.
The t'ifuuty Attorney opened tlm tiro
rbtitt aud was lollot,d by Mahoney
ml VVbulou tor the tleteu and Attor
ney General Mu.jrtu tlow vl for tit stale.
In hi opening Mr. Bald ridge said
ly almost itMVHHJ vote thtMd.
ant was railed to occupy ous of!h
high t utile In Wis gift o( th ots ul
tlt atat tb truaUd auardmiiol its
(laaartat later It , Thy gars air their
rote and in so doing their confidence
and their trust. Tbey put their moneys
into his bands and made him the deposi
tory of millions of their revenues. What
honesty these relations called for, what
integrity tbey invoked. The evidence of
the case is th story of the betrayal of
that trust. The more it is unraveled by
bim in his alleged defense the more flag
rant the betrayal appears. He reached
his band into the public pocket, he drew
out money enforced as a tribute to the
state from all its people; its source un
questioned for as to this be was indiffer
ent, taking shamelessly, without the
shadow of an excuse or the slightest pre
tense of common honesty."
Mr. Balridge then showed that under
the law passed by the legudatureof 1895
authorizing the drawing of the f 180,000
warrant, all that was required of Mr.
Bartley was to transfer that amount of
money from the general fund to the
school fund of the state, lit pointed
out that the scheme of robery wasplanu-
ed by Bartley when be authorized the
negotiation of the warrant and bad the
proceeds placed to the credit of his in
dividual account, and that after it was
placed to his credit the state never re
ceived a dollar of it back. In closing
Mr. Baldndge says:
"If one puts his hand in your pocket
and takes I00 lie is tackled by an of
ficer, rushed off to prison, speedily tried,
and the door of the penitentiary swings
open to receive him. Shall it be less
criminal to take 1200,000? Shall we
have one law for the rich and influential?
What respect can a community have for
itself that punishes those who steal f 100
and lets go un whipped of justice those
who steal 200,000? Does a crime
merge into a virtne as the amount in
creases? The very paper used as the
instrument of this crime cries out for
even-handed justice in this case. Here
on its face is the motto of our state in
whose sentiment we so much delight.
"Equality before the law." Is it to be
only a sentiment or shall it be a guide
for our actions? Tou cannot clothe
crime in the habiliments of respectabil
ity and make it a virtue. You cannot
surround a criminal with an air of sen
timentality and make him a moral hero.
A crime is a crime, wheresoever, when
soever and by whomsoever committed.
Let it not be said that here there is pro
tection for the defaulter because of his
former wealth or political influence. Let
it not be said that a man can flud im
munity from punishment here because of
the high class of his crime or his former
respectability. If you acquit for these
reasons you will lay low the msjesty of
the law by sued a verdict. You will
make her positive and peremptory man
dates the idle words ol feeble tongues.
You will despoil her of her heretofore
acknowledged authority. You will de
prive her of that respect which she vol
untarily commands from all good citi
zens who love-: the peace and well being
of lbeir beloved country.
"Gentlemen, this is not my case, it is
the people's case, it is your case. The,
eyes oi tnis state are. upon you, their
anxieties are with you, their voice calls
to you for justice. I know you will
obey your oath your duty, your con
science and their voice. My most fer
vent prayer to the God of ail juatice and
truth is that you may so decide this
case as to preserve to yourselves while
you live the most delightful of all recol
lections, that of acting justly, and to
transmit to your children the most
precious of all inheritances, the mem
ory of your virtue."
Mr. Mahoney followed County Attor
ney Baldridge. lie stated that the pros
ecution had not confined its case to the
allegations made in the information.
He grew very eloquent in denouncing
Mr. Baldridge fos his reference to "the
state of the public mind" in regard to the
trial, lie then took up the checks and
records of the banks and attempted to
show that there was no shortage, and
with that argument closed his address.
Mr. Whedon addressed the jury next
for about half an hour. He contended
that Bartley had only performed his
duty in selling thhe warrant, and that
he returned all of the money to the state.
He claimed that the state had charged
Bartley with the embezzlement of "mon
ey" and under that'eharge has attempt
ed to prove that he hud embezzled the
state's" credit." Mr. Smyth closed for
thestate. He traced the entire ense
taking the warrant from the time oi Its
issue thorugh all of the various banks,
and back to the state treasury. He
showed how the money had been taken
from the general fund to pay the war
rant but that the school fund had never
been credited with the money.
Smyth said that Bartley's story of
the case, as told by his witnesses, is
made up against and attacks every
record in his own ottice made by trusted
employes under bis own supervision, lu
ths matter of the Otoe county bonds, he
told evey month from the time of their
purchase to the time of the expiration ol
his term of ottice, to the auditor ol ths
state, that the money for these bonds
came out of ths permanent school fuud,
lor every month tins statement eard
on his reports to the auditor.
As to Mabouey'a claim that Bartley
put the money In the First National
bank of Lincoln for safe keeping, Smyth
said: "that is a pretty story, for ac
cording to their own witness Harwood,
it was proven that Hartley Invented the
money with the bank. This evidence,
w re ted aliuo.it by force Irani Harwood,
showed that Hartley had commit ted a
crime, Im-aus it is contrary to law lor
a slat treasurer to inveet slate lund iu
any way except the permanent school
fuud,
"I do not know whether it was Mr.
Mahoney or Mr, Wbedoa who said It,
but ou H them said il he is guilty of
a 0T vmU'itleinent it Is eiiilwiitemeut
(rout the 'Niiniit tchool fund and not
th uiklutf lund.' W hav not harxd
hint with vmbeMtetiieat from th sinking
lund. We hart charged him with eiu
hcMteuiwttt I ruin ths public money ol the
slate ol Nabraok. What a iMi'in is
this, that he trie to get out of punish
ment for this charge by saying he is not
guilty l robbing the sinking fund; but
that he has robbed the schoolchildren of
the state of the funds a benevolent gov
ernment has provided for them."
. Mr. Smyth closed with a strong ap
peal to the jnry for Bartley's conviction
and "by thus doing stamp out the stig
ma attaching to the state from the dis
honesty of its officials."
Attorney General Smyth paid a glow
ing tribute to the ex-deputy treasurer
under Bartley, U. M. Bartlett. comment
ing at length on Mr. Bartlett'a probity
in assisting the state in the search for
evidence aud te examination into the
ex-treasurer's books, where in a thousand
ways he might have prevented the state
from making out ita case. Mr. Bartlett,
he said, acted with equal justice both to
Mr. Bartley and the state, and no asper
sions can be cast upou Mr. Bartlett for
the condition of affairs existing in the
state treasury department.
THE COURT'S INSTRUCTIONS.
Immediately npon tbe conclusion of
the argnments Judge Baker read his in
structions to tne jury. I hey were twenty -two
in number, and covered all tbe law
points brought out in the trial of the
case. The most important instructions
were the wventb, thirteenth, fourteenth,
fifteenth and sixteenth as follows:
Seventh You are instructed that the
defendant could be required to settle
with his successor in office, and pay tbe
balance in bis hands at the close of his
term of office, if any, at the office of the
treasurer in Lancaster county, iNetiras
ka, and he cannot be convicted in this
prosecution for any general shortage, if
any, in his settlement withtbis successor,
but this prosecution is confined to the
charge ol embezzlement of f 201, 884.05
and you must find bim guilty of said
embezzlement, or some part thereof, or
you should acauit him,
Thirteenth You are instructed that if
you believe from the evidence that there
was a deposit to the credit of the state
of Nebraska, in tbe oniana National
bank, and that tbe defendant executed a
check or instrument, as state, treasurer,
directing J. fl. Millard to be paid tbe
sum of f 201,884.05 for his own use and
benefit, or to bim as representative of
tbe Chemical National bank, and that
said bank obeyed the directions and
charged on its books tbe said money to
tbe state of Nebraska and lessened tbe
state's credit f 20 1,884.05, such a trans
action was au abstracting or taking
from the public of the state of Nebraska
1201,884.05, and the jury should con
strue the check or instrument merely as
the instrument or medium by which the
state's money whs transferred from tbe
possession of the defendant, as state
treasurer, to J. H. Millard la bis indi
vidual capacity, or as a representative
of tbe Chemical National bank.
Fourteenth You are instructed that
if you find from tbe evidence that the
state warrant issued to tbe defendant,
introduced in evidence, was issued to J.
S. Bartley, as an individual, and that
the defendant disposed of said warrant,
or caused it to be done, or secured
money or credit for tbe same in bis in
dividual capacity, and for bis own use
and benefit, or for the use and benefit of
any other person or persona, or corpor
ation, except for the use and benefit of
the state of Nebraska, aud if you further
find that the defendant in bis official ca
pacity as state treasurer took from tbe
publio money belonging to the state of
Nebraska, or caused it to be done to pay
said warrant, or to reimburse any per
son or persons, or corporation for
money advanced the defendant, or any
other person or corporation, oa said
warrant, such taking of public money
would constitute embezzlement.
Ffteenth If you find from the evidence
that the Omaha National bank was a
state depository, aud if you further find
that the defendant drew a check upon
said bank against funds of the state
therein deposited to, the credit of
the state, aud that said check was de
posited at said bank, that would con
stitute a taking of public money of the
state by the defendant at the bank,
whether the defendant was present at
the time of the payment of the check or
not, nor would it be material whether
the check was drawn in favor of the de
fendant or not or by whom presented.
THESE NO DEFKNSK.
Sixteenth You are instructed that l
you find from the evidence that the $180,
101.75 deposited in theOmaha National
bank wuh checked out by the defendant,
aud that the same was placed in the
treasury of the state of Nebraska or any
part thereof, the defendant owed the
state as state treasurer, the amount of
mouey so placed in the treasury, such
fact if it be a fact; would be no defense to
this prosecution. Or if you find from the
evidence that the defendant did place
the said 1180,101.75 into the treasury
of the state, or any part thereof aud in
lieu thereof did take from the treasury
an amount equal to the amount so
placed in tin treasury .that fact, if it be
a fact, would constitute no defense to
tbis prosecution. Mouey placed in a
bank not a Ntate deponitory to the
credit ol the state is not putting money
iu to the treanury ot the state."
The jury retired for deliberation at
0.25 p. in after a trial covering lourteeu
days, twelve of which were occupied in
the taking of testimony and the argu
ment .
The jury returned with a verdict the
nxt morning (Tuewday) at 10 a. rsi.
They lound Hartley guilty as chanted
in the third count of ths Information, of
converting the money of Hie state to
hw own title htildiug the oltic ol
lte treaeurt-r, and fUd the amount ol
tbeembeiulemeiit alt 15I.NM1.4,V This
wss f.Vi.OUO lea than tit amount ol
mbculeiiienl charged in the lu forma
tion, the jury allowing him cr-l lor
th$.V,iKMi drawn by Hartley against
his wrKhl ammnt in 'he Omaha N.
tioual bank, pay all to his aecouet as
tat treasure!, b'h th deleft a bad
ealme seat to the Fin t National
QUEENVICTORIA'SREIGN
Opinions by Three of Ireland's
Most Prominent
Statesmen.
SIXTY TEARS OF HARDSHIP.
The Queen has Always Aided
! the Aristocracy of
i
Englaod.
(Coetisiied oa 5th page.)
, All England Bejoioes,
The celebration of Queen Victoria's
jubilee, on the sixtieth anniversary of
her reign, has attracted world wide at
tention. It was a great calebratlon
for those who were favored by the queen
aud the royal family. It ' was a great
day to those who have lived in England
proper but not so much so for some of
tbe English colonies that have been
forced to create tbe weatlh that bas
been centralized in London and other
parts of England; lor sbose who earned
the wealth that others are today enjoy
ing.! The following letters, penned by
three of Ireland's most famous states
men, serve to show what the feeling is
among some of the less favored colonies.
' FROM JOHN DILLON, M, P.
Neither the Irish Nationalist members
of Parliament nor the Irish people can
be in any way parties to the rejoicing
over tbe sixtieth year of tbe reign ef
Queen Victoria, because the sixty years
of tbe queene's reign, have, in Ireland,
been marked by poverty, famine, evic
tions, wholesale and enforced emigra
tion and by savage political persecution.
When the queen's reign commenced,
Ireland, had 8,000,000 people and Great
Britain 17,000,000. Ireland now bas 4,
500,000 and Great Britain 84,000,000.
Tbe most fertile portions of Ireland have
been swept of a splendid population by
cruel laws savagely administered. In
tbe county of Tipperary alone, upward
of 85,000 bouses have been pulled down
during the queen's reign and the popu
lation has been reduced from 450,000 to
to l?j!000. - " - '
To carry on tbis work of extermina
tion an army of 12,000 drilled soldiers
under the name of the Royal Irish Con
stabulary, is maintained at a cost of
1,500,000 a year and Ireland is to be
fitly represented in the jubilee procession
by a detachment of this force.
During the reign forty-two coercion
acts have been paseed, and on the fiftieth
anniversary of the coronation of the
queen a perpetual coercion act was
passed which is still the law and under
which all the fundamental safeguards of
liberty the right ol free speech, of pub
lic meeting, of public association and
the right of trial by a jury fairly, struck
are placed at tbe mercy of the repre
sentatives of the queen's government in
Ireland.
Throughout these sixty years every
man who has won tbe confidence of the
people by endeavoring to assert their
rights or defend them against outrage
bas been made the object of persecution
by the government, many thousands
have been unjustly imprisoned and many
cruelly killed for doing their duty to
their country, and to this hour the great
body of the Irish nation are denied any
voice in 'the government of their own
country. ; .;
Ireland would deserve universal con
tempt if he took any part as a nation
in a celebration of the sixty years of
Queen Victoria's reign years which
have been marked for Great Britain and j
her self-governing colonies by marvel
ous progress in population, health, public
liberty and all that goes to make na
tions great, but which have brought to
Ireland nothing but poverty, depcpula
tiou, industrial decay, brutal political
tyranny and rebellion.
John Dillon,
M. P. for East Muyo.
FltOM WM. ItEDMOND, M. V.
The Irish Nationalist members of Par
liament will not only abstain from all
participation in the jubilee celebrations,
but iu all probability will divide against
the address of congratulation which the
government will propose to the Queen
in the Commons on Monday. The I'ar
nellite party intend to propose the fol
lowing amendment:
And we further represent to your
majesty that this House deems it its
duty to place the fact upon record, that
while the sixty years of your majesty's
reign bas witnessed the extension of
representative government to all the
great colonies, and tbe growing proa
m rity and contentment ol the subjects
ol the empire ueuerally. Irolnnd has
guttered during that period from famine,
di population and poverty, and today
the constitutional liberties of her people
are smqwnded and vested absolutely in
II Yievroy, and amnesty has been de
nied to irieh political prisoners, with ths
rult that the Irish 'oU were discou
tented and disHatiefieil; and this lloue
a-wure Your Majestv that iaiuopin
i u tlm only method ol relieving the
poverty and disaffection in Ireland i.. to
t'oiired the demand ol the Irish people
d rllie recognition ol ths right to na
tional iMlf guveriauent,
Ths wording ol this amendment briefly
amnmaricea why t ha vast tuajoiityuJ
rihttin fwim I In any way arliclr,t
in tns )ublluol Queen Victoria's rigii,
'lbs actio olths I'tirnellitea Uhnta
Mutinuatioaol theeternal uroteat hu b
IIeUttdevr ill, in spits ol alldiwviur.
(niaut, tuaks agaiust the attsiupt of
England to rule her against ber will;
Ever since the union wan carried by
fraud and bribery Fngland has rnlod
Ireland by sheer force and it is quite
true that but for the presence of an over
whelming British force the Irish would
be in open revolt. " -
It should be borne in mind that tbe
right of free speech, public meeting and
the freedom of tbe press are absolutely
in the bands of the English Lord Lieu
tenant, who by writing a single line
could suspend every vestige of tbe Con
stitution in Ireland. From tbe Lord
Lieutenant down every official in Ireland
is nominated by the English govern
ment. Consequently the utmost dis
content exists among tbe masses of tbe
Irish, who invariably elect a great ma
jority over eighty out of a hundred
of their members to demand tbe restora
tion of their Parliament, which alone
will ever satisfy Irish sentiment.
During tbe Queen's reigb one-half of
the population bas disappeared from
Ireland by famine, eviction, fever and
forced emigration; there have been two
rebellions in tbe last sixty years, and
every one of the sixty years bas been
signallized by a coercion act. At tbe
present time a number of Irishmen con
victed 'of treason-felony are dying in
prison, and even the great jubilee has
brought oo amnesty to tbem.
In view of these considerations it is
only natural that the Irish should stand
aloof from the celebrations, so that all
the civilized world should clearly see that
the present system of Irish government
is a disastrous failure
The discontent of the Irish is intensi
fied by seeing representatives of all the
self-governed British colonies at present
in England, The presence of tbe colo
nial premiers reminds as that every
single part of the empire even West
Australia with 160,000 people enjoys
borne rule. Ireland alone is governed
by British made laws and British Min
isters. V
The absence of upward of eighty Irish
members from tbe great British carnival
prove conclusively that in spite of inter
nal differences the great sentiment of
the Irish nation in favor ot national
self-government is as strong as ever.
William Redmond,
. M. P. for East Clare.
FMOM T. P. O'CONNOK, M. P.
Though some of the Irish members
may look at the procession as sigh t-seers
from some points and may also be pres
ent in obscure corners for professional
reasons, the Irish party will not be rep
resented In tbe stands at tbe House ol
Commons nor in any otber part where
their presence might be interpreted as
sharing in the general rejoicing over the
reign. - " . , .
The Irish position is that the very
reasons which cause Englishmen to re
joice are those which compel Irishmen to
mourn over this reign. Weiltb, pros
perity, comfort, liberty, spread of em
pire all these blessings which have so
conspicuously marked this reigb for tbe
hnguahmea bring Into greater, sadder
relief the ooritrast in the effects of that
sameperiod upon the destinies of Ireland.
The most vivid Idea of what an unex
ampled period of material decadence and
tribulation tbis record reign bas been to
Ireland is gained by comnarinir ber con
dition with that of England. These sixty
years have been a stupendous advance
in England in every element of natioual
prosperity; in Ireland the decline In tbe
same period has been appalling.
" When Englishmen, even friendly hng
lishmen devoted to home rule, ask me
why I refused to rejoice over the jubilee,
I retort:
"Are we to rejoice because Ireland's
population has decreased 47 per cent,
while England s has increased 70 per
cent? Is it because Ireland, with her
diminished population, is so pauperized j
that two-thirds of her people are de
pendent on the potatoe crop, the failure
of which immediately produces famine,
while the standard of general comfort in
England is higher than in any otber
country?"
Ireland is the fourth meat producer in
the world, but her poverty makes her
the sixteenth meat consnmer.
Fifty years ago there was only fifty
two paupers per thousand in Irelaud,
and forty-nine per thousand in England;
today the rate has risen in Ireland to
ninety-five, while it has fallen in Eng
lund to twenty -six.
Take manufactures between 1841 and
1891. Th? whole Irish population had
decreased 42 percent, but her manufac
turing population bad decrenaed 61 per
cent, while in the same period Englaud's
manufacturing population increased al
most immeasurably.
Ireland during this record reign bas
been steadily gravitating towards total
dependence on agriculture, the most in
secure support for a people, aad one that
bas suffered most acutely from depres
sion, while Engluud bas been growing
more and more Independent of agri
culture. Tbe same dismal, heartrending tale of
material decay meets you on every side
In Ireland, lue Inoonie ol tua watcs-
aruing classes art, man for man, barely
half those In Great Britain, and whil
ths gross Income ol Irelaud is t'70,000,.
000 that ol Great Britain (a 1,500,.
ooo.wio.
Fngtand's rule has advanced Kuglaud,
but it bas driven Irelaud back to a con
dition today to which no civ lined coun
try has been reduce! In HHMlern times ex
cept by a duvaetatuig war.
Worst ol ail, whllo Ireland baa had
her liM.lood stiMtdily drained out of her
by r iiglieh ruh at the earn ti ne the
t.ua'.iou ier head of IrUamen U double
what it aas fl ty years ago, while that
ol Ditjjlinhitiea Is art quill halt el a hat it
then a.
Ths rtroe t for Kegtand for the last
iity tear is on unbroken vision ol
ahouiidiBg irosierity and steady brow I
niug ol th power ot democracy, ths
retrtMipMtt l irelaad i au equally oa
broken ore of matetiU dViruertk!i,
t'ostisusd 0a 0th page,
ABOUT ANNEXATION.
Some of the Big Capitalists That
Are Interested In the
Scheme.
J. PIEBPONT MORGAH'8 ISTEREST3
Pacific Ocean Cable Co., Nlcaraugua
Canal Co., and Sugar Specu
lators Interested.
Why Elkins Is Favorable.
Tbe plan for annexation of Hawaii'
which is being so ardeutly advocated by
some of tbe patriots at Washington is a
scheme for robbery greater than any
ever conceived in thebistory of the world.
The sugar trust scandal dwindles into
Insignificance when compared with this
latest attempt at statesmanship. Tbe
sugar growers of tbe islands, of course,
are in favor of annexation, but there are
others. Among them are the projectors
of the proposed Pacific ocean cable be
tween the United States, Hawaii, China,
and Japan, who desire that, a market
value shall immediately be gi ven to their
present paper capital of ten millions,
and the Nicaragua Canal Company,
desires the United States to subscribe to
170,000,000 worth of its stock.
From the day that Mr. McKinley en
tered tbe White House be has been sub
jected to pressure to induce him to take
this step. Senator Stephen B. Elkins of
West Virginia, former Senator Warner
ot New York, and former Secretary of
State John W.Foster have formed, tbe
chief lobby that bas been working on
tbe president in favor of annexation.
John W. Foster bas been for some
time tbe counsel for the Dole govern
ment of Hawaii, bicb bas been pre ling
so strongly for annexation, beeeuM
there was no reason to believe that it
could not be re-elected to power. . Mr.
Foster baa occasionally in the past ren
dered special services to Mr. Elkins and
knowing him to be interested in tbe pro
posed Pacific Cable company, it was
very natural that the two should join
forces. -
Warner Miller tbe resident of the
Nicaragua Canal company, was brought
in as the third member of the distin
guished lobby on a mutually advanta
geous basis. Tbe canal project has con
siderable strength in comrrese. much of
Which Mr. Miller would probably be able.,
to throw towards Hawaiian annexation
and on the other band, Mn Miller was
quick to see that with Hawaii a part o(
tbe United States another strong argu
ment would be secured in favor of build
ing the canal so as to reduce the time
between tbis country and its new posses
sions in the mid-Pacific,
The project was well under way before
Mr. Foster departed on bis fur seal mis
sion to Europe. Messrs. Elkins and
Miller with the CO-orieratinn nl thn nn.
credited representati ves ol the Dole gov
ernment, nave since been carefully coach
ing it towards completion. '
The principal capitalist interested
with Mr. Ejkins in the Pacific Cable com
pany is J. Pierpont Morgan, who is
director in the Cable Company. The
company was incorporated in Now York
Dec. 19, 1893, with a capital stock of
fnw.uuu, divided into 1.000 shares.
Mr. Morgan came into the company for
the first time openly during the follow
ing month,
On January 22. 1890, a special meet
nir of the comnnnv was called at. n 37
Wall street, New York. Mr. Morgan's
name beinir siamed to the cnll m nna nf
the directors. At that meeting his finan
cial ability demonstrated itself. It was
decided to increase the capital stock of
thecomuanv from S100.000 tn 10.
000,000 and the number of shares from
x,uo to tuu.uuu. in certifying to tbe
result of the meeting the chairman and
secretary say: "And we do further cer
tify that the amount of the capital of
said corporation actually naid in la
nothimr.no call as vet havinir hu in.
sued by the directors of said corpora
tion to the subscribers of tbe stock
thereof, and that the whole amouut ot
the debts and liabilities ot the said cor.
ooration Is nothing, and thntr fha
amount to which the capital stock ol
sam corporation is lucreasod is ten mil
lion dollars."
llaviirg thus increased the capitaliza
tion without baring paid in fl. tbe
company came to n ashington and asked
Congress for a subsidy of 160,000 a
year for twenty years to help them lay
the cable, A bill for tbis purpose is now
lauding in Congre sh.
Associated with J. Pier pout Morgan
as directors of the company are Jamea
A. Hdirywr, J. Keuuedy Tod, Edmund
UBaylisaud G.N. Bowdolu. it thev
can ail in bringing about tue annex
atioa ot Hawaii they enct that their
stock, now worth no more than the
par upon which It U printed, will at
once aiwunta a definite market value.
Hence Mr. Klkius's luUrmt aeastevk
holder lu helping ths llawaiiai anueia
tionutJ, Ths Nicaragua canal jHHtpIe, beaded
by Werner XMIer ha an even more Jit
wt ititervAt iu sw ing lU.i.i b .vmc a
part ol the Tutted Ktatea, Tlr canal
would then IxmitiM almost a twety,
and the Isfltteaiv of (he goTerainu
would be tti with CongreM to lnd'M
the-appropriation of enough aioaey to
put the euterprt oa Its feet aad make
all lis promoter ru b.
In tke lacs of uvhooftdttioa (Vugr
will hardly dare to ratify th treaty and
face puhlt atimuit.