The News and Observer. VOL. XXXIX. NO. !08. TSH3E tJKEST OMUtTiN OF « NMTI 01111111 DILI MORGAN IS SARCASTIC ALA.B SENATOR FAYS HIS RESPECTS TO ENGLAND’S AMBASSADOR. BERING SEA WfUJNALS AWARD i He Disca'sed the Liability of the United States for Seizures of British Ships in Bering Sea in 1890 and Crit icised the Settlement of the President •••Indulges in borne Plain Talk About Sir Julian Panncefote and the English People. WASHINGTON, Dec. 9.—The feature of the Senate to-day was a speech by Senator Morgan, of Alabama, chairman of the committee on foreign relations, and a member of the Bering Sea trib unal, upon a resolution offered by him last week instructing the foreign rela tions committee to investigate, the question of the liability of the United States for the seizures of British ships in Bering Sea in 1890. Mr. Morgan took the position in the last Congress that the settlement of the President, was neither wise nor proper. His remarks on that occasion were the subject of some sarcastic comment from the British ambassador here in the latter's official correspond ence with LordflKimberly. That corre spondence was printed recently from the British Blue Book, and most of Mr. Morgan’s speech to-day was devoted to paying his respects to Sir Julian Pauncefote. He quoted from Sir Ju lian's report to Lord Kimberly that Republicans, Populists and forty-four Democrats had voted against the appro priation and his comment attributing the action of the House to the “neces sity of party expediency.” Mr. Mor gan declared eomtcmptuously that it was getting to be the fashion abroad to attribute everything that did not please them to the “influence of party politics.” He characterized Sir Ju lian’s comments as “unjust"’ and “of fensive” in the case of the House. “But. not content with these reflec tions on the House.” said Mr. Morgan, “he refers to Senators by name in a gratuitous and insulting manner. He does this under the cover of the British flag.” After quoting Sir Julian’s comment on his (Morgan.s) characterization of some of the alleged British claimants as “recalcitrant and rascally Ameri cans,” he declared that the British am bassador’s strictures were based on the mistaken notion that the British navi gation laws shoidd cover violations of United States statutes. Crimes against the decalogue could not, he saie found in the Koran. He denounced the action of the American marauders in Bering Sea who had placed themselves under the protec tion of the British flag as guilty of sur reptitious piracy, lie did not object to the English Ambassador criticising his course, either as Senator or as a member of the Paris tribunal in his private communications to his gov ernment, but he emphatically protest ed that he had no right to give his criticism to the American papers in a pamphlet and thus forestall reply. Mr. Morgan was exceedingly ironical in his reference to the indiscriminate nature of the claims England had bundled together and asked us tosettle for a “ lump sum.” The proposition to pay a “lump sum. he said, ought to be too revolting to lie on the Christian stomach of the English Ambassador. The correspondence laid before the House. Mr. Morgan said, demonstrated that there was no negotiation over the alleged claims and evidently little in vestigation. England had simply jumped at the “lump sum” proposition made by Secretary Gresham for the settlement of claims that had neither justice nor morality beyond the asser tion set up. but palpably false, that the award of the Paris tribunal made it obligatory upon the United States to satisfy any claims for damages which Great Britain might make. Mr. Morgan insisted that it was the clear duty of the Senate to construe the action of the President in an at tempt to ride down the power of the Senate in negotiating for the settle ment of an international controversy without its advice or consent. At the conclusion of his speech,whieh occupied two hours, Mr. Morgan asked a vote on the adoption of his resolution instructing the foreign affairs com mittee to examine into and report the liability of the United States to Great Britain for the seizures. The resolu tion was then read and is as follow s: “Resolved, That the message of the President, received by the Senate on February 13, 1895, and his message read in the Senate to-day (meaning Decem ber 3), relating to the payment by the United States of the claims of Great Britain arising out of the Bering Sea controversy, be referred to the Com mitte on Foreign Relations, with in structions that said committee exam ine into the question of such liability to Great Britain and the amount of, if any liability on the part of Great Britain or Canada arising out of said controversy, and that said com* mittte shall have authority to report by bill or otherwise.” The resolution was adopted without a dissenting voice, and tin* Senate went into executive session, and confirmed the nomination of Rufus 11. Peckhain, of New York, to Ik* associate justice of the Supreme Court of the United States; also W. E. Faison, of North Carolina, to be solicitor of the State Department. The Judiciary Commit tee has agreed to report favorable the nomination of judges Springer, Kil gore. and Stuart. Among the bills introduced in the Senate to-day was one by Mr. Voor liees (Indiana) granting a pension of S2OO per month to the widow of the late Secretary of State, General \V. Q. Gresham. Mr. Baker (Rep., Kansas) offered a resolution which was agreed to, call ing upon the President, if not. incom patible with the public interest to transmit to the Senate all documents and correspondence at the State De partment relating to the case of ex- Consul John L. Waller, now under ar rest in France. By Senator Barr, to provide a terri torial form of government, for Indian Territory, with the usual staff of terri torial officers, the territory to take the name of Tndianola. By Senator l’almer, giving a uniform pension of SSO per month to all who lost a hand or foot in the late war and S6O to those who lost an entire limb. By Senator Allen, disfranehisin any citizen of the United States who shall solicit or accept a title, patent of nobil ity or degree of honor from a foreign nation and to punish this act as a crime by both fine and imprisonment. At 3:57 p. m. the Senate adjourned. THE DAY IN THE HOUSE. WASHINGTON. Dee. 9. -The House held another short session to-day, and devoted most of its time to dis cussing the appointment of House officers. Resolutions were presented by tin* Republicans calling for the cor respondence in the Waller ease, for lists of pensioners who have been stricken from the rolls since March 4, 1893, or reduced, and for Secretary Smith’s reason for an order affecting the action of the Land Office in con nection with the perfecting of titles to Pacific Railroad grant lands in Utah and Nebraska, but all were objected to by Democrats. An effort to have .printed in the Record the memorial of the National Wool Growers’ Associa tion for higher rates met the same fate. ANOTHER BOND ISSUE LIKELY. Heavy (told Withdrawals Expected During the Next Two Months. WASHINGTON, Dec. 9. The state ment is made by persons who are among those best qualified to judge, that in the absence of legislation to re lieve the financial situation another bond issue is altogether probable within the next few months at the furtherest. The present condition of the exchange market and the commer cial situation generally, it is said,point unmistakably to further large with drawals of gold, and unless something is done to prevent the usual heavy ex ports during January and February, which, for the last two years, have forced the issue of bonds to recoup the depleted gold reserve, a similar situa tion will confront the treasury before the new year is far advanced. The available cash balance in the treasury to-day, including the reserve, is approximately $175,500,000, and as the government has realized from its three* bond issues about $180,000,000, it appears that but for these issues the government, would now be without-one dollar in the treasury and in addition would have outstanding obligations amounting to about $6,000.00. In the meantime tie* excess of expenditures over receipts amount t<» alniut $130,- 000,000. The exports of gold during the last four months have been as follows: August, $16,007,000; September, $17,- 424,000; October, $2,105,000; Novem ber, $16,000,000; so far during Decem ber. $3,540,000; making a total of $55,- 796,000. Ho far this calendar year the exports of gold amount to about $95,- 000,000. 11l 1*94, the exports amounted to $101,819,924. From the best informa tion obtainable ii is believed that the present month will show a surplus of at least $1,000,000, which will leave the deficit of the fiscal year to January 1, about $ 15,000,000. It is expected that this amount will not Ik* materially increased during the remaining months of the fiscal year. FIGII r IOK fHE INCOME TLX lin Friends Now Rely «>n an Amend ment to the Constitution. WASHINGTON, Dec. 9. Represen tative Hall, of Missouri, w ho was one of the most active advocates of the in come-tax feature of the Wilson tariff bill, is determined not to abandon the fight for an income tax law. As a re sult of a careful inquiry into the sub ject, an amendment to the ( onstitution has been prepared and introduced in the House by Mr. Hail. It is to be known as the sixteenth amendment, and is as follows: “All taxes, as well as duties, imposts and excises, shall be uniform through out the United States; provided that all capitation taxes shall, and any other tax may, be apportioned among the several States according to their re spective numbers, counting the whole number of persons in each State, ex cluding Indians not taxed.” Such an amendment would remove from clause 2 of section 2 and clause 4 of section 9 of article 1 of the Constitu tion the inhibition against the imposi tion of “direct taxes” unless levied ac cording to the population in the re spective States, the Supreme Court having held that the income tax was a direct tax. “This amentment,” says Mr. Hall, “leaves the construction of the uni formity clause of the Constitution still ojk*ii for consideration, but after con sultation with some of the most emi nent lawyers connected with the ad ministration, T do not believe there w ill be any difficulty in regard to that in the future, and it seems unwise to at tempt anything more than to get rid of the antiquated and impolitic direct tax clause upon which the Supreme Court hung its decision.” RALEIGH. N. C.. TUESDAY, DEC. 10, 1895. DEMOCRATS ALREADY AT WAR. And Tlieir Diflerence* on the Moaejr Question Camel It. WASHINGTON, I). C., Dec. 9. (Spe cial.) —Mr. J. S. Cohen, who has been the popular private secretary to Hoke Smith, is shortly to be married to Miss Iza Glenn, one of the loveliest young women in Atlanta. He is one of the cleverest newspaper men in Washing ton-sensible, popular, capable. * * * The “old man” is in North Carolina a-fishing, and Mrs. Cleveland gave her first reception of the season Saturday when she entertained the cabinet la dies at lunch. The table was deco rated with white camellias and white chrysanthemums. A silver vase of white camellias occupied the centre of the table, and at each plate a chrysan themum was laid. All the ladies of the cabinet circle, except Miss Herbert, were present at the luncheon. They were Mrs. Gluey, Mrs. Carlisle, Mrs. Lamont, Mrs. Hannon, Mrs. Wilson, Mrs. lloke Smith and Miss Morton. An open rupture lias already broken out between some of the extreme free silver men and the supporters of Presi dent Cleveland’s financial policy. Mr. Bailey, of Texas, went so far as to go to Speaker Reed and enter a for mal protest against the appointment of Mr. Hatchings, of Mississippi, as one of the minority members on the House Committee on Rules. lie based his protest on the ground that he could not endorse the views to which Mr. Catchings would like to commit the Democratic party, and did not, there fore, consider him a proper man to be placed before the country as a leader of the Democratic minority. In this action Mr. Bailey had tin* sup port of quite a number of Democratic representatives, some of them men of considerable prominence. Mr. Catch ings declines to discuss the matter. He has not asked Mr. Reed for a place on the Committee on Rules or on any other committee. it is ascertained that the caucus com mittee on committee assignments lias selected Senator Frye, of Maine, for the chairmanship of tin* committee on commerce; Senator Morrill, of Ver mont, for finance; Allison, of lowa, for appropriations; Cullom, of Illinois, for inter-State commerce; Quay, of Penn sylvania. for public buildings and grounds; McMillan, of Michigan, for District of Columbia: Aldrich, of Rhode Island, for rules; Hawley, of Connecticut, for military affairs, and Sherman, of Ohio, for foreign rela tions. The Western Senators will he assigned important chairmanships. Dubois, o* Idaho, is to have public lands; Pettigrew , of South Dakota, In dian affairs, and Squire, of Washing ton, coast defenses. * * * The following postmasters in North Carolina were appointed to-day: Den mark, Samuel Jeffrey, vice J. 11. Reed resigned; Hiwassh?, T. C. Kilpatrick, vice J. C. Green resigned, and Tom Creek. M. V. Lackey, vice J. M. Hicks resigned. * * * * Mr. Low, of New 1 York, introduced in the House to-day a resolution direc ting the Secretary of War to appoint a board of engineers to examine and re port as to the feasibility of a harbor of refuge at Ca;ie Lookout or at some point near Cape Hatteras. * * * Senator Don Cameron, of Pennsyl sylvania, to-day announced formally that he would be a candidate under any circumstances for election. The announcement took the form of a let ter to Hon. J. S. McCarrel, of Har risburg. * * * It was stated at the Treasury Depart- Department to-day that Secretary Car lisle was still at work on his annual report, and that it would not likely be ready to send to Congress before Wed nesday or Thursday. WORLD’* GREATEST AUCTION. It Will Occur This Morning in lo* l>eka« Kama* TOPEKA, Kan., Dec. 9.—At 10 o’clock to-morrow morning at Topeka will oc cur the greatest auction the world has ever known. At that hour J. B. John son, special master in chancery, will offer to the highest bidder for eash in hand the entire system of the Atchi son, Topeka and Santa Fe Railway. Nothing will he reserved of its 10,000 miles of track, its 2,000 locomotives, its thousands upon thousands of cars, its buildings, rights and franchises, which, considered together, reach the imperial value of $350,000,000. Special Master Johnson will act as auctioneer, and, as preliminary to re ceiving bids, he will read the order of sale, judgment of the court and other legal documents, which will consume something more than an hour. No one will be allowed to bid unless he has first deposited $500,000 in cash with the special master as an evidence of good faith. Judge Henry (’. Caldwell will eome to Topeka for the purpose of confirm ing this sale A SYM PATHETIC STRIKE. Li vidol tin* llousesmiihs’unit Bridge ■nen’H Union. NEW YORK, Dec. 9. Sympathetic strikes, in aid of the Housesmiths’ and Bridgemen’s Union in its contest with the Iron League, were ordered out to day, which took out 450 men employ ed by the Jackson Architectural Iron Works company, sub-contractors for J. B. and J. M. Cornell. The buildings involved include the Lexington avenue Cable Railway power house, in 240th street and Lexington avenue. Yesterday was Michigan Day at the Atlanta Exposition. IS IT & BIG GAMBLE? MV-'T r Rfoi K DROP IN AMERI CAN TOR vrt’O COMPA NY’S STOCK. SufiiEBGDY CLEARED BIG MONEY Commix u Stock X esterday Scored Ai other Decline el 4 1-8 Per Cent, Making the e' Drop Since ( riday’ Clo-iog 10 Per Cent— I he Preferred Stock Went ( II a* Much a* Iti 7 8 Per Cent Since Friday--The Cutup* nj’s Sint iiicui us to liiv « ruii«*. NEW YORK,Dec. 9 The general opinion in Wall street to-day was that it is exceedingly fortunate for the holders of the American Tobacco other industrial stocks that the sensa tional movement in the first named came of a half holiday and not of a full business day. As it was the drop in the common of 11% per cent on Sat urday as compared with the final price of the previous day caused the throwing over of large amounts of investment stock in addition to im mense lines of speculative held stock. To-day the common scored an addi tional decline of 4% per cent, making the net drop since Friday’s closing 16 per cent. The preferred ' stock slumped 8% points to-day, making the net loss since Friday 10% per cent. The management claims that its action in advertising the passage of the dividend on the common stock w as based upon conservatism, and that the payment of a dividend out of borrowed money would have rightly brought censure upon the directors. What the street says is that the im portant decision of the bonid was com municated to the security holders in a maimer unprecedented in the memory of the financial community. It does not impute speculative motives on tin* part of the management, but insists that a brilliant speculative opportun ity was afforded on account of the ex tremely sudden news at a moment when there was no chance to attempt to relieve the inevitable heavy loss. ’The two Stock Exchange houses which issued a call to the stockholders to take action to displace the manage ment, or, at any rate, to acquire a voice in the Board, are Rolston A Bass, and J. S. Bat*he & Co. In a cir cular which they issued they say: “To the Stockholders of the American Tobacco Company;—- “The recent remarkable develop ments in the affairs of our company, coupled with the persistent decline in the price of your securities, leads us to regard the present as an opportune moment for the assertion of the rights of the security holders. We believe that a majority of the stock is to-day in the hands of the general public, and not represented on the Board of Directors as at present constituted. “We therefore ask the co-operation of our fellow stock 1 * lders. with a view to secure greater publicity and detail in the company’s reports, and to en force adequate representation on the Board, Stockholders are requested to communicate with either of ’ # un dersigned, stating the amount of their holdings and tlieir addresses.” The circular giving reasons for pass ing the dividend on the common stock says: “On account of the increasing volume of the company's business and the ac quisition during the year of new plants and businesses, the company requires more eash working capital than heretofore. “Therefore, in the judgment of its management, it is to ihe interest of the stockholders and proper for the prudent prosecution of its growing business that the sum necessary to pay further dividends on its common stock for this year be retained and ap plied to working capital.” Since its incorporation in 1890 the American Tobacco Company had main tained until the present time, 12 per cent, annual dividends on $17,900,000 of common and 8 per cent annual divi dends on $11,935,000 of preferred stock. 'The company has earned very large profits almost uninterruptedly and its latest balance sheet showed a surplus. It has not been claimed, how ever, that this surplus w as in eash. The management has unquestionably taken a step, that however pitiable to the security holders will help immeas urably in tiie fight with the outside to hacco nin n nfaeturers. The selling of the preferred stock since Saturday morning has been due partly to apprehension that the man agement might, if necessary, for its successful maintenance of the contest with the outside plug tobacco people, reduce or even suspend dividends on that stock also. 'The interest that has started a combination movement, of the security holders against the pres ent, management are still reticent be yond asserting that strong protective committee will be formed. ’The highest price touched by the preferred stock this year was 116, on August 16th. and the common sold at, 117 on May 27th. The low points reached to-day, 90 for preferred and 63 for the common, are the lowest of the year. The payments on the trust’s common stock the past five years has been: Year ending Dec. 31, 1890, 10 per cent $1,500,000 Dec. 31, 1891, 12 per cent 2,148,000 Dec. 31, 1892, 12 per cent 2,168,000 Dec. 31, 1893, 12 per cent 2,152,500 Dec. 31, 1894 12 per cent 2,148,000 Dec. 31, 1895, 12 per cent 2,148,000 'Total in six years $12,264,500 At the end of 1894 the balance sheet stood: ASSETS. tures, manufacturedst mfvvy emfwy Real estate, machinery, fixtures, leaf tobacco, manufactured stock, operat ing supply, patents, trade-marks, etc $35 ; 255.295 Cash - 1,909,553 Bills receivable 1,535,716 'Total assets $38,700,395 LIABILITIES. Preference dividend, due Pel). 6. 1895 $ 335.700 Common div idend, due Feb. 6. 1895 537.000 Accounts payable .’os,4tS Accrued commissions 272,103 Advertisement fund 279,694 For income tax 101,388 Total $ 1,667,305 Capital preferred 11,935,000 Capital Common 17,900.000 Total liabilities $31,502,305 Surplus $ 7,198.290 A 3 per cent quarterly dividend on $18,000,000 would have been $540,000. The shares are SSO each, hence the drop in the market netted the insiders near ly $700,000 or more than the dividend which is to be passed. IS IHKKY HAYWARD ? Ili* Coiinsel Ask* it e (tore nor io -iiii Hi* Execution MINNEAPOLIS, Minn.,Dee. 9. John Day Smith, who was associate counsel for Harry Hayward in the trial, has forwarded to Governor Clough this morning a last appeal. The attorney asserts strongly his belief that Hay ward is insane, and that it would be a crime to hang him. He asks the governor to stay the execution until he can appoint a commisssion to look into the prisoner’s condition. 'There is little likelihood that the request will he granted. Hayward passed a wiid night of it. He is either rapidly becoming insane •»r is feigning such a condition. About 3 o’clock this morning he got from his pallet and shouted to his death-watch that Jesus Christ was in one corner of his cell and satan in the other. lie raved frightfully and declared that he was afraid of neither. Then he began to throw imaginary intruders out of his cell. It was daylight before he quieted down. This morning he de clared that fie would write a history of the past ten years of his life, telling everything without reserve. His cou sin, Ernest Coodseil, would arrive to day from Chicago, he said, to take charge of the publication. lie would dictate the matter to some one to-mor row. The carpenters are hard at work on the gallows, and the clatter of the hammers easily penetrate to ITarry,s cell. At the first sound he said to ids watch, with that horrid, mirthless laugh of his. “'They are off.” MORE i KUO PH FOR CUBA. Fi steamers Bring Reinforcements From Spain. BAN ANA. Dee. 9--Strong reinforce ments of Spanish troops arrived here to-day on board the steamers Colon, Ciudad, Cadiz, Maria Cristina, and Santiago. Also on hoard were Gener als Sabas Marin, Luis Pando, Pedro Pin, Adolfo Castellanos, Domingo Basin, and /aver Obegon, The troops consisted of the Bnibastro, Cecilia Castilla, San Quintal Navarro and Heredia battallion. The reinforce ments were met on board the steamers by Gen. Arderius, the chief of the staff, and committees from the differ ent municipal bodies of Cuba. When the troops landed they were greeted in most enthusiastic manner and were reviewed by Captain General Martinez . The Na tional Republican committee will meet tomorrow at the Arlington Hotel to select the time and place, for holding the National convention next year. As to the time the roniinfftee scouts to be pretty well agreed that it should Ik* held sometime in June, althbugh there are some advocates of a very late con vention and a short, sharp campaign. The place at whieh the convention will be held is the .subject of a hard, but good nut need struggle. Each rival city has taken headquarters hi the hotel and is being boomed with great diligence. Each offers to pay off the debts of the National committee and besides offers a separate and superior set. of qualifications and advantages, sentimental, material and gefigraphi eal.The question of candidates does not appear to enter into the. ■ question of the choice of tin* convention city and the Republican politicians who swarm about the corridors sax that the com mittee will content itself with select ing the place for the convention and allow the convention to select the can didate. Among those present are some of the most distinguished and powerful leaders oT the Republican party. An attempt was made to give the cilies a hearing to-day, but ma<;y of the committeemen were absent and it was decided finally to postpone the hearing until to-morrow morning at 10 o’clock, when each candidate will be given an hour to present her claims. The question of the basis of representation which will eome Invfore the committee w ill Ik* referred proba bly to the convention for settlement. The leaders, ns a rule, claim lhat it would be folly to discourage the S :th ern Republicans by reducing their ba sis of representation just ns they are beginning to vindicate tlieir predVuou that the solid South will tear away from her old allegiance and the Demo cratic party. Committeeman R. (’. Kerans said to night that his hope that St. Louis would secure the convention had grown into absolute confidence. 'The other cities seeking the convention are Chicago, Pittsburg, New Y ork and San Francisco. r An effort Was made t > secure a meet ing of the executive committee to night, but a quorum was not secured. 'They decided to take up no business beyond the framing of a telegram to Governor-elect Bradley, of Kentucky, congratulating him upon liis election, and to present it to the full committee to-morrow. DOUGIITUN FOR GOVERNOR. Chairmen Helton Rff arils Iliiu as Now in the Lead. WINSTON, N. C„ Dec. 9—(Special)— Interviewed to-day, Chairman Holton of the State Republican Executive Committtee, predicted that the next legislature would be composed of the strongest and best, men of any general assembly since the war. He says Democrats, Republicans, and Populists will put up only their best material. He thinks Lieut. Governor Doughton is in the lead for tin* Democratic nomi nation for governor. He regards Col. J. S. Carr as not in it. Mr. Holton would not venture a prediction as to who his party would nominate. When asked if his name was not being mentioned as a possible candidate for State Chairman, he replied, smiling: “Oil, I will take nothing.” “Not even water?” asked the interviewer. “I don’t know about that —I might have to,” answered Mr. Holton. William A. White, an aged Mason and .popular citizen, died at Lewisville yesterday. ** Mike Foust, colored, aged fifteen years, dropped dead in the court room while court was iu session to-day. Heart disease caused his sudden demise. Dave Koontz, colored, who received a painful wound during Winston’s recent riot, was tried to-day, and sent to the county roads for six months for participating in the riot. Cases against four other rioters were con tinued. The slump in American Tobacco Company’s stock is an all absorbing topic among tobacceo men here. Pre dictions as to the trust’s future are varied and numerous. HE H*. I> TDD MA> Y WiV 18. A Aealiay Richmond Beauty Mar* tie* a Man fi d Man. TORONTO, Out., Dec. 9.—About a month ago Rosalie Gottlieb, of Rich mond, Y’a., and George S. Maxwell, a physician and electrician of Louisville, Ky., were married at Washington and came to Toronto on their wedding tour. While here a report reached Mrs. Maxwell that her husband had an other wife living. Maxwell, on being questioned by his wife No. 2, admitted the truth of the report. This decided Mrs. Maxwell to return to Richmond, Ya., which she did this afternoon. Miss Gottlieb is a typical Southern beauty and her parents are wealthy. Max wells father is a prominent physician of Louisville. TOO WET FOR DI CK SHOOTING. NORFOLK, Y’a., Dec. 9.—The heavy down pour of rain which set In shortly after the President and his party were settled in their blinds in Cape Hatteras channel prevented their enjoying much sport, to-day. BERLIN. Dec. 9. 'The gale is caus ing immense damage in this vicinity. Trees have been uprooted, hay racks destroyed, houses unroofed ami ruined. The damage will amount to hundreds of thousands of marks