Evening Star Newspaper, June 27, 1901, Page 1

Page views left: 0

You have reached the hourly page view limit. Unlock higher limit to our entire archive!

Subscribers enjoy higher page view limit, downloads, and exclusive features.

Text content (automatically generated)

SS THE EVENING STAR PUBLISHED DAILY, EXCEPT SUNDAY. Business Office, Lith Street and Peansylvanis Avenne The Evoning Star Newspaper Company. 8, H, KAUFFMANN, Pres't. Few York Office: 126 Tribune Bail Chicago Office: Boyee Building, ‘The Evening Star is served to subscribers in the tity by carriers, on their own account, at 10 cents ver week. or 44 cents [3 month. Copies at the counter. 2 cents each. mail—answhere ia the ‘U.S. or Canada—j paid—80 cents per month. prey Saturday Quintaple, Sheets Star, $1 per year; with foreign pestage added, $3.08. (Entered st the Post Office at Washington, D. O., &s second-class mail matter.) £7 All mail subscriptions mart be pald tn advance. Rates of advertising made pplication. known oo a; “WASHINGTON Bb Ch THURSDAY, JUNE 27, 1901—SIXTEEN PAGES, TWO _Ne_15,080._ WASHINGTON, D. ©, THURSDAY, JUNE 27, 1901-SIXTEEN PAGES TWO CENTS. THE STAR BY MAIL. —~ Persons leaving the city for any period can have The Star mailed to ‘tiem to any address in the United States or Canada, by orlering it at this office, in person or by letter. Terms: 13 cents per week; 25 cents for two weeks, or 50 cents per month. Invariably in advance. The address may be changed as frequent= ly as desired. Always give the last address, as well as the new one, BIG BANK FAILURE, sutsti-28%cit.c%artse82]AT THE WHITE HOUSE|™- FOURNIER IN THE LEAD|THE PRIZE CASES [armen == sms mor —_+—___ Seventh National in New York Sus- pends Payment Today. OTHER BANKS WITHDREW ACCODNTS Heavy Deficit in the Clearing House This Morning. STATEMENTS OF OFFICIALS . — NEW YORK, June 27.—The Seventh Na- tional Bank was closed at 10:45 today. When the bank's doors were closed the following notice was tacked up: “This bank is in the hands of the con- troller of the currency. (Signed) “FOREST RAYNOR, “National Bank Examiner.” At the same time William N. Cromwell, the bank's attorney, gave out the follow- ing statement: “In fustice to the depositors and stock- @holders of the Seventh National Bank, William N. Cromwell, the bank's attorney, has advised the bank to suspend pay- ment.” This action was taken after a protracted conference in the directors’ room of the “bank, which was participated in by the new president, Edward R. Thomas; ex- President William H. Kimball, Edwin Gould, Lorenzo Semple, who is one of the directors, and several other members of the board. ‘The bank opened for business as usual today, but at 10:4 the doors were closed by Cashier Adams, who announced that the bank had suspended. .He said the ac- tion was resolved on at the meeting of the board of directors, depositors and William N. Cromwell, attorney for the bank, held this morning. a Last Week's Statement. The statement of the Seventh National Bank for the week ending June 22, 1901, to the clearing house was as follows: Capital, $376,600; net profits, $234,400; loans, $4,407,- 100; speci 700; deposits, Percentage of reserve, 23 4-10. After the suspension of the bank, the fol- lowing statement was made at the clearing whouse: “At the clearing house this morning the Seventh National Bank came in debtor $644,108.95. The clearing, house committee as heen in session since 9:30 a.m., awaiting im results of the clearing. When it was found that the debit balance was so heavy the committee communicated with the offi- cers of the bank, and was informed that poard of directors was in session, and deciston wi be arrived at within n or twenty minutes as to the action of the bank. In consequence of this state- ment the clearings were held back twenty . At 10:45 a.m. Mr. W. N. Crom- | Mr. Edwin Gould and Mr. Thom- president of the bank, came into the as, clearing house and informed the commit- | tee that In view of their heavy debit bal- | ance, and for other reasons, it was con- sidered wise that the bank should tem- porarily suspend. “The clearing house committee thereupon @irected the manager of that institution to eliminate from the clearings all operations of the Seventh National Bank.” A member of the clearing house commit- tee says that at this morning’s meeting the ame of no institution other than the eventh National Bank was referred to. Custodian of Post Office Funds. ‘The Seventh National Bank was the cus- todian of the funds of the New York post office. Assistant Postmaster Morgan said when he heard the news of the bank's sus- pen “The post office {s amply protected. ‘When the account was opened the bank put up $250,000 in government bonds as securl- | ty. The present state of the post office’s account with the bank I do not know, but 1 am investigating it.” At 11:20 o'clock the officials of the em- barrassed bank posted the following no- tice: ‘Checks drawn by the Manhattan State ital will be paid at the Chase National Drafts drawn by the St. Lawrence Bank nton, N. Y., will be paid National Bank." institutions having close busi- is with the Seventh National was the stock brokerage firm of Marquand m: County at the Chase Among th & Co. After the suspension of the bank ‘oor of the firm of Marquand & dition of whose account with tid to have precipitated the latter concern with the | on Tuesday, was asked “y we of the hou said he, me time, Just now ever: e busin world, but I believe get through. Postal Deposits Secured. Later it d from an auth k has on depos! s, all of which we as le the suspension stock market. followed ion inter- caused a in prices 4 two and one-half points princ ks. The offer- ms of money on the exchange and large buying orders placed at 6 perc in the market rallied prices and left the stock market dull, but somewhat feverish until noo in banking circles it was said that the Seventh National's heavy debit balance to- day was the result of the news of the bank's embarrassment on Tuesday being tele- graphed throughout the country. Interior institutions having money deposited with the Seventh drew on the bank, and these drafts all coming in at the same time were too much for the institution. ‘The suspended institution is now in the hands of the controller of the currency, who has appointed Forest Raynor as tem- porary receiver. Mr. Raynor's examination of the loans of the bank are understood to have proved that the collateral of them was weak in some instances. The objections of the bank examiner to these collateral securities is said to have decided Mr. Cromwell to advise the sus- pension. Mr. Oakley Thorne'’s Statement. President Oakley Thorne of the North American Trust Company, which had some business relations with the Seventh Na- tional, said his corporation was not im any way affected by the suspension of the Se enth National. When asked as to the e! fect of the failure, he sald: “J don’t know anything about any co! cern except our own and that, I can assure you, is all right. If any one asks refer- ence on the subject I can refer him to the state bank examin: His statement will, I am sure, be taken. I know there are ru- mors connecting us with the trouble of the Seventh National, but they are merely ru- mors. I am happy to say we are all right.” t noon President Tappen of the Gallatin National Bank, and chairman of the clear- | chusetts Institute ing house that none will be. The Ninth National Is in excellent condition, and there was absolutely no warrant for the use of its name in the discussion of the siiuation on Tuesday.” History of the Bank. The Seventh National Bank was original- ly the old Seventh Ward Bank, and was established in 1833. For a long time contro, of the institution was held by John Mc- Anerney, a southerner, who was president of the bank. In May, 1999, First Assistant Postmaster General Perry S. Heath, prac- tically acquired a controlling interest in the stock of the Seventh, and on July 4 Wm. H. Kimball resigned as national bank examiner to become vice president of the Seventh, several changes in the directorate being made at the same time. Josiah Quin- cy of Boston was one of the directors elect- ed then. On August 2, 1809, Mr. McAnerney re- signed the presidency, and Vice President Kimball was chosen in his stead. Fletcher S. Heath was elected vice president. The officers and directors are as follows: E. R. Thomas, president; Fletcher 8. Heath, vice president; George W. Adams, cashier; directors, George W. Adams, Eu- gene Bissell, Thomas M. Boyd, Fletcher 9. Heath, Perry S. Heath, Erskine Hewitt, Wm. H. Kimball, Alexander McDonald, Guy G. Major, Wm. P. Orr, Josiah Quincy, Frank H. Ray, John A. Sullivan, W. H Taylor, Samuel ‘Thomas. Closed by the « Controller. Controller Dawes today ordered the clos- ing of the Seventh National Bank of New York and appointed Forrest Raynor, na- tional bank examiner, temporary receiver. Later the controiler made the following statement: “Controller Dawes stated that on Tues- day he received word from the national bank examiner that Henry Marquand & Co. had recently become indebted in a sum approximating $1,400,000 to the Seventh National Bank of New York, which was secured by collaterals of a doubtful na- ture. Upon receipt on Wednesday of fur- ther information regarding the nature of the collaterals securing this loan, he sent a telegram to Mr. E. R. Thomas, president of the Seventh National Bank, as follows: “I have just received information from the national bank examiner that Henry Marquand & Co. have loans of large amount in your bank, approximating $1,- 600,000. Unless promptly and satisfactorily assured that this loan will be taken up and cash therefore put into the bank by Sat- urday night, June 29, I will appoint a re- ceiver for the bank. Please convene your beard of directors and announce this to them.’ “In explanation of the conditions imposed the controller states that while advances had been made Ty the directors to the bank, they had been made upon the credit of good securities owned by the bank, but that no such advances affected the bank’s solvency while the Henry Marquand paper remained. It was necessary, therefore, for him, in the performance of his duty, to promptly impose these conditions, before further withdrawals of deposits were made. The controller stated that the Marquand lean is partially secured, and it is hoped that the loss to depositors will not be large.” The following is a statement of the re- sources and liabilities of the Seventh Na- tional Bank of the City of New York, N. Y., as shown by the report of its condition at the close of business April 24, 1901: LIABILITIES. Capital stock. Surplus id undivided p Circulation outstanding Due to trust companie banks Due to national banks and bankers 974210.01 Individual depostts. 5,238,038.2 deposits. . 210,388.26 Total labilities. < + - $7,665, 265.62 -$2,767,179.79 + "133,332.60 BTL ATL 14 Banking house + 5,000.00 Cash on hand and with other 4,191,279. ‘Total resources Controller Dawes says there is no possi- bility of the government losing anything by the closing of the bank. In the first place, the bonds which the bank has on deposit at the Treasury Department more than cover the government deposits in the bank, and in addition the courts have held that the government always is a preferred cred- itor in the sense that it has an equal chance of the assets which remain, irrespective of the fact that it has the collateral. The statement of the New York clearing house, showing the condition of Seventh National Bank, Saturday, June 22, was as follows: Capital, profits, $2%4.400; y 00; specie, $557,- 700; ; deposits, $5,712,400; cir- culation, $299,300. net AMERICAN SCHOOL SELECTED. * Naval Cadets Going to Massachusetts Institute of Technology. Arrangements have been made at the Navy Department whereby graduates of the Naval Academy selected for appoint: ment in the construction corps will receive a finishing course of study at the Massa- of Technology, Boston. Heretofore these graduates were sent to the University of Glasgow and to Ecole Politechnique, at Paris. Naval Construc- tors Bowles, Gatewood and Taylor were graduated at these high honors, but re closed to aropean schools with ntly the schools were the graduates of the Naval The present action of the de- is based on the recommendation ar Admiral Hichborn, formerly chief of the bureau of construction and repair, and Rear Admiral Bowles, the incumbent of that office. ————— GOING TO CONGRESS NEXT WINTER. ‘Treaty for Cexsion of the Danish West Indies. The appearance at the State Department within two days of Mr. Swenson, our min- ister to Copenhagen, and Mr. Brun, the Danish minister to Washington, has ex- cited fresh interest in the negotiations look- ing to the acquisition of the Danish West Indian Is.inds by the United States. Mr. Swenson is on leave of absence from his post and naturally had a long explanation to make to Acting Secretary Hill of the de- tails of the negotiations which he had conducted at Copenhagen bearing on this subject. These are still in an unfinished state, though there is no reason to change the opinion already recorded on the author- ity of the State Department officials that the department will be in a condition to submit a treaty of cession to Congress next winter. + e+ —____ THE NAVY NEEDS MEN. Diffculty Experienced in Maintaining Its Maximum Strength. It is sald that difficulty is being expert- eriéed in recruiting the navy up to its maxi- mum of strength of 25,600 men. The force of apprentices is over 1,000 short, and there is said to be an equal deficiency in the class of seamen. Nearly 1,000 sailors whose terms of enlistment have expired have been re- cently discharged. They were attached to vessels which have just returned from ex- tended cruises in Asia and the Pacific. Since the termination of the Spanish war there has been a decided falling off in naval re- cruiting, and re-enlistments have not been so large as usual. Although every reeruit- ing station is active, it seems to be almost ing house committee, said he did not think that any firms or banks, even small ones, would fail as a result of the Seventh Na- tional’s suspension. President Alvah Trowbridge of the Ninth National Bank reiterated his denial of con- nection with any of the financial trans- actions which impaired the Seventh Na- tional. “I regret the closing of the Sev- enth National.” he said. “[ don’t believe any other bank will be affected, in fact, 1 am assured by the clear- impossible to maintain the naval service at its full legal strength. ——— Asked to Defer His Trip. Minister Corea of Nicaragua has been asked by his government to defer his trip to London for a few weeks in order to close AT THE WHITE HOUSE)™: FOURNIER IN THE LeAD/ THE PRIZE CASES Virginia Republicans to Put Up a Full Ticket, FIGHT FOR LYNCHBURG Post OFFICE Mrs. McKinley Again Takes a Drive Today. SOME OF TODAY’S CALLERS ————— Senator Scott of West Virginia this morn- Ing discussed with the President several matters of interest to Virginians and West Virginians. For some time Senator Scott. by consent and request of all concerned, has acted as a sort of senatorial step- father to the Virginia republicans, looking after their interests at the White House and departments. It is the intention of the Virginia republicans to put a full state ticket in the field this year and to make a genuine fight for It. Fer this reason they want all that belongs to them in the way of federaf patronage, hoping to strengthen their organization as much as possible. Senator Scott is aiding them and 1s backing up thelr effort to secure the Lynchburg post office for Mr. McLaughlin, a republican. A friend of Senator Daniel holds the commission as postmaster at Lynchburg, and the President has not dis- turbed him because of Senator Daniel's de- sire that he be retained. Lynchburg is Senator Daniel's home town, and for many years he has named the postmaster there. Senator Scott urged the President to re- appoint Captain Patrick McCall of Virginia as an officer in the commissary depart- ment of the government. As to West Virginia affairs the President has promised Senator Scott-to direct the appointment of H. S. Hawk as warden of the new federal prison at Atlanta. Mr. Hawk was the warden of the Moundsville, W. Va., prison for a number of years, and was sticceeded by another man only a few months ago. The Atlanta position pays $4,000 a year. The deputy warden, chap- lain and surgeon will probably be Georgia men. The Great Flood Disaster. Senator Scott is afraid that assistance will be needed in the West Virginia moun- tains, where so many lives were lost and so much property was destroyed by the flood. Despite Governor White's assertion that the affair can be handled without help from the outside, Senator Scott is inclined to think that help would be acceptable. The miners have lost all their household furniture and have no money to replace it. Their cottages were mostly owned by the coal companies, but their furniture was all to them. They will be years trying to re- place this loss and some of them will suf- fer hardships before they are able to do so if help is not extended. Mrs. McKinley Again Out Driving. Mrs. McKinley was again able to go out for a drive, and about 10 o'clock this morn- ing she and the President left the White House with Dr. Rixey, remaiging away about thirty minutes. She returned feel- ing fresher than when she went out. It Is stated that. one of the two nurses who came here from Ban Francisco with Mrs, McKinley will go with her to Canton, to remain some time, while the other will re- turn to San Francisco. These nurses at- tended Mrs. McKinley during both of the critical periods of her iliness, the first in San Francisco and the other here. They relieved each other every twelve hours, and won the President's good opinions and gratitude by their faithful and intelligent attention to their duties. A Distinguished Career. Gen. Americus V. Rice, who is now pur- chasing officer of the census bureau, was one of President McKinley's callers today. Gen. Rice is one of the members of the board of governors of the Soldiers’ Home at Dayton, Ohio, and it was in reference to some matters connected with the home that he saw the President. Gen. Rice had an interesting career both in the army and in politics, and is a very picturesque figure. He is one of the half dozen officers in the Union army who was brevetted a brigadier general for bravery and conspicuous gal- Jantry on the fleld of battle. He was in command of an Ohio regiment under Sherman during the latter's movement to cut the confederacy in two, and is said to have been the only commander of either army who fought his men back to back, volley-firing at the enemy on both sides. This was in the Chattanooga campaign, and for the gallant and successful stand made by his regiment upon this occasion, Gen. Sherman ordered him brevetted at the con- clusion of the action. Gen. Rice lost a leg at Ressaca, Ga., and was wounded in two other actions. In the seventies Gen. Rice represented an Ohio district in Congress and was the author of the arrearages of pensions act. He has suffered intensely throughout his life from the wounds he re- ceived during his service in the army, and last winter Congress recognized the excep- tional character of his service by the pass- age of a special pension act granting to him a pension of $100 per month. Ex-Senator Pugh of Alabama, Represen- tative Deemer of Pennsylvania’ and D. M. Ransdall, sergeant-at-arms of the Senate, saw the President. ———_ —_--+_____. McGLEGOR RETIRED. coL. Hud Sc ed Honorably in the Army Since April, 1858. Col. Thomas McGregor, 9th Cavalry, was piaced on the retired list today by opera- tion of law on account of age. A native of Scotland, he has served honorably in the American army since April, 1858. He began his military career as a private in Company A, Ist Dragoons, and early in the war of the rebellion was appointed second lieutenant of the Ist Cavalry. He was brevetted captain in May, 1864, for gal- lant and meritorious services in the battle of Todd’s Tavern, Va. In February, 1890, he was brevetted major for gallant services in action against the Indians at the Santa Marla mountain, Arizona, May 6, 1873. He reached the grade of colonel July 5, 1898, and since that date has had command of the 9th Cavalry (colored). For. several weeks past he has been at San Francisco on leave of absence. His retirement results in the promotion of Lieut. Col. Edward S. Godfrey of the 32th Cavalry, to be colonel of the 9th Cav- airy; Major Joseph H. Dorst, 2d Cavalry, to be Heutenant colonel of the 12th Caval- ry, and Captain J. C. Gresham, 7th Cav- alry, to be major of the 2d Cavairy. ———————— Secretary Root mawected This Even- ing. Secretary Root, who has been enjoying a short vacation in northern New York, is expected to return to this city this even- ing. There are many important matters awaiting his consideration and action, in- cluding questions pertaining to the new government to be established in Cuba and in the Philippines. —_—__«+_____ Honorably Discharged From Volun- teers. By direction of the President, Capt. Geo. E. Pickett, paymaster, U. S. A., has been up some pending business, not. however, in | honorably discharged as major, additional connection with canal matters, which are said to be fn statu quo for the present so far as Nicaragua is concerned. paymaster, 8. V., only, to take effect rare 30. Captain Pickett has been assigned to temporary duty at San Francisco. FIRST AT AIX-LA-CHAPPELLE MOTOR RACE, Great Crowds Witness the Start in the Ran From Paris to Berlin. PARIS, June 27.From midnight on dur- ing the early morning hours a stream of bicyclists and automobiles marked the road from Paris to Fort Champigny, a dozen miles east of the city, to see the beginning of the automobile race between Paris and Berlin, which started at 3:30 o'clock this morning, attracting unusual interest. It was, indeed, a most picturesque sight. The cross-roads of Champigny, where hundreds of bicycles and automobiles were assem- bled, were flluminated with Chinese lan- terns, while every few minutes a racing car would dash up and take the position allotted, being soon lost to view.° Later, when the bright sunshine put in an appear- ance, the autocars departed with even greater speed and were soon enveloped in dust. At the starting place ‘at: the cross-roads of the village of Champigny by 3:30 a.m., the hour when the first automobile was started, at least 2,000 enthusiasts had gathered, many being scattered along the road toward Berlin. The first few racers left before break of day, losing little time in covering the first two hundred yards. The cloud of dust, which alone could be seen whirling across the plateau of Cham- pigny, resembled nothing sod much as the smoke of an express engine Th.e racing cars were mere machines of fron and steel, and no pretense was made to secure com- fort for the drivers or engineers. They carried little or nothing ‘except spare tires and cans of petroleum. The arrangements were carried out like clockwork. Thirty Entries Did Not Start. There were about thirty persons who had entered who did not start, among them the American artist Dannatt. Many cheers were given as the automobiles made their departure. There was only one lady com- petitor, a handsome French woman named Gast, who was attired In a smartly made Waterproof costume. Foxhall Keene got away at 7 o'clock. He wore a blue serge suit, cOvered with a rub- ber jacket, and a gray checked cloth cap. “I don’t expect to win,” said Mr. Keene to the correspondent of the Associated Press, as he went to the ‘ting line, “but I am going for the sport of the thing. I never participated in a race ef this kind before. My autocar is quite new. I drove {t for the first time Tuesday, and I find the tension is terrible. My car ought to go 85 kilometers an hour, so apparently I stand a fair chance in the race; but I shall not get the best speed out of it, as I have not had sufficient experfence with it. These French crack chaffeurs will prebably beat me two hours during the first day’s run. Nevertheless, I mean to do ai best and win if possible.” M. Fournier arrived at Atsia- -Chapelle at 2:30 p.m., ahead of alt competitors. This place yi the end of the first. day’s run, 283 miles, ._ —>e-_—_ FATAL FIRE IN 4 HOTEL. at Kern, 4 al... Barns Thi Morning. BAKERSFIELD, Cal., June 2t—One man Hostlery dead, one missing and two dangerously in- jured constitute the casualties resulting from the burning of the Central Hotel at originated from the explosion of a lamp. Kern today. The fife ts supposed to have After the flames were subdued the body of George Clark was found. I. C. Burnger, who had recently returned from the Phil- ippines, 1s missing, and probably perished in the flames. Ed. Tibbett, a fireman, had his skull crushed. John P. Thornton was badly burned about the body. ——_++--___ BIG BATCH OF INDICTMENTS. Land Locators in Mentana Held by United States Grand Jury. HELENA, Mont., June 27.—The United States grand jury has made its final report, returning 102 indictments. They are almost all against land locators in the Missoula land district, and charging perjury in swearing that they filed upon lands for personal use, whereas they transferred them soon after securing title. The lands comprise about 15,000 acres, and were bought by R. M. Cobban, who afterward sold them to Senator W. A. Clark. The persons indicted include school teachers, ranchers, servant girls, and, in fact, all classes of people. It is for the recovery of these lands that proceedings were recently instituted by the government against Sen- ator Clark. ——_+++—_—_ SEVERE STORMS IN GERMANY. = Kaiser’s Estate Among the Sufferers From Destroyed Crops. BERLIN, June 27.—News received here today from Rominten, Prussia, shows that the whole of the Rominten district has been devastated since June 24 by hail- storms and cloudbursts, Emperor William's estate at Rominten hag been greatly dam- aged. His majesty today, upon receipt of the news, ordered that speedy relief be gent, and himself forwarded a large sum oe money to be distributed among the suf- erers. —_++-—_—__ CONSIDER WAR ABOUT OVER. Government Officials Quit Buying Horses for the Philippines. SEATTLE, Wash., June 27.—The apparent cessation of active hostilities in the Philip- pines has determined the government to cease the purchase of horses for use by the army in those islands. The horse corrall at Fort Lawton ia empty, and Quartermas- ter Ruhlin has announeed that no more purchases will be made in-eastern Wash- ington. The announcement was aceompanted by the statement that the transports Kintuck and Packling, the last of the’animal ships under charter to the govetnment. would be released on their arrival here; which is ex- pected to take place in the course of the next few weeks. —>-+-—_—_ LIEUT. E. E. DOWNES “KILLED. One Private of First Infantry Meets Similar Fate. : MANILA, June 27.—Lieut...Edward E. Downes of the Ist Infantry “and one pri- vate of that regiment have been killed in the southern part of the Istand of Samar. Capt. Woodburn (?) of the 29th Infantry has captured Samson's camp, in the Island of Bohol. Private Kraus of that regiment was killed and four men were wounded. Lieut. Minar has captured fifty-four in- surgents in the northwestern part of the province of Tayabas, Island of Luzon. The Army Register gives the name of Major Thomas C. Woodbury of the 19th Infantry, but oem not mention a ee Woodburn, * e BOER A’ ON BICHMOND. Fighting Lasted All Day—Retiread Be- fore 1 rcements. RICHMOND, Cape Colony, June 27.—A large fafce.of Boers, commanded by Ma- jan and Smit, attacked Richmond at day- break June 25. ‘The fighting lasted till SaaS Bene epee: een 08 be SE proach of British reinforcements. meaning of the word “prize,” ley said: “Obviously the word ‘prize,’ used three times in the latter portion of the section of the law which I have herein before quoted, means ‘ship and cargo.’ And the Justice Brad- Court Passes Upon Claims of Admirals } Be iso that ‘if the captured vessel or any Dewey and £: m3on, MANILA AND SANTIAGO HARBORS Destruction of Spanish Fleets and Capture of Property. ee JUDGE BRADLEY’S DECISION Justice Bradley, sitting in Equity Court No. 2, today rendered a decision in the cases of Admiral George Dewey and Rear Admiral William T. Sampson, who recent- ly filed claims for prize money in connec- tlon with the capture and destruction of the Spanish fleets in Mantla bay, May 1, 1898, and outside ofj Santiago harbor July 8 of the same year, and the capture of miscellaneous property by both officers on the dates mentioned. The decision was a very long one. It held that in the case of the Manila bay incident all the ships which were sunk in the engagement and afterward raised and placed in the United States naval service constituted good prize property, and that the captors, including Admiral Dewey, his officers and men, were entitled to a sum of money equal to one-half of the value of such ves- sels. These naval officers and men were held to be entitled to one-half of the value of the guns, munitions of war and other property taken from the Spanish vessels which were sunk and destroyed in the en- gagement. It was held by the court, how- ever, that the officers and men were not entitled to prize money for property cap- tured on shore, nor to money in connection with the capture of cascoes and other har- bor vessels subsequent to the engagement. In the case of Rear Admiral Sampson, his officers and men prize money was claimed for the capture cf t)> @panish cruiser Maria Teresa and other Spanish cruisers, and also for the capture of guns, naval stores and other property taken from that and the other vessels in Ad- miral Cervera’s squadron. The court held that although the Teresa was lost at sea after being raised at Santiago it still con- stituted good prize property, and that the other vessels captured. with all property aboard should be considered as the same. Admiral Sampson and his men were there- fore held to be entitled to a sum of money equal to one-half the value of such ves- sels and property. Prize and Bounty. In rendering his decision Judge Bradley referred at length to the differences ex- isting between money obtainable as prize monéy and that which might be claimed as bounty money. He said that the fact that several of the vessels which were sunk and afterward raised and placed into use as United States naval vessels was evidence that the captors were entitled to prize money sought to be recovered. The official title of the cases was as fol- lows: “George Dewey versus the Don Juan de Austria, Isla de Cuba, Isla de Luzon, Mindanao and other vessels captured and sunk in Manila bay May 1, 1898. William T. Sampson versus the Infanta Maria Teresa and miscellaneous stores and sup- pues captured in the battle of Santiago ay July 8, 1898." The Court's Opinion. The decision in part 1s as follows: “On the part of the United States it 1s conceded that some of the property was captured under such circumstances as to entitle thé libellant to proceed for its con- demnation as prize. Such property includes the Spanish sea-going vessels, with the property found on board of them and equip- ment belonging to them, captured in the battle of Manila bay or soon thereafter in the course of active naval warfare. But the right to condemnation is denied of property taken from vessels sunk or de- stroyed in that engagement for the sinking or destruction of which vessels the libellant and the officers and crew under him have claimed and received bounty under the statute; of three Spanish vessels of war, that at the close of the battle were run into shallow water near shore and there sunk by opening their sea valves; of prop- erty captured at shore at the naval arsenal, and of some non-sea-going craft, a species of lighter called cascoes, the property of private individuals, Questions Raised. “Four distinct questions are thus raised. It is agreed that the court in passing upon these ‘uestions may confine itself simply to the question of prize or no prize, and that all questions of value and dis- tribution may be reserved for disposition by the auditor of the court in the first in- stance. Judged by the standard of value the first question is whether the three ves- sels of war are Mable to condemnation. They have not nor has any other property for which condemnation is prayed been brought into court. It is conceded that these vessels are now in the service of the United States, and that the other property was appropriated to its use, so that none of the property can be sent in for adjudica- tion. “The Secretary of the Navy having failed within three months after the cap- ture to designate a district for the institu- tion of proceedings this action was brought in this court. “In behalf of the United States it is urged that these vessels, so far as the act of the United States fleet affected them, were sunk in Manila harbor, May 1, 1898; that such was the status then, and that the subsequent act of the Navy Department in raising them and repairing them did not affect or change that status. And it is insisted that the Ifbellant is not entitled to have an adjudication in prize, but is only entitled to bounty under the provisions of the law. Matter of Bounty Discussed. “The special attorney for the United States has suppo-ted his contention most ably and ingeniously by brief and argu- ment, in which he goes into the history of bounty legislation, and shows that the libel- lant officially reported these vessels as de- stroyed, and that for other vessels also re- ported destroyed, shown by the testimony to be susceptible of being raised, although to not such good advantage, the libellant thas claimed and collected bounty. It is true that they were sunk and that efforts ‘were made to destroy them by burning, but the burning was only partial, because the vessels were submerged and the sink- ing was only temporary and not beyond recovery. That they were raised and re- paired and are now in the service of the United States are facts that seem to prove that they were not destroyed but cap- tured. The Cavite arsenal was captured immediately after the battle of Manila, and these vessels, whose principal injuries were not from gun fire but from flames, came into the possession of the navy. “If anything were needed to settle the question whether these vessels were cap- tured, or ‘sunk or otherwise destroyed,’ it might be found in the certified copies of their appraisement furnished by the Sec- an a of the Navy upon the seas of the court Word Prise Defined. Whether property captured on land by naval force operating from the sea is law- tul prize has never been determined by the highest court in the land. On this point Judge Bradiey cited decisions by Justices of the captured property is not in con- dition to be sent in for adjudication, a sur- yey shall be had,’ refers to the same sub- ject, the ship or any other part of the cargo.” After discussing the various sec- tions of the law on the subject of prize money and the condemnation of property the court held: “Manifestly the word ‘prize’ and the words ‘prize property’ wherever used in the several sections mean ship and cargo or ship or vessel, or the cargo or stores carried by her. The statute in the nine sections does not by any word or words indicate that other property than vessels in cargo shall be subject to prize. In the latter part of section six that is most plain- ly shown, where, after requiring of the prize commissioners the return to court of documents, papers, evidence and their own inventory of the prize property, the section concludes: ‘And if the captured vessel or any of its cargo or stores are such that in their judgment may be use- ful to the government in war, they shall Sted the same to the Secretary of the avy. “There 1s no apparent legislative purpose to enlarge the scope of ‘prize,’ as fixed by the earlier sections of the law. The fact that it awards to the captors the net proceeds of the prize if of equal or superior force to the vessel or vessels making the capture, and one-half to them and the other half to the United States {f of inferior force, gives added certainty to the claim that prize means ‘ship’ or ves- sel and cargo.”" Property Captured on Land. In conclusion, Justice Bradley said: “I am of the opinion that property cap- tured on land was not intended to be made maritime prize, and that it is excluded by the terms of the act from which the right is sought to be derived, and that the libel- lant is not entitled to adjudication in prize of the appraised value of such property appropriated by the United States. This renders unnecessary the consideration of the effect of the treaty with Spain upon the rights of the libellant. The next question is whether the libellant is entitled to con- demnation in prize of the value of property taken from vessels sunk or otherwise de- stroyed. In behalf of the United States it is objected that inasmuch as the libellant has received bounty for the destruction of these vessels he is not entitled as prize for property caken from them; that bounty is ‘substitute for the prize itself,’ something given ‘in Neu of it.’ Bounty is given in lieu of prize only in the case of a ship or vessel of war belonging to an enemy which is sunk or otherwise destroyed, or which it may be necessary to destroy in consequence of injuries received in action. “It is proportioned not to the value of the ship or of its armament or munitions, but to the number of persons on board of her at the commencement of the en- agement. While it may be true that the original idea was that the amount so ascer- tained would be a fair substitute for the prize itself, and such idea may not have been far wrong in the days of wooden vessels of war, yet in these days of steel- armored cruisers 2nd battle ships, with ail of their explosive appliances, the highest amount of bounty allowed is very incon- siderable compared with the value of the ship sunk or destroyed. Not an Equivalent. “It is not an equivalent for prize. There is, therefore, no reason arising out of the amount paid as bounty that would justify the claim that in fairness, such reward should be exclusive. The reward is appar- ently bestowed for the injury done to the enemy in the loss of fighting power. It matters not how valuable may be the ap- pliances and outfit that go down with her or that are involved in her destruction. If the vessels were captured the cargo or out- fit or appliances would enter into the esti- mate of the total value. I find nothing in the statute to prohibit the condemnation in prize of property captured or taken from ships sunk or destroyed, in addition to bounty paid for the destruction of the ship, and I am of the opinion that it should be allowed. “Clearly neither cascoe nor floating der- rick was a ship or vessel in the sense in which those terms are used in the act of 1864. Such only with their cargoes or stores are recognized a lawful prize. True it is that through the power of the navy they were appropriated to the use of the United States, and that the government has had the benefit of the appropriation, but that does not determine the right of prize. That right, if it exists at all, exists by reason of the statute giving it.” The decision was some 5,000 words in length. It took Judge Bradley about an hour in its delivery. The government was represented by Charles C. Binney as special counsel, and the Ibellants by Attorneys Herbert & Mi- cou and Charles & William B. King. Se SALARIES INCREASED, Promotions in Office of First Assistant Postmaster General.| Mr. William M. Johnson, §rst assistant postmaster general, announced promotions in his office today, to take effect July 1, as follows: Cyrus M. Potter, Pennsylvania $1,400 to $1,600; Mrs. M. J. Lovejoy, Missis- sippi, $1,400 to $1,600; John G. Price, Ohio, $1,400 to $1,600; Terrence C. Sullivan, Penn- |, sylvania, $1,200 to $1,400; J. B. Derrick, Mis- sissippi, $1,200 to $1,400; Harry S. Barnes, New York, $1,200 to $1,400; Mrs. H. G. Sydenham, Pennsylvania, $1,200 to $1,400; Geo. W. Jones, IMlinois, $1,000 to $1,200; Mrs. N. M. Culver, Ohio, $1,000 to $ J. S. Wyckoff, Michigan, $1,000 to $1,20 F. E. McLaughlin, District of Columbia, $1,000 to $1,200; Mrs. Carrie E. Tretler, Maryland, $900 to $1,000; Miss M. Ander- son, Pennsylvania, $000 to $1,000; Adam C. Perkins, Georgia, $900 to $1,000, —_—_——_- e+ ___—__ Personal Mention. Mr. Aaron Sommers has gone to Atlantic City to spend balance of summer, and the month of September he will spend in Buf- falo and Canada. Judge Scott of the United States branch of the Police Court today received a tele- gram announcing the death of his brother, Dr. W. 8. Scott of Evanston, Il. Dr. Scott died at the residence of his son, at Spring- field, Ill. February 27 last Judge Scott re- ceived notice of the death of another brother, Dr. D. W. Scott, of Oklahoma City. —_—_____-e. The Ingalls Not Seriously Hurt. The War Department has been informed that the transport Ingalls has been raised and floated and that no serious damage has been done to her as a result of the accident in the dry dock in New York. —_—_—__—-e Movements of Army Transports. Acting Adjutant General Ward has re- ceived a cable message from General Mac- Arthur saying that the transport Samoa arrived at Manila yesterday from San Francisco, and that the transport Lenox has sailed from Manila for San Fran- cisco. +o —____—_ No Immediate Reply From Russia‘ The Russian charge d'affaires, Mr. de Wollant, was in conference with the State Department officials today. It did not, however, lead to any development in the tariff issues between Russia and the United States. There is not expected to pe any ir. Thompson Slightly Better. prone grapes ohana today in the condition of Mr. John W. Thompson. He was resting more easily than on yester- 'Btory, Betts and Miller. In explaining the | Gay and seemed to be somewhat stronger. -_ MANY BILLS PASSED Pennsylvania Legislature Adjourns After Long, Arduous Session, ELECTED M. 8. QUAY U. 8. SENATOR Much of the Legislation in Interest of Charities. A NEW APPORTIONMENT ie HARRISBURG, Pa., June 27.—The legis- lature of 1901 adjourned at noon today after having been fn session since January 1. With the exception of the session of 1897, which closed July 1, and the extra session of 1883, the session was the most protracted in the state’s history. The opening was marked by a bitter struggle for United States senator to succeed Colonel M. 8. Quay, who failed of re-election at the pre- vious session by reason of a deadlock. The Quay republicans organized both branches ofthe legislature on January 1, and fifteen days later Senator Quay was elected on the first ballot over Colonel James M. Guffey of Pittsburg, democrat, and a number of “favorite sons’ named by the anti-Quay re- publicans. The legislature passed almost six hundred bills, of which 297 have been approved by Governor Stone; more than 200 have not yet been acted upon; seventeen were vetoed and fourteen recalled. Nearly all the bills which have not been acted upon are appro- priations to private charities. The total appropriations were about $27,300,000, of which $11,000,000 was for the support of the Pennsylvania schools, $4,000,000 to com- plete the capitol, $1,000,000 to restore the deficiency in the school fund, $300,000 for a state homeopathic insane hospital and $110,000 for a free hospital for consump- tives. An appropriation of $35,000 was made for a Pennsylvania exhibit at the Pan-American exposition and a like amount for the Charleston exposition. Proposed Constitutional Amendment. As a result of legislation enacted by the session just closed the people of Pennsyl- vania will vote at the next general election on two proposed amendments to the con- stitution. One is designed to permit the enactment of a law for the use of voting machines at elections similar to those used in New York, and the other provides for personal registration in cities. Owing to the failure of the republican and demo- cratic leaders of the state to agree on @& reform. bill satisfactory to a majority of both branches of the legislature no change was made in the present ballot system. A new congressional apportionment to conform to the federal apportionment, by which Pennsylvania will hereafter have thirty-two representatives instead of thirty, and a judicial apportionment by which the number of districts was increased from fifty-three to fifty-six and the number of judges in several of these districts in- creased passed. Some of the Bi Passed. Aside from the bills providing for the ecnstruction of underground and elevated railways much other legislation of general interest was enacted and approved by the governor. A stringent law to prevent the sale of oleo has been written on the statute books. Laws have also been enacted which will make it unlawful for first cousins to marry; provide for the election of sixteen instead of eight mine inspectors in the an- thracite regions; require mines to be fitted up with medical and surgical supplies, to be used In emergency cases; to levy a tax of 25 per cent on the face value of store orders, passbooks, etc., and permit distill- ing companies to be incorporated. The number of factory inspectors was in- creased from twenty to twenty-five, the establishing of township high schools was authorized, boroughs and townships were allowed to establish manual training schools, a new fish law was enacted, the soldiers’ burial act was extended to Span- ish-American soldiers, a department of forestry was created and the number of peremptory challenges in the trial of felony cases increased. —__+++___ AMERICAN SHOES PREFERRED. English Product s Not Their Style and Symmetry. In a report to the State Department, Con- sul General Stowe at Cape Town advises United States manufacturers who send boots and shoes to South Africa not to at- tempt to duplicate the English product, for the latter has not the style and symmetry which characterize the American article. As an example of the superiority of Amer- ican shoes Mr. Stowe states that a South African merchant rece! sold a lot of samples of both Ame and English shoes, but while the American styles sold rapidly, the English makes will need the auctioneer’s flag. Mr. Stowe also expresses regret that the imports of leather into South Africa from the United States, which were recently very promising, have practically ceased, owing to the home demands of the American market. The consul general states that American shippers of corn to South Africa will suffer the loss of their trade unless their corn is put aboard ship dry and in good condition, as complaints have been made that it ar- rives in South Africa In a bad state, and Argentine corn is making good headway in South Africa. ——_——--+ +____ WAR DEPARTMENT CLERKS. There Will Be Few, if Any, Changes With the New Fiscal Year. There is authority for the statement that there will be extremely few, if any, changes in the clerical force of the War Depart- ment at the beginning of the new fiscal year commencing next Monday. There has been no reduction in the appropriations for salaries, &c., and consequently no occa- sion for a reduction of force on that ac- count. This statement applies to the tem- porary force as well as to the regular force. There wilk._ be a few promotions due to vacancies caused by resignation or death, but no reductions or discharges. Acting Secretary Sanger says that the condition of the work.of the department at this time does not justify any reduction of the force. In consequence of recent ex- tensive military movements, including the muster out of volunteers and their replace- ment in the Philippines by regular troops, the work of the department at this time is extremely heavy and is likely to continue so for many months to come. ——_———-2 + __—__- FOR DEFENSES OF NEW YORK. Land on P! Island Bought for Use as Military Reservation. The government has purchased 640 addi- tional acres of land from the estate of Abram 8. Hewitt on Plum Island, New York, for the sum of $64,7¢ This land has been acquired for use as a military reser- vation, and will be improved by the imme- diate construction of barracks and fortifi- cations. The military post on Plum Island, in conjunction with Fort Wright, directly opposite = Fisher's Island, will form the chief link the chain of defenses York city from Long Island sound. ‘one ie = pocted Mab oh aeeaete eae Hell Gate, where ig shy fort at Willetts Point guard the

Other pages from this issue: