The San Francisco Call. Newspaper, December 11, 1895, Page 8

8 THE SAN FRANCISCO CALL, WEDNESDAY, DECEMBER 11, 1895 FIRST VICTORY FOR THE SOUTHERN PACIFIC, The Federal Government Is Allowed to Inter- vene. DECISION OF THE COURT. | Rights of the United States Under the Thurman Act Defined. A CENTRAL PACIFIC CREDITOR. | The Court Holds That the Interven- tion Will Not Affect the General Issue. The Southern Pacific Company yester- | day drew first blood in its legal conflict | e with the Railroad Commissioners. 1 e That was about the eftect of the decision | and t 1e United States | general provision in the same section reservin, of Judge McKenna of th Circuit Court in allowing the Federal Gov- ernment to intervene in the proceed of the railroad to enjoin the Cor from enforcing their resolution to reduce freight rates over the company lines and leased connections in this State. The decision was based on the Thurman rissioner: - brought by Ames against the Union Pacific Railrond Company very much on the same grounds as the present action. The learned Justice said: ““It is insisted that the Union Pacific Rail- way Company cannot be subjected to the pro- isions of this statute, because it is a corpora- T Congress, and as such in the arge of any of its functions is subject only e control of that body. The general question of the power of a State in respect to rates for local freight over a corporation or- ganized under the laws of Congress was con- sidered in Reagan vs. Trust Company, 154 U. S. 418, 14 Sup. Ct. 1060, and it was there held that the mere fact that the corporation was 50 organized did not exempt it from State control in that respeet. It was conceded in the opinfon in that case that Congress could wholly remove such & corporation from State hut it was held that, in the absence of something in the statutes indicating an inten- tion on the part of Congress to so remove it, the State had the power to prescribe tne rates for all local business carried by it. Of course, that decision is controlling. Itis true there is one provision in the Union Pacific act which tends to show an intent on the part of Con- gress to retain to itself full control over all rates, and that is found 1n_the eighteenth sec- tion of the act (12 Stat., 497), as follows: ““And be it further enacted, that whenever it appenrs that the net earnings of the'entire road and telegraph, including the amount allowed for services rendered for the United , after deducting all expenditures, in- cluding repairs, and the furnishing. running hi th | ana naging of said road. shall exceed 10 per centum upon its cost, exclusive of the5 per centum to be paid to the United States, Congress may reduce the rates of fare thereon. if unreasonable in _amount, and may fix an lish the same by law.”" ere is, in these words, it will be seen, a inl resorvation of the power to fix rates; when this is taken in_connection with the the right to “add to, alter, amend or repeal thisact,” there is much force in the conten- tion that Congrass intended to reserve to itself, it had the power to do, the sole and absolute rol of all the rates to be charged by the company. But I am not fully satisfied that this language warrants such_a conclusion. Of course if the Union Pacific Railway Company is not exempt from the operation of this act no other compeny i JUDGE McKENNA READING THE ERN PACIFIC DECISION AGAINST THE RAILROAD COMMISSIONERS. IN THE CASE OF THE SOUTH- [Sketched by @ “Call” artist.] act of 1878, giving the Government a prop- erty interest in the revenue of the Central Puacific, an interest which it had a right to protect; and further that the Government has rights as 2 mortgagee. ] vas quite a large number of promi- present to hear the de the court, though it was generally sion of believed among the lawyers that it would | x- Judge Hayne, W. W. Foote and Attorney Daily— was early on hand. The Attorney-General did not remove i dently antic States Di; postponement of the case. of W. F. Herrin, chief of the law depart- ment of the Southern ific, peered from behind a wall of affidavits, which he had already prepared to fire at the defense. J. C. Martin was associated with Mr. Herrin. Judge McKenna’s opinion is as follows: The court (orally)—In passing upon tais mo- tion of the Government to intervene Ican only indicate my views, and not elaborate them. The original bill is by the Southern Pacific Company to restrain the execution of an order and resolution of the Board of Railroad Com- missioners of the State of California fixing certain rates on grain. The bill is voluminous and need not be quoted. The United States has made a motion to in- tervene, and presents a bill of intervention to support the motion. It alleges that it is a creditor, having a lien under the act of July 1,1862, entitled “An act to aid in the con- struction of & railroad and telegraph line from the Missouri River to the Pacific Ocean, and to secure to the Government the us for postal, military and other p under the several acts amendatory g fora | The cold face | supplemental thereto, upon the Central Pacific | Railroad, for $£27.000.000 and interest thereon, amounting 1o about £45,000,000. That by section 18 of said act it is claimed that the United States has the sole right to regulate freights and fares That under the sct of May 7, 1878, called the Thurman act, the acts of 1862’ and_ 1864 were amended to require the company on or before the first day of February of each year to pay into the treasury of the United States an amount ageregating 25 per cent of the net earnings of said road, defined in said act. It further alieges that the company has out- standing first mortgage bonds samounting to $27,000,000 which were given priority over those of the United States. That complainant is a corporation under the laws of Kentucky and lessee of the Central Pa- cific Railroad, and_bound to pay out of the earnings of said railroad the sum required to 6id under the Thurman act. That the lease was made without the consent of the United States. Then follow the allegations of fixing the rates, etc., and the unreasonableness of them, and shows that the Central Pacific Railroad Company owns about two hundred and fort odd miles in California which has received ai Teduced rates cannot be adopted,” to quote the bill, “or put or continued in effect upon said Central Pacific Railroad without serious or ir- reparable injury to and destruction of the roperty and property rights of said Central Pacific Railroad_Company, and of the United States as its creditor, and as & lienholder upon | the property thereof.” The bili further alleges thet the property has no value except as railroad property, and in the revenue from passenger and ireight rates. The other allegations it is not necessary to quote. On these allegations the United States contends: 1. That it has the exclusive right to regulate rates, and hence the Railroad Commission of California is without jurisdiction or power. 2. That as second morigagee it has an inter- est which entitles it to intervene. 3. That the payment of 25 per cent of net earnings, under the Thurman act, gives it such interest as entitles it to_intervene, and as part of this contention it is further urged thst the Act commands action on the part of the Atior- ney-General to secure the purposes of the act. All these contentions are opposed by the re- spondent Railroad Commissioners. To support the first contention the District Attorney relies on section 18 of the act of 1862, which it is not necessary to read as counse are familiar with it. This, however, reserves the right to regulate only in the event that the earnings of the railrosd exceed 10 per cent of its expenses. But the question is not whether Congress has the right under this section, or without it under the general power. to alter and amend the act of 1862 and that of 1864, but whether the power is exclusive, There is no direct adjudieation upon this oint. In the Ames case, 64 Federal Reporter, 70, the point was considered by Justice er, but not explicitly decided, yet he entertalned jurisdiction and rendered judg- ment. The Ames case is familiar. It was an action It may be said in passing that possibly the Central " Pacific Railroad Company is. 1 say “possibly,” because, in the funding cases, Chief Justice Waite decides that the Government has the same power over the Centrsl Pacific Rail- road Company as over the Union Pacific Rail- rond Compauy, put with the limitation ex- | yressea by the learned Justice that the regu- ation of the administration of the affairs of the company, in reference to the debts created under the authority of the United Staies, must not be inconsistent with the'requirements of the original State charter, as moditied by the act accepting what had been done by Congress. 1do not know that I quote the exact language, but thet is the substance of it. Justice Brewer has had occasion to give these | ects attentive consideration on account of adicial eminence, and I may well adopt doubts in so serious a matter as the curtail- ment of the sovereignty ot the State. In the case of the United States vs. the Union Railroad Company, 98 U. S.,619, Justice er, speaking for the court, said: *Railroad Company vs. Peniston, 18 Wall., 5, shows that the company is Dot & mere creature of the United States, but w it owes duty to the Government, the performance of which may, in a proper case, be in force, it is still a private corporation, the same as other railroad | companies and is like them subject to the laws of taxation and the other laws of the State in which the road lies, =0 far as they do not de- stroy tueir usefulress as an instrument for Go ment purposes.’” What is meant by Government purposes is not explained. But if it mean as a military and post road, which wes the inducement of the grant to the company, or as a common carrier, it would seem its usefulness as a Gov- ernment instrument could not be seid to be destroyed by the exercise of the conceded legislative power of the regalation of rates. And there is remedy against abuse, both in the requirement that the regulation shall be rea- sonable and in the exercise of the reserve power of the United States to assume the mat- l‘!rllnd remove the corporation from State con- trol. However, I do not care to pass decisively on this point, as it may come up again, and as the view I take of the other grounds of the motion renders it unnecessary. The second and third grounds of interven- tion, 10 wit: the rights of the Government as a morigagee, and its rights under the Thurman act, both depend upon the Government's rela- tions to the company as a creditor, and the ex- tent of interest 1s that the rates fixed by the defendant shall be reasonable. This being so, I shall only consider the Thur- man act as the ciearer ground to relief. Itis objected generally by counsel for the Commis- sioners that no case can be cited which has sustained an action by one not having tho legal title. 8., 8623 n the Texas case (154 U. the com- plainant was a trustee in a trust deed, exe- cuted by the railroad company to secure a sec- ond series of bonds aggregating %7,000,000. There was a prior issue of over 7,000,000, se- cured by a conveyance to others as trustees. The deed, therefore, was only security, and it was & second and subordinate one besides. In the Ames case, 64 Federal Reporter, 165, the complainants were stockholders only. In Williams vs. Morgan, 111 U. S., 684, the | suit was to foreclose a mortgage on a_railroad, | and the intervenors we from the Government, and that “said proposed | raiirond hoey —Trthe Gl mply holders of the reilroad bonds. In the twofirst cases the right of complainants to sue was not raised; it was taken for granted. In the last case the right of the intervenors was contested, and Justice Bradley, sperking for the court, said, after re- citing the acts: “From this recital of the facts in that case it appears that the bondholders were permitted, as Williams and Thomson (also bondholders) were in the present case, to contest the claim sought to be established as prior to the mort- | gage. The!-nrrnner was 110t allowed to con- test the claim, because he had 1o right to do 50 by virtue of any stipulation made either at or before the sale. Then proceeding, he says: “This, as it seems to us, placed the purchasers in the present case in a very different sition from that which Swann occupied in the cose cited. But, if we are mistaken in thisview as regards their position as purchasers, there can be no doubt that as bondholders they had 4 right under the leave of the court (which \'n given to them and which could not have been properly refused) to oppose the charges and allowances in question, and to appeal from the order by which they ere allowed. *‘We think that the position of Williams and Thomson made them quasi parties in the case | and brought them within the reason of the | former cases decided by this court in which persons incidentally interested in such branch ofacase have been aliowed to intervene for the purpose of protecting their interest;and even to come into this court, or to be brought here on nvPell, when a final decision of their ;l%h! or claim has been made by the court elow.” The learned Justice then quotes a number of cases variously illustrating the principle. The principle announced, therefore, is “inter- esf in some branch of a cause.” Has the Government an interest under the Thurman act_in some branch of this. cause? Against an affirmative answer to this question, which seems at most to answer itseli from a consideration of the act, counsel for the Com- missioners urge that the act was not intended 10 create a security, but its recitals seem to negative this view. 1need only quote one of them, although the others are illustrative. It is as follows: “Whereas, the United States, in view of the indebtedness and operations of said railroad companies respectively, and of the disposition of their respective incomes, are not, and can- not, without further legislation, be secure in thelr interests in and concerning said respec- tive railroad and corporations, either as men- tioned in said acts or otherwise.” Hence the act itself seems to_declare that it is intenaed as a security. Besides, the view of counsel for the Commissioners is also nega- tived by every provision of the act and the his- tory of the ‘legislation as to the railroaas. What the Government thought of the security of what counsel calls the personal relation of the Government to the companies is expressed in the legislation passed on and held invalid in the United States vs. the Union Pacific Rail- road Company. That, counsel will remember, was an amendment to an appropriation bill to authorize the Attorney-General to bring a suit in equity in the name of the United States against the Union Pacific Railroad Company and its stockholders, whose stock had not been paid for in full in money. who may have re- ceived as dividends or otherwise portions of the capital stock of said road, or the proceeds or avails thereof, or other property of said road unlawfully and contrary to equity,and to com- pel payment for sald siock and the collection and payment of moneys and the restoration of property or its value to said railroad corpo- tion or to the United States, whichever shall in equity be entitled thereto. There were also provisions for the future government of the company, as officers, inkibition of the issuance of new stock, or mortgages created without the consent of Congress; also enacting that the corporation shall be subject to the bank- rupt law, and shall be subject to a mandamus ;0 compel it to operate its road as required by ay. By & prior decision (91 U. 8., 72), it was held that the company did not have to pay interest until the bonds issued by the Sovernment matured, except so far as the act enabled the Government to withhold one-half the compen- sation for transportation performed for it and 5 per cent of the net earnings. Out of this situation and on account of the action of the railroads grew the Thurman act, and its cause and justification appear in the remarks of Chief Justice Waite in the sinking fund cases. (99 U. S., 728, The Thurman act, nowever, as I have said, is self-explanatory. Section 1 defines net earn- ings. 1 will notread it, asit is very long. Sec- tion 2 requires that ali the compensation which may be due for transporiation per- formed for the Government shall be withheld. Section 3 establishes a sinking fund. Section 4 provides of what it shail be composed, net enrnings aggregating 25 per cent, besides com- pensation for transportation. Section 5 remits payments when income falls below a suffi- ciency to pay interest, etc.—a very significant sectio: Section 6 requires that no dividend shall be paid. Itis: “That no dividend shall be voted, made or paid for any or to any stockholder or stock- holders in either of said companies respect- ively, at any time when the said company shall be in default in respect of the payment of either of the sums required as aforesaid,” and fixes the penalty for a violation of the section. Section 9 makes all payments liens on the property, also a very important and significant section, showing conclusively that the act was intended as security. Its importance justifies its quotation in full: “‘Sec. 9. That all sums due to the United States from any of said companies respectively, whether payable presently or not, and all sums required to'be paid to the Urnited States or into the treasury, or into said sinking fund under this act, or under the acts hereinbefore re- ferred to, or otherwise, are hereby declared to be lien upon all the property, estate, rights, and frenchises of every desgription granted or conveyed by the United States to any of said companies respectively or jointly, and also upon all the estate and property, real, personal and mixed, assets, and income of the said sey- eral railrond compan: pectiveiy, from whatever source derived, subject to any law- fully prior and ]wu'ammlnl mortgage, lien or claim thereon. But this section shall not be trued to prevent said companies respect- ively from using and aisposing of any of their property or assets in the ordinary, proper and lawful course of their current business, in good faith and for valuable consideration.” Section 10 provides for suits by the Attorney- General. I may say in passing, the only part of section 11 is that which releases from technicality the procedure of the suits. The powe: of the At- torney-General 10 sue—that is, to take steps to rotect the interest of the Government, would e complete without the section. Scetion 11 provides for forfeiture. 1 think the act is very plain and gives a di- rect and substantiel interest to the Govern- ment in the revenues of the road. Indeed, it is only in deference to the earnestness of coun- sel, and out of respect for their opinions, that 1 have given it so much attention. Some reflections have been cast upon the motives of the Government in intervening. These, of course, are not for my consideration. It is conceded 'that the District Attorney is only obeying instructions, and it is very ciear, if he wes permitted a discretion s to the man- ner of procedure, intervention in this suit is | less invidious and less embarrassing, if his action beinvidious or embarrassing at all, than another and original action. £ But what motive ¢ ¢ Government have 2 tends, and which I have expresse the right to urge it is not exclusive in the overnment. The railroad company may urge , and no other issuc can be changed, or the | proof of it lighiened by the Government's a sence from the case. ; With or_without it, the complainant prove its bill. The Government has no | power in this court than other suitors. or without the aid of compininant it must prove its bill. Icannot conceive of # case in { which the intervention the conditions of the ca: vention of the Government will in this case. Indeed, in m that T deemed ‘1t more important to render a the way I shiould decide. 1 have considered this matter from general principles only. It is further obj-ctad to the Government's bill that itdoes nor show any detriment ar ¢ to the Government {rom the regulation of the rates. I think this point is well taken. How to deal exactly with it I have been somewhat puzzled. I might deny the motion without prejudice 1o ‘the right of the Government to apply again. That, how- ever, would only have technicality to reee mend it. I think it would be juster and bette to allow the bill to be filed, giving the Govern- ! ment time to amend it, 1f ti overnment can, and it is elaimed that it can. The case went over to Monday, Jan- uary 6. United States District feels that Judge McKenn: | taken from him all the stigma which, as he thinks, has unjustly been associated with his course in" the intervention pro- ceedings. All the intervention amounts to, he said last night, is an attempt in the nature of a query, as it were, on the part of the Government as to what rights it may have in the matter, considering that its interests as second mortgagee of the Central Pacific are invoived, and the object of the intervention is to have its status judicially determined. He remarked: Congress has provided that 25 per cent of the Central Pacific’s income shall go to a sinking fund for the benefit of all the creditors, pri- vate parties as well as the Government. 1f the reduction of rates ordered by the Railroad Commission, as the Southern Pacific contends, would render the company unable to place the 25 per cent with the sinking fund, then the interests of the Government as a creditor are threatened, and what other thing can 1 do as District Attorney but to make an effort to ascertain just where we stand and try to pro- tect the interests of the Federal Government? Under section 18 of the Thurman act Con- gress may have the right to regulate rates. We want to know just what Congress can do in this matter, or how far a Stare Government may go. We are interested to the extent of about £90,000,000 in the Central Pacific's aided road from San Jose, and if the Raiiroad Com- mission will leave out the 241 miles of the Central Pacific in this State from San Jose to the eastern boundary of California I will sim- ply sit down and write to the United Siates Attorney-General at Washington that we are no longer interested in the case. The Railroad Commission ml&do as it pleases with all the t‘nner lines in the State, at least I suppose t can. Attorney Foote 's decision has James Mc)l. Shaiter’s Estate. Julia Shafter Hamiiton has applied for the distribution of the estate of James McM. Shaf- ter. The estate is valued at $792.161 90. There are admitted claims against it from va- rious sources, umong them being the claim of Myles O'Connor for $200,000 on a note, a claim of the Leland Stanford estate for $45,000 and & claim from Wells, Fargo & Co. for $70,- 000. Mrs, Hamillon wants tiese claims paid and the estate partitioned off. e Olympic Injuries. As a result of the severe contest with the Butte giants two of the Olympic men are not able to Flly with their team in the charity game with the Reliance eieven next rday afternoon. Porter, the tackle, has two slightly fractured ribs, and Theurkauf, the halfback, 8 broken collar bone to care for in order that both men may no: have to stay outof the Christmas battle with Butte. .- OrL and water color outfit for painting, sets of mathemadcal and drawing instruments make acceptable presents for boys and girls. Sanborn, Vail & Co. have the best assortment in town. Open evenings. - v will change | judgment, it changes it so little | quick decision on my first impressious than | JAPANESE COMPETITION, The Manufacturers Wrestling With the Cheap-Goods Question. MR. SONNTAG'S ABLE REPORT. A Move Made to Call the Attention of Congress to the Threatened Danger. The board of directors of the Manu- facturers and Producers’ Association yes- terday took up the matter of the dangers arising from the importation of cheap Japanese-made ¢oods. At the last meet- ing Messrs. Sonntag, Saroni and Sproule were appointed as a committee to confer with the other commercial bodies of this City and ascertain if it would be advisable to call a mass-meeting to discuss the situa- tion. If at the proposed mesting the sen- timent was that the industries of this coast and the TUnited States were threatened, a nvetition should be sent to Congress from the business men of this City calling attention to the impending danger and asking for Government relief. The committee failed to carrv out its instructions because of a difference of opinion between Committeemen Sonntag and Saroni. Mr. Sproule was sick and un- able to attend to the business. As a re- sult of their differences of opinion the two decided to present to the board per- sonal reports upon the question. ¥ Sonntag’s report is as follows: Referring to the matter of importation by the United States of goods manufactured in the Japanese empire, I would say that the press of this State has taken the matter up pretty thoroughly and columns have been de- voted to it pro and con. Id e 10 particularly dwell upon an article published in THE CALL, December 8, written ¥ & promivent citizen of this commonwealth, in which was stated that ‘‘the Japanese were not original but were imitative, and referred 1o the last war between Japan and China, where the tactics pursued by Japan were those employed in Germany.” Triat Germany to-day is recognized as being the most thoroughly equip&ml nation for warfate in the world is conceded by the highest military authorities, and the Japanese were fully alive to the situa- tion, and by employing German natives they, conquered. Their navy is modern as “far s their vessels go. They have only within the past fifteen yours adopted laws of modern civilization,and what is the record ? Astounding. The article further stated that a nation inferior in thought and educa- tion conld never compete with the civilized nations of the world. | Tsay it is only aquestion of a few years when Japan will be recogaized as one of “the power- ful nations of the earth, and her force will be felt. Itissaid that they are a nation of only 40,000,000 souls; that the machinery within the United States and England is equai to $00,- 000,000 people. This statement is appalling. What is i0 become of the American workman with such figures staring him in the face, and the little brown man to contend against? I could go on with this subject a great deal longer and enter into details, but I do not | deem it necessary, for I do believe, my fellow- directors, that you see the necessity for prompt act.on on our part,and I would suggest that a4 committee of two be appointed from our board to confer with a like committee from the Chamber of Commerce with & view of holding a mass-meetinz in this City before February 1, 1896, to present to the Congress of the United States a petition to have Congress | appeint & commissio to fully investigate this Japanese question, both as o manufacture and immigration, and urge bur delegation in the United States Senate and House of Representa- tives to frame a bill covering the provisions in- corporated within the petition and have this amission report its conclusions to the pres- Congress or the one to convene in Decem- ber, 1896, and its recommendations to avert this evil; and, in conclusion, I firmly say that it is the duty of this association to take the in- itiative in this movement. Mr. Saroni’s report was in substance that he is opposed io the association tak- ing up the anti-Japanese cheap goods movement, as it is foreign to the objects for which the association was organized. It is a matter, he maintains, that properly belongs to the United States Congress, and { he added that the members of the associa- { tion cannot afford to enter into the tariff questions. Among other points nhe made was that the exclusion of Japanese goods from these ports would resuit in a reaction | and the exclusion of American goods from Japan. Mr. Saroni’s main protest was that the question is outside of the scope of | the objects of the association. Mr. Sonntag, in reply, stated that it is | not a matter of tariff, and that this ques- | tion comes d tly within the scope of the | Manufacturers’ Association lines. Japan- turers are sending agents to every city in the United States who sell | hundreds cf thousanids of dollars’ worth of cheav goods which come i1 a most direct competition with American-made goods. Such a competition the American laboring classes cannot stand, especially when Japanese laborers earn only $2 50 and $3 a month. He believes that the association should go into governmental matters when the occasion demands. Saroni endeavored to carry the point he had made by introducing a resolution that the matrer does not properly come before the association, but he was not successtul. Mr. Sbarboro moved that the committee be discharged because it had not per- formed the duties for which it was ap- pointed, by endeavoring to learn whether or not the other commercial bodies desite a mass-meeting held for the discussion of the question, and upon taking a vote his motion prevailed. Director McLaughlin stated that while he recognizes the dangers ensuing from this class of imported goods, there is an- other point to consider. The United States cannot discriminate between na- tions who manufacture cheap goods sim- ply because one nation makes articles cheaper than anotker. To shut out cheap Japanese-made goods means that the line must be impartially drawn upon other countries whose cheap productions enter into competition with American-made goods, After considerable wandering argument being indulged in it was decided, at the suggestion of Director Sonntag, that the secretary should be directed to send a let- | ter to the president of the Chamber of Commerce requesting that he appoint a committee of three to confer with a like committee from the association. The con- ference of the six would be to discuss whether or not it would be advisable to call the attention of Congress to the com- petition with Japan. —_— IROQUOIS CLUB POLITICS, The Cleavage in Buckleyism Gives Danger to the An- nual Election. & The Junta Showing a Big Enrollment and the Buckleyites Also 7 Increasing. The annual election of officers in the Iroquois Club is near at hand and trouble seems to be brewing. This Democratic organization, which, theoretically, moves on a plane that is broad and high, is now naturally a sort of dual body. Like the party generally, it ;onltainu :l Buckley and an anti-Buckley action and the li o e line of cleavage is preity The club now has an active membershin of about 225, and it is reckoned by all hands that on a full vote Buckley would be beaten by all hands by about twent; votes. This narrow margin sugzests vnK ous future possibilities in the line of enter- tainments. There was one_little one fqur or five weeks ago when T. Carl_ Spellings” motion that the Buckley president, J. J. Flynn. add four members to Max Popper’s committee on district Iroquois clubs was denounced and defeated as a move to give Buckley control. There are others com- ing. It has been a sort of habit in_the club to promote officers annually, and the first vice-president has generally become presi- dent. This year the first vice-president has been Attorney George A. Wall, a Buckleyite, and the second vice-president Charles Gildea, an active uugpon.er of the Junta. A few days ago it looked as though a lively contest between Wall and Gildea, which would be dangerous to the club and 1o its position and influence in the comin, campaign, was about to break. But Wall is not thought to be a particularly avail- able candidate by many Buckley members of prominence, ‘and he is now likely to keep out of the race. No complete reports of the Junta’s en- roliment thus far have been given out at headquarters as definite reports from vari- ous districts on the three days’ open en- rollment of last week have not been re- ceived. It is estimated that last week over 4000 names were added to the rolls. Monday the personal canvass was be- gun by members of the general committee, the Fire Department and others. Notonly are blank lists being taken among offices, stores, residences, etc., but slips contain- ing the pledge and blanks for a signature are being distributed, with the request that they be signed and sent in. It is expected that by the end of this week, when the canvass will close, there will be a total en- rollment of something like 6000. With this showing of strength the Junta will go confidently and vigorously ahead. The committee on supervision and arbi- tration in churge of the Buckley primary met in California Hall again on Monday and made a further advance in primary arrangements. A committee on revision of primary rules was appointed, as follows: Robert Boyd, John H. Wise, Frank J. Fallon, Walier Gallagher and Charles W. Welch. The rules now prescribed by the constitu- tion and by-laws of the general committee will be followed, with probably a few changes, which will be recommended to the general committee. A committee on printing and advertis- ing was also appointed, consisting of Dr. James L. Stanton, T. E. Tracy and H. B. Goecken, The printing committee of twenty-five will meet again to-morrow evening. One thing the primary committee will do will be to fill vacancies in the estab- lished canvassing committees of the dis- trict clubs. Election officers are to be elected by the district clubs according to the constitution, but the primary com- mittee will exercise a revisionary power over the lists of officers. McNAB ON RAINEY. The Latter Said to Be WiIthout Honor or Power. Gavin McNab, who is generally credited with baving knowledge of the inner work- ings and motives of the Junta, made the tollowing statement defining the standing of Sam Rainey inf the Junta councils: It has been the habit to speak of the Fire Department as belonging to Rainey. Itcould not apparently be conceived that the depart- ment could have any ideas of its own. In the Iast six or seven years the department has been developed by iel Dennis Sullivan, and al- though Rainey is friend ana Chief Sultivan on all occasions speaks of him as such, yet Chief Sullivan has given his friends to under- stand that the Fire Department is strictly out of politics—that it is a machine for the ex- tinguishment of fires, not for carrying pri- aries. Chief Sullivan’s and the Fire Department’s attitude to what is generally styled as theJunta movement has been one of self-defense. Buck- ley sought to degenerate the department and bring it back to what it was when it was as bad as he could make it. It must be remembered that before Chief Sullivan obtained control the department was everything which 1t is not now. The interests of the Fire Department under Chief Sullivan’s management are identical with those of the so-called Junta people; it is a case of parallelism, nothing more. If the Junta peopie can assure io San Francisco a governinent in all depariments as successful, efficient and honest as Chief Sullivan has made the Fire Department, the main_objectof our organization will have been accom plished, The Buckley Democracy represents in its personnel thé reasons which a large part of the public of San Francisco gave for a period of ten years for not voting the Demoeratic ticket. As long as the two Democratic factions can be kept scparate—and there is no reason to pre- vent them from being kept apart—the Junta organization assures the good character and populerity of the Democracy as represented by Chuirman W. P. Sullivan’s committee. The attempt to offset the Democracy of the criminal conspiracy of the Buckleyites by charging Rainey to the reguiar Democracy 18 nonsense. Reiney is potential in politics, as has been explained betore, through the influ- ence of the Fire Depariment. Iwould like any cne to show where Chief Sullivan or his friend have in the slichtest degree attempted to interfere with the organization known as the Junta. I have been more or less active or prominent in this organization, and am as firmly rdancy of Mr. Rainey in the party’s affairs as any other good Democrat of this City couid be, but I do not believe in fighting wind- milis. 1 must sce some actual evidence of Rainey’s participation in this movement other than being used asa ery of fire by the Buck- leyites whi'e they rob the house. It is true thet Eddy Greaney, the close friend and intimate of Chief Sullivan and horseshoer of the Fire Department, is an active partici- pant within his district, but so was he with the reorganizers under Judge Sullivan and Dwyer, when the reorganizers’ committee read all ‘firgmen out of the party by refusing to allow any ot them to sign the club rolls or vote at A primary. Greaney represents the majority in his dis- triet, as he has done for years, He is popular with his neirhbors and they will all turn out and fight for him. The absurdity of the Phari- sees ol the Buckiey movement demanding that Mr. Greaney be disfranchised and cast out by the regulars because he is friendly to a man who has done him favors is too pronounced to need any further comment. Mr. Rainey isnot a counselor or adviser of any of the men prominent in the new com- mittee. These men are friendly to Chief Sulli- van’s administration of the Fire Department. He wents it kept out of politics; they want it kept out of polities; the public wants it kept out of politics. Buckley wauts it in politics. That is all there is of it. e e Joost Railroad Employes. About one year and a half ago about 200 employes on the San Francisco and San Mateo Electric Railrond combined and filed suit against the railroad company for their salaries, which amounted to about $18,000. The action has dragged along sll this time in Judge Seawell’scourt, and in many instances the men have been obliged to sell their claims for 40 and 50 cents on the dollar. Becoming weary of the delay they called upon Labor Commis- sioner Fitzgerald yesterday and asked if he could help them. He told them that he was uneble to render them any assistance, How- ever, Deputy Dam called upon Judge Seawell and explained the men’s condition. The Judge grnmised to render a decision within thirty NEW TO-DAY. Charles Gounod the well-known Composer, wrote of THE IDEAL TONIC: «Honor to ¢ Vin Mariani,’ that admirable Tonic-Wine, which so often restored my strength. MARIANI & CO., DR, QW00 N ter, NEW TO-DAY. HYAMS, PAUSON & CO, 34, 36, 38 and 40 Kearny Stroet, —AND— 25 and 27 Sansome Street, Wholesale Manufaciuring Clothlers Selling at Retail at Wholesale Prices. GREAT OVERGOAT WEEK! LOOK AT THIS ARRAY OF WONDERFUL PRICES LL $15.00 The above cut represents our latest style Box Overcoat, just long enough to cover a three-button Cutaway or a medium-length Prince Albert. They come in Navy Blues, Seal Browns and Tans. Our price—$l5— just $5 less than the retailers want. $20.00 For a sleeveless Cape Overcoat, cut extra long, both skirt of coat and cape made of very finest black English Camels’ Hair and smooth finished Cheviots, handsomely lined throughout. Our price, $20. Retail- ers want $32 50 for the same article. $1950 $15, $18 ax $0 For 50-inch length Overcoats; come within four or five inches of your feet; made of Kersey, smooth-finished Cheviots and Melton, with or without velvet collars; something very swell and adapted for fine city trade. Our price for Double-breasted Navy Blue Chinchiila Ulsters; cut extra long: long, deep collar and side pockets. Such as you would desire in cold, snappy weather or for a storm coat. Sold elsewhere for $12 50. $25.00 Seermns a great price,don’t it? Buta Mon- gagnu Overcoat is something you can't get in every stor genuine English Montagnac. Here is one thing we tell you in absolutely good faith. If You can duplicate our Montagnac Over- coat in any store on the Pacific Coast for any such money we will make you a pres- ent of an Overcoat and $25 in the bargain. DON'T MISS OUR SALE. The greatest stock of Overcoats on th Coast at prices that overtop them all. 5 HYAMS, PAUSON & CO, 34, 36, 38 and 40 Kearny Street, 25 and 27 Sansome Strest, Wholesale Manufactaring Clothiers Selling at Retall at Wholesals Prices, What we offer vouis the | th NEW TO-DAY. NOLAN BROS. SHOE CO0. WE HAVE JUST ISSUED 100,000 USTRATED CATALOGUES OF FINE SHOES. Send us your address on a postal card and we will send you a Catalogue and Souvenir which are worth at least $10. NOTICE. We prepay Express Charges on all orders for Shoes at catalogue prices on receipt of remittance. Our Life-Saving Shoes Are All the Rage. These Shoes are made with Welted Sewed Soles, thick, but flexible, and you don’t need to wear rubbers with DON'T BE MISLED By any unprincipled dealer who hangs out a sign that he has them. ‘We have a patent for making these shoes, s0 that no other house can have them. PRICES FOR LIFE-SAVING SHOES : Ladies’ Stzes 2 to 8, $3.00. LADIES'” EXTRA QUALITY FRENCH KID, seamless foxed— Sizes 2 to 8, $4.00. Misses’ Sizes 11 to 2, $2.50. We have the Life-Saving Shoes in all the latest style toes. Widths AA, A, B, C, D, E and EE. The following at Factory Prices : Ladies’ Extra Fine Paris Kid Button, pointed or new style narrow square toes, patent- leather tips, widths B, C, D, E and £ z “Price $1 50 per palr “Qur Own Make” Ladi Kid Button, cloth or kid tops latest siyle pointed needie toe or Yale d_paten tips.. ~Price §2 50 per palr MISSES” AXD CHILDREN'S Heavy Pebble Goat Button Shoes, solid soles, standard screwed, cannot rip, sole-leather tips, spring heeis: Children’s sizes 5 to 716. $0 90 Children’s sizes & 10 1055 100 Misses’ sizes 110 2. 125 Widtbs C, D, N o HISSES” AXD CHILBRENS, Widths B, C, D, E and EE. Fine Kid Button, cloth or kid tops, square toe, patent-leather tips, spring heels. Chlidren’s sizes 5 t0 8. Children's sizes 814 to 11. Misses' sizes 1134 to 2. DON'T BE MISLED. ‘We Have No Branch Stores on ket Street. We have the Largest Store and by far the Stock of THE LATEST STYLE SHOES Lowest Prices to select from. Zest the Don’t forget to send your address for a Catalogue. Mail orders will receive prompt at- NOLAN BROS. NO| SHOE CO. 812814 MARKET STREET 9and 11 0'Farrell St., PHELAN BUILDING. Long Distance Telephone 5527. WALL PAPER! JAS. DUFFY & CO. Have REMOVED to No. 20 Geary Street. GREAT REDUCTION TO CLOSE GUT LAST SEASON'S PATTERNS TO MAKE ROOM FOR THE NEW. WINDOW SHADES! Any Color, Size or Kind. WHOLESALE—AND—RETAIL. LOOK! T THE 10 PER CENT REDUCTION AT JOE POHEIM'S, the Tailor. For hollday trade all the latest designs of Woolens now in. Suits Made to Order from. 15.00 Pants Made to Order from. 84.00 Overcoats Made to Order from..$20.00 Full Dress Swallow-Tail im- ported and Silk-Lined from. $40.00 Perfect Fit Gnm_gteed or §o Sale. JOE POHEIM, THE TAILOR, 201, 203 Montgomery st., 724 Marketst. and 1110, 1112 Market st. LI PO TAI JR., Chinese Tea and Herb Sanitorium, No. 737 Washing on St, plaza., o o Oftice Hours: 9to 12, 1to4and 5to?. Sun- day, 9 A. M. to 12 M. L1 Fo Tal Jr., son of the famous L1 Po Tai, has taken his father's business and fs, ‘after eleven years' study ia China, fully prepared to locato aud treat all discases. COAL! COAL'! Wellington #1090 L e Cooe Bay. © 7 00—mait ton 359 Genulne 1 SCO—Half ton 400 Seattl L 800-Ilait ton 4 0V Bryant “Telepi:one—Bia e KERBOCKER COAL CO., xn:ga Howard Streot, Near First. " NOTARY PUBLIC. RLES H. PHILLIPS, ATTORNEY-AT C AP Notary Pablic, 634 Marke: at, oppe: aite Palace Hotel Lesldouce 1620 Fellsa phone 570.