New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1892-12-17
CANAL OFFICERS ARRESTED.
AM CHARLES DE LESSEPS. FONTANE AND
SANSLEROY IN CUSTODY.
o,,,xn1JyC THE MAIN CHARGE AGAINST THEM
-yLIGHT OF NJ. CoTTU-HoUsES AND OFFICES
SEARCHED AND FOURTEEN VAN
LOADS OF DOCUMENTS BEARING

SEARCHED AND FOURTEEN VAN
LOADS OF DOCUMENTS BEARING
on TIE FRAUDS SEIZED.
Paris Dec. l6 M Charles Mme dc LesSePs'
n Narius Etienne Fontane ana NJ oails-hHi''
have been arrested by direction OF the Munster
., Justice. NJ. Bourgeois. for their alleged CON
rsct,on with the Panama Canal frauds W.
Ian,; Iouis Felix Cottu for whose arrest an order
was also issued, has fled TO Vienna SaiS-LeFoS
;s charged with having accepted Dido as "
member Of the Chamber of Deputies
The arrested directors, when arraigned before
Magistrate Franquolc, protested their innocence
Tbcv were committed to the Mazas Prison
Tho charges against the officers OF the COM
Many on which surnmonses were previously
snyved. ard on which they have now Deeh ar
,..tsd ale that they have jointly made use
of fraudulent imaginary credit: that they have
ai.sipated capital intrusted 10 them for speclhc
nurpose, and that they have swlndled others
ont of part. OF of all, of their means OF liv-
ing or their fortunes These offences come
within the reach of seven articles of the Penal
Code. The penalties 10 which the heads OF the
Panama Company have made themselves liable,
should the theory of the prosecution be estab-
IsAed are thus laid down:
"Wbosoever. BY making use of false name
or quality. or rcsorting TO fraudulent devices to
persuade another or others of the reality of i'm
acinary enterprises, or OF power of credit. or
10 give rise TO the hope or fear of chimelical
event or undertaking, attempts to obtain money
or any other property or receipts or discharges Is
liable to one years imprisonment, at least, and five
Years AT most. and fine of from SO to 5000 francs
The convict may also be deprived of civil rights
from the day on which lie leaves the prison
aud nf INST
and he, moreover, forbidden TO vote at legis-
lative, municipal or OtEer elections. TO carry arms
or to act as guardian"
The accomplice is liable in the same penalties
1t is noteworthy that the accused persons in Is
case are not to be tried for infractions of the
laws regulating financial and industrial companies,
but under articles of the common law. The
theory therefore, of the prosecution is that the
Panama affair was q swndle from the beginning
The original conccssiCnaires are sheltered by pre-
scrpGon.
Sans-Leroy is said to be badly implicated by
documents and other evidence brought to light
lie was not on the Panama Board. Suspicion
always attached 10 him on account OF his sud-
den change of front III the Lottery Committee Of
the Chamber of Deputies when the lottery loan
was being voted on AT first he opposed the loan,
but he turned the scale at the last moment by
voting in its favor At the hearing before the
Panama investigating committee few days ago.
NJ Sans-Leroy said that he changed his vote in
obedience TO the wishes of his constituents. NJ
Rondeleuy, another former Deputy, testified be-
fore the committee that he drafted the first report
of the Lottery Committee of the Cham
Der against the Lottery bill, and was
so amazed when the committee rejected the
report, owing to NJ Sans-Leroy's change of front,
<hox ho al -lxs,, III. <l,A
mittee 1t is understood that the Government
has documentary evidence showing the exact
amount paid to NJ. Sans Leroy for his action.
The prosecution of NJ Charles de Lesseps, Fon-
tame and SansLeroy will be entirely distinct from
that of the others
As yet no warrant has heen issued for the
arrest Of NJ. Ferdinand de Lesseps. The deci-
sion TO make the arrests noted above was reached
at meeting last night, at which NJ. Ribot, the
Prime Minister; Bourgeois, Minister Of Justice;
the Procureur-G General and the head OF the Crimi-
nal Department were present. The evening papers
assert that four more important arrests are lmmi-
nent. 1t is reported that the Government will
ask the Chamber Of Deputies to authorize the
prosecution of number of its members.
The police made a wholesale descent to-day
in search of documents and other evidence for
use in prosecution of the Panama Canal directors
of search they visited the premises of the canal
company, and also the place OF VI. Thicrree, OF
the firm of Thierree ct Gle besides searching
Tkierree's premises, they inspected those Of his
partner, NJ. Proper, who had joined with NJ.
Thienee in refusing to give any particulars about
the twenty-siX checks 10 bearer which the COM
pany had given to Baron Renach in return for
check for 3,390,41j francs, drawn by the
Panama Company. The twenty-sX checks were
believed to be the key TO the mystery of corrup-
ton and fraud. The police searched also the
house of VI. Herr, who is alleged to be deeply
implicated in the Panama schemes Of Reinach, in
whose company he short time before
Rcinach's death; and the houses Of De Lesscps
FOnane, Cottu and Sans-Leroy, and seized
mass Of documents throwing new and important
light Oil the Panama frauds So great was the
number of documents seized that fourteen vans
were required to transport them.
The news of the arrest OF the Panama directors
caused a sensation in the Chamber Of Deputies.
Some Of the members of the Panama committee
Of investigation proposed to suspend the inquiry,
and others wanted the committee 10 resign alto
gether and leave the Government unhampcrcd
in the execution Of the law The committee met
later in the day, and, after long discussion Of
the situation unanimously decided not 10 resign.
The presidents OF the four Republican groups
waited upon NJ. Ribot to-day and congratulated
him upon the decision Of the Government, the
hrlnness Of which is generally approved in the
lotbies and the Chamber itself. It's iirInness mas
secured for it "a decided ma orty in the Chamber.
Only the members OF the Right and some Of the
Radicals disapprOve of the Governments course.
lhe papers today contain little OF interest TO
PaflslaLs except matter bearing upon the scandal
The Moderate Republican papers congratulate the
Government upon the energy displayed by lts
bcrs in yesterdays debate in the Chamber OF
Deputies 1he Conservative members urge that
the result of the vote following that debate dis
credits the Government. They add that the Gov
ernmcnt had no real majority, while al the same
time IA mortal wound dealt the Panama IN
vestgatng committee by the Chamber refusing