The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1892-12-30
Panama Corruption Money Expend-
ed Lavishly on American
Legislators.
According to the New York
World the Sum Was
$4,000, 900.
How a Change in Public sentimens Was
brought About-Grant Saw Through
tho Temptation.

NEW YORK, Dec. ~. FIN thEee column
article this morning the World alleges that
the Panama canal corruptionists and
thieves expended over R20oOo 600 in bribing
American legislators. In brief the article
says: "There Is an American end to the
Panama scandal. Two million five hun
dred thousand dollars was sent to this
country and no explanation has been given
of what use was necessary or made of this
vast sum. Bribery and corruption were
practiced in the United States just as
fragrant, although less in extent and in
amount of money used. French spectators
obtained their rights from tina United
States of Colombia and purchased tho aer-
vice of Ferdinand De Lesseps to give their
scheme eolat. The farce of the canal
congress-. which met at Paris, May Is, 1879,
was enacted. and in the face of an intelli-
gent opposition a packed committee on
selection of location chose the Panama
route from sea to sea. Soon after
the Paris canal congress dis
solved Gen. A. Il. Burnside, sena-
tor from Rhode Island. introduced
a resolution on the subject in congress-. 1t
read that the United States views with
SSAASAo NAnAulctuuC 0hy dLt6ulpV ny Lu6
powers of Europe to establish under their
protection and domination ship canal
across the isthmus of Panama. Gen. Burn
side. in private conversation with friends,
indicated that he foresaw that an attempt
would be made to influence congress, and
he. as stated, introduced the anti canal no.
tice with the intention of anticipating any
work its promoters might attempt at Wash
inpton."
The article then reviews the history of
the canal, with President Hayes message,
declaring that the canal should be built
only with the United States preponder-
ating in influence. De Lesseps and other
Frenchmen were then here. 1t was stag
Rerer for them, but De Lesseps cabled his
son Charles to give the Paris newspapers
a statement that this message assured the
political security of the canal. To confirm
this idea in France he had an American
committee appointed to look after the
question in connection
with the canal, and to make
the Americans feel that their
interests were being served. The American
was not disposed to work for
nothinR and De Lesseps agreed to make,
when the company was organized. six an
nual payments to this American COMMITTEES,
The first was 8, 100. 900 francs; tho year fol-
lowing it was 1.400.000 francs. and subse-
quent payments of 100000 francs year
for five years. Thus about So. .500, 900 was
provided for a head to the Panama canal
scheme to- in1iuence:thepeople of the United
States and their government. Here was a
corruption fund capable of accomplishing
great results. The organization of the
committee was negotiated by New York
bankers. The purpose was to secure for
chairman distinguished American, whose
name would inspire confidence and lend
lustre to the Panama project. The first
chairman suggested was Gen. u. 8. Grant.
The position was rendered the distinguished
citizen. su through the banking, house of G.
w. Seligman Co.. the annual oompensa-
lion offered being 5,OO0 and the general
was assured that his duties would be light.
Gen. Grant saw through the intentions of
the committee and declined.
Continuing the article says certain pub
lie officials in the American committee re-
Dsived $25. 200 year for their services.
ization of the American committee and the
income of tho hard-earned money of French
to the canal company is still
fondly remembered at Washington by some
Of those who received some Of the Doodle.
A certain newspaper in New York re-
ceived liberal subsidy to favor the canal.
Two congressman were bribed; individuals
who possessed influence were bribed, and
the money of the French peasantry ran like
water at Washington. An article in the
News, of London, described the
situation as follows: The American syndi-
gate is one of the most shameful oorrup-
tion funds ever recorded in the history Of
financial enterprises. Imagine the expen-
ilture of S4S0,O00 30 that few men in
New York might represent the company in
America and cooperate with it when re-
luested. 10 that fund is due the success
which attended De Lessep's invitation to the
5hen secretary of the navy of the United
cate and no respectable bankers should ever
tho shareholders of the Panama Canal COM
oany. These men are challenged to show
hey ever did anything for the company ex-
sept lend their names 30 that in Europe De
Lesseps might say, America ia all right
lhe attitude Of congress was decidedly un-
friendly when the committee was formed
md the press was quite generally then ad-
terse to the canal under French control.
\ change soon occurred. When De Lesseps
'eturned to France he announced that the
United States favored his project. He
claimed he had refuted all the scientific OBJ
eetions to the Panama plan and that Amer
cans now recognize that the work to be un-
lertaken has no political bearing and is
,articularly for their own benefit. And |
lount DE Lesseps naively added, The full
cooperation of groat and powerful Amsri-
an banking houses show the results of my
rip to the United States.'"