Martinsburg independent. [volume] (Martinsburg, W. Va.) 1875-1900, 1892-12-10
SUB5IDlzING TIE PRESS
How the Panama Canal Scheme
Was Worked in France.
A MONSTER CORRUPTION FUND.

Three Hundred Millions of Francs
for Advertising. Subsidies aud
sOther Legitimate aud llIegiti-
mate Means Of Booming the En-
terprise."
PARIs. Dec. L. The parliamentary
commission of inquiry into the Panama
canal frauds summoned two expert ac-
countants to give evidence. Accountant
Flory excused himself on the plea Of
professional duties Accountant Ros-
signol, however, appeared and he made
tine nrst sensational revelations of the
investigation. He said that a system Of
newspaper subsidies in connection with
the enterprise WIS long under his per-
sonal observation. The benefciaries of
the system compr9tended most Paris
editors. Whenever new loans We're to
be hoated or dcregatory rumors We're to
be written down, Ia cge sums We're paid
out to purchase the most favorable
press notices.
He had not full knowledge IF all the
transactions between editors and pro-
motors, lat ne knew positively of GER
tain jon nails which were subsidized
whenever amy new boom was required
by tine canal people. Every time new
loan was 10 be placed The Petit Journal,
he said, received 100000 francs, The
Figaro { Zoo francs, The Telegraphe
10000 { ancs, The Debats 1000, The
latin sU,C00 francs and The Gaulois
n, 500 .incs. These were the amounts
pud In roiIary emergencies. When any
tA eptionally great move was contem-
p.s. ed thesulSidies We're increased. Thus
when the lottery bonds were fiOated the
alove mentioned sums We're doubled.
IN his general statement of the COM
pany's affairs NJ. Rossignol said that up
to 1873 ore milliard of francs had been
spent OF this sum COG. 600, 900 had been
sunk en- the Is'Nmus, 100, oe0, 900 had
been used for expenses Of the manage
ment. and 100000. 600 went for adver-
.laing. subsidies and other legitimate
and illegitimate means Of booming the
enterprise. Heavy commissions were
laid to the Credit Lyonhaise and others
cifecting the issues OF loans. A million
and qua : were paid out without
having been catered in an itemized ac-
count. The general heading was ''vari-
Gus disbursements" and it was also
evidence of careless bookkeeping. He
had not seen the name of Barbe, but
AnCn AAA,tt -ANttAs WIZ 10 NN0ltiktu III
having handled much Of the corruption
fund, sustained very close relations to
the company.
NJ. Rossignol said that the company
had labored under great pressure from
America and that men at the istnmus
literally held the knife at its throat
Threats were made TO arm 5000 work
men in the canal and sieze and hold all
the plant unless more money was forth
coming.
NJ. Rossignol did not seem to feel any
sympathy with the feelings which his
statements reused among the commits
sioners, but told his story with apparent
nonchalance. He was succeeded as wit
ness by M. Proper, brother of the part
ner in the Reinach banking house.
NJ. Proper said that Baron Reinach
got cashed through Threnet's bank
check for 144 900 francs This amount
was divided among twenty-seven per-
sons, and the commission has appointed
a committee of two members to ascer-
tain the names of the recipients.