The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1893-03-03
FOUND No CORRUPTION.
Report Of the Committee Investigate
ing Panama Affairs in the \
United States.
Money not Corruptly Used to In
fuence Legislation OF Elk
ecutive Action.
Closing Days In tho Senate and House dc
voted to tho Appropriation bills
Capital News.

WASHINGTON, March 2.--The house Pan
anna investigating committee, in its tepors
to-day. finds that ~ far a. the treaty OF
1886 with New Grenada ia concerned, and
80 far as concessions granted to and con-
tracts made with the present Penama rail-
road corporation are concerned, the'e is no
clear ground for the assertion that any ex-
elusive right to CROSS the isthmus was ever
in terms granted or by implication secured,
either to an American corporation .or to
citizens of the United States to the exclu-
sion of the citizens Of any other country,
or ground, so far as the evidence before the
committee goes, for the claim that the gov
eminent of New Grenada or the United
States of Colombia ever guaranteed that
the United States shall control transit or
place any limitation on the legal rights of
shareholders in the railway company or re-
stsiotion in the nationality OF its owners OF
stock.
The committee has done its utmost in
the limited time before it to investigate
the charge that money was expended to
prevent opposition to the plans of the cana.
1t has been unable thus far to trace directly
or indirectly the expenditure of any money
whatever in a corrupt way to influence leg
islative or executive action of the United
States government. 1t may be that no in
vestiQation, however prolonged after this
lapse of time. could be efficient in making
such discovery, even if such corrupt use of
money were made, but this is a subject on
which the committee does not desire to
authoritatively express its opinion. Fur
Their investigation would be entirely fiuit-
less.
The report comments upon DsLesseps'
visit to the United States in 1879 and the
remarkable change of sentiment that re-
suited. The American committee was APP
pointed to convey tho impression that
American capital and sympathy were back
of the enterprise. The COMMITTEES further
says that Il. w. Thompson became presi-
dent of the American committee and re-
signed a place in the cabinet. Thompson
stated that he notified the president and
the president acquiesced in the resignation,
under these circumstance causing no sew
erance of personal friendly relati ons be-
tween them. Testimony was taken by the
committee showing that this action Oh the
part of Secretary Thompson was n great
disappointment and surprise to President
HayeF. and he 80 expressed himself to 9TH
ers. The committee find that Thompson
for the next three or fonr years was exceed
inRly vigilant in watching legislation and
most active and able in efforts and influ-
encs to postpone the consideration of any
legislation tending to work injury to the
cause of the Panama canal company. SO
far as the testimony goes it shows that
Thompson did the work of the American
committee. supervised the purchases for
tho onrEfrnrtInn ~ the Nonp) yafphnI lao.
~islation, etc.
The object of the contract between the
Pacific Mail company and the Panama
railroad company was to maintain rates
above the level to which they would fall IL
free competition between several routes
continued. 1t seems to be certain that a
very large, if not absolutely & controlling
interest in the stock and directory Of the
Pacific Mail company, is owned by indi-
viduals and estates very largely interested
in the stock and directory of transcon-
tinental roads, and it was proved thut the
same individuals composing q majority Of
the directory of the Pacific Mail at that
time composed q majority Of the directors
present at the meeting of the Panama rail-
road company directory. at which the con-
tract between the Pacific Mail and the rail.
road company, Feb. l. 1873. was ratified
and executed.
That this system has for fifteen years
been diminishing III between New
York and San Francisco across the 18th nus
Is not denied. 1t seems to the COMMITTEES
that this state of things cannot be benefit
cial to general interstate trade or the com
MERGE of the country, nor can it see that il
Is of any particular benefit to our trade
with foreign countries. The committee
recommend that whenever, under the pro-
visions OF a mail subsidy act. the postmas.
ter general shall enter into a contract with
any line of vessels. a clause shall be in
serted IN the contract to the effect that if
tho steamship limo shall enter into any COM
blnRtlon or arrangement with competing
lines of traffic. the result of which is 10
diminish traffic or raise or maintain rates
of freight on American commerce., foreign
or domestic, over what free competition
would effect, tho contract may be termi-
mated forthwith by the postmaster general.
The COMMITTEES regret that SO far as
the ownership OF nearly all the stock goes
to control any American CO tporation. as
the Panama railway is, should be held in
foreign hands, particularly in the hands of
alton, also foreign, appointed by a foreign
authority, and subject to foreign judicial
supervision. The committee, IN conclud-
ing. cannot refrain from calling attention
TO what seems to be All obvious deduction
from the facts shown, that it is to the inter
est of the United States that American PEG.
pie should absolutely control some cutie,
hctoss the lsthmus. ct some point which
shall be used for tho benefit of American
trade in general. ms an open and %contiuu-
GUS competitor atfordlnR no opportunity 70
entangiing subsidies from great competing
lines, or the chance of falling into til,
grasp Of any monopoly through stock man.
ipu!atlon.