New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-03-03
A REPORT ON PANAMA.
THE HOUSE COMMITTEE FINDS no COR.
RCPT USE OF MONEY.


OCEAN NAIL CONTRACTS SHOULD PROHIBIT
Combinations AGAINST COMPETITION.
Washington. March ..-The Panama Pacific Mail In.
Vesueaon Committee met this afternoon and adopted
report prepared BY Mr.. stofer. Of the committee.
The committee have examined the matter surR
GENTLY to that the treaty OF 1916 with
->c"'Tchada and The concessions granted 10 and
contracts made with the present Panama Railroad
Corporation are concerned. there Is no clear ground
lor The assertion that any exclusive right TO cross
the lsthmus was ever In terms granted or by in
pca'ion secured either TO an American corporition
or I" citizen Of the United States to the exclusion
OF citizens OF other country. The committee has
been unable thus far 10 trace directly or Indirectly
the expenditure OF any money whatever ny the canal
company In corrupt way TO influence the legis-
ative or executive action OF the United states
eminent.
The report comments upon De Iessepss visit to The
United states In 1870 and the remarkable change of
sentiment that resulted. The American committee
was appointed 10 convey the impression tat Ameri-
can capital and sympathy We're back Of tho enterp i~e
The committee further says that +. T. Thompson
became secretary Of the American committee ana
sned his place In the Cabinet Mr.. Thompson
stated that deciding on this step he Informed
the President and the President acqulesccd in II.
This action a great disappointment and surprise
TO President Hayes. and he expressed himself to
others. The committee finds that Mr.. Thompson
for the next three or foUr years exceedingly
vgilant in watching legislation and most active and
able IN his efforts and influence TO postpone the
consideration OF any legislation likely TO work injury
TO the cause Of the Panama Canal Company. SO far
as the question goes. IL shows that Mr.. Thompson
did the work OF the American committee. lie super
vscd purchases for the construction OF the canal.
watched legislation, etc
The object OF the contract between the Pachc Mail
Company and the Panama Railroad Company was 10
maintain rates above the level 10 which they wond
fall If free competition between several routes had
continued The same individuals composing major
Nv OF the directory OF the Pacific Mail composed a
majority of the directors present at the mccuhS vi
the Panama Railroad COmpany's directory ut which
the contract between the Pacific Mail and the Eaii-
road Company OF February I. ISIS, was ratified ana
executed That this system has for fifteen years been
diminishing commerce between Ncwl0rk and san
Francso across the Isthmus Is not denied IL l. CbVi
Gus that this did not tend TO benefit American shipping
or tend 10 promote the merchant marine or the com
mercc OF the United states.
The committee recommends that whenever, under
the provisions Of the Mail subsidy act. the Postmaster
General shall enter into contract with any me Oh
vessels clause shall be inserted In tile contract 10
The. effect that If the stramp>hip lines shall enter
into any combination or arran-enl"ht WIN compttm"r
line, Of traffic the result Ol when l. 10 Hin'i>l
traffic or raise or maintain rates OF freight on .h'I-
can commerce. foreign or domestic, over WHa' ire
competition would effect. the contract may De "''
inmate cd forthwith by the POstinastrrN' en"ral -,
The committee declares that IL lS Inc interest OF inc
United states that the American people should at>o
uely control .Omc ouet across The lSthmnS lor tlc
h, nent OF American trade. aiorling no "ppor unity
for cntangling subsidies from great competing hl,N
or chance OF falling into the grasp OF any monopoly
through stock manipulation