New-York tribune., 1902-01-12
PANAMA OFFER EXPLAINED
NJ. LAMPRE SAYS IT WAS MADE IN
ABSOLUTE GOOD FAITH.
PANY EXAMINED BY SENATOR
MORGAN

Washington, Jan. 11.-Edouard Lampre rep
resentng the Panama Canal Company ap-
peared before the Senate Committee on Inter
oceanic Canals to-day, in obedience to the sum-
mons of that committee, TO testify concerning
the affairs OF his company and its offer to sell
It's property and franchises to the United States
NJ Beufve Of the French Embassy was pres
ent at the hearing The meeting was held be-
hind closed doors, representatives of the press
being excluded.
NJ Lampre was questioned at great length by
the members of the committee He said that
his mission TO the United States was to ascer-
tain to whom the proposition for the sale of the
Panama property should be made Having Sc
cured information on this point, he had conferred
with Admiral Walker, chairman of the 18th
nian Canal Commission, to the form of the
offer. He then cabled to his principals the re-
suit being that the offer to sell for S40O00000
had been made direct from Paris, and not by
him. He said, however, he understood that
the proposal included the franchises and the
property Of the Panama company but not the
money in its treasury about 16. 600 900 francs.
NJ Lampre was questioned especially concern
ing the title of the present Panama company,
several members of the committee expressing
doubt as 10 whether those now claiming owner
ship had secured unquestiOnable title. He
piled that they had made their purchase through
the liquidator of the old company, and that
the transfer was regular. In response TO other
questions. he said that IN case the transaction
should be consummated the money would be
distributed among the members of the original
company and those Of the present organization
by arbitration. He said that the offer of his
company had been made in good faith and that
the company was able TO deliver the goods"
In RESPONSE to further inquiries. NJ. Lampre
GeS hat he
right TO sell the property and that TO do
would not infringe the rights os any one.
Senator Morgan asked what the corporation
had been organized for. and the witness re-
piled that the purpose was TO build a canal
The Senator then asked whether an attempt 10
soll the canal not in bad faith. NJ Lampre
maintained that it not. He also said that
the American Panama Canal Company had been
organized in New-Jersey for the purpose of dis
posing Of the property in this country, if pos
sble.
'As a matter of fact" said Mr.. Morgan, you
appear to have had the canal on the bargain
counter ever since the company was organized
g The witness protested to the contrary. He
also said that the old lottery scheme still in
existence. The company had abandoned all idea
Of a sea level canal. The French law, he said,
could not prevent the transfer Of the canal to
the United States. as the canal company was
a perfectly independent concern.
The fact was developed that the bonded debt
Of the old company was SOOO0Oe0 francs, and
that since the new company had come into con-
troll it had paid 100000 francs to the Co
lombian Government for concessions. It was
also shown that the lease from that government
was for ninety-nine years. and at the end or
that time the property would revert 10 Colombia
NJ Lampre questioned at length about
the Panama Railroad, but said he knew little
or nothing about its affairs.
NJ Boaufve was asked only whether the propo-
sition to sell the canal for $400D00D0 had been
made with the authority of the French Gov
eminent. He replied in the negative, saying
that his government had no connection whatever
with the transaction.