The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1902-03-20
CANAL COMMITTEE REPORTS.
Two Submitted, Majority Against Panama
Purchase.
(By the Associated Press.)

l.
Washington D. c., March Ex-senator
Morgan from the committee on Isthmian
Canals today presented 10 the Senate
the majority and minority reports of
that committee on the question OF the
validity of the title of the new Panama
Canal Company and its right to transfer
the Panama Canal property to the Unit
ed States for $40, 100000.
The objections of the majority to the
title held by that company are based
largely upon the relations of the canal
company to the governments of France
and Colombia, but the committee also dis
cusses at length many other phases of
the question. Among these is the rela-
tion of the shareholders, who subscribed
whose interests it holds, cannot be light
ly regarded On this point the report
says:
"The spectacle of the United States
Congress authorizing the President as
the agent of the government to conduct
trade with such a corporation. with
out consulting France as to the claim of
independence it (the new Panama Com
pany) asserts, will be entirely new in
the history of nations and its consequent
ces cannot be lightly disregarded.
Among these is the serious danger
of the United States being drawn into
disaSreea BILE relations with a large and
influential body of the worthy people of
France, where friendship for us has
been cherished during the entire life of
our republic, and had its origin in mag
unanimous sacrifices for our country when
this government was in the travail of its
birth. Unfortunately the report of the
Isthmian Canal Commission reveals the
fact that the men who make us this
offer are chief among those who de-
frauded these six or eight hundred thous-
and Frenchmen of $25OO00,00O
Speaking further of the obligations
of the new company to the DID, the ma
jority say:
IF Mr.. Eiffel and his assistants get
$40, ,000,000 from the American people it
is well that they are sheltered from the
claims of these defrauded and 6espoiled
bondholders and stockholders by the al
legged despotism of French courts. They
would never escape justice in American
courts and would be compelled to ac
count for every dollar of the money TO
the bondholders and to the stocks bearing
interest before applying any of it to the
profits of their speculation"
The minority report, which was pre-
pared by Senator KittTedge, completely
upholds the title of the new Panama
Company as will be seen from the follow
ing extract which constitutes its open
ing paragraph:
THE title of the new Panama Com
pany to its concessions and other proper
ty, appears from the facts and documents
which have been laid before the sub
committee and is clear and free from
any complications. For transfer of its
consent of Colombia is requisite. but
this consent has been given by the Gov
ernment of that country as fully as it
can now be given. In case of purchase
of the canal by the United States, differ
ent concessions and different rights must
be obtained by treaty between this coun-
try and Colombia, and such a treaty
would necessarily involve a consent to
the sales by the company of it's rights
United States. Such a treaty Colombia
has shown and declared it's readiness to
make. On every other point the right of
tie Panama Canal Company to trans
fer its property to the United States
is perfectly clear. Every link in the
chain of it's title and every step in the
course by which ii became in a position