The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1903-08-19
THE CANAL PROJECT,

When the United States Senate ratified
ths Hay-Herran treaty providing for the
construction Of the Panama Canal, every
body thought that the question was at
last settled and that the canal would
bs built as speedily rs possible. But an
other obstacle has been thrown In the
way By tho failure Of the Colombian Ben
ats to concur. and It Is now predicted that
this government will abandon the Panama
route altogether and so back to the
Nicaragua route. which has always been
the route favored by a large number OF
American citizens. Under the act Of Juno
\ g. 1902, authorizing the construction OF
the canal, the President could abandon
\ the Panama scheme altogether and turn
TO Nicaragua, for It Is provided In that
act that II unable to obtain by treaty
control Of the necessary territory from
Colombia the President is empowered to
negotiate with Costa Rico and Nicara-
qua for the concession, and having Sc
cured the necessary privileges to construct
the canal by the Ncaraguan route.
te IL - a bOl6 6(O1 %AAAo P1opoSe@" " SAAA~A
an inter-oceanlc canal, and obstacles have
been confronted at every turn. When the
Panama route was first seriously consid-
cred the validity and transferabiity Of
the Panama Canal Company's title were
investigated by the 1sthmian Canal Com
mission. and by the Senate Committee on
Inter-Oceanic Canals. Both reported that
the company could give a satisfactory
4 title. and this view was confirmed by the
Z Attorney General. On June Is. 1902 Con-
gress passed bill to provide for the
construction Of the canal. and on March
II, 1903, the Senate ratified the treaty
Under these provisions 1t was agreed TO
purchase the property Of the Panama
Canal Company. including the Panama
Railroad, but before paying over ths
money to the company the President Is
required to assure himself OF the validity
4 OF the property to be transferred. which
has already been settled, and further to
await the exchange OF ratification Of
satisfactory treaty with Colombia. As
Colombia has rejected the treay OF
course. the negotiation with the Panama
Canal Company is not complete.
The treaty authorizes the new Panama
Canal Company to sell out to the United
states; exembts the.+' Panama Railroad
Company from its financial obligation to
Colombia, and gives he United States
a lease for period OF one hundred years,
renewable at the option of the United
States. OF strip OF land ten kilometers,
or about six miles wide across the
1sthmus OF Pana ma. Tho United States not
only recognizes the sovereignty OF Colom-
bia over this leased strip. but "dlsavows
any intention to impair 1t In any way
whatever or to increase its territory at
the expense OF Colombia or of any OF the
sister republics In Central or South
America"
In view sot this provision It Is hard to
understand why the Colombian Senate
has rejected the treaty on the score that
thas would DO an encroachment on Co.
lombian sovereignty. But members OF the
Senate contended that lease in per-
pstuity would 10 equivalent to purchase,
In consideration OF the concession asked
for, tho treaty provides for the payment
& OF te5,ooo In gold each year for the lease,
beginning ntneyea rs after the deed OF
ratification, and lump sum OF $40, ooo, 900
In gold to be paid upon the exchange OF
E notifications OF the treaty. which are to be
made within eight months from January
e2. 1908.
It is said that the question OF money
was not raised in the Colombian Senate,
but there is suspicion that Che compen-
sauon after all is the main question In
viewed.
The outlook for the Panama Canal is
not so bright as It was, and It may be
that after all the Nicarasuan route Will
be adopted.
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