Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-03-02
Attorney Generals Decision
Regarding Canal Property.
NOTIFIES PRESIDENT
PAYMENT TO PANAMA CON
FORMS TO SPIRIT OF THE LAW.
Secretary Shaw Has Completed Ar
rangements and United States May
Have Property in Thirty Days.

A conclusion of the negotiations for the
title TO the Panama canal property is in
sight Within thirty days, perhaps in a
shorter time, the United States will be in
full possession of the property and the
money consideration will have been paid to
both the republic of Panama and to the
New Panama Canal Company
Attorney General Knox had a conference
today with the President at which the
whole subject so far as the legal phases
of ii are concerned, was considered and de-
cided. At the close of the conference the
Attorney General authorized the following
statement:
81 have advised the President that he is
authorized to pay at once to the republic
of Panama the S1O,OOO,OOO stipulated for by
the treaty, the ratifcations of which have
just been exchanged. Also, that ne is au-
thorized to pay to the New Panama Canal
Company the S400O0,OOO which, under the
agreement between the United States and
that company, we are to pay for it's prop
erty, and have notified the canal comp my
We are ready to close the transaction.
The details in connection with the trans
fer of the canal company's property should
not require more than thirty days"
The Title Good.
1t appears that, after thorough consid-
Grafton of the entire subject Attorney Cen
eral Knox is satisfied perfectly with the
title which the canal company is able to
pass to the United States. In his opinion
IL VIII not be necessary to pursue the in
veStigation further Mr. Knox declines to
discuss the pending litiga ton in the French
courts. but the inference, from his author
lied statement, is plain that he does not
regard 1t as serious menace TO the validity
or the title to the property which the COM
United
1t has not been determined how soon the
S10,oO0,OOO will be paid to the republic of
Panama, but 1t is quite likely that payment
Will be made very soon. Some details re-
gardlng the transfer of the canal company's
property remain yet to be arranged but
tEe transfer. so far as its legal aspects are
concerned may be made. according to At
torney General Knox, in even less than
thirty days.
Conformity With Spirit of the Law.
The opinion of the Attorney General is Of
interest in that it decides that the Spooner
amendment directing the President to pay
the Slo,OO0,00O to the republic of Colom-
bia is sufficient authority in spirit for the
payment to Panama
The French courts have set March 10 as
the date for hearing the application of Co.
lombia for a permanent Injunction against
the Panama Canal Company for the sale
of their property to the United States. but
the Attorney General is evidently of the
granted and that the temporary injunction
now in force will be dissolved at that time.
May Soon Call Upon the Banks.
Secretary Shaw practically has completed
arrangements at the Treasury Department
for the money necessary to meet the obli-
cations incurred through the purchase of
the French companys property. 1t is like
ly that in short time, he will issue a
call upon the banks which are depositories
OF government funds for the money to be
paid out His arrangements have been eff
fected in such a manner not to disturb
seriously the financial condition of the coun-
try.
Secretary Shaw has on hand sufficient
money to pay the sl0OO0OOO to Panama
without calling upon the national banks
for deposits of government money lodged
with them, but just soon as the 100000
900 must be paid to the Panama Canal
Company Secretary Shaw will call upon
the banks for 20 per cent of the deposits
now with them.
Legislation for Panama
Senator Dryden of New Jersey of The
Senate committee on interoceanic canals
Senator Aldrich and Senator Alger talked
today with the President about the legis!a-
ton that will be needed for the government
OF the strip of territory in Panama ac-
oUired by the United States Although a
small piece OF ground. it must be placed
under some form of government. and ths
republicans must decide what laws they
will enact for it's control by this country
The experiences in colonial government so
far. and the general knowledge of the Pan
anna country, will enable wise legislation to
be placed on the books. it is said. Senator
Dryden said his committee would take up
the subject at once in fact, 1t had begun
10 do 50 today. The work would be of con-
siderable Importance and time would be
taken in framing the legislation TO be re-
ported 10 the Senate.
Col. Gorgas to Come.
Having acquired the right of way for the
Panama canal, the United States now pro-
poses vigorously to take steps looking to
the protection from Malaria and yellow
fever Of the large number of Americans
who undoubtedly will be attracted to that
section when the work of construction be-
gins. The possibility of yellow fever
epidemic on the isthmus is a subject which
has occupied the attention of medical Of
ficers of the army. a result of which 1t
has been decided to bring Col W. c.
Gorgas. the yellow fever expert of the
army. TO Washington for a conference with
Admiral Walker
A Recognized Authority.
In some circles il was felt chat at least
one member of the Panama canal commits
sion should have been a medical officer
providing for the commissions personnel
this was found impossible. However 1t
IS now proposed to bring to the aid OF the
commission the advice and experience of
Col. Gorgas. who. is well known. is a
recognized authority on yellow fever, and
who performed such efficient work In Ha-
vana during the American occupancy. He
Is an immune and will go to the isthmus
prepared 10 put into execution the meth
DDS adopted by him in Havana which
brought such effective results. yellow fever
in that city now being a thing almost un-
heard of. In all probability. If Col Gorgas
Is given a free hand he will have as his
assistants the trained corps of men who
performed such excellent work in Havana.
Panama Commission Nominations.
The Senate committee interoceanic
canals today agreed to report the nomina-
tions of the Panama canal commission with
favorable recommendation. The Kittredge
bill for the canal government was referred
to q subcommittee of i've TO be named by
Acting Chairman Platt