Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1904-03-02
ACI ON CANAL TREATY
Steps Taken Toward Immediate
Peaceful Possession of
Isthmus of Panama
SPEEDY PAYMENT OF MONEY
Administrator Practically Decides to
Hold That the Legal Heir and AS
sign of the Republic Of Colombia Is
the Republic of Panama-Marines
Will Guard Line of Canal.

Washington, March 2.-As a result
OF long and animated session of the
cabinet yesterday all the difficulties ii
the way of the execution of the Pam
ANA canal treaty We're swept away
arrangements We're made for The
speedy payment of the money, and
steps taken looking toward the imme-
date peaceful possession of the 18TH
mus.
Under the advice OF Attorney General
Knox and former Secretary OF War
Root, two lawyers whose standing in
their profession viii not be questioned
the administration has decided to take
the ground that the Spooner act con-
veys all the necessary authority for
making the payment, both to the Pam
anna Canal Company and to the new
republic OF Panama, as provided in tho
treaty ratified last week.
1t took several hours to reach this
subject was carefully discussed, the re-
suit being that 1t was decided it would
not be necessary to appeal to congress
for any further authority to act, the
original Spooner act. taken in conjunc-
ton with the treaty ITSELF being as
stunned to be direct appropriation Of
the money.
Secretary Shaw will so construe the
law and will pay the money to Panama
as soon as anybody is designated to re-
ceive it. The money payment to the
Panama Canal Company in France Will
be made upon the passing of the title
by the stockholders of the canal COM
pany. AS soon as the payment to Pan
anna is completed the United States
will take legal possession OF the 18TH
mus and will hold 1t against the world.
No soldiers will be sent there for the
present. Orders to the Third regi-
ment OF infantry. including the two
companies at Fort Sheridan. have been
revoked. The line of the canal viii! be
guarded by marines.
All these important steps, which re-
suited from the cabinet session of over
three hours, followed upon the decision
that the Spooner law granted all the
authority necessary to complete the
title to the isthmus by the payment of
the money to the country which owned
the line of the canal and TO the COM
pany which owned the concession for
building it. In effect the administra-
ton has decided to hold that the legal
heir and assign of the republic of Co
lombia is the republic of Panama.
Acting under this decision the state
department was instructed to notify
Panama that the payment of 100000
coo to that nation will be made by the
United States whenever the proper
person is appointed to receive the
money. 1t was announced at the cabi-
net meeting also that the republic of
Panama, which starts out without any
I peculiar arrangement as to the dis
posal of the bonus it will receive from
the United States. Panama has de-
,ided to buy ss,000,000 worth of United
States bonds and hold them as an in
testment. the income to be used in
paying a portion of the ordinary ex-
penses Of the isthmian government, the
sum of $2,000,00O to be taken in cash |
md be used for the pressing emergen-
les In anticipation of the establish
nent Of an adequate system of taxa |
ion turnout the republic of Panama 1t
las reported to the cabinet that there I
vas money enough in the treasury to
make this payment at once, but it is
OF course. that some little
ime will elapse before Panama au-
horizes receiver for the money.
which, it is supposed, will be New
FORK bank.