The Kimball graphic. (Kimball, Brule County, Dakota [S.D.]) 1883-1905, 1904-05-06
Uncle SAM PAYS
FOR HIS CANA.
Panama Company Gets $50, :
600, 600 in Paris and
Turns Over Deed.
IT WILL TAKE MUCH GOLD
Expected That a Considerable Dram o,
the yellow Metal Will Follow the
Remittance of Amounts to
Paris.

Washington, May 2.-Uncle sam has
paid the $4,000, 900 TO the new Panama
Canal company and the title to the
canal property rests with the United
States. The deeds are In the posses
sion of Assistant Attorneys General
Day and Russell. who will leave Paris
for Washington in Il few days. The
money was paid TO the canal company
ON he authority of Attorney General
Knox by y French syndicate II n
draft for the 500 600. drawn on the
treasury, is now on its way TO New
York.
This secret and unexpectedly speedy
action was taken by President ltooSe-
velrs order to prevent further delay in
the transfer through possible court
| proceedings by the few dissatisfied
stockholders of the Panama company.
The payment in exchange for the
deeds completed the deal in Paris and
it is thought that the transfer of all
the canal company's property on the
isthnlus took place today. Major Mar
brooke of tine engineers corps, who is
stationed at Colon, was instructed by
cable 10 receive the property in the
name of the United States, The rep
resentatives of the ana company ON
the istllmus We're ordered TO turn it
over to him.
Nv SIHtVpv'oOV u w litllb w i mum
within a few days, probably not later
Than Mondas, and the deal viii then
be completed.
May Drain America of Gold.
Tn presidents haste and the new ar
rangement, by which the New York
banks are shut out of active participa-
ton in the transaction, are likely to
result in a heavier Drain of gold than
has been anticipated. The draft of the
Paris cIrN4tp.f . ,Hjlt c,AnnitH- e., ,alAA,,,
the money is to be paid.
Some New York bank may be named
as agent or the syndicate may send
over one of its members as a represents
ative TO direct the exchange. When the
draft reaches Secretary Shaw it will
not have TO go through the ordinary
routine or be inquired into and passed
on by the auditor. The attorney gem
eral Will advise that it be paid and
that will settle ii.
The s27. SOC, 600 which has been accum-
uiated In the New York banks may
either be transferred to the credit OF
the syndicatc's agent, in which event
he will be given II warrant on the New
York subtreasury for the remaining
ST., 500. 900, or turned into the subtreas-
ury and the agent given a warrant for
the whole amount. The agent can then
either ship the whole sum in gold to
Paris or arrange the transfer by ex-
change.
Tho Financial Arrangements.
Paris, May Final details of the
financial operations involved in the Pa
rama payment are almost concluded.
the expectation being that an agree
ment will be reached today or tomor-
row. j. Pierpont Morgan is personally
directing the transaction and indica-
tons are that he and IL number of
American tinanciers will consummate
the transfer of funds. 1t is Nor
gan's intention to admit some leading
Paris n to a share in the trans
action, but the carrying u OF the
plan will be essentially in American
hands. The Associated Press is en-
abled to indicate from various sources
the main features of Nhe payment, as
follows:
The transfer of $40, 600, 900 from the
United StatV to Europe will be made
SO as not to disarrange the money
market of either country. Fol this
purpose the total will be divided into
a number of smaller amounts, leaving
America at intervals and thus not caus-
ing a strain at my one time. More
owe 1t is pointed out that as the bulk
OF the payment comes from the treas-
ury without its drawing on the banks,
there will be no undue strain on the
banks.