Abilene weekly reflector. [volume] (Abilene, Kan.) 1888-1935, 1905-09-21
SHONTS' STATEMENT
President Roosevelt Approves the
Markell Contract.
ALL PARTIES FAIRLY TREATED.
Tho SucceHafuI Bidders Experience
Counted in His Favor, Al
though Prices Were
No Higher.

oyster Bay, N. Y, Sept. ia con-
tract for the hotel and subsistence con-
cession on the Panama canal zone'
awarded to Jacob e. Markell OF Omaha,
Neb, by President Theodore p shonts
Of the Panama railroad company Will
stand.
This in effect, Is the decision OF
President Roosevelt, who Thursday APP
proved a report ON the subject made
70 him by Mr.. Shonts.
The contract amounts, In the az
Rrogate, to many millions OF dollars,
but Mr.. Shonts' report indicates that
Il may be abrogated. at the Will OF
thu government which actually Will
own the permanent plant used by Mr..
Markell in 'Hlling the terms OF his con-
tract.
The president Thursday authorized
the publication Of a report he had re-
ceived from Mr.. Shonts as president OF
the Panama railroad company, regard
ing the protest recently received by
MN from Hudgins & Dumas and H.
Balfe of New York, against the award
Of the contract to Mr.. Markell
The protest forwarded to the presi-
dent by Hudglns & Dumas and H.
Balfe alleged that they had not been
accorded fair treatment by President
shonts and that through a leak In Mr.
Ghonts' office, Mr. Markell had been
informed Of the nature Of their propos-
al and had been enabled thereby to
incorporate in his bid the menu which
Hudgins & Dumas had submitted
In this letter to the president Mr..
shonts says that on his arrival at the
isthmus on July 90 he found a most
pressing necessity for immediate ar
rangements for feeding the employees
and that II was determined by Gov.
Magoon, Mr.. Stevens and hlmselfsthat
this matter should be handled by the
Panama railroad and not by the 18TH
milan canal commission, as the COM
missary department was already In
charge of the railroad company and
that company was already operating
one hotel at Colon. Continuing he
says:
"As soon as the Specifications were
drafted we mailed to Mr., Markell, to
Hudgins q Dumas and to Mr.. Balfe
each a copy In the same form and In
vited proposals. We did not advertise,
because II was a railroad matter, and
because Of , the urgency Of the case.
I have had several cablegrans from
Mr.. Stevens since my return, asking
me to expedlate the arrangement, az
existing conditions were very bad.
All proposals were made upon pre-
cisely the same form Of specification.
When the proposals were received
found that Mr.. BaIfe's was so per cent
higher than Mr.. Markets In some
items, and that Hudgins & Dumas were
80 much under either Of the others
that feared there was some misunder-
standing on their part as to the mean
ing of the specifications. | thereupon
wrote them a letter simplifying the
specifications, going more into detail
and particularly calling their attention
10 two things: First, that the privi-
Iege IN regard to uncooked food and
other thing might have TO be with
drawn because Of our treaty agree
ments with the republic Of Panama Tin
case local prices Of the Panama mer-
chants were again reduced to a reason
able basls); and second, that the low
rates Of freight we had made via our
steamship line and railroad. and also
for cold storage, were limited absolute
~ 10 food supplies to be used By ouI
Employees; and I gave them an op-
Dorunity az they did not understand
the upeciheations) to amend their pro
p0sai They immediately amended
thefr proposal. raising their prices on
some items over 100 per cent. and
When they brought the amended pro
po1oai 70 ny once they thanked M
81 hryinE Urea. them ~ sddiuonal