The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-06-22
BOWEN TELLS His SIDE OF 1T.
OFFE RED AS BRIBE
TO SILENCE HIM.
Declares That Asphalt Lawyer Drew State
Department Protocol and Cites Two
Documents Bearing on MIR. LOOmts's
Ventures for Fortune in Venezuela.

the United States Herbert W. Bowen
lately Minister OF the United States to
Venezuela, intlmates that the alleged
shortcomings OF his predecessor at Caracas,
First Assistant Secretary OF State Francis B.
LOOMS, were covered up or ignored by the
State Department, and that shortly after
he transmitted the information concerning
Loomis's conduct in Office to Washington an
offer was made to him Of post that was
intended as his stepping stone to an Am
bassadorship. Mr.. Bowen says he regarded
the offer as a bribe to drop the LOOMS
matter and due to Loomis's agency, but he
says he declined 1t, personally advan-
tageous as it was to him, because he thought
that his duty to the United States demanded
that he should remain longer in Venezuela.
Concerning the prot oool" cahled by Mr..
LOOMS for the settlement of the claims
OF creditor nations against Venezuela by
arbitration, Mr.. Bowen says that although
Secretary Hay had previously cabled that
it would cover all those claims IT in fact
was confined merely to the claim of the
Bermudez Asphalt Company. and that In
Caracas the protocol was attributed to the
lawyer OF the asphalt company.
He. in fact, did draw it up says Mr..
Bowen
THE AsPERsIoNs on LOOMS.
Mr.. Bowen says that when he first went to
Venezuela in 1900 many rumors were current
affecting the honor and integrity OF his
predecessor. but that he did not have time
to investigate them then because OF the
difficulties in which Venezuela became
involved with France Germany. the United
States and other countries. When these
difficulties had passed reports of the alleged
corrupt conduct of Mr.. LOOMS while repre-
senting this country at Caracas again per-
vaded the diplomatic circles there. The
statement then goes on:
MIR. LOOMS. while Minister, was reported
to have used his public position to fill his pri-
vate purse by obtaining interests in con-
SESSIONS and in various Claims against the
Venezuelan Government. He was COM
monty thought also to have been in the pay
of the Berrnudez Asphalt Company and to
have made use Of his own official position
to give color to tho belief that the United
States Government was especially favorable
to the side Of that comrany in its controversy
with the Venezuelan authorities. had no
means OF refuting these scandalous state
ments. Their substantial truth was as
surned by my diplomatic colleagues as vel!
as by the general public at Caracas.
DOCUMENTS THAT PANIED MR.. HAY.
his was tle SITUATION III NdidtdS WHICH,
in February, 1904, while rearranging the
al ciives of our legation. found among them
n number of documents left by my prede-
Ccasor. They were in no way marked
private or personal. and We're presumably
legation PAPERS. These documents bore
ON the character and conduct of Mr.. LOOMS
while Minister to Venezuela, and trans
mittcd them at once to Washington. can
not better express my own feelings in re-
ga rd to their contents than in the words Of
the Secretary of State, who, in his letter
acknowledging their receipt, said: Il have
been greatly surprised and panied In read
ing the documents you sent me. About
three weeks later the Secretary wrote me:
81 think your responsibility in the case was
discharged when you brought the matter
to my attention.
| ma de no charges against Mr.. LOOMS
but simply transmitted the documents to
the Secretary of State as my superior OH
Ger This felt in duty bound to do. The
documents themselves, however, consti-
tuted very grave charges against the pro-
priety Of Mr.. Loomi-'s conduct and even
imreached his oalcia! integrity. ! include
some son Of them later. After the dis
covery of these documents was even more
helpless than before 10 refute the scanda-
lous reports concerning Mr. LOOMS, though
had reasonable grounds for hoping that,
if any effective means OF doing so were
ava liable. they would he communicated
to me after had sent to Washington the
documents rcfcrredto, which seemed to me
to furnish tangible basis for the reports.
But ! never received any further instruc-
tons or information in regard to them.
ASPHALT PROTOCOL.
BY Jan, Z 1905, had been so fortunate
as TO secure from the Venezuelan Govern
ment the authority to send this cibleGram
to the Secretary OF State at Wa,nington
President, Castro in order to settle pending
questions will fix at a,oo0.ooo bolivars the
annual sum to he paid to the allied and peace
Powers from the customs revenues. and
when they are fully paid he will continue to
nay that sum TO the German and British
boGdholders FIrthe1m"r" he vii aGr ..,a I'D
states for the sett cement OF all questions
which. having diplomatic character cannot
be lords Sc is ny wiling To bm, the !" as p
case and our other cases TO arbitration and
10 make provision fer future arbit1ationss,
nit TO arbitration the unsettled claims OF all
the other Powers. He will do that ! think.
when he secs that the American Government
II our sister American republics will make
treaties TO submit to arbitration, disputed
claims the Monr % Doctrine win not b"
accept tho 100000 offer. that YOU insist
that a protocol be signed at once submitting
our own unc-tons and the disputed claims
and that then permanent treaty Of arbitrn-
ton Of claims be made that will be salts
factory 10 All
On Jan. 10, 1906 Secretary Hay answered
by cable:
The President approves acceptance Of
s ,OoO oOo bolivars annually to he paid to all
creditor Powers from customs revenues.
dent could not interfere in any way in rela-
ton to German and British bondholders,
that being a question in which this Govern,
ment ia not concerned The President ap-
proves the suggestion Of an arbitration treaty
with the United States for settlement Of all
questions which. being Of a diplomatic char
acter cannot he settled by mutual consent
unsettled claims of all the Powers. except
contra ottial claims and bonds held by citizens
of other Governments The Department
will cable you bases of protocol for arbitra.
ton OF all disputed claims of the lnited
States and other nations. except bonds and
all other claims of a contractual nature. The
Department will take under adv isement the
ton.
The two countries were therefore prac-
tically agreed on the terms Of a general
settlement Of all disputes. and l awaited
the promised protocol. When 1t came in
a cable signed by Mr.. Loomis it covered only
the asphalt case. President Castro indig-
nantly refused to accept It, ! cabled to
the Secretary of States office:
The Venezuelan Government WAS astounded
to receive the protocol about the Bnrmudcz
case after being assured. in conformity with
your ca BILE gram. that YOU would send bases of
The Minister Of Foreign Affairs says he sent
the correspondence as to the matter 10 Wash
In gton by the last mail. The Venezuelan