The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-02-19
CANAL COMMISSIONERS FEES.
ROOSEVELT PERMITS PAY AS
PANAMA n. r. DIRECTORS.
House Committee Also Learns Tnat Al.
mirai walker Holds % shares-The
Matter TO BE Probed furtber-Fee
was Returned by One Commits Oner.

House Committee Also Learns Tnat ADJ
r1iral walker Holds % shares-The
Matter TO BE Probed further-Fee
was Returned by Ono Commissioner.
WARRINGTON. Feb. is.-Two interesting
facts were discovered to-day by the House
Committee on Interstate and Foreigr
Commerce. which Is conducting an inquiry
Into the Affairs OF the Panama Railroad
Company. The first is that President
Roosevelt has told the members OF the
Isthmian Canal Commission, each Of whom
receives a salary OF 81, 900 a year, that he
does not regard the fees paid them for
attending meetings OF the directory Of the
railroad company as additional compensa-
ton.
The other is that Rear Admiral walker,
chairman OF the commission, has long been
stockholder Of the company. He holds
ninety-four shares in his own name. The
other commissioners each hold one share
for the purpose Of qualifying as directors
Tho amount received by each commits
sionnr for attending meetings OF the board
OF directorRis from 81 900 10 81 500 year
The information as TO the views OF the
President was communicated TO the COM
uittee in letter from Commieslo ners
anu lDey Luoy
learned the views OF the President through
Admiral Walker.
Commissioner Grunsky also sent to the
COMMITTEES copy OF letter written by
him to Vicc-Prosident Drake OF the railroad
company returning to him unopened
the envelope containing his fee as director
In attendance upon a meeting OF the direc-
tory. He oonsidered IL additional com
pensation. He did not refuse the envelope
at tho time they were passed around, be-
cause he did not want to embarrass his
colleagues who might think they were
entitled to receive the money.
These letters were considered In an execu-
tive session Of the committee. As the result
OF that meeting the COMMITTED will prob
ably 60 fu Their still into tho matter OF
what looks 10 them like additional com
pensation for the commissioners.
AT its open session the committee con-
Guided it's examination Of Vice-President
Drake and began that OF William Nelson
Cromwell, general counsel for the company.
Mr.. Drake was asked many question:
about the fees paid 10 directors for attend
Ing meetings of the board Of directors and
tho meetings Of the executive board. He
said that none OF the Canal Commissioners
serving as directors Of the railroad com
pany were paid mileage for attending
meetings. All the Commissioners had re-
ceived the fees, he said. Mr.. Drake also
said he would submit n statement show
ing inc mWQenQs tho members OF the cotf-
mission had received as holders Of the single
share OF stock 10 qualify them as directon.
This offer was made after he had told
about having sent a check for dividends to
officers OF the Government. holding the
stock as representatives of the Government.
SECRETARY Taft received 1884 ,s35 on the 5
per cent. dividend declared on Feb. OF this
year.
Mr.. Drake expressed tho opinion that
the railroad would still be an important
factor in isthmian transportation. even
after the completion OF the canal. He
said also that he thought the Govern
ment will have to continue paying $3.50 900
a year until 1909 for tho use Of the land on
which the railroad ia built At present
Panama receives the money which was for
merly paid TO Colombia.
Mr.. Cromwell told of the work no has done
in buying stock OF the company for the
Government. He said he owned thirty
shares when the Government began buy
ing the stock. He sold all but one share,
which he retained for the purpose Of keep
ing himself on the board OF directors
The most important declaration made by
Mr.. Cromwell was that there was absolutely
no connection between the Panama Rail.
road Company and tho txanscontinental
railroad companies The only way in
which n connection could be figured out
was through its contract with the Pacific
Mail Company, whch was controlled by
the Southern Pacific Railroad Company
interests.