The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1905-02-21
EXPLAINS DIRECTORS FEES
EXTRACTS FROM CANAL CON.
MISSIONS MINUTES.
explanatory Letters Laid Before the
House Commiftee-No Action Ia
ken-Ancndance Fees Paid to Gu
nal Commissioners as Dtrec.ors OF
the Panama Railroad, Says Admiral
Walker.


the Panama Railroad. Says Admiral
Walker.
washington. February lS.-The fci-
lowing extract from the minutes of ire
1sshmian Canal commission OF its meet
tng held October 1Ith last. explanatory
o. the directors fees taken from The
Panama Railroad Company by men,
hers OF the Canal eommission was laid
before the house committee on inter
state and foreign commerce at the con-
clusion Of its hearing today. BY Chair.
man Hepburn. having been received
by him from Commissioners Harrod
and Gz'unsky In letters dated today:
The commissioners were also INFORM
ed By the chairman that at q recent
conference with the president the mat
ter OF the attendance fees paid TO the
directors attending meetings r,ovidei
by the bylaws OF the Panama Railroad
Company was referred to and that the
president desired the commission to
be informed that his order fixing the
compensation OF the commissioners Was
not intended to prevent the acceptance
oS such fee"
No action in the matter was taken by
the committee.
The letter OF Commissioner Grun5ky
sncloseS communication from him To-
vice President Drake of the railroad
company of September 18th last. IN
which he returns Unopened" an envsl-
ope containing his fee for the FIRST
meeting which he attended. He says
he could not construe the attendance
fee other than compensation and must
decline to accept II.
Wee President Drake in his testimony
today said members of the canal con-
mission had received pay for attend
Ing directors meeting and thai na
would produce an iternized statement
OF the sums paid William Nelson Crom
we'll. general counsel foc the Panama
Railroad Company, for the past fifteen
years, stated that he negotiated the
transfer of the stock of the company
and is now engaged in acquiring, un-
der instructions from the secretary OF
war. the outstanding stock Of the COM
pany for the government.
Mr.. Cromwell stated that the Panama
Railroad Company positively had no
connection whatever with the trans
continental railways OF this country
Mr.. Cromwell said the government
dividend amounted to $334,9 on Feb
ruary 1st, and that dividends were paid
On 81 shares standing in the name OF
Admiral walker and on seven staId-
ing in the name of seven other mem
bers of the Canal commission.
Regarding the question of fees for
attendance accepted by the Isthmian
Canal commissioners as directors OF the
Panama Railroad. Armird walker.
chairman of the commission today said:
Every company pays attendance
fees 10 its directors When the mem-
bers of the canal commission were made
directors of the Panama Railroad COM
pany this matter Of the attendance fees
vas taken up. Some OF the comIns-
sioners thought that they were entitled
to these fees and others thought not.
AS chairman of the commission I went
tc President Roosevelt and told him
that under the presidents order there
was difference OF opinion among the
members as to whether they should ac-
said that this fee should be taken as o
matter of course and that the matter
was too small to talk about. AZ the
next meeting of the commission I told
what the President had said. AL OF
the members Of the cana. commission
did take fees. There have been two
meetings q month. There II no law
that prohibits the members Of the com.
mission from accepting such fees The
only hesitation was as to the terms of
the PRESIDENTS order and when we went
70 him on the subject he Fa4d that he
had no intention to stop these fees. Ono
cay a New York man INST me. tstd me
he owned 100 shares Of the stock and
wanted to know IL I wanted TO buy
them. I consulted Secretary Taft and
be said that we had better buy bt and
I told him that we should pay for IL
at par. Secretary Taft aEreed to this.
favoring our purchase Of the stock
II wired for the purchase. the stock
was turned over to me and the treas
urer OF the commission, Admiral Ken
ny, paid the ten thousand dollars for L.
7 gave six of the shares to the other
members OF the commission fthat IL
one to each) and had "a left In my
name as chairman. Then ! bought an
additional odd share. All this stock In
held IN trust for the United States All
ot these shares belong TO the govern
ment and no member Of the sommis-
sion holds any OF the stock personally
or to his own profit in any way. The
first dividend was recently declared
and the checks Hereunder arrived for
the commissioners who were here In
the city. Secretary Taft said to en-
corse them to him as secretary sf war
and that he would endorse them over
tc, the secretary OF the Treasury. This
has been done, that II all there Is
to IT"