The Providence news. (Providence [R.I.]) 1891-1906, 1906-02-01
EITHER
MALICE OR
IGNORANCE

| IN. general manager Of the Pacific MAJ
steamship company. was before the sen
ate committee on interoceanc canals yes
,erday.
His attention was called 10 a statement
made by Secretary Taft criticising the
service between Panama and san Francis
co for ITS part in contributing to the con-
| gestion of freight At Panama. In reply nc
| said
secretary Tafts statement was made
! either through malice. tending 10 injure
an American industry, or through isno-
| rance OF the causes OF the difficulties OF
| which ne has complained.
Continuing he said that the Pacific Mail
Steamship company operates nine regular
steamers on the Pacific coast, which
steamers sail on schedules approved by
Honduras. Mexico. Nicaragua and other
countries whose ports are interested.
The schedules provide for connections
with the steamers OF the Panama steam
ship company from New York by means
OF the railroad across the isthmus. The
schedules require the companies TO make
connections and exchange freight, said
Mr. Schwerin.
COMMERCE NEGLECTED.
LAS soon as control of the road passed
TO the United States" said Mr. Schwerin,
1.-THE conditions described began 10 grow
worse The railroad management cut the
wages OF men working on the docks.
which caused a strike, and our labor fol-
lowed
"As result we are both paying higher
wages than we were before for the poor
est labor I'm the world. II became the un-
derstanding that the United States had
bought the railroad 10 build the canal
and cared nothing for the commercial
business across the sthmus.
Commercial business was neglected and
IL was said by Secretary Taft, Mr.. Wal
lace. Admiral Walker. the former chair
man OF the commission, and others con-
nected with the building OF the canal, that
commerce was secondary 10 the move
ment OF canal material.
1T was Indifference that brought about
the congestion. II Is shown Just the same
in shipments by steamer from New YORK
a steamship may be loaded with com
mercial business and q rueh order he re-
ceived for canal material.
THE commercial business would be re-
moved and canal material substituted.
but we would be notified OF the shipment
OF the business destined for western ports
and receive papers for the business.
"The result is that we would receive
bills of lading and manifests for goods
that could not be found and our ships
would he delayed for days
I'VE found II impossible 10 segregate
the shipments for particular loading, all
OF which was due TO the inefriciency of
the officers OF the Panama Railway COM
pany."
RESPONSIBLE FOR DEMURRAGE.
Mr. schwerin said that lumber ship
ments from New York were held up SO
long that there were bills for demurrage
amounting to sls,6i7 between Aug 1 and
Nov 10 -la95. and tho Panama Railroad
will have these to pay.
lie said that the Pacific mail steam
ers were held up for longer periods and
there was no way this company can en-
force demurrage charges. He charged
that the railroad company had further de-
layed the Pacific Mail Steamship com
pany's ships by failure TO furnish them
with coal, "a they are required to do
under a contract, ana that when COM
plant was made To Superintendent Hunt
OF the railroad he said the fault lay with
higher officials
Mr. Schwerln said he had resorted 20
every means 10 bring about improved con-
ditions, even making a protest TO the
State department TO induce II 10 appeal
to Panama
Mr. Schwerin complained that the Pam
anna railroad had arbitrarily reduced rates
from New York to ports on the Pacific
coast. where the haul was divided be-
ltween the Panama Steamship company
and the Pacific Mail.
PUT ROAD OUT OF BUSINESS.
He said he was informed that the re-
duction was concession 10 the stee
trust which had protested TO Admiral
Walker. the former chairman OF the canal
commission. that the rates were cheaper
from Europe 10 Central America than
from New York to the same ports
Secretary Taft had then taken the mat
ter up. said Mr. Schwerin, and authorized
a reduction OF the rates
In the absence OF n contract. he added
the rate coul dnot be lowered except 10y
mutual consent and the adjustment OF
the rates is still pending.
Mr.. Schwerin made the statement that
the Tehuantepec railroad. across Central
America. will lie completed by June /.
and declared: THAT wfll kill the Amerl-
can commerce which now crosses the
isthmus."
He said that It would put the Panama
railway and the Pacific Mail Steamship
company's Panama line out OF business,
as by the new line there would be n re-
duction In the time from San Francisco
10 New York from "a 10 26 days"