Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1906-02-27
ASK CROMWELL
MANY QUESTIONS
By Associated Press.

BY Associated Press.
WASHINGTON, Feb. 26.-The exam
ination of William Nelson Cromwell,
who has figured largely in connection
with the sale of the Panama canal
property to the United States, was
begun to day by the senate committee
on interoceanic canals.
Many of the questions asked Mr..
Cromwell related to the interview at
the Manhattan hotel in New York re-
garding the resignation of Mr.. Wallace,
when Mr.. Wallace, Secretary Taft and
Mr.. Cromwell were present. There were
frequent tits between the witness and
Senator Morgan, because the former
was not more specific in his answers
to questions by the senator
1t eliminated dramatically at the
close of the day when Mr.. Cromwell
refused to answer various questions
asked by the senator and the latter de-
clared he would deal with the witness
in the senate when the facts regarding
the resignation of Mr.. Wallace came
out.
Mr.. Cromwell replied with some
warmth that that was the only safe
place to do it"
Says Money Has Been Accounted For
Mr.. Cromwell in his statement de-
paid by the United States government
for the purchase of the Panama rail-
road stock and for the French property
had been accounted for. He stated
that he declined to accept the position
of counsel for the canal commission
and that his activity had been largely
upon the invitation of the president
and the secretary of war. He said that
his only financial interest in the 18TH
~, Il Of G
a personal investment in the capital
stock of the Panama-American corpor-
alton, of which he owned $51, 800 out Of
total of $229,000.
This company, Mr.. Cromwell said, was
engaged in supplying the city of Pana-
ma with electric light, ice and telephone
service. 1t was a local and private
affair and he was induced to take
stock in the corporation in order to
assist local enterprise.
Received Nothing for Services
Another statement which Mr.. Crom-
well made that attracted much interest
was that in all his relations with the
government of the United States and
Panama, and even in the acquiring Of
the outstanding minority shares of the
Panama railway for the United States
which was brought about through Mr.
Cromwells activity and labor. not a
cent was received by him for his SER
vices. He stated that his final account
was in the government files and every
share of stock was now in the treasury
of the United States.
A feature of Mr.. Cromwells state
ment, and upon which he was closely
questioned, was with reference to the
retirement of Chief Engineer Wallace
and the testimony which Mr.. Wallace
had given before the committee. He
said that the explanation which Mr..
Wallace gave the committee was radio
ally different from that which he gave
at the time he retired, which was that
he had been offered larger salary;
that his reasons given after the Man
haitian hotel interview made no refer
ence to Cromwell; that in a letter to
Chairman Shonts the day after the in
terview no allusion was made to Crom-
well. Mr.. Cromwell quoted from this
letter in substantiation of this.
Mr. Cromwell also gave letter adj
dressed to him from Mr.. Wallace, dated
at Panama, May rs, 1906 says that his
mind repeatedly turned to the words
of advice and counsel which received
from you."