Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1906-02-06
WALLACE SPEAKS
IN OWN DEFENSE
TESTIFIES BEFORE SENATE
COMMITTEE
Explains Why He Felt Justified In
Resigning-objeoted to Red
Tape and Too Many
Masters
BY Associated Prers.

BY Associated Pres5
WASHINGTON, Feb. 5.-John Find
ley Wallace, former chief engineer Of
the Isthmian canal commission, today
testified before the senate committee
on interoceanic canals, which is in
vestigating the Panama canal affairs
He related the details of .his selection
as chief engineer and said he made
protest particularly against what he
called the red tape methods and a
multiplicity Of masters and then read
long statement. He first spoke of
the ''violent attacks upon me which
Secretary Taft and Mr.. Cromwell gave
to the newspapers last June" and
asked that judgment upon the justice
of that attack be suspended until he
had an opportunity to explain to you
why l think 1t was absolutely uncalled
for and unjustifiable." He declared
that the only basis for this attack was
q difference of opinion between them
AS to my right to decide for myself
when 1 thought the welfare of the en-
terprise and my own welfare justified
me in resigning my position. NV ap-
pointment," he added. named no
length of time l was to hold it and
was liable to be dismissed at any
moment by telegraph. Such being the
case 1 believed then and believe now
1t was my undoubted personal right
to resign whenever 1 thought necessary
to do SO provided that L took good care
that the work in my charge would suf-
fer no harm by my resignation"
Mr.. Wallace said that he came north
to have a private, talk with Secretary
Taft to explain the real reasons for his
resignation, ito put myself at his dis
posal, to assist him if he desired, in
securing my successor, ETC."
when 1 found myself confronted
with both Secretary Taft and Mr..
Cromwell" he said, "I contented my
self with giving as a reason for re-
signing the larger compensation
hoped to secure in another employ
ment. l did so because 1 thought that
reason would be accepted for the time
being and avoid the discussion of other
reasons in the presence of Mr.. Crom-
well. But soon found that they had
both come to the interview determined
to discredit me and if possible to de-
stroy my reputation simply because 1
insisted upon resigning when had be-
come convinced some other man in my
place could reader better service to the
enterprise under the conditions which,
with my concurrence, had been created.
Anxious to Answer Criticisms
Mr.. Wallace expressed his desire to
give to the committee all the informa-
ton in his possession resulting from a
years experience on the isthmus, and
in this connection said he would be
grateful for the opportunity to re-
ply to such criticisms as may have been
publicly made in any way affect
ing my honor as a gentleman, my 10y
atty as citizen or my reputation as an
engineer"
In regard to the type of canal he
asked to be excused from answering un-
til he had an opportunity to examine
the majority and minority reports of
the board Of consulting engineers.
Concerning his understanding of his
tenure of office he read from letter
written by the president at the time
the new canal commission was appoint
ed, stating that he would substitute
any other person whom he believed
better equipped to perform the duties
of commissioner. Mr.. Wallace said he
thought he had been placed in sec
ondary position so far as exercising ex-
ecutive judgment was concerned, after
Mr.. Shonts had been appointed as head
of the commission. He realized, he said,
that his opposition was such that fric-
ton was bound to occur between him
self and Mr.. Shonts and himself and
Mr.. Cromwell.
The inquiry was pursued by Senator
Morgan to determine "what Mr.. Crom-
well had to do with it," Mr.. Wallace
then read from a public letter issued
by Secretary Taft, saying that Mr..
Cromwell, through designation of the
president, had been acting in advisory
capacity on all matters relating to
canal affairs Referring to visit made
by Secretary Taft to the isthmus, Mr..
Wallace said that Mr.. Cromwell was a
member of the party and appeared to
be acting as go-betWeen in matters
pending between the Panama govern
ment and Secretary Taft. Letters were
read showing that Mr.. Cromwell had
brought about the appointment of Mr.
Wallace as president of the Panama
railroad. The first official notice of his
appointment to the canal commission
came from Mr.. Cromwell. and in the
latter's office he was sworn in, said
Mr.. Wallace.
Interview With Secretary Taft
Mr. Morgan examined the witness re-
garding his interview with Secretary
Taft in New York at which Mr.. Crom-
we'll was present, and said Mr.. Crom-
well sent a man to meet him at the
wharf, and that Cromwell called at his
hotel delegated by Secretary Taft to
arrange an interview"
Mr.. Wallace said he told Secretary
Taft there We're two reasons for his
trip, one personal and the other gen.
eral. When asked by Senator Morgan
If he had protested when Mr.. Crom-
well had been asked to remain at the
interview with Secretary Taft. Mr.. Wal
lace said
mo, l thought L had made my wishes
plain and was impressed with the fact
that the secretary seemed to be very
angry and was trying to suppress his
feelings. felt until my resignation was
accepted l was, the seeretary's sub
ordinate. | did not want to precipi-
tate any Ill feeling but the situation has
changed my entire attitude"
"How did you regard Mr. Cromwell
as an adviser or spy?" asked Mr.. Nor
gan, and Mr.. Wallace replied that he
simply felt that Mr.. Cromwell had a
great deal of influence with the seere-
tary. Senator Morgan asked what re-