Daily press. [volume] (Newport News, Va.) 1896-current, 1907-02-08
Reason Why The Contract is Not
Awarded 10 the Oliver SyRdi.
cate Finally Leaks Out.
ENGINEER WANTS TO Do THE WORK
Has Been Advised That il contrac.
tors Dig the Canal He VIII Lose
the Glory of Constructing lt-No
Decision VIII be Reached for at
Least Two Weeks.
fRy Associnted pressl

| fBy Associated Press).
+, WASHINGTON. ID. c., Feb. THE
administration has been brought face
to face with tho alternative OF re.
jectng all bids for the construction
OF the Panama Canal by contract or
losing the services of Chief Engineer
John +. Stevens.
! THIS is the reason for the delay
OF President Roosevelt. Secretary
Taft and Chairman Shonts OF the Ca.
nal Commission, In acting on the
Oliver bid. An effort has been made
10 get MIR Stevens to change his
mind. hut he has continued obdurate
and indications are that the admin.
lstralion VIII accede to his request
and the construction will be continued
by the government.
This information in regard to the
position taken by Mr.. Stevens comes
frpni source that cannot be doubt.
ed, but II has created some surprise
on account of testimony given Ly Mr..
Stevens before the Senate commit.
tee on interocean canals n year ago
f, He then said that he favored build.
ing the canal by contract. He was
OF the opinion that contractors would
be In better position to deal with
the question of laborers. 4Since then
ne has gone over the canal plans
I carefully and he now expresses the
| belief that the canal can be construct
Ell by the government, within period
OF ten years. His friends have HssJs
ed him that If a contract is letN
| construction he will be robbed oil 49,
credit of building this great water.
| way.
| Frequent exchanges OF cabeerams
between Washington and the isthmus
have resulted in demand by ar.
Stevens for the acceptance of his res.
ignation If the contract Is awarded
| IL is asserted by certain senator's
who have taken an unusual interest
in all matters relating to the canal.
/, that if one of the bids for the canal
4, construction is accepted. il will mean
that the administration has deter.
mined TO dispense with Mr.. Stevens
as the director of the canal construc-
! ton.
Conference Held.
Secretary Taft held conference
today with the President regarding
the canal contract for the purpose of
: determining upon course of pro.
! cedrre. The President and Score.
y tary Taft had before them the com
pleted bid of William J. oliver and
MS associates for the construction
OF the canal. After the conference
/ Secretary Loeb gave out the following
statement:
| The bid of the Oliver.McDonald
Pierce Combination has been receiy.
/ ed and examined and meets the for.
NAL requirements.
MT. Paul ID. Cravath. on behalf of
MS clients, the McA 'thur-Gillespie
Combination, has rogue, led n hearing
1919 y iihai dCllOn IL taken. In adj
dition to granting the hearing the
Secretary of War and the Isthmian
Canal Commission will make as thor.
ohgh an examination as possible into
the qualifications, experience. bust.
ness standing and achievements of
; Mr. Oliver and associates, and into
the responsibility of sureties."
No Decision for Fortnight.
! Secretary Taft and the commission
! Will probably need fortnight to com.
plete full examination of the bids
and report to the President. Score.
tary Taft later in the day made
known to Mr.. Oliver the result of his
tax with the President and framed
"a letter TO Judge O'Brien. divers
counsel, informing him just how tho
matter stood.
This letter stated among other