The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1907-02-27
NEW ENGINEER GOES
AT ONCE TO PANAMA
CONTINUED from FIRST Page)

Of officials Of the commission. and. II
the Job is not completed by one set OF
officials It will be done by another.
The President's explanation for re-
jecting the oliver bid is as follows:
The purpose OF the contract was 70
secure. In the building Of the canal. the
services OF the best, the most expert
enced and most skilled contractors In
the country. at the least risk to them
and at the least expense 20 the Govern
ment- An investigation into the two
bids above mentioned shows that this
purpose of the Government has failed
In each bid the contractors Of expert
ence, whose personal services in the
work are what the commission has
sought. have made arrangements 10
divide the profits under the percentage
DID with bankers or others to whom the
contractors have had to look for the
needed capital, so that the contractors
VINO are actually 20 DO the work have ar
ranged TO accept comparatively small
proportion of the profits accruing under
the contract. In other words, the Gov
eminent by this arrangement is made
10 pay high percentage for the use Of
capital, which 1t might Itself have fur
niShcd At It much lower rate, while the
percentage which the contractors are 10
receive for the real benefit they are 10
confer on the Government is reduced to
very meager and perhaps inadequate
compensation No contract can ulti-
m0teiy operate 10 the benefit Of the
Government in which the contractors
energy, skill. experience. and personal
supervision Of the work are not ade-
Qultely paid for
Two other competent members Of the
engineer corps. Major Gallard and Major
SibeTt. will accompany Major Goethels
10 Ire isthmus ana assist him in his
laburs. They will be appointed on the
commission"
What Misunderstanding, il any. led
mp 10 the resignation Of Mr.. Stevens as
chief engineer, and OF the additional
duties and honors Of chairman OF the
commission also. has not been divulged
in the official correspondence. and there
arc many rumors One Is that Mr.. Ste
Vcns expected that his position would
be most delicate one II the job were
done by the Government, and ne would
be answerable for everything directly
10 the President. who. with an army
OF engineers. would likely deprive him
Of the glory to be obtained for the
work. II Is suggested in these same
quarters that Engineer Wallace fore
quickly and gracefully, thus bringing
the condemnation Of the President and
Secretary Taft upon his head: Chair
man Shonts foresaw such a situation
and slid out gracefully. as Mr.. Stevens.
following him, apparently Is doing
Officially. u Is said that Mr.. Stevens
has carried on the active operation on
the lsthmus with Great success the last
far greater progress than during thu
preceding one He. u is stated heartily
COncurs with the President In the belief
thar all bids should be rejected for the
best interests OF the Government Mr..
stevens, whose resl gCaticn was sent 20
the President ten ddvs ago through
Chairman Shorts and Secretary Taft IS
said 10 be DESTROYS OF leaving the 18TH
mus as sooa - possible, preferably at
the time Mr.. Shonts goes out. with the
close Of Congress Mr.. ShOnts' resig-
nation viii become effective. formally.
on Saturday OF this week, although he
has been in New York most OF the time
since he accepted the Ohtr Of the Inter
borough Metropolitan Railway Company
10 become tho head OF It's transpOrta-
ton system. Mr.. Stevens IS expected 10
remain AT his post, however, till Major
GOethals and his stan OF engineers can
arrive on the scene confer with him
and formally take out OF his hands the
great work
Major Cocktails has been instructed by
Secretary Taft 20 proceed 10 Panama at
the earliest possible moment. after hav-
ing prepared himself here for the work.
This he mas been doing the uIst week
since IL was first decided 20 place him IN
charge Of the work, IA case u should
be determined as the result OF the con-
ference at the White House las M12lly
that the canal bids should be rejected.
IL vas announced at the War Depart
ment today that Major GOethals and his
Major Sibert. Will start from Washing
ton this coming Friday for Colon Ma f3T
GOethals will 40 to the isthmus clothed
with all the present powers Of Engineer
Stevens, and he will also have the
powers, temporary, at least. OF Chair
man ShOnts, ill another chairraal is
formally appointed Ii is not thought
likely in official circles that the chair
manship will fall 70 Major G0ethals or
any other army engineer IL is suggest
ed. however. that II might possibly fall
10 Rear Admiral EnGlcOtt. until recently
chief OF the Bureau OF Yards and Docks
Of the Navy, who IS one Of the engineer
members Of the commission. Should
Major Cocktails at any time become in
capacitated for the work before him he
viii be succeeded by another army enEl-
nCer, but not necessarily one Of the two
who have been designated To go 70 the
isthmus with him. as his consulting as
sistants and fellow members Of the COM
mission