Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1908-12-15

ana otner properly, real, personal, and 7
mixed, of every name and nature. own
cd by the New Panama Canal COM
pany, of France, on the lsthmus OF
Panama, and all its maps, plans, draw
ings, records on the Isthmus of Pana-
ma. and in Paris. including all the
capital stock, not less, however, than
sixty-eight thousand, eight hundred
and sixty-three shares of the Panama
Railroad company, owned by or held
for the use of said canal company, pro-
vided satisfactory title to all of said
property can be obtained
Duty to Purchase Property.
1t thereupon became the duty of the
president, in execution of this statute,
to purchase the property specified from
the New Panama Canal Company OF
France, provided he could obtain q
satisfactory title.
The department of justice was IN
stlucted to examine the title and after
such an examination Attorney General
Knox reported that satisfactory title
could be obtained. Payment of the
purchase price was thereupon made to
the New Panama Canal company in
accordance with the act of the con-
gress. and the property was conveyed
by that company to the United States.
1t was no concern OF the president OF
of any officer of the executive depart.
nent to inquire as to what the New
Panama Canal company did with the
| money which it received. AS mat.
o. e Ar
| company did distribute the money be-
tween its shareholders and the share
| holders of the preceding Panama
Canal company in accordance with the
decree of French court. and the rec
| ordS of the French court show who
| were the shareholders who received
the money; but that is no concern of
! ours.
| Attempt to Form American Company.
/ call your attention to the accom-
panying statement as to the attempt to
| form an American company in 1899
| for the purpose of taking over the
property of the French company. This
attempt proved abortive. There was
no conccalment in it's effort to put
through this plan; its complete fail
ure and abandonment being known to
everyone. The important points set
| forth in the accompanying papers and
in the papers to which l have referred
you, are as follows:
| The investigation of the history,
physical condition and existing value of
the enterprise by the congress, result
ing in the enactment of the law of
1902 authorizing the president to ac-
quire the property for the sum of S40,-
| 100000 upon securing a satisfactory
title and thereupon to undertake the
work of construction; the failure of
the Americanization of the enterprise
in 1899: the transmission by me to the
congress from time to time of full in
formation and advice as to the rela-
tons of this government to transit
across the isthmus and under the
treaties, as to the negotiations ard
as to the progress and condition of
the work of construction; the previous
authorization of the sale to the United
States by the stockholders of the new
company and their subsequent ratifica.
ton; the examination and approval OF
the title by Mr.. Knox; the arrange
ments for payment through J. p. Nor
gan & Co. as the fiscal agents of this
government, and the payment accord
proper official receipts to the liq
uidators acting under the decree OF
the French court the French govern.
mental body having jurisdiction in the
matter; and finally, the subsequent ap
portionment and distribution of the
fund to the creditors and stockholders
of the two companies under that de
cree.
Approved Every Action.
The Panama canal transaction was
actually carried through not by either
the then secretary of state, MIR. John
Hay, or the then secretary of war, Mr.
Elihu Root, both of whom, however
were cognizant of all the essential fea
lures; but by the then attorney gen
eral, Mr.. 2. c. Knox, at present sena
, tor from Pennsylvania. / directed OIL
/ approved every action, and am respon
: sible for all that was done in carry
ing out the will of the congress; ant
the provisions of the law, enacted by
congress after exhaustive examination
and discussion were scrupulously com
!, piled with by the executive. While
5 the transaction was pending saw Mr.
: Cromwell but two or three times, an(
], my communications with him wer,
!. limited to the exchange of purely for
/
casionally saw him, in the same man
/ ner. l doubt whether Mr.. Root hell
any conversation with him. The al