The evening world., 1909-02-22
RA|NEY STRIKES
BACKONP PANAMA.;
HITS CROMWELL
DiSsects Isthrnian Treaties and
Declares He Has Not Yet
Begun His Fight,

WASHINGTON, Feb. 22.-Assertins
that his recent speech in the House
relative to the purchase by the United
States Government OF the Panama Canal
had brought upon himself "vilifcation
m!srepresentatio and abuse almost
without a parallel in the history Of that
body" Representative Balney, OF I'LL
nois. to-day delivered In the House Of
Representatives lengthy speech In re-
pix to the charges that the Information
upon which his remarks were based was
obtained by ''ex-convicts and backmal.
ers.' this accusation having been made
openly in the House OF Representatives
by Representative Lowering, of Massa.
Chusetts.
TRUE loyalty to this great enter
PRISE" Representative Rainey said,
means that you must expose and de-
nounca all kinds of graft in connection
with 1t in order to avoid the pitfalls
in which the French companies fell and
| propose to do this. whether IT meets
with the approval OF the next President
Of the United States or not,
Has Not Yet Begun Fight.
Il want to say to all those who are
spending so much time abusing me that
have not yet commenced this fight
have only trained my guns on some OF
the least Objectionable features In con-
nectlon with Panama matters
Representative Ralney said that he
did not attack the canal. but simply
attacked the graft connected with the
enterprise. He asserted that Represent
atIve Lowering had not attempted TO
leny single fact he had stated, but,
after making his charges, proceeded to
eulogize William Nelson Cromwell.
Il never heard until he made his
speech that any persons were trying TO
get MIR. Campbell to purchase any al
legged evidence OF the guilt OF Mr. Crom-
we'll" he said. "l knew nothing OF any
attempts to sell any story 20 the Dem
ocratic National Committee until the
gentleman made his speech on this
floor"
Mr.. Rainey further stated that the
evidence he produced in support Of his
charge OF graft In connection with the
buying of the canal nearly all was OBJ
tained from Panama. Then ne added:
The attack made was entirely uneX-
pected, and the next attack ! make
upon these gentlemen will be Just as
entirely unexpected by them when II
comes
Continuing, Mr. Rainey said:
MIR. Cromwell In the speech made by
him through Mr., Olcott OF New York,
has seen At to discuss his present efforts
to conclude n treaty between Colombia
necessity for some contribution from
Panama to Colombia a. her proportion
Of the public debt Of Colombia.
Tells Of Treaties
Referring TO these as the proposed
Cromwell treaties" Mr.. Ralney assert.
ed that Mir Cromwell proposes to 80
change the Hay-Bunau Varilla treaty
as to impose. upon this country an ad-
d,Iona burden OF ;i2590G9 And he
proposes that this sum shall be taken
lrom our treasury and paid, not to
Panama, but tn Colombia In addition
to that he proposes that for five years
after 1919 tile $4,000 We agreed to pay
Panama shall be paid to Colombia
direct.
In other words, by the treaties of
which he Is SO proud Panama deprives
herself for five years Of her fixed source
Of revenue and consents that II be paid
TO Colombia, and the United States con-
tributes from Its treasury 81, ~. 90 and
pays II to the treasury OF Colombia.
know of no precedent for Mr.. Crom-
wells treaties. No people In the world.
after having successfully completed a
revolution. have ever been ca.se upon
10 pay any portion OF the debt, foreign
or domestic, Of the country from which
they separated"
THE situation Mr.. Cromwell is en-
deavoring to force by the treaties is
tha. the United States Is to be required
to increase its treasury deficit and to
pay to Colombia, 81 ,25O, go, Panama i'm
poverishes herself By giving up the
81 2jOOf0 clearly belonging to her, and
gives up for five years after 1913 the
revenue we propose to pay her.
In return for this Panamanians are
to be admitted to the lucrative posi-
tiOns on the canal zone In our service
and. ultimately In order to permit
Panama to recOup her losses on account
of the Cromwell treaties, she Is to be
permitted to levy taxes upon the army
OF Americans and other employees We
have sent to the Isthmu' for the pur-
Dose of building the canal"
1T ese treaties continued Mr.. RAJ
ney. have already been approved by
the Administration in this country. It
remains TO he seen whether ,hey will
be ratified ny the General Assembly Of
Panama and by the Senate Of the
United States"