The sun., 1912-07-19
ENGLAND BASES CANAL
PLEA ON FRIENDSHIP
Great Britain Will Point Out
Generous Action in
Treaties.
REMOVED DIFFICULTIES
America VIII Reply That 1t Is
~
REMOVED DIFFICULTIES
America Will Reply That 1t Is
Entitled to Benefits Of
Its Own Labor.

WASHINGTON. July is.-The expected
supplementary statement Of the British
protest against the pending proposa
to permit American ships to Use thu
Panama Canal without charge did not
arrive at the State Department to-day.
A. Mitchell lnnes. Charge d'Afaires
and counsellor Of the British Embassy
called on Secretary Knox to announces
that he had not received any additional
instructions from his Government, nor
the formal document Of protest which
he had informed the State Department
was coming.
Inasmuch as the British statement
had not arrived, Secretary Knox and
Mr. Innee agreed they would not enter
upon a disoussion at this time. Mr..
Innes. who came to Washington from the
summer embassy at Kineo. Me-. for the
purpose Of delivering the protest. an
nounced he would remain until the docu-
msnt reached him.
Though the formal statement Of the
British position has not been received,
THR SuN CORRESPONDENT ID able to give
for the first time the reasoning on which
the British protest is based. Secretary
Knox. it can be said. is already in pos
session OF the arguments which Great
Britain advances In the formal document
now on its way to Warrington.
The British Government. In entering
protest against the proposed canal legis-
lation. will call attention to the fact that
Great Britain has from the very first
acted with the utmost good feeling
toward the United States. especially
in regard to the isthmian canal and mat
ters affecting South and Central America
generally
The United States will be reminded that
the British Government cheerfully en-
tered into an agreement facilitating the
construction by the United States Of the
Panama Canal. The removal Of the
difficulties in the way Of the construction
OF the canal by the United States. found
in the Clayton -Bulwer treaty. was proof
positive OF this friendly spirit it will be
stated. Had Great Britain refused TO
eliminate this treaty by declining to ne.
Gotiate the Hay -Pauncefote treaty. the
United States would have been seriously
embarrassed in its endeavor to construct
the canal.
The British Government il likewise
prepared to remind this Government that
Great Britain gave acquiescence to the
fortification Of the canal by the United
States while protest against its fortia-
cation was going up from other nations.
II was assumed by Great Britain. it will
be said. that the United States would CO.
incide with the British interpret alton OF
the Hay-Pauncefote treaty and open the
canal on equal terms to the ships OF all
nations. including American ships.
Great Britain 10 also prepared to enter
protests through her diplomatic repre-
sentatives here on behalf OF the ships
owned by Canadian railroads against the
provision In the pending bill barring rail-
road owned ships from the use Of the canal.
Among the answers to these arguments 9
which have been suggested to the State
Department and which have already be-
come known unofiicially to the British
Government are the following:
That the change OF sovereignty in
Panama since the Hay -Pauncefote tr rsaty
was ratified alters The status Of the entire
matter and renders the treaty no longer
binding. This argument. however. will
not In all probability be very strongly
urged. IL used At all. inasmuch as the Hay
Pauncefote treaty 10 generally interpreted
to the effect that no change Of sovereignty
in the territory through which the canal
passes shall Affect the obligations OF the
treaty upon the contracting psrties.
That the United States was and is the
only nation OF the world which could
have built the Panama Canal. The fail.
ure Of the attempts OF the French 10 cited
in support Of this statement
That no nation In the civilized world
could have for . moment supposed that
the United States was building the canal
a. matter OF philanthropy: that it must
have been accepted as q matter Of course
that the United States would seek to OBJ
tain profit from the canal. or at least gain
some return on its huge investment, and
that II must have been equally evident
that the United States probably would
choose to confer some OF the benefits
OF the canal upon ito own shipping.
In answer to these statements the
British oficials have further arguments
ready. They will hold that the United
States 10 the one nation which has the
least interest In the canal from a com-
mercial standpoint. inAsnuch ~ there
is practically no American merchant
marine engaged In foreign trade; that
II the United States desires merely a
return upon its investment II will inev-
itably. through the absence OF an A Ameri-
can merchant marine. receive such
return through the tolls paid by the
shipping OF other nations.
The canal bill was laid before the
Senate again to-day. Senator Brande-
gee Of Connecticut declared In favor of
the greatest commercial freedom in the
Use of the canal.
II would authorize the President to
fix the tolls" said he. "and to make
them applicable alike to the vessels OF
every nation Of the world, the United
States included
Senator Brandegee. who is chairman
OF the Senate Committee on lnteroceanic
Canals estimated that the cost of main.
tanning the canal would not exceed S4,-
10000 year.
There was considerable talk among
the Senate leaders about postponing the
consideration OF the question Of tolls
until the next session. The Democrats
are opposed to postponing action.
THIRD PARTY HELPS WILSON.
Alton n. Parker says RoOaevelt win
Draw From Republican,.