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About Morning Oregonian. (Portland, Or.) 1861-1937 | View Entire Issue (Dec. 9, 1908)
TIIE MORNING OREGONIAN, WEDNESDAY, DECEMBER 9. 1908. ASKS CONGRESS TO INVESTIGATE World Calls Upon Legislators to Probe Panama Ca- nal Scandal. SAYS ROOSEVELT FALSIFIED Kdlrorial Writer Hashes to Kescuc. of Delran Miiltli and Alleges Tliat President Made Deliberate Misstatements of Facts. NEW YORK. Dec. 8. The New York World, to whlcli relKvan Smith, editor of the Indianapolis News, referred In his reply to president Roosevelt's at tack upon Mm as the authority for the artlrlo on the Panama Canal which ap peared in his paper and called forth the President's letter, says today: "In view of President Koosevelfs de liberate misstatements of fact In hi scandalous personal attack upon Mr. Delavan Smith, editor of the Indian apolis News, the World calls upon the Congress of the United States to make immediately a fuil and Impartial inves tigation of the entire Panama Canal scandal. "The investigation of 1906 by the Senate committee on Interoceanlc ca nals was blocked by the refusal of William Nelson Cromwell to answer the most pertinent questions of Senator Morgan of Alabama. Since that time nothing has been done, since after Sen ator Morgan's death there was no suc cessor to carry on his great work of revealing the truth about Panama cor ruption. V1m Cot the .Money? "The Indianapolis News said In the editorial for which Mr. Roosevelt as sails Mr. Smith: ' It has been charged that the United States bought from American citizens for $40,00".000 property that cost these citizens only 112.000,000. There Is no doubt that the Government paid $40,- 000,000 for the property. But who got the money? "President Roosevelt's reply to this most proper question is for the most pait a string of abusive and defama tory epithets. But he also makes the following statements as truthful in formation to the American people: The united States did not pay a cent of the $40,000,000 to any American citizen. The Government paid the $40.- 000.000 direct to the French Govern ment, getting the receipt of the liqui dator appointed by the French Govern ment to receive the same. There Was So Syndicate. " "The United States Government has not the slightest knowledge as to the par ticular individuals among whom the French government distributed the same. " 'As far as I know there was no syn dicate: there certainly was no syndicate in the united States that, to my knowl edge, had any dealings with the Govern ment, directly or Indirectly.' "To the best of the World's knowledge each and all of these statements made by Mr. Roosevelt and quoted above are untrue, and Mr. Roosevelt must have known they were untrue when he made them. "As to the detailed distribution of the Panama loot, only one man knows it. and that man is William Nelson Crom well. The two men who were most In Mr. Cromwell's confidence1 are Theodore Roosevelt. President of the United States. and Ellhu Root, formerly Secretary of War and now Secretary of State. It was they who aided Mr. Cromwell in consum mating the Panama revolution, arranged the terms of the purchase of the Panama Canal, made the agreement to pay $40,- 0. 000 on the canal properties, and additional $10,000,000 for a manufactured Panama Republic, every penny of both of which sums was paid by check on the l nlted States Treasury to J. P. Morgan Co. not to the French government, as Roosevelt says, but to J. P. Morgan & Co. Based oa Summary. "The natural query of the Indianapolis News as to "who got the money' was based on the World's historical summary of Mr. Cromwell's connection with the Panama Canal. The inquiry was origin ally me worlds, and the orld accepts Mr. Roosevelt's challenge. If Congress can have all the documents In the case. as Mr. Roosevelt says, let Congress make a complete investigation of the Panama Canal affair, and In particular of William elson Cromwells relation wtih the French company, with Panama and with the Crovernment of the United States. Let Congress officially answer this ques tion: vt no got the money "r "The old French company organized by Ferdinand de lesseps In 1ST9 fulled in 1K8. years before Mr. Cromwell's rela tions with President Roosevelt began. . As Mr. Cromwell testified before the Sen- am commute on eoruary as, isos. "we never had any connection with the so called De Lesseps company. Neither did the United States Government conduct negotiations with the old French Panama Canal Company." "What Mr. Cromwell did represent was the new Panama Canal Company, the American Panama Company, and the $5, COd.OtO syndicate which he formed to finance the new company. After Mr. Cromwell had testified 'I do not recall any contract," Senator Morgan produced a contract reading 'Panama Canal hear ing" (vol. II. p. 114): Cromwell's testimony, "in May. 1904, I, representing the New Panama Canal Company, and Judges Day and Russell, representing Attorney - General Knox, consummatod' the transfer and sale to the United States. "Mr. Roosevelt says 'the Government paid this $40,000,000 direct to the French government." "Mr. Cromwell says that the United States paid the money to J. P. Morgan & Co. "Mr. Roosevelt says the French gov ernment distributed the sum." "Mr. Cromwell testified as to how he distributed it. "'Mr. Roosevelt talks of getting the re ceipt of the liquidator appointed by the French government to receive the same. "Mr. Cromwell testified: Explains Payments. " "Of the $45,000,000 thus paid by the United States Government. $25,000,000 was paid to the liquidator of the old Panama Canal Company under and in pursuance of an agreement entered Into between the liquidator and the new company. Of the balance of $15,000,000 paid to the New Panama Canal Company, $12,000,000 has already been distributed -along the stock holders and the remainder Is being held awaiting; final distribution and payment. "What follows is further eloquent tes timony taken by the Senate committee: " 'Senator Tallafero There Is $3,000,- ooo r "'Mr. Cromwell Three million; yes, sir." " 'Senator Tallafero Who holds that money?" " 'Mr. Cromwell The new Panama Canal Company In its treasury." "And yet Mr. Roosevelt says that 'the United States Government has not the slightest knowledge' as to the distribution of the $40,000,000. and that this was the business of the French government.' As to Statement. , "As to Mr. Roosevelt's statement that 'there was no syndicate." he could have read the syndicate subscription agree ment on -page 1160, vol. 2. of the testi mony before the committee on inter oceanlc canals, if he had cared for the truth. "That the United States Oovemoment was not dealing with 'the French gov ernment' or 'the liquidator appointed by the French government,' or with Colom bia, or with Panama or any one else except William Nelson Cromwell and his associates, is made still more plain by the description of Senor J. Gabriel Duque as to the Panama revolution and as to the manner in which Mr. Cromwell got $10,000,000 additional from the United States Treasury, senor mique saia: " 'Mr. Cromwell made the revolution. He offered to make me president of the new republic and to see me through if 1 would raise a small force of men and declare a secession from Colombia. He made promises that we should have the help of his government, it was accom panied by a liberal use of money. We bought this General and that one. paying $3000 to $4000 per General. The Colom bian officers were all paid off and the Colombian General who was sent to stop the revolution was also bought off.' Cromwell Is Elected. "Then Mr. Cromwell, having been elect ed by the Panama Republic as general counsel, and he and J. P. Morgan having been appointed a 'ftecal commission," ne gotiated with President Roosevelt ' by which the United States paid $10,000,000 to the "fiscal commission" lor Mr. Crom well's Panama Republic. Of this money three-quarters Is still under the control of the 'fiscal commission." Why did the United states pay 40,- 000.000 for a bankrupt property whose con trol could undoubtedly have been bought In the open market for less than $4,000,- 000? "Who were the Panama Canal Com pany? 'Who bought up tne oongauone or tne Old Panama Canal Company for a few cents on the dollar? Asks About Money. Among whom was divided the $15,000.- oon paid to the New Panama Canal Com pany? Whether L'ougias rcomnson, wno is Mr. Roosevelt a brother-in-law, or any of Mr. Taft's brothers, associated himself with Mr. Cromwell In Panama exploita tion or shared In these pronts are In cidental to the main issue of letting In the light. Whether they did or did not, whether all the pronts went Into William Nelson Cromwell's hands, or whatever became of them, the fact that Theodore Roosevelt, as President of the United States, Issued a public statement aoout sucn an impor tant matter, full of flagrant untruths. reeking with misstatements, challenging line by line the testimony of William Nelson Cromwell and the official record, makes it Imperative that full publicity come at once through the authority and knowledge of Congress." IS CHAMPION OF ItOOSEVELT Star Replies to World Over Panama Canal Money. Empowered to Act. " 'Mr. "William Nelson Cromwell Is ex clusively empowered under the formal agreement with the board of directors of the Compagnie Nouvelle du Canal Pana ma (New Panama Canal Company of France) to effect with an American syn dicate the Americanization of the Panama Canal Company on the following basis.' "The basis on which Mr. Cromwell was exclusively empowered In this contract was that an American Panama Canal Company with a capitalization of $60,000. t preferred and $45,000.oon common stock should be organized to take over the Pan ama t'annl concessions and all other property belonging to the new French Panama Canal Company, which had bought the same from the old De Lesseps company. This company was incorporat ed in New Jersey with dummy directors. There was also incorporated in New Jer sey with dummy directors the Inter Oceanlc canal Company. ".-natir Morgan unearthed a copy of tiie lo.'O'.ono syndicate agreement, which provided that t lie subscribers should con tract with William Nelson Cromwell to pay t3.vtl.0M) In cash and to take their several allotments In the enterprise. Jive Million Enough. "Five million dollars was more than ample to -buy the majority of the eld Panama stock. As the World said on October 25: " 'Mr. Cromwell applied to the canal situation the methods of American high finance by which a syndicate takes over the property of a bankrupt concern, then creates a holding company and a recapi talization, keeping the majority control In a syndicate trusteeship." "Following that, to quote from Mr. CINCINNATI, Dec. 8. The Cincinnati Times-Star, of which Charles P. Taft Is editor and proprietor, today publishes the following reply to the articles on the Pan ama Canal which appeared in the Indian apolis News and New York World: 'The New York World, the paper which was responsible for most of the talk about 'the Panama Canal scandal during t.ie recent campaign, says' this morning: "Whether Douglas Robinson, who is Mr. Roosevelt's brother-in-law, or any of Mr. Taft's brothers associated himself with Mr. Cromwell in Panama exploitation or shared in the profits is Incidental to the main issue of lettir? in the llgiit." "This statement is Intentionally mis leading. The Panama story was used In the campaign for political reasons solely. Tne one thing that gave It political value In the eyes of those who used it was the fact that the story as printed, carried the names of a brother of the Republican candidate for the Presidency an9 a broth er-in-law of the President. The Infer ence was plain enough. It was that Theo dore Roosevelt and w. H. Taft had used their influence as high officials of the United States Government to help near relatives in looting the Treasury at Wash ington. That was the meat of the story. If the names of Douglas Robinson and C. P. Taft had not been included In it. flimsy and absurd as it was. the lying yarn would never have been used by the World. But the World, the Indianapolis News and other papers, for one reason or another, wanted to defeat Mr. Taft and discredit Mr. Roosevelt. The World! is trying to dodge the Is sue. It wants to be relieved or the re sponsibility of trying to drag the names of Mr. Robinson and Mr. Taft Into its ade-to-order mess of scandal and Blfme. "Both the World and the Indianapolis News are crying, 'Let in the light.' We thoroughly agree with them. But a little time has passed and after the most des perate efforts the cornered World and News have produced all evidence they can. An apoioKy wouia oe in ara-r irora those newspapers. In the meantime. Mr. Tart reserves the right to take legal steps which possibly have been made more desirable by the events and insinuations or tne past n hours.'" Glove and Merchandise Orders at Every Counter. Save Bother About Sizes Portland's largest and best picture store. .Framing a Specialty. ' MAIL. ORDERS PROMPTLY FILLED Free Art Embroidery ( Lessons by a New Teacher From the East January Delineator, 15c By the Year, $1.00 Our Great Annual Xmas Sale of Gloves 2 Trefousse Gloves 1.48 $1.75 Chamois Gloves $1.25 $4 Long Kid Gloves $2.49 Women's 3-clasp Delorme quality Trefousse Gloves of real French kid, very best quality they make, and absolutely perfect; overseam style, in tans, browns, modes, slates and white; self and black stitching'; a jrlove never sold for less than -?2 a pair; "I f Q Lipman-Wolfe 's crreat special tJJl.T'O $1.50 Kid Gloves at 59c On our bargain counter only, while they last, a lim ited quantity of $1.50 Kid Gloves in black CQ only, all sizes, pique finish Ji7C '$1.50 Dress Gloves 89c Bargain Table No. 2 Women's overseam dress Gloves, in black, white, oxblood, slate, tan QQ and browns; always sold at $1.50 pair OJ7C Women's one-pearl-button tailored washable chamois Gloves, all sizes? every pair fitted; 11 always $1.75 everywhere.' P $4 Long Cape Gloves ,$2.67 EXTRA SPECIAL 12 and 16-button length Kassan Cape Gloves, made by Relsem of London; none bet ter at anv price; always $4 a pair; as flJO f7 Holiday leader p.Vt I $1.75 Gloves, Pair $118 Three lots of women's Gloves, comprising 1-clasp Mocha, 1-clasp Dent style cape, and 6-button length Bjnrritz Gloves; all sizes; value to $1.751 1 O your choice for only. r Full 16-button length real Kid Gloves, ") Q tan, brown, black and white; reg. $4... $3 Gloves, 8 & 12 But. $1.87 8 and 12-button Real Kid Gloves, in tans. brown and black. Worth $3.09 a CI ft7 pair, Christmas sale price jp 3-Clasp Kid Gloves $1.75 Our best 3-clasp ReaJ Dress Kid Glove's, overseam finish, black and all colors. Ladies and Boys' Dent's All styles of 1 and 2-clasp genuine Lon don Dent's Gloves for ladk-s and boys. Manila. Havana and iroldenrod shades. Complete range of sizes from little tot' 0000 to lady's size 7 $1.23. $1.50, $1.76. 82 100 Trim'ed Dress Hats ' 0 A Val. to $10 at $4.89 These stunning dress hats come in black and colors. The styles are unique, many entirely different from anything you've seen. Just the thing . for the remainder of this season's wear Each hat i trimmed in an individ ual ttyle by a well known New York milliner, copying after Paris mode's. Small, medium and large hats, trimmed only with high-grade materials. Latest smart shapes. Altogether about 100 hats selling regularly at $7.50, $9.50 and $10.00. The biggest values of the season in ultra-smart &Q trimmed hats 4OI Pellard Tailor-made Suit! Black Heatherbloom Petticoats Reg. $3 Hydegrade Quality $1.79 At Clearance Prices Five distinct styles of finest quality rustling "Hydegrade" Heather bloom Taffeta Petti coats, made in tucked, shirred and tailored styles, with full flaring circular flounces. An assortment of over 200 Petticoats from which to select. Heather bloom Taffeta Petti coats are better than ordinary silk taffeta Petticoatsbecause they are equal in appear ance, wear twice as long and cost half as much. Jtk Children's Christmas Books, illustrated in color Only once in a season do we hold a sale of these superb " Pellard " Suits, the only exclusive tailored novelty suits imported by any Portland store. Today we place on sale the remain der of our importation of the cele brated "Pellard" Suits altogether we offer about forty-five handsome new broadcloth suits selling regular ly from $50 to $125. Each model is exclusive. All in three sale lots at - $39.75 S4&50 $62.25 Regular $38 Suits 21.50 We also offer 60 high-class Tailored Suits, smartest new styles, in black and all colors $21.50 14 More Shopping Days to Xmas. The Children's Long fellow Illustrated i'l color. $2.50. The Orphant Annie Book Bv .lames Whitcomb Riley, illustrated. $1.5.'. The Arabian Nights 50 full-page illustrations in color, by Dulac, $5.00. The Muffin Shop Full-pare colored illustra tions, $1.25. Dream Blocks Pictures in color bv Jessie Wilcox Smith, $1.50. Alice's Adventures in Wonderland Peter- Newell illustration, $3.00. My Busy Days Profusely illustrated In col or, $2.00. The Runaway Boy Hv Rilev, illustrated .in col or, $1.25. Riley Child Verse Bv James Whitcomb Riley. $1.25. When Good Fellows Get Together Toasts, witty dayinjrs, clever , verse, V9c. Peter Pan Snecial illustrated edition by Rackham, $5.00. Ingoldsby Legends Special illustrated edition by Rockham, $5.00. Sprelnl llluvtrnteil edition In eolor l,nibM "Tulm From ShnkrKpenre' unit "I'lltcrlm'ji FIVE-VOLUME SETS STANDARD AUTHORS, CLOTH $1.50 SET R. 1. Stevenson Sir Walter Scott Rudyard Kipling Victor Hugo Honore Balzac Charles Dickens Nathaniel Hawthorne Hall Caine Leather Stocking: Tales Cooper's Sea Tales hdna L-yall Jules Verne Miirlitt U T. Meade Rosa N. Cary ALCAZAR ENGLISH CLASSICS, 200 VOLUMES 50c VALUE 29c More tha n 200 titles from the best writers. Books worth 50c each, printed in large, clear type and daintily' bound. Some of the titles: Abbe Constantine Bitter Sweet Black Beauty T.lttle Minister Reveries of a Bachelor -Aosop's Fables In His Steps The famous Henty and Alger Books O C for boys, about 100 titles, on sale at' ' CLOTH-BOUND BOOKS, AT 8c 150 titles of standard authors, neatly printed and cloth bound, such as Child's Garden of Verse Vicar of Wakefield Christmas Carol Cranford Inez Lamb's Last Essays Abbe Constantine Prue and I. etc. $1.18 FAMOUS BOOKS OF Among many hundred titles in this sale, we call attention to: m.,. inv.rtlnni Da u eh t er of t he Sou t h Tides cf Barnegat The Fighting- Chance A Minister s Wooing: Treasure Island Auiocrat of the Break-The Man Without a fast Table Country Alice in Wonderland And many other hooks. Poets, genuine padded QQr Standard leather, gilt edges, superbly printed' MASTERPIECES IN COLOR Masterpieces in color from the greatest artists, special, volume... Reynolds Turner Rosetti Romney RECENT world 's ...75 Ranhpl I-iffhton And Many Other Artists. FICTION AT 50c Emmy Lju Red Saunders Little Citizens Battle of the Strong; The Fair God The Brass Bowl David Hnrum Vei g-llius CH GIVES ii ROASTS Unmercifully Flays Gallagher, Wilson and Fusey. Discuss Panama Trip. WASHINGTON. Dee. . At the first meetlnsr of the House committee on inter state and foreign commerce today, a prop osition for a visit to the Panama canal Zone bv the entire commute before the end of the Christmas holidays was dis cussed. A subcommittee was appointed to ascertain whether suitable arrange ments could ba made. Representative Hepburn, of Iowa. Is chairman. One of the greatest lesthn belts in the world recently was completed t a Vhlla olph1 factorv. Three-ply. It was !. fct lonit by five wide, and reiuirod SOU hides in Us manufacture. SAYS EVIDENCE PERJURED Ulssects Testimony of Former Su pervisor and Tells Jury It Sliould Be Corroborated To Jury Late Wednesday. SAX FRANCISCO, Dec. 8. In an ad dress covering more than six hours Henry Ach, attorney for Abraham Ruef. grilled James S. Gallagher. Andrew M. Wilson and John L. Furey, ex-sup?rvi-sors who testified in regard to the bribery charge against Ruef. He denounced Gal lagher's testimony as "fillful. deliberate perjury." Mr. Arch's speech was a literal dissection of the testimony of each of the prosecution's witnesses. Ruefs case will go to the Jury Wednesday afternoon. Special Agent William J. Burns did not escape the wrath of Mr. Arch, who eald In his connection, "away with detectives who assassinate character." Air. Arch also referred to Mr. Burns as the "cre ator of testimony." Failed to Produce Krldence. Mr. Ach said that the prosecution had failed to produce any evidence besides the testimony of Gallagher. Wilson and Furey to .connect Ruef with the offer of money, and stated further that the Jury was bound to demand additional and corroborative evidence or return a verdict of rot guilty. In . his reference to the testimony of Latham, the chauffeur later indicted for perjury in connection with his evidence during the trial. Mr. Ach charged di rectly that Latham had refused to avail himself of the privilege of not testifying and had repudiated the testimony given previously under the direction of Mr. Byrns. Mr. Ach concluded without preroration .after he had been reminded by the court that hte time was drawing to a close. After a recess Thomas L. Dozier. of the defense, began the closing address at the evening session. TURNS DOWN RESOLUTION Governor Hughes Itefuses to Ap point Investigating Commission. ALBANY, X. y., Dec. 8. Governor Hughes has sent a rply to the resolution recently adopted by the Chamber of Commerce of New York City asking for the appointment of a commission of citi zens to investigate the conditions sur rounding the life Insurance companies of New York State and report to the Incom ing Legislature, in which he says It does not seem advisable to appoint sucli a commission at the present time. He says, however, that he will give consideration to any particular amendment of the law that may be suggested. Times from Teheran says the National ists at Meshada, a holy city of North eastern Persia, have routed the garri son and seized the Government offices. Fresh disturbances are reported at Hamadan, 165 miles from Teheran, Ker manshah and Talisu. - z n- ' "f - f y J ' ' PUT GARRISON TO ROUT Nationalists Score Victory at Mesha da and Capture All Officers. LONDON, Dec. S. A dispatch to the DR. W. A. 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