PANAMA CANAL.

Taranaki Daily News, Volume LV, Issue 80, 21 August 1912, Page 5

PANAMA CANAL.

POSSIBLE TEST CASE. By Cable—Press Association—Copyright. Washington, August 19. President Taft is inclined to veto the Panama Canal Bill unless the leaders of both parties agree to a resolution stating that the Bill does not imply the abrogation of the Hay-Pauncefote Treaty. This would permit of a test case in the law courts. THE HAY-PAUNCEFOTE TREATY. New Vork, August 19. President Taft is eager to show the world that the United States will keep to the Hay-Panneefote Treaty. Mr. Taft conferred with Representative Shirley, asking him to propose a resolution speci-fic-ally providing the right of any foreign shipowner to have the free tolls provision reviewed by the United States courts. Mr. Shirley promised to submit a resolution to a conference of -Dotn Houses, with a view to its ultimate submission to Congress. President Taft is holding frequent conferences with the Cabinet.

THE TOLLS QUESTION. Received 21, 12.20 a.m. London, August 20. President Taft despatched a special message to Congress, suggesting legislation permitting the passage of American snips without tolls, also to allow foreign nations to test the legality by lawsuit in the United States courts. Congress .will consider the message immediately. President Taft emphasises the importance to the United States of keeping solemn treaties, and declares that he is confident that exempting coastwise vessels of the United States from tolls is no infraction of the Hay-Pauncefote Treaty.