PANAMA CANAL

Wairarapa Age, Volume XXXI, Issue 10713, 11 December 1912, Page 5

PANAMA CANAL

CABLE NEWS

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TOLLS ON FOREIGN SHIPS

EQUALITY OF ALL NATIONS PRINCIPLE

(Received December 10, 1.10 p.m.) | L-ONDON, December 9. Sir Edward Grey (Minister for Forreign Affairs), commenting on tho despatch from Washington on the 14th November, states that there is no room to doubt that the provisions of tho Canal Act conflict with tho "equality of all nations" principle, which was the fundamental principle of the 1911 treaty. Ho recognises that many persons of note in the United States hold that tho treaty is not infringed, hence? there is perfect readiness to submit tlio question to arbitration.

SECRETARY OF WAR'S REPORT

I DEFENCE OF FORTIFICATIONS. 1 (Received December 10 2.30 p.m.) ! WASHINGTON, December 9. I The Secretary of War (Mr H. L. Stinson) in a. report to the President, says that the law rebating the coastwise tolls in connection with the Panama Canal is a false and unnecessary policy. He suggests instead that American vessels should be subsidised t and tbp amount paid into the Treasury as tolls. J Six thousand troops, it is estimated, i will bo required to defend the Canal . fortifications and the port harbour at J the Island of Oahu (one of the Sand- ; wich stands), where a large naval base ■ will be established. j BRITISH INTERESTS. (Received Last Night, 10.30 o'clock.) j LONDON. December 10. Sir Edward Grey's despatch to the Hon James Bryco, British Ambassador at Washington, declares that Britain has no desire to embarrass the United States, but simply urges the ' fulfilment of her treaty obligations to the powers; By the Clayton-Bulwer Treaty the United States agreed not to obtain exclusive control of the Canal, but the Hay-Paunceforte Treaty gave- the United States back its liberty of action, on the condition of equal treatment being guaranteed to the ships of all nations, as if any section of shipping did not pay tolls, foreign shipping would necessarily be affected, particularly British. If the Hay-Pauncefote Treaty only secured a most favoured nation treatment, the value of the consideration given for superseding the Clayton-Buhver Treaty would not be apparent. The British Government, continues the despatch, presumed that the provision forbidding ships owned by railways to use the canal, applied only to the United States, and tho Government is confident of the correctness of the British interpretation. Sir Edward Grey offers to deal with the question by arbitration. BRITAIN'S NOTE. CLOSE CONSIDERATION PROMISED.

(Received Last Night, 10.50 o'clock.) j WASHINGTON, December 10. After the Rt Hon James Bryce presented the Note relating to the Panama Canal the Hon P. C. Knox, Secretary for State, promised to give the • matter close consideration, j Official circles declare that President Taft intends to settle the question before closing his administration,. He will either ask the Senate to agree j to arbitration or to negotiate a settlemerit directly with Britain. I A petition is being numerously , signed by university professors and presidents, business and professional men asking President Taft to keep faith in the matter, even if it means the loss of commercial advantages. The petition asserts that the United States would be the first to resent the breach of a solemn engagement by a foreign power.