THE PANAMA CANAL

Evening Star, Issue 13162, 19 January 1909, Page 6

THE PANAMA CANAL

GOVERNMENT AND THE PRESS. ACTIONS FOR LIBEL Press Association—By Telegraph—Copyright. NEW YORK, January 18. The Government at Washington are prosecuting the ‘New York World’ and the ‘lndianapolis News' for libel in alleging corruption in connection with the purchase of the Panama Canal. # [On December 6 last the President publicly answered a letter written by a Mr William Dudley Foulke regarding charges recently made in the ‘ Indianapolis News’ in connection with alleged “graft” in the sale of French Panama Canal rights. The ‘News’ asked whether it were true that the United States paid $40,000,000 (£8,000,000) . for property that cost certain American citizens $12,000,000 (£2,400,000) ; and that Mr Roosevelt’s brother-in-law was involved in the scandal, and that Mr Taft’s brother was charged with being a member of the syndicate. The President says the forty millions were paid direct to the French Government, and he lias not the slightest knowledge of the particular individuals among whom the French Government distributed the money. He declares that the mere supposition that any American received a “ rake off” from the French is an abominable falsehood, too absurd to be discussed. The President adds that the conduct of Mr Delavan Smith, the editor of the ‘ Indianapolis News ’ is “ not merely scandalous but infamous.” Mr Roosevelt also bitterly attacked MrLaffan, of the ‘ New Aork Sun,’ declaring that this and other newspapers “ habitually and continually, and as a matter of business, practise every form of mendacity known to man.” Mr Roosevelt spoke of the “direct shamelessness” of the ‘Sun,’ and in other ways showed his contempt for its editor.]