File No. 819.74/6.
The Secretary of State to the Secretary of the Navy.
Washington, January 6, 1912.
Sir: Referring to this Department’s letter to you of the 26th ultimo on the subject of wireless telegraph installations existing or proposed on the Isthmus of Panama, and of a possible agreement between this Government and that of Panama looking to the prevention of the establishment of private and commercial wireless stations on the Isthmus, I have the honor to transmit herewith a copy of a despatch from the American Minister to Panama, dated December 26, 1911.
From an examination of this despatch, which is confirmatory of the telegram paraphrased to you with this Department’s letter referred to above, it would seem not improbable that the Government of Panama will be willing, although Mr. Boyd, the Foreign Minister with whom Mr. Dodge discussed the matter, has since resigned, to negotiate such an agreement as you suggested in your letter of the 13th ultimo, provided the Navy Department in operating the wireless system on the Isthmus will place no restriction on the acceptance of private and commercial messages, such as would in any way hinder the industrial development of the Republic of Panama. It would also seem, from Mr. Dodge’s despatch, that the United Fruit Company does not intend to construct a wireless station at Colon as provided in the contract, a copy of which is transmitted as an enclosure with Mr. Dodge’s despatch.
In this connection and in view of the liklihood that legislation for the permanent government of the Canal Zone will soon be enacted, I beg to suggest the advisability of causing the insertion in any legislation for this purpose of a provision authorizing the President to regulate the erection and operation of wireless telegraphic installations on the Canal Zone and to provide for the acceptance and transmission by the Government wireless telegraphic system of private and commercial messages, as well as those of the Government of Panama, at toll rates to be prescribed by the President in his discretion. It is noted that there is no such provision in the Mann bill.
This Department will await a further expression of your desires before again instructing the Legation at Panama with regard to this matter.
I have [etc.]