File No. 819.74/12.

The American Minister to the Secretary of State

No. 71.]

Sir: Supplementing my cipher telegram of the 10th instant, I have the honor to inform you that about the first of this month a report reached me that the Panaman Government had ordered a wireless apparatus to be erected in Panama City and that practically at the same time Major S. D. Butler, U. S. M. C., commanding the Marines detachment at Camp Elliott, Canal Zone, called upon me and showed me reports which he had received, one from Mr. G. H. Clarke, U. S. N., subinspector of wireless telegraph stations, dated the 29th ultimo, and one from Inspector A. G. Belknap, of the Zone police, dated the 5th instant, copies of both of which are enclosed.1 Both reports give details regarding a wireless apparatus ordered by the Panaman Government and the former quotes a statement, said to have been made by Mr. R. D. Prescott, Inspector General of Panaman Telegraphs, that “we are going to let the United Fruit people put in a high-power station at Colon, but we are not going to allow anyone else to put up stations in the Republic.”

In this connection I may mention that as soon as President Arosemena announced his decision to take a leave of absence I took occasion to request him to inform his successor, Señor Chiari, fully as to my conversations with Señor Boyd, formerly Minister for Foreign Affairs, regarding wireless telegraphy in Panama, which he promised to do. Upon the appointment of Señor Arjona as Minister for Foreign Affairs, I further took occasion to inform him fully of my conversations with Señor Boyd and Señor Arjona then stated to me that lie would also inform Señor Chiari as to this matter. He further stated that I might rest assured that nothing would be done by the Panaman Government tending in any way to alter the existing wireless telegraph situation without previously communicating with me and affording me an opportunity for obtaining my Government’s instructions.

Upon receiving the above-mentioned information from Major Butler I immediately inquired as to it of Señor Arjona, who informed me that as he had so recently taken office he had no knowledge either as to the wireless apparatus mentioned nor as to the alleged statement of Mr. Prescott regarding the United Fruit Company, but that he would be glad to make inquiry and advise me. Accordingly, on the 10th instant Señor Arjona handed me a copy of a memorandum signed by Mr. Prescott, a copy of which is enclosed.2 I also enclose a copy of the requisition1 addressed on November 14th last to the Minister of Hacienda by the Director General of Posts and Telegraphs containing the specifications for the tower to be ordered for the wireless apparatus which was given me by Señor Acevedo, the new Minister of Hacienda.

[Page 1220]

From these documents and other information furnished to me by the Ministers for Foreign Affairs and Hacienda, it appears that about November 14th last a 5-kilowat telefunken system wireless apparatus was ordered by the Panaman Government from the firm of Flint & Walling, of New York, to be erected on the National Theater in Panama City and to be used especially for communication with ships. Although the entire apparatus has been ordered, only the materials for the tower have arrived as yet and were to have been erected beginning within a few days. Mr. Prescott has informed me that the cost of the apparatus is about $7,500, to be paid in three installments, one of which I understand has already been paid. The cost of the small building to be erected for the operator and the installation of the apparatus will amount to about $2,500 more. Mr. Prescott further stated that the expected day radius of the instrument was about 350 miles, but with a second steel tower, which might be ordered later, its range would probably be increased to 500 miles.

Under these circumstances, and especially in view of Mr. Clark’s statement that this apparatus of the Panaman Government will positively interfere greatly with the proposed Naval wireless station at Balboa and near Culebra, I inquired of Señor Arjona as to whether he would have any objection to deferring the installation of this apparatus until I was able to inform my Government in regard to it and receive its instructions. Señor Arjona replied that he understood the difficulties which this apparatus might cause, that he did not see what need his Government had of it in any case, and that he would be happy to have the work deferred as I requested.

As to Mr. Prescott’s statement regarding the United Fruit Company, Señor Arjona has now informed me that he knows nothing of any such an intention which would, in any case, be subject to our agreement regarding the nonalteration of existing conditions.

In this connection I may mention that the small apparatus referred to in Mr. Clark’s report as maintained by Mr. Prescott on the roof of the Armour Building in Panama City is the apparatus mentioned in my despatch No. 33 of December 26 last which Señor Boyd informed me belonged to the Panaman Government. Mr. Prescott has stated to me that this apparatus belongs to him personally.

I may add that I have inquired of Señor Boyd as to why he had not formerly advised me of the order for this apparatus and he has assured me that he knew nothing of it until a few days ago, and that President Arosemena, to whom he had at the time related my conversations with him requesting full information for me, had never mentioned it, I do not believe that there has been any intention on the part of the Panaman Government to conceal this order, but rather that the failure either of Señor Boyd or of Señor Chiari, his successor, to inform me is the result of the lack of cooperation between the various branches of the Government,

I have [etc]

F. Percival Dodge.
  1. Not printed.
  2. Not printed; it gives specifications for a “wireless station for Panama, to be erected on top of Panama opera house” (National Theater).
  3. Not printed.