File No. 704.9319/3.

The American Minister to the Secretary of State.

No. 385.]

Sir: I have the honor to acknowledge the receipt of the Department’s telegram of March 22,2 directing me to use my good offices in accordance with the indications in instruction No. 66 of December 4, 1907, for the protection of Chinese interests in connection with [Page 1108] the bill pending before the National Assembly dealing with the right of Chinese subjects domiciled in Panama to reside here, and to inform you that I again immediately saw the Chinese Consul General here, Mr. Ow Yang King, advising him of my instructions and requesting him to enumerate his objections to the bill in question. Mr. King did so and I subsequently accompanied him to the Foreign Office where we had two conferences with Señor Lefevre, Minister for Foreign Affairs, and Dr. Morales, Minister of Finance, both of whom stated that my good offices would be entirely acceptable in accordance with the consent thereto of the Panaman Government in its note addressed to this Legation on April 12, 1905 (Despatch No. 131 of April 17, 1905).1

After some conversation Señor Lefevre and Dr. Morales stated that the stamp tax payable under Article 7 of the bill by Chinese domiciled in Panama prior to the promulgation of Law 6 of 1904 had already been reduced during the debates in the Assembly from two fourth-class stamps ($25, United States currency) to four third-class stamps ($3, United States currency); they stated that it was unlikely that this reduction would be again increased. They further stated that they would endeavor to have Article 23, paragraph 2, of the bill re-drafted so as clearly to exempt the Chinese Chamber of Commerce from the payment of the tax on associations. In the bill as passed on the 24th instant the stamp tax on the Chinese above mentioned remains at $3 and the Chamber of Commerce is specifically exempted from the association tax.

Señor Lefevre and Dr. Morales also agreed that in accordance with the desires of the Consul General the regulations which were to be issued by the Executive under Article 37 of the bill would provide for the following:

Article 1. It would be made clear in the regulations that this article was to be understood as not excluding the wife and minor children of Chinese duly registered in accordance with Article 7 who might not be in Panama and also as not preventing the return to Panama of Chinese now absent in accordance with the provisions of Article 3 of Law 28 of 1909;

Article 7. It would be provided that the certificate now held by Chinese would be sufficient for the new registration required by this article in the absence of suspicious circumstances; an endeavor would be made to provide in the regulations so that Chinese who were obliged to pay a stamp tax of twenty fourth-class stamps ($250, United States currency) and who were not financially able to do so might be allowed to pay for these stamps or furnish them by installments;

Articles 7 and 14. The registration and inspection of Chinese would take place before the alcaldes of the districts where the Chinese resided instead of before the governors of the provinces, according to a modification made during the debates in the Assembly, except in Panama and the provincial capitals. This would be done by providing in the regulations that the governors should deputise the alcades to perform these functions in these cases. Mr. King greatly desired this provision as many Chinese would be greatly burdened by having to come so often to the capitals.

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Article 14. The regulation applying this article, relative to the inspection every six months of Chinese certificates would be drawn with every endeavor to cause as little annoyance to Chinese as possible.

Finally Señor Lefevre assured Mr. King that he would be allowed to see the regulations before they were signed and given an opportunity for suggesting modifications in them.

During the interview Mr. King stated to Señor Lefevre and Dr. Morales that he considered that both the special tax applicable to Chinese; Turks, Syrians and North Africans and the restrictions which the law placed upon the right of public meeting and association were unconstitutional (Constitution of Panama, Articles 42 and 20). Señor Lefevre admitted that many Panamans had also expressed this opinion but added that probably little satisfaction could be obtained by bringing these questions before the courts.

Mr. King has now expressed himself as greatly gratified at the results obtained through my good offices which he considers will, if the regulations actually conform to the assurances given to me, render the law much less harsh for his people. He stated that he believed (and Señor Lefevre has since confirmed this to me) that the Government were not in favor of this law but that it had been in a way forced upon them by the Assembly which was at present strongly anti-Chinese and desired an even more drastic law.

I have requested Mr. King to inform me if he desired any further good offices from me and I have requested him to give me a statement of his objections to this law which he has now sent me and a copy of which I enclose.1

I have [etc.].

H. Percival Dodge.
  1. Should read March 21,
  2. For. Rel. 1905, pp. 708709.
  3. Not printed.