The Sun.
London, England, 1846-06-05 00:00:00

THE SUN, LONDON, FRIDAY EVENING, JUNE 5, 1846.

been 19,600,000/. In the year 1843 there was a redac-
tion of 17,0001. in the export duties, but the revenue
was 20,200,0001. In the year 1844 there was a reduc-
tion of 286,0001., and in the year 1845 the customs were
reduced 2,418,0001., making a total in these two years of
upwards of 2,700,0001.; yet the customs' duties in the
year 1844 were 21,000,000/., and in the year 1845 the
revenue had fallen, not to the amount of 2,700,0001., but
only 600,000/., the revenue of that year being 19,800,0001. ,
From the year 1843 to the year 1845 there had been a
reduction in the customs' duties of 2,214,0001., and not-
withstanding this, the customs' revenue in the year
1845 was 19,800,0001., while in the year 1842, it was
only 19,600,000/. ; thus showing, that while
you have reduced upwards of 2,000,0001. of duties
during the last four years, the revenue from the customs
for the last year was 200,000/. larger than the year in
which you commenced these reductions. Now, he was
not at all inclined to lead their Lordships to suppose
that he was inclined to trace the increase to the reduc-
tion of the customs. But that which he bad a right
to contend for was, that it had not been injurious to the
revenue, which had increased 400,0001. in two years;
and if it ware not traced entirely to the former cause, it
should certainly be admitted that it might be traced to the
improved condition of the people. And then,how was the
assertion answered, that these reductions of the customs
would have an injurious effect upon the population? He
was quite aware that some of their prosperity was to be
traced to bountiful harvests, but that prosperity was also
to be traced when they were not blessed with bountiful
harvests ; and while he was quite ready to admit it at
the proper time, he was also ready to deny it was to be
wholly attributable to it. It was a review of the
effects of the reduction of the customs which led her
Majesty's advisers to propose that she should suggest
from the throne a further reduction, in order to
produce similar beneficial effects. The Government now
proposed that the duties should be removed from all
the articles of food of first necessity—and they felt at
the same time, that when they did so that it would not be
fair not to reduce them on others. The duties are to be
removed from all articles of cotton and woollen manufac-
ture. He would state the amount of the duty which
was proposed to be repealed on the several articles of
cotten, woollen, and linen. The quantity of these
articles imported lust year, with the amount of duty on
them, was as follows :—Of cotton, the amountim-
ported was in value 39,0e0/.; of this quantity the duty
would be removed on 35,301:1.—retaining the duty on the
value of 3,600/. Of woollen goods the total quantity
imported was in value 162,000/. The duty proposed to
be repealed on 158,000/., leaving the duty to be retained
on 4,0001. Respecting linen, he could not give the ac-
count of the quantity imported very accurately, but he
believed the amount entered was about 12,453/., of which
the duty was to be retained on 9,900/. He might here
observe that the articles on which the duty was to be
retained were articles of luxury, such as cambrics,
French lawns, and bordered handkerchiefs. This would
be an answer to the statement made respecting the prin-
ciple of the Bill, that while it was proposed to remove
agricultural protection, it professed to do the same with
regard to manufactures, but failed to do so. This would
show that such was not the fact. The duty was retained
on linen goods, because the articles named were articles
of luxury ; whereas the duties on cotton and woollen
goods were proposed to be removed because it would
benefit the poorest classes. He next came to the duty
on silk. That would come before the House in a sepa-
rate form, and he would not enter into the subject then ;
but he would state briefly the proposed alteration.
While the duty now professed to be 30 per cent. ; in
consequence of the alteration made in the tariff of 1826,
it had been found that the silk duty, instead of being 30
per cent., had often ranged from 100 to 300 per cent.
Is the Bill he now submitted to their Lordship', the tariff,
with respect to silk was altered, and the duty was now
calculated at 15 per cent. or half the orignal duty. In
like manner the Bill dealt with articles of manufacture
in metal, such as iron, lead, and tin. In 1842 the duty
was 20 per cent., it was now reduced to 10 per cent.
Indeed he might state that the ruling figure in this
tariff was 10 per cent., in the same manner that the
ruling figure of the tariff of 1842 was 20 per cent.
The Bill also 'proposed to reduce the duty upon two
articles which entered largely into the consumption of
the poor, namely, butter and cheese. They proposed to
reduce the duty upon articles of food, consumption, and
clothing, and it would be unjust indeed if the tariff did
not include the two articles he bad just named. The
Bill would reduce the duty on brandy and foreign
spirits. At present the duty was 225. per gallon, and
the consequence was a large quantity of brandy and
foreign spirits found its way into this country through
other channels than the custom-house. They proposed
therefore to reduce the duty, not with the view of in-
creasing the consumption of these articles, nor did
they think it would have that effect, but to de-
feat the operations of the smuggler. The 'first
article to which he would direct their Lordships' at-
tention was one, the reduction of the duty upon
which would be felt as a great benefit—be meant the
article of timber. It would be in their Lordships recol-
lection that, in the year 1842, a reduction was made in
the duties both of foreign and colonial timber ; the duty
on colonial timber was, in fact, reduced to a nominal
duty of Is., and the duty on foreign timber was reduced
from 555. to 355. The returns which had been laid be-
fore their Lordships would show what the effect of that
reduction had been. The quantity imported had in-
creased from 342,000 in the year previous to the reduc-
tion to 757,000 in the year 1845. There had also been
a great difference in the price of timber since the reduc-
tion. In 1842 the price of Canadian yellow timber was
from 31 ss. to 31.155. ; in 1843 it was from 2/. 15s. to
31. 15s. ; in 1843 it was from 2/. 15s. to 31. ss. ; in
1844 it was from 21. 15s. to 31. 55.. but on the 6th of
January, 1846, the price was ranged between 4/. 7s. 6d.
and 4/. 12s. 6d. Since the reduction of duty on timber
there had been a vast demand for that article, both co-
lonial and foreign, and her Majesty now proposed to
make a further reduction, so that the duty, upon the sth
of April, in 1847, upon foreign timber, should be froth
255. to 20s. ; on the sth of April, 1848, from 20s. to
155.; the colonial timber to be liable to the usual nominal
duty of Is. He now wished to say a few words as to
the principle on which the measure was founded. Upon
the first reading of the Bill it was stated by Noble
Lords, as an objection to the measure, that it left undone
many things that it ought to have done—that as it was
a free-trade measure, it should be carried out on pure
free-trade principles. Now he disclaimed any such cha-
racter for this Bill. The principle of the measure was
that which was recommended to their Lordships from
the throne, namely, the removal of prohibitory, and
the reduction of protective duties. He did not profess,
in submitting this measure to their Lordships, that there
were not many inconsistencies and anomalies in the tariff,
as it at present stood. There were many considerations
which made it necessary that it should be so. He sub-
' mitted this measure to their Lordships, simply as a
measure for the removal of protective duties ; and he
would now state to their Lordships that which he had
said on a former evening, namely, that her Majesty's
Government believed the principle of protection to be
unsound of itself—(Cheers)—but that, at the same time,
they reserved to themselves the right of carrying out the
remission of those duties gradually, cautiously, and
slowly, as the exigencies of the times would permit ; and
that while they were desirous of reducing those protec-
tive duties upon various articles, they would do so, not
without reference to the effects it would produce upon
any particular system ; and, above all, not without re-
ference to the effects it would produce upon the revenue
itself. On these grounds, therefore, he commended this
measure to their Lordships, not under the nick-name,
if he might be permitted to use the expression, which had
been given to it, but as a measure, the principle of which
was the removal of the prohibitory duties, and the
gradual removal of protective duties, for the benefit of
the consumers, without, as her Majesty's Government
believed, injuring the produce ; and he trusted that their
Lordships would see no reason for withholding their
assent to it.—(Hear, hear.)
The LORD CHANCELLOR having put the question,
The Duke of RICHMOND said he should move that
the Bill be read a second time that day six months, on
the very grounds that had been urged by his Noble
Friend, namely, because its object was the removal of
protective duties.---(Hear, hear.) And in doing so, he
contended that it was unconstitutional to make use of
her Majesty's name in the manner in which his Noble
Friend had used it.—(Hear, hear.) It was in direct vio-
lation of the principle of that House to say, in support
of that measure, that it bad been recommended in the
Queen's speech ; for what was the Queen's speech but
the speech of her Ministers ?
Lord DALHOUSIE explained that he did not make
use of her Majesty's name iu the manner imputed to him.
The Duke of RICHMOND then went on to say that
he was glad to find his Noble Friend admitting that it
was unconstitutional to make use of her Majesty's name
in support of any measure laid before their Lordships.
His Noble Friend had not told the House the value, at
the present moment, of the articles which he meant to
abolish. Nov he said that he was about to recommend
the reduction of the duty on butter and cheese. He be-
lieved they would find these duties were increasing
duties, and any reduction on them was contrary to the
policy of the constitution ; and the reduction was no
reason for the removal of the duties on matters connected
with the agricultural interests. The Government had
also removed many of the duties on manufactured
cotton. His Noble Friend sitting behind him, had said
that the cotton manufacturers had declared that they
wanted no protection, and that by their skill and in-
dustry, and heavens knows what, they were rendiendriiesddtenro,stetauhaeaeervr present7ein-
dependent
eho euoat fprawa
aeni
ntayhds protectionuafr fairness
girowerel,l3edsta to
dress,dhb ae
at liberalityye
wke rne.
well
Iw
afl these dg acknowledged,
principlewhy
notof
why the labourer's and farmer's
s
wiletheanhMeeuld not
was, that yit objection to the taking away of protec-
labour of this employedcountr paper might come in
Fforeign labour instead of the
; bullet ito Foreign
lady. His mit
at a cheap price
tion
supersede English labour. nriset be at too low a price, to
paper-staining at present were earningbelieved the artisans in
21. 10s. a-week, and that was nottooinueenhtpoe average
ope-
rative to earn. Then as to the reduction on rs
an
dspirituous liquors ; he thought his Nobic Vriend would
find that the Custom-house possespa sufficient means of
preventing smuggling to any isisarious extent. It would
be found, that at the preseps moment there did not exist
of the snapling that was •
one quarter carried on some
After the division
twenty years ago-
night, he did nottsnklethe other
bill on a prev,
retaining
the attention of their Lordshipsshoibe
justified
411
in to enter his most distinct protest against the
longer ll'
st the principles of theßill. Redid move that
Bill. again second time that day six months, ti.o, Bill be read a
could not help expressing hisfirm
at the same time he
f • firm labourers
should that the employment of foreign
should not be preferred to their own.
to
great objection
The Earl of WICKLOW said the
there existed an anomaly in not
the measure was, that
carrying out the principles to all. The Bill as it stood
showed a system of injustice, inasmuch as all classes
would not be benefited by the contemplated reduction of
duties. He found that there were 48 items included in
tho 644 QM of that numbeß 22 me imuncSed

agriculture. This was an unfair distribution of the con-
templated reduction of duties, and he should certainly
oppose it.
Earl GREY could not, in the Bill before the House,
see any distinct principle laid down. If protective duties
were unsound in principle, the best way for the Govern-
ment and Parliameut to pursue would be to abandon
those duties altogether. He entirely agreed that protec-
tive duties were entirely wrong. He was, however, at a
loss to comprehend what those half measures, consisting
of half protection and half free trade, meant. The
duties on sugar, and on some other articles, produced
large revenues to the Treasury. He believed that no •
thing would tend more to injure these interests than the
perpetually meddling with the protective duties. A sys-
tem of alteration was of all things the most injurious to
commerce and trade. He would, however, accept the
present Bill as an instalment for the future, and would
willingly give his support to the second reading.
Lord ASHBURTON objected to the Bill, because the
wages of labour would be diminished, and the commerce
of the country paralysed, if the measure were carried
into effect. If these alterations were allowed to be pro-
ceeded with, no man could tell what crotchets her Ma-
jesty's Chief Minister might next propose. Any person
who has observed the progress of things in this country
would be made aware that all the changes were traceable
to obvious causes, from 1825 down to 1837, and
1839, and 1842, when the administration was
changed, which were ail periods of great distress.
The prosperity of the country had been great in former
years, as well as in the present. The prosperity then
was not owing to the free trade measures of a Govern-
ment, and in like manner he contended that the present
prosperity of the country was not owing to the late alte-
rations in the commercial policy of the country. Disap-
proving of this measure, in consequence of the effect it
would have upon the condition of the labourer of this
country, he could not consider it consistent with the dis-
charge of his public duty if he did not oppose the further
progress of the measure.
Lord MONTEAGLE considered it the duty of the
Government to endeavour to reconcile as much as pos-
sible, by means of a judicious system of taxation, the
two conflicting points with regard to custom duties,
namely, duties levied for the sake of revenue, and those
which were levied for the sake of protection. He thought
the measure before their Lordships a step in the right
direction, and he would not, therefore, stop to find
small faults with it ; here, there, and everywhere, he
knew the difficulty of dealing with such an immense in-
terest as that of the customs' duties of the country, and
considered that, although the present prosperity was
not entirely owing to the removal of restrictive duties,
he still thought, as regarded the reduction of the duties
on raw material, an immense benefit had been bestowed
both on the trade and commerce of the country. The
Noble Lord then proceeded to pass some strictures om
the late measures of the Government, with reference to
the timber and sugar duties, and contended that in both
instances their measures had signally failed of being pro-
ductive of benefit either to the revenue or to the publie.
He was prepared to prove that England was one of the
highest taxed countries in the world, and that labour
was cheaper also in it than in any other country in the
world ; and, therefore, there was no necessity for the
fears of the Noble Lord with respect to what might be
effected by cheap labour on the Continent. In 1820 the
merchants of London petitioned in favour of free trade,
and that petition was presented by his Noble Friend op-
posite (Lord Ashburton), and a more complete state-
ment of the principles on which free trade were founded
was never yet made to the House; and with respect to
the fear expressed with regard to Irish linen, he
would say there was no ground for the existence of any
apprehension; that trade bad flourished in proportion as
they withdrew restriction, and had withered when pro-
tected ; and he was able to state that the great linen
producers felt no apprehension on the subject themselves.
A property-tax, therefore, for a short period, subject to
renewal, had a tendency to create a system of direct in-
stead of indirect taxation—(Hear, hear)—and he took
the liberty of saying that a more dangerous course could
not be entered on by any country, particularly one bur-
dened as this was with debt. It went upon a false prin-
ciple; it led the people to suppose that those who were
considered persons of property had the capacity to pay the
whole expenses of the State; that was not only dan-
gerous but false—(Hear, hear)—and it also led to this
false notion, that they might augment the taxation of
the capitalist without indirectly affecting the interests of
the poor man.
The amendment was then withdrawn, and the Bill
was read a second time.

On the motion of Lord DALHOUSIE, the Bill was
ordered to be committed on Monday week.
EXPLOSIVE SUBSTANCES.

The Explosive Substances Bill went through Com
mittee.

The House then went' into Committee on the Bill re-
lating to Friendly Societies, and having gone through
Committee, the report was ordered to be brought up
tomorrow.—The House then adjourned.

RAILWAY COMMITTEES

(YESTERDAY.)

HOUSE OF LORDS.
GROUP I.

LONDON AND YORK (THE EASTERN
COUNTIES).
(Continued from our Afternoon Edition of yesterday.)
Mr. AUSTIN was all day engaged in addressing their Lord-
ships. The Learned Gentleman went into the traffic on both
lines of railway, and contended that the coal traffic of the
London and York was made out on a false estimate, inas-
much as coal was to be had cheaper in London than that which
would be brought by the London and York Railway. This he
sought to prove by comparing the returns of coal brought by
the Eastern Counties line with the assumed returns of the
proposed London and York line. The Learned Counsel con-
cluded by calling upoii the Committee to declare the preamble
of the Eastern Counties' Bill proved.
The Committee wished to learn whether the parties on
both sides were ready to make any arrangement with the
landowners. _ _

Mr. AUSTIN said that there had been no proposition made
to his clients by the landowners.
Mr. Sergeant WEANGIIA3I said that his clients were wil-
ling to do everything towards an agreement with the landed
proprietors. They. would be willing to place the case in the
hands of Mr. Edwin Lascelles, who would settle the amount
of compensation without going to a jury.
It was then announced that Mr. Sergeant Wrangham
would address the Committee, in reply to the whole case, at
eleven o'clock to-morrow.
The Committee then adjourned.

HOUSE OF COMMONS.
GROUP xviL

MANCHESTER AND SOUTHAMPTON.
(Continued from our Afternoon Edition of yesterday.)
Mr. Samuel Price Edwards, collector of the port of South-
ampton for the last three or four years, and connected with
other ports in a similar capacity for the last 22 years, was
then called and examined. He was acquainted with the
route of the proposed line, which ran from Southampton
Ilion with the , Cirencester,
to Chelten-
Birmingham
hba
nya
dmR,
Gloucesterowm hseerye-,
iAt nwdeoßuvlaedi rl
Railway.
mya.r lab
Such
runoncuhegt a
line would be of great
advantage to Southampton, as it would afford direct commu-
nication from north to south, and thus connect the important
manufacturing districts with a commodious exporting port
in the south of England. The trade of the port of
Southampton had been trebled within the last five years,
and was increasing. During the year ending the sth of
January last, 150,956 tons were entered inwards, and 91,133
outwards. The imports consisted of foreign silks, Mohair,
worsted yarn, wool, gums, saffron, goats' hair, &c. The
value of raw silk imported was 700,000/. Out of 313 tons
300 would go to Manchester, which was the great depot of
raw silks, as also was Macclesfield. Wool went to York-
shire, and the other commodities principally to the
north of England. If the line was made the whole of these
articles would go by it as being the cheapest and quickest
mode of communication. Large quantities of coffee were
also imported, and 16 tons of cigars were imported per
month. Southampton was the principal packet station of
the Peninsular and Oriental Steam Packet Company, and
for vessels to all parts of the world. The importation of
coffee was limited, owing to the want of efficient and cheap
communication with the north, where the consumption was
greater than in the south. The present expense of transit was
greater than the article could bear.; it was consequently sent
to the dearest market, London. The Peninsular and Orien-
tal Packet Company intended slortly opening up communi-
cation with several ports of the Mediterranean. Southamp-
ton was the fittest port in the country, and possessed
great pecuniary advantages over other towns in respect to
dues and other charges incidental to the navigation.
The circuitous route to the north was a great drawback to
the prosperity of Southampton. At present a ton of goods
to Manchester cost Si. ls. ; by the proposed line the same
quantity would not cost more than U. He anticipated that
large quantities of corn would be landed at Southampton for
consumption as far north as Birmingham. The value of ex-
ports last year, ending, the sth day of April, 1846,
was 2,192,055/. The opening of the Rouen and
Havre Railway would increase the general traffic.
60,000 persons, including those who attended them, em-
barked annually. The witness then went into detail with
respect to other towns, and observed the advantages which
the proposed line would confer upon the town. With this
railway to the north the trade of Southampton would be
greatly increased. In 1844, the goods conveyed by railway
amounted to 4,225 tons ; in 1845, the quantity had increased
to 12,668.
The witness was subjected to a lengthy cross, examination
by Mr. HILL, but his testimony was not shaken. He
considered that a railway, running along the pier, and com-
municating with the docks, would possess a double advan-
tage, as it would embrace them both. To get to the docks at
present persons had to cross the South-Western Railway.
They would also have to cross the proposed line.
This witness was also cross-examined by Sir T. PutuiPs
on behalf of the Great Western Company. He said he was a
shareholder in the Manchester and Southampton line, and
that the prospectus issued by the promoters correctly set
forth the advantages which it would confer on the districts
it was proposed to traverse.
Mr. ALEXAWDER interrupted the Learned Counsel by ob-
jecting
only r
fewTaffectediioym aArsfdopsr laainLfarvi p
sy
quoteda ns
contended
deSwindon.edcast
ielaot f
thet
h
jecting to his examining the witness with respect to the
whole line, when the land belonging to that company was
WCohmiephanwyashapdroaporisgedht
t 0
00 acpropsesarthaendseevxearominbe
tarhne
esopteehoceutrrtsaoentodhf
de
examinationwholeist
an
distant
pparro part
eocfst ,hi although
rlhdoouubt gee h. they
tt wereeeewGasi
drtooeennaoceltityBdhsWene
affected
fora
whAfictherwooasnstihdroorwabnleousobosecasi interfered ywith property in
tunnel,d
but
usonetihtecommi
The witness was further cross-exapnulrisnueedd;after which the
Committee adjourned until 12 o'clock to-morrow.

TAW VALE RAILWAY EXTEN-
SION.—SPECIAL MEETING.
A special meeting of the scripholders, proprietors, and
shareholders of this rail
London Tavern way took place yesterday, at the
orders of , at one o'clock, in pursuance of the Sessional
in the chair. both Houses of Parliament, Emanuel Cooper, Esq.,
The SECRETARY havinr, read the advertisement convening
the meeting,
The CRAIR3IAN announced that as soon as the intention of
Government was announced as requiring a meeting of the
scripholders to take place a meeting was convened in Exeter,
44 which 10,370diare4 nre iu fAym 91 primediz3B, dud 1100

against such a course, leaving an assenting majority of 8,710.
But as an irregularity had taken place in the insertion of the
advertisements they were obliged to convene the present
meeting. The Bristol and Exeter Company had agreed, as
soon as they obtained their Bill, to take the line, and pay them
4 per cent. upon their paid-up capital and calls, and to be
subject to an increase at the following rates per cent.
when the Bristol and Exeter received 9 per cent., 5 when
they receive 10, 6 when they receive 11, &c. The
money already paid for expenses amounted to 6,949/. 12s. 11d.,
and he believed that the total amount of expenditure, in-
cluding the present liabilities, would not exceed 10,0001., or
about 10s. per share. Their money in hand was about
49,8601. The Bideford branch had been lost in the House of
Lords, and they therefore considered that they would not
require as large an amount paid up as the estimated capital,
w hich was 533,000/. The whole number of shares were
26,630, and those allotted amounted to 23,000 ; and out of
these 23,000 shares, 20,725 had been paid up upon.
The CHAIRMAN then put a resolution, to the effect that it
was the opinion of the meeting that the Bill should be pro-
ceeded with.
Mr. FITZPATRICK seconded the resolution.
The votes were then taken, when there appeared—
For going on
Against

Majority
The meeting then separated.

10,715

MEETING OF MEXICAN BOND-
HOLDERS.
A meeting of Mexican bondholders was held yester-
day at the London Tavern, at one o'clock, G. C. Robin-
son, Esq., in the chair, when there was a large assem-
blage of the proprietors of this stock.
The CHAIRMAN opened the proceedings by alluding to
the last meeting, which he stated had been so interrupted
that he did not conceive that a right conclusion, and
he trusted, therefore, that no such interruption would
now take place. Mr. Robinson then read the corre?-
pondence with Mr. Slider and with the other agents of
the Mexican Government, the substance of which was that
the Mexican Government, feeling itself unable to meet
its engagements; had determined to propose a consolida-
tion of the debt into one general stock, after the follow-
ing portions:—the whole debt, amounting to 10,241,6501.
to the purposes of the active debt ; 5,961,6511.
to the debentures on debt created sth March last,
4,650,0001. The means to be provided would then be
applied to the active stock, 5,032,4851., and 3,074,4001.,
to the deferred bonds. The amount of the redemption
fund, for the purpose of satisfying the hypothecations
on the tobacco revenue, would be 2,134,7651., but on this
latter revenue there would also be the charge of the
political expenses of the State.
The report then went on to state that, considering the
present position of Mexico, the Committee did not hesi-
tate to recommend that this proposition for the Mexican
Government should be accepted. but with the under-
standieg that this was to be a final arrangement, and
that no circumstances whatever should hereafter inter-
fere with the application of the state revenues to the
satisfaction of this debt ; with respect to the
application of the several portions of the revenue
to the active and deferred bonds ; considering
that an equitable sacrifice was to be made, the appro-
priation was as fair as possible. With these observa-
tions, the Chairman would conclude with stating that he
was quite ready to answer any questions that might be
put to him.—(Cheers.)
Mr. CARD then addressed the chair, contending that
it was unfair that the claims of the active bondholders
should come on the 20 per cent. revenue. The speaker
continued amid much interruption, till at length
the Chairman obtained a hearing, and he concluded by
moving that the proposition be accepted.
The motion having been put,
A SHAREHOLDER stated that he would have no objec-
tion whatever to accede to the proposition, provided
Baron Rothschild, Mr. Baring, Mr. Thornton, or any
other parties, would become security for the half-
yearly dividends.—(Laughter.) But when he recollected
that precisely the same premises had been made twelve
or thirteen years ago, then he saw that one-fifth of
the revenues of Vera Cruz and Tampico were to be
applied for the payment of the interest, and this he be-
lieved a very insufficient proportion of the whole reve-
nues of the country. When he recollected espe-
cially that the population of the country was
eight millions, and the revenues upwards of
5,000,000/., he thought that it was no reply that
there had been a war between Mexico and Texas, for
that was a bloodless and inexpensive war. It was a
paltry sum to apply only 460,0001 a year out of the
tobacco revenues for such a country as this ; and he
thought that some better agreement than this ought to
be made. He should, therefore, oppose any such settle-
ment as that which had been moved.
An amendment was then moved that the recommenda-
tion of the committee should be agreed to, provided
a full payment of the three last dividends could be made
in stock, which would have the effect of substituting for
every 1001. 3 per Cent. coupon an amount of 97/. 10s.
stock.

It was then stated by a bondholder that he appeared
for a very large proprietor, and he wished to know
whether the recommendation of the committee was
unanimous ?
Mr. CABEL stated, before the news of the war between
Mexico and the United States arrived the committee
had been unanimous.
A BONDHOLDER wished to kuow whether there was
any guarantee for the safety of this proposition ; whe-
ther, in fact, there was any surety that the amount of
tobacco hypothecated would be paid. For his part he
would rather that there should be a reduction of interest
rather than of capital.
To the question proposed the CHAIRMAN replied that
whatever might have been the violations of their engage-
ments by individuals, those of :the Government had
always boen respected. By the Bth article it was stipu
lated that 96,875 dollars should be applied to the de-
fraying the 1,162,500 dollars annual interest, and 20,833
dollars to the 200,000. As regarded the probability of
their being any power of a British Minister to interfere
in the event of the Americans seizing upon the revenues
of the country, he could not say, but he might remind
the meeting that according to the agreement these sums
would be paid monthly into the hands of Manning and
Marshall, who are British subjects resident in the coun-
try, and who are agents of the country, so that inter-
national law would appear to be in favour of such a
right.
To this remark of the Chairman Mr. CABEL replied
by stating his belief that the security was not sufficient;
and as circumstances might arise which would alter the
state of the case materially, he should, therefore, suggest
that the meeting should adjourn till after the arrival of
the next American packet.
It was decided that this suggestion could not at pre-
sent be entertained, and a conversation ensued as to the
value of the stock; but nothing ensued that the effect of
the change would be on the value of the bonds.
Mr. WARING protested against any supposition that
they were come there to fight a battle, but to entertain
the recommendation of the Committe, and to do justice
to all parties, whether they be Active or Deferred Bond-
holders. Had not the news of the war arrived, he
should have voted for the resolution, but as no evil
could arise from delaying the advises to Mexico until
after the 19th, when they would obtain direct informa-
tion from Mexico, and be in possession also from the
United States, he thought it would be better to wait
until then.
A BONDHOLDER stated that, calculating the over-
due coupons of the active debt, he found the value of the
stock to be at the rate of 1151., and on the deferred debt
92/. 10s.; the proportionale value then would be for the
former 901,, and for the latter 72/. If the meeting as-
sented to this proposition, they would be making a sa-
crifice of the large sum of 2,139,765/., as the Mexican
Government would immediately sell again that sum in the
market, and thus the bondholders would be shorn of this
portion of their capital without obtaining any additional
security for the remainder. He would, therefore, sug-
gest that the amendment should be withdrawn, and that
for adjournment come substantively before the meeting.
The amendment was then put, but it was opposed by
Mr. T. D. Poles, who expressed his opinion that the de-
lay would be of no service. In the event of the Ameri-
can war being continued, and the difficulties of the Mexi-
can Government being increased, and their applying the
duties hypothecated to their own exigencies, and this
was the worst view of the case ; they would have the
British Ministry to insist upon the performance of their
agreement. On the other hand, by assenting to this
agreement the meeting would immediately bind the
Ministry in Mexico, so that the delay would be injurious
rather than beneficial, and for that reason it should have
his opposition,
The CHAIRMAN said, that the conclusion to which the
committee had come had only been arrived at after the
most sedulous consideration. The values of the several
stocks had been separately calculated by eight different
gentlemen, who had all agreed within a fraction. The
most contradictory opinions had been expressed on this
occasion; but it was his impression, that if they waited
until both kinds of bondholders agreed as to what would
be severally just to them, ho thought Mr. Cabel might
amend his terms, and move an adjournment sine die.
He really thought that the allowance of 290/. for the
Active Stock, and 60/. for the Deferred Stock,
was perfectly fair. And then with respect to the
supposition that there was no additional security,
he must °attend that by the positive hypo-
thecation of the tobacco duties and of the silver
duties, there was a clearer claim established, and one
which would justify the right of the British Minister to
require the fair and full satisfaction of the debt, either
in principal or interest. Considering the unsettled state
of Mexico, the constant change of its Government, and
the great uncertainty of the future, he did believe that
by the arrangement now proposed there would be a
great increase of the probability of the payment being
made safer. He agreed with Mr. Bowles in the belief
that the waiting for the American packet would be
totally useless, and on the same grounds as those which
that gentleman had laid before the meeting. He firmly
believed that the meeting would give him credit for ho-
nesty. He firmly believed that no good whatever
could arise from an adjournment, and for
ad
disagreeing
which
with the proposition of Mr. Murphy,
that gentleman might not hereafter. have it in
his power to repeat. It mattered not to him whether he
ever received one shilling either of principal or interest,
but it did matter greatly to others for whom he acted,
and he acted on public principle alone.—(Loud cheers.)
Taking credit, then, for honest intentions, he would
assert his deliberate belief that, short of absolute cer-
tainty, the arrangement now proposed was the safest
that could possibly be made.
To the question of whether the debentures given for
the over-due coupons were to be considered as of the
value specified upon them, or only worth the amount for
which they were actually given,
The CHAIRMAN replied, that three of the dividends
had been paid in cash, so that the debentures were only
worth the difference of the sum remaining unpaid.
The amendment for an adjournment for
app fourteen*
ndays
was then put and lost, and the
motionet forroving the
recommendation of the committee, and acing the pro-
position of the Mexican: government, was carried by an
CleriYl39l4l4 aaajOrity• ' •