The Sun.
London, England, 1856-07-07 00:00:00

DENMARK AND THE TRA.VSIf DUN, S. 13, WAY INTELLIGENCE. LAW INTELL4I;BNCe.--July 5.

We entirely concur with our intelligent corre-
spondent from Lubeck, that the time has now
come when Danmark must abolish the Transit
Duties she has imposed on the transit of goods
through the Duchies, as well as the Sound Dues,
which she has so long extorted from ships passing
through the mouths of the Baltic. He is quite
correct in his statement' that the imposition of the
Transit Dues is a amiss violation of those ancient
rights which the Hanse Towns won from the Ger-
man Empire ; he might have added, they are also
at variance with all those sound principles which
sway modern commerce. Except in Austria and
Denmark, there is not one European State in which
transit dues now exist; and in Austria:they are
imposed to eke out an insolvent revenue, while in
Danmark they have been resorted' to
,in order to
protect and defend the Sound Dues.-A, however,
the Committee of the House of Commons on the
Sound Dues has turned its attention to the Danish
Transit Dues, there is, we trust, some chance that
English diplomacy will again make a serious effort
to induce the Danish Cabinet to abrogate a tax
which inflicts a maximum injury; oiitrade, and
yields a minimum revenue to the State.
The road which connects Hamburg on the. Elbe
with Lubeck on the Baltic, is one-of the most an-
cient in Europe ; it is the shortest and most secure
route from the West to the North ; it saves the
passage through the Cattegat and the Belt, with its
dangers, its ice, its high freights and high rates of
insurance ;it is the natural mode-of transit for all
lighter and more valuable articles. Already Bt itish
goods to the extent of 1,500,0001. a year use it ;
and, if placed on the same footing as roads in all
other civilised countries, its traffic would within
three years be certainly trebled. But, -unfortu-
nately for Lubeck and Hamburg in particular, and
for trade iu general, the read for about half its dis
tance passes through the German Duchies, whiCh
diplomacy, to the manifest advantkie of Russia,
has insisted shall remain Danish. That gives Den-
mark complete. power over this great arterial line
of European interc, m nunication ; and most per-
versely has Denmark used its power.
For many years previously to 1839 the /#anisti
Government, of malice prepense;-rendered this road
impassable for all hetiiy goods, and would not allow
public conveyances to use it. At last, however, the
two free towns insisted on its improvement, and
improved it at their own cost. Then, for the first
time in history, Denmark imposed Transit Dues,
so heavy in amount that all the countries concerned
protested against the infliction. Denmark yielded
a li•tle to the general indisnatien ; she conciliated
Russia by exempting from any dues those articles
in the impost of which Russia enjoys nearly a otos
nopoly, but which from their hulk would never
cross the road ; and she pacified Lord Palmerston
for a while by equal rates on goods liable to the
duties, and by some modification of the tariff. The
Rinse Towns a:pealed to the (4;Tinan Diet against
any dues on transit through Holstein and L
burg as an infraction of their imperial privilogi-s
and of treaties ; but the Diet, ready enough on
all occasions to assi,t arbitrary princes, had no
sympathy with the free towns, and, they were
obliged to submit.

They did not, however, acquiesce patiently.
They fancied they saw a remedy for their grievance
in railway enterprise ; and the capitalists of Lubeck
and Hamburg constructed railroads, some 70 miles
long, across the Duchies to connect the two towns,
Denmark not contributing one stiver to the work.
But the railroads finished, the Transit Dues were
imposed on th 3131 swell as on the ordinary roads, and
such is their pecuniary weight that they actually t x-
ceed the cost of the transport of goods. So that Den-
mark prevents the line being used to the extent it
otherwise would, and receives from the tolls it le-
vies some 8,0001. a year, without rendering a single
service in return, and inflicting grievous injury on
commerce and prejudicing in the most sorioas man-
ner the interests of the shareholders b' whose
money this most useful work was executed. This
conduct i 3 so monstrous that it would appear in-
credible were there not a very intelligible reason
for it.

The real and almost avowed object of Danmark
in introducing these Transit Duties was and is to
secure the revenues it derives from the Sound
Dues, by interposing pecuniary obstacles to the
transmission of goods overland, by which a long
voyage round the Sound and the payment of- the
Saund Dues would be avoided. 'That this is tlis
reasou,the favour whith-slie has shown Russia from
the first imposition of these dues would be evidence
enough ; for originally they were applicable to all
goods, only those coming from the west had to pay
double rates, while those from the east had merely
a single rate to contend against. On the sugges-
tion of a retaliatorysznea.sure from Lord Palmer-
ston, Denmark,- however, abandoned these differ-
- ential rates. But she exempted pitch, hemp, flax,
henapseed, linseed, lamp oil, tallow, tar, 5:t., all
Russian staples,..froin the payment of any dues.
By thisiponee.ssion Russia's support of the Transit
hues system was purchased.
But there is better evidence that by the Transit
Dues Denmark seeks to protect the Sound Dues
than even the exemption of Russian exports. If
the reader will look at a railway map, he will see
that from a point midway bet sveen Hamburg and
. Lubeck, the railway starts away at Baschea for
Berlin, and so direct on to Breslau and Cracow,
with some half &zee links connecting it wit!'
other great rails.v .y systems on either side. Were
Denmark only seeking revenue by means of
these Transit Dues, they would be di;
tinguished by uniformity of amount, regard-
less of the destination of the pods' on which
they were levied. The very reverse, however, is
the case •, for not only are Russian staples wholly
exempted, but while the transit duty to and from
Hamburg, and Lubeck is five skillings Holstein
currency, and 6 per cent. thereon in the shape of
fees, or 41e.1. a cwt, ; to or from Pritssia it is only
one skilling a cwt. on the rail, and. for. goods on
the roads in that direction nothing at all. Mark
the scandalous injustice of this. The free towns of
Lubeck and Hamburg are taxed by Denmark on a
railway which they themselves made, to an extent
equivalent to the freight, whilst Russia is allowed
by Denmark to pass over untaxed, and Prussia,
when not brought into competition with the Sound
navigation, is passed fir otre-fifth the amount ex-
torte from the free towns. The thing is so mon
strous that to state it, one weiuld really suppose,
would he to overthrow it.
The Danish Government knows very well that
the imposition is untenable, and it purchased the
acquiescence of the free towns for a while by an
article in the Treaty of July, 184), whereby it un-
dertook to reduce the duty " whenever a chatigt.
in the conditions of the traffic should occur." Ni)W
no greater change could. occur than that which
Denmark has itself proposed, the abolition of the
Sound Dues on compensation. If the passage of
the Sound became free, and the ex;stiog or any
dues remained on the transit across Holstein and
Lauenburg, the conveyance of goods by that route
would become practically impossible, for oppressed
by transit-duty while the Sound was untaxed, the
road between Lubeck and Hamburg would neces-
sarily have to be. abandoned. If, therefore, in
coming to an arrangement as to the abolition of
the Sound Dues with Denmark, L.ird Ciarendon do
not provide' also for the abolition of these Transit
Dues, be.. will secure fir a bail route, for light
goods, a preference over a goad route, and se
riotssly preju lice freedom of trade.
The Danish Government, long experience
does not care two straws for the remonstrances of
the Hanse Towns on this or on any other subject.
Stronger influences must, therefore, be brought to
• bear on the Cabinet of C ipenhagen than any that
Lubeck or Hambui g can exert. No country has
a deeper interest in the question of the free transit
across the Duchies than Englare's Already Ham-
burg sends yearly to Lubeck British manufactures
and British colonial produce of the value of
1,500,0001. ; from Lnheck they are dispersed in
steamers all over the Baltic ; and it only requires.
the abolition of these Transit Duties very largely to
increase this trade, and to give to Lubeck all its
natural and acquired advantages. Russian goods.
coming from the north across the Duchies are
almost all free ; Prussian goods pay only one-fifth ;
but English goods going to Luheck are charged
with a pecuniary burthen equal to the railway
freight. Lord Clarendon has, therefore, an irre-
sistible ease for interference. The subject lass been
fully brought under the considf ration of the Sound
Dues Committee of the House of Commons ; and it
will not, we trust, be denied duo prominence in the
report of a coincnitteeover which sot minent aFr e-
trader as Mr; charism Villiers presides. At all
events, it is quite irapoesilile that the Sound 111.1 E'S
can be settled without a concurrent settlement of
the Lubeck and Hamburg, and also the limning-
. *am and Flensburg, Transit Duties
and it will be
our business to see that popular attention is kept
alive to the subject, should there he any indications
• of official apathy—Morning paper.

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ME"CROPO LI CAN.

This important railway, dhich will give the Gteat
Western, London and North-Vi estern, and Great
Northern lines a City terminus at the Post office, has
received an accession
.of strength which ensures its im-
mediate commencement and an early completion. Not-
withstanding the estimates of local traffic between Pad-
dicgton and its City terminus show a very large net re-
ceipt, independent of the through passengers, &c., that
must come upon it from the- great lines with which it
will be connected, the condition of the money market
has been such as to induce the promoters to refrain
from commencing works which imperatively required
what they did not clearly see their way to—namely,
a rapid completion of them. It is known that the
Great Western Company have subscribed 175,0001. to-
wards the line, and the Great Northern Company are
now seeking powers in the House of LOrds to subscribe
a like sum. These amounts, with the subscriptions taken
by the public, make up one moiety of the capital ; the
other half being held by the promoters, who, satisfied
with the undertaking, have kept their shares throughout
the late monetary crisis. The company have now se-
cured the co operation of Mr. 'Ricardo, M P.; who has,
after a careful examination of the position and prospects
of the company, proposed to become the lessen, on the
followi❑g terms, of the shares so held by the promo-
tars,.viA.

" 41. per share (making, with the deposit, 51. per
share paid up) to be paid in advance of calls within
tome months, and the remaining 51. per share within six
months from a day to he named.

Upon these sums the company will allow 51. per
cent, from the times of payment until the time con-
tracted for the opening of the line.
" That dividends from the opening of the line on these
shares to,,be,a guaranteed miuimutn of C per cent. with
one moietY'of: all
,tbe profits thereon beyond such per.
tentage. The other moiety of the surplus profits to be-
long to Mr. fticardo, as lessee.
"The security for the minimum dividend to be the
material gearaEitee of 100,0001. on the 50,000 shares; or
cent. on the guaranteed capital, to,,be deposited
Ri,a.rdo in the names—of-tire directors of the
f.,;:aidoiNd.ffeatanirrsteßank as trustees.
"',Whena permanent dividend of 6 per cent. per an-
num at the least bitirtbeen estsblished by the payment of
divideli4,46i three 'consecutive years, Mr. Itmardo
to be at litrty,tn. withdraw -his deposit fend, on aban-
claim to future surplus profits "
The directors state they will rec !guise the trust,
" and issue certificates of shares on which the terms of
the guarantee will be' printed, and they will apply to
Parliament for an act to carry it nut directly by the
company itself, if preferred by the shareholders." They
further state that, " On this arrangement being carried
.Jut,
...the works will be forthwith c.)mmenced, and the
,mgipeir.- is satisfied that the line will be completed
:Tithin, the stipulated period of two years. The holders
of the' :;e4rauteed shares will thus receive 5/,' per cent.
•m their capital, and 61. per cent. and half-profits after-
' wards, secured by the actual deposit of 100,0001., or
201. per cent. on the guaranteed capital, invested in the
names of their trustees."

COURT OF EXCHEQUER.

(Sittings at Ni-i Prius, at Guildhall, after term, before
the L)rd Chief Baron and a Special Jury.)

DIDDLE V. THOMPSON AND ANOTHER-ALLEGED LIBEL.

Tnia was an action brought by the plaintiff to recover I ,
from the defendants, Messrs. Thompson and Son, the pro-
prietors and publishers of the Leicester Chronicle, coin-
pensation in damages for an alleged libel published in that
pap-r on Ist March last, reflecting upon the charaeer of
the plaintiff. The defendants pleaded not guilty, and a
justification so far as part of the alleged libel went.
It appeared that the plaintiff, in 1830, started in
business as a m inufeetnrer of gloves and cloth pieces,
at Leicester, which he carried on with success un-
til 1843, when he entered jute partnership with
a Mr. Ramsden, a spinner, at Huddersfield. In
1848 he started a manufactory of Lisle and Berlin
laces at Leicester, with one Briggs, who had previously
been in his employ. Unfortunately the partnership
with Ramsden was found to be unprofitable, so much so
that, in 1851, the firm were involved to the extent of
between 6,0001. and 7,0001., which arose in consequence
of bad debts. The partnership was then dissolved, 'it
having been arranged that Ramsden should conduct the
business and discharge the liabilities. However, Rams-
den having become insolvent, the liabilities were thrown
upon the plaktiff, who, in the first instance, had invested
500/ in the Huddersfield conoerns without r, • iving any
return. There were then acceptances out to the amount
of 1,6001. on account of the Yorkshire concern, at:d the
plaintiff owed atieut 2,3001. to his bankers, the Messrs.
Paget, of Leicester, who were his largest creditors. In
this state of things the plaintiff consulted two of his York-
shire creditors, Mr. Brooke and, Mr. De Paiva, to whom
he owed 1,6801. and 4501. respectively; and they rec
mended him, notwithstanding that his liabilities %mounted
to nearly 7,0001., to continue his Leicester business, and
at the same time Brooke surrendered 10s. in the
pound of his claim, leaving the plaintiff 154. or 104. in
the pound for the' rest of his creditors—his liabilities
being at that time 1,8001., and his assets 3,500/. He
did not tell Messrs. Paget that he was insolvent, but he
told them that he bad got out of the Yorkshire ccncern
better than he anticipated. After this the plaintiff car-
ried on the Leicester business till 1854, when, in conga•
quence of the total cessation of all shipments to Austra-
lia, he found that he was a considerable loser, his debts
being 5,667/., and his assets 4791. 19s. 6d. On May 9,
1855, being pressed by one of his creditors who had ob-
tained judgment against him, he filed his petition, and on
the 14th of Ang. obtained a second-class certificate, his
estate paying 4d. in the pound. In this state of things, an
article, which was of considerable length, appeared in the
Leicester Chronicle of the let of March last, in allusion to
the bankrupt's circumstances, and which was the matter

now complained of. It was headed "Speculation and
Bankruptcy," and commenced by saying, " In the tragi-
cal end of J. Sadleir there is much material for contem-
p'ati,in. He was but the type of a class which, we are
afraid, is numerous. It is difficult to c mpletely describe
that class, but a few hints may help our readers in compre-
hending its principal attributes." The article having al-
luded to the career of Sadleir, touched upon the failure
of Mr. George Pell, of Welford, Northamptonshire, and
continued-:—" Another case has happened nearer home
of a similar description ; we mean the case of John Bid-
dle, who has lately passed through the Court of Bank-
ruptoy. He was well known in this town from the as-
sumption of the dress of the Society of Friends (the
plaintiff, although,niit a Quaker, was dressed in the garb
of one), and he bad placed himself in no inferior position
in the conduct of p ilitical and local affairs
EL- selects his own opportunity, and throws himself into
the Court of Bankruptcy, passe-, through such an exa
oination as is c'iminon in that court, and with the slight
stigma of a second-class certificate, after paying 4i. in
the pound, probably starts again, like Mr. Pell, of Wel
ford, his plumage only slightly damaged, on a new career
of reckless ambition.' The statement relative to the

plaint ff, coupled' with the harsh comments on the frau-
dulent career of Mr. Sadleir in the same article, it was
contendtd, amounted to a malicious and injurious libel,
and hence the present action.

,The Lord Chief Baron, at the co:rein/don of the pl'ain-
tiff's case, said.that, in .his opinion, any man'who, 'being
in insolvent circumstances, went on trading and did/I,A
tell hid principal creditors of hicposition, was not acting
like.an honeSt man or a fair trader.

Mr. Sergeant 13.ylei addressed the jury for the defence.
He said'the defendants bad for many years conducted
Weir paper in a highly respectable manner among-t a
manufacturing ,community, and they thought it 'their
duty to comment fairly on•transactions Which they con-
sidered discreditable. He would ask them was not the
article a fair comment upon the plaintiff's acts t Was
not what had been stated true is •every respeet, R 4
proved from the ,plaintirti own mouth—strictly and
-,ll4teveity Ilue I and, unless the greater the truth the
gse•iterthelibel 'be the law of the land, they would b.-

_
justified in returning a verdict for the defendants.
He contended that his clients had only exercise
the power of fair comment, which was entrusted to
them as public journalists. The press was now the great.
public instructor, and the public were much indebted to
them when they exposed malpractices. That the plaintiff
was a bankrupt under discreditable circumstances was
abundantly proved: The article, when speaking of
Sadleir's career of vice and forgery, did not mean t,) im-
pute forgery to the plaintiff—it only ruemit ascribe
that he had become a bankrupt under discreditable cir-
cumstances.

The Chief Baron, in summing up, said the real ques-
tion *as how much 4,21 d how far the,articte cemplained
oewas appli:able to the plaintiff. There' could be no
doubt that if the plaintiff had been classed in the same
ca'egory with Sadleir--"—with the 'view of ascribing the
same delinquencies to-.l3im---that he, in the event of the

justification not establishing it, would be entitled to a
verdict. But the question was, had the article exceede
the fair limits of discussion in relating all the facts in
connection with Sadleir, then Pall, then the plaintiff,
but stating only what was true'of the latter, and finally.
commenting upon them as specimens of the wak
in which the business of life was now conducted. If
they thought the article was only a fair comment on
current public eights, and that the facts relating to M-
ete, -the p'aintiff, were true, the defendants would be
entitled to their verdict. The question was, whether
the article had gone beyond the fair limits of discussion.
The most prolific source of misery in this country arose
from persons trading beyond their capital and living
beyond their means. No man was justified in carrying
un his business' for a single day be,yorid‘ the time he
was able to meet his liabilities. He considered trading
in insolvent circumstances highly dishonest, and, in
his ju lginent, the man who would do so was half-way
to 'Holm dow-heath, as matters went in former times.
He consichred that Mr. Brooke, who advised the
.plaintiff to go on trading when he was so deeply in
volved, was not entirely free from blame. The ques-
tion, however, for the consideration :of Utte jury was
were the comments 'fairly made, not alone in the di,-
charge of a public duty, but in the rights of the free-
si im cf publie discussion If they were of opiniot,
that the remarks which applied to Sadleir were intended
to apply to the plaintiff, they would rsturn a verdict in
his favour, awarding him such damages as they consi-
dered he was entitled to.
The jury immediately returned a verdict for the de-
fendants.