The Sun.
London, England, 1858-09-23 00:00:00

THE SUN.

THURSDAY, SEPTEMBER 23, 1858.

The very interesting speech delivered by Mr.
LAYARD, at the meeting of the Proprietors of the
Ottoman Bank yesterday, Casts additional light on
the important questions of Turkish finance and the
position and future prospects of the Ottoman Em-
pire. Great Britain is, as we have already pointed
out, deeply interested, as a nation, in sustaining the
SULTAN, and preserving the integrity of his do-
minions. We have already expended £80,000,000
of British money and the lives of 80,000 true-
hearted Britons in protecting the " sick man," and
surely it would be but a penny wise and pound
foolish policy to hold back when, comparatively, a
mere trifle may effect a complete cure, and enable
us to reap the legitimate results of our former
outlay. Turkey offers a vast field for com-
mercial enterprise, and, perhaps, we may
look in vain amongst nations occupying
higher positions, and preferring far greater claims
for equal liberality and integrity, so far either as
the tariffs in operation or the general course of
dealing is concerned. It is not too much to say
that the duties might be quadrupled without lead-

ing to any perceptible diminution of consumption.
There is thus abundant security, not only for the
debt already contracted, but for a much larger
amount, should it prove necessary—which we trust
may not be the case—for the complete restoration
of Turkish finance, and placing it in a sound and
healthy position. Indeed, we believe we are
fully justified in asserting that, considering
the magnitude of its resources, there is no
nation in the civilised world whose
,liabili-
ties. are .so small when compares with its
assets. It may be boldly asserted that all which
Turkey is bound to provide, in the 'shape of divi-
dend on foreign debt, up to the loan recently con-
tracted, is but £130,000 per annum, and even if the
£5,000,000 be called for it will only require
£430,000 a year, while Great Britain has to pay
more than sixty times the amount.
This is easily explained. The first loan con-
tracted, now known as the Turkish Six per Cents.,
was provided for out of the Egyptian tribute of
£250,000 a year, specially guaranteed by the
Great European Powers. It was intended, as in
the preselit instance, to raise £5,000,000, but
£3,000,000 only were at first required,
and the: remainder of the loan was
never called for. There was an organised
opposition which 'reduced the scrip in the
first instance to 86 or 87 ; but the Greek element
was speedily vanquished, and the stock rose to
more than par, leaving a very handsome profit to
the original investors, and it is now 96 to 7—much
less than its actual value.

The second charge is for the interest of the
Guaranteed Four per Cents. £5,000,000 was then
raised on the joint security of France and England.
The W extern Powers ensured payment on demand
to the bondholders, and received certain securities
in return from the Turkish Government ! The
balance of the Egyptian tribute, £70,000, was first
hypothecated, and then the proceeds of the Smyrna

and Syrian Custom-houses. It is scarcely neces-
sary to say that the sums realised are far more than
sufficient to satisfy even the full £200;000 a year,
or that there is a handsome balance available for
other purposes. It is just as if a mortgage of
£7,000 or £B,OOO were contracted on an estate
producing as many thousands per year. It could
not for a moment be asserted that the property was
bankrupt because of the trifling charge, not the
one-twentieth part of its absolute value.

For the present, loan there is also ample provi-
sion. The customs and octroi duties of Constanti-
nople have been specially pledged, and the produce
at present more than £600,000 per annum, or double
the amount required-for the purpose.
It may: be said that there is also a floating debt,
that there is a certain " inconvertible," or rather
depreciated, currency in circulation, for -which due
provision must be made. Why, this is the very
purpose for which the present loan has been con-
tracted. The Turkish legal tenders will be placed
on a sound foundation. The depreciation that has
been caused by interested parties will be got rid of,
and monetary affairs will once more assume a satis-
factory appearance at the Turkish capital.

From what fell from Mr. LAYARD yesterday it
would seem that many influential shareholders in
the Ottoman Bank have taken an active part in
effecting the loan, and providing the means by which
Turkey may extricate herself from her financial
difficulties. As we recently pointed out, the
money thus advanced will prove the pivot on
which Turkish prosperity will turn, and will prove
doubly useful, not only in directly obtaining
handsome interest at the rate of more than 7 per
cent. on the present advance, but indirectly, in send-
ing up the shares of the Ottoman Bank to handsome
premiums, at which, unquestionably, they will still
be good bargains. ' -

Yesterday a dividend at the rate, of 5 per cent.,
free of income-tax, was declared,: Perhaps more
might have been fairly 'given, but the error was on
the right side; and now that the exchanges have,
to a certain extent, been rectified—that the bona
fide profits may be transmitted to London without
an enormous and alarming sacrifice—the soundness
of the speculation will be manifested.
Some bullionists have endeavoured to cast
discredit on paper currency, in consequence
of the existing state of affairs at Con-
stantinople. But that is altogether a mistake.
The Turkish paper was not adequately supported.
It was neither issued nor supported on sound prin-
ciples. That may be immediately discerned from
the extraordinary alteration in the exchanges
occasioned by obtaining £3,000,000, and the
prospect of obtaining £2,000,000 more. The Otto-
man Bank may now realise its profits, and pro-
bably on the next occasion, in place of 5 we shall
see a dividend of 10, or even 15 per cent., a just
return for the exertions which they have made.
If Turkey had taken care that the note or reduced
piastre was always receivable in payment of every
tax or duty, a foreign loan would not have been
required. As it is, we see how easily credit may
be restored, and a beneficial system inaugurated.

A great experiment has been tried, and as yet
without any fair return to the original pro-
jectors. Indeed, like many others who have
ventured on new and unbeaten tracks, they
must, under existing 'circumstances, be contented
with the honour of having introduced a
new class of vessel into the English Navy,
as an equivalent for the serious losses sustained in
the patriotic attempt. A new channel was opened
for shipowners. It was believed that an extraordi-
nary, indeed, an unprecedented rate of speed could
be attained, and that facilities could be

afforded that would be duly appreciated, not only
by British -merchants, but also by the British
-Government: Every scientific calculation which
has been tested has been fully and completely
verified, and therefore theft) is the greater
reason to suppose that the others will pass
triumphantly through the ordeals to which they
may be exposed.

This may be regarded as the age of miracles, and
yet " The Great Eastern" steam ship will not
be regarded by posterity as the least marvel of
the latter half of the nineteenth century. The
genius of BRUNEL was never exerted to better pur-
pose, and the liberality and enterprise of the Di-
rectors and Shareholders gave every fair play to
the originators, of the marvellous conception. But
it is neither just nor equitable to expect too much
from a private company. Where interests of such
magnitude are concerned, some assistance should
be rendered to those who have already provided
for so great an outlay. The vessel is there before
us, floating
river, ready for any service
that may
ai3nrg
be in
required.
The time may come
t a, o the
when the Britisl Government would willingly
give ten times, the original cost for her use for a
y
single year. She could carry an arm to its
destination in less than half of the time
required by ordinary transports, or might by
some trifling and comparatively inexpensive
alterations, be enabled to encounter a naval squad-
ron, as powerful as any that could be despatched
from Cherbourg or Cronstadt. It would be a disgrace
to England if the extent of her capabilities were not
fully and completely tested. "It is," says the
Times, "computed that the sum of £330,000 would
buy the Great Eastern as she lies, provide for the
completion of all outstanding contracts, fit
the vessel for sea, and furnish sufficient
working capital besides." Why, then, should
the comparatively trifling sum not be forthcoming?
liandsome profits may be realised by those who
will invest their money according to the pro-
ject put forward; but it is the duty of
the Government to look, to the matter, and
not to allow the golden opportunity to
slip through their fingers—such another may not
arise within the existing generation ; and we are
quite satisfied that no expenditure would be
more popular, than that which would secure the
Great Eastern steamship for the British nation,
and render her available for the many important
uses to which she may be turned, and which may
prove so very advantageous in maintaining the
maritime supremacy of Great Britain.

VISITORS AT BRIGUTON.—The Brighton Gazette
says :--" We publish this week a very long list of arrivals,
and the town is now assuming its wonted gaiety. Our de-
partures are few and far between. Numerous demands
continue to be made for 'houses of first and second class,
and in the course of another: two or three weeks we may
calculate that the town will contain some 40,000 visitors. '
M. Severino, who, as' responsible editor, signed
the number of the Italia del Popolo, containing the letter
lately addressed by Mazziui to Connt Cavour, has been
acquitted by a jury. lie was, however, taken back to
gale on Friday night the schooner
prison, there being another charge againsthim.
WRECK ON BARNIOUTH BAR.—BARMOUTII, Sept.
21.—During a heavy
Isabel, of Liverpool, Was driven on shore near the north bar
of this port. She aftenvarda became a total wreck. Early
the next morning the perilous position of her crew having
been observed, the.lifeboat of the Royal National Institu-
tion, stationed at Barmouth, was immediately got out and
manned by a gallant crew' who
exhausted shipwrecked crew
who soon succeeded in reaching
the wreck and in bringing
the amid the rejoicings of the people on land. The life-
boat's crew will be paid the usual amount for their valuable
services.

DEATH OF SIR GEORGE RICH.—We have to
record the death of Sir George Rich, Knight, second son
of the late Sir Charles Rich,er, many months of painful
which mournful event oc-
curred ont Saturday last,
aft
suffering, in the 73d year of his age. The deceased noble-
man was born in Burlington-street in 1786, and married in
1816 the daughter of Mr. Dudley Loftus, of Killyon,
county Meath. - Re Was appointed aide-de-camp and con-
troller of the household to the Earl of Whitworth in 1813;
was Chamberlain of the `'ice-Regal Court under the Mar-
quis of Wellesley, on his appointment to which office he
received the honour of knighthood.