The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-09-26

Important Financial Movements In mexicO
We publish tsis morning curious decree Of
the Mexican government, which affects to be
contract for finishing the railroad from Vera
Cruz to the city Of Mexico and finally continuing
it to q port on the Pacific.
Only those who are well acquainted with the
ingenious contrivances and intrigues of the job
bers who cluster round the Mexican treasury, and
successfully divert the revenue of the republic
from its legitimate application, will understand
the true drift of the present manGuvre. To all
others it will seem to be an honest and bona Jfde
undertaking to complete great public work.
A contract is entered into, not with company
having subscribed capital, but with gentleman
who has been one of the most successful of specu-
lators in Mexican government transactions, by
which ninety miles of railroad are to be con-
structed in six years, and eight millions of dol
lars of the present domestic debt of the republic
are to be consolidated. The payment of the in
terest and two per cent annual redemption of the
new consolidated debt are secured in q most
ingenious manner, and with the greatest
permanency that it is possible for the Mexican
government to contrive-in fact, in q man
ner that in some measure sets aside the 60
vernment in the collection of its own revenues
and precludes the possibility Of any future ad-
ministration resembling the present arrangements.
In one word, Don Antonio Escandon has made
the first purchase of the Mexican republic.
The domestic debt of Mexico has mere nomi-
nal value; but the new consolidation of eight
millions at par, with guaranteed interest of
five per cent and two per cent capitalization, will
bring it up to value that will be limited only
by the ability of Mr.. Escandon to secure sufficient
revenue to pay the interest. 1t seems to us that
he can export free of duty any amount of specie
that he can get the government to admit in his
estimates for building the road; then one-tenth
of the maritime revenue is indefeasibly appro-
priated to him, to be collected by his agents. and
for any deficiency the Minister of the Treasury
shall give an order on the unappropriated reve-
nues of the custom houses How this settlement
of the domestic debt will suit the foreign holders
of Mexican,bonds during the pending nor settle
ment of heir claims remains to be seen. 1t has
been usual with well regulated governments
to take care of their foreign debt before pay
ing the domestic one. How safe Mr.. Escandon
feels under his present bargain may
be Judged rom the fact that in return for it he
agrees to build ninety miles of railroad, and
moreover hospital and penitentiary ia the
capital, to cost not less than one million OF
dollars.
We cannot close our eyes to the fact that some
great change is rapidly preparing for the Mexi-
can republic. A new constitution, utterly i'm
practicable in the details of its executive provi-
sions, went into effect on the 10th inst Under it
the President and cabinet ministers become mere
tools of single parliamentary chamber while
Congress lie in session, and of q permanent COM
mittee of one member from each State during
the recess This is an irresponsible tyranny,
which, If allowed to 60 into operation will bring
revolution and anarchy through its own work
ing; but already there are wide spread rumors
of coup d'ttat on the part Of the government, or
some connived at revolution that shall preserve
Comonfort in the dictatorial power, such as he
has been welding for the past two years. No
one can tell what the new complications will be-
but they are in the essence of things in Mexico,
and must come.