The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1873-06-05
MONOPOLY OF THE ATLANTIC TELEGRAPH
COMPANY.

ST. JOHNS. N. f., May q, 1878.
To THE EDITOR OF THE HERALD:-
Your able and well-merited exposure OF the
mean selfish and greedy policy OF the Atlantic Tel
egraph Company meets here . hearty approval,
for we have long suffered silently in Newfoundland
from the narrow, avarici0us spirit OF this company
In the charter originally granted to this company
by our government they were secured in most i'm
portant privileges snd the utmost liberality was
extended to them. First Of all we gave them the
exclusive right OF landing cables on the island for
period OF fifty years from the date OF the charter,
with one most fortunate reservation, however, to
which shall presently refer. Then we made them
concession of 100 square miles OF unoccupied
land, to be selected anywhere throughout the
island In blocks OF not less than three miles, and
without specifying any time for the selection.
This latter grant Is lakely to prove Of immense
value TO the company Already they have obtained
possession OF the valuable lead mine OF La Manche;
and, at the present moment, they have two clever
mineraloglsts, from London, at work, searching
over the mineral lands OF the island, and they will
probably find deposits of immense value, which
will be the property OF the company, What
have they given US In return for these favors'
Their treatment OF this country has been charac-
terized by the utmost meanness and ingratitude
kilograms have all along cost US much more
prcportionally than even you have been pay
ing in New York. Our "press' kilograms arrives
three or four times Q week. and only three days
after the intelligence It contains has been pub
lshsd in America and Canada, thus putting
our commercial community at great disadvan-
tage. This Is considered good enough for the
country that first fostered the project Of spanning
the Atlantic and supplied with such libersty faci
ties for carrying on the WORK.
It Is quite time, in the interest OF civilization,
that the monopoly Of this company were ended.
and the HERALD Is doing good service In de.
nouncing their ilberal policy. wish to show, how
ever, that the most efrectual way Of terminating
this monopoly is by the government Of Newfound-
land exercising the presumption right secured to
them in the fifteenth section OF the charter, which
reads as follows:-"H at any time after
twenty years from the passing OF this
act 1t shall be deemed advisable by the Governor
in council that the lines OF telegraph and other
property OF the said company shall be transferred
to and vested In the government OF this island 1t
shall be lawful for the Governor to cause written
notice to be given to the said company, which shall
be served upon the president or director or mana
ger in this island which notice shall state that the
government has decided upon becoming the
holder Of the said lines and other property; and
thersupon the Governor and the company shall
each choose an arbitrator. and the arbitrators so
chosen shall appraise the telegraph lines. wires,
cables, apparatus. vessels and all other property
connected herewith; and II they cannot agree
they shall choose third as umpire. and II they do
not make such choice the Supreme Court shall ap-
point an umpire, and the appraisement Of any two
OF them shall be taken the true and Just value OF
said property"
It will be seen from the foregoing clause that our
government have the option OF purchasing the line,
at the end OF the first twenty years. at the cost of
plant paying nothing for good will or valuation Of
profits The charter is dated April u.s. 1854, so that
after April Is, 1874, the valuation can be made.
may add that the most eminent counsel In London
endorse the foregoing view as to the nature OF the
valuation. The discovery OF this clause has greatly
depressed the company IS. shares in the stock mar.
ket.
Our government are quite alive to the Importance
OF this pre- -empton right and quite determined to
exercise IL Should they at once announce their
determination to do so, they would be backed by
the general opinion Of the whole country. II
is OF great consequence. in order to encour.
age Geographic enterprise in laying down
new cables, that all doubt about the matter should
be ended, and new companies could then take
measures to have their cables landed here as soon
as the charter permits. No other landing place
Tor transatlantic cables would ever be selected
we're the shores Of this island free to all. 1t Is but
point but fifty miles from the island OF Cape Bre-
ton. A thousand miles OF cable would be saved by
coming via Newfoundland, and speed ana safety in
telegraphing secured. 1t ID safe to predict that
were we clear OF the present monopoly half .
dozen new cables would De landed here as speedily
as they could be manufactured, ana the tariff re-
duced to quarter Of a dollar per word. Already
the "Direct United States Gable Company" offer to
lay down two cables via Newfoundland II the gov
eminent pledge themselves TO- exc rcse the right
OF presumption. A very moderate toll on each
message for the use OF the land line would be an
important source OF revenue to the colony. Yours
truly, A NEWFOUNDLANDER.
p. S.-Snce the foregoing was written have
learned that our government have agreed to notify
the New York. Newfoundland and London Tee-
graph Company that ifthey will consent to abandon
their monopoly next year the government win
abandon their right Of presumption, but in
case OF refusal government will maintain
their pre-emptive right should the CON-
pany abandon its monopoly it would be on the
same footing as any other company in regard to
the tariff which might be charged by the local
government for land lines. 1t remains TO be seen
whether the company win accept this fair and
reasonable offer. II they do all will 60 smoothly,
and the Direct United States Cable Company will
land two cables here next year, and telography