Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1882-07-26
Dailp kennetsr 3ournal.
MIR. Blaine's Reply to Mr.. Ran.
dall and Mr.. ElmOre.

dali and Mr.. ElmOre.
AUGUSTA, NE, July 81, 1882.
/ Hon. CHAkLEs g. WILLIAMS,
Caaiynas Of COMMITTEE Of Forngn ASaus,
| House Of Representatives,, q. y.
Sis:
| have received copy Of the supplementary
statemen ut which Mr. Robert &. Randall has been
permitted to place before your honorable commit
tee. As Mr.. Randalls statement relates solely to
my official conduct as Secretary of State, / re-
spectfuly ask the privilege of replying to his
various accusations. am also entitled to the
privilege Of answering the testimony OF Mr..
Elmore, the Minister from Peru, who associates
himself with Mr.. Randall As eorroborstive wit
ness.
| found, in March, 1851. when was appointed
Secretary Of State, n correspondence in progress
touching the Credit IndustrieI, Count Montferrand
| and Mr.. SuareI appearing as its agents, And Mr..
Ran ndall as ITS attorney. The first official notice
/ took Of the subject Was in formal interview
on April I'd with Count Montferrsnd, at which
Mr.. Hit, Assistant Secretary Of State was pres
| interview correctly given by Mr.. Hit before
your committee, and will be found on pages 335-
342 Of the official testimony. The substance Of
that interview that, while 1 entertained q
high respect for the Credit Industriel aud should
be glad to have it made an effective instrumen.
tality to aid Peru in her financial distress, the
Government of the United States could not and
would not become responsible tor a foreign cor
poration, in no way under American control and
not in any manner legally answerable to the
United States.
The proposition Of the Credit lndustriel was
thus expressed in d letter from Count Montferrsnd
and Mr.. SuareE to Mr.. Evsrts. This WAS the only
one discussed by Count Montferrand and
known as the "Guillaume programme"
"The proposition which the Credit Industrel makes
has been submitted YOU by Mr. Robert +. Randall,
together with the correspondence which passed be-
tween that gentleman and Mr.. Cuaume, the chair
man OF the Peruvian bondholders' committee, and
request that the same be attached hereto as part of
this communication
.The Credit Industrel, you will observe agrees to
paw Chill and Peru, respectively, according to the
proposition herein referred to, GSSoooo annum for
term OF wears be agreed upon. This will Justify
a loan sufficient to cover the war indemnity demanded
by Chill of E4ooo,ooo sterling, and leave to these
spective sufficient meet all legitimate
tional obligations The Credit Industrie agrees to
obligae itself the time to arrange with the
Peruvian bondholders the indebtedness held by them.
amounting, principal and interest, to- upwards of
E4S,ooo,ooo sterling without they being compelled to
look to Peru and in return, the Credit ndustrie sim
ply requires that Chill shall surrender the conquered
territory Of Peru to Peru subject to Protecforafe
the United States, guaranteeing to the Credit
Iadusfriet the free and unobstructed shipment Of
the deposits Of the said territory to rif TIE guano
and nirdtes. for the same term Of gears
Mr.. Randall, in attempting to escape from the
| sihilifr af hav eEad AM Dr,-
tectorate behalf of the Credit Industrel quotes
Mr.. Elmore, the Peruvian Minister, as witness.
In letter to Mr.. Randall, Mr. Elmore says
1.-The subject of Protectoratc was never once dis
"cussed, and the word Protectorate
'tioned in interview between Secretary Blaine
land myself, or in any Interview with Mr.. Blaine, at
(which was present with without you.
81 always understood Secretary Blaine favorably
entertain the Credit lndustriel Programme. He
'never objected to it for any reason, so far know.
"The proposition discussed was the programme Of the
| Credit industriel submitted by you Secretary
"Evarts, otherwise called 'Gmittaune Programme T"
| The salient feature of the Gullaume programme,
its very foundation, indeed, as above quoted, was
'an American Protectorate." Mr.. Elmore says the
proposition discussed was the Gullaume pro-
gramme, and yet he adds that the subject of Pro-
tectorate was never once discussed or the "word
Protectorate mentioned" 1t IL charita-
Bile to believe that, not being entirely familiar
with the English language, Mr.. Elmore had his
| letter prepared by some else who less
scrupulous and careful than have always sup
| posed Mr.. Elmore to be The self-eontradiction
| is so palpabie that am sure Mr.. Emore will be
| glad TO correct it.
| Another very strong objection to the United
States adopting the Guillaume programme was
that the Peruvian bondholders, for whose benefit
| i, was devised, were all subjects Of European
governments. In Mr.. Guillsume'- original letter
to Mr.. Randall Of October 81. lss0, the following
paragraph will be found:
| "But the absolute principle, which should be
"iost sight Of is that the Credit lndustriel shall be
recognized and constituted the general liqudator, the
worker of the guano and ntrates the distributor of
''the proceeds Chill and Peru, the bondhoders
| land creditors (aH resident in Europe, tha, the
Credit Industrel should be the syndicate and that
"the deposits shall be neutraized until the paving off
"of the accounts as otherwise there would be compe
tton, and, with it, depreciation of prices, prevent
"ing the fulfilling OF the engagements that have been
| taken"
| The United States Government thus to
| recognize and constituted "the Credit Industriel
the general lquidstor,' for the benefit of bond
| holders and creditors "aH rssid,ni m Europe
Mr. Guillaume makes reference whatever
/
| that "a. to the European governments. there is
'po doubt thst they would With great .atisfac-
| 'tion the settlement of the question Of the
peruvian bonds, which interest their people. 4"
Some months later Count Mos,ferrand aud Mr..
Suarez wrote follows:
''The subjects of Holland, Belgium, and France
represent onehaif of the bondhoders Of Peru,
land are the of tScthrds OF the guano and
nitrate shipped to Europe, France using herself
"quite fifty per cent the boia.ce Of the bords ARE
| "keid IN Great Britain"
| In another part of their communication they
ventured to hint that citizens Of the United States
| we're interested to "a limited extent" Mr..
Randall now makes bold TO declare that stfour
millions of the Peruvian bonds" are held in this
country. Considering that the bonds amount to
two hundred snj thirty millions in all, the at
tempt to manufacture American interest out
of four millions is rather lame and impoten:. 1t
is not improbable that these four millions were
| transferred to New York for the very purpose Of
declaring that an American interest existed.
But coueeding that the bonds honestly
held in tbi. country, Mr.. Randall in urging the
lGuiIlsume programme asked that an American
Prosectorate be extended over the rescued pro-