National Republican., 1888-02-04
TIE NIcARAGuA CANAL.
Arguments in Favor of Incorporating
the Canal Company,


Judge Charles s. Daily and Hiram Hitch
cock, OF New York, ex Senator Macdonald,
Admiral Ammen, Commander Taylor, and
Civil Engineer Menocal, OF the navy, ap.
peartd before the House committee on
commerce in advocacy Of Representative
Norwoods bill to incorporate the Maritime
Canal Company Of Nicaragua. Judge
DAILY made the principal argument, devoting
his attention mainly to the constitutional
question involved In the proposed charter,
ard demonstration of the financial ability
Of the company to carry out the work. On
the first point he quoted the Interpretation
given by Chief Justice Marshall to tho arti-
Gle Of the constitution giving Congress
power 10 regulate commerce with foreign
nations and among the states This inter
probation, be maintained, completely cov-
ertd the present case.
On the second point Judge DAILY said
that the company had positive assurances
from Berlin, Boston, and New York bankers
that the one hundred millions OF bonds
would be espeedily tsken up when the Uui'ed
States charter was granted. The association
which held the concession had several hun.
drcd thousand dollars In its treasury and
had spent 100000 in preliminary work
upon the canal. Eight fully equipped
working parties were In the field, employ.
Ing l7O people. y Six OF them were land
ihe other was making borings to determine
the nature Of tho cutting so be done. While
the association did not absolutely require a
charter from the United States, the appllca-
| tion for one was made out OF respect to the
government.
Mr.. Anderson, Of Kansas, wished to know
| II the company would object to the inser-
| tion OF an amendment to the bill furnishing
| II by forfeiture Of charter for any com6lna.
| tion with the Pacific railroads TO raise tolls
Judge DAILY did not feel authorized to
| give positive answer, inasmuch as he h ld
not consulted upon the subject with the
other members Of the association.
Mr. Hitchcock eXpisined the formation
Of the company 10 answer to questions put
| by Chaifnian Clardy. He said that no
| stock had been Issued by the canal com
| papy, nor could 1t be issued untsl the ch r'
| ter had been obtained. The original asso-
| citation which had obtained the concession
was capitalized to the extent OF siOO,OOJ,
which had been contributed by l25 persons.
Mr. Claidy wished to know II the stock
Of the company would be held In the
| United States.
Mr.. Hitchcock replied that by the terms
of the concession the stock must be offered
| thew York, Nicaragua, Costa ltica, aad
| In Europe but the incorpnrators Intended
to secure a majority OF the stock In Amerl-
can hands.
| Mr.. Rayner believed that proVihon t9
| that effect should lie inserted in the bill;
| otherwise France, Great Britain, or Ger
| many might come into possession OF the
canal through the purchase OF Il majority OF
| the stock.
| Mr.. Clardy inquired II the incorporators
would consent TO the insertion of II clause
absolutely providing for the retention OF q
controlling interest 10 the United States.
After consulting with Judge DAILY, Mr..
| a., hat thax, tfii1
ipg to accept such a condition.
The hour of adjournment was reached at
this point, and further consideration Of the
subject was postponed.