The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1890-05-27
AN OPEN LETTER TO THE MINISTER
OF FINANCE.
his ExcELLENcY S. M. DAMON
MINISTER OF FINANCE, HOMO

N.
MINISTER OF FINANCE, HOMO
LULU, 81. I.
SIR In the interest of honesty,
fair dealing and incidentally of the
British and American stockholders
OF the Hawaiian Pacific Cable Com
pany, permit me to address you in
this public manner. It is stated in
a newspaper of this city that s'the
management of this company has
lately attempted to reach the draw
ing Of the first installment " of the
Government subsidy of s25 5000.
This statement was a surprise to
myself and led to prompt investi-
cation. Under the Bartholomew
Act of July 2, 1885, no money can
be drawn from the Hawaiian treas
ury until the telegraph lines and
cables are Gin good, working condl-
ton between Honolulu and Wal
luku." which has not yet been
accomplished, although the main
land lines across Oahu, Molokai
and Maui with about fifty-fve
miles of auxiliary land lines are
nearly completed. One type of
the cable has proved to be defec-
tive, communication between Ho-
nelulu and Waikiki cannot yet be
had, the Government subsidy is of
course unearned and speaking
strictly for the British and Amer
lean stockholders no attempt at
any time has been made to obtain
the money which to the best of my
knowledge still remains in the
Government treasury.
On the part of a few of the resi-
dent stockholders it is discovered
that a most unsatisfactory and in
consistent state of affairs exists.
A local firm of merchants, on or
about September Is, 1889, volunta-
rily became the agents for the
cable company at Honolulu, no
guaranty was asked of this Homo
lutu firm, an omission on the part of
the cable company which was over
looked by myself in the hurry of
construction work. At a subse-
quent date, as stated to myself by
an official of the Interior Depart
ment, a prominent member of this
firm of the cable company's agents
appeared at the Government build
ing armed with power of attor-
ney from the New York construc-
tors of the rejected cable, and
claimed the first instalment of
$4,000, which demand was of course
properly denied. An act of this
kind, while entirely unauthorized
by myself, and carefully guarded
against on my part IN the contract,
still being of the nature of claim
against the cable company, was d.
rectly prejudicial to our interests,
and it was this hostile act Ito use a
very mild term), which becoming
known and commented upon, has
undoubtedly given rise to the
newspaper criticism referred to.
Just why the cable company's
agents should accept a power of
attorney to press a claim against
the company remains to be ascer.
tanned. No money has been asked
for from Government by myself or
by the foreign stockholders Of the
cable company, nor can any be
asked for under the terms of the
Government contract until the
Minister of the Interior can go to
the Honolulu telegraph Office and
satisfy himself that he can do bus
mess satisfactory over the lines to
Wailuku. The newspaper stric-
lures are certainly well grounded,
under the circumstances, and this
letter is made an open one in order
to forestall or remove any annoy
ance which might be inflicted upon
the Departments of Finance and
the Interior, should such reports
remain uncontradicted by autho.
rlty from absent and innocent
stockholders. l am, honored sir,
Your obedient servant,
J. SHERMAN BARTHOLOMEW.
President,
Hawaiian Pacific Gable Co