New-York tribune., 1890-03-31

paint was put on with n thick bruSh icW "ecns
ago, in order to dupe the Experts from farls' p"o
the engineers insist that the property is kept IN
il, present condition all the year round. and that
no special preparations were made for the visit
Of the delegates Subsequent observations along
the line of the railway and at Aspinwall con-
vinced me that whiLc there Is necessarily some
degree of deterioration from disuse and excessive
! dampness the companys movable property Is III
n fair state Of preservation Why should II not
be well cared for? There is large staff OF
| officials at the Isthmus who have nothing TO 90
except to look after the material and machinery
| The company is nominally bankrupt. but lis
cashier draws regularly upon Paris for S6V,o0o
I q month and pays out that amount IN salaries
here ard for general expenses. Paint is cheap,
| and il is not spared Every nile Of the canal
line is under surveillance, and the property IS
| in rs good condition as the circumstances war
rant Nevertheless, il is gradually dc,eriorating,
and from every year Of disusc loses good part
Of its original value.
who have no faith In the completion OF the
canal is that the Colombian Government Will
not rcncw the contract with tie frcncn company
or its assignces. but Will take possession OF the
| work its own account at the expiration oi
the stipulated term. This is an argument which
proves too much for the purposes or the pessi-
| misfs for it may safely be assumed that IL the
| Colombian authoriis break of relations with the
French investors, they will ultimately succeed In
| driving some kind OF a bargain with an English
or an American syndicate. and there will then be
q brighte. prospect for the completion OF the WORK
| than under the existing management. The fol-
| lowing clauses of the law of 1873. passed by tue
! Colombian Congress relate 20 this important
question of the termination of tie present con-
tract: ,,-,
al tie public service within the subsequcn twelve
years after the formation OF the company when
Will undertake It's construction put the ENect'l'c
Power is authorized To grant n further maximum
| term Of SIX years in the case of cncountcrlng
superhuman obstacles beyond the power of the
company, and If. after one-third Of the canal IS
l.,.,1g Ahn q - 70
possibility Of concluding the work IN the SAID
! twelve years
| Article 23-In all eases cf dccla ration OF null
lity the public lands mentioned in paragraphs
| and : of Article |, and those not aiHnated
among those conceded In Article 4. will return
TO the possession Of the Republic in the state III
which they are found and without any indemnity
whatever: and also the buildings. materials,
works and improvements OF which tie grantees
hold possession in The canal Ihess sian ond Te
in general their movable property
VI. de Icsseps came to the Isthmus with great
p9mp IN January l9ST 70 i"oSufas pa s nesr 'n t5e
canal company was formed. Us legal term VIII
expire under the conditions of the contract on
inists the Colombian Government will not grant
any extension Of time 10 the rcpTescnta,iVes or
as>ignecs Of the present COMPANY IL WI allow ns
will take possession OF the property. While the
| Executive Power Is authorized 10 grant an fN-
tension Of time for the completion of the canal,
il is not compelled TO do 80. but exercises dis-
crcfionary privilege BY avallng ltsclf ol lis
rights under the contract. the Colombian Toy
crnlucnt will establish It's absolute ownership IN
| the unfinished enterprise certain amount OF
work has been done. ynii0usiy estimated at one
third Onc-tfth and One-tcnth OF the Whole ilndcf-
taking. That completed fraction II WORK WI
have commercial value whenever rev con
tracts may be made with another company Tor
the construction Of the canal When the con,
tract lapscs the Government will succeed 70 all
the rights Of the bankrupt company. II VIII own
the lands, buildings, m2terias. ana everything
exccpt the movable property "-an elastic phrase
which il will be difficult for the lawyers OF the
State 10 interpret risdy: and Furthermore il will
have a clear title To- the canal as il is-to all the
results of nine years excavations, dredging ana
| labor 1t is currently believed that President
Nunez fayors this policy on the ground that the
| Government can make more money out or the
| enterprise by establishing It's ownership III the
property and then disposing of its rights to new
| company than By extending the term and allow
ing the assgnccs OF the French Stockholders to
proceed with the work. There are hundreds. in
! deed thousands Of laborcrs' houses along the line
of the canal, and there are numerous store
houses wharvcs, railway tracks and other I'M
provemcnts and appliances winch cannot ne re-
moved with the dredges, rolling STOCK, vessels
and material. This property will have a definite
value when new arrangements are made for the
completion of the canal and so. also, the work
which has been done, whatever there IS 10 show
| to-day as the result of the expenditure Of $3.50
| 100000 will he stock In trade owned by the
Gcycrnmcnt The canal pcssimlst, declare ihat
Colombia is bent upon driving shrewd bargain
and paying oil lis rational debt at the expense OF
| the French shareholders.
The canal optimsts on the other hand, scout
the idea that either the Colombian Government
| in general. President Nune1 IN particular, en-
tcrtains serious thoughts Of playing fast and loose
| with the French investors. They assert that the
assignces Of the company or any syndicate which
i may acquire possession Of the property will be
entitled TO the extension OF the term allowed Tor
| the completion of the work. They contend that
| superhuinan obstacles beyond tho power Of the
company have been encountered and that by the
terms of Article the GoNernmcnt cannot refuse
| ,1..nr la iAI nts slEf ef lnn frnn
| to ls0s. Among these obstacles they specify,
| ll the successive deaths of three chef engineers,
| by which great delay ard confusion in the affairs
| of the company were caused; t2l the revolution
! of 1885 by which the work seriously retarded,
| and CD. litigations in which the managers OF the
canal have been involved by various contractors.
| Lawsuits and revolutions not ordinarily re-
| gardcd superhnman agencies, but the canal en-
| thuslasts do not perceive the humor OF their
| spcci..l Pleading They occupy tcnablc
| ground when they declare that the Colombian
| Government In, formally admitted that more than
| onc-thrd OF the work of construction has been
| done, and that the company on this account is
| entitled to an extension of time under Article T.
II cannot be denied that this concession has been
| made by the Colombian authorities but under
| "A close construction of that article the Govern
ment can claim II IL chooses 10 do No, full dis
| crctionnry powers respecting the extension II
| Is authorized, but not compelled, TO prolong the
period allowed for the COMPLETION of the canal
The French engineers and their partisans however,
make light Of this whole matter. They assert
| that the Government cannot and will not with
hold its consent, IL the capital required for the
successful prosecution Of the work be supplied
| They refuse TO believe that President Nunez or
his successor will he guilty of any breach Of faith
\ new syndicate. in their Judgment, has only to
demonstrate its ability To conduct the work sue
cessfnlly and 10 command requisite masses Of cap
ial in order To he fully invested with legal pow
| ers. The Government. thev assert, can properly
decline to extend the time il syndicate with in
adequate financial backing undertakes To finish
| the canal; but ii will not obstruct the prosccu-
ion Of the work. II IT. can he convinced that the
| capital needed is available
Here. too the truth must he sought in more
conservative views Of Colombian policy The
leaders Of the Government are undoubtedly watch
| ing canal affairs with keen interest They can
! not act dccisvcly against the French until thc
| end Of two wears, and they have not committed
themselves to any policy, They are waiting to