Telegram-herald. ([Grand Rapids, Mich.) 18??-1892, 1891-03-01

The Senator Says Uncle Sam Must
Control the Nicaragua Canal
ls Nay Become for seeas Forsigs Nsstss
Dspsaas@ey Moe Fsrsatdabis fhss
ostEaitAE asd More Trouble
soms fhaa Canada.

leoPYrGGHI 1881 81 sAoHELIER q JoaSsosl
The important question a. 10 what
action the United States government
should take in regard TO the proposed
construction of the Nicaragua Canal viii
be the subject OF . careful article by
Senator John sherman in the March
nunbe of the Forum"
Senator sherman begins by reviewing
the history OF the canal project from the
treaty of December ], 1884, by which the
Republic Of Nicaragua agreed that
the work should be undertaken by the
United States In his message To the
Senate, December 10, 1884, President
Arthur strongly recommended the rati-
ficstion OF the treaty, but no formal
action followed President Cleveland
withdrew the treaty from the considera-
tion OF the Senate soon after his inaug-
uration, and in his first annual message
gave his reasons for SO doing. which
were briefly, that he did not favor
''policy of acquisition OF new and distant
territory or the incorporation of remote
interests with our own"
The incorporation in February, 1889, OF
thu Maratime Canal Company Of Nicara-
qua, an association Of citizens of the
United States, is thea considered. The
Republic of Nicaragua had granted TO
this association the right TO construct
the canal; TO sell its stock and bonds for
the funds required, and TO seek the aid
of foreign powers, especially the United
States.
Estimates made by engineers employed
by this company have been revised by
board of consulting engineers; and, be-
fore any aid is rendered by the United
States, are to be still further revised by
officers of tho army and navy Of the
United States. The cost of the work is
placed at $7S, III, 30S, to which is added
for possible contingencies the sum of
sl4, 633, 262, and an allowance for interest
on invested money during the progress
of the work, making the limit Of aggre-
gate cost about 500, 600, 900.
Senator Sherman considers the engi.
neering difficulties, of which the great
est will be met in the construction of
harbors at the termini, and it is his
opinion that they are not SO great as
those which were overcome In the max
ing of the Suez Canal. The total distance
from ocean to ocean is 1894 miles, from
which only 26.S miles will be by exca-
waited canal Work is in progress and
the results are satisfactory.
The Importance of the work to the
United States is strongly presented.
Senator Sherman declares that "the
canal will, for the first time, make pos
sible an enforcement of the Monroe Doc
;rne, hitherto a mere dogma in Ameri-
can policy" He then proceeds to a con-
alteration of the question: How shall the
financial difficulties be met! He present.
mis- views as follows:
at is proper for me to emphasize the
fact that the Maritime Canal Company
and the Construction Company organized
by it have made no application to Con-
gress for aid. The Maritime Canal Com
pany can, no doubt, by making great
sacrifices of its stock and bonds. secure
| the completion Of the canal; but
| all experience shows that this will in
| volve an output Of stock and bonds that
| will be permanent charge and burden
, upon the commerce tina. passes through
| the canal The Senate COMMITTEE on For
| eign Relations has examined the officers
| Of the Maritime Company as to their
| plans for raising money, which appear to
be substantially the same as those
adopted for other works Of improvement
constructed by private corporations.
R"As no income or profit can be derived
from the work until its completion, and
until the actual passage Of vessels
4, through the entire length of the canal,
the company must rely upon its credit or
upon its own resources, and, under the
| most favorable circumstances, it is shown
that the burden of liabilities upon the
| completed work would, without aid from
| the government. be not less than $780,
! 600, 600, and might extend to $780,
| 900, 900, most of it borrowed at high
rate of interest accompanied by large
! discounts This stock and these bonds
| would have to be disposed of in the open
market and would be sold largely In
| work il instituted and conducted by
| American citizens, the control and man
agement of the corporation would neces-
| sarily drift, into the hands Of holders who
| would have no regard to the important
| American interests involved in the work.
| "Ou the other hand. 1t was pparent
tSt il the United States should aid the
work by their credit, the Msratime Com
| psny would be able TO complete it at the
estimated cost without discount or loss,
and, in consideration for this aid. the
| United States could prescribe such terms
and conditions a. would carry out the
| object of the concessions and the fxed
/ policy Of this Government, that while
/ the work would be for the benefit of al
| nations, il should not pass from Ameri-
can control Vessels Of TIE United states
| will, in sll human probability. carry the
chief commerce through the caasi, and It