New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-01-11


discharge the United states from all aud every one %
their declaration, and engagements stated in that con
vcniiOn, Il +, impossible to conceive what couIl
However the committee thinks there is nothing in tho
provisions Of the bill reported which is inconsistent
with any OF the engagements OF the United states ~
stated in that convention. The report speaks o inc
treaty of lo67, whereby Nicaragua granted to the
United states the right OF transit any route natural
or artificial between the two oceans. This treaty IS
still I'm force. and would Justify The United state
I'm undertaking the construction Of the canal.
Concluding the historical aspect of the case with the
relation Of the Menocal concession, the report ia'
ND and discusses the commercial importance OF the
project. drawing a parallel between the Snez Canal
and the projected Nicaragua Canal: and also refers
briefly to the political considerations attending ''
con tructOn Of the proposed work. Then the present
condition of the work described. 1t is said "Iho
! work has advanced rapidly. and with such uhlh'''
rpted success that some Of the most important parts
! Of II have already been accomplished ms Is e9pc
ciay true as 10 the engineering and the clearing oil tue
| line Of the canal. and the building of railroad pre-
paratory to the dredging Of the channel
| Continuing this subject the report says u''
Mr. N-noca,, estimates were increased 10y %l4G'ij,
o63 TO cover all contingencies within the range Oh
probable conjecture; and that they have $1,000 ''e
test Of critical examination by the leading engineer
| Of the world had have been approved. II i also
| said that the company has engaged the confidence
| Of the Governments ard people of Nicaragua an"
| Costa Rica-an important element OF success
| comparing the Nicaragua and Welland canals the
report says that the lowest Calculation ol INC wy
| ~ bu,Idinc and operating the Weland Canal VIII
bring the cost up 20 O-thirds OF the sum t"t ''O
Nicaragua Canal will cost and when the cohl'neioe
~ tho Atlantic and Pacific oceans Is compared WIN
that Of the basins Of our northern lakes 1t Is obvious
| that the tonnage that will pass through inc !>'"''ou
| Canal will be many times greater than that u"ouE"
these lake.. Moreover. there seems 10 DC no reH'',
| 10 doub, that the Nicaragua Canal VIII be c'mpIe'"
within six years from the date Of the passage ol 'i'
nm herewith reported 10 the senate and that com
merce viii force its way I'm ships from ocean to ocean,
for the necessities Of every maritime country co'"o
I'm an urgent demand for early completion OF TINS worn
The report next discusses that phase OF the senate
resolution which direct, an inquiry into what inc
United states interests require in respect to the canal
The report saws: 1T /, matter Of the highest ul
porancc that the charges upon the commerce "f the
world for the ne Of tho improvement shoud not h'
enhanced by interest and dividends on stock and bonds
far in excess Of the actual cost Therefore to a''er
tain whether the company could limit the st"ck ana
| bonds to the actual expenditures. the company
officers were called before the committee. and the
| affairs OF the company examined. 1t appears from
the estimate Of A. g.. Meno,al, chief engineer. dated
| January 81, 15e9. 10 the President and BOARD "l
Directors Of the Nicaragua Canal Construction Com
| pany that the cost Of the work proposed WithoHt
interest and contingencies. was S6jO7i,l16. ii also
|
Engineers revising the reports Of the chief engineer
that the estimat.d cost Is Increased to S73IGG.3O7
70 this estimate they aid. for certain specified ana
un,pccifcd contingencies Of construction, S4d33'-6-
making tie total estimate S-1,1OD,1'O.
These estimates are ba-sl upon plan of con
stulotiou which contemplated that the work could be-
completed within tx Years. The interest accrne
| on the money actually invested the work pro
ce,ded. at the rate Of , per cent. If the work Wa
| completed within six year. assuming an equal eA
penditurc each year during tie period OF construction
would lee equivalent to 10 per cent, or sl3OOoOOO'
making the aggregate Of expenditure Of money and a.
crung interest thereon for the full completion Of the
work about 100000 600. The committee finds that
this estimate Is reasonable. II the money is furnished
as needed without delay.
The report saws. The ability Of the Construction
Company to perform the work. even for thi, goit
sum- would depend entirely upon H. ability from tin'
| 10 time to sell the securities Of the Mar
time Company. Any striugency or huctuauon boz
the money marker might prevent their sale. and thus
arrest the progress oi the work. Any neglect on Lc
part Of the Government, Of Nicaragua and Costa
Rica Ia protect the contractor in the performance OF
the would necessarily add % it, cost. and per
haps A. In similar enterprises disable the company,
and forfeit their charter privileges. ANY failure -
those purchasing these Sccur ties 20 paw for them ac
| corng tn the condition, Of the sale would have the
| like affect. The work /, 80 grea.. ard the benefits
n its completion 50 tranScendcW that ~ Would Seem
that IT. execution should not De lef 10 prvm" 'nter.
prise that. IN the chances Of tho future may fhl'
| There appears grave doubt whether q 'ouh ie 'A
| ccued without tho strong. certain and powerful sup
port Of graf nation or combination Of nations
The report shows that even II completed upon me
existing plan. the amount Of stock ana bonds ou'lId
hf would AZ per cont r,Sl1irc mat me o.i' ana IL
should Weld Sl2,30O.ooo wear. sum that would
tc great burden on commerce a. I" leave II q"e'
| tonahlr whether vesscl' would use TIE canal or 70
around cape Horn Tho persons engaged lu the enter
prise are confident Of their ability 10 execute the work
They dld not e!prc,' ftIs for ara. h, ,ec , TO
have cnu'' contfen'" Of their success, nave "r'Fy
expended - 100000 and negotiating contract ana
loan. The bonds might now INTO i%r }pe - .ahf,
ana with them the nlnmai" control ot me oiih. NNi
the ntcrt Of the people Of the United states are nuch
'' sa h he r emo, 'i ~! ro. i''is led v,ur
committee without division. 10 the conclusion that -
| contract with ne Maritime canal 0mp'.N a., W"ud
certainly urc the completion u the anal within ti'
represented by bonds Of That company. guaranteed by
| the United states. which 20 any tate Of the money,
10 ic Unidentified against naliliy on It, guarautc. o.,
= pledge Of the maj rity of the capital stock Of tho
o%t "l to TN" the 1c states it ~ond secure II: cir
and complete construction Of the work At IT, actual
would give 10 our citizens Al least equal advantage, 10
Reference is again made to past efforts and trcatr.
10 obtain canal privilege The treaty Of l-'i ne.
soat"d bgi not ratified by which he in!ied state
dent Cleveland. because II wa coupled with absolute
! and unlimited engagements To- defend the territorial
iid. iot thr TT'ti STATE nav aid he compiny
at (, believed nv your committee thai thc United
win not be called upon To- pay portion u
the PRINCIPAL or interest ~ the bonds. hut that The
| work itself Will amply repay all II, cost. and yield
IT, benefits not only to the people " Nicaragua and
Costa Rica hut 10 the civilized world II II apDcdr,
at any time that the interests Of the United state,
I'm jeopardy. from any cause. n can purchase the ma
jority Of the stock and become the controlling owner
| Of the canal by paying It's own bond, to an equal
amount and the property. tolls. ncOmc and profits
Of the canal will be ample security against the ob
cations Il assumes
APPROPET NTIONS FOR PENSIONS NEXT YEAR.
Washington. Jan lO-SenatOr Allison today re-
| ported. with amendment. the bill making appropua
tionS for pensions for the next year The chang,
| Lahn In the nrirnal mi lucrnn Lhn llLnM-lLn