The sun., 1891-01-11
THE NICARAGUA CANAL.
SHALL THE UNITED STA rEs AID IN
BUILDING IT AND CONTROL xTS

AsOuHt
ooe.oss- The co..itsee Argue That
che Clayton. nuiwsr Treaty Does Not
Forbid Such Ais. s.a That Even ir it
Ma Forbid N Great britain Has A..
ready AsrosaseA That Treaty.
WARRINGTON. Jan. lo.-The Nicaragua Canal
bill reported to the Senate to-day by Mr. Sher-
man IL entitled "A Bill 10 Amend an Act
to Incorporate the Maritime Canal Com
pany Of Nicaragua" provides that the capi-
tai stock OF the company Is to b limited
to 100000 900. and that the existing
stock and contracts Of the company arc
to be made TO conform TO the requirements OF
the bill. To secure the means to construct and
complete the canal the company is authorized
TO issue bonds In dsaealAauons OF not less
than 500 nor moro thaa ol.0OO to an amount
not exceeding s1oo0oo,0oo. 70 bs dated Jan. 1.
1891. and to b payaAas Jan. l. 1891. with
interest at the rate Of . per cent. payable
quarterly. The bonds Are to be secured BY q
nrst mortgage on the property and rights OF
property Of the canal company. including oil
concessions and franchises, and the mortgage
10 to bs 20 framed ~ 10 bs . first lien under
the laws OF Nicaragua and Costa RicA. The
bonds are to bs printed and deposited In the
United States Treasury, and arc 70 be issued
by the Secretary Of the Treasury to the COM
pany only a. the work on the canal progresses.
The bonds arc to bear the guarantee
Of the United States for principal and
interest as It acorueA and tho COM
pany 10 to issue no other bonds Tho Score
tary is authorized to pay the interest ON the
bonds as It becomes due. II not paid By the
COMPANY. and an indefinite appropriation for
the purpose is embodied in the bill. II the
company fails to pay the interest as It fails
due. and 1t is paid by the United States. the
company is required to repay It with interest
annually at por cent. until paid. For sums
paid by the United States under the guarantee.
the United States is to be subroRased to the
rights under tho mortgage which the bond
holders would have had II tho same had re-.
mained unpaid BY the company, and had not
been paid BY the United 6tatsk But until the
expiration Of five yeafs after the canal has
gone into operation. and 20 long during that
period ss it shall remain under the control OF
the canal company. this subrosased lien Of tho
United States 10 not 10 be enforced By fore-
closure.
As soon ss practicable after the surrender and
cancellation Of tho stock and the cancellation
and mobilization Of ding contracts and
agreements Of the company for the construc-
ton of tho canal. the Secretary Of the Treasury
is to deliver to the company guaranteed bonds
tho said company and the Nicaragua Canal
Association prior to Jan. 1. 1891. In securing
possession promoting the enterprise. construct
Ing tho canal. together with interest on such
amounts from tho date Of payment. not exceed
ing tho total amount Of 44OO0.0OO. He Is also
to deliver to the company guaranteed bonds to
an amount equal to the money actually paid
out aud expended BY the company in the con-
struction OF tho canal, from and including
Jan. l, 1851. to the flnal adjustment OF tho ac-
counts. with interest thereon at 6 psr cent
These accounts arc to be rendered to tho salts
faction OF tho Secretaries OF State and Of tho
Treasury. and are TO bs received and applied
by the company and stockholders in full pay
bc made. and al incurred liabilities.
The President is TO have made careful de-
ins to to the GEM panys plans. including costs Of
sdministratiop and interests on bonds 70 1897.
and e nts.ysis Of sixty das5; smlS5
q as Sss ss spe
q e
be applied to the construction and expenses Of
,h and the and are
Nicaragua @ and Costa RIoa the benefits stIpu-
lated by their CONCESSIONS and to save tho
ed to 500. 100000. is to be issued as follows:
sss
sS sh "a M %.s = :: non NAY b. r.
cred 20 Nicaragua and Costa kica according to shstr
4sird@ssysn.y milton dollar. Of .hat.s ar. :. b.
a
s:s. i i. HssS s:,s NJ; :. Il.
S ss :sa s.
sscn s:sSa: :s' IL. hA'SI S coss Hns: Sis pas h:
5 'H ". u Z. AZ e.: y ss Ss 'Ss IL p.s J;
0Gsa' FearhTh. rs:,aa. 10 stock :A. es issued BY
Ss.n ri H.
g shs ss r.
Qulremsnts Of the company
The original act Of Incorporation is to be
s%sa%sp 'n y
n Nth q: s4TSs s9a 2,
port direct to, the President All the
rights reserved Ito, to Congress by thf
fsHs Ths .sf 81 tho fsseKis Kss
tions. accompanying tho bil says that time.
resesreh,, and experiment have now demon:
s1 ss SS. tmss i s ins
M efn PORTION Of Asxlse was annexed to the
nssnsa Uaassa s Of @ eoua'
the construction OF canal appeared to be an
Immediate and spmewhat urgent neSe,sity.
the MOSQUITO coast ta geographical phrase
ss Bsss ssn an sszd the GSSupry
sssary Atlantic end o. the canal. Tho British
lovernment. was soioitous that tho United
States hSnlt not Sontro tie entHrRrss Snd