Los Angeles herald., 1892-09-26
CAPTAIN MERRY's CANAL PREsENrA-
TION.

TION.
Capt. William L. Merry, in his lec-
ture upon the Nicaragua canal project,
gave the most lucid and satisfactory ex-
position of the scheme in all the details
OF it's organization we have yet seen.
With the light he has thrown upon it,
the objections that it might prove Sec
ond credit mobilier, or contract and
finance affair, if the government should
guarantee its bonds, are entirely dis
sipated. The government holds $780,
100000 of the bonds in escrow, and
would thus be enabled to control the
company, by having the power to place
in the directory majority Of the board.
Captain Merry is very fair and candid
on the subject, and speaking for the
company, says they are willing to adopt
any further measures to secure the
United States in control that may be
suggested.
1t is hardly possible that at this day,
with the experience we have had on the
subject Of government aid to great en-
terprises. that the looseness and follies
of 1862 can be repeated. The people
are not carried away as they were at
that time with a great civil war op their
shoulders, but can calmly and patiently
consider every point of security that can
be thought of in order to protect them
selves from being overreached by the
men who are on the inside of this Mica
ragus scheme. Whatever is done in
the shape OF great aid to the canal, will
have to be done by congress, and it is
not to be supposed that any measure
will pass both houses now without hav-
ing received the careful scrutiny and
the deliberate consideration of their
members.
III, therefore, we take it for granted
that whatever measure of aid the
United States may grant to the enter
prise, will be fully guarded, and the in
terests OF this country be carefully pro-
tected in every respect, we can dismiss
this feature of the scheme without fur
ther comment. What remains is to
treat the canal upon the large basis of
its necessity to the expansion of our
commerce and the strengthening of our
naval power as nation.
No one doubts the inevitable value of
the completion of the canal to the Pa
cifc coast. 1t will actually bring Cali
fornia ten thousand miles nearer the
great marts of the world, for ii will cut
off to our ships the navigation via Cape
Horn in order to reach Atlantic ports or
Europe. This facta alone takes us out
OF our present situation of commercial
isolation.
Mr. w. H. Mills, railroad man him
self, fairly admits that the completion
of the Nicaragua canal will form most
important factor OF competition with the
overland railroads, and win necessarily
compel the companies to scale down
their rates very materially. At the
same time he believes that the canal
will be benefit to the roads, because it
will greatly extend our commerce and
increase our population, thereby afford
ing much greater variety and volume
of traffic to draw business to them from
in the Pacific states. Hewever this may
be, the fact remains that the canal will
become permanent competitor of the
roads, and one, too, which they cannot
subsidize nor control. The result must
be a great reduction in rates to meet
this competition. and that means every
thing to us. High rates Of freights and
fares have kept California back at least
ten years in her march OF prosperity,
and anything that can change this
ought to meet with our friendship and
encouragement.
We are glad that Captain Merry has
visited us, and illuminated, with his
clear and logical presentation, this whole
subject. No one can rise from reading
his lecture, which the HERALD gave in
full yesterday, without receiving from it
the impression that the scheme is in
good hands, and that its managers are
honestly desirous that it shall merit the
confidence of the American people to
whom they appeal for aid in carrying it
out.