New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-07-14
CANAL WORK STOPPED
THE NICARAGUA COMPANY OUT OF FUNDS.
ovr,crRs OF TIE COMPANY ADMIT THAT THEY
NEED MoNEY-PLANs FOR RAISING FUNDS
.Hsa1Iv NIoM ONILuvLS GNv


NEED MoNEY-PLANs FOR RAISING FUNDS
.HsaNsv NuoM 0NILuvLs GNv
x1be Nicaragua Canal Construction Company is
ant Of funds and has stopped all work upon the
Nicaraguan Canal For some time it has been
rmorcd that the company had been affected by
,bc general stringcncy in the money market; AMI
!, has also become known that there have been
.omc interna, discussions in the company, and
that there has been great disappointment that the
management has failed TO obtain loans from this
country and from England. Yesterday the officers
admitted that work on the canal had been
stopped They said that the failure 20 60 ahead
with the work was due simply and solely to fail
ure TO raise money, and they hadn't much doubt
that when business affairs became easier the work
would go on. For the present however their
vast plant in Central America will remain idle.
7, had been intimated that tho stoppagc of con-
struction had been due partly TO the political
troubles and revolutions in Central America
Those changes would. however, have caused com
noratively little trouble TO the company had 1t
been supplied with funds to go ahead with the
work
After the collapse of the Panama Canal scheme
IN 1888 several capitalists in ths country became
interested in the project of establishing water
communication between the Atlantic and Pacific
oceans The route of the old Panama Canal was
abandoned and surveys. hc'pcd by the United
States Government were made over new route
Tho new routc utilized 20 a large extent, the
San Juan River, which drains Lake Nicaragua
into the Gulf of Mexico. the valley of the river
o,a Jake Ntcarara BY this route il was
expected that the amount of necessary rock en-
cavation would be mnmizcd. To carry out this
nroiect The Nicaragua Canal Construction Com
pany was formed with Warner Mircr president,
and Samuel Thomas Stuyvesant Fish. W. Seward
Webb Smith NJ Weed. " X. Fairhank, G. W.
Davis. ]. F. O'Shauehnessy. II. B. Savcn j. W.
Miller. Henry r. Hoyt, J. l., Rathbone and Cor
don Macdonald directors.
Work was formally begun in October, 1881,
and has continued up to short time ago NOW
that the company is out Of funds. plans for rals
Ing moro money arc being considered. George '"
Davis second vicc-prcsidcnt and general manager
Of the company, was at its general ONCE NO
a Wall-st., yesterday afternoon. lie admitted
freely that the company was short of funds AMI
hc aid not spcal, with great enthusiasm OF the
prospect. He said
no construction is being done on the canal
at present We are simply holding our property
there and guarding our interests, but just
now are making no practical advance in the
work Of opening up the canal We have
81 O00. 900 worth Of machinery down there, which
wc are looking after. but which is not being
actively cmployed lust now. Our failure N so
ahead rapidly with the work is. OF course, due
to the stringency of the money market OF
some time we have been doing practically notnn9
at the istlmus end of the business Inc uouoie
is that people won't buy our securities JUST
now they won't make investments unless thcy
can begin to cut off tler coupons inmciia'eiy
OF course they can't do that i'll TINS unoer'aK-
ing, and so. just at present, we are lett wi'hou'
enough money TO go ahead rapiaiy VIII" Jul
work as we had hoped
"Tlc company expects. Of course,' sald INC
renorter. to 90 on rapidly with the work as soon
as the money market becomes little easier =
"Wou yes" answered Captain Davis, out
.,o, can never tell what will happen in these
times However. are in hopes ti@t ,hihso
will 90 along all right after time. II we uiuh
lave such hopes. we should not keep opon az
This end. YOU know. We are keeping house mere
just as usual" ...o Fam.
.1bcn the Nicaragua Canal CONSTRUCTION Oou-
many is not in as bad financial straits a. many
other enterprises are ? was asKei'
why. mo-" answered Captain DAVIS; many
firms thought to be perfectly secure have ia'eN
become nsolven, and protests hive been en" .are
"c.;nst them. we haI emit come to that stage.
and affairs will doubtless turn out an riSnI n ,o
u. Captlin Taylor is studying the hnanc "a: cm,,
u" clio Question for us We don't count III our
clans ~ ,' mon any help from Congress .o- and
p'"W" cmmandcr RI. c. TAYLOR. who in 1883 anu
the years thereafter, was arScN nsi' nn,crnr:sn
uro,noting ind organizing the canal ent.ipi;; sc
and who was for some years the COMPANY ~ y an
president ard general mana2er. was i ,h nmtool
hasias,ic thn Manager pa'S U'e The ~" mopularity
NJ the enterprise throughout the country ~ n''p
!, ONT of the present difficulty, anu c nc " 81
scbcn,e which he says. will insure PTon.".o 10,
Militant future for the company lie says s .tcr
- .hn nomnany is AT its most important S'P
.; n.c .hc nroanization" He said
The Nicaragua Canal an enterprise Is Is, ~
most excellent condition. ne m'ahe," 70 he slow
in coming forward. though they approFc tle tan'
and will be willing later 10 max" oilers 49,"
time Congress which las DISGUISE. Ss;s, Tho srtor
,r;s" bv n gnarantec though in sentiment they arr.
nrGcntiy in favor OF it. In this iavo'aoe s' 49,.
ncnt CONGRESS rsprN~'s tG Gurns this century
ra. attracted such favor and enthusiasm from an
mars of the United states. $500
P'a Snch hcng the c1sc. tho present seems taV3r,
OIL. moment 20 acqraiut The peopl: with TN,
.r;.c;po1 features OF the enterprise 10 th' en-
have submitted a plHn hy the companF. "n'c"
viii instruct the people GJn in r sy>iI fy or si,ty
5;a.r;cts and gentleman in each district VIII
,otn cbarrr of the work OF di's. nIA'tine W.
,Io~s The central Office here in Ncw-l VIII
pre-, ou. Tho literature. models. etc. After scNcr'I
nnntha Of this rroparau3a il is believed that tho
III" n The countrY will bn ready 10 snppcr,
i'c enterprise in every WY j. ,n' m Dh nrn
co"trcs nrd not tn" mon Of snail means W y. ar"
, rooto0 nv tho present str'n2cncy. ana II Is 10
thcse noonl. Of smaller m"ans that the comnanv
CONFIDENTLY loo.is. Tho Cara. ,omieln. VIII, ,; J.,
w do;rr indicate 10 future svndicaf"S III" in,n.'
20 uoa,iI fr thcir bonds ! am confident of bril-
i,ont f,tnro fn- tho cnterpr's" $500,
Warncy Miller was not at the of'icc aNu co"i"
not I've seen.
p,r.s.yr porrE TO TIE ADTrovDACKS
m., y v JuIv 13.-Persons travelling 10