Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1895-04-25
COMMENTS AT WASHINGTON.
Description of Corinto-EfYect of the Seiz-
ure of Hts Revenues.

WAsHrNGToy. April 25.-Corinto-which
London dispatch says the British are
going to seize in order to collect thir claim
against Nicaracua-is the best port of the
Central American states on the Pacific
coast. 1t is most important to Nicaragua,
as it is the terminus OF the line of the
Central American railroad. 1t is a very
old place, and was formerly called Raeleio.
Corinto is the heaviest import point in
Nicaragua. The imports there for 1892
were S6,0U6,SJ5, while all imports to other
points did not exceed 500, 900. 1t is evil
dent from this why the British chose
Corinto for their strike Almost one-half
of the imports at Corinto are from Great
Britain, and the British seizure of the
custom house will result in their receiv-
ing the customs dues from British mer-
chant ships.
The tariff rates of Nicaragua are such
that the S. COS so of imports in 1891
yielded $i.OjS 9l3 in customs duties.
Most Of this was collected at Corinto.
AT this rate the receipts at Corinto would
reach Zoo within thirty days. unless
commerce. was diverted 10 other ports.
1t is a significant fact that the largest
part of Nicaragua's foreign debt is rep
resented by bonds held in London and
payable there in 1919. This foreign debt
aggregates -, 227. The London hold
crs have thus far received their interest
on the bonds very promptly. If, however,
Nicaragua is crippled by the seizure OF
her customs receipts it may react by a
failure to meet the interest on the bonds
held in London.
The diplomatic representatives, of the
Central and South American republics
are very much disturbed by tins late
feature OF the case tthc meeting of bond
o5liCa;ions), for they fear that it opens
u vista Of endless trouble and aggression
in the future. Their idea Is that once
Great Britain has been permitted with
Out interference to collect this special in
acmnity she will avail herself of the cx-
cuse offered by the failure of Nicaragua
to meet her interest payments on foreign
debt to assume the task OF collecting this
forcibly in the same manner, notwith
standing the fact that the failure may be
brought about by her own seizure of the
customs receipts which Were to be ap-
piled to the payment Of this interest.
OF course this would nccessitate the oc.
cupatiOn of Corinto after the original in
demnity shall have been collected. which
would only add 10 the financial distress
of Nicaragua, and should she be unable,
rs seems likely, to meet this last demand,
the occupation may be prolonged so in
definitely as to amount TO permanent
occupation of the territory. This is the
reasoning of the South Americans and
they find individual cause for apprehen-
sicn in the fact that almost all of these
little republics owe sums of money to
European bondholders on account Of in
tereSs' or principa! of national debts and
they fear that for the first time the prin-
ciple may be laid down and enforced that
European government may assume the
collection OF debt. owing TO its citizens as
individuals.
This uoctrine, they assert, would be
particularly obnoxious il applied to some
of the states OF the American union
which have defaulted in their debts TO
foreign bonGholders. The outcome of
this Nicara guam incident is also felt by
the same diplomatists to be full of signifi-
cance ia tenczucla, and it is feared by
them thsf having once driven in the
wcages sGeat Britain can scarcely be eS-
pected to refrain fran pressing forward
with very vigorous measures in the mat
ter of the Venezuelan boundary dispute
and ut once establishing herself as the
mistress of the Orinoco.