The age-herald., 1898-11-19
THE NICARAGUA
 CANAL CONCESSION

the negotiations Wnlcn led 70 the granting of the concession for the building of the Nicaragua canal to the Grace syndicate, arrived here this morning on the fruiter Alleghany, from Greytown. He was acc companied by Colonel Alexander Bacon and MT. Eyre of the firm of w. R. Grace &s Co.,, and a corps of civil engineers belong ing to the corporation. MT. Cragin said that the syndicate has full control of the building of the interoceanic canal, and that the old grant, or Cardenas-Menocal concession, held for years by the syndicate controlled by Warner Miller, has been can- celled. At the opening of the Nicaraguan congress in extraordinary session recently President Zelaya said, in his message:
 "I shall give you account of a promise of a contract for the opening of an inter- oceanic canal through our isthmus granted to Messrs. Cragin and Eyre, representing a respectable syndicate of American capi- talists The government has formed a clear and well-defned opinion that the Cardenas-M Menocal contract of March IS, 1897, has been forfeited for non-fulfllment of it's most essential claims, and for the abandonment of work for nine consecutive years; but wishing to avoid annoying dis- oussions that might bring difficulties ow- ing to the malice with which some proceed where their interest is at stake, the govern ment has eluded all possible trouble by not declaring the forfeiture of that contract, and by giving Messrs Cragin and Eyre a promise that shall take effect when the pretended rights of the old contractors are disposed of and completely extinguished
 '"The promise made to Messrs Cragin and LTx,ro t, 4t.z reputation and standing of the parties we are dealing with, and on deposit of $10O,- 900 in gold. By comparing the contract of 1897 with this one you will observe that this future one Is far superior. It is more practicable, yet encourages and assures better foreign capital in undertaking so great an enterprise and one that carries with it so many eventualties. It is also in many ways more advantageous to Nicaragua. It is true the contract of 1857 promises the building of canal by using the Tipitapa river between Lakes Managua and Nicaragua, but Messrs. Cragin and Eyre offer something more positive in a line of interoceanc transportation from the Atlantic to the Pacific that shall be com- pleted three years after the new company is organized?
 President Zelaya," said Mr. Cragin, speaking of the message given above, "has stated exactly the situation concerning the syndicate which I represent. We went down there for the purpose of ascertaining if the grant held by the Maritime company was workable, and soon discovered that 1t was not. The concession for years had practically been cancelled by the violation of several articles of the agreement. AL though the government holds that the con- cession ran until October, 1899, there was no disposition of the officials to grant a re- newal of work which had ceased nine years ago. Then we arranged for new and in-i dependent concession, the work on which will be pushed vigorously.
 'This new grant has been indorsed by the Nicaraguan congress, and has been dated when the Warner Miller concession is sup posed to end in 1899. There is a probability, however, that the Maritime company will abandon the work when they understand the provisions of the new syndicates pur- chase. This may permit a cancellation of the old contract in advance of the time set, and that would give us chance to begin work immediately. Our contract, although 1t is dated October, 1899, contains a clause which says unless cancelled before that date.'
 VIII ue no Dllcn aDOut the new agreement owing to the formation of the United States of Central America, which formation took place on November 1. Our agreement with the Nicaraguan government was made and ratified before the new re- public came into existence. The constitu- tion of the Central American Republic pro- videS that contracts made by the separate states prior to the union are final and bind- ing. Costa Rica has nothing to say in this matter, and owing to the strained relations between that country and the state of Me- aragua the company has nothing to fear.''
 Twill the purchase of the Ncaraguan governments seamboats, railroads and na- tional lands by the Atlas, a British cor poration, interfere in any way with the concession to the Grace syndicate?"
 Not in the least, although the state de- pertinent and Senator Morgan think other wise. The state department has been de- ceived by a ridiculous translation of the agreement between the Atlas company and Nicaragua. By the latter it would seem that the Atlas company has received the right to grab government contracts at will and seize national land on the line of the canal route. The purchase by the Atlas company, when properly translated does not give the British corporation any right Of the kind. It states specifically that there shall be no interference with grants made by the government prior to or after the purchase. That settles the matter, and probably the state department will get rid of the translation by which it has up to the present been deceived and get a correct copy for future use."
 MT. Cragin said that the route of the canal would not be changed ma aterially and that the capital to complete the work had already been subscribed.
 The officers of the Maritime, Canal com- pany said they were much amused by Mir Crag1ns statements. We are not worried in the least" said one of them. We have all the rights and concessions necessary. and likewise the right to any extension of time we may require.''
 LAY TWO HUNDRED EGGS
 From the Poultry Herald.
 Can we produce hens that will la,. ono