The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1898-12-08
Except That Held by Governments Of
Nicaragua and Costa RiCl.
RIGHTS OF THE MARITIME COMPANY
The Central American Republics Ar
-aigned for Granting Concessions to
Another Company Consent of
This Country was Necessary.

washington, December 7.-As a result of
the meeting of the senate committee on
the Nicaragua canal today, Senator Morgan
gave notice of an amendment to the Mica
ragua canal bill authorizing the immediate
issuance with guarantee by this govern
ment of s5,O00,OO0 worth of bonds for the
redemption of all outstanding stock except
that held by the governments of Nicaragua
and Costa Rica and the cancellation of all
ohligetions..-.. ss..l.sss s..ss- s,.s s.s.s.s
He submitted at the same time report
upon the situation with reference to the
canal, dealing exclusively with the fact
that the government of Nicaragua granted
a concession to construct a canal to an
other company than the Maritime Canal
company. He deals with this transaction
in severe terms, upholding the rights of
the Maritime company for the present and
for an extension of it's concessions for ten
years or more. The report arraigns the
conduct of the republic of Nicaragua as
well as that of the American citizens secur-
ing the concession in most severe terms,
attributing the course of Nicaragua to jeal-
ousy of Costa Rica and that of the con-
cessionaries to ''obstruct great national
railroad company for the defeat of sup
posed competitor"
1T would be well for the reputation of
those concerned they say, 'in thus dis
honoring governments for their personal
advantage and using their powers to create
jealousies between states il il could appear
that their conduct is not SO corrupt"
The committee adduces as a justification
of the new report the seriousness of the
situation saying on this point
Without support in Law
'@The serious consequences likely to re-
suit to the United States for the unprece-
dented and the unwarranted action of the
late government Of Nicaragua and the evil
dent purpose to force our government into
payment of large sum as compensation
for the future consent of the republic of
the United States of Central America TO
the creation of maritime canal through
the San Juan river and Lake Nicaragua
requires the committee to present the
grounds on which 1t insists that the pro-
vision is without support In law, justice or
equity and that it violates the cordial re-
lations of the United States with Nicar-
aqua"
fsss report takes issue with the contention
of Nicaragua that that country owns both
banks of the San Juan. river, calling atten-
tion TO the fact that Costa Rica has equal
rights since the arbitration of President
Cleveland as the owner of one bank of the
stream. Attention Is called to the fact that
in making the concession of right of way
e. anted by Nicaragua no mention WAS made
of Nicaraguas claim rendering 1t incum-
bent upon Nicaragua to put the canal COM
pany in possession. of the channel of the
river. Here, the committee says, was
breach OF the agreement for which the
canal company had paid $150,00O, and which
entitled the conipany to return of the
money and other damages. 1t also imposed
Oh the United States the duty of compelling
the redress Que them If redress had been
sought"
1t is asserted that in view of the fact that
Nicaragua had made the concession 1t was
her duty to obtain a concession from Costa
Rica when the claims of that country were
established, but instead of that it is oointed
out that Nicaragua made formal threat to
renounce its concession If any concession
was obtained from Costa Rica Thus
the committee concludes, ''by conduct
equivalent to main force, Nicaragua pre-
vented progress In the work on the canal
and put cloud upon the credit of the com
pany Of execution that could not be other
wise than disastrous
Circumstances of Concession
The committee contends that the cir
cumstances of the concession presents on
its face that the concession provides for
the charter to be granted to the United
States. I'm this attitude" the COMMITTEES
continues, ''the duties and responsib lties
of Nicaragua are very high if they do not
even rise to the dignity of solemn pledges
and consequent sovereign responsibilities to
the United States. whose Intervention is
sought in the charterlng of the corpora
tion.
1t is then set forth that Costa Rica's
interests in the canals are as great as those