The times., 1899-01-19
THE CRAGIN-EYRE fLAN.
New Nicaragua Canal Syndicate
Given IL Hearing Yesterday.

The Grace syndicate. formed for the
purpose of taking over the uTaSS!n- Eyre
concession for building a canal across
Nicaragua, he'd a hearing before the Com
merce Committee of the House yesterday.
1t was represented by E. f, Cragin, Col,
David Mcclure chief counsel for the
company, and F. s. Washburn, consulting
engineer When the hour OF adjournment
was reached the witnesses had not nearly
finished and further time was asked. To-
day having been set aside for the Mari
time Canal Company to present its claims,
tomorrow was allowed TO the Grace peo-
pie for further hearings.
Colonel Mcclure occupied nearly all the
session. making a very able presentation
for his side of the case, though there were
several points on which he was closely
questioned. and on which he was unable
TO satisfy the greater part of the COM
mittee. He began by reading as the names
of those engaged in the syndicate, num-
ber of most prominent New York people,
including John J. Astor. Levi p. Morton,
Robert Goelet. w. r. Grace, John ID.
Crmmins. John A. Mccall, E. r. Ladue,
Warner Miller, W. B. Sloan, and many
others.
These gentlemen, Colonel Mcclure
stated had gone into the matter from
purely business point of view. They had
found the Maritime Canal Company s
concession about to expire and already
practically void for non-fultillment OF the
conditions attached TO it. and had de-
termined to take the matter up and carry
1t to conclusion. They had not asked
to be heard but were present strictly on
invitation.
The syndicate. Colonel Mcclure said.
would be free from the difficulty that the
Maritime Company found in raising the
money required, as its members stood
ready to furnish any amount themselves.
They had no quarrel with the Maritime
Company. or with anyone else. Mica
ragua had declared that the Maritime
Company's cession was void, but out of
abundant caution had decided not 10 grant
another concession taking effect before
October 9 next, when the Maritime con-
Csssion formally expired
The syndicate. confined Colonel Nc
Clure, stood ready to meet the require
ments Of the United States in every re-
spect, even to giving it a minority repre-
sentation on the board of directors. 1t
would be unwise for it to go ahead with
the canal except with the full approval of
the United States.
He was questioned very closely as to
the clauses of the Maritime Companys
concession which bound the government
OF Nicaragua TO extend the time Of the
company for another ten years, under GER
tam circumstances. and declaring that
Nicaragua would not make any other con-
cession during the term of the present
concession. He declared that the Mari
time Company had forfeited its right TO
a renewal by failing to do the work called
for in the concession. and asserted that no
concession had been granted during the
term of the present concession. because
the Cragin concession would not go into
effect until October 10, when the Mari
time concession would have expired At
the same time. he stated that the Cragin
concession was perfect, requiring no ac-
tion by Nicaragua 10 put it into effect He
claimed that ii was now out of the power
of Nicaragua TO renew the Maritime con-
cessiOn.
Another point that seemed to worry the
committee good deal arose from Colonel
McClure's admission that no contract had
been secured from Costa Rica on the sub
ject. That country owns one bank OF the
San Juan River. which will be used as a
route for vessels on the canal and IL is
necessary TO occupy some of its soil in
forming lakes TO hold the water backed up
by retaining dams. Colonel Mcclure ex-
planned that the interests OF Costa Rica
were very small and said that he was con-
fdent that there would not be the least
difficulty in regard to il.
z. f. Cragin, with only few minutes
at his disposal. said that the people of
Nicaragua were great deal disturbed over
the report that the United States was dis
cussing canal projects on Nicaraguan soil
without consulting that government and
was ignoring the last concession granted
formally by its Congress.