The evening times., 1899-06-10
CUBAN CREDITORS
HOPEF6t,0F SUCCESS
Senor Pierra on the Islands
Business Situation.
Why the Presidents ;lsrtgage Or
der Should Be Modified.
Honest Men Unable to Secure Loans
because They Can Give No
Security.

Senor Pierra, chairman Of the Cuban
| committee now In this city for the pur-
pose of protesting against the order of the
President granting an extension Of the time
| for the foreclosure Of mortgages on Cuban
plantations, when seen by Times reporter
today expressed himself as being much
gratifed at the prospect Of having the Or
der rescinded or modified.
Senor Pierra said that the proclamation
has had a most detrimental effect on Cuban
industries. In his opinion. 1t has prevent
ed the planters from cultivating the crops
that were expected. They depend largely
upon securing money from the bankers,
and these will not advance the necessary
funds. because. according to the provisions
OF the Presidents order. they cannot get
security for their loans. "No man will ad-
vance money" said Senior Pierra. unless 1t
is properly secured. The present activity
in Havana Is entirely artificial. The I'M
porters after the close Of the war ordered
immense supplies for the agriculturists,
thinking that they would be easily disposed
OF. When the President issued his order
it paralyzed this business.
Now, when a planter comes to Havana
and asks for credit he Is refused, as all
he has to offer for security is plantation
which cannot be touched for several years.
This policy would be safe enough with
honest men. but the order leaves the door
door for fraud. On a plantation about 10
per cent of its value is In fixtures. A dis
honest man in the time given by the order
may dispose OF all portable fixtures. run
down the land, and make the property al
most valueless by the time the order al
lows the mortgage to foreclose
Senior Pierra declared that the order has
already had a detrimental effect. Many
of the property owners who have heavy
liens on their lands" he continued. are
now devastating their plantations in such
a way that they will be valueless within a
few years. They are turning everything
possible into money. Money has gone up
to l6 per cent. and all contracts have been
Cancelled. The order simply protects the
dishonest debtor and icrushes the honest
man who wants to borrow money with
which to engage in business.
Business is at standstill and Will grow
worse unless something is done. The COM
mittee which represented that the passage
Of the decree was necessary to the prosperi-
ty Of Cuba represented only the debtors who
desired such a state Of affairs. The cred
itors were not represented, nor were they
consulted at all in the matter. The condi-
ton of few men was taken as that Of the
whole people. Less than one dozen debtors
are responsible for all of this. We do not
come here with politics. but in the interest
Of Cuban business We wish to obtain a
modification of the order so as to preserve
the integrity OF the attachments and to
maintain the security while extending the
time for payment. .
Senior Pierra. in speaking Of the politi-
cal situation in Cuba, said that Ii was all
that could be wished for under the cir
cumstances. He stated that crime has de-
creased at least 80 per cent and that all
stories Of a sensational character are ca
nards. He thought. however. that the
politicians were being given too much at
tention. and that the business interests Of
the country should be consulted.
This order of the President" said Senor
Pierra. should never have been issued. |
When the committee of debtors stated the |
purpose Of visiting visiting Washington |
the business men of the island never |
dreamed that it would result in any |
We thought that the scheme |
could be easily seen through and its effect !
easily determined" |
Assistant Secretary Meiklejohn will. it is |
expected, give the committee a hearing |
on Monday