The star. (Reynoldsville, Pa.) 1892-1946, 1899-01-25
CANAL BILL PASSES The SENATE.
IT WILL BE NEUTRAL.


The Senate last Saturday passed the
Nicaragua Canal bill by vote OF iS to
6.
The Nicaragua Canal bill, ms IL pass
ed, continues the name of the Mari
time Canal Company. II provides for
the Issuance of i.000.O00 shares of stock
of 800 each.
The Canal company Is required to
call i'm all the stock issued except that
held by the Nicaragua and Costa RiCan
governments. The company Is also
required to redeem ana cancel all
bonds and scrip heretofore issued by
the company and to satisfy all cash
liabilities.
To enable the company to comply
with this requirement Treasury war
rants to the amount of $5.OO0OOO are
authorized, with a proviso that only
so much of the amount shall be paid
as shall be required to pay the actual
cash value of the rights. privileges,
franchises and property at the time OF
the payment, the value to be determ-
ined by commissioners to be appointed
by the president. This being done. the
secretary of the Treasury is authoriz-
ed to subscribe for 925.00O shares of the
company's stock for the government
of the United States. The present
members of the Board of Directors are
then to resign and a board of seven
is to be appointed In their stead, con-
sistlng of five on behalf of the United
states and one each on behalf of Mica
ragua and Costa RiCa.
The directors on behalf of the Unit
ed States are to be appointed by the
President and confirmed by the Senate.
No two of them are to be residents of
any one state. and no person who has
heretofore been interested i'm the canal
company is to be appointed to this Of
oil III
ing Interested in contracts on the ca
nal. Each of the directors except the
president, Is to receive a salary of $5
000 year, and the president Is to have
$4,000. All travelling expenses are to
be paid. Annual reports are required.
There is a provision against declar-
ing dividend except upon the net
earnings The company Is authorized
to contract FOR the completion of the
canal within six years. The payments
are restricted to $50 O00,0 900 annually.
The canal rs to be large enough FOR
the use of the largest sea-going ves-
sells at n cost not to exceed the estimate
of the engineers and not to exceed
s1l5,O00,00O." This amount Is made n
permanent appropriation for the work,
to be used as occasion may require.
The bill gives the government lien
upon the property to secure the repay
ment of t. moneys advanced, and the
President is empowered to declare for
feiture of the property to the United
States without the necessity of judicial
or other ascertainment. Thereafter,
full title is to rest in the government OF
the United States.
The president is authorized to sus-
pend payment at any time. The Presi-
dent Is also authorized to secure any
change in or modification of the terms
of the concession, either from the con-
cessionaires or from Nicaragua and
Costa Rica
In case of failure in such negotia-
tion, the President Is also empowered
to negotiate for another route across
the isthmus. The neutrality of the ca
nal Is guaranteed, but the right to
protect it against interruption of busi-
ness between the Atlantic and Pacific
coasts Of the United states Is reserved.