The evening times. [volume] (Washington, D.C.) 1895-1902, 1901-06-22
AMERICANS FILE CLAIMS
Losses Charged to the Government
of san Salvador.
Interruptions to Work on n Coffee
Port Involve Proceedings TO Re
cover Half IL Million DoIIars-The
State Departments Investigation.

interruptions 10 ~ ork- on n AOI1ee
Port Involve Proceedings to Re
cover Half Il Million DoIIar-The
State Departments investigation
William I. PenieId, Solicitor for the
State Department, has under considera-
ton two claims filed by American citi-
zens against the Government of San Sal
vador. They amount to SOP 900. and it is
possible that demand may
be made upon that Republic
for the payment of this sum. OF
a sum which may be decided upon as fair
compensation for the injuries and losses
which the claimants assert they have sus-
tanned. To adjust the matter it may be
found necessary to appoint a commission
to hear the cases, as was done in the
case of Chile although the amount in
volved in the San Salvador case is not by
any means as large as those in the case
OF Chile
The larger claim, which is for $500, zoo,
grows out of an effort made upon the
part of a number of capitalists from the
United States and some wealthy men of
the Republic Of San Salvador, to establish
a port on the coast Of San Salvador for
the expectation of coffee, which is one
of the staple products of the country AT
the time the company was organized the
facilities for shipment from the San Sal
vador ports were not such as the necessi-
ties required It is said the same condl-
lions exist TO some extent now The COM
pany proposed to dredge a harbor, build
wharves and bridges, construct railroads
to the interior, and in other ways to make
Improvements which would facilitate the
expectation of the coffee product rom
the plantations.
The project met with the approval OF
the coffee growers. and through their aid
a concession was obtained from the Gov
eminent and also an agreement was en-
tered into whereby the company, in re
turn for its outlay, was for long
term Of years to be allowed the prtvi-
lege of levying tax upon the coffee
exported from its port. The American
capitalists organized the company and re
tanned a bare majority Of the stock IN or
der to conduct and manage its AFFAIRS
Much of the work was done as conteTn-
plated and large amount Of money was
expended. The entire scheme was never
fully carried out. however. and the com
pany was never placed in a position where
it could collect the tax it had expected TO
receive. a disa greement resulted between
The promoters and the Government and
the work was finally abandoned. The com
pany then began steps to collect damages
claiming a loss of S500,e0 and some time
ago brought the matter to the attention
Of the State Department
The Government Of San Salvador main
tains that the company failed in many re
sDects to carry cut its contract, and says
that the work which it did was improp-
erIv and poorly done. One alleged n
stance Of this character is pointed out by
the statement that 4 bridge which the
company had constructed fell Of its own
weight before traffic had begun TO pass
over it
The other claim. Of SO, COO is presented
by a woman, as the assignee Of num-
Der of minor claims formerly held by
American merchants in San Salvador
These claims arose by reason Of the al
I-ged seizure Of certain goods belonging
to the merchants by the soldiery Of the
country during one of the periodical
revolutions Of the republic When the
rebellion had been stamped out, 1t is as
serted. the Government designated
commission TO hear the grievances Of
foreigners who had suffered loss, and
adjust their claims for damages The
point is made by San Salvador that the
American merchants declined to submit
their claims 70 this tribunal which has
now ceased to exist, and instead made ap-
pIication to the United States Government
for an indemnity against San Salvador for
the losses alleged to have been sustained
As regards this case, there is consider
able question in the minds of State De
partment officials a to whether this Gov
eminent should now take up the matter
and intervene, when the Government Of
San Salvador has previously offered 70
make restitution for damage done,
through the commission which it appoint
ed. The claimant alleges. however, that
fear was entertained that justice could
not be obtained for the protection OF
American interests through this means,
and hence the State Department was ap-
peaIed to-
The department Is anxious to have these
matters adjusted without resorting to d
demand for payment Of the indemnities
claimed which would doubtless tend TO
disrupt in a measure the pleasant reIa-
tions existing between the two coun-
tries, and perhaps place the Americans
who are now in San Salvador doing bust
ness in Ill favor and at a disadvantage.
Besides, II is not altogether certain that
the American company which engaged to
construct q port has a just cause for in
dennity. The matter is being considered,
and an effort is being made TO effect an
amicable settlement.