New-York tribune., 1902-12-23
TENEZUEL4N QUESTION.
Interest Taken IN 1t by Foreign In
TestOrs.
TestOI-s.
London December IL.


lion This is the single square mile known as
the City The nature and extent of the English
and German claims not understood with pre-
cison, for the blue books have not been issued;
hut the Importance Of the American precedent
Of non-intervention in case involving the finan-
cal obligation of Spanish American State is
rerceived. The English have sunk many mill
ions of pounds in bad investments in that quar-
Ter of the world; and they have either arranged
coupronl1ses with defaulting governments and
corporations, or have protested helpessly
against losses caused by reputation of public
faith. The Venezuela question offers prac-
teal evidence that coercive measures can he
adopted against defaulting government with
out exciting American sensitiveness respecting
the Monroe Doctrine The State Department
may insist upon having pledges or. at least. as
surances, that permanent occupation of Spanish
American territory is not intended: hut il does
not interpose objections to drastic methods of
collecting debts by naval demonstrations seiz-
ures Of war vessels. blockades of ports and tenn
porary administration Of the customs The prac-
ticability Of these coercive measures remains To
be tested; and some of the shrewdest observers
apprehend that nothing short of q military cam
paign and the occupation of Caracas after siren
nous fighting will bring about settlement of
these claims against Venezuela There is also
hopeful feeling that the example of discpln-
ing olsorderly government and Of enforcing the
obligations Of good faith to national creditors
viii be needed throughout Spanish America
II was once my privilege to make in the ser
vice Of The Tribune a series of protracted Jour
neys in Central and South America: and one of
the strongest impressions which I received was
a sense Of my own country's neglect of COM
u,ercial opportunities and political responsbl-
ties. The Southern countries had been inspired
with ardor for liberty and independence when
the Thirteen Colonies rose in revolt against Eng
land, and under the leadership of men like
Bolivar, San Martin, Hidalgo and Norelos they
had shaken off Spanish domination and estab-
lished republican institutions with the Araeri-
can constitution as the common model. There
was no lack of American sympathy with these
early republican movements. and the Monroe
Doctrine was proclaimed practical measure
for securing for the group of Spanish-American
States immunity from European invasion colo
nization and meddlesome activity; but otherwise
they were left to work out their destinies un-
aided and neglected by the great Northern COM
monwealth As 1 journeyed through Central
America and made the circuit of Brazil and the
South American republics, / found the shipping
banks and wholesale houses of maritime Europe
IN every port, and the evidence in every coun-
try that immense masses of English German
and French capital had been invested in the
development Of mineral resources. the construc-
Tion of railways, the improvement of inland
navigation and the funding of national debts.
Maritime Europe had taken possession of the
import markets of those Southern countries and
had financed their industrial and material prog
Tess. American energy had not been felt below
Mexico. From Guatemala to Patagonia and
from the Orinoco to the Plate, England and Ger
many had been employing well developed COM
lneTcial marines. enlarging their trade system
atically, supplying banking facilities for ordi-
nary business and lending money for public
works and schemes Of national development.
Spanish America had been to great degree Eu-
ropeanized by commercial intercourse and fnan-
cial investments.
Naturally some of these States had been de-
bauched and demoralized by the facility with
which. money could be obtained at high rates of
interest. and the evils were aggravated by the
growth Of nilitarism and the creation of politf-
cal cabais- A small standing army sufficed for
the garrisoning Of the capital and for the con-
troll of the ballot boxes when general elections
ordered, and revolutionary uprisngs be-
2 recognized form of political campaign
ing against irresponsible power. / am not franz
ing a general indictment against Brazil and the
Spanish-Anerican States some of which have
been well governed and have adopted wisely
ordered systems Of finance. 1 merely illus
trating the course Of events in communities like
Venezuela, which have been plundered and mis-
governed by dictators and exposed to the cease
less turmoil Of civil war The foreign bondhold-
ers and capitalists. after obtaining high rates
Of interest for 3 season, have been confronted
with defaults and Reputation Of debts. After
funding the national debt. improving the har-
bors Of La Guayra and other coast towns con-
structing railways for the transportation OF the
coffee crop and developing the mineral resources
Of the country they have found their invest
meats unremunerative. Payments of principal
and interest have been withheld, financial obli-
cations have been violated. and valuable prop
critics have been injured or destroyed by the
suspension of business and the ravages Of do
nestic warfare Venezuela is not a solitary in
stance Of European sacrifices under the pres
sure Of Spanish-American misrule. Mnlions
have been lost by European creditors in invest
rnents which either guaranteed by nation
al local governments in Central and South
America, or Were dependent upon stability ana
order in those countries.
English investors in Brazilian and Spanish |
American loans and enterprises have complained
that their interests were adversely affected py
the abrupt intervention Of President Cleveland
seven years ago in the Venezuela-Guiana boun-
dairy dispute. They have asserted that a pre-
sumption was created that the United States
Government would resist every coercive meas
ure directed against a Spanish-American COM |
munity and would leave foreign creditors at the
mercy of corrupt and defauting administra-
tions and political adventures. That has been |
large and specious inference from the ernphdllc
demand Of President Cleveland and Secretary |
olney that boundary dispute of long standing
should be submitted to peaceable aroltralioi
Yet If there has been any Illusion respecuiis
the readiness of the American Commonwealth |
10 take up the cudgels for its sister repuphcs !