New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-09-05
ASPHALT IN VENEZUELA.
Position of Receiver for Concessions
Of Bermudez Company.
To the Editor Of The Tribune

To the Editor Of The Tribune
ST.: write 20 you rs the American attorney OF
Ambrose H. Garner. who has recently been APP
pointed by the Federal Court Of Venezuela receiver
of certain concessions heretofore enjoyed by the
New-fork and Bermudez Company. an American
corporation.
The reason for my writing you IS to correct the
many false statements which have appeared in the
public press regarding the proceedings in which Mr.,
Garner has been appointed receiver. These state
ments have all been inspired by the AIphalt Trust
which owns and controls the New York and Ber-
mudez Company, together with the Trinidad Lake
and the majority of the asphalt paving companies
OF this country. For several months past the
trust has been using the press to misrepresent the
state OF affairs in Venezuela for the furtherance
OF Its own interests and has made every effort in
these publications to induce the United States gov
eminent and the American people to believe that
the interests OF American citizens IN Venezuela are
being sacrificed and, Furthermore, the high handed
arbitrary and unwarranted proceedings are being
taken by the Venezuelan government against the
New-York and Bermudez Company, which holds the
concession for mining asphalt and recovering other
natural products in the State of Bermudez
1t has represented that proceedings in which the
receiver was appointed instituted without
notice 10 II. This is not the truth. as notice was
served upon the companys representative in Venez-
uela- who appeared by counsel and procured an
adjournment when the matter came on for hearing.
me trust has also represented that the appoint
ment Of the receiver was after the conAscation of
-@'''i'Ni' . lANpClA - ny tLc NeUeZtGlEn govern
ment As a matter Of fact, the asphalt and other
concessions have not been conhscated but a court
proceeding authorized by the Venezuelan Code has
oeen instituted in the federal TO declare the
concessions forfeited. and receiver appointed
by the Venezuelan court in that proceeding brought
by the government to cancel the concession.
me reason for the appointment OF a receiver was
20 conserve me property pending decision In that
PT0Geeding The concession under which the Ber
Hamilton concession, and the basis Of the suit
pIany is the failure OF the company to comply with
S,nl 20 one that might be brought in this State
10y me Attorney General on behalf of the people
franchises forfeited becaUs 81 aG
with its charter obligations and with the law.
nor nsiaI dESRute' pending squirt Proceedings. is
Of all civilized states are familiar 1t is oniy neces
si[y 20 cite the appointment OF receiver In fore
reader .4l that a receivership Is not unusual.
v ne oT'Yina! coneession under which the New
granted on September 10. 1888. Horatio R HamiI-
present company The conSesston permfted
a '4 no GIJ uIoe+ ana GATHER resir9us matters
express understanding that Hamilton or his a sIse
signees should canalze certain rivers in the State
The Goneession provided that failure 10 comply
with az the conditions therein contained should
son OF the contract sb0nid ~ trio9 ~ 80
tribunal Of the republic in accordance with its
Neither Hamilton nor the BerInudez company
rivers. The policy Of the trust was TO use TRIM.
apply a dog in the manger policy, under which
they could not mine Bermudez asphalt themselves
Its importations of recent years have been almost
wholly Trinidad asphalt This has caused the con
Gessoh 10 De worthless to the Venezuelan govern
Inent. as II derived practically no revenue from
is that the Venezuelan government seized IFS nro5
ery without warning also that at the time ,e Of fb
seizure the company's employees were arrested its
property despoiled and negro laborers from Trini-
dad. British subjects. compelled work at the
point of tho bayonet. These statements abso-
Upon the arrival of the receiver at the asphalt
ali its books and papers and carried them to Trin
dad out OF the jurisdiction of the Venezuelan
empoye forciblv compelled TO work but pract-
cally al sought employment with the receiver and
Immediately acquesced in his authority as the
Representative ,1i1t OF the Xenezuean court
GepriyGd OF us property unless the United States
its properties be taken from It, except after
a trial in the Venezuelan court. in which trial 1t
heard and only after judgment of that court
1t also claims that 1t has fully compiled with the
terms of the Hamilton concession. II this is true.
It has nothing to fear from the proceeding now
its own hands. and the facts can easily be estab-
present suit must fail and the receiver be dis
it toe took as Pa4 fa Rs nG5 6et
not, however, deny the facts specifically, but con-
that he never saw General Matos The fact is
rs aid Ti ala pc b garner s tes
that he has seen letters and cables from offices
in New-Yo to his representative in Venezuela
which establish the fact without doubt and
the trust, In its annual report of 1902 announced
expenditure of 100000 for warfare"
If it did not aid and abet the Matos rebellion.
that fact easily be made to appear and it
viii be absolutely impossible for the Venezuelan
of money in procuring guns and other warlike
supplies and in furnishing q vessel to General
Matos. If in fact it had not been done.
1t would though the trust had no great
confidence in the justice of Its cause since 1t is
using every effort to procure Intervention the
part of the United States before the matter has
been fully heard in the Venezuelan courts After
the decision shall have been rendered there. II it
should be unjust or Illegal, or not warranted by
plain to the American government
The statements which l have made matter
this fact IT seems important that this side of the
controversy should be made known 10 the public
and that the American government should not
through ignorance of the facts, be led into an
unjust intervention with the judicial procedure of
friendly but weaker state.
Mr.. Garner Is an American citizen, but has re-
sided during many years of his life in Venezuela,
and at time the representative of the
New-York and Rermudez company there He is
government from the outset in connection with
the actions brought against the New-York ana
cession and for damages and he informs me
that he did not accept the position of
facts. he assured himself that the government was
fully justified in the steps 1t had taken.
Mr. Garner is anxious that the American people
should not misunderstood his actions or gain
the impression that ne is tool OF President cas-
The action of the Venezuelan government was fully
the American government and the American people
should await and abide by the decision of the
I believe that this matter is of SUFFICIENT ,mnor
lance 10 Justify the insertion OF this somewhat
New9York Sept ! 1soi IN your w. Soi9 W. NILES