Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-07-02

Who Oners $4,000, 900 to American Syndicate.
congress have agreed that the money must
be used for the development of the republic,
and today Senior Ignacio Calderon. who was
formerly secretary of the treasury Of b.
livia, is in the United States for the pur-
pose of making the arrangements. He has
had audience with President Roosevelt
and has established Bolivian mission here
at Washington.
A Big Syndicate Needed.
met Senior Calderon some years ago dur
ing my stay In Bolivia. He was then The
chief banker of La Paz. the principal city of
Bolivia. and we had some business dealings
together. 1 met him again last night and
talked with him concerning his mission.
Said he:
Il have come to the United States to in
terest some of your capitalists In the rail-
road development Of Bolivia. Our govern
ment has ten million dollars in gold to put
into the investment: and we offer 1t on
more advantageous terms, l venture. than
any ever proposed by any other govern
ment. What we want Is to contract with a
syndicate of capitalists. strong enough to
carry out the undertaking. whether 1t costs
So. 100000. s15.0G0.0O0 or more. We will
put in our $lOOO0000 without charge. ask
ing interest therefor: and will guarantee
the syndicate six per cent annually upon
every dollar they invest beyond that. AS to
the profits above the six per cent guar
anteed. they will be divided according to
mutual agreement between the Bolivian
government and the syndicate Surprising
the net profits to be 20 per cent. which l
think not unlikely. an even division OF the
surplus of IA per cent would pay my govern
ment per cent and the syndicate T. giving
the syndicate with the original per cent
a net profit Of 13 per cent l do not say
that that would be the arrangement made.
but we should be glad to make contract
greatly to the advantage of the syndicate.
What we offer is a sure per cent loan
upon railroad property costing 10000 go
more than the amount invested. and the in
terest also guaranteed by the government
and payable out Of Its revenues"
Uncle Sam Has First Chance
DO you expect to have trouble in plac
ing this contract. Senior Calderon?" /
asked.
IT do not know" replied the Bolivian
minister. II shall first try the United States
and If your capitalists do not want it. shall
then go to Germany. France or England.
have had assurances that it can be easily
handled in London, Paris or Berlin. Indeed
there are London parties who would be
glad to take the contract just now. | should
prefer. however. to deal with American cap
ital and with Americans. Your people are
more aggressive and more pushing. You
have a republic as we have, and our sym
pathies are with you rather than with Eu-
rope. There is vast amount of American
capital now awaiting profitable investment
and have one of the richest countries
of the world and want it developed
think our interests are altogether with the
United States in this matter If We can
make the proper DEAL
New Railroads Proposed.
Just where are the railroads which you
want to build, Senior Calderon?" 1 asked
Il show you best by laying them out
upon the map" said the minister, as he
placed chart of South America before me-
# ere is Bolivia. country more than ten
times big as your state of New York.
shut or from the ocean by the desert lands
of Chile and Peru and bounded on the
other side by the richest parts of Brazil
and the Argentine Republic. The country
Is chiefly made up of the high plateaus and
mountains of the Andes. which are rich in
all sorts of minerals and are valuable also
for agriculture and stock raising On the
northwestern boundary lies Lake Titicaca.
a great inland sea in the tops of the Andes,
now reached by a railway from Mollendo
on the Pacific coast of Peru Farther over
are the teadwaters of the Benz river, about
the cataracts of which Brazil has just con-
tIacted to build railroad which will give
Bolivia access to the Madeira and down
that river to the Amazon and the Atlantic
ocean. On the southeast is the Argentine
Re public, with railroads almost to our
boundary. and on the south and west Chile.
with railroad six hundred miles long,
connecting some Of our richest mineral re-
gions with Antofagasta. That railroad now
crosses the Chilean desert and goes inland
to Oruro about two hundred and fifty miles
from La Paz."
To Open Up the Tin Mines.
I'VE already have a railroad from the
southern side Of Lake Titicaca to La Pax
Lake Titicaca has good steamship serv-
ice and goods are now brought to Mollendo
and thence carried up the mountains by rail
to Lake Titicaca. and across that lake by
steamer and thence by road to La Paz. We
now propose to build a railroad from La
Paz to Oruro connecting that city with the |
present railroad system going down to the |
Pacific.
I'VE shall also build branch lines from |
Uyuni to Potosi. one Of the richest mineral |
regions Of the globe. and another line to |
Tupiza to connect with the Argentine sys-
tenn These lines will be comparatively |
short, but they will give an outlet to some |
of the richest tin, copper. gold and silver |
deposits of South America As IL Ii now |
the Antofagista line, which relies almost /
entirely upon ore for its traffic. pays good |
dividends and these lines will do far bet |
ter as they will have all sorts of traffic.
1.-THE TLpiza branch will give Bolivia and /
Peru an outlet to the Atlantic. and they I
will complete the railroad connection from |
Peru 20 Buenos Ayrcs. Then by a short !