New-York tribune., 1905-02-17
MONROE DOCTRINE In DOMINICA
PRESIDENT ROOSEVELT. IN MESSAGE TO SENATE.
EXPLAINS HIS ACTION.
Duty of the United States to Its Weaker Nghbors Set Forth Rpon
sibiIties InUolUed in assertion of VI onroe Doctrine


bonds of civil society have been practically dis
solved
DANGER IN FOREIGN INTERVENTION
Under the accepted law of nations. foreign
governments are within their right. IL they
choose to exercise it. when they actively inter-
in support of the cOntTactuaI claims OF
their subjects. They sometimes exercise this
power and on account Of commercial rivalries.
there is a growing tendency on the part OF other
governments more and more TO aid diplomat
ically in the enforcement of the claims OF their
subjects In view of the dilemma in which the
government of the United States is thus placed.
1t must either adhere TO its usual attitude OF
non-interventiOn in such cases-an attitude
proper under normal conditions. but one which.
in this particular kind Of case. results TO the
those Of other States-Or else il must, in order
to be consistent in its policy actively interviews
to protect the contracts and concessions OF its
citizens engaged in agriculture. commerce and
transportation in competition with the subjects
and citizens of other States This course would
render the United States the insurer OF all the
speculative risks Of it's citizens in public se-
curities and franchises of Santo Domingo.
Under the plan in the protocol herewith sub
mtted to the Senate insuring faithful collec-
ton and application of the revenue 10 the speci-
fed objects. are well assured that this diff
cult task be accomplished with the friendly
cooperation and good will OF all the parties
cerned. and to the great relief OF the Dominican
Republic.
DOMINICAN SITUATION MENACING.
The conditions in the Dominican Republic noe
only constitute a menace to our relations with
other foreign nations. but they also concern tha
prosperity Of the people of the island. as well as
the security of American interests and they are
intimately associated with the interests OF this
South Atlantic and Gulf States. the normal ex-
pansion of whose commerce lies in that direc-
t1on At one time, and that only year ago.
three revolutions were in progress in the island
at the time.
1t Is impossible TO state with ANYTHING like
approximate accuracy the present population OK
the Dominican Republic. In the report OF the
Commission appointed by Grant in 1871 the
population was estimated at not over 10000
souls, but according to The Statesman's Year
Book" for 1904. the estimated population In
1888 is given as $4,000. The bureau of the
American Republics considers this the best es-
innate of the present population of the repub-
lie As shown by the unanimous report OF the
Grant Commission, the public debt of the Do
minican Republic. including claims was S1.656.-
81 59A- The total revenues were SIP 6S4- 75l.-
The public Indebtedness Of the Dominican Re-
public, not including all claims. was on Septem-
ber T. last, as the Department of State is adj
vised SS2,2SOOOO; the estimated revenues under
lhe Donnnlcan management or custom houses
were S1,SJO,OOO; the proposed budget for cur
rent administration was S1,3OO.O00 leaving only
S,'JOOoO 10 pay foreign and Hqutdated obliga-
ttonS, and payments these latter will amount
during the ensuing year to 81. 100000 besides
100000 of arrearages of payments overdue
amounting in all to 100000 1t is therefore
impossible under existing conditions which are
chronic. and with the estimated yearly revenues
of the republic, which during the last decade
have averaged approximately 81 100000 to de-
fray the ordinary expenses of the governments
and TO meet its obligations
DOMINICAN FOREIGN DEBT.
The Dominican debt owed TO EUROPEAN credit.
ors is about S22,O00OO0. and of this sum over
The representatives of European governments
have several times approached the Secretary OF
state setting forth the wrongs and tntOerable
delays 10 which they have been subjected at the
hands Of the successive governments Of Santo
Domingo in the collection OF their lust claims
and intimating that unless the Dominican gov
ernment should receive some assistance from the
United States in the way OF regulating its
finances the creditor governments in Furope
IN arr7Cr a-rTr
ures of compulsiOn to secure the satisfaction OF
their claims.
If the United States government declines to
take action and other foreign governments re-
sort to action to secure payment Of their claims
the latter would be entitled. according TO the de-
clslon or the hague tribunal in the Venezuelan
cases, to the preferential payment OF their
claims and this would absorb all the Dominican
revenues. and would be virtual sacrifice OF
American claims and interests in the island If
moreover. any such action should be taken by
them. the only method to enable them TO secure
the payment of their claims would be to take
possession of the custom houses, and. consider
ing the state Of the Dominican finances. this
would mean definite and very possibly perma-
nent occupation of Dominican territory. for no
period could be set TO the time which would be
necessarily required for the payment of their
obligations and unliquidated claims
The United States government could not in.
terfere to prevent such seizure and occupation
of Dominican territory without either itself
proposing some feasible alternative in the way
of action else virtually saying to European
governments that they would not be allowed to
collect their claims. This would be an unfortu-
nate attitude for the government of the United
States to De forced to maintain at present. IL
cannot, with propriety, say that it will protect
its own citizens and interests. on the one hand
and yet. on the other hand, refuse 10 allow
other governments to protect their citizens and
interests.
IMPROVEMENT COMPANY'S CASE
The actual situation in the Dominican Re-
public cannot perhaps be forcibly stated
than by giving brief account Of the case OF
the Santo Domingo Improvement Company.
From 1863 to 1897 the Dominican government
issued successive series Of bonds, the mas>rity
of which were in the hands of European a.
ers. successive issues bore interest at h IS
ranging from "a TO per cent, and what "A n
commissions and other deductions and the heavy
discount IN the market the government prob
ably did not receive over 10 to a. per cent OF
their nominal value Other portions of the debt
were created by loans for which the govern
ment received only One-half of the amount it
was nominally 10 repay. and these obligations
bore interest at the rate of I to per cent a
month on their face. some Of them compounded
monthly
The improvidenoe of the government in its
hnancial management was due to its Weakness
10 its impaired credit and 10 its pecuriarv needs
occasioned by frequent insurrections and revo-
iutionary changes and by its inability to col
iect its revenues
In 1855 the government IN order to secure the
payment OF an issue OF bonds. placed the custom
houses and the collection OF its customs duties
which are substantially the only revenues OF
the republic. IN the hands OF the Westeadorps,
bankers OF Amsterdam, Holland But the ma
tional debt continued TO grow ard The govern
ment finally intrusted the collection OF its reve-
nues 10 an American corporation. the SartO Do
take over the bonds of the Westendorps The
Dominican government finally became dissatis-
1ed with this arrangement, and. in 1901. ousted
the improvement company from its custom
houses and took into own hands the eOI-