The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-12-04

E[K bllIZ[K OUHKL
AND NOTHING IN IT
/ CONTINUED From First Pase.>
which are members of the syndicate.
] II told the Geheimrath that ! would
never surrender my contracts on any
| such threat and that didn't peiieNe
/ that my government would view with
| favor an action of the kind suggested
| on the part of Germany, and the inter-
! view closed.
He Was Called Back.
! "a few days later in Dresden l re-
ceived a telegram from Oberburgrath
/, Paxmann, the president of the potash
, syndicate, requesting me to return TO
i Berlin the next day FOR conference
with Geheimrath kempner and him
! self in relation to the export duty and
! other government regulations regard
! ing potash which We're being planned.
! He desired that reach Berlin before
/ noon, as the potash syndicate was TO
| meet in the afternoon. l declined to
return to Berlin and instead continued
| on my way home.
in August they sent representatives
over here to negotiate for compro-
mise of my contracts, but without
! result. The next month delegates
representing about sixty American
manufacturers went to Berlin and OBJ
( tanned duplication OF my contracts
in consequence of their holding con-
tracts made with one of the Schmitt-
mann mines. whereby the latter guar
Gnteed TO these American manufac-
turers the same prices that my COM
pany might obtain. Schmittmann was
therefore legally bound to give these
manufacturers the same terms | had
obtained. SO that now instead of a
matter of s6,o0o0o0 being involved,
here was now s25,00o,oUv.
"Geheimrath Kempner and Herr
Bielman. another director of the potash
syndicate, came over here the fol-
lowing December and we had long
conference. We volunteered to meet
them half way and divide the differ
the contract prices, because they pre-
scented a draft of an imperial potash
law which had been introduced into
the Bundesrath. This bill imposed an
countervail the prices mentioned in our
| contracts.
They accepted our offer on prin-
! ciple, but in figuring out the prices
| tervail all the advantages left on a
| hallway compromise basis We then
broke Oft negotiations.
| Rushed to Uncle Sam.
| II went TO. Washing ton and laid tho
| whole matter before Secretary Knox.
asking him II there was anything our
! government could do to protect its cit.
| liens against the Reputation or-coun
| tervailing by foreign government
of contracts between American citizens
and subjects of that government. Sec
| rotary Knox made a strong, emphatic
| protest to the imperial German gov
| eminent through Ambassador Hill, and
| the potash bill was subsequently with
| drawn,
Immediately thereafter the United
States and Germany completed a COM
nercial treaty. which gave Germany
the benefit of the American minimum
/, tariff In May following the Reichstag
passed potash law more drastic and
| more damaging In It's effects on Amer
i lean contracts than the original
Bundesrath bill which had been with
! drawn At the protest OF this govern
ment. But at the came time Ambassa-
| dor Hill received assurances from the
German Foreign Office that the law, aa
| finally amended, would not invalidates
| Impair or affect the American con-
! tracts.
| Notwithstanding this assurance all
shipments of potash after the law went
/, into effect were taxed $s2 Ton over
the contract price. This made the
price of muriate Of potash s42 ton IN
stead of $50. After an exhaustive in
Iterchange OF kilograms between Berlin
and Washington, the State Department
decided to postpone further efforts TO
settle the controversy until Septem,
that its ministers would not be back
/ from their vacations until that time.
Your Uncle Samuel Acts.
IN. FL. Davis. commercial adviser to
Berlin last September to investigate
the reasons for the passage OF the
potash law and It's disastrous effects
upon American contracts, Tho law,
by the way, imposes duty In the
form Of a penalty tax for production
over tho allotted quota of nine. and
as the two mines which hold the
American contracts are tho only ones
American contracts, and IN this Is
therefore absolutely discriminatory
against American citizens.
Negotiations were opened IN Ber-
tween Ambassador Hill and the nin-
listers OF the German government, but
neither the imperial government nor
the potash syndicate made any pro-
posal whatsoever either to Mr.. Davis
or to the American committee for,
settlement of the controversy. Finally
the American committee, Ia order to
prevent a rupture of commercial re-
latlons between the two countries lor
the second time, made voluntary
difference and meet them half way
thus giving up over sl2.oo0,ooo. The
Germans flatly refused TO consider the
proposal and made no counter
committee left Berlin.
I'D to the Old Man.
''rhe Interests OF the American con
tractors are now in the hands OF the
United States government, which must
decide whether it will allow the coun-
tervailing and practical reputation
lof contracts made by It's citizens by
means OF a law passed by foreign
government ten months after such
contracts were entered into in good
faith between American citizens and
German subjects,
1 III Germany assumes the right to
| repudiate commercial contracts by re-
ltroactiye laws II Is expedient that the