The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1910-06-26
SURPRISE IS SPRUNG
BY SENATOR STONE
Charge Is Made of Exploiting
Nicaraguan Affairs
INVESTIGATION rs ASKED
Senator Stone Declares That Some
Americans Are Trying to Help
the Estrada Faction BY
Secret Activity

Washington, June 25.-lTn the Senate to-
day Senator Stone said he had been in
formed that a syndicate had been or
ganzed In the United States to exploit
the finances of Nicaragua and that tho
syndicate had been represented In Wash
ington by a former high official of the
state department.
Senator Stones statement followed his
Introduction of resolution directing the
committee on foreign relations to make
a general investigation as to the rela-
tions between the United States and Mic
aragua.
The resolution would direct special in
ouiry into the question whether the prop
erty rights or lives of citizens OF the
United States had been in jeopardy in
Nicaragua and especially ITO ascertain
whether any effort has been made by per-
sons representing financial interests in
the United States to refund or otherwise
control the adjustment of the debt Of
Nicaragua or of claims against the gov
ernment of Nicaragua and If so. in what
manner and to what extent any such
effort has been made and carried on"
II have looked into this affair with
care and l want to say that have found
numerous things which, to me. are most
astounding" said Mr. Stone Among
others l have discovered that the gov
ernment of DR.. Madriz maintains the
customary diplomatic relations with prac-
tically every government of the world
except the United States and 1 am un-
able to discover any sound reason why
this government should not establish sucn
relations
Referring to the contention that this
government was protecting American in
terests in Nicaragua. Mr. Stone said the
chief interest of American citizens were
those Of Americans located at Bluefields.
who were concerned in enterprises OF
doubtful character while the only Amer
lean citizens to be protected were ad-
venturers who had cast their fortunes
with the revolutionary army under Gen
eral Estrada.
$50 far as I am informed said Mr..
Stone, "I am inclined to believe the prin-
cipal American interests concerned in this
controversy relate to advances made by
certain Americans on a speculative basis
to the revolutionary forces under General
Estrada, and still more to the point the
interests of a syndicate of American
financiers and bankers organized. or pro-
visionally organized as l am advised, with
view to exploiting and funding the pub
lie debt of Nicaragua and other Central
American countries, somewhat on the line
upon which the debt of Santo Domingo
was managed and disposed of. My In
formation is. and ! have every reason
to believe that Information well founded
that a former high official of the state
department Is the representative In WASH
ington of that syndicate. If this story be
really true, and fear there is too much
truth in it for the good of our country.
then there are millions in it for some-
body
Mr. Stone said his remarks and his
resolutions were made as mere sugges-
ton. If they were not acted upon, he
said he would take the matter up again
In a brief response, Chairman Cullo m
of the committee on foreign relations
said the Secretary of State had made a
full and satisfactory explanation to the
committee. Mr.. Cullom announced his
disbelief that anyone connected with the
state department had been guilty of any
wrongdoing.
The resolution was referred to the COM
mittee on foreign relations.