For compensation, rents, and contingent expenses... For prevention and detection of frauds... For salaries and expenses of supervising agent, special agent, and spe cial inspectors.... Printing and stationery.... Miscellaneous expenses on direct settlement.. Total. Deduct for difference between detailed estimates and actual expenditures by reason of vacancies, suspensions, etc... Net total....... Total number employees at all ports.... Division of Special Agents..... Total...... $9,998, 931. 73 200,000.00 114, 000. 00 32, 300.00 40,000.00 10, 385, 231. 73 235, 231. 73 10, 150,000.00 6,839 106 6,945 3d Session. No. 1266. MARITIME CANAL CO., OF NICARAGUA. LETTER FROM THE SECRETARY OF THE INTERIOR, TRANSMITTING COPY OF A LETTER FROM MESSRS. DALY, HOYT & MASON, COUNSELORS AT LAW, OF NEW YORK, EMBODYING A REPORT OF THE OPERATION OF THE MARITIME CANAL CO., OF NICARAGUA. DECEMBER 9, 1914.-Referred to the Committee on Interstate and Foreign Commerce and ordered to be printed. DEPARTMENT OF THE INTERIOR, The SPEAKER OF THE HOUSE OF REPRESENTATIVES. SIR: I transmit herewith, for the information of the House of Representatives, copy of a letter from Messrs. Daly, Hoyt & Mason, counselors at law, of New York, N. Y., dated September 24, 1914, embodying a report of the operations of the Maritime Canal Co., of Nicaragua, in accordance with section 6 of the act of Congress approved February 20, 1889, entitled "An act to incorporate the Maritime Canal Co., of Nicaragua" (25 Stat., 675). Respectfully, FRANKLIN K. LANE. [Daly, Hoyt & Mason, counselors at law; Henry R. Hoyt, Alexander T. Mason Frederic D. Philips, Charles K. Carpenter.] Hon. B. SWEENEY, 15 WILLIAM STREET, New York, September 24, 1914. Assistant Secretary of the Interior, Washington, D. C. DEAR SIR: Your favor of the 16th instant, addressed to the president of the Maritime Canal Co. of Nicaragua, has been turned over to us for reply. The president of the company died on November 7, 1913, and no successor has as yet been appointed. We are advised that there has been no change in the condition of the Maritime Canal Co. of Nicaragua since the filing of its last reports, and that it conducted no operations during the fiscal year ended June 30, 1914. We would therefore refer you to the report of the company filed on the first Monday of December, 1913. Yours, very truly, DALY, HOYT & MASON. SECRETARY OF THE INTERIOR, DALY, HOYT & MASON, New York, November 29, 1913. Washington, D. C. DEAR SIR: Pursuant to section 6 of the act entitled "An act to incorporate the Maritime Canal Co. of Nicaragua," approved February 20, 1889, we beg to forward, herewith inclosed, the annual report of the said Maritime Canal Co. of Nicaragua, which is required by said act to be made on the first Monday of December in each year. The president of the corporation died on November 7, 1913, and the vacancy has not been filled, so the report has been verified and acknowledged by the secretary and treasurer. Yours, very truly, DALY, HOYT & MASON. THE MARITIME CANAL Co. OF NICARAGUA, THE SECRETARY OF THE INTERIOR. SIR: Pursuant to section 6 of the act entitled "An act to incorporate the Maritime Canal Co. of Nicaragua," approved February 20, 1889, which provides that the said company shall make a report on the first Monday of December in each year to the Secretary of the Interior, and in accordance with instructions prescribing the form of such report and the particulars to be given therein, the said Maritime Canal Co. of Nicaragua reports as follows: First. That the board of directors of the company is composed of the following stockholders: Henry E. Ahern, Samuel E. Kilner, Richard C. Shannon, Edward Menocal, Henry D. Pierce, Horace L. Hotchkiss, Otto T. Bannard, John R. Bartlett, Stewart H. Chisholm, and William H. Bullwinkel. The above named directors are citizens and residents of the United States. Second. That the officers of said company are: Vice president, Stewart H. Chisholm; secretary and treasurer, William H. Bullwinkel, all of whom are citizens and residents of the United States. That Henry E. Howland, the president of the corporation, departed this life on the 7th day of November, 1913, and that the vacancy in said office caused by his death has not yet been filled. The following directors are the members of the executive committee: Samuel E. Kilner, Otto T. Bannard, Horace L. Hotchkiss, and Stewart H. Chisholm. Third. That since the organization of the Maritime Canal Co. of Nicaragua 10,145 shares of the capital stock of said company have been subscribed for at par, amounting in the aggregate to the sum of $1,014,500, of which amount $1,008,830 has been paid into the treas ury in cash; that there has been paid into the treasury from other sources $167,275.94, making the total amount of cash received $1,176,105.94. Fourth. That since the organization of the company it has paid for property, work and labor done, and materials furnished in the execution of the work of construction of canal and in administration expenses the sum of $1,174,256.47 in cash; 31,990 shares of the full paid capital stock of the company of the par value of $3,199,000; $5,000,000 of its first mortgage bonds, and its obligations for $1,185,000 of the said first mortgage bonds. It has also issued 180,000 shares of its capital stock, of the par value of $18,000,000, in payment for concessionary rights, privileges, franchises, and other property. Two hundred and twenty-five thousand dollars of the amount first named was represented by claim against the Nicaragua Canal Construction Co. for cash advances made on account of purchase of equipment, and in liquidation of which claim the Maritime Canal Co. has received and now holds in its treasury obligations representing $518,500 of its first mortgage bonds in addition to 2,420 shares of its capital stock, which were transferred and delivered to Thomas B. Atkins, trustee, in liquidation of said account, to be held by him as trustee for the benefit of the company. Fifth. That the liabilities of the company consist of the amounts still due under the concessions granted to the company of the $1,855,000 of bonds before mentioned, the said bonds being due to the assignees of the Nicaragua Canal Construction Co. for work and labor done and materials furnished in the execution of the work of constructing the interoceanic canal, and of cash liabilities outstanding unpaid to an amount not exceeding $200,000. Sixth. That the assets of the company consist of its unused capital stock; of the $518,500 first mortgage bonds, and the 2,420 shares of capital stock received in liquidation as aforesaid; of the concessions, rights, privileges, and franchises which it owns; and of the plant, lands, and other property of the company in Central America. Seventh. Work on the canal was not resumed during the past year for the same reasons that were given in our annual reports for 1900, 1901, 1902, 1903, 1904, 1905, 1906, 1907, 1908, 1909, 1910, 1911, and 1912, to which reports we beg leave to refer as part of this report. As set forth in said reports, the Nicaraguan Government has unlawfully seized and confiscated the entire plant and property of the company in Nicaragua. Such seizure and confiscation were wholly illegal, and were forced measures which this company had no power to resist or control, and they could not and did not legally divest the Maritime Canal Co. of Nicaragua of its exclusive and vested rights of property in and to its canal route, lands, rights of way, and other property in the Republic of Nicaragua. By said illegal seizure and confiscation the company has been deprived of the lawful possession and enjoyment of its plant and property and has been prevented from prosecuting the work of construction, but the Maritime Canal Co. of Nicaragua has never surrendered or abandoned any of its plant or property or its exclusive rights and privileges to construct a ship canal across the territory of Nicaragua, and the ownership of said property, rights, and privileges is still vested in this corporation. |