STATE OF HONDURAS—TREATY OF GUARANTEE.—QUESTION. (Hansard, 22 November 1867)

§ MR. AYRTON

said, that before the Speaker left the Chair he was anxious to obtain from the Secretary of State for Foreign Affairs some explanation respecting a document issued a few days ago in the City of London by Senor Don Carlos Gutierrez, Honduras Minister in London, inviting Her Majesty's subjects to subscribe to a loan of £1,000,000 to the State of Honduras, it being alleged that a portion of such loan was to be applied to the construction of an inter-oceanic railway from Puerto Caballos, on the Atlantic, to the say of Fonseca, on the Pacific. The prospectus in question stated that this railway would, when complete, be about 230 miles in length, but that the present loan is to be applied to the construction of the first section of the railway, from Puerto Caballos to Santiago, a distance, he believed, of about forty miles. Moreover, the prospectus contained the following announcement:— The new Treaty between Honduras and Great Britain declares that 'In order to secure the construction and permanence of the route or road herein contemplated, and also to secure for the benefit of mankind the uninterrupted advantages of such communication from sea to sea, Her Britannic Majesty recognises the rights of sovereignty and property of Honduras, in and over the line of the said road, and for the same reason guarantees' positively and efficaciously the entire neutrality of the same; and when the proposed road shall have been completed Her Britannic Majesty equally engages, in conjunction with the Republic of Honduras, to protect the same from interruption, seizure, or unjust confiscation, from whatsoever quarter the attempt may proceed.' Now, if such a treaty had really been entered into by Her Majesty's Government, it would involve this country in very serious responsibilities; for though the prospectus only spoke of the raising of £1,000,000, yet if that sum were to be applied to the construction of only forty miles of the line, it might be inferred that the cost of the whole 230 miles would be 147 immense. Indeed, he believed that this section was the only portion of the line which, could be constructed at a moderate expense, as there was a large range of hills running through the State of Honduras which would render the construction of the other sections an undertaking of much difficulty. If, however, the line could be constructed at a moderate expense, it would seem that for that ostensible object a large loan was to be obtained in this country, and the character and credit of the whole transaction supported by a Minister accredited to Her Majesty's Government, quoting a new treaty alleged to have been entered into. Persons reading the prospectus would naturally believe that the scheme had been communicated to the noble Lord the Secretary for Foreign Affairs, and that he had concurred, or tacitly acquiesced in it. A treaty seriously affecting the finances of this country ought to be laid upon the table of that House, and it was even doubtful whether it could be carried into effect without the sanction of an Act of Parliament. It was possible, however, that this Minister might be drawing more upon his imagination than upon his diplomatic relations with the noble Lord, for he had discovered that a treaty was entered into between Her Majesty's Government and the State of Honduras as long ago as the year 1856, for guaranteeing certain rights and privileges to the Honduras Oceanic Railway Company. But that treaty had sole reference to a project brought forward by that Company, and only guaranteed the immunities he had just referred to on conditions that the railway should be completed from sea to sea by that Company, and that the Company should in exchange concede certain rights and privileges to British subjects. He believed that the Company did not succeed in its undertaking, and therefore that treaty had fallen practically to the ground. At all events, it could have no effect unless the Company carried out the whole line, and gave effect to the stipulations. There was obviously an immense difference between an independent Company engaging to construct the whole line and the Honduras Government taking the matter into its own hands, because the Company furnished in itself a guarantee for a certain amount of neutrality; whereas if the railway were made by the State there would be no such guarantee. He would therefore ask the noble Lord whether any treaty had been recently concluded be- 148 tween Her Majesty's Government and the State of Honduras, and whether anything of the sort were contemplated? He trusted that the noble Lord would not be so inconsiderate as to pledge the credit of this country alone to a guarantee of neutrality in reference to anything connected with Central America. Such a proceeding might grievously offend the sensibilities of a great nation nearer to Central America than ourselves, and might provoke antagonism and opposition on the part of other great commercial nations and maritime Powers. If any step were taken at all it should be in conjunction with all the great maritime Powers of the world. Care should be likewise taken that a proper route should be selected; for every two or three years the public were informed that a beautiful route from ocean to ocean had been discovered, and that a line could be constructed at a very trifling expense. Several years ago Her Majesty's Government had acted upon the faith of a representation that a man had been to a certain point in Central America, and had stood on a hill from which he could see the Atlantic, and that, after walking a little way into a wood, he came to a place whence he could see the Pacific. A commission was sent out to verify the accuracy of this story, and they ascertained that the man, after gazing on the Atlantic, took a walk through a wood, and, turning in the direction of the spot he had formerly occupied, of course he saw the Atlantic again. Indeed, it was discovered that there was an impassable range of mountains between that spot and the Pacific. Several Englishmen unfortunately lost their lives in detecting that absurdity. He hoped, therefore, that nothing would be done in Central America until the best route was chosen by practical men. If the statements in the prospectus were correct, he should like to receive some information as to the resources of Honduras, its income and expenditure, and the value of the exports of wood referred to in the prospectus. He would add that he had no personal interest whatever in the loan, and that he had merely brought the matter forward in the interest of the public. He begged to ask the Secretary of State, Whether any new Treaty of Guarantee has been entered into with the States of Honduras, and what are the resources of that State?