§ MR. STANLEY LEIGHTON (Shropshire, Oswestry)asked the Under Secre- 570 tary of States for the Colonies, Whether it is true that the sum of £92,800 a year, raised by taxes in Cyprus, and originally paid over to the Porte according to the Convention of 1878, has of late years been paid to the French and English Governments; what is the total amount which has thus been paid to the French Government; and, what services the French Government have rendered to the people of Cyprus which would justify the taxation of the people in their behalf?
§ THE UNDER SECRETARY OF STATE (Baron HENRY DE WORMS) (Liverpool, East Toxteth)This matter was fully and clearly explained by the Secretary of State in this House on the 6th of September last. Briefly stated, the facts are as follows:—By the Anglo-Turkish Convention of 1878 the Revenues of Cyprus are charged with an annual tribute to Turkey amounting to £92,800. In 1855, a loan was raised by Turkey, the interest on which was guaranteed by England and France jointly. Since 1876, Turkey has failed to provide for the interest; and, consequently, France and England have become liable to the bondholders to the extent of about £40,872 each annually. The administration of Cyprus having fallen into the hands of England, it had been arranged, with the acquiescence of Turkey, that the Island tribute, instead of being paid to the Turkish Government, shall be devoted to recouping the French and English Governments for the loss they would otherwise have incurred through the default of Turkey. The total amount thus paid to the French Government in seven years has been £286,000; and I must point out to my hon. Friend that, as was stated in February, 1886, by the right hon. and learned Gentleman the Member for East Denbighshire (Mr. Osborne Morgan), then Under Secretary of State for the Colonies, it would have been contrary to the rules of equity for one of two guarantors, having got possession of an asset belonging to a defaulting guaranteed person, to refuse to share the benefit of it with his co-guarantor.
§ MR. STANLEY LEIGHTONasked, Whether the Sublime Porte accepted the arrangement without any remonstrance?
§ BARON HENRY DE WORMSreplied that he could not go into that.