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MICROCOPY RESOLUTION TEST CHART 
 
 (ANSI and ISO TEST CHART No. 2) 
 
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 A APPLI ED IIVMGE 
 
 1653 EasI Mam SI.eet 
 
 Rochester, Ne* York 14609 JSA 
 
 (716) 482 - OMO - Phone 
 
 (716) 288 - 5989 -Fox 
 
1^1 
 
 National Ubrary Bibliothdque nationale 
 of Canada du Canada 
 
 ^ 
 
 n 
 
 ^ 
 
 MARIXE TELEGKAPH BILL. 
 
 STATE3IENT for the .iiforiiialio]! of Honor- 
 able Meinl)eis of tlie Houses of Pur- 
 liaiiieiit. 
 
 The Direct Culkd SUden Cahle Qmqmnij {LhniteJ). 
 
 I. This Company was foi'incl i,, >[,.■,., 
 
 •■( .). 
 
 rt 
 
 1 , ... , ^ ^•■■•I'ital was HiiclK- ,snl.:sciii„Ml 
 
 i- ( o„.,any, that n. on!... ...afnalK to .o.h... tho ..1... the n,,.t to l.u,, ia y^.w!;..,,.,!- 
 
 land was n.vos.u,-. By toudun. at ti.u Jsla,„l tl,. s,hv,I of t,ansM,i.si..n oo„I,I 1. m.u.h 
 increase.1, and daiigors atton.ling tin- h,yi„g of tl,. cal,!. ols-wlKar avoi,l,.,I. 
 
 2. It was {;m„uI that tlK. ri^l.t of t!u- X.w Vo,.k. Xe. fuMu.lland and l.on<lon T.-h- 
 gvaphCo„,pany_to exd„.U. any otho.- ('oa,pany f.on, to„d,in, any pa,, of that Inland 
 c..,dd 1. detennn.c.1 <U o., tl.. afto. .0 years f.,n, the passin, of tho No. ..ondlan,! S.\ 
 . ad. Wpon.te.l the Tde,..aph ('ouM-any- and. in eHV... that atte,- the I.tl, of Apn,. 
 1«. J the ^ewfonudlau.1 Government conhl. wh.n it ph.sed. .a.- on., .t a valuation all 
 t^.e (^mi.any s Tele,vapl, Lines and j-roperty. atVr n-.ie. ,iveu l.v that Governn.en, of 
 
 lis mtonfon to pnrdn.se-the value to he tlxe,l l.y arln.rati.a. (S.; Ar, of Xnr,; // / 
 
 V/ ( K. r. ,.'. y;r/,v,v,W J.-jlk ApriK JS.l/,. s.r. 1 >, „,<.! /.7J 
 
 e.vlvt t^'" "•""?7"'''':; ^7'' "'•• ^-— "'• ^-vn-n.llan.I. the Direct Canpanv. 
 e. b^m IH.,, was u.fbnued l,y h„„ and his .'hi-.f Minister, that it was the iutenti'a, i, f 
 that Governnn-nt to terH„-na.te the concession to the Xew York Canpanv in IS7I 
 
 4. As 
 
 ii prdimina ry lo carrying siich (...licy i„t,, ,,fr..ct. the N 
 
 ewioniidland ( 
 
 cnernnii'ii) 
 
'^3 
 
 lo:)'^ 
 
 '"''i the folln^y 
 
 2 
 
 
 *^i<, 
 
 i^'Ct/i ,]fu,f, /,s'7j 
 
 ne Ever^r ''^^^' *'^"'^^ ^•-'^- 
 
 /V,^./ 7'r -^ ''■" ""^^t^i' the fha.ter ?,^ ^^''^-'f^- 
 
 " ^^ ^I^f'^ tlie. matter 
 
 • ^ 
 
TOjirf. 
 
 ■'to 
 
 ily 
 
 *'to tluit competition wliicli thoy L.^ll^vo to l.e wise, just, and salutary. Tlipy wil! 
 " prokibly establish a tariff, thougli notliing lias been settled as to uniionnity. CorreR 
 "' pondcnce has passed upon the subject, and thei-e will be no objection to lay it befoiv 
 ■'• Pai'liament, but it is at present iuconijJete." 
 
 7. At this ppfioil a general eleotiuu in Newfoundland was pending, which resulte<i 
 in a change of Ministiy, and ao delayed further progress in the purchase of the New York 
 Company's Teh^gniph projicrty. 
 
 8. It bring then uncertain when the Direct Co., would l)e permitted to touch New 
 foundlaud, and having steiimships ready for laying its cables between Ireland, 
 < 'anada, and the United .States, the Company ju-ocecded during the season of 187 i, to 
 secuve a complete connection across the Atlaiitic betwe'-n Ireland and Nova Scotia, in 
 dependOiitly of landing in Newfoundland for the present. That connection will probably 
 be completed early in the present season, as 2.50 miles only remain to be laid. 
 
 9. The immediate effect of laying this cable will be materially to reduce the rate 
 now ch.irged, and the Direct Crmpany intends to lay down a second cable so soon as tht 
 tirst has been successfully placed. 
 
 10. The Direct Company has been allowed the right to land its cable on the coast 
 of the [Juiteil .States, which is freely conceded to ail Telegraph ('ompanies who may not 
 )ia\-e, or retitiii monopoly rights elsewhere -and that Company is desirous of exercising 
 ajsimilar right on tlie coast of Canada under the like conditions as exist there, whicli, if 
 this Bill is pnssed into tin Act, it will be enabled to do. At present, by an injunction 
 obtained in January, 1875, in the Supreme Court of Newfoundland, at the instance of 
 the Anglo-An)erican Company, the Direct Company is prohibited against buoying its 
 cable witliin three miles off the line of coast measured fruu) headland to headland, and is 
 tio excluded— without its having any jireseut intention of landing— from the shelter of 
 any of the bays of the Island. 
 
 , The Anglo-American Company —Limited. 
 
 \ 
 
 11. The present Company arose t.i the consolidation of the New \ork, New 
 foundland, and London Telegraph Compaii; , and the B^'ench Company {Soeietc du Cable 
 TrdndkmtMiiie) with the Anglo-American Company. The resolutions of the Shareholders' 
 meetingsof the Anglo-Au);i-ie;m and French Companies witc pas-.cd on tlie 2l'nd and 
 23)d xMay, 1873, resp(>etively, and on tlie execution of the formal deeds, about tlie 2Gth 
 of June, 1873, the ol.l (.'omiiaines became merged into tlie new t'onso!idate<l Couij)any, 
 under the name of the Anglo-American Company. 
 
 rj. The capital stock oftlie new (.'o!n]-..iny \\,is placed at i;7,000,or)0 sterling, ; the 
 
 r'ljiiu;!] eapit;il :.;£ 
 
 r i! 
 
 aip-.i 
 
 fiO Uiiiiiu"'. 'jciuL;'. iu tlji' 
 
 nvgate, alnmr £' r.iJO.;,UuU. 
 
(1) Till) Aii,<;lo iilMuit £irr2 per £100. 
 
 „ui,to,l t„ It » a 4„„„. |,_, .N„wf,„„„lla.i,l, .la-,, iiie,„|,o„tol i„ ia;-i4. 
 
 IS. Tl„. valm,. „f ,1,.. ;„»,.,» t„k,.„ l,v ,1,.- ,„■„■ 0„,„|..„v ,.t , £7,000.000 may 1... 
 »..f.-l.v estimatoJ at al,,„t /„,//■//,„/ „„„„„„. . , "". ma, 
 
 > ■ojt 'lln'"' ^',"'""'','':'- ."'■ ""■ ^'"""''"'•''■"' °f ""> Ana'o Com,,a,,v, and tl,e Franch 
 
 1„ ,"'■■'" '""•"■ '•»'"«'•'. -^l'- W,,v.l, tla,t Na,vfo„„,,la„,l\v„„ia U„ i,. 
 
 :, ° , ''""■• ',';""■""■'' '" " ""^ "■""™' "" ''-•• ^'•'* fo-l'"")- ™.lv, which „,„„ 
 
 V nit', " '"'"'"'■ "'""'''' '■'*'■"•»•■■«-..« «.^ proprietor, in the Nc.,v 
 tlrL May'T^rt """ ' ■'■'""' ' ''°""'"' "" '■""""*■''"'"■ ""■ ""■^ l""-"'"« «"■» 
 
 k-..o»f tiJ- ''! ■^':;'.'''''"'''7 "' "■" ""<' '•""■F.n.v .....st theref.,™ be taken to have fully 
 .he <„„g,a.,„at,„y a,lvanta«e» of aaa,!ga„,a,i„„, the right of that tV,l„„y to „c,,„i,,. 
 
 ;.t:,:::r i~i:;: ""■ ''- "" ' """■^-' ' "^ • "> "*-> ^/"- 
 
 l«. Farther, the French Company ,va, cstaUi.hd i„ mi,. This Coiapany h„l 
 .. . . «.Me het„.ee„ »re,t an,, the ,la,re, of the UniteU .States, toacHng at th Fre 
 
 1« tL F .■. r'r '" " ' "*■ ''• '"""""■• " '""' "'"»"'"' ™ --"-™ ■■%'" "<■ 
 Mr H.n ; ^T r'-.'^'" P'"-'«™- »"•' t'- <.-„n„«ny .as obligcl bv the Lio. 
 in Ji., ,1 ton ..„h, . n.tcl States Secretary of S,„te. to c„„c..,l„ recipro al righ.s ,„ 
 
 n. In .Maivli, 1873, tho position of tlie caMe 1 
 
 incs was tliis : — 
 
 cabl. of lbo8 hav„.g been acjun'od fron. tJ.e Atlantic T.-l.-grui.]. < •-"npany). 
 
 8t. IW ''"'' '" ''"'"'' '■"'"^"'"^■' """^'"^ ^'■•■^^ ^^^''' ^^- ^'-^^^ States, ./. 
 
 No^'i^oii-ri^ilf :;''''r' n""""' N.wfbuu.llan., .i.l. <'a.,o H,..,on, an.1 uniting in 
 Nov. hu>tu ..th tho lan.l hnos of the W-.tevn Union Telegraph (<on,panv. an An.Hean 
 
 ' 
 
 J ( 
 
 ... 
 
 '• 
 
 ,. 
 
r 
 
 .. 
 
 roviwation The.e sho.t ,.M.. I..,.,n,.a to th. N... V..,. < ■.,,,„,-. a.al un-o „s..,1 l.y 
 the Anglo Con,p.„y on pay.nont of o.rtuir. .sti,.ul.t..I ....t.-.s. " ^ 
 
 <-o.st!!^'v'''" rr^'V'' ''' ^"^''^ ^'-l-'v to ,„aintain thos,- short cal,!.. on tl. 
 liiiul toinpaiiy to occupy tliat .shore. 
 
 Tlie Sliuatum in Xin-a^ Scotia. 
 
 of a i,.„ul„s<., „l„d, „„ ,.„„m«to only fiuin tlu.t «„tl,„rity. 
 .1i,.i,!f; '"'" V "" T'",' '""' '''•"••■'""""'•"•' 0""l»'".v l™ "."T..rml.V|,,«ee,k,I „,,„„ ,!,„ 
 m„ f.., „ I,„ w„„.|, „, „„ „.„„„, „.,|,._^ it, j,„.i„|i,ti„,, „„ „,„ |„tl,of Mav IfW 
 
 d: r ;'„"^""f" '"■'- "-'" '"- '■''"■•"™ -^ '•■■■- "■"»■'■■'' '»■»■"!■ •- 
 
 ^..,cl,, 18,.,, a Ml, s«.-k,„g ,i,„ila,- rigl.t,,, ,v„s i,..,.o,l„oc.d into ,1„. 7.,...i»latm-o of \-..„ 
 Branswick, but the Ho„»e rf Aa.en,l,ly negative,! it, 
 
 .xcl„!i'v„ t -,"'''■' '*'"; "'" '■'■"'*'"■■'■ »'■ ^"^- Scotia pas.,,,1 „„ Act to oonfe,- the like 
 exdu^ve ,„v,leg« on tln» Con,|,an.v, but this Act wa« .lis,ll„wea by He. Majesty a, 
 
 01 160, tie .N„va Sc„t,a Legislature ,,as««l a secon.l Act in fav.,,- „f this Comoanv but 
 
 lowL '^""°\ f ""■'• '"''"'■'• »■■ '» 'I- Unite,! States ,!!,.«. This Act was also ,!!.,„;. 
 .8.*, (Nova Scofa Joun,als 1.S58, ai,,,e,u!ix 277,) states tbe „„ao„s fuv .lisallovanee 
 
 •fcLratT'''"t,^''''""°*"°''"'''"°''''''- '•■■"■'"'S™ '"»' '' »"-""" "» '1"0..,I 
 
 Ane ucspatcii i.s as follo^vs : 
 
 Sin, 
 
 " Dow.vixVG Stuket, 
 
 itS'<A Janwxry, 185S. 
 
 ^>7 the Lo^s an ri of ^Z7Z ■ T ^'"' "'1''"". ^^"-^"" <^«»-<'-''^tion an Act pass.d 
 
 purports to ^^ ^ew V. t' 'k ''. ""n''^ / ^^'"^^ ''^■^*' ^"^^^l^'' ^'- '^^L Act 
 
 sahjecttotherpoWnreJT ; " ""'' ^""''"" '^^'^^'-^'^l'^' ^'«"'P»"y 
 
 ment specified h.Ci^n^w"^ '^"f^?^ conditions and to the conchusion of the agre. - 
 
 of telegrapl.icc ...Sc/iof Jor' "'"-'r^'?*/" furnish the Provi.ice with the means 
 
 - this^.„,ject^1;::^:\;:^r^?'y-''^«^^^^^^ U.^ Depa^nen. 
 
 - reason to .odity the vie.s expressed in that d^s^:^, ^ Sr:^^^;:^^^::: 
 
6 
 
 Province, Intt of tl.o E„M^nV.. in'"n ' .1 ' i ' :' C ' "'" "'V'"' *'" '"*"-^'^^ "^ *•- 
 «i^nilar luivilc.g.s havn 1,1,., ,.H,r .L U '*'.'■/"">■ aware that it was ur-".! that 
 K-iwa.i rslaa.l, without I i.^e. ,^^ j-.-sa.un.s o Newfouu.Uan,! a-.f Pnuc 
 i'"I.li.-l sanction of the.s« Acts i ; -il ; f iT'", *'"' '''">' '""•^' '•"l''^' ^'""'t t'"" 
 magnitude of which has hc;^,^;;," i; :ii ;,,'"' J' /f-;^"'« t^' consi.lemtions. th- 
 them to a continnanc- in a cuurs. of uoii!^'^^-' fn '^ '^"'' •'•?':''>I'""'""t, does not bin.i 
 t-«raely injurions, an.! this I™ 1 th i it 'I e "l '"" ^'^*'^«";' -"-* ^'"* l-r-ve e.x 
 order for the disallowance of S Ac « 1 . .. ; T ?■' ""'"^''''''.^^'y concerned. An 
 
 ct. ui mis Act will accordingly be submitted to Her Majesty, «kc. 
 
 To Lt. -Governor 
 
 yir G. LkMarchakt, 
 
 •tc, (tc, Nova Scotia. 
 
 (Signed) H. LABOUCJHERK. 
 
 i-e 
 Y, 
 
 rej 
 
 iiifc 
 
 its 
 
 Un 
 
 Goi 
 
 "C 
 
 ■it 
 
 ..nttee of he Pnvy Council on Trade and Plantations, for their oi-inion whicli .as 
 conuuumcated to the Colonial Office in the following letter : 
 
 Office of Committee of Phivv Council for Trade. 
 
 S,n T 1 T 1 Whitehall, Jan. It 1S')S 
 
 exi>re;;;'^2 o;.i2, t;:: t ; int^^n^?:!?;'" ^'r^- '^^'"^ ^^^ ™^"^ ^-- — -- 
 
 lay wires in any of Ifer \f ie tv-f ' oSe, ^^'"'T'- '^.'^"'.l"'"^'-'^ "^ tJ>« ^-elusive right to 
 LordBareunalitodrnorr;n\L"^^^^^^^^^^^ T'^'"""'' *« ^'"Penal interests, my 
 
 •should be lost that m^y Zse^t it ,lf tr'h' ^^^^^^^^^ *« «"^'Sest that no opportunity 
 
 the monopoly of laying teo:r,,icw'^^^ Government of putting li end to 
 
 I.as been gra-nted to the New & X^ X.mlh 7!!; '"/^ 'f '% ''n-idencies, .hich 
 monopoly whicli appears to my lords V.:- ""'"? ^'^'''^''apt Company, a 
 
 than it is to them of this couniry' "'J "™^^« to the interests of the Colony 
 
 I have, ic, 
 H. Merivale, Es(|. JAMES BOOTH. 
 
 Ne „*; ,f H """* °" t ''°™ ^'^ ''"■ ""°""»S '-> '««' "« -We between 
 coa,t, fo, o„l,Ie „„,,„«,, became unlawful upon the dmllowance of the Nova Seotia Bil 
 ud ,vas .„ at the .i,„. of Confede-atio,,. An oeeupatio,, H„„ retained by the C " ! ' 
 o ,t, o,™ conveaienee, nn.l vithont the .„c,i„„ of an Aot, eannot be LTned . To f 
 valent to „ vested i„te,«., whiel, notwithstanding it, being to the public det, ,™t X 
 Parliament of Canada «ould be bound to respect. 'l«H„,ent, th. 
 
 25. An occupation of Xova .Scotia, if pcanittel to tl,o A,..lo Cmpanv coupled 
 di It "' ""'""'"'° '■'«'" "' '^'-f"-"--'. " f".-"- .'tte d. wi 
 
 We,t,,nUn,on Con.pany pos,,„,c., an e.vhn.ive contract will, the An.do Cunpanv it 
 -ta,n, a practical monopoly „f b„,ine. in the Jlaritinic Province. Unkmitriril 
 
 1 
 
 f» 
 
 ;. 
 
!!• tllilt til.' 
 
 si'cst of the 
 urj,'<'(l that 
 iiul I'liuc*' 
 >!y tliitt tho 
 Htions, the 
 's not bind 
 t prove t'\ 
 ined. An 
 [iijcsty, iic. 
 
 RE. 
 
 the'i 'orn 
 vliicli was 
 
 , rsss. 
 
 occasions 
 e right to 
 rests, my 
 portnnity 
 n end to 
 .'s, wliicli 
 nixuiy, a 
 le Colony 
 
 )OTH. 
 
 th Prince 
 between 
 1 of thj^t 
 otia Bill, 
 Company 
 1 as eqiii- 
 iient, the 
 
 coui)leJ 
 eil with 
 ag the 
 pany, it 
 in rates 
 
 
 
 J 
 
 Provmcc., ,. co„„-„ll„,l bj „ ,,„„.,, A.norioan Co,,.,rH,i„,, ,„ th. ,,„i,„|i„. „f i„ ,,„i„„^' 
 .tlttnV""'' "■ r ""■*■•■■' ''"'""' ""'"■' • ' ■'■•"■"I "■" ''"-'-1 
 
 West., „ I ,„„„ r..|,.g,.„|,h fomi«,u.v, f,o,u »l,ic 1 A„„.,.i.. i, «,.„(;«li„.- to .sca,,e. 
 
 The Siliitdiijii in Xeii/i.iiii(/lii>ul. 
 
 20. By Ac, „f Ne>vf„„,„tl„„l, ,; Vic, c. 2,(15,1, Ap-il, m4) Cv,„s Fi„l.l ,„„1 
 .i» .Npv 1 o,k .».s„c,,„e>,, were i„oo,-|«„„tecl „„.le,. tl,o „„„„. „f .. The N^.v Yc-k New 
 
 27. By «eo,io„ 1 , of ,l,i, Aet. ,ho C',„„ y „-„. ,„ e„j„y ,he e.vcl„sive riM.t of |hi, 
 
 ;"""='"■'«"" f- ■>•■'"' ' '■ i'-'y ■' «l- , ... theIA,,,l,,o,.„f,y ° f, „ 
 
 .i.e ,.,-,.».„« 0, he Ac., ,s,„;i..,., ,o |„.e.e,.„„i„,„, „,„, ,,„„l„,, „„„ ,,„,„, „„ „ , " l" '' 
 
 ,.erce,.,fo,.,0ye,,,,o.,i-5„,000„fB,,,,a,or,h.,C.,,,,, y. r-V^Xo,,, .SVo.vrr,::;: 
 
 ,.„,** ";■ "■'■""V '"■ ""■ ■'"■■'-■<"■ •"•y '""» "ft"' 5" >■•■«.-, Ibe right wa, given to t'.e 
 '. ven.„,e.,t to ,„„.cl,a» « the Telegraph U„e,. Wi,,., ,«,h,, A,,|L,„,, Ve»,l " 
 ..M.er property conoectecl the:e„,,h» at . v„h„„i.„, ,„ ,,e ,lete,„,i„el, hy a,.,,;,,,,,! 
 
 ?»• f J- """".o.- Aet of ,J,e Col„„y, 2„ Vic, oap. 1, ,;h,l Mareh, 18.'i7),theNew York 
 
 ^ewfou„da,„l„,„l London (•.,„„„.y ,„, „„,o,.i.ed to ,.e,.„.i, ,le A,l .., e TeTe», , h 
 
 Company (L„.„ted , to extend their S„h,„a,.ine Cable Line to the l,la„.,. B ZXn^ 
 p-e,. .s g,v,n ,„ the two Co,„,».„ies ,o eon,olid,„„ ; and „„der the provh^ons „f thL eo' 
 ..on, the new Anglo American Ccnpany w,« f„,.,„ed in M„y, IS73. 
 
 land *I,|" ,"".?'"' °'°"*;''S"' °'»°'°"'' "-■« '*'»"■«' f"". «"^i..e..t co.,n.,cl in Eng. 
 land, (one l,e„g the pi-cent Atto,-ney Gcne,-al, „„d the other the Ex-Attorney General) 
 ;.pon t .0 Hubjec. of the p„rcha,e, and.,,, principle for it, valnation. The,e opLon ^elf 
 at the tnne, publ,slu.d in the London Ne,v,paiHn-.,, and a,-e a., follow, :,- 
 
 «.e i'5S''„n;rir;'j™'™rt,'^r:TT'f ''""'■"""'""'' "^ »' -•' '■■"« »"» 
 telegraph lines Lnd pL^n/w trs;:t.:;si:::di,ri:xr^eh^a;.iX:;^ °' "" 
 
^ -' -«„*- 
 
 " In tlie evout of tlie Government exorcisiii" such rirrlita tvn n.vw.f . • • ^i i .. 
 
 »,„u,.t t„ b„ ,,.ia eo ti,, Company .ii, ,„ *i^Z":^;,^;^:^ JZl^l^ 
 
 " But the Co.iipany will not be entitlerl to receive anv sum for the v.lue ot it, 
 b~^nor any ooa.pensat.on for gooa-will, or in relation to the ^.t:.Z:^ o? th^ 
 
 ,„ "J'" *'''™P»nJ' M iiicorijoratcl ami ol.tains its Lower, im,lm- 17 v-. 
 rNonf„,„Klla,„l Act.) liy tl... Ittl, ,Seoli„„ tl« CWpiroIw,,, 1 ™lv I ,, '■ °°f 
 agau,»t other 0„„„,a„ie, a,„l i,„,ivi,l,„.,b. to e„ct an,/ S' t .^ ,, °, *" ^ithf f;,:.' 
 
 "Throughout the whole of the Act we ran fin.l „r.fl,;r, . i-i 
 
 " ^^^ would observe that when it was intended under the Endish Act ^31 an.l 1-' 
 \ic. cap 90) to give compensation for the future profits of the teleimnh n!: 
 purchased by the Government, the words were clear and e'vj.licit that 5() voaTn rd a 
 
 goodCif^r-^xrE^S: ^2:z^::^^ "^^t:-:^^? ^«-p^r *^'- 
 
 return for their outlay, which the English Coal^^Inies le^r hLl """ ''''''' ^" =' 
 
 " For the above reasons, we are of oi.inion that the New Vnvl- TSTowr^,,^ ii j i 
 London TeIo„,,,,h C„u,,.,n,y fa ontitlej ,„ no ,>aytX ;„,^;v« I, 7^^^^^^^ 
 
 "/1;?)7V /St." 
 
 (Signed,) "EI(;!HARD BACJG ALLAY. 
 "HENRY JAMES. 
 
 (t'oi'J.) 
 given by Mr^-^^^. tfH,^ ^;^ ^ ^1; ^^^^^ —^iJ^.^S S^' 
 
 the expiration of twenty years securod to it by tl/el on854 " on the .'rr''''" "' 
 Impress provision that all the rights of the Gi^.rnment u,Kt:^l^;:*^;::;: tTlZL Z 
 
 (Signed,) -KIOIIAKD BAGG ALLAY. 
 
 ''Ajml :.'mi;' 
 
ot its 
 
 foi- 
 
 9 
 
 "We Ijelieve the questions raised in tlie i'ase have been fully hrought before us. \V. 
 »ee iio reason to modify our foiiiier opinions in anyway. By section 4 of the Act of 
 1857 the I'ight of pre-emption is clearly reservtMJ. 
 
 (>Jigned) "KICHARD r.A(!(i ALLAY. 
 
 '•HEXRV JAiMKS. 
 *' LiKcoLv's Inn, May -Ud, 1S7.1" 
 
 «SI- These opinions have been reoently confirmed upon a refnence <>f the whole suli 
 Ject by Loivl Carnarvon, to the Law advisers of the Crown, and in his desjiatvh of the 1 7tli 
 Novembej', 1874, to the Governor of Newfoundland, the CVdonial Secretary states, " I am 
 "accordingly advised that the expressions 'other jn-operty,' and ' all other projnMty 
 " connected therewith,' used in the loth sec. of the Act of 1854, were intended to com 
 " prise merely property of the same nature as the property mentioned in the parts of the 
 '' section immediately preceding those ex])ression9, and thervfore that n])on j)aymeut t)f th*- 
 "amount awarded as the value of the Telegiajjh l^ines, Wires, A'c, under the ]trovisions 
 " of the above section, the undertaking of the Telegraph ('om)nuiy will beii)me vested in 
 " Her Majesty, and that the Telegraph Comi)any will not h>' obi,' to insist upon the arhi- 
 " trators, or umpire, awarding an amount n/ covrpeitsation /or tJie ijood will of the conrcrus 
 " or the loss of the monopoli/.'' (Se<i Despatch priut'sd In mi'ssfiif of Governor General to 
 House of Parliament, pages 14 and 15.) 
 
 33- The jiurchase then by Newfoundland involves only the value of tlifi land line 
 from Saint John's to Cape Ray,with Telegraphic appliances. The line from Saint John's 
 to Trepassey w«s never made, and the Atlantic Cables do not come within the terms of the 
 15th section iie Act of 1854, the permission to land them having been tirst granted l>y 
 the Act of 1857. 
 
 !KI- An estimate of the cost of constructing the j)roposed lines was submitted by tlir 
 piomotei-8 of the New York Comi>any to the Newfoundland Legislature, befoio tlii^> 
 passing of the Act ot 1854, and it confirms the construction placed by Counsel upon tin- 
 loth section. This estimate ajipe«i-s in the Journals, Assembly of Newfoundland, 185 I. 
 api)endix, p. 265, and is as follows : — 
 
 Cost cf land line, St. John's and Cape Ray £5G,59(5 
 
 " " Trepassey, completed 75 
 miles 7,500 
 
 Total cost of land lines XC4,0l1(i 
 
 Cost of cable to connect Newfoundland and i'rijice Edwai'd'.i 
 
 Island, 150 miles ^37,500 
 
 Cost of Attendant Expenses 2,500 
 
 ". Steam Yacht " Victoria " 5,000 
 
 " Running Expenses, 6 months 1,500 
 
 £110,5i)6 
 " 25 per cent for Contingencies 27,649 
 
 £138,245 Bl'.Mlin- 
 
10 
 
 't4. llic cal)le to Prince Edward TsImuI -Wits . never laid, and that to Cape Breton 
 dub« not come within any of tlie sulijocts of pureJiase tontemj)hited by the Act ; so that 
 
 liaving rvgiu<l to the orig-hisil ohtimate of tijt c-ost of cuiuitruction, the val vie to be paid 
 
 h\ New fmmdbnd foi' the af[insitiou of this Telegraphic pi-operty should not exceed 
 
 X 1 00,000 st«>Hin<^. 
 
 3t>. On eH'tx-fciiig thi« purchase, Xewfoundlaud 'vouKl become the owner of an 
 iiilomial jxjrtiou of the mbje sy.stem, ami i-epOHsesa itself of authority to extend to any 
 'iVief,n},ph Company the right to laud on its coast. Jit coidd retain tliis line <is a ct>n«ect- 
 iug link for ail cable iinen, or sell again to the Anglo (."ompany, or any other Company. 
 
 Conclusions. 
 
 IHl. Fl follows from the itbove statements : 
 
 (1.) That tlie monojwly right in Newfoundland, which the Angio-Amencau 
 Company comiilaius will bo practically lost T)y the oj^ration of the 
 present Bill, ixwseaKes no money value, if that Government eanries olit its 
 policy of pnroliase. 
 
 (2.) That at the time of consolidation, that ComjJrtny was fully aware, from 
 the legal opinions quoted, that the Newfoundland Governnxeiit could 
 terminate the niono[K>ly after April, 1874, on payment of the value 
 only of the Telogi-aph lines and ai)|fliances conbtructed by the New 
 York Company, und^r the Act of 1854, and the Company had been 
 ofUcially infonneil, through Mi-. Field, by that (lovevimient, that it was 
 its intention to exei-cise the right of piu-chase unless the nionopoly 
 was itjliuquirthed. 
 
 (o.) That as a proxislon against this, and as one of the express stipulations of 
 the amalgamation, in May, 1^73, the Anglo Company retained 
 .£' 13.") ,000 of the amoutit payable to the proprietors of the New York 
 Com])any, as an inileuu\ity itgainst the probiUe determination of any 
 moiioiK)ly right of that Company, and that the Anglo (;!omi)any must be 
 taken to have thus fully protected themselves against the results of pre- 
 emption or of the pMKsing of the present Bill. 
 
 (t.) 'I'hat at the time of the amalgamation the New York Company knew it 
 svas an intrudei' in NoAn Si-otia, and occupied its coast for telegraphic 
 purposes without any colour of right, or lawftd authority, and if any 
 (MKpiiry were made by the pei-sons concerned in the consolidation of the 
 iveral Companies, they nuist have known this to have been the true 
 [Ksitionof the New York C()m])any. and that its att<'mpt to acfpiiro 
 a monopoly in Nova Scotia hud beon cmidiiitically negatived by the 
 Imperial Covernmcnt. 
 
n 
 
 (^o.) That if the i)roprietor8_in the amalgamated Companies were misled, or 
 omitted to be informed upon these material points, they have no 
 <Mui to be recouped by the continuance of a monopoly which is a 
 Inirdensome tax upon die oouimei-cial intercourse of the world ; and as 
 ordinary purchasers they must remain content with their property just 
 ;i8 they pui-ehased it They are in no sense pioneers who are now 
 entitled to some recompense ag a comiiensation for alleged losses in 
 earlier stniggles. lu fact these losses were sustained only by the Atlantic 
 Telegraph Company, and tlie Anglo Company, in acquiring its rights and 
 property, reaped the advantages of its misfortunes. The New York Co., 
 while still retaining mineral lands, valued by the proprietors at sereral 
 millions of pounds sterling, realized by the amalgamation more than 
 eight times their estimated expenditure upon construction ; and the large 
 premiums at the same time received by the shareholders of the Anglo 
 and French Companies woi« more than an adequate compensation for 
 their original investments. 
 
 (*].) That it is a matter of surprise, in view of all the circumstances, that the 
 Anglo Company should not ^have accepted the off'er of New- 
 foundland and relinquished its exclusive privileges in that Island, 
 thus retaining the ownership of its cable system in its integrity, 
 and obtaining under the provisions of this Bill the right to the 
 full exercise of its franchises in Nova Scotia ; the present prosperity 
 of the Company, from its large volume of business, showing an annual 
 income of about £750,U0O sterling, cannot be seriously affected by the 
 ■competition of other Com})aiiies. That this will subject its rates to a whole- 
 some control, is now made apparent by the recently proposed reductioii 
 of 5U per cent, hi consequence only of the introduction of tliis Bill. 
 On this pressure being removed the old rates would revi\-e. 
 
 ((7.) That the j.>olicy of the Bill cannot be impugned ; it has been shown to 
 affect no vested rights, or interests, of any private company or individual ; 
 it is in accordance with all luqjerial and Canadian Legislation, and is car- 
 rying into eti'ect principles repeatedly laid down for the guidance of Co- 
 lonial Legislatiires by Imix?rial atithority, and recently again enunciiited 
 by tl'e present Secretary of State for the Colonies. 
 
 (K.) That the recognition of the right of the Anglo Company to retain it;* 
 intru'iive occupation on its own teims in Nova Scotia, not only sustains 
 the monopoly in Newfoundland, but practicjvll}' extends it to the shor^H 
 of the Dominion, in direct defiance of the spirit of Inq)erial Policy, iind 
 furthermore would enable it to evade the principle laid down by tlie 
 
12 
 
 United States, under which tlie Anglo Comjiany it prohil.iird fVon, 
 hinding any Cablo on its coast, unless it sliould concede lecipro,;,! 
 l)rivileges in NeA\-foundhind. The con\uieivial world reriuires, and it caii 
 without unfairness or injustice to any one, ask the Canadian t'arliuiunit 
 to pass this Bill. 
 
 LAUKEN(JE OLIPHANT. 
 
 For the Direct United folates Cable Company ( f/nuitnl ), 
 Ottawa, February 23, 1875. 
 
 C. W. MITCHELL, PRINTER, ELGIN .STREET, OTTAWA.