Hon. William H. Seward, Secretary of State, Washington, D. C.
A 2.
Agreement for the sale of the remainder in the
Panama railroad.
An agreement entered into this February 6, 1866, between his
excellency Don Tomas Cipriano De Mosquera, Great General of
Colombia, envoy extraordinary and minister plenipotentiary of the
United States of Colombia near the court of St. James, denominated
in this
[Page 556]
writing with the
title of his excellency, of the one part; and William Henry
Cotterill, gentleman, of Throgmorton street, London, of the other
part: For that whereas the said William Henry Cotterill, in the name
of his principals, has proposed to his excellency to buy, on the
terms and under the conditions hereinafter set forth, the remainder
of said United States of Colombia in the Panama railroad reserved to
them by the contract with said railroad company for the construction
of a railroad across the isthmus of Panama, and the first term of
which will expire in 1875, when by the terms of said contract said
States will have a right to said railroad and its appurtenances on
the payment to said company of five millions of dollars; and whereas
his excellency has agreed to accept said offer, subject to its
ratification by the government and legislature of said United States
of Colombia, the parties have therefore agreed on the following:
1. The said William Henry Cotterill, in the name of his principals,
agrees to buy, and his excellency, in the name of the United States
of Colombia, agrees to sell and transfer to the said William Henry
Cotterill, or his assigns, the rights which said States have or may
have under said contract for the sum of £2,000,000, to be paid and
applied as follows: the sum of £200,000 to be paid to such person as
the government shall name for the purpose, within three months after
the approval and ratification of this contract by the government and
legislature of said States, and the notification thereof to the said
William Henry Cotterill in this country. The sum of £800,000 shall
be paid to the said government of such person as it may name to
receive the same in this country, and to be patd at any time within
six months next preceding the expiration of said first term, in
1875. And there mainder of a million of pounds sterling shall be
paid by the said William Henry Cotterill, or his assigns, to the
said railroad company in satisfaction of the sum stipulated by said
contract to be paid at the expiration of the said first term for the
railroad and all its appurtenances.
2. His excellency hereby binds himself to assign and transfer to the
said William Henry Cotterill and his assigns, as part and parcel of
this contract, all the rights, privileges, benefits, and advantages
which the said States possess or are entitled to in virtue of said
contract, and to permit the said William Henry Cotterill and his
assigns to exercise them, and the said State and government hereby
bind themselves to make effective to the said William Henry
Cotterill and his assigns, whenever they may require it, all the
rights, privileges, benefits, and actions which the said government
and States may be entitled to against said company under said
contract.
3. His excellency, as part and parcel of this contract, binds himself
that said contract shall be extended in favor of said William Henry
Cotterill and his assigns for the period of seventy years after the
expiration of its last term, which will expire in the year 1904.
4. It is expressly understood, nevertheless, that in all cases, the
right, power, and privilege, without restriction, to transmit and
carry mails of all kinds across the said isthmus of Panama by said
railroad, this right being reserved to said States and their
government unconditionally, by the said government paying for the
transit of said mails one-third of what it may receive for said
transit.
5. It is expressly understood and hereby declared that this agreement
is subject to the condition of being confirmed by the said William
Henry Cotterill and his principals, after they shall be notified of
its ratification by the government and legislature of the said
States.
In testimony whereof, the said parties to the agreement have signed
the same the day and year above written.
Signed by the said William H. Cotterill, before Edward W. Gallagher,
of 32 Throgmorton street, London, employé of Messrs. Cotterill &
Son.
W. H. COTTERILL.
Bogota, May 22, 1866.
A copy:
PROSPERO PEREIRA GAMBA, Secretary of
Hacienda and Fomento.
