No. 206.
Mr. Francis to Mr. Fish.
Athens, September 14, 1872. (Received October 7.)
Sir: The Greek cabinet, as now constituted, is as follows:
- Prime minister, minister of the interior, and minister of justice. Mr. B. Delegeorges.
- Minister, of foreign affairs, Mr. Spiliotaka.
- Minister of finance, Mr. Christidi.
- Minister of war, Mr. Grivas.
- Minister of the navy, Mr. Drosse.
- Minister of religion and instruction, Mr. Mavrocordata.
This ministry now seems to enjoy the popular confidence. Mr. Delegeorges has the reputation of being an upright man and a progressive statesman. His colleagues are capable officials who have had large experience in public affairs. The prime minister tells me that he has one great difficulty before him, the Sarium mine question. If that can be overcome and a satisfactory settlement arrived at, he believes he will have fair sailing. That question is simply this: There are large deposits of earth at Sarium containing particles of lead and silver. Under their contract with the Greek government, the French and Italian company Insist that they have the right to take this earth and work it [Page 255] with the scoria of the old mine. The government insists that the company are entitled only to the scoria, the refuse which the ancients left after extracting as much of the metals as they could by the imperfect appliances of their day. Modern science is now enabled to obtain additional treasure from this scoria. The government has placed a force of soldiers on the ground to prevent the company taking any of the treasure-earth. The company appeal to the French and Italian governments, to secure what they claim to be their right to take this earth. The Greek government objects to the interference of these foreign powers in the matter. It contends that the question is not an international one $ that it is clearly a case to be tried before the Greek judicial tribunals. The Italian and French ministers, Messrs. Meliorata and Jules Ferry, have had this matter in hand the past two months. Mr. Meliorata has, it is understood, insisted that the question must be submitted to foreign arbitration, as originally recommended by the Italian and French governments, which recommendation the Greek government rejected. It is stated that Mr. Ferry is not clear that the question is properly an international one. It is intimated by the press here that his judgment inclines to the approval of the position assumed by the Greek government, that it is a case for the Greek courts, and not, at least in its present stage, a proper subject for diplomatic action. And here the matter rests at present. There is great uneasiness in the public mind concerning it. The company refuse to pay the heavy taxes that have been imposed upon them (being now 4,000,000 drachmas in arrears) on the ground that they are inequitable; that they are out of all proportion to taxes levied upon other interests, and that they amount to a confiscation of full 20 per cent, of the earnings of the company. The Interests Involved in the question are large in a pecuniary point of view) but the Greek government assumes that the demand of the company for foreign arbitration, if submitted to, would involve national dishonor and humiliation. The late ministry attempted a solution of the question by proposing a purchase of the company’s interest in the mines, for 16,000,000 drachmas, waiving, at the same time, the four million of taxes claimed to be due, making an aggregate of 20,000,000 drachmas. This could not be carried, and for that reason Mr. Bulgaris and his associates resigned. Mr. Delegeorges, who had very earnestly opposed this proposition and insisted that the question between the government and the company should go before the Greek courts without foreign interference, now has the case to deal with, and he admits that it is the great and dangerous difficulty that confronts him.
I am, &c,