Minister O’Brien to the Secretary of State
Copenhagen, August 11, 1905.
Sir: Referring to your despatch of the 19th ultimo, numbered 5 and marked confidential, I have to advise that I had a further conference with Count Raben-Levetzau, Foreign Minister on the third instant, but have delayed my despatch pending the ascertainment of certain facts which it seems to me in this connection may have an important bearing.
I called Count Raben’s attention to our former reference to the subject of the Danish Islands and said in substance that I was not advised as to the temper of my Government in respect to a cession of the islands, but that if the Danish Government now desired to renew the negotiations I would be most willing to make it known to you. He replied that while his own views had not changed, he did not believe the time opportune to bring forward the subject—that it [Page 548] worthy purpose, but I may venture to suggest that in case an opportunity presents itself to reopen the subject, a certain degree of promptness upon our part would be wise. There is a phase of the subject, however, which may be considered as disquieting.
In the harbor of St. Thomas lies Water Island—a parcel of land about one mile by two in area. It is said that this island forms no part of the Government possession and was purchased within the past few months from private owership, by the West India Company. This company was organized here for the West India trade, primarily, to and from the Danish Islands, and now has three steam vessels of five thousand tons each in this service. The company found that the Hamburg American Company already had such a footing at St. Thomas that it was compelled to forego certain activities for business, and I am now assured that quite recently the two companies had become consolidated.
The fact that the West India Company had thus far been doing business at a loss lends colour to the rumor. Each company has owned its separate dock and up to this time it is said, no special use has been made of Water Island above referred to. Whether the island passed by the consolidation I have not yet been able to learn. The Hamburg American Company, I am told, has the favor of the German Emperor and it is said that Mr. Ballin, the President of the corporation, enjoys in an especial degree the Emperor’s personal friendship.
I am also informed that on the occasion of the German Emperor’s late visit here he sent for and conversed for some time with Mr. Andersen of this city, one of the managers of the West India Company. Possibly the representative of our Government at St. Thomas can furnish from the records or otherwise more exact information. Permit me to observe that if my information above outlined is in the main correct, the vested interests of so powerful a factor as the Hamburg American Company may prove an obstacle to the successful acquisition of these islands by our Government.
I have [etc.]