CHAPTER IX.

The relations between legislative and judicial authority give rise to comments which cannot be considered groundless.... It has been called scandalous that the Chief Justice of the High Court should have been deposed. But, in 1839, President Johnson, of the United States, met the difficulty by making a majority of nine in the High Court, thus assuring to himself a compliant majority.

The relations between legislative and judicial authority give rise to comments which cannot be considered groundless.... It has been called scandalous that the Chief Justice of the High Court should have been deposed. But, in 1839, President Johnson, of the United States, met the difficulty by making a majority of nine in the High Court, thus assuring to himself a compliant majority.

There is a mis-print in the Article in theRevue de Deux Mondes. The date should be 1869 not 1839; and truly Dr. Kuyper has lighted upon a good example in his selection of President Johnson; the only President of the United States who has been impeached!

I know that sort of argument generally employed by people who are in the wrong and especially employed by people whom Dr. Kuyper can scarcely bring forward as models. "All very well, but what of that little slip of yours." ... Dr. Kuyper might as reasonably invokela loi de dessaisissementvoted by the French Chamber last year. Our answer to him is thatthe violation of the most elementary principles of justice in one country, does not justify it in another. He proceeds:

"The Boer Government is said to be an oligarchy. And yet every citizen has his vote—Throughout the land there are juries...."

"The Boer Government is said to be an oligarchy. And yet every citizen has his vote—Throughout the land there are juries...."

Really Dr. Kuyper affects too greatnaïveté. The Boers may have created a democracy among themselves; with regard to natives and Uitlanders they are an oligarchy.

"Every citizen has his vote": But Mr. Krüger's argument for refusing the franchise to Uitlanders is that they numbered 70,000, while the Burghers were only 30,000. Here we have a minority governing the majority; what else is an oligarchy?

"Throughout the land there are juries"; yes, but juries made up of Boers who try Uitlanders, treat them as enemies, and find that the policeman Jones acted rightly in killing Edgar. That way of constituting a jury is a certainty of injustice to the Uitlanders, and not a guarantee of justice.

President Krüger promised to do something for the municipal organisation of Johannesburg; this is how he keeps his promise. Each division of that town elects two members, a Burgher and an Uitlander; according to the last census, the burghers living in Johannesburg, numbered 1,039; the Uitlanders 23,503; thus 1,039 burghers had as many representatives in the municipal Corporation as the 23,503 Uitlanders. The Mayor, who was nominated by the Government, had the right of absolute veto.

In modern law there exists a principle introduced byEngland, which is the true basis of representative Government: "no representation, no taxation." It is the right of every citizen who contributes to the taxes to approve of them and to control the use of them.

In autocratic governments, he has no such right. In oligarchic governments, the governing class imposes burdens upon those it governs. This is the case in the Transvaal.

In an oligarchy, taxes are not levied with a view to the general good of the community, but for the benefit of the ruling class; and this is the political conception of the Boers.

Dr. Kuyper says, in speaking of the Uitlanders:

"No one invited them here; they came of their own accord."

"No one invited them here; they came of their own accord."

Therefore they possess the right to be taxed, but nothing else.

Dr. Kuyper's assertion is not strictly correct; for he forgets the invitation addressed by Mr. Krüger, in London in 1884, to all who were willing to take their abilities and their capital to the Transvaal, in which he promised them rights of citizenship and assured them of his protection.

But the matter of invitation is of little account. Let us allow that there was no invitation. Neither did Fra Diavolo invite the travellers he despoiled;ergo., according to Dr. Kuyper, he had the right to despoil them. The Uitlanders are travellers, at whose expense the government of Pretoria has the right to live, and to support the Boers.

Such is plainly the idea of Mr. Krüger and of themajority of the 29 members of the Volksraad, and we shall see that that idea underlies the whole of its political economy.

Mr. Krüger was, however, in error in supposing that he could practise this system indefinitely in these times of ours, and with respect to the citizens of a country which represents the modern conception of industrial civilization.

Professor Bryce, a strong opponent of the present policy of England, says in hisImpressions of South Africa(p. 470):

"A country must after all take its character from the large majority of its inhabitants, especially when those who form that majority are the wealthiest, most educated, and most enterprising part of the population."

"A country must after all take its character from the large majority of its inhabitants, especially when those who form that majority are the wealthiest, most educated, and most enterprising part of the population."

Mr. Krüger has aimed at realizing this paradox: the oppression and plunder of the most enterprising, most educated, the richest and most numerous portion of the population by the poorest, most ignorant, most indolent of minorities.

Let us see in what terms Dr. Kuyper justifies the Boer policy of exaction:

"The Leonards and their set are very ready to tell us that the taxes in Johannesburg exceed in proportion those levied in every other country.... As to the quota paid by Uitlanders to the State, we beg leave to remind the British of two points: first, that they are exempt from all military service; secondly, that it is a far more serious matter for the Boers to pay with their lives, and the lives of their sons, than it is for these wealthy owners of gold mines to pay so much per cent. upon their enormous dividends; and that if they do pay the Transvaal some thousands of pounds, they pocket their millions. Moreover, love for the Transvaal has never entered their metallised hearts."

"The Leonards and their set are very ready to tell us that the taxes in Johannesburg exceed in proportion those levied in every other country.... As to the quota paid by Uitlanders to the State, we beg leave to remind the British of two points: first, that they are exempt from all military service; secondly, that it is a far more serious matter for the Boers to pay with their lives, and the lives of their sons, than it is for these wealthy owners of gold mines to pay so much per cent. upon their enormous dividends; and that if they do pay the Transvaal some thousands of pounds, they pocket their millions. Moreover, love for the Transvaal has never entered their metallised hearts."

This little gem merits careful analysis. Mr. Kuyper shares the belief that one has only to go to Johannesburg to shovel in the gold. If the working of mines were so simple a matter, Boer intelligence would be equal to the undertaking. As they are not worked by them, it must be because there are difficulties. These difficulties have been overcome for them by the Uitlanders.Once overcome, the Boers present themselves and say: "That gold is mine!"

"Why then did you not take it yourselves?"

The Boers, who pride themselves upon driving their teams of oxen, but who consider that to in-span them is work only fit for Kaffirs, consider gold mining beneath them, let alone that they have not the capacity for it. They leave it to the Uitlanders: all the same, Dr. Kuyper holds it just that it is they who should take the profit.

Gold ore is found in infinitesimal quantities in large deposits of waste matter. In 1898 of the 77 Gold Mining Companies at work, three-fourths reported a yield of 1/2 oz. per ton; some only 6 to 7 dwts. per ton. Consequently we find mines worked where one ton of rock will yield 1/2 oz. of ore, or perhaps only half as much. There are other mines which swallow up the capital, and give no return at all.

In 1892 gold producing in the Transvaal cost 35s. 6d. per ton; in 1897 the cost was reduced to 28s. 6d.; in 1898 to 27s. 6d. This reduction of cost is in no way due to any reforms made by the Government, but to improvements in the methods employed, and especially to the more extensive use of compressed air drills.

Out of 8,965,960 tons of ore raised in the Witwatersrand nearly 18.2 per cent. had to be thrown out; that is: about 1,634,500 tons of ore were rejected as sterile. In some cases the proportion of sterile ore has amountedto as much as 40 per cent. The cost of production from the deep levels is 34s. 6d. Out of the profits of each month, expenses and the cost of working material have to be met. (Speech of Mr. Rouliot, President ofThe Chamber of Mines, January 26th, 1899.)[13]

Mr. J.H. Curle in his valuable workThe Gold Mines of the World, published in 1899, estimated the debts of the Rand Companies at £5,515,000. "It is not unusual," he writes, "for the directors of a deep level mine to spend £500,000 before one single ton has been crushed."

According to the report of the Industrial Commission appointed to inquire into the mining industry, there were, in 1896, 183 gold mines in the Transvaal. Of these 79 had been gold-producing, while 104, still in process of development, had as yet produced nothing. Of the 183 only 25 had paid dividends.

In 1898, a year of great progress, of the 156 mines situated in the Rand, 40 only were paying dividends, representing, on an average, a return of 8.7 per cent.

In reality, a gold mine is as entirely an industrial undertaking, as is any other form of commerce; for its proper development it requires men of the highest capacity, not a mere set of adventurers, as Dr. Kuyper and other Pro-Boers tell the simpletons who judge without examining facts. This is what is said on the subject by Mr. Curle, who saw the mines at work during his extended and conscientious enquiry:

"The average mine manager, whether in South Africa, or India, or Australia, or wherever I have met him, is an extremely capable man. Of course, there are exceptions—some managers are not capable; some are not even honest, but, as a rule, those in actual charge of our gold mines to-day are men who can be relied on, but I do not wish to confine my praise to the managers only. The mine captain, whose valuable qualities are known more to the manager than to outsiders, is usually a most capable man, and devoted to his work. Many and many a time, after his hard day's work should have been over, has a mine captain cheerfully started off with me on a three or four hours inspection of his workings, only too delighted to oblige, and asking merely that his visitor should show an intelligent interest in what he saw. To these men, and to the other heads of departments, to battery managers, cyanide works managers, assayers, samplers, surveyors, office staff; the shareholders in every mine owe a debt which they do not realise and which is often inadequately acknowledged. Amongst these men—I could give hundreds of examples—there is the greatest sense of duty to their employers, and from one year's end to another, by day and night, in the bush, on mountain tops, in fever swamps, in wild and deep places all over the world, they faithfully carry through their arduous work."

"The average mine manager, whether in South Africa, or India, or Australia, or wherever I have met him, is an extremely capable man. Of course, there are exceptions—some managers are not capable; some are not even honest, but, as a rule, those in actual charge of our gold mines to-day are men who can be relied on, but I do not wish to confine my praise to the managers only. The mine captain, whose valuable qualities are known more to the manager than to outsiders, is usually a most capable man, and devoted to his work. Many and many a time, after his hard day's work should have been over, has a mine captain cheerfully started off with me on a three or four hours inspection of his workings, only too delighted to oblige, and asking merely that his visitor should show an intelligent interest in what he saw. To these men, and to the other heads of departments, to battery managers, cyanide works managers, assayers, samplers, surveyors, office staff; the shareholders in every mine owe a debt which they do not realise and which is often inadequately acknowledged. Amongst these men—I could give hundreds of examples—there is the greatest sense of duty to their employers, and from one year's end to another, by day and night, in the bush, on mountain tops, in fever swamps, in wild and deep places all over the world, they faithfully carry through their arduous work."

Such is the type of Uitlander the gold mines have attracted; add to them, mechanics and the most highly skilled artisans: for it is to the interest of the mines which pay high salaries to employ the most skilled labour.

A population such as this, has nothing in common with the adventurers who rushed to the placers of California, or with the fancy picture of the "wealthy metal-hearted mine owners," presented to us by Dr. Kuyper.

Dr. Kuyper speaks of "the vultures" who come to rob the country of its gold; we would point out to him that before gold can be extracted from the rock, a vast amount must be sunk in it. We have just seen that the cost of production often exceeds the profits.

Dr. Kuyper, in his childish innocence, imagines that "the vultures" carry off the gold as soon as it is extracted.

Had he taken the trouble to ascertain the facts, he would have seen that the greater part of this gold remains in the Transvaal, and either goes to the Government, or to defray the cost of production.

I borrow the following figures from the supplement toThe Criticof July 8th, 1899.

Let us take the last five years:—

Gross Profits.Dividend toShareholders.Paid to BoerGovernment.1894£7,930,481£1,595,963£2,247,72818958,768,9422,329,9412,923,64818968,742,8111,918,6313,912,095189711,514,0162,923,5743,956,402189815,942,5734,999,4893,329,958———————————————£52,898,823£13,767,598£16,370,387

Thus upon £52,898,823 worth of gold produced between the years 1894 and 1898 only 25 per cent. ofthis amount went to the shareholders, 30 per cent. was paid to the Transvaal Government, while the cost of production absorbed 45 per cent. The two last figures show that about 75 per cent., that is to say, three-quarters of the entire production remained in the Transvaal; and we have only taken the average of the last few years, during which the cost of production has been reduced to a minimum, thanks to the perfecting of the methods of working.

Let us add that while according to the above table in 1898 the estimate of the revenue was £3,329,000, the expenditure rose to £3,476,000. In 1899, the estimate of the revenue was £4,087,000.

From 1894-97 the amount paid directly into the Transvaal Exchequer had exceeded the shareholders' dividends; and when the reverse happened in 1898, the Government of Pretoria determined to put that matter right.

Dr. Kuyper also complained that the entire cost of production was not absorbed by the Transvaal. In his statement of January 26th 1899, Mr. Rouliot proved that the greater portion was in point of fact expended there. He gave the following figures concerning the expenditure of fifty-six companies in 1898.

The mines had only imported direct to the amount of £369,000, paid for machinery, which could only be constructed in Europe, and for Cyanide, to avoid having to buy the latter from a local trust, which raised the price 100 per cent.

Through local firms they had imported machinery andcertain products to the amount of £324,438. From local merchants they had bought machinery, &c., to the amount of £2,487,660. They had paid £767,600 to the Dynamite Monopoly. They had distributed £3,329,000 in salaries to their employés, native or European. If we take it that the expenditure of the sixty other Mining Companies, gold or coal, in the vicinity of Johannesburg, was similar to the above, we have a total of something like nine million pounds sterling put in circulation,pluspurchases of dynamite,plusmerchandise bought through the medium of local tradespeople. Thus we see that the bulk of the cost of production actually remained in the Transvaal.

Before Dr. Kuyper's "vultures" came to despoil it, the Transvaal was in a very shaky condition. It was heavily in debt and the Exchequer was empty; the Boer having always had a horror of paying his taxes. In 1884 when Messrs. Krüger and Smits came to London to sign the famous Convention, and stayed at the Albemarle Hotel, they found themselves, after the first few weeks unable to pay their bill, and Baron Grant had to come to their assistance. Now the "vultures" have been pouring some millions annually into the coffers of the Transvaal; a certain proportion of which has stuck to the fingers of Mr. Krüger, his family and intimates. The "vultures" have brought riches, industry, and civilisation into a wild and uncivilised country. The simile of the bird of prey is more applicable to the Boer than to the Uitlander.

Like every true aristocrat, the Boer has always had a horror of paying taxes; he only approves of taxes paid by others.

At the time of the annexation of the Transvaal by England in 1877, the Government was being crushed by debt, the burghers resolutely refusing to pay their taxes.

Some order was brought into the finances by England; but the Boer revolt in December, 1880, was caused by the determination of Colonel Owen Lanyon, the English Resident, to seize the bullocks and wagons of recalcitrant tax-payers.

The Transvaal Government obtained the Convention of 1881. In 1883, the budget showed £143,000 revenue, and £184,000 expenditure. From April 1st, 1884, to March 31st, 1885, the revenue rose to £161,000, the expenditure remained at £184,000.

In 1886, the gold mines were discovered, and in 1889, the revenue rose to £1,577,000. The crisis of 1890 caused it to drop below the million; in 1892 it rose again, reaching in:—

1894£2,247,72818952,923,64818963,912,09518973,956,40218983,329,958

In 1899, it was estimated at £4,087,000. These figures do not include the sale of explosives from 1895 to 1898; the share of licences of claims from 1895 to 1899; nor the Delagoa Bay customs dues paid to the Netherlands Railway for 1898 and 1899.

According to theStaats Almanak, the white population numbers 300,000, of whom 175,000 are males. The number of burghers aged between sixteen and sixty, entitled to vote, is 29,447; that of Uitlanders, between the same ages, 81,000.

These 30,000 Boers who represent the electoral portion of the community, do not pay one-tenth of the revenue of the state. They represent, however, a budget of over four millions of pounds; or, £133 per head. If our 10,800,000 electors in France had a proportionate budget at their disposal, it would amount annually to £1,436,400,000; or considerably more than our whole National Debt.

The burghers are thus fund-holders in receipt, per head, of a yearly income of £133 from the Uitlanders. Never has there been an oligarchy so favoured. It is true that all do not profit in the same proportion. "The Transvaal Republic" says a Dutchman, Mr. C. Hutten, "is administered in the interests of a clique of some three dozen families."[15]

The salaries of the Transvaal officials amounted, in1886, to £51,831; in 1898, to £1,080,382; and in 1899, they were estimated at £1,216,394. Salaries amounting to £1,216,394 for 30,000 electors! Such are the figures of the Transvaal Budget.

Here we find undoubtedly a great superiority over other countries; and the officials in receipt of such salaries would look down with profoundest contempt on the much more modest pay of their European colleagues if they knew anything about them. Each elector represents more than £40 of official salaries. At the same rate the pay of the French Government officials would amount annually to about four hundred and thirty-two millions pounds sterling (£432,000,000)! This is not all. In 1897, a member of the Volksraad asked what had become of some £2,400,000 which had been paid over to Transvaal officials, in the form of advances of salary. He received no reply.

In a pamphlet, by M. Edouard Naville,La Question du Transvaal, and also in theRevue Sud-Africaineof October 22nd, 1899, we find a list showing the expenditure of the Pretoria Government, from which may be gathered the extraordinarily rapid rate of increase: In the fourteen years—1886-99—the budget expenditure amounted to £37,031,000, of which nine-tenths have been defrayed by the gold industry. From information supplied by the Government of Pretoria itself, we find that five sources have absorbed more than half:—

Salaries, &c.£7,003,898Military expenditure2,236,942Special expenditure2,287,559Sundry services1,581,042Public works5,809,996—————£18,919,437—————Leaving a surplus of£18,111,601

Under the headings of "special," and "sundry services," are concealed the secret service expenditure, remuneration to influential electors, and the various political expedients by which Mr. Krüger has proved "his intellectual and moral" superiority.

The official salaries of 1899, estimated at £1,216,000, included a sum of £326,640 for the police. We have seen what kind of police it is.

The legislature is composed of two Volksraads, each consisting of twenty-nine members; or fifty-eight in all. Now the estimate of salaries for the legislature is £43,960, or about £758 each, more than double the allowances of the French senators and deputies.

It is somewhat imprudent of Dr. Kuyper to refer to the educational expenditure. The expenditure amount allocated for the education of the children of Uitlanders in 1896, was £650, or at the rate 1s. 10d. per head, while the gross estimate for education in the budget for that year amounted to £63,000, which works thus out at a cost of £8 6s. 1d. per head for the Boer children. Dr. Mansveldt, Head of the Education Department of the Transvaal, a Hollander, seems to have but one aim:to enforce the use of thetaal, the Boer patois—a language spoken by no one else—the use of which keeps them in isolated ignorance. The English language is banned.

This revenue, employed almost exclusively for the benefit of the Boers, did not suffice for the insatiable government in Pretoria. At a meeting of the Chamber of Mines, on November 21st, 1898, Mr. Rouliot summarized a statement by Mr. Krüger in the Raad, as follows:—

"But recently, Mr. Krüger had said he would give the mines the chance of establishing themselves before a percentage should be imposed upon their returns; and that no tax would be levied till the diggings had been completed, and the machinery set up. It appeared to him, however, that the government intended to appropriate some of their profits, although it had given no facilities for the preparatory works on the mines, during which it should be remembered that their capital had been burdened by exceptionally heavy indirect taxation. The moment that capital began to be productive, it was to be taxed." (Blue Book, No. 9345, p. 48.)

"But recently, Mr. Krüger had said he would give the mines the chance of establishing themselves before a percentage should be imposed upon their returns; and that no tax would be levied till the diggings had been completed, and the machinery set up. It appeared to him, however, that the government intended to appropriate some of their profits, although it had given no facilities for the preparatory works on the mines, during which it should be remembered that their capital had been burdened by exceptionally heavy indirect taxation. The moment that capital began to be productive, it was to be taxed." (Blue Book, No. 9345, p. 48.)

In four-and-twenty hours, Mr. Krüger had unexpectedly managed to pass a law levying a new tax of 2-1/2 per cent. of the gross production from mynpachts (mining leases), and 5 per cent. from the gross production of other mines. In his report of January 26th, 1899, Mr. Rouliot says: "Had this new tax formed part of a generalscheme for the readjustment of taxation, it might have been defended, but those who are considered best qualified to express the views of the government, content themselves by saying that it has the right to take a share of the profits realised by the mines and add that this tax is only a beginning."

Not content with increasing taxation, the government now wished to raise a loan. The attempt failed. The Government of Pretoria blamed the mining companies for the failure. Mr. Rouliot said, on January 26th: "It is true that the companies did not actually support the government in its efforts;" but he added:—

"Neither the Chamber of Mines, nor, to my knowledge, anyone directly, or indirectly, connected with mining interests did anything to embarass the government in its financial negotiations. It is useless to abstain from plain speaking; on the contrary, I hold it to be my duty to be frank and to state to the government that if it failed in its negotiations, it is due to its bad financial policy; to its want of an efficient system of audit; to its costly and terribly wasteful administration; to the want of precise information as to the object of the loan, and the manner in which it was to be expended."

"Neither the Chamber of Mines, nor, to my knowledge, anyone directly, or indirectly, connected with mining interests did anything to embarass the government in its financial negotiations. It is useless to abstain from plain speaking; on the contrary, I hold it to be my duty to be frank and to state to the government that if it failed in its negotiations, it is due to its bad financial policy; to its want of an efficient system of audit; to its costly and terribly wasteful administration; to the want of precise information as to the object of the loan, and the manner in which it was to be expended."

In fine, Law I. of 1897, and the fantastic method of legislation adopted by the Volksraad, show that the Government of Pretoria offers no better guarantee to people dealing with it than did the Grand Turk, some fifty years ago.

Taxation, to the Boer, means getting all he can out of the Uitlander, the old characteristic of all oligarchies. The Boer may cheerfully augment both the taxes and his expenditure. It is not he who will suffer.

I admire the Frenchmen, Belgians, Swiss, &c., who pretend that the Uitlanders are a bad lot for not being delighted with such a government.

The avowed taxes are far from representing the whole of the burden laid upon the Uitlanders by the Government of Pretoria.

The Convention of 1881 guaranteed freedom of commerce; nevertheless, from 1882 onwards "the triumvirate who ruled the country," says Mr. FitzPatrick (The Transvaal from Within), "granted numbers of concessions, ostensibly for the purpose of opening up industries. The real reasons are generally considered to have been personal." In 1884, Article XIV. renewed the guarantee of freedom of commerce; the Volksraad itself one day passed a resolution condemning monopolies in principle: and in December 1895 the President granted a monopoly for the importation of products, under the guise of a government agency with a commission to the agent!

One of the first monopolies established was for the manufacture of spirits. The quality of liquor it supplies to the natives is atrocious. To drunkenness is attributeda loss of 15 per cent. on the labour of 90,000 natives whose pay and food are equivalent to £40 per head, a loss therefore of £550,000 a year.

Two despatches, one from Mr. Chamberlain, dated January 13th, 1899, and the other from the Transvaal Government, dated March 9th, 1899, indicate how Mr. Krüger always meant to interpret Article XIV. of the Convention of 1884:

On October 13th, 1893, the Transvaal Government granted a monopoly of the dynamite trade to Mr. L.G. Vorstman for a period of 15 years. The price of No. 1 dynamite was fixed at £4 15s. per case, of which 5s. was to be paid to the Government.

The Transvaal Government maintains that this monopoly does not violate the freedom of labour, as it was established in the interest of the State, not in that of the concessionaires, and that the manufacture of dynamite is forbidden to the Boers as much as it is to foreigners.

Mr. Chamberlain in his despatch denies that the dynamite monopoly has been established in the interest of the State; and points out that even according to General Joubert, Vice-President of the Republic, this is really not a State monopoly but the monopoly of one, Lippert, because it is he who has derived the greatest profits from it.

The monopoly company has always failed to fulfil its engagements; the installation was to be completed in two-and-a-half years: in October, 1896, the companywas only able to produce 80,000 cases, the consumption at that time amounting to 200,000. The commission of the Volksraad estimated that between 1897 and 1899 it would be necessary to import 430,000 cases in addition to the quantity produced by the company. It is more to the company's interest to import than to manufacture, since importation affords a profit of £2 per case, and to the State a duty of 5s. Were dynamite imported by the State itself, the latter would realise about £860,000 instead of, as at present, £107,500, making a difference of at least about £752,500.

The price at which dynamite is sold is from 40s. to 45s. above its real value, from which excessive charge only certain individuals, living for the greater part in Europe, derive the benefit. This fact is attested, not by the English, but by Mr. Philipp, State Director of the Manufacture of Explosives. The Commission demanded that all dynamite should be manufactured by the State, and imposed a duty of 20s. per case on all imported dynamite.

These resolutions were passed by the Volksraad Commission in 1897; the monopoly has continued to exist, and in 1899 it was proposed to prolong it for a period of fifteen years. On May 1st, 1898, it is true, the price was reduced by 10s.; the company giving up 5s., and the State renouncing the whole of the 5s. duty. It had therefore no interest in maintaining the monopoly; 2s. of the net profits were still payable to it, it is true; but there are no public accounts.

By way of compensation new taxes were imposed by the Government. Mr. Rouliot, President of the Chamberof Mines, in his speech, January 26th, 1899, put it thus:—

"It is a burden borne by us on another shoulder, not a lightening of the burden."

Allowing for the increased consumption of dynamite, it has been estimated that, even with a further reduction of 5s. per case, the annual burden imposed upon the industry by the monopoly would, at the end of the period, amount to from £687,500 to £825,000. The Transvaal Government in its reply of March 9th, 1899, did not dispute these figures, but stated simply that, "the government had the right to judge what was most advantageous to itself."

The complaints of the British Government on behalf of the mining industry of the Transvaal, were founded solely upon the statement of the Volksraad Commission itself. This mania of the Government for a monopoly by which the shareholders profit greatly and the State hardly at all, proves that there are other interests at stake than those of the public.

At its meeting on February 3rd, 1899, the Witwatersrand Chamber of Mines decided to guarantee a Government loan of £600,000 at 5 per cent., to be applied in buying-out the concessionaires of the dynamite monopoly.

A concession for all the State railways was granted on April 16th, 1884, to a group of Hollander and German capitalists, and confirmed by the Volksraad on August 23rd following. In 1887 the shares, to the number of2,000, representing a capital of £166,666, were held as follows:—

ByGermans819sharescarrying30votes."Hollanders581""76""The Republic600""6"

This astonishing division of votes which gave to the Transvaal Government 6 out of 112, although it subscribed one-third of the capital, and assured to the Hollanders twice as many votes as the other holders put together, although they only provided one-third of the capital, was the work of Dr. Leyds. The contract for the construction of the first 70 miles is not less surprising. Messrs. Van Hattum & Co. were to build the line, at a cost mutually to be agreed upon by them and the railway company; and they were to receive as remuneration 11 per cent. upon the amount of the specification. The 11 per cent. was to be proportionately decreased by a sliding scale so arranged that it disappeared by the time Van Hattum & Co. had exceeded the contract price by 100 per cent. Beyond that the company had the right to cancel the contract. From this it follows, that, by deciding to lose the 11 per cent., Messrs. Van Hattum could make a gain of 89 per cent. This they did, and whole sections of earthworks, which should not have cost £8,000 per mile, cost £23,000 instead. A thousand Hollanders were brought out to work on the line; and sent home again at the expense of the Government. In a country which abounded in stone, the Komati Bridge was built of dressed stone imported from Holland, with the cost of a transit of 7,000 miles.

The Cape Colony Free State Railway ends at the Vaal River, 50 miles from Johannesburg. Thence goods are transmitted by the Netherlands Railway at a charge of 8-1/2d. per ton per mile, the rate being 3d. over the rest of the line.

In order to escape this rate manufacturers resorted to the use of ox-wagons; Mr. Krüger forbade them the drifts in order to compel the transit of goods by railway. This was another flagrant violation of Article 14 of the Convention of 1884, which called forth the intervention of Mr. Chamberlain. The indignation at the Cape was so great, that Mr. Chamberlain having asked the Cape Government, whether, in the event of war resulting, it would pay half the cost, and undertake the transport of the troops by the railways, the proposal was accepted by an Afrikander minister! Mr. Krüger yielded and re-opened the drifts.

A reduction of £100,000 was made on the railway tariffs; but in July, 1897, the duties on corn and food-stuffs were increased by £200,000. At the end of 1898, a certain number of these were lessened, but not that on flour. A comparison of the list of duties between 1897 and the end of 1898 shows that they were increased on twenty-eight products, and decreased on four.

Coal travelling a distance of 25-1/2 miles, the charge made by the Netherlands Railway Co. is 4s. 5d., which is 8-1/2d. per ton per mile; while the Free State Railway only charges 5-3/4d. and the Natal line 3d.

The Company collects the customs dues for account of the State, as security for the payment of interest on their shares and debentures.

Dr. Kuyper is quite willing to admit that the "financial administration leaves something to be desired," but he adds that, "while at the Cape the taxes on produce are at the rate of 15 per cent., in the Transvaal they are only 10 per cent." But it is easy to see how, by means of railway tariffs and various combinations, due to the cunning of Mr. Krüger and his Hollander friends, it has been possible to enhance prices of every description.

"It is a war of capitalists against a set of poor Boers who have no sort of interest in the dispute!" Such is the general cry.

Let us look at the facts.

The other day, anent the attempt upon the Prince of Wales, I referred to the anarchist and socialistic attacks of certain Pro-Boer and Anglophobe journals on capitalists, financiers, and the wealthy "metal-hearted mine-owners," as Dr. Kuyper calls them. I reminded my readers that Professor Bryce himself treats as absurd the tale that the aim of the Jameson Raid, as stated by those papers, was the conquest of the Transvaal for Rhodesia. I shall now show by documentary evidence that the war did not break out through any action on the part of gold-mine proprietors. In the first place, the greater number of these proprietors reside in Europe; and as much in France, Germany and Belgium, as in England. Their representatives in the Transvaal may hold more or less important interests in those mines, but they are imbued with a full sense of their responsibilities.

Now, commercial men never seek to bring about a political crisis unnecessarily; they invariably endeavour to avoid one. If they resign themselves to such a course, it is only as a last resource.

The truth of these general assertions is verified in the case in point by two documents which have not been fabricated after the events.

They are the reports of the Chamber of Mines, published by Mr. Rouliot, in January 1898, and January 1899.[18]

The report made by Mr. Rouliot to the Chamber of Mines on January 20th, 1898, refers to the burdens imposed upon the gold industry by the faulty administration of the Transvaal. It shows how the Volksraad contemptuously rejected, in 1897, a petition signed by more than ten thousand inhabitants of all nationalities and all professions. It declares that "the Chamber of Mines has no desire to interfere in the conduct of general affairs in the Transvaal"; it recalls the fact that the Commission of Enquiry nominated after the Crisis of 1896, had recommended the constitution of a "Local Board" which President Krüger had contemptuously rejected; and goes on to say:—

"It is nonsense to affirm that the creation of such a Board would have made a government within a government, and would have threatened the independence of the State. At the time that we made the proposal, we sincerely trusted that what hadhappened might be buried in oblivion and that we might dwell together in amity. We had hoped that the burghers would have recognised that want of experience, and their education would have made them unfitted for dealing with the most difficult problems that could face a young nation, and that they would have seen the necessity of calling men to their aid who could give them the benefit of their experience, and help them to ensure sound conditions for the State and its industrial development. Unfortunately, we have been deceived in our hopes...."

"It is nonsense to affirm that the creation of such a Board would have made a government within a government, and would have threatened the independence of the State. At the time that we made the proposal, we sincerely trusted that what hadhappened might be buried in oblivion and that we might dwell together in amity. We had hoped that the burghers would have recognised that want of experience, and their education would have made them unfitted for dealing with the most difficult problems that could face a young nation, and that they would have seen the necessity of calling men to their aid who could give them the benefit of their experience, and help them to ensure sound conditions for the State and its industrial development. Unfortunately, we have been deceived in our hopes...."

That is all; save that Mr. Rouliot alludes cursorily to the fact that the government had endeavoured to found a Chamber of Mines in opposition to the old one, but that an amalgamation had taken place; he, consequently, was speaking in the name of the entire industry.

In the course of the year 1898, Mr. Krüger's policy became more and more provocative. The Chamber of Mines confined itself to the request for the appointment of a deliberative council, to be composed of members nominated by the government, the powers of which should be limited to the application of the laws concerning gold-theft, the sale of spirituous liquors, and the "pass-law" concerning native labourers.

At a meeting of the Volksraad, June, 1898, the sub-committee appointed to enquire into this modest request, decided to recommend its rejection. Mr. A.D. Wolmarans said that "the council would be the meansof placing over the heads of the agents of the State, a commission whose members were not in possession of the franchise; and that the Volksraad would practically be adopting the proposition of home rule, and autonomy, put forward by Mr. Chamberlain in 1896."

On September 12th, the question was revived. A member of the Volksraad, named Lombaard, said that: "Johannesburg would never be satisfied until it had a little government of its own"; and that, as for the sale of liquor, as far as he was concerned, he saw no reason why Kaffirs should not drink themselves to death, if such was their taste.

The request was rejected by 14 votes to six. Four-and-twenty hours later the government passed a measure for an additional tax upon mining profits; then the Lombaard and Edgar cases occurred. The Chamber of Mines remained calm, notwithstanding.

In his report of January 26th, 1899, Mr. Rouliot seems to have but one aim, and that is to dissociate the Chamber of Mines completely from the agitation excited among the English workmen by the murder of their comrade, Edgar, at the hands of policeman Jones. I quote his words:—


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