-^ The Loan and its Consequences 



It was under Roberts's last Presidency, in 1874, that the 

 explorer Benjamin Anderson was again sent into the interior, 

 if possible to reach the alleged gold-mines near Musadu. He 



Government by the existing Liberian Rubber Syndicate, or any other syndicate 

 or company that may succeed it, are to be apphed in Hke manner to the service 

 of the debt. 



V. Should the product of the rubber export duties within the first five years 

 amount to more than is required for the payment of the interest on the debt at 

 the rates set forth in Article I., such surplus shall be applied to amortisation, 

 or if after the fifth year there should be a surplus from the same source after 

 providing for the payment of interest and the accumulative sinking fund of 

 I per cent, as set forth in Article II., such surplus siiall be applied to additional 

 amortisation. 



VI. The service of the debt shall be further secured on the general Customs 

 revenue of the republic, it being understood that the acceptance of these bases 

 of arrangement on the part of the Council and Committee is contingent on some 

 effective control of tlie collection of the Customs duties satisfactory to the 

 Committee being established, and that any deficiency in the product of the rubber 

 export duties required for the service of the External Debt is to constitute a first 

 charge on the revenues derived from the general Customs revenue, subject only 

 to the expenses of collection and the payment of interest not exceeding 6 per 

 cent, per annum on any advance made by the syndicate or company which may 

 be formed to undertake the collection of the said revenue?. 



In any event the full sum required in gold for the half-yearly service of the 

 debt is to be in the hands of the bankers in Loudon at least a fortnight before 

 the due date of the coupons as altered under this arrangement. 



The Government will also at the same time pay the bank the usual commission 

 for administering the debt service. 



VII. The bonds of 1871 are to be lodged with the Cv)uncil, and stamped on 

 their face as assenting to the new arrangement, and the coupons endorsed with 

 the altered dates and rates of payment in accordance with Article I., or new 

 coupon sheets are to be printed and attached to the bonds. If any stamp duty 

 in England is involved in this operation, the cost shall be borne by the Govern- 

 ment of Liberia. 



VIII. In order to participate in this arrangement the bonds must be deposited 

 with the Council of Foreign Bondiiolders within one year from the date of its 

 acceptance by the bondholders. 



IX. In the event of default of any payment contemplated by this arrangement, 

 or of failure to carry out the terms thereof, the existing rights of the Bondholders 

 to revive. 



X. This arrangement is subject to ratification first by the Legislature of 

 Liberia, and afterwards by resolution of a general meeting of bondholders to be 

 convened by the Council. 



XI. A reasonable sum to be paid by the Liberian Government to the Cpuncil 



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